U.s. Bancorp · NYSE:USB
U.s. Bancorp — Barclays Global Financial Services Conference 2018
17 slides from U.s. Bancorp's conference presentation, Sep 13, 2018
Slide 1: Barclays Global Financial Services Conference 2018
Barclays Global Financial Services Conference 2018 September 13, 2018 Andy Cecere Chairman, President and CEO Terry Dolan Vice Chairman and CFO Exhibit 99.1
Slide 2: Forward-looking statements
The following information appears in accordance with the Private Securities Litigation Reform Act of 1995: Today’s presentation contains forward-looking statements about U.S. Bancorp. Statements that are not historical or current facts, including statements about beliefs and expectations, are forwar
Slide 3: U.S. Bancorp
U.S. Bancorp As of 6/30/18, except market value as of 9/7/18 NYSE TradedUSB Founded 1863 Market Value $88B Assets $461B Deposits $340B Loans $280B Payment Services and Investment Services
Slide 4: Our Advantaged Position
Our Advantaged Position Source: Company reports and Bloomberg Assets and deposits as of 6/30/18, market value as of 9/7/18 Assets Market Value Deposits
Slide 5: Our Businesses
Our Businesses Consumer & Business Banking, 40% Branch banking, small business banking, consumer lending, mortgage banking and omnichannel delivery Payment Services, 28% Retail payment solutions, global merchant acquiring and corporate payment systems Corporate & Commercial Banking, 18% Corporate ba
Slide 6: Our Strategy
Our Strategy Adapting to meet customer expectations Embracing change Leveraging technology and innovation Creating a nimble and agile environment Making it easy to do business with us Optimizing everything Building on our ethical culture Safeguarding our customers’ information Putting our customers
Slide 7: Banking is Evolving
Banking is Evolving As money movement takes center stage… The moat around lending and deposit-taking remains intact Lower barriers to entry within payments result in competition from non-banks Digital capabilities create both challenges and opportunities Loans & deposits External threats Protective
Slide 8: Thriving in This New Paradigm
Thriving in This New Paradigm Becoming central to the lives of our customers, powering their financial success with data, insights and actionable advice Leveraging digital to optimize customer acquisition, product delivery and back-office processes As banking continues to evolve, we are focused on t
Slide 9: Digital Everywhere
Digital Everywhere Our strategic investments and agile approach enable us to deliver better products, faster. Vast amounts of KYC data support the use of artificial intelligence and predictive analytics Enterprise Landing Zone We take a rapid, iterative, customer-centered approach to product develop
Slide 10: Optimization of Our Distribution Model
Optimization of Our Distribution Model We are bringing the best of the bank to all of our customers, regardless of where they live. We have a unique branch distribution model. Metro In-store/ On-site Community We are further optimizing the number, location, size and staffing of our branches.
Slide 11: Optimization of Business Processes
Optimization of Business Processes We are leveraging technology to modernize our platforms and automate processes. We are breaking down silos and optimizing everywhere to drive efficiency. We are adopting agile across all of our businesses to transform the customer experience and accelerate time-to-
Slide 12: Measuring Success in the Digital Banking Era
Measuring Success in the Digital Banking Era Leveraging digital to… …results in loyal customers, deeper relationships and bigger share of the market. Serve our customers when, where and how they prefer Make it easy to do business with us Become central to the lives of our customers
Slide 13: Financial Update
Financial Update 16.5% Revised Target** Return on Average Common Equity Industry-leading Returns 2017 ROACE vs Peers 13.5% Full-year 2017 ROACE excludes notable items * Non-GAAP, see slide 17 for calculation Source: company reports; peers include: BAC, BBT, FITB, JPM, KEY, PNC, RF, STI and WFC 17.5%
Slide 14: 3Q18 Guidance
3Q18 Guidance Net interest income Noninterest income Operating leverage Credit quality Tax rate
Slide 15: Appendix
Appendix
Slide 16: Non-GAAP Financial Measures
Non-GAAP Financial Measures * Includes net interest income on a taxable-equivalent basis *
Slide 17: Non-GAAP Financial Measures
Non-GAAP Financial Measures (1) Notable items include: $910 million reduction in income tax expense due to tax reform legislation, $608 million legal and regulatory accrual, $105 million (after-tax) contribution to the U.S. Bank Foundation and $47 million (after-tax) one-time bonus to certain eligib
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