BOSTON--(BUSINESS WIRE)--July 15, 2003--State Street Corporation
announced today a second-quarter loss per share of $0.07, representing
a net loss of $23 million on revenue of $1,082 million. Results for
the second quarter include pre-tax restructuring charges of $292
million, or $0.57 per share, related to State Street's previously
announced expense-reduction program. In addition, the company has
settled the previously disclosed tax matter relating to its REIT with
the Massachusetts Department of Revenue, creating a tax benefit of $13
million, or $0.04 per share, which represents half of the $0.08
provision taken in the first quarter of 2003. The company has agreed
to sell certain real estate in suburban Boston, resulting in a $13
million pre-tax charge, or $0.03 per share. Also, the company recorded
pre-tax merger and integration costs of $18 million, or $0.03 per
share, related to the Global Securities Services business (GSS), which
State Street acquired from Deutsche Bank on January 31. These
second-quarter items, in the aggregate, result in a net charge of
$0.59 per share.
In reporting its financial results for the second quarter of 2003,
State Street has prepared information in four categories:
-- "Reported" results are in accordance with generally accepted
accounting principles (GAAP).
-- "Operating" results are "reported" results excluding
significant charges, such as restructuring charges, the
settlement of the REIT tax matter, the writedown associated
with the pending sale of certain real estate, merger and
integration costs, and results of the divested Corporate Trust
business. They are presented on a taxable-equivalent basis.
-- "GSS contribution" results are the revenue and expenses,
including financing costs and amortization of intangibles,
attributable to the GSS business acquired on January 31, 2003,
as well as revenue and expenses from "out-of-scope" GSS
business that were not part of the acquisition, but commenced
in the second quarter of 2003. Per-share amounts reflect the
effect on outstanding shares due to the acquisition.
-- "Baseline" results are "operating" results excluding "GSS
contribution" and are presented on a taxable-equivalent basis.
State Street believes that providing non-GAAP financial
information assists investors and others by providing them with
financial information in a format that provides comparable financial
trends of ongoing business activities.
Baseline earnings per share were $0.52, compared to baseline
earnings per share of $0.56 for the second quarter of 2002, and up 13%
from $0.46 in the first quarter. Second quarter of 2002 baseline
results exclude $9 million of pre-tax income, or $0.02 per share,
attributable to the Corporate Trust business divested at the end of
2002 and excludes $20 million, or $0.04 per share, for severance and
outplacement costs, now reclassified as a restructuring charge and
excluded from baseline results. Baseline revenue of $958 million was
down 4% from the second quarter of 2002, primarily due to lower net
interest income and securities lending revenue, partially offset by
the increase in servicing fees.
In the second quarter, the GSS business contributed $150 million
in total revenue; $148 million of fee revenue, $5 million in
"out-of-scope" fee revenue, and $2 million of net interest revenue,
offset by net interest costs of $5 million attributable to the
acquisition financing. The GSS business operated on a break-even basis
in the second quarter on a per-share basis, whether or not
"out-of-scope" revenue and expenses are included.
Operating earnings per share, which exclude the one-time charges
recorded in the second quarter of 2003, were $0.52, down 7% from a
year ago, but up 18% from $0.44 in the first quarter. Operating
revenue increased 11%, or $113 million, to $1,108 million from the
second quarter of 2002. Operating return on stockholders' equity was
13.4% for the quarter.
The following table summarizes State Street's baseline, GSS,
operating, and reported results for the second quarters of 2002 and
2003. Detailed information is available in the Addendum Selected
Financial Information tables included with this press release.
Dollars in millions except per share data; shares in millions
Three months ended
June 30, 2003June 30, 2002
Baseline GSS Operating Reported Operating Reported
(b) (c) (a) (a)
Fee revenue $741$153$894$881$725$745
All other
revenue 217 (3) 214 201 270 258
Total revenue 958 150 1,108 1,082 995 1,003
Total expenses 689 140 829 1,139 704 738
Taxes 102 3 105 (34) 106 87
Net income $167$7$174 $(23) $185$178
Diluted eps $0.52$0.00$0.52 $(0.07) $0.56$0.54
Diluted
shares 320 334 334 328 328
(a) excludes significant charges and in 2002, the results of the
divested Corporate Trust business; presented on a
taxable-equivalent basis
(b) excludes GSS contribution and significant charges; presented
on a taxable-equivalent basis
(c) revenue and expenses, including financing costs and amortization
of intangibles, attributable to the GSS business acquired
January 31, 2003, as well as revenue and expenses from
"out-of-scope" business which was not part of the transaction,
but excluding merger and integration costs. Per-share amounts
reflect the effect on outstanding shares due to the acquisition.
David A. Spina, State Street's chairman and chief executive
officer, said, "I feel very good about our business, in terms of both
the opportunities we have in front of us and our ability to perform.
State Street is a very strong company today. We're the world leader in
investment servicing, institutional investment management, and
securities lending. We're on schedule in integrating the GSS business.
We continue to win more than our share of new business. And we have
succeeded in reducing our operating expense run rate, meeting the
objectives we established at the beginning of the quarter.
"I am excited about our future, and look forward to the benefits
we'll realize from our significantly larger scale and our ability to
find new ways to help our clients succeed. All of us at State Street
are committed to creating outstanding value for our stockholders. We
are laying a solid foundation for State Street's continued long-term
growth."
SECOND-QUARTER RESULTS VS. FIRST QUARTER
On a reported basis, the second quarter loss per share of $0.07
compares to net income per share of $0.29 in the first quarter. Total
revenue in the second quarter of $1,082 million is up 6% versus $1,020
million in the first quarter.
On a baseline basis, second quarter net income of $0.52 per
diluted share is up 13% from $0.46 per share on a revenue gain of 2%,
from $941 million to $958 million, and a $16 million, or 2% reduction
in expenses to $689 million.
SECOND QUARTER RESULTS VS. YEAR-AGO QUARTER
On a reported basis, the second-quarter loss per share was $0.07,
reflecting a net loss of $23 million, and total revenue was $1,082
million. In the second quarter of 2002, State Street earned $178
million, or $0.54 per share, on $1,003 million in revenue.
On an operating basis, diluted earnings per share were $0.52. Net
income was $174 million, and revenue was $1,108 million. In the second
quarter of 2002, net income was $185 million, or $0.56 per share, on
revenue of $995 million.
On a baseline basis, diluted earnings per share were $0.52, net
income was $167 million, and revenue was $958 million in the second
quarter.
State Street generates revenue by providing sophisticated global
investors with integrated products, services and strategies that
support their investment and business goals. The following review of
specific revenue and expense lines uses baseline results to provide
consistent comparable data to the year-earlier period.
Servicing fees are derived from accounting, administration,
custody, daily pricing, performance and analytics, compliance
monitoring, and operations outsourcing for investment managers.
Baseline servicing fees were up 7%, to $390 million from $365 million.
The increase was attributable to business gained through an
acquisition in July 2002, as well as from new business from existing
and new clients, offset by lower average equity markets. Daily average
values for the S&P 500 Index were down 12% from the second quarter of
2002; daily average values for the MSCI(R) EAFE Index(SM) were down
15%. Total assets under custody were $8.5 trillion, including $1.9
trillion attributable to the GSS business.
Baseline management fees from investment management services,
delivered through State Street Global Advisors, were $125 million,
compared to $129 million a year ago. Management fees reflected
continued new business success, but were affected by a decline in
average month-end equity valuations. Total assets under management
were $901 billion, compared to $770 billion the previous year.
Baseline securities lending revenue was $57 million in the
quarter, compared to $68 million the previous year. The decline in
securities lending revenue reflects narrower interest-rate spreads due
to a less favorable interest-rate environment compared to a year ago,
which more than offset growth in volume of securities on loan.
Baseline foreign exchange trading revenue was $93 million for the
quarter, compared to $92 million a year ago.
Baseline brokerage fees were $27 million, compared to $31 million
a year ago, driven by lower transaction volumes. Baseline processing
fees and other increased $9 million to $49 million. Securities gains
of $8 million compared to $10 million last year.
Baseline net interest revenue was $209 million, a decline of $52
million, or 20%, from a year ago. Lower yields on assets, reflecting
the continuing decline in interest rates, drove the decrease in net
interest revenue. State Street provides repurchase agreements and
deposit services for clients' investment activities, which generate
net interest revenue.
Baseline operating expenses were $689 million, down $15 million,
or about 2%, from $704 million a year ago. Lower direct controllable
expenses and salaries and benefits expenses largely offset increased
spending for transaction processing services, information systems and
communications, and occupancy expenses. State Street has implemented
cost-reduction plans expected to reduce operating expenses by
approximately $110 million for the remainder of 2003. The company will
continue to invest in the key initiatives that offer the greatest
opportunity for future growth.
GSS ACQUISITION AND INTEGRATION UPDATE
Based on the second quarter 2003 operations, the business as
acquired, excluding "out-of-scope" revenue and expenses, is generating
approximately $580 million of annualized revenue and about $532
million of annualized expenses. The results do not include revenue and
expenses associated with the GSS business in Italy (which closed this
month) and Austria. As previously disclosed, we expect to retain 89%
of the available client revenue acquired, which excludes
"out-of-scope" revenue. State Street is ahead of schedule in reducing
GSS expenses in the acquired business, and expects to meet or exceed
its targets for cost savings.
Based on the first five-months' operating results, excluding
"out-of-scope" revenue and expenses, State Street believes it will
meet its previously-disclosed expectation that the acquisition will be
dilutive to operating earnings per share by approximately $0.01 to
$0.03 in 2003. The merger and restructuring costs associated with the
acquisition in 2003 are expected to be $90-110 million on a pre-tax
basis, approximately $55 million of which have been recorded in the
first two quarters.
EXPENSE CONTROL MEASURES
After taking into effect the full impact of the recent employee
reductions, the Corporation's workforce would stand at about 19,100
which includes the employees devoted to the GSS business. As
previously disclosed, State Street expects to add between 800 and 1000
employees over the next year, as well as continuing its previously
announced staff reductions related to the acquired GSS business. As
previously announced, State Street completed a number of actions which
are expected to reduce its operating expenses by approximately $55
million per quarter for the remainder of 2003, compared to its
first-quarter baseline run rate, all else being equal.
INVESTOR CONFERENCE CALL
State Street will webcast an investor conference call today,
Tuesday, July 15, 2003, at 9:30 a.m. EDT, available at
www.statestreet.com/stockholder. The conference call will also be
available via telephone, at +1 719/457-2621. Recorded replays of the
conference call will be available on the web site, and by telephone at
+1 402/220-4230, beginning at noon Friday. This press release and
additional financial information is available on State Street's
website, at www.statestreet.com/stockholder, under "Financial
Reports."
State Street Corporation (NYSE: STT) is the world's leading
specialist in providing sophisticated global investors with investment
servicing and investment management. With $8.5 trillion in assets
under custody and $901 billion in assets under management, State
Street is headquartered in Boston, Massachusetts and operates in 22
countries and over 100 markets worldwide. For more information, visit
State Street's web site at www.statestreet.com or call 877/639-7788
(NEWS STT) toll-free in the United States and Canada, or +1
202/266-3340 outside those countries.
This news announcement contains forward-looking statements as
defined by United States securities laws, including statements about
the financial outlook and business environment. Those statements are
based on current expectations and involve a number of risks and
uncertainties, including those related to the pace at which State
Street adds new clients or at which existing clients use additional
services, the value of global and regional financial markets, the pace
of cross-border investment activity, changes in interest rates, the
pace of worldwide economic growth and rates of inflation, the extent
of volatility in currency markets, consolidations among clients and
competitors, State Street's business mix, the dynamics of markets
State Street serves, and State Street's success at integrating and
converting acquisitions into its business. Other important factors
that could cause actual results to differ materially from those
indicated by any forward-looking statements are set forth in State
Street's 2002 annual report and subsequent SEC filings. State Street
encourages investors to read the corporation's annual report,
particularly the section on factors that may affect financial results,
and its subsequent SEC filings for additional information with respect
to any forward-looking statements and prior to making any investment
decision. The forward-looking statements contained in this press
release speak only as of the date hereof, July 15, 2003, and the
company will not undertake efforts to revise those forward-looking
statements to reflect events after this date.
STATE STREET CORPORATION
Addendum Earnings Digest(1)
(Dollars in millions, except per share data)
Quarter ended June 30,
2003(2) 2002 % Change
Revenue $1,082$1,003 8
Earnings (23) 178
Diluted earnings per share (.07) .54
Six Months ended June 30,
2003(2) 2002 % Change
Revenue $2,102$1,984 6
Earnings 73 356 (79)
Diluted earnings per share .22 1.08 (80)
(1) Information presented in accordance with accounting principles
generally accepted in the United States.
(2) Includes the impact of restructuring charges.
STATE STREET CORPORATION
Addendum Selected Financial Information
I. CONSOLIDATED STATEMENT OF INCOME PREPARED IN ACCORDANCE WITH
ACCOUNTING PRINCIPLES GENERALLY ACCEPTED IN THE UNITED STATES
Quarter ended Six months ended
June 30, June 30,
(Dollars in millions,
except per share data) 2003 2002 2003 2002
Fee Revenue
Servicing fees $ 482$ 384$ 920$ 753
Management fees 130 129 255 253
Global securities lending 76 68 131 132
Foreign exchange trading 103 91 175 159
Brokerage fees 27 31 57 54
Processing fees and other 63 42 133 91
Total fee revenue 881 745 1,671 1,442
Net Interest Revenue
Interest revenue 401 510 798 1,034
Interest expense 208 261 401 504
Net interest revenue 193 249 397 530
Provision for loan losses 1 2
Net interest revenue after
provision for loan losses 193 248 397 528
Gains on the sales of
available-for-sale
investment securities 8 10 34 14
Total Revenue 1,082 1,003 2,102 1,984
Operating Expenses
Salaries and employee
benefits 444 424 887 845
Information systems and
communications 140 91 270 187
Transaction processing
services 79 59 151 118
Occupancy 76 60 147 120
Merger and integration costs 18 55
Restructuring 292 20 292 20
Other 90 84 171 163
Total operating expenses 1,139 738 1,973 1,453
Income before income taxes (57) 265 129 531
Income taxes (34) 87 56 175
Net Income $ (23) $ 178$ 73$ 356
Earnings Per Share
Basic $ (.07) $ .55 $ .22 $ 1.10
Diluted (.07) .54 .22 1.08
Average Shares Outstanding
(in thousands)
Basic 331,325 323,858 330,452 323,774
Diluted 333,971 328,262 333,039 328,450
Return on equity -% 17.3% 7.2% 17.8%
Cash dividends declared
per share $ .14 $ .12 $ .27 $ .23
II. OTHER FINANCIAL INFORMATION
Quarters ended June 30,
(Dollars in millions, except per
share data or where otherwise indicated) 2003 2002
Assets under custody (in billions) $ 8,516$ 6,202
Assets under management (in billions) 901 770
Assets under trusteeship (in billions) - 689
Total assets $ 83,102$ 80,328
Long-term debt 1,676 1,272
Stockholders' equity 5,085 4,187
Closing price per share of
common stock $ 39.40$ 44.70STATE STREET CORPORATION
Addendum Selected Financial Information
III. INCOME STATEMENT INFORMATION
Reconciliation of Financial Results
(Dollars in millions)
Three Months Ended June 30, 2003
Baseline GSS Operating Reported
Results Results(a,d) Results Other Results
Fee Revenue
Servicing fees $390$92$482 $ $482
Management fees 125 5 130 130
Global securities
lending 57 19 76 76
Foreign exchange
trading 93 10 103 103
Brokerage fees 27 27 27
Processing fees
and other 49 27 76 (13)(b) 63
Total fee revenue 741 153 894 (13)(b) 881
Net Interest
Revenue 209 (3)(c) 206 (13)(e) 193
Provision for
loan losses
Net interest revenue
after provision for
loan losses
(taxable-equivalent
basis) 209 (3)(c) 206 (13)(e) 193
Gains on the sales of
available-for-sale
investment
securities, net 8 8 8
Total Revenue 958 150 1,108 (26) 1,082
Operating Expenses
Salaries and
employee benefits 391 53 444 444
Information
systems and
communications 100 40 140 140
Transaction
processing services 63 16 79 79
Occupancy 65 11 76 76
Merger and
integration costs 18 18
Restructuring 292 292
Other 70 20(g) 90 90
Total operating
expenses 689 140 829 310 1,139
Income before
income taxes 269 10 279 (336) (57)
Income taxes 89 3 92 (126)(f) (34)
Taxable-equivalent
adjustment 13 13 (13)(e)
Net Income $167$7$174 $(197) $(23)
Earnings Per
Share $.52 $- $.52 $(.59) $(.07)
Average Diluted
Shares (in
thousands) 319,904 14,067 333,971 333,971
Return on equity 13.0% 13.4% -%
Notes:
Reported results agree with the Corporation's Consolidated
Statement of Income
(a) Includes $5 million of revenue and $7 million of expenses
related to out-of-scope client relationships
(b) Represents a valuation reserve on certain assets classified as
available-for-sale
(c) Includes $5 million of net interests costs attributable to the
GSS acquisition financing
(d) Includes ($.03) impact due to changes in shares outstanding
attributable to the acquisition
(e) Taxable-equivalent adjustment is not included in reported
results
(f) Reflects the settlement of the previously announced Massachusetts
tax legislation issue ($13 million tax benefit) as well as the
tax benefit related to the valuation reserve and restructuring,
merger and integration costs
(g) Includes amortization of intangibles expense of $7 millionSTATE STREET CORPORATION
Addendum Selected Financial Information
III. INCOME STATEMENT INFORMATION
Reconciliation of Financial Results
(Dollars in millions)
Six Months Ended June 30, 2003
Baseline GSS Operating Reported
Results Results(a,d) Results Other Results
Fee Revenue
Servicing fees $770$150$920 $ $920
Management fees 247 8 255 255
Global securities
lending 102 29 131 131
Foreign exchange
trading 160 15 175 175
Brokerage fees 57 57 57
Processing fees
and other 99 47 146 (13)(b) 133
Total fee revenue 1,435 249 1,684 (13)(b) 1,671
Net Interest
Revenue 430 (7)(c) 423 (26)(e) 397
Provision for
loan losses
Net interest
revenue after
provision for
loan losses 430 (7)(c) 423 (26)(e) 397
(taxable-
equivalent
basis)
Gains on the
sales of
available-for-
sale investment
securities, net 34 34 34
Total Revenue 1,899 242 2,141 (39) 2,102
Operating Expenses
Salaries and
employee benefits 799 88 887 887
Information
systems and
communications 200 70 270 270
Transaction
processing
services 128 23 151 151
Occupancy 129 18 147 147
Merger and
integration costs 55 55
Restructuring 292 292
Other 138 33(g) 171 171
Total operating
expenses 1,394 232 1,626 347 1,973
Income before
income taxes 505 10 515 (386) 129
Income taxes 167 3 170 (114) (f) 56
Taxable-equivalent
adjustment 26 26 (26)(e)
Net Income $312$7$319 $(246) $73
Earnings Per
Share $.98 $(.02)(d) $.96 $(.74) $.22
Average Diluted
Shares (in
thousands) 318,972 14,067 333,039 333,039
Return on equity 12.4% 12.7% 7.2%
Notes:
Reported results agree with the Corporation's Consolidated
Statement of Income.
(a) Includes $5 million of revenue and $7 million of expenses
related to out-of-scope client relationships
(b) Represents a valuation reserve on certain assets classified as
available-for-sale
(c) Includes $10 million of net interests costs attributable to
the GSS acquisition financing
(d) Includes ($.05) impact due to changes in shares outstanding
attributable to the acquisition
(e) Taxable-equivalent adjustment is not included in reported
results
(f) Reflects the impact of a certain Massachusetts tax legislation
issue ($12 million tax expense) as well as the tax benefit related
to the valuation reserve and restructuring, merger and
integration costs
(g) Includes amortization of intangibles expense of $12 millionSTATE STREET CORPORATION
Addendum Selected Financial Information
IV. INCOME STATEMENT INFORMATION - BASELINE YEAR OVER YEAR
Baseline results are reported results excluding GSS contribution,
restructuring, merger and integration costs, valuation reserves, tax
legislation impact and results of a divested business and are
presented on a taxable-equivalent basis.
For the Quarter Ended For the Six Months Ended
June 30, June 30,
(Dollars in millions,
except per
share data) 2003 2002(a) % Change 2003 2002(a) % Change
Fee Revenue
Servicing fees $390$365 7 % $770$714 8 %
Management fees 125 129 (3) 247 253 (2)
Global securities
lending 57 68 (16) 102 132 (23)
Foreign exchange
trading 93 92 1 160 160
Brokerage fees 27 31 (14) 57 54 4
Processing fees
and other 49 40 18 99 88 11
Total fee
revenue 741 725 2 1,435 1,401 2
Net Interest
Revenue 209 261 430 554
Provision for loan
losses 1 2
Net interest
revenue after
provision for
loan losses 209 260 (20) 430 552 (22)
(taxable-
equivalent basis)
Gains on the sales
of available-for-
sale investment
securities, net 8 10 (23) 34 14
Total Revenue 958 995 (4) 1,899 1,967 (3)
Operating Expenses
Salaries and
employee benefits 391 415 (6) 799 828 (4)
Information
systems and
communications 100 90 10 200 184 8
Transaction
processing
services 63 58 10 128 116 11
Occupancy 65 59 10 129 118 10
Other 70 82 (15) 138 158 (13)
Total operating
expenses 689 704 (2) 1,394 1,404 (1)
Income before
income taxes 269 291 (8) 505 563 (10)
Income taxes 89 91 167 176
Taxable-equivalent
adjustment 13 15 26 30
Net Income $167$185 (9) $312$357 (13)
Diluted Earnings
Per Share $.52 $.56 (7) $.98 $1.08 (9)
(a) Reflects restatement of originally issued financial results to
exclude the results of operations of the divested Corporate Trust
activities and the reclassification of certain restructuring
costs now shown as a component of reported results rather than
baseline results
STATE STREET CORPORATION
Addendum Selected Financial Information
IV. INCOME STATEMENT INFORMATION - OPERATING
Operating results are reported results excluding significant
charges, restructuring, merger and integration costs and results of a
divested business and are presented on a taxable-equivalent basis.
For the Quarter Ended For the Six Months Ended
June 30, June 30,
(Dollars in millions,
except per
share data) 2003 2002(a) % Change 2003 2002(a) % Change
Fee Revenue
Servicing fees $482$365 32 % $920$714 29 %
Management fees 130 129 1 255 253 1
Global securities
lending 76 68 12 131 132
Foreign exchange
trading 103 92 13 175 160 10
Brokerage fees 27 31 (14) 57 54 4
Processing fees and
other 76 40 90 146 88 65
Total fee
revenue 894 725 23 1,684 1,401 20
Net Interest
Revenue 206 261 423 554
Provision for loan
losses 1 2
Net interest
revenue after
provision for loan
losses 206 260 (21) 423 552 (23)
(taxable-equivalent
basis)
Gains on the sales
of available-for-
sale investment
securities, net 8 10 (23) 34 14
Total Revenue 1,108 995 11 2,141 1,967 9
Operating Expenses
Salaries and
employee benefits 444 415 7 887 828 7
Information systems
and communications 140 90 55 270 184 46
Transaction
processing
services 79 58 37 151 116 31
Occupancy 76 59 29 147 118 25
Other 90 82 10 171 158 8
Total operating
expenses 829 704 18 1,626 1,404 16
Income before
income taxes 279 291 (4) 515 563 (9)
Income taxes 92 91 170 176
Taxable-equivalent
adjustment 13 15 26 30
Net Income $174$185 (6) $319$357 (11)
Diluted Earnings
Per Share $.52 $.56 (7) $.96 $1.08 (11)
(a) Reflects restatement of originally issued financial results to
exclude the results of operations of the divested Corporate Trust
activities and the reclassification of certain restructuring
costs now shown as a component of reported results rather than
operating results
STATE STREET CORPORATION
Addendum Consolidated Statement of Condition
June 30, December 31, June 30,
(Dollars in millions) 2003 2002 2002
Assets
Cash and due from banks $ 5,580$ 1,361$ 1,960
Interest-bearing deposits
with banks 22,198 28,143 25,602
Securities purchased under
resale agreements
and securities borrowed 10,657 17,215 17,771
Federal funds sold 1,050 2,550
Trading account assets 444 984 872
Investment securities 29,704 28,071 20,016
Loans (less allowance of
$61, $61 and $63) 5,957 4,113 5,368
Premises and equipment 1,015 887 863
Accrued income receivable 942 823 853
Goodwill 1,213 462 477
Other intangible assets 495 127 139
Other assets 3,847 3,608 3,857
Total Assets $83,102$85,794$80,328
Liabilities
Deposits:
Noninterest-bearing $11,491$ 7,279$10,031
Interest-bearing -- U.S. 6,411 9,005 8,657
Interest-bearing -- Non-U.S. 30,454 29,184 28,284
Total Deposits 48,356 45,468 46,972
Securities sold under repurchase
agreements 19,891 21,963 20,122
Federal funds purchased 1,153 3,895 1,972
Other short-term borrowings 2,035 3,440 1,131
Accrued taxes and other expenses 2,238 1,967 1,649
Other liabilities 2,668 3,004 3,023
Long-term debt 1,676 1,270 1,272
Total Liabilities 78,017 81,007 76,141
Stockholders' Equity
Preferred stock, no par:
authorized 3,500,000; issued none
Common stock, $1 par: authorized
500,000,000; issued 337,135,000,
329,992,000 and 329,994,000 337 330 330
Surplus 336 104 103
Retained earnings 4,455 4,472 3,893
Accumulated other comprehensive
income 146 106 117
Treasury stock at cost (4,268,000,
5,065,000 and 5,949,000 shares) (189) (225) (256)
Total Stockholders' Equity 5,085 4,787 4,187
Total Liabilities and
Stockholders' Equity $83,102$85,794$80,328 CONTACT: State Street Corporation
Edward J. Resch, 617-664-1110
or
Investors:
Kelley MacDonald, 617-664-3477
or
Media:
Hannah Grove, 617-664-3377
SOURCE: State Street Corporation