BOSTON--(BUSINESS WIRE)--July 13, 2004--State Street Corporation
today announced second-quarter earnings per diluted share of $0.65, or
net income of $220 million, on revenue of $1.29 billion. These results
compare to a loss per diluted share of $0.07, or $23 million, on
revenue of $1.08 billion in the second quarter of last year. Total
expenses in the second quarter of 2004 were $953 million compared to
$1.14 billion in the year-ago quarter.
Results for the second quarter of 2004 include pre-tax merger and
integration costs of $16 million, or $0.03 per diluted share due to
the continuing integration of the Deutsche Bank Global Securities
Services business (GSS), acquired in January 2003. Results for the
second quarter of 2003 included pre-tax merger and integration costs
of $18 million, or $0.04 per diluted share, related to the GSS
acquisition, as well as restructuring costs, a loss on the sale of
certain real estate, and a settlement of a state tax legislation
issue, resulting in a net charge of $0.55 per diluted share. Second
quarter 2003 results also included the operating results of the
divested Private Asset Management business.
For the second quarter of 2004, return on stockholders' equity was
14.9%.
In reporting its financial results, State Street has prepared
information in two categories:
-- "Reported" results are in accordance with generally accepted
accounting principles (GAAP).
-- "Operating" results are reported results in 2004 excluding
merger and integration costs and in 2003 excluding merger and
integration costs, restructuring costs, the loss on the sale
of certain real estate, the settlement of a state tax
legislation issue, and the results of a divested business.
They are presented on a taxable-equivalent basis.
State Street believes that non-GAAP financial information assists
investors and others by providing them with financial information in a
format that presents comparable financial trends of ongoing business
activities.
Operating earnings per diluted share for the second quarter were
$0.68, up 36% compared to operating earnings per diluted share of
$0.50 for the second quarter of 2003. Operating results for 2003 have
been reduced by $0.02 per diluted share reflecting the impact of the
divested Private Asset Management business.
Operating revenue of $1.30 billion in the second quarter of 2004
was up 19% from the second quarter of 2003, primarily due to increases
in servicing fees, management fees, and net interest revenue.
Operating expenses of $937 million in the second quarter of 2004 were
up $119 million, or 15%, from the second quarter of 2003. Return on
stockholders' equity on an operating basis was 15.7% for the quarter.
The following table summarizes State Street's reported and
operating results for the second quarters of 2004 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
For the three months ended
June 30, 2004June 30, 2003
% Change
in
Operating
Reported Operating(a) Reported Operating(b) Results
-------- ------------ -------- ------------ ----------
Fee revenue $ 1,045 $ 1,045 $ 881 $ 875 19
All other
revenue 242 254 201 214 19
------- ----------- ------- -----------
Total revenue 1,287 1,299 1,082 1,089 19
Total expenses 953 937 1,139 818 15
Taxes 114 131 (34) 102
------- ----------- ------- -----------
Net income $ 220 $ 231 $ (23) $ 169 37
======= =========== ======= ===========
Diluted EPS $ 0.65 $ 0.68 $ (0.07) $ 0.50 36
Diluted shares 341 341 334 334
(a) excludes merger and integration costs, presented on a
taxable-equivalent basis.
(b) excludes restructuring charges, merger and integration costs,
the loss on the sale of certain real estate, the settlement of a state
tax legislation issue, and the results of a divested business,
presented on a tax-equivalent basis.
Ron Logue, State Street's chairman and chief executive officer,
said, "State Street's strategy - focusing on being the best provider
of services to institutional investors around the world - continues to
drive our company's growth. Much of my energy is going into ensuring
that we execute on this strategy extremely well. By delivering
consistent value to our customers, we will achieve our goals of
becoming the undisputed leader in our target markets and delivering
sustainable growth to our stockholders."
Commenting on the quarter, he added, "Favorable market conditions
in the first quarter continued into the second, helping us to achieve
record operating revenue. The results of the second quarter were solid
due to strong revenue growth across all segments of our business.
However, market conditions may not be as favorable in the second half
of the year. We expect to face downward pressure on revenue in the
short term, due to anticipated increases in interest rates, among
other things. We also expect to incur implementation expenses related
to converting several large new customers in Europe. Continued
improvement above initial expectations for the Deutsche Bank GSS
business, however, is expected to partially offset these increases."
SECOND QUARTER RESULTS VS. YEAR-AGO QUARTER
The following review of specific revenue and expense categories
uses operating results to provide consistent comparable data to the
year-earlier period.
Operating revenue of $1.30 billion in the second quarter of 2004
was up $210 million or 19% from the second quarter of 2003.
Servicing fees were $570 million, up $88 million or 18%, from $482
million in the year-ago quarter. The increase was attributable to new
business from existing and new clients and to higher equity market
valuations in 2004. Total assets under custody were $9.1 trillion, up
7%, compared with $8.5 trillion in the year-ago quarter.
Management fees, generated by State Street Global Advisors, were
$153 million, up $42 million, or 38%, compared to $111 million in the
year-ago quarter. The increase in management fees also reflected new
business from existing and new clients and higher equity market
valuations in 2004. Total assets under management were $1.2 trillion,
up 35%, compared to $901 billion the previous year. Average month-end
values for the S&P 500 Index were up 18% from the second quarter of
2003; average month-end values for the MSCI(R) EAFE Index(SM) were up
32%.
Securities lending revenue was $89 million in the quarter,
compared to $76 million in the year-ago quarter, an increase of 17%.
The increase reflects a 31% improvement in volume of securities on
loan. Both quarters' results represent seasonally high activity.
Foreign exchange trading revenue was $116 million for the quarter,
compared to $103 million in the year-ago quarter, an increase of 13%.
The increase was attributable to higher volatilities, reflecting
higher cross-border investment activity levels by our clients.
Brokerage fees were $36 million in the quarter, compared to $27
million in the year-ago quarter, up 33% due to an increase in
transition management fees and in the volume of electronic equity
trading.
Net interest revenue was $238 million, up $32 million or 16% from
$206 million in the year-ago quarter. This increase was attributed to
an increase in balance sheet size and a steepening in the short-term
end of the yield curve.
Gains on the sale of securities of $16 million compares with gains
of $8 million from the year-ago quarter.
Operating expenses of $937 million in the second quarter of 2004
were up $119 million or 15% from the second quarter of 2003. Salaries
and benefits expenses increased $72 million to $510 million, primarily
due to increased incentive compensation resulting from the
Corporation's improved operating performance. Higher expenses also
included an increase of $24 million in transaction processing
services, due to higher volume-driven expenses, and an increase of $22
million in other expense driven primarily by increased professional
services expenses needed to support growth initiatives and compliance
requirements.
The effective tax rate in the second quarter of 2004 was 34%,
compared to 37% in the second quarter of 2003, excluding the impact of
the REIT adjustment.
SECOND-QUARTER RESULTS VS. FIRST QUARTER
On a reported basis, second-quarter net income per diluted share
of $0.65, which included $16 million, or $0.03 per diluted share of
merger and integration charges, was up 3% compared to first quarter
net income per diluted share of $0.63, which included $18 million, or
$0.04 per diluted share of merger and integration charges. Total
revenue in the second quarter of $1.29 billion was up 6% versus $1.22
billion in the first quarter. Total expenses in the second quarter of
$953 million were up 5% or $45 million compared to $908 million in the
first quarter.
On an operating basis, second-quarter net income per diluted share
was $0.68 compared to first quarter net income per diluted share of
$0.67. Revenue increased 6% to $1.30 billion from $1.23 billion and
expenses increased 5% to $937 million from $890 million.
GSS ACQUISITION UPDATE
On an operating basis, State Street's 2004 second-quarter results
included $0.02 earnings per share, after finance charges, on revenues
of $158 million and expenses of $131 million, which includes
"out-of-scope" GSS business. For the six months ended June 30, 2004
earnings per diluted share totaled $0.04. Based on current estimates,
State Street believes that the total GSS business will contribute
between $0.06 to $0.08 in earnings per diluted share for 2004.
To date, State Street has completed about 80% of the world-wide
client conversions, and we expect to be substantially complete by the
end of 2004, excluding Germany. The pre-tax merger and integration
costs associated with the acquisition in the second quarter of 2004
were $16 million and total $34 million for the six months. The
corporation expects pre-tax merger and integration costs related to
these conversions to be approximately $50 to $60 million in the
current year.
INVESTOR CONFERENCE CALL
State Street will webcast an investor conference call today,
Tuesday, July 13, 2004, at 9:30 a.m. EDT, available at
www.statestreet.com/stockholder. The conference call will also be
available via telephone, at +1 719/457-2617 (confirmation code
168516). Recorded replays of the conference call will be available on
the web site, and by telephone at +1 402/220-4230 (confirmation code
168516), beginning at 2:00 PM today. 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 institutional investors with investment
servicing, investment management and investment research and trading.
With $9.1 trillion in assets under custody and $1.2 trillion in assets
under management, State Street operates in 24 countries and more than
100 markets worldwide and employs 19,850 people 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 2003 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 13, 2004, and the
Corporation 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,
----------------------
2004 2003 % Change
-------- --------- ----------
Revenue $ 1,287 $ 1,082 19
Earnings 220 (23) -
Diluted earnings per
share .65 (.07) -
Six months ended June 30,
-------------------------
2004 2003 % Change
-------- --------- ----------
Revenue $ 2,506 $ 2,102 19
Earnings 437 73 -
Diluted earnings per
share 1.28 .22 -
(1) Information presented in accordance with accounting principles
generally accepted in the United StatesSTATE STREET CORPORATION
Addendum Selected Financial Information
I. CONSOLIDATED STATEMENT OF INCOME PREPARED IN ACCORDANCE WITH
ACCOUNTING PRINCIPLES GENERALLY ACCEPTED IN THE UNITED STATES
Reported Results Reported Results
Quarter ended Six months ended
June 30, June 30,
------------------- --------------------
(Dollars in millions,
except per share data) 2004 2003 2004 2003
---------------------------------------------- --------------------
Fee Revenue:
Servicing fees $ 570 $ 482 $ 1,125 $ 920
Management fees 153 130 300 255
Global securities lending 89 76 153 131
Foreign exchange trading 116 103 234 175
Brokerage fees 36 27 81 57
Processing fees and other 81 63 165 133
--------- --------- --------- ---------
Total Fee Revenue 1,045 881 2,058 1,671
Net Interest Revenue:
Interest revenue 408 401 792 798
Interest expense 182 208 363 401
--------- --------- --------- ---------
Net interest revenue 226 193 429 397
Provision for loan losses - - - -
--------- --------- --------- ---------
Net interest revenue
after provision for
loan losses 226 193 429 397
Gains on the sales of
available-for-sale
investment securities, net 16 8 19 34
--------- --------- --------- ---------
Total Revenue 1,287 1,082 2,506 2,102
Operating Expenses:
Salaries and employee
benefits 510 444 972 887
Information systems and
communications 130 140 269 270
Transaction processing
services 103 79 199 151
Occupancy 84 76 174 147
Merger and integration
costs 16 18 34 55
Restructuring costs - 292 - 292
Other 110 90 213 171
--------- --------- --------- ---------
Total operating expenses 953 1,139 1,861 1,973
--------- --------- --------- ---------
Income before income
taxes 334 (57) 645 129
Income taxes 114 (34) 208 56
--------- --------- --------- ---------
Net Income $ 220 $ (23) $ 437 $ 73
========= ========= ========= =========
Earnings Per Share:
Basic $ .66 $ ( .07) $ 1.31 $ .22
Diluted .65 ( .07) 1.28 .22
Average Shares Outstanding
(in thousands):
Basic 334,930 331,325 334,782 330,452
Diluted 340,647 333,971 341,232 333,039
Return on equity 14.9% - % 14.9% 7.2%
Cash dividends declared per
share $ .16 $ .14 $ .31 $ .27
II. OTHER SELECTED FINANCIAL INFORMATION
Quarter ended
June 30,
-------------------
(Dollars in millions, except
per share data or where
otherwise indicated) 2004 2003
----------------------------------------------
Assets under custody (in
billions) $ 9,150 $ 8,516
Assets under management
(in billions) 1,217 901
Total assets $ 94,099 $ 83,102
Long-term debt 2,347 1,676
Stockholders' equity 5,910 5,085
Closing price per share of
common stock $ 49.04 $ 39.40
STATE STREET CORPORATION
Addendum Selected Financial Information
III. SUPPLEMENTAL INCOME STATEMENT INFORMATION - RECONCILIATION OF
OPERATING RESULTS
Reconciliation of Financial Results
---------------------------------------
(Dollars in millions)
---------------------------------------
Quarter ended June 30, 2004
---------------------------------------
Operating Reported
Results Other Results
--------------------------------------
Fee Revenue:
Servicing fees $ 570 $ 570
Management fees 153 153
Global securities lending 89 89
Foreign exchange trading 116 116
Brokerage fees 36 36
Processing fees and other 81 81
------------ -------------
Total fee revenue 1,045 1,045
Net Interest Revenue:
Net Interest Revenue 238 $ (12) 226
Provision for loan losses - - -
------------ ----------- -------------
Net interest revenue
after provision for
loan losses 238 (12)(1) 226
Gains on the sales of
available-for-sale
investment securities, net 16 - 16
------------ ----------- -------------
Total Revenue 1,299 (12) 1,287
Operating Expenses:
Salaries and employee
benefits 510 - 510
Information systems and
communications 130 - 130
Transaction processing
services 103 - 103
Occupancy 84 - 84
Merger and integration
costs - 16(2) 16
Other 110 - 110
------------ ----------- -------------
Total operating
expenses 937 16 953
------------ ----------- -------------
Income before income
taxes 362 (28) 334
Income taxes 119 (5)(3) 114
Taxable-equivalent
adjustment 12 (12)(1) -
------------ -------------------------
Net Income $ 231 $ (11) $ 220
============ =========== =============
Diluted Earnings Per Share$ .68 $ (0.03) $ .65
Average Diluted Shares (in
thousands) 340,647 340,647
Return on equity 15.7 % 14.9 %
Notes:
Reported results agree with the Corporation's Consolidated
Statement of Income.
(1) Taxable-equivalent adjustment is not included in reported
results.
(2) Merger and integration costs associated with the acquisition
of the GSS business.
(3) Reflects the tax benefit associated with the merger and
integration costs.
STATE STREET CORPORATION
Addendum Selected Financial Information
III. SUPPLEMENTAL INCOME STATEMENT INFORMATION - RECONCILIATION OF
OPERATING RESULTS
Reconciliation of Financial Results
---------------------------------------
(Dollars in millions)
---------------------------------------
Six months ended June 30, 2004
---------------------------------------
Operating Reported
Results Other Results
--------------------------------------
Fee Revenue:
Servicing fees $ 1,125 $ 1,125
Management fees 300 300
Global securities lending 153 153
Foreign exchange trading 234 234
Brokerage fees 81 81
Processing fees and other 165 165
------------ -------------
Total fee revenue 2,058 2,058
Net Interest Revenue:
Net Interest Revenue 452 $ (23) 429
Provision for loan losses - - -
------------ ----------- -------------
Net interest revenue
after provision for
loan losses 452 (23)(1) 429
Gains on the sales of
available-for-sale
investment securities, net 19 - 19
------------ ----------- -------------
Total Revenue 2,529 (23) 2,506
Operating Expenses:
Salaries and employee
benefits 972 - 972
Information systems and
communications 269 - 269
Transaction processing
services 199 - 199
Occupancy 174 - 174
Merger and integration
costs - 34(2) 34
Other 213 - 213
------------ ----------- -------------
Total operating
expenses 1,827 34 1,861
------------ ----------- -------------
Income before income
taxes 702 (57) 645
Income taxes 220 (12)(3) 208
Taxable-equivalent
adjustment 23 (23)(1) -
------------ -------------------------
Net Income $ 459 $ (22) $ 437
============ =========== =============
Diluted Earnings Per Share$ 1.35 $ (.07) $ 1.28
Average Diluted Shares (in
thousands) 341,232 341,232
Return on equity 15.6 % 14.9 %
Notes:
Reported results agree with the Corporation's Consolidated
Statement of Income.
(1) Taxable-equivalent adjustment is not included in reported
results.
(2) Merger and integration costs associated with the acquisition
of the GSS business.
(3) Reflects the tax benefit associated with the merger and
integration costs.
STATE STREET CORPORATION
Addendum Selected Financial Information
IV. SUPPLEMENTAL INCOME STATEMENT INFORMATION - RECONCILIATION OF
REPORTED RESULTS TO NON-GAAP MEASURES
Income Income
Total Before Tax Earnings
Total Operating Income Expense Net Per
Revenue Expenses Taxes (Benefit) Income Share
----------------- ------ --------- ------ --------
Three months ended June 30, 2004
Reported results -
GAAP $1,287 $ 953 $ 334 $ 114 $ 220 $ .65
Non-operating
business
activities:
Merger and
integration costs - (16) 16 5 11 .03
------ ------- ----- -------- ----- -------
Total non-operating
business
activities - (16) 16 5 11 .03
Taxable-equivalent
adjustment 12 - 12 12 - -
------ ------- ----- -------- ----- -------
Operating results $1,299 $ 937 $ 362 $ 131 $ 231 $ .68
====== ======= ===== ======== ===== =======
Three months ended June 30, 2003
Reported results -
GAAP $1,082 $ 1,139 $ (57) $ (34) $ (23) $ (.07)
Results of the
divested Private
Asset Management
business (19) (11) (8) (3) (5) (.02)
Non-operating
business
activities:
Loss on the sale of
certain real
estate sold 13 - 13 5 8 .02
Restructuring costs - (292) 292 102 190 .57
Merger and
integration costs - (18) 18 6 12 .04
Settlement of a
Massachusetts tax
matter - - - 13 (13) (.04)
------ ------- ----- -------- ----- -------
Total non-operating
business
activities 13 (310) 323 126 197 .59
Taxable-equivalent
adjustment 13 - 13 13 - -
------ ------- ----- -------- ----- -------
Operating results $1,089 $ 818 $ 271 $ 102 $ 169 $ .50
====== ======= ===== ======== ===== =======
STATE STREET CORPORATION
Addendum Selected Financial Information
V. SUPPLEMENTAL INCOME STATEMENT INFORMATION - OPERATING RESULTS YEAR
OVER YEAR COMPARISON
Operating results are a non-GAAP measure defined by State Street as
reported results presented on a taxable-equivalent basis excluding
the impact of a state tax matter, results of a divested business, and
significant charges such as merger and integration costs,
restructuring costs and the write-down on certain real estate.
Operating Results Operating Results
Quarter ended Six months ended
June 30, June 30,
---------------------- ------------------------
(Dollars in
millions, except
per share data) 2004 2003(1) % Change 2004 2003(2) % Change
------ ------- -------- ------- ------- --------
Operating Fee Revenue:
Servicing fees $570 $482 18% $1,125 $920 22%
Management fees 153 111 38 300 219 37
Global securities
lending 89 76 17 153 131 17
Foreign exchange
trading 116 103 13 234 175 34
Brokerage fees 36 27 33 81 57 42
Processing fees
and other 81 76 7 165 145 14
------ ------- ------- -------
Total Operating
Fee Revenue 1,045 875 19 2,058 1,647 25
Operating Net Interest Revenue:
Net interest
revenue 238 206 452 423
Provision for loan
losses - - - -
------ ------- ------- -------
Operating net
interest
revenue after
provision for
loan losses
(taxable-
equivalent
basis) 238 206 16 452 423 7
Gains on the sales
of available-for-
sale investment
securities, net 16 8 100 19 34 (44)
------ ------- ------- -------
Total Operating
Revenue 1,299 1,089 19 2,529 2,104 20
Expenses - Operating Results:
Salaries and
employee benefits 510 438 16 972 874 11
Information
systems and
communications 130 139 (6) 269 269 -
Transaction
processing
services 103 79 30 199 151 32
Occupancy 84 74 14 174 144 21
Other 110 88 25 213 165 29
------ ------- ------- -------
Total Expenses
- Operating
Results 937 818 15 1,827 1,603 14
------ ------- ------- -------
Operating
Income before
income taxes 362 271 34 702 501 40
Income taxes 119 89 220 165
Taxable-equivalent
adjustment 12 13 23 26
------ ------- ------- -------
Net Operating
Income $231 $169 37 $459 $310 48
====== ======= ======= =======
Diluted Operating
Earnings Per
Share $.68 $.50 36 $1.35 $.93 45
Notes:
(1) Reflects restatement of previously issued operating-basis
supplemental financial information to exclude the results of
the divested Private Asset Management business, including $19
million of revenue, $11 million of expenses and $.02 in
diluted operating earnings per share.
(2) Reflects restatement of previously issued operating-basis
supplemental financial information to exclude the results of
the divested Private Asset Management business, including $37
million of revenue, $23 million of expenses and $.03 in
diluted operating earnings per share.
STATE STREET CORPORATION
Addendum Selected Financial Information
V. SUPPLEMENTAL INCOME STATEMENT INFORMATION - OPERATING RESULTS
QUARTER OVER QUARTER COMPARISON
Operating results are a non-GAAP measure defined by State Street as
reported results presented on a taxable-equivalent basis excluding
merger and integration costs.
Operating Results
Quarter ended
------------------------------
(Dollars in millions, except per June 30, March 31,
share data) 2004 2004 % Change
--------- --------- ---------
Operating Fee Revenue:
Servicing fees $ 570 $ 555 3%
Management fees 153 147 4
Global securities lending 89 64 39
Foreign exchange trading 116 118 (2)
Brokerage fees 36 45 (20)
Processing fees and other 81 84 (4)
--------- ---------
Total Operating Fee Revenue 1,045 1,013 3
Operating Net Interest Revenue:
Net interest revenue 238 214
Provision for loan losses - -
--------- ---------
Operating net interest revenue
after provision for loan losses
(taxable-equivalent basis) 238 214 11
Gains on the sales of available-for-
sale investment securities, net 16 3 -
--------- ---------
Total Operating Revenue 1,299 1,230 6
Expenses - Operating Results:
Salaries and employee benefits 510 462 10
Information systems and
communications 130 139 (6)
Transaction processing services 103 96 7
Occupancy 84 90 (7)
Other 110 103 7
--------- ---------
Total Expenses - Operating
Results 937 890 5
--------- ---------
Operating Income before income
taxes 362 340 6
Income taxes 119 101
Taxable-equivalent adjustment 12 11
--------- ---------
Net Operating Income $ 231 $ 228 1
========= =========
Diluted Operating Earnings Per
Share $ .68 $ .67 1
STATE STREET CORPORATION
Addendum Selected Financial Information
VI. CONSOLIDATED STATEMENT OF CONDITION
----------------------------------------------------------------------
June 30, December 31, June 30,
(Dollars in millions) 2004 2003 2003
----------------------------------------------------------------------
Assets
Cash and due from banks $ 3,587 $ 3,376 $ 5,580
Interest-bearing deposits with
banks 28,920 21,738 22,198
Securities purchased under
resale agreements 10,228 9,447 10,657
Federal funds sold 2,050 104 1,050
Trading account assets 448 405 444
Investment securities 36,011 38,215 29,704
Loans (less allowance of $36,
$61 and $61) 5,433 4,960 5,957
Premises and equipment 1,370 1,212 1,015
Accrued income receivable 1,140 1,015 942
Goodwill 1,396 1,326 1,213
Other intangible assets 542 525 495
Other assets 2,974 5,211 3,847
------------ ------------ ------------
Total Assets $ 94,099 $ 87,534 $ 83,102
============ ============ ============
Liabilities
Deposits:
Noninterest-bearing $ 10,223 $ 7,893 $ 11,491
Interest-bearing -- U.S. 4,594 5,062 6,411
Interest-bearing -- Non-U.S. 40,530 34,561 30,454
------------ ------------ ------------
Total Deposits 55,347 47,516 48,356
Securities sold under repurchase
agreements 22,458 22,806 19,891
Federal funds purchased 1,203 1,019 1,153
Other short-term borrowings 1,428 1,437 2,035
Accrued taxes and other expenses 2,334 2,424 2,238
Other liabilities 3,072 4,363 2,668
Long-term debt 2,347 2,222 1,676
------------ ------------ ------------
Total Liabilities 88,189 81,787 78,017
Stockholders' Equity
Preferred stock, no par:
authorized 3,500,000; issued
none
Common stock, $1 par: authorized
500,000,000; issued
337,126,000, 337,132,000 and
337,135,000 337 337 337
Surplus 304 329 336
Retained earnings 5,340 5,007 4,455
Accumulated other comprehensive
(loss) income (5) 192 146
Treasury stock at cost
(1,548,000, 2,658,000 and
4,268,000 shares) (66) (118) (189)
-------------------------------------------- ------------ ------------
Total Stockholders' Equity 5,910 5,747 5,085
------------ ------------ ------------
Total Liabilities and
Stockholders' Equity $ 94,099 $ 87,534 $ 83,102
============ ============ ============
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