Err:502

Company Name:
Ticker:
Last Historical Year:
Valuation Date:

JPMorgan Chase & Co.

JPM
12/31/2009
12/31/2009

Month Multiplier:
Days in Year:
Conversion Units:

29
360
1000

Stock, Option & RSU Information:

Common Shares Outstanding:
Current Share Price:

Type:
Options
RSU

Exercise
Price:
$
45.83
$
29.32

# Outstanding:
266.568
221.265

Diluted Shares:

3,973.0
41.67

4,194.3

Blue indicates hard-coded numbers and inp

Black indicates formulas.
Green indicates links from other worksheet

Minimum Tier 1 Common Capital:

hard-coded numbers and inputs.

formulas.
links from other worksheets.

Common Capital:

9.0%

BIWS:
MS equity research,
07.20.2010.

JPMorgan Chase & Co. - Summary and Key Ratios

($ in Millions)
December 30,
Income Statement:
Non-Interest Income:
Net Interest Income:
Total Net Revenue:

2005
$

34,193
19,555
53,748

Provision for Credit Losses:

Non-Interest Expenses:
Normalized Net Income:
Normalized NI to Common:
Diluted EPS:
Dividends Per Comm. Share:
BV Per Common Share:
TBV Per Common Share:

2006
$
$

3,483
38,426
$

8,254
8,241
2.32
1.36
30.71
15.87

Balance Sheet Data:

Trading Assets:
Securities:
Net Loans:
Total Assets:
Deposits:
Long-Term Debt:
Comm. Stockholders' Equity:
Total Stockholders' Equity:

$
$

Risk-Weighted Assets:
Total Adjusted Avg. Assets:

7.0%
8.5%
12.0%
6.3%
71.5%

298,377
47,600
412,058
1,198,942
554,991
108,357
107,072
107,211
850,643
1,152,546

$
$

3,270
38,281

Financial & Capital Ratios:

Return on Equity:
Return on Common Equity:
Return on Tangible Common Equity:
Return on Assets:
Return on Tangible Assets:
Tier 1 Common Ratio:
Tier 1 Capital Ratio:
Total Capital Ratio:
Tier 1 Leverage Ratio:
Overhead Ratio:

40,195
21,242
61,437

Historical
2007

13,649
13,645
3.82
1.36
33.45
18.29

44,966
26,406
71,372
6,864
41,703

$
$

15,365
14,924
4.33
1.48
36.59
21.34

12.2%
12.2%
21.7%
1.07%
1.11%

12.9%
12.5%
21.4%
1.05%
1.09%

7.3%
8.7%
12.3%
6.2%
62.3%

7.0%
8.4%
12.6%
6.0%
58.4%

365,738
91,975
475,848
1,351,520
638,788
133,421
115,790
115,790
935,909
1,308,699

491,409
85,450
510,140
1,562,147
740,728
183,862
123,221
123,221
1,051,879
1,473,541

torical
2008
$
$

28,473
38,779
67,252

2009
$

49,282
51,152
$ 100,434

20,979
43,500
$
$

3,699
2,836
0.81
1.52
36.15
21.79

2010
$

48,611
52,780
$ 101,390

32,015
52,352
$
$

11,652
8,698
2.24
0.20
39.88
26.44

2011
$
$

17,315
60,898
$
$

16,224
14,576
3.51
0.33
44.13
30.83

50,030
46,236
96,266

Projected
2012
$
$

10,363
57,747
$
$

19,710
17,982
4.55
0.58
49.19
34.63

51,891
44,174
96,065

2013
$

53,841
46,978
$ 100,819

7,276
57,545
$
$

21,871
20,143
5.44
1.47
54.31
39.19

6,087
60,269
$
$

24,124
22,396
6.23
2.04
59.90
44.52

2.6%
2.2%
3.7%
0.20%
0.20%

7.0%
6.0%
9.3%
0.55%
0.57%

9.4%
8.8%
13.0%
0.80%
0.82%

10.9%
10.4%
14.9%
0.96%
0.99%

11.8%
11.4%
16.1%
1.05%
1.07%

12.3%
11.9%
16.4%
1.12%
1.15%

7.0%
10.9%
14.8%
6.9%
64.7%

8.8%
11.1%
14.8%
6.9%
52.1%

9.6%
11.9%
15.8%
7.4%
60.1%

9.6%
11.8%
15.7%
7.4%
60.0%

9.5%
11.5%
14.9%
7.7%
59.9%

9.6%
11.5%
14.4%
8.1%
59.8%

509,983
205,943
721,734
2,175,052
1,009,277
270,683
134,945
166,884

$ 411,128
360,390
601,856
2,031,989
938,367
266,318
157,213
165,365

1,244,659
1,966,895

1,198,006
1,933,767

370,015
360,390
640,443
2,038,056
909,861
269,319
172,816
180,968
1,243,930
1,982,502

351,514
342,371
680,687
2,057,264
932,161
269,208
173,205
181,357
1,254,003
1,994,940

351,514
325,252
725,280
2,123,184
995,749
268,852
181,571
189,723
1,363,976
2,038,105

369,090
325,252
758,238
2,190,898
1,033,412
263,520
194,568
202,720
1,491,322
2,105,454

2014
$

58,386
45,898
$ 104,284
5,541
62,117

$
$

25,638
23,910
6.80
2.61
65.65
49.98

12.3%
11.9%
16.0%
1.14%
1.17%
9.5%
11.2%
13.9%
8.4%
59.6%

405,999
341,515
793,580
2,306,382
1,077,455
258,589
207,546
215,698
1,640,884
2,197,470

JPMorgan Chase & Co. - Tier 1 Capital and Total Capital Calculations
($ in Millions)
Historical
December 30,
2005
2006
2007
Tier 1 Capital:
Stockholders' Equity:
$
107,211 $
115,790 $
123,221
Less: Preferred Stock:
139
Common Stockholders' Equity: $ 107,072 $ 115,790 $ 123,221
AOCI Adjustments:
618
1,562
925
Less: Goodwill, Net DTLs:
Less: Fair Value DVA:
Less: Investments in Subsid.:
Less: Non-Qualifying Intang.:
Tier 1 Common Capital:
Preferred Stock:
Qualifying Hybrid Securities
& Non-Controlling Interests:
Total Tier 1 Capital:
% Growth:

% Non-Qualifying Intang.:
Tier 2 Capital:
Long-Term Debt & Other:
Qualifying Allowance for LL:
Adjustments:
Total Tier 2 Capital:
% Growth:
% Qualifying CL Provisions:
Total Capital:
% Growth:
Risk-Weighted Assets:
Total Adj. Avg. Assets:
RWA % Average IEA:
RWA % Growth:
Total Assets:
Tangible Assets:
Tangible Common Equity:

43,621
401
3,993
59,675
139

45,186
420
3,661
68,085
-

12,660
72,474 $
5.6%

12,970
81,055 $
11.8%

49.3%

50.1%

22,733
7,490
(260)
29,963 $
6.3%

26,613
7,803
(206)
34,210 $
14.2%

45,270
882
782
3,471
73,741
15,005
88,746
9.5%
56.9%

32,817
10,084
595
43,496
27.1%

105.6%

107.2%

109.2%

$ 102,437
5.8%
850,643
1,152,546

$ 115,265
12.5%
935,909
1,308,699

$ 132,242
14.7%
1,051,879
1,473,541

94.6%
7.5%

94.0%
10.0%

94.0%
12.4%

$ 1,198,942
1,150,927
59,057

$ 1,351,520
1,302,253
66,523

$ 1,562,147
1,511,742
72,816

Tier 1 Common Ratio:

Tier 1 Capital Ratio:
Total Capital Ratio:
Tier 1 Leverage Ratio:

7.0%
8.5%
12.0%
6.3%

7.3%
8.7%
12.3%
6.2%

7.0%
8.4%
12.6%
6.0%

torical
2008

2009

166,884
31,939
$ 134,945
5,084

$ 165,365
8,152
$ 157,213
75

46,417
2,358
679
3,667
86,908
31,939

46,630
912
802
3,660
$ 105,284
8,152

48,357
912
802
2,966
$ 119,779
8,152

48,357
912
802
2,332
$ 120,802
8,152

48,357
912
802
1,764
$ 129,736
8,152

48,357
912
802
1,267
$ 143,230
8,152

17,257
$ 136,104
53.4%

19,535
$ 132,971
(2.3%)

19,535
$ 147,466
10.9%

19,535
$ 148,489
0.7%

19,535
$ 157,423
6.0%

19,535
$ 170,917
8.6%

65.7%

79.2%

80.0%

80.0%

80.0%

80.0%

28,977
19,713
(171)
48,519 $
10.0%

28,977
19,429
(171)
48,235 $
(0.6%)

28,977
17,225
(171)
46,031 $
(4.6%)

31,659
17,187
(230)
48,616 $
11.8%

2010
$

180,968
8,152
$ 172,816
-

28,977
15,296
(171)
44,102 $
(9.3%)

2011

Projected
2012

181,357
8,152
$ 173,205
-

189,723
8,152
$ 181,571
-

2013
$

202,720
8,152
$ 194,568
-

28,977
15,138
(171)
43,944
(4.5%)

74.2%

48.4%

60.0%

70.0%

80.0%

90.0%

$ 184,720
39.7%
1,244,659
1,966,895

$ 177,073
(4.1%)
1,198,006
1,933,767

$ 195,984
10.7%
1,243,930
1,982,502

$ 196,724
0.4%
1,254,003
1,994,940

$ 203,455
3.4%
1,363,976
2,038,105

$ 214,861
5.6%
1,491,322
2,105,454

90.6%
18.3%

72.6%
(3.7%)

75.0%
3.8%

75.0%
0.8%

80.0%
8.8%

85.0%
9.3%

$ 2,175,052
2,121,931
81,824

### $ 2,038,056 $ 2,057,264

1,979,985
1,985,019
2,004,861
105,209
119,779
120,802

$ 2,123,184
2,071,349
129,736

$ 2,190,898
2,139,560
143,230

7.0%
10.9%
14.8%
6.9%

8.8%
11.1%
14.8%
6.9%

9.6%
11.9%
15.8%
7.4%

9.6%
11.8%
15.7%
7.4%

9.5%
11.5%
14.9%
7.7%

9.6%
11.5%
14.4%
8.1%

2014
$

215,698
8,152
$ 207,546
48,357
912
802
931
$ 156,544
8,152
19,535
$ 184,231
7.8%
80.0%

28,977
14,511
(171)
43,317
(1.4%)
100.0%

$ 227,548
5.9%
1,640,884
2,197,470
90.0%
10.0%
$ 2,306,382
2,255,380
156,544

9.5%
11.2%
13.9%
8.4%

JPMorgan Chase & Co. - Loan Portfolio

($ in Millions)
December 30,
US Wholesale Loans:
Commercial and Industrial:
Real Estate:
Financial Institutions
Government Agencies:
Other:
Total US Wholesale Loans:
Non-US Wholesale Loans:
Commercial and Industrial:
Real Estate:
Financial Institutions
Government Agencies:
Other:
Total Non-US Wholesale Loans:
Total Wholesale Loans:
Commercial and Industrial:
Real Estate:
Financial Institutions
Government Agencies:
Other:
Total Wholesale Loans:
Total Consumer Loans:
Home Equity:
Mortgage:
Auto Loans:
Credit Card Receivables:
Other:
Total Consumer Loans:
Total Loans:

2005
$

43,578
16,505
13,681
3,709
34,592
112,065

Historical - Net of Charge-Offs

2006
2007
2008
$

48,500
18,047
15,632
4,148
32,359
118,686

70,081
15,977
15,113
5,770
26,312
133,253

2009

74,153
61,890
20,953
5,919
23,861
186,776

$ 51,113
54,970
13,557
5,634
23,811
149,085

2010
$

56,224
60,467
14,235
6,197
25,002
162,125

Projected - Prior to Charge-Offs

2011
2012
2013
$

60,441
65,002
14,947
6,817
26,252
173,459

64,974
69,877
15,694
7,328
27,564
185,438

68,223
73,371
16,086
7,878
28,253
193,812

2014
$

71,634
77,040
16,488
8,272
28,960
202,394

18,545
1,393
8,093
1,296
8,719
38,046

22,378
2,325
19,174
2,543
18,636
65,056

33,829
3,632
17,245
720
24,397
79,823

35,291
2,811
17,552
602
19,012
75,268

20,188
2,270
11,848
1,707
19,077
55,090

21,702
2,440
12,440
2,048
20,031
58,662

23,330
2,623
13,062
2,356
21,032
62,403

25,079
2,820
13,716
2,591
22,084
66,290

26,333
2,961
14,058
2,850
23,188
69,391

27,650
3,109
14,410
3,135
24,348
72,652

62,123
17,898
21,774
5,005
43,311
150,111

70,878
20,372
34,806
6,691
50,995
183,742

103,910
19,609
32,358
6,490
50,709
213,076

109,444
64,701
38,505
6,521
42,873
262,044

71,301
57,240
25,405
7,341
42,888
204,175

77,926
62,907
26,675
8,246
45,032
220,787

83,771
67,625
28,009
9,173
47,284
235,862

90,054
72,697
29,409
9,920
49,648
251,728

94,556
76,332
30,145
10,728
51,442
263,203

99,284
80,149
30,898
11,407
53,307
275,046

73,866
58,959
46,081
71,738
18,393
269,037
$419,148

85,730
59,668
41,009
85,881
27,097
299,385
$483,127

94,832
56,031
42,350
84,352
28,733
306,298
$519,374

142,890
157,078
42,603
104,746
35,537
482,854
$744,898

127,945
143,129
46,031
78,786
33,392
429,283
$633,458

140,740
157,442
50,634
84,695
35,062
468,572
$689,359

151,295
169,250
55,698
91,047
36,815
504,104
$739,966

162,642
181,944
61,267
95,599
38,655
540,108
$791,836

170,774
191,041
65,862
100,379
39,622
567,679
$830,882

179,313
200,593
70,802
105,398
40,612
596,719
$871,764

Loan Growth Rates:

US Wholesale Loans:
Commercial and Industrial:
Real Estate:
Financial Institutions
Government Agencies:
Other:
Total US Wholesale Loans:
Non-US Wholesale Loans:
Commercial and Industrial:
Real Estate:
Financial Institutions
Government Agencies:
Other:
Total Non-US Wholesale Loans:
Total Consumer Loans:
Home Equity:
Mortgage:
Auto Loans:
Credit Card Receivables:
Other:
Total Consumer Loans:
Total Loans:

11.3%
9.3%
14.3%
11.8%
(6.5%)
5.9%

44.5%
(11.5%)
(3.3%)
39.1%
(18.7%)
12.3%

5.8%
287.4%
38.6%
2.6%
(9.3%)
40.2%

(31.1%)
(11.2%)
(35.3%)
(4.8%)
(0.2%)
(20.2%)

10.0%
10.0%
5.0%
10.0%
5.0%
8.7%

7.5%
7.5%
5.0%
10.0%
5.0%
7.0%

7.5%
7.5%
5.0%
7.5%
5.0%
6.9%

5.0%
5.0%
2.5%
7.5%
2.5%
4.5%

5.0%
5.0%
2.5%
5.0%
2.5%
4.4%

20.7%
66.9%
136.9%
96.2%
113.7%
71.0%

51.2%
56.2%
(10.1%)
(71.7%)
30.9%
22.7%

4.3%
(22.6%)
1.8%
(16.4%)
(22.1%)
(5.7%)

(42.8%)
(19.2%)
(32.5%)
183.6%
0.3%
(26.8%)

7.5%
7.5%
5.0%
20.0%
5.0%
6.5%

7.5%
7.5%
5.0%
15.0%
5.0%
6.4%

7.5%
7.5%
5.0%
10.0%
5.0%
6.2%

5.0%
5.0%
2.5%
10.0%
5.0%
4.7%

5.0%
5.0%
2.5%
10.0%
5.0%
4.7%

16.1%
1.2%
(11.0%)
19.7%
47.3%
11.3%
15.3%

10.6%
(6.1%)
3.3%
(1.8%)
6.0%
2.3%
7.5%

50.7%
180.3%
0.6%
24.2%
23.7%
57.6%
43.4%

(10.5%)
(8.9%)
8.0%
(24.8%)
(6.0%)
(11.1%)
(15.0%)

10.0%
10.0%
10.0%
7.5%
5.0%
9.2%
8.8%

7.5%
7.5%
10.0%
7.5%
5.0%
7.6%
7.3%

7.5%
7.5%
10.0%
5.0%
5.0%
7.1%
7.0%

5.0%
5.0%
7.5%
5.0%
2.5%
5.1%
4.9%

5.0%
5.0%
7.5%
5.0%
2.5%
5.1%
4.9%

JPMorgan Chase & Co. - Charge-Offs & Loan Loss Reserves

($ in Millions)
Historical
December 30,
2005
2006
2007
2008
2009
LL Balance at Beginning of Year:
$
7,320 $
7,090 $
7,279 $
9,234 $ 23,164
Additions from M&A:
2,535
Provision for Loan Losses:
3,575
3,153
6,538
21,237
31,735
US Charge-Offs:
Commercial and Industrial:
$
154 $
80 $
34 $
183 $ 1,233
Real Estate:
2
10
46
217
700
Financial Institutions
2
1
9
17
671
Government Agencies:
2
10
Other:
64
36
81
35
151
Consumer:
4,604
3,635
5,181
10,140
20,638
Total US Charge-Offs:
4,826
3,764
5,361
10,592
23,393
Non-US Charge-Offs:
Commercial and Industrial:
32
43
2
40
64
Real Estate:
Financial Institutions
29
66
Government Agencies:
Other:
1
14
3
341
Consumer:
10
63
1
103
154
Total Non-US Charge-Offs:
43
120
6
172
625
Total Charge-Offs:
4,869
3,884
5,367
10,764
24,018
US Recoveries:
Commercial and Industrial:
(110)
(89)
(48)
(60)
(53)
Real Estate:
(4)
(4)
(1)
(5)
(12)
Financial Institutions
(6)
(4)
(3)
(2)
(3)
Government Agencies:
Other:
(46)
(48)
(40)
(29)
(25)
Consumer:
(717)
(622)
(716)
(793)
(941)
Total US Recoveries:
(883)
(767)
(808)
(889)
(1,034)
Non-US Recoveries:
Commercial and Industrial:
(122)
(26)
(8)
(16)
(1)
Real Estate:
Financial Institutions
(7)
(11)
(1)
Government Agencies:
(15)
Other:
(22)
(26)
(12)
(7)
Consumer:
(1)
(12)
(17)
(18)
Total Non-US Recoveries:
(167)
(75)
(21)
(40)
(19)
Total Recoveries:
(1,050)
(842)
(829)
(929)
(1,053)
Net Charge-Offs:
3,819
3,042
4,538
9,835
22,965
Allowance for Purch. Porfolios:
17
75
6
Change in Accounting Principles:
(56)
Other:
(3)
3
11
(13)
(332)
LL Balance at Year-End:
$ 7,090 $ 7,279 $ 9,234 $ 23,164 $ 31,602

2010
$ 31,602
17,315

2011
$ 32,854
10,363

Projected
2012
$ 27,756
7,276

562
454
427
125
15,229
16,796

604
325
224
105
15,123
16,382

650
349
78
83
13,503
14,663

512
220
16
85
11,354
12,186

358
77
16
58
8,951
9,460

33
62
300
395
17,192

35
52
263
350
16,732

25
41
221
287
14,950

26
28
174
228
12,415

14
14
122
150
9,610

(56) $
(60) $
(97) $
(136) $
(143)
(13)
(14)
(15)
(16)
(17)
(3)
(3)
(3)
(4)
(4)
(25)
(32)
(36)
(40)
(43)
(1,031)
(1,159)
(1,296)
(1,419)
(1,551)
(1,128)
(1,269)
(1,448)
(1,615)
(1,759)

2013
21,531
6,087

2014
16,820
5,541

(1) $
(1) $
(1) $
(1) $
(1)
(1)
(1)
(1)
(1)
(1)
(1,130)
(1,270)
(1,450)
(1,616)
(1,760)
16,062
15,462
13,501
10,798
7,850
$ 32,854 $ 27,756 $ 21,531 $ 16,820 $ 14,511

Charge-Offs & Recoveries as % of Loan Balances:

Provision for Loan Losses as % of
Average Loan Balances:

0.87%

0.69%

1.36%

3.61%

4.65%

2.65%

1.50%

1.00%

0.80%

0.70%

Total Consumer Gross Loans:

Total Consumer Charge-Offs:
Total Consumer Recoveries:

269,037
4,614
(718)

299,385
3,698
(634)

306,298
5,182
(716)

482,854
10,243
(810)

429,283
20,792
(959)

468,572
15,229
(1,031)

504,104
15,123
(1,159)

540,108
13,503
(1,296)

567,679
11,354
(1,419)

596,719
8,951
(1,551)

0.35%
0.01%
0.01%
0.00%
0.19%
1.72%
1.27%

0.16%
0.06%
0.01%
0.05%
0.11%
1.24%
0.92%

0.05%
0.29%
0.06%
0.17%
0.31%
1.69%
1.22%

0.25%
0.35%
0.08%
0.00%
0.15%
2.12%
1.60%

2.41%
1.27%
4.95%
0.00%
0.63%
4.84%
4.07%

1.00%
0.75%
3.00%
0.00%
0.50%
3.25%
2.66%

1.00%
0.50%
1.50%
0.00%
0.40%
3.00%
2.42%

1.00%
0.50%
0.50%
0.00%
0.30%
2.50%
2.02%

0.75%
0.30%
0.10%
0.00%
0.30%
2.00%
1.60%

0.50%
0.10%
0.10%
0.00%
0.20%
1.50%
1.18%

0.17%
0.00%
0.00%
0.00%
0.01%
0.00%
0.09%

0.19%
0.00%
0.00%
0.00%
0.08%
0.00%
0.09%

0.01%
0.00%
0.00%
0.00%
0.01%
0.00%
0.01%

0.11%
0.00%
0.17%
0.00%
0.00%
0.00%
0.09%

0.32%
0.00%
0.56%
0.00%
1.79%
0.00%
0.85%

0.15%
0.00%
0.50%
0.00%
1.50%
0.00%
0.67%

0.15%
0.00%
0.40%
0.00%
1.25%
0.00%
0.56%

0.10%
0.00%
0.30%
0.00%
1.00%
0.00%
0.43%

0.10%
0.00%
0.20%
0.00%
0.75%
0.00%
0.33%

0.05%
0.00%
0.10%
0.00%
0.50%
0.00%
0.21%

(0.25%)
(0.02%)
(0.04%)
0.00%
(0.13%)
(0.27%)
(0.23%)

(0.18%)
(0.02%)
(0.03%)
0.00%
(0.15%)
(0.21%)
(0.19%)

(0.07%)
(0.01%)
(0.02%)
0.00%
(0.15%)
(0.23%)
(0.18%)

(0.08%)
(0.01%)
(0.01%)
0.00%
(0.12%)
(0.17%)
(0.14%)

(0.10%)
(0.02%)
(0.02%)
0.00%
(0.10%)
(0.22%)
(0.18%)

(0.10%)
(0.02%)
(0.02%)
0.00%
(0.10%)
(0.22%)
(0.18%)

(0.10%)
(0.02%)
(0.02%)
0.00%
(0.12%)
(0.23%)
(0.19%)

(0.15%)
(0.02%)
(0.02%)
0.00%
(0.13%)
(0.24%)
(0.20%)

(0.20%)
(0.02%)
(0.02%)
0.00%
(0.14%)
(0.25%)
(0.21%)

(0.20%)
(0.02%)
(0.02%)
0.00%
(0.15%)
(0.26%)
(0.22%)

(0.66%)
0.00%
(0.09%)
(1.16%)

(0.12%)
0.00%
(0.06%)
0.00%

(0.02%)
0.00%
(0.01%)
0.00%

(0.05%)
0.00%
0.00%
0.00%

(0.00%)
0.00%
0.00%
0.00%

(0.00%)
0.00%
0.00%
0.00%

(0.00%)
0.00%
0.00%
0.00%

(0.00%)
0.00%
0.00%
0.00%

(0.00%)
0.00%
0.00%
0.00%

(0.00%)
0.00%
0.00%
0.00%

US Charge-Offs:
Commercial and Industrial:
Real Estate:
Financial Institutions
Government Agencies:
Other:
Consumer:
Total US Charge-Offs:
Non-US Charge-Offs:
Commercial and Industrial:
Real Estate:
Financial Institutions
Government Agencies:
Other:
Consumer:
Total Non-US Charge-Offs:
US Recoveries:
Commercial and Industrial:
Real Estate:
Financial Institutions
Government Agencies:
Other:
Consumer:
Total US Recoveries:
Non-US Recoveries:
Commercial and Industrial:
Real Estate:
Financial Institutions
Government Agencies:

Other:
Consumer:
Total Non-US Recoveries:
Total Wholesale Loans:
Total Consumer Loans:
Gross Loan Balance:
Gross Loans Net of NCOs:
Average Loan Balance:
Key Metrics & Ratios:
Net Charge-Off Ratio:
Net Charge-Offs / Reserves:
Reserves / Total Loans:
NCO / Prior Year Provision:

(0.25%)
0.00%
(0.44%)
150,111
269,037
422,967
419,148
409,988

0.93%
53.86%
1.69%
N/A

(0.14%)
0.00%
(0.10%)
183,742
299,385
486,169
483,127
454,535

0.67%
41.79%
1.51%
85.09%

(0.05%)
0.00%
(0.03%)
213,076
306,298
523,912
519,374
479,679

0.95%
49.14%
1.78%
143.93%

(0.04%)
0.00%
(0.03%)
262,044
482,854
754,733
744,898
588,801

1.67%
42.46%
3.11%
150.43%

0.00%
0.00%
(0.00%)
204,175
429,283
656,423
633,458
682,885

3.36%
72.67%
4.99%
108.14%

0.00%
0.00%
(0.00%)
220,787
468,572
689,359
673,297
653,378

2.46%
48.89%
4.88%
50.61%

0.00%
0.00%
(0.00%)
235,862
504,104
739,966
708,442
690,870

2.24%
55.71%
3.92%
89.30%

0.00%
0.00%
(0.00%)
251,728
540,108
791,836
746,812
727,627

1.86%
62.70%
2.88%
130.28%

0.00%
0.00%
(0.00%)
263,203
567,679
830,882
775,059
760,935

1.42%
64.20%
2.17%
148.41%

0.00%
0.00%
(0.00%)
275,046
596,719
871,764
808,091
791,575

0.99%
54.10%
1.80%
128.96%

JPMorgan Chase & Co. - Historical and Projected Balance Sheet

($ in Millions)
Historical
2005
2006
2007
December 30,
Assets:
Cash and Due from Banks:
Deposits with Banks:
Federal Funds Sold:
Securities Borrowed:
Trading Assets:
Securities:

Loans:
Allowance for Loan Losses:
Net Loans:
Accrued Interest and AR:
Premises and Equipment:
Goodwill:
Mortgage Servicing Rights:
Other Intangible Assets:
Other Assets:
Total Assets:
Liabilities:
Deposits:
Federal Funds Purchased:
Commercial Paper:
Other Borrowed Funds:
Trading Liabilities:
AP and Other Liabilities:
Beneficial Interests:
Long-Term Debt:
Jr. Sub Debentures:
Total Liabilities:
Shareholders' Equity:
Preferred Stock:
Common Stock:
Capital Surplus:
Retained Earnings:
Accumulated OCI:
Restricted Stock Units:
Treasury Stock:
Total Shareholders' Equity:

36,670 $
21,661
133,981
74,604
298,377
47,600
419,148
(7,090)
412,058
22,421
9,081
43,621
6,452
8,107
84,309
###

40,412 $
13,547
140,524
73,688
365,738
91,975
483,127
(7,279)
475,848
22,891
8,735
45,186
7,546
7,306
58,124
###

554,991 $
125,925
13,863
10,479
145,930
78,460
42,197
108,357
11,529
###

2008

40,144 $
11,466
170,897
84,184
491,409
85,450

638,788 $
162,173
18,849
18,053
147,957
88,096
16,184
133,421
12,209
###

2009

26,895
138,139
203,115
124,000
509,983
205,943

519,374
(9,234)
510,140
24,823
9,319
45,270
8,632
6,099
74,314
###

744,898
(23,164)
721,734
60,987
10,045
48,027
9,403
5,581
111,200
###

2010

26,206
63,230
195,404
119,630
411,128
360,390

633,458
(31,602)
601,856
67,427
11,118
48,357
15,531
4,621
107,091
###

740,728 $ 1,009,277 $ 938,367 $

154,398
192,546
261,413
49,596
37,845
41,794
28,835
132,400
55,740
157,867
166,878
125,071
94,476
187,978
162,696
14,016
10,561
15,225
183,862
270,683
266,318
15,148
###
###
###

Projected
2012

2011

27,296 $
59,141
195,404
126,137
370,015
360,390
673,297
(32,854)
640,443
67,330
11,118
48,357
16,273
3,708
112,446
###

32,626 $
55,930
195,404
136,948
351,514
342,371
708,442
(27,756)
680,687
63,760
11,118
48,357
17,567
2,915
118,068
###

909,861 $
285,059
43,764
53,864
118,405
161,591
15,225
269,319
###

2013

39,830 $
49,787
220,304
146,363
351,514
325,252
746,812
(21,531)
725,280
59,745
11,118
48,357
19,456
2,205
123,971
###

932,161 $
291,843
42,507
49,591
119,515
155,857
15,225
269,208
###

2014

46,504 $
41,336
220,304
162,626
369,090
325,252
775,059
(16,820)
758,238
54,254
11,118
48,357
22,065
1,584
130,170
###

53,873
32,324
220,304
187,833
405,999
341,515
808,091
(14,511)
793,580
48,485
11,118
48,357
25,152
1,164
136,678
###

995,749 $ 1,033,412 $ 1,077,455

291,843
318,751
358,831
41,075
38,753
40,405
44,809
38,753
32,324
126,545
140,254
162,400
149,362
139,511
145,456
15,225
15,225
15,225
268,852
263,520
258,589
###
###
###

139 $
- $
- $
31,939 $
8,152 $
8,152 $
8,152 $
8,152 $
8,152 $
8,152
3,618
3,658
3,658
3,942
4,105
4,105
4,105
4,105
4,105
4,105
74,994
77,807
78,597
92,143
97,982
105,321
112,486
119,645
126,964
134,401
33,848
43,600
54,715
54,013
62,481
75,745
91,569
106,676
122,354
137,895
(626)
(1,557)
(917)
(5,687)
(91)
(91)
(91)
(91)
(91)
(91)
(217)
(68)
(68)
(68)
(68)
(68)
(68)
(4,762)
(7,718)
(12,832)
(9,249)
(7,196)
(12,196)
(34,796)
(48,696)
(58,696)
(68,696)
$ 107,211 $ 115,790 $ 123,221 $ 166,884 $ 165,365 $ 180,968 $ 181,357 $ 189,723 $ 202,720 $ 215,698

Total Liabilities & SE:

###

Balance Check:

###

OK!

###

OK!

###

OK!

###

###

###

OK!

###

OK!

###

OK!

###

OK!

OK!

1,490

1,428
(31.06%)

5.42%
1.55%
98.52%
34.36%
(7.09%)
4.78%
2,335
54.43%
1,394
27.85%

2.66%
13.69%
60.21%
3.78%
141.01%
8.19%
3,061
31.09%
1,263
49.64%

2.79%
6.74%
33.19%
(19.38%)
75.00%
10.64%
3,615
18.10%
1,050
(3.70%)

OK!

OK!

75.52%
3.31%
2.50%
48.91%
18.72%
25.85%

75.63%
3.90%
3.74%
40.45%
18.23%
27.62%

70.12%
9.55%
5.55%
32.13%
18.19%
35.40%

73.81%
5.08%
17.77%
32.72%
25.24%
36.34%

67.51%
6.60%
8.80%
30.42%
25.68%
42.04%

74.00%
6.50%
8.00%
32.00%
24.00%
40.00%

76.00%
6.00%
7.00%
34.00%
22.00%
38.00%

75.00%
5.50%
6.00%
36.00%
20.00%
36.00%

75.00%
5.00%
5.00%
38.00%
18.00%
34.00%

75.00%
5.00%
4.00%
40.00%
18.00%
32.00%

6,543
36,248

30,373
(7,775)

32,218
38,148

(7,711)
68,867

2,038,056
2,014,410
23,646

2,057,264
2,050,480
6,784

2,098,284
2,123,184
24,900
-

2,190,898
2,163,991
26,908

2,306,382
2,266,302
40,080

JPMorgan Chase & Co. - Balance Sheet Drivers

($ in Millions)
December 30,
Assets:
Cash % Deposits:
Bank Deposits % Deposits:
Sec. Borrowed % Securities:
Trading Assets % Growth:
Securities % Growth:
Accr. Interest and AR % Loans:
MSR Originated:
MSR % Growth:
Other Intang. Amortization:
Other Assets % Growth:

2005

6.33%
2.12%
80.12%
22.58%
93.22%
4.74%
1,512

5.35%

Liabilities:
Loans % Deposits:
Commercial Paper % Loans:
Other Borr. Funds % Loans:
Trading Liab. % Trading Assets:
AP & Other Liab. % Loans:
Long-Term Debt % Loans:

Historical
2007

2006

6.61%
3.90%
156.73%

Federal Funds Calculation:

Total Assets + Prior Year Fed Funds Sold:
Total L&E + Prior Year Fed Funds Purchased:
Increase in Fed Funds Sold:
Increase in Fed Funds Purchased:

2008

2009

2010

JPMorgan Chase & Co. - Interest-Earning Assets (IEA) and Interest-Bearing Liabilities (IBL)
($ in Millions)
Historical
December 30,
2005
2006
2007
2008
2009
Assets:
Deposits with Banks:
$
21,661 $
13,547 $
11,466 $
138,139 $ 63,230 $
Federal Funds Sold:
133,981
140,524
170,897
203,115
195,404
Securities Borrowed:
74,604
73,688
84,184
124,000
119,630
Trading Assets - Debt:
187,615
205,506
292,846
298,266
251,035
Securities:
47,600
91,975
85,450
205,943
360,390
Loans:
419,148
483,127
519,374
744,898
633,458
Other IE Assets:
27,404
29,510
Total Interest-Earning Assets: $ 884,609
###
###
###
###
Avg. Interest-Earning Assets: $ 899,096 $ 995,506
###
###
###
Liabilities:
Interest-Bearing Deposits:
$
383,259 $
452,323 $
Federal Funds Purchased:
125,925
162,173
Commercial Paper:
13,863
18,849
Other Borrowings & Liabilities:
93,765
102,147
Beneficial Interests:
42,197
16,184
Long-Term Debt:
108,357
133,421
Total Interest-Bearing Liabilitie $ 767,366 $ 885,097
Avg. Interest-Bearing Liabilitie $ 803,337 $ 914,282
Debt % Trading Assets:
IE Assets % Other Assets:
IB Deposits % Deposits:
Other Borrowings % Other
Liabilities & Borrowed Funds:

62.88%
0.00%
69.06%

56.19%
0.00%
70.81%

105.43%

Average Interest on IEA:

Average Interest on IBL:
Interest Rate Spread:
Net Interest Income Calculation:
Interest Income:
$
Interest Expense:
Net Interest Income:
$

535,359 $
154,398
49,596
100,181
14,016
183,862
###
###

645,058 $ 684,016 $
192,546
261,413
37,845
41,794
161,555
201,182
10,561
15,225
270,683
266,318
###
###
###
###

59.59%
0.00%
72.27%

96.23%

81.24%

5.04%
3.18%
1.86%

5.96%
4.14%
1.82%

6.42%
4.29%
2.13%

45,075 $
(25,520)
19,555 $

59,107 $
(37,865)
21,242 $

71,387 $
(44,981)
26,406 $

58.49%
24.64%
63.91%

61.06%
27.56%
72.89%

50.43%

92.10%

5.36%
2.64%
2.72%

4.04%
1.02%
3.02%

Projected
2012

2011

3.00%
6.50%
35.00%
(10.00%)
0.00%
10.00%
4,157
15.00%
913
5.00%

3.50%
6.00%
40.00%
(5.00%)
(5.00%)
9.00%
4,698
13.00%
793
5.00%

2010

2013

4.00%
5.00%
45.00%
0.00%
(5.00%)
8.00%
5,214
11.00%
710
5.00%

Projected
2012

2011

2014

4.50%
4.00%
50.00%
5.00%
0.00%
7.00%
5,788
11.00%
621
5.00%

5.00%
3.00%
55.00%
10.00%
5.00%
6.00%
6,425
11.00%
420
5.00%

2013

2014

59,141 $
195,404
126,137
222,009
360,390
673,297
28,111
###
###

55,930 $
195,404
136,948
210,909
342,371
708,442
29,517
###
###

49,787 $
220,304
146,363
210,909
325,252
746,812
30,993
###
###

41,336 $
220,304
162,626
221,454
325,252
775,059
32,542
###
###

32,324
220,304
187,833
243,600
341,515
808,091
34,170
###
###

636,903 $
285,059
43,764
193,910
15,225
269,319
###
###

652,513 $
291,843
42,507
184,903
15,225
269,208
###
###

697,024 $
291,843
41,075
174,754
15,225
268,852
###
###

723,388 $
318,751
38,753
160,437
15,225
263,520
###
###

754,218
358,831
40,405
160,002
15,225
258,589
###
###

60.00%
25.00%
70.00%

60.00%
25.00%
70.00%

90.00%

60.00%
25.00%
70.00%

90.00%

60.00%
25.00%
70.00%

90.00%

60.00%
25.00%
70.00%

90.00%

90.00%

4.50%
1.50%
3.00%

4.50%
2.00%
2.50%

4.75%
2.50%
2.25%

5.25%
3.00%
2.25%

73,018 $ 66,350 $
(34,239)
(15,198)
38,779 $ 51,152 $

74,636 $
(21,856)
52,780 $

75,240 $
(29,004)
46,236 $

80,986 $
(36,812)
44,174 $

92,111 $
(45,133)
46,978 $

100,276
(54,379)
45,898

2008

2010

2011

2013

2014

8,380 $
9,019
6,286
15,568
3,403
6,590
783
50,030 $

5.50%
3.50%
2.00%

JPMorgan Chase & Co. - Income Statement

($ in Millions Except Per Share Data)
December 30,
Non-Interest Revenue:
Investment Banking Fees:
Principal Transactions:
Securities Gains / (Losses):
Lending and Deposit Fees:
Asset Management:
Mortgage Fees & Income:
Credit Card Income:
Other Income:
Total Non-Interest Revenue:

Historical
2007

2005

2006

4,088 $
7,669
(1,336)
3,389
9,891
1,054
6,754
2,684
34,193 $

5,520 $
10,346
(543)
3,468
11,725
591
6,913
2,175
40,195 $

6,635 $
9,015
164
3,938
14,356
2,118
6,911
1,829
44,966 $

2009

5,526 $
(10,699)
1,560
5,088
13,943
3,467
7,419
2,169
28,473 $

7,087
9,796
1,110
7,045
12,540
3,678
7,110
916
49,282

7,796 $
9,764
6,310
14,288
3,416
6,212
824
48,611 $

66,350 $
(15,198)
51,152 $

74,636 $
(21,856)
52,780 $

Interest Income:
Interest Expense:
Net Interest Income:

$
$

45,075 $
(25,520)
19,555 $

59,107 $
(37,865)
21,242 $

71,387 $
(44,981)
26,406 $

73,018 $
(34,239)
38,779 $

Total Net Revenue:

53,748

61,437

71,372

67,252

22,746
3,038
4,315
6,053
1,913
3,740
1,263
432
43,500

Provision for Credit Losses:

3,483

3,270

6,864

20,979

Non-Interest Expenses:
Compensation Expense:
$
Occupancy Expense:
Technology & Equipment:
Professional Services:
Marketing:
Other Expenses:
Amortization of Intangibles:
Merger Costs:
Total Non-Interest Expenses: $

18,065 $
2,269
3,602
4,162
1,917
6,199
1,490
722
38,426 $

21,191 $
2,335
3,653
3,888
2,209
3,272
1,428
305
38,281 $

22,689 $
2,608
3,779
5,140
2,070
3,814
1,394
209
41,703 $

Income Before Taxes & Gains: $

Income Tax Exp. / (Benefit):
NI Before Extra. Gains:
$
Extraordinary Gain:
Discontinued Operations:
Net Income:
$
Preferred Stock Dividends:
Accel. Amort. From TARP:
Undistributed Earnings:
Net Income to Common:
$

11,839 $
3,585
8,254 $
229
8,483 $
13
8,470 $

19,886
6,237
13,649
795
14,444
4
14,440

22,805 $
7,440
15,365 $
15,365 $
441
14,924 $

Weighted Avg. Basic Shares:

Weighted Avg. Diluted Shares:
Ending Common Shares:

3,492.0
3,557.0
3,486.7

$
$

3,470.0
3,574.0
3,461.7

3,404.0
3,445.0
3,367.4

1.36

1.36

1.48

$ 101,390

32,015

26,928
3,666
4,624
6,232
1,777
7,594
1,050
481
52,352

2,773 $
(926)
3,699 $
1,906
5,605 $
674
189
4,742 $

16,067
4,415
11,652
76
11,728
1,327
1,112
515
8,774

3,501.0
3,521.8
3,732.8

EPS Excluding Extraordinary Gains & Discontinued Operations:

Basic EPS (Excl. Gains):
$
2.36 $
3.93 $
4.38 $
Diluted EPS (Excl. Gains):
$
2.32 $
3.82 $
4.33 $
Dividends Per Common Share: $

$ 100,434

$
$
$

3,862.8
3,879.7
3,942.0

$
$

2.25
2.24

$
$

0.20

9,009 $
8,788
6,428
16,651
3,326
6,906
783
51,891 $

9,459 $
9,008
6,569
17,650
3,179
7,153
822
53,841 $

9,932
11,626
6,649
18,528
3,338
7,408
905
58,386

75,240 $
(29,004)
46,236 $

80,986 $
(36,812)
44,174 $

92,111 $
(45,133)
46,978 $

100,276
(54,379)
45,898

96,266

96,065 $ 100,819

17,315

10,363

32,552 $
4,024
5,873
7,397
2,976
7,163
913
60,898 $

30,907 $
3,821
5,576
7,023
2,826
6,801
793
57,747 $

7,276

3,718.6
3,947.9
3,521.0

3.71 $
3.51 $
0.33

3,432.0
3,702.1
3,343.1

4.84 $
4.55 $
0.58

5,541

32,368 $
4,001
5,840
7,356
2,959
7,123
621
60,269 $
$
$

3,295.7
3,593.3
3,248.4

5.87 $
5.44 $
1.47

$ 104,284

6,087

30,842 $
3,813
5,565
7,009
2,820
6,787
710
57,545 $

23,178 $ 28,157 $ 31,244 $ 34,463

6,953
8,447
9,373
10,339
16,224 $ 19,710 $ 21,871 $ 24,124
16,224 $ 19,710 $ 21,871 $ 24,124
BIWS:
BIWS:
1,648
1,728
1,728
1,728
From R BC
07.16.2010
From
repor
RBC
t.
07.16.2010 report.
14,576 $ 17,982 $ 20,143 $ 22,396
3,929.1
4,150.4
3,916.2

0.81
0.81
1.52

Projected
2012

36,626
10,988
25,638
25,638
1,728
23,910
3,204.9
3,518.1
3,161.5

6.80 $
6.23 $
2.04

33,481
4,139
6,041
7,608
3,061
7,368
420
62,117

7.46
6.80
2.61

JPMorgan Chase & Co. - Income Statement Drivers

($ in Millions Except Assets Under Supervision in Billions)
December 30,
Non-Interest Revenue:
Investment Banking % Growth:
Principal Transactions % Avg.
Trading Assets:
Lending & Deposit Fees % Avg.
Loans & Deposits:
Assets Under Supervision ($ B):
AUS % Growth:

2005

2009

2010

Projected
2012

2011

2013

2014

35.0%

20.2%

(16.7%)

28.2%

10.0%

7.5%

7.5%

5.0%

5.0%

2.6%

3.1%

2.1%

(2.1%)

2.1%

2.5%

2.5%

2.5%

2.5%

3.0%

1,149 $
3.9%

0.33%

0.33%

1,347 $
17.2%

0.34%

1,572 $
16.7%

0.42%

1,496 $
(4.8%)

0.40%

1,701 $
13.7%

1,871 $
10.0%

0.39%

0.38%

2,021 $
8.0%

2,142 $
6.0%

0.37%

0.36%

2,271 $
6.0%

2,361
4.0%

0.88%

0.94%

0.98%

0.91%

0.78%

0.80%

0.80%

0.80%

0.80%

0.80%

132,825
0.82%

145,398
0.42%

150,863
1.43%

299,968
1.54%

271,074
1.29%

298,181
1.20%

320,545
1.10%

344,586
1.00%

361,815
0.90%

379,906
0.90%

84,352
8.1%

104,746
7.8%

78,786
7.7%

84,695
7.6%

91,047
7.5%

95,599
7.4%

100,379
7.3%

105,398
7.2%

18.6%

(57.8%)

(10.0%)

(5.0%)

0.0%

5.0%

10.0%

33.8%
4.5%
6.4%
9.0%
2.8%
5.6%

26.8%
3.7%
4.6%
6.2%
1.8%
7.6%

32.1%
4.0%
5.8%
7.3%
2.9%
7.1%

32.1%
4.0%
5.8%
7.3%
2.9%
7.1%

32.1%
4.0%
5.8%
7.3%
2.9%
7.1%

32.1%
4.0%
5.8%
7.3%
2.9%
7.1%

32.1%
4.0%
5.8%
7.3%
2.9%
7.1%

Credit Card Receivables:

CC Income % Avg. Receiv.:

71,738
9.9%

85,881
8.8%

Other Income % Growth:

Non-Interest Expenses:
% of Net Revenue:
Compensation Expense:
Occupancy Expense:
Technology & Equipment:
Professional Services:
Marketing:
Other Expenses:

224.9%

(19.0%)

(15.9%)

33.6%
4.2%
6.7%
7.7%
3.6%
11.5%

34.5%
3.8%
5.9%
6.3%
3.6%
5.3%

31.8%
3.7%
5.3%
7.2%
2.9%
5.3%

30.3%

31.4%

32.6%

Effective Tax Rate:

2008

15.6%

0.36%
$

Asset Management Fees %

Avg. AUS:
Mortgage & Home Equity Loans:
Fees % Average Loans:

Historical
2007

2006

(33.4%)

27.5%

30.0%

30.0%

30.0%

30.0%

30.0%

JPMorgan Chase & Co. - Cash Flow Statement

($ in Millions)
Historical
December 30,
2005
2006
2007
Operating Activities:
Net Income:
$
8,483 $
14,444 $
15,365 $
Reconciling Adjustments:
Provision for Credit Losses:
3,483
3,270
6,864
Depreciation & Amortization:
2,828
2,149
2,427
Amortization of Intangibles:
1,490
1,428
1,394
Deferred Tax Exp. / (Benefit):
(1,791)
(1,810)
1,307
Gains on Securities:
1,336
543
(164)
Proceeds on Invest. Sales:
(1,199)
(1,540)
Stock-Based Compensation:
1,563
2,368
2,025
Origination & Loan Purchases:
(108,611)
(178,355)
(116,471)
Proceeds from Sales & Sec.:
102,602
170,874
107,350
Net Change In:
Trading Assets:
(3,845)
(61,664)
(121,240)
Securities Borrowed:
(27,290)
916
(10,496)
Accrued Interest & AR:
(1,934)
(1,170)
(1,932)
Other Assets:
(9)
(7,208)
(21,628)
Trading Liabilities:
(12,578)
(4,521)
12,681
AP & Other:
5,532
7,815
4,284
Other Operating Adjustments:
(296)
2,882
7,674
Net Cash Flow from Operations (30,236)
(49,579) (110,560)

2008

2009

5,605

6,087
3,953
621
3,400
-

5,541
4,089
420
3,517
(16,263)
-

(12,787)
15,408
10,221
(33,629)
24,061
1,012
(12,212)
23,098

133,488
4,452
(6,312)
32,182
(79,314)
(26,450)
6,167
121,897

41,113
(6,506)
97
(5,355)
(6,666)
(1,105)
(742)
62,683

18,501
(10,812)
3,570
(5,622)
1,110
(5,734)
(1,295)
55,624

(9,415)
4,015
(5,903)
7,030
(6,495)
(1,889)
41,325

(17,576)
(16,263)
5,491
(6,199)
13,709
(9,852)
(2,609)
4,888

(36,909)
(25,207)
5,769
(6,508)
22,145
5,946
(3,087)
(14,910)

19

14

10

24,909
123,750
(201,530)
20,809
(70,837)
185
1,839
(99,627)

31,143
98,450
(122,507)
34,925
(83,437)
(70)
(4,973)
(74,188)

44,414
96,806
(248,599)
27,531
(59,123)
2,128
28,850
(11,228)
(934)
(283,671)

31,415
(1,862)
2,618
43,721
(26,883)
682
(200)
(3,412)
(4,878)
3,868
45,069

82,105
36,248
12,657
56,721
(34,267)
1,659
302
(139)
(3,938)
(4,846)
6,247
152,749

113,512
(7,833)
41,412
1,070
95,141
(49,410)
365
(8,178)
(5,051)
3,028
184,056

177,331
15,250
9,186
(2,675)
72,407
(62,691)
11,500
148
25,000
7,746
(5,911)
540
247,831

Exchange Rate Effect:

Net Incr. / (Decr.) in Cash:

(387)
1,502 $

Ending Cash on Balance Sheet:

Beginning Cash Balance:
Ending Cash Balance:

36,670
35,168
36,670 $

8,168
(6,939)

2,081
(29,814)

199
3,742 $
40,412
36,670
40,412

JPMorgan Chase & Co. - Cash Flow Statement Drivers

(118,929)
(44,597)

74,829
7,082

26,895
40,144
26,895

4,089
-

87,712
114,041
(346,372)
30,434
51,251
(97)
11,228
(762)
29,355

(55,901)
(3,975)
(55,788)

3,211
-

(28,506) $
23,646
94
3,001
3,919
(5,000)
(2,960)
(5,805)

238
(689) $

1,090 $

5,330

27,296
26,206
27,296 $

32,626
27,296
32,626

26,206
26,895
26,206

6,142
(24,900)

(50,607)
(3,774)
(51,170)

(107,700) $
67,785
(76,727)
(7,275)
51,324
(55,713)
5,756
17
(25,000)
(3,422)
(1,224)
(152,179)

424
(507)
(268) $ (13,249) $
40,144
40,412
40,144 $

2014

7,276
3,767
710
3,240
17,119
-

33

104
(32,469)

2013

21,871 $

10,363
3,774
793
3,246
18,020
-

31,053
82,902
(81,749)
23,861
(40,436)
(1,039)
4,796
(12,944)

Projected
2012

19,710 $

17,315
3,975
913
3,419
-

Financing Activities:
Net Change In:
Deposits:
Fed Funds Purchased:
Comm. Paper & Borr. Funds:
Beneficial Interests:
Long-Term Debt Issuances:
Long-Term Debt Repayment:
Common Stock Issuances:
Excess Tax Benefits:
TARP Preferred Stock:
Preferred Stock:
Preferred Redemption:
Stock Repurchased:
Dividends Paid:
Other Financing, Net:
Net Cash Flow from Financing:

11,728

2011

16,224 $

32,015
2,783
1,050
(3,622)
(1,110)
3,355
(22,417)
33,902

Investing Activities:
Net Change In:
Deposits with Banks:
Fed Funds Sold:
Held-to-Maturity Securities:
Proceeds:
Available-for-Sale Securities:
Proceeds from Maturities:
Proceeds from Sales:
Purchases:
Proceeds from Sale & Sec.:
Other Net Changes in Loans:
Acquisitions:
Proceeds from Asset Sales:
Commercial Paper Maturities:
Other Investing Activ., Net:
Net Cash Flow from Investing:

2010

20,979
3,143
1,263
(2,637)
(1,560)
(1,540)
2,637
(34,902)
38,036

(51,870)
(3,767)
(74,394)

22,300 $
6,784
(5,531)
(111)
3,919
(22,600)
(3,886)
876

63,588 $
(6,214)
(356)
3,919
(13,900)
(6,764)
40,274

24,124 $

8,451
-

25,638

9,013
-

(39,046)
(3,953)
(34,548)

(40,883)
(4,089)
(35,959)

37,663 $
26,908
(8,377)
(5,332)
3,919
(10,000)
(8,447)
36,333

44,043
40,080
(4,778)
(4,931)
3,919
(10,000)
(10,096)
58,238

7,204 $

6,674

7,369

39,830
32,626
39,830 $

46,504
39,830
46,504

53,873
46,504
53,873

($ in Millions)
December 30,

2005

D&A % Revenue:
CapEx % Revenue:
SBC % Revenue:
Stock Issuances:

5.3%
N/A
2.9%
682

2006

Historical
2007

3.5%
N/A
3.9%
1,659

3.4%
N/A
2.8%
-

2008

2009

4.7%
N/A
3.9%
11,500

JPMorgan Chase & Co. - Dividends and Stock Repurchases / Issuances

($ in Millions)
Historical
December 30,
2005
2006
2007
2008

2010

2.8%
N/A
3.3%
5,756

Basic EPS:
Dividends Per Share:
Dividend Payout Ratio:
Common Dividends:
Allowed Dividends:

$
$

2.36 $
1.36 $
57.6%
4,865

Capital Available for Stock Repurchases:

Stock Repurchases / Planned:
3,412
Allowed Stock Repurchases:
Stock Repurchases & Issuances:
Ending Basic Shares:
Average Basic Shares:
Diluted EPS:
$
Trailing P/E Multiple:
Actual or Implied Stock Price:
$
Stock Repurchases:
Stock Issuances:
# Shares Repurchased:
# Shares Issued:
Net Change in Basic Shares:
Diluted Shares:
Dilution from Options:
RSU Outstanding:
Avg. Diluted Shares Outstanding:

3,492
2.32 $
17.1 x
39.69 $
(3,412)
682

3.93 $
1.36 $
34.6%
4,842

2010
$

4.38 $
1.48 $
33.8%
4,610

3,938

8,178

3,470
3.82 $
12.7 x
48.30 $

3,404
4.33 $
10.1 x
43.65 $

(3,938)
1,659

3.9%
3.9%
3.4%
3,919

2009

Pre-Dividend and Stock Repurchase Tier 1 Common:

Risk-Weighted Assets:
Minimum Tier 1 Common Required:
Capital Available for Dividends & Stock Repurchases:

(8,178)
-

0.81 $
1.52 $
187.6%
5,048

3,501
0.81 $
39.2 x
31.53 $
11,500

2.25 $
0.20 $
8.9%
468

3,942
3,863
2.24 $
18.6 x
41.67 $
5,756

2011

Projected
2012

3.9%
3.9%
3.4%
3,919

2011

3.9%
3.9%
3.4%
3,919

Projected
2012

2013
3.9%
3.9%
3.4%
3,919

2013

2014
3.9%
3.9%
3.4%
3,919

2014

126,090 $
145,560 $
148,672 $
159,949 $
174,912
1,243,930
1,254,003
1,363,976
1,491,322
1,640,884
111,954
112,860
122,758
134,219
147,680
14,137
32,700
25,914
25,730
27,232
3.71 $
0.33 $
9.0%
1,312
1,312
12,825
5,000
5,000

3,916
3,929
3.51 $
12.0 x
42.14 $

4.84 $
0.58 $
12.0%
2,158
2,158
30,542
22,600
22,600

3,521
3,719
4.55 $
11.5 x
52.38 $

5.87 $
1.47 $
25.0%
5,036
5,036
20,879
13,900
13,900

3,343
3,432
5.44 $
11.0 x
59.85 $

6.80 $
2.04 $
30.0%
6,719
6,719
19,011
10,000
10,000

3,248
3,296
6.23 $
11.0 x
68.56 $

7.46
2.61
35.0%
8,368
8,368
18,864
10,000
10,000

3,161
3,205
6.80
10.5 x
71.36

(5,000)
3,919

(22,600)
3,919

(13,900)
3,919

(10,000)
3,919

(10,000)
3,919

(119.3)
93.5
(25.8)

(478.2)
82.9
(395.3)

(247.7)
69.8
(177.9)

(155.8)
61.0
(94.7)

(142.9)
56.0
(86.9)

221.3
4,150

8.1
221.3
3,948

48.9
221.3
3,702

76.3
221.3
3,593

91.9
221.3
3,518

Comparable Companies - US-Based Diversified Commercial Banks with Over $1 Trillion

($ in Millions Except Per Share Amounts)
Operating Statistics
Share

Capitalization & Assets

Equity
Tangible

Company Name
Citigroup Inc.
Bank of America Corporation
Wells Fargo & Company

Price(1)
$
3.31
15.06
26.99

Value
Book Value(2)
$ 94,258 $
118,282
151,082
95,896
139,828
78,489

Maximum
75th Percentile
Median
25th Percentile
Minimum

$ 26.99
21.03
$ 15.06
9.19
3.31

$ 151,082
145,455
$139,828
117,043
94,258

JPMorgan Chase & Co.

$ 41.67

$174,775

Valuation Statistics
Share

$
$

118,282
107,089
95,896
87,193
78,489

104,235

Capitalization & Assets

Equity
Tangible

Company Name
Citigroup Inc.
Bank of America Corporation
Wells Fargo & Company

Price(1)
$
3.31
15.06
26.99

Value
Book Value(2)
$ 94,258 $
118,282
151,082
95,896
139,828
78,489

Maximum
75th Percentile
Median
25th Percentile
Minimum

$ 26.99
21.03
$ 15.06
9.19
3.31

$ 151,082
145,455
$139,828
117,043
94,258

JPMorgan Chase & Co.

$ 41.67

$174,775

(1)
(2)
(3)
(4)

$
$

118,282
107,089
95,896
87,193
78,489

104,235

Share Prices as of December 31, 2009.

Tangible Book Value excludes Preferred Stock, Non-Controlling Interests, Goodwill, and non-MS
EPS excludes discontinued operations and other one-time charges.
Tangible Equity excludes Preferred Stock, Non-Controlling Interests, Goodwill, and non-MSR Int

al Banks with Over $1 Trillion in Assets

ation & Assets

Total
Assets
$ 1,856,646
2,223,299
1,243,646

Earnings Per Share (EPS)(3)

Actual
Projected
2009
2010
(0.76) $
0.39
(0.40)
1.27
1.75
2.21

$ 2,223,299 $
2,039,973
### $
1,550,146
1,243,646
### $

ation & Assets

Total
Assets
$ 1,856,646
2,223,299
1,243,646

1.75 $
0.68
(0.40) $
(0.58)
(0.76)
2.24

Actual

2.21
1.74
1.27
0.83
0.39

3.51

2011
0.41
1.83
3.74

3.74
2.79
1.83
1.12
0.41

4.55

Price / EPS(3)
Projected

2009

Tangible BV Per Share(2)

Actual
Projected
2009
4.15
11.54
14.88

2010
4.25
13.68
15.92

14.88
13.21
11.54
7.85
4.15

15.92
14.80
13.68
8.97
4.25

26.44

30.83

Price / Tangible BV Per Share(2)

Actual
Projected

NM
NM
15.4 x

2010
8.5 x
11.9 x
12.2 x

2011
8.1 x
8.2 x
7.2 x

2009
0.8 x
1.3 x
1.8 x

2010
0.8 x
1.1 x
1.7 x

$ 2,223,299
2,039,973
###
1,550,146
1,243,646

15.4 x
15.4 x
15.4 x
15.4 x
15.4 x

12.2 x
12.0 x
11.9 x
10.2 x
8.5 x

8.2 x
8.2 x
8.1 x
7.6 x
7.2 x

1.8 x
1.6 x
1.3 x
1.1 x
0.8 x

1.7 x
1.4 x
1.1 x
0.9 x
0.8 x

###

18.6 x

11.9 x

9.1 x

1.6 x

1.4 x

ng Interests, Goodwill, and non-MSR Intangible Assets.

erests, Goodwill, and non-MSR Intangible Assets.

BV Per Share(2)
Projected

Return on Tangible Equity(4)

Actual
Projected

2011
4.75
15.06
19.46

2009
(15.3%)
(3.5%)
11.8%

2010
9.3%
10.7%
13.9%

2011
9.1%
14.4%
19.2%

19.46
17.26
15.06
9.91
4.75

11.8%
4.2%
(3.5%)
(9.4%)
(15.3%)

13.9%
12.3%
10.7%
10.0%
9.3%

19.2%
16.8%
14.4%
11.8%
9.1%

34.63

9.3%

13.0%

14.9%

ble BV Per Share(2)

Projected
2011
0.7 x
1.0 x
1.4 x
1.4 x
1.2 x
1.0 x
0.8 x
0.7 x
1.2 x

Diversified Commercial Bank Transactions Worth Over $1 Billion Equity Value with US-B
($ in Millions Except Per Share Amounts)
Err:502

Acquirer Name
Bank of America Corporation
Wells Fargo & Company
PNC Financial Services Group, Inc.
Bank of America Corporation
JPMorgan Chase & Co.

Target Name
Merrill Lynch & Co Inc.
Wachovia Corporation
National City Corporation
Countrywide Financial Corporation
The Bear Stearns Companies, Inc.
Maximum
75th Percentile
Median
25th Percentile
Minimum

(1) Tangible Book Value excludes Preferred Stock, Non-Controlling Interests, Goodwill, and non-MS
(2) EPS excludes discontinued operations and other one-time charges.

n Equity Value with US-Based Sellers Since 1/1/2008

Purchase
Equity
Date
Value
9/15/2008 $ 48,766
10/3/2008
15,112
10/24/2008
5,618
1/11/2008
4,144
3/16/2008
1,181
$
$

48,766
15,112
5,618
4,144
1,181

Operating Metrics

Valuation Multiples

Trailing

Trailing

Total

Tangible
Book

Assets
$ 966,210
812,443
153,673
209,236
395,362

Value
$ 16,054
26,367
13,642
15,252
10,489

EPS
TBVPS
$ (22.57) $
16.83
(3.67)
13.20
(3.44)
20.94
(0.23)
26.20
1.52
71.63

$ 966,210
812,443
$395,362
209,236
153,673

ests, Goodwill, and non-MSR Intangible Assets.

(1)

26,367
16,054
$ 15,252
13,642
10,489

Trailing

(2)

1.52 $
(0.23)
(3.44) $
(3.67)
(22.57)

(1)

71.63
26.20
20.94
16.83
13.20

P / E(2)
NM
NM
NM
NM
5.3 x
5.3 x
5.3 x
5.3 x
5.3 x
5.3 x

Valuation Multiples
Trailing
P / TBV(1)
3.0 x
0.6 x
0.4 x
0.3 x
0.1 x
3.0 x
0.6 x
0.4 x
0.3 x
0.1 x

JPMorgan Chase & Co. - Dividend Discount Model

($ in Millions Except Per Share Data)
Historical
December 30,
2009
2010
2011
Normalized Net Income to Common:
$
8,698 $ 16,630 $ 18,166
% Growth:
206.7%
91.2%
9.2%
Common Dividends:
468
6,698
11,650
% Growth:
(90.7%)
1331.1%
73.9%
Payout Ratio:
5.4%
40.3%
64.1%
Beginning Common Equity:
Plus: Net Income to Common:
Plus: Stock Issuances:
Plus: Stock-Based Comp.:
Plus: Exchange Rate Effect:
Less: Stock Repurchases:
Less: Common Dividends:
Ending Common Equity:
Avg. Risk-Weighted Assets:
% Growth:
Tier 1 Common Ratio:
Return on Tangible Common Equity:

$ 134,945

$ 157,213

157,213 $ 169,484
16,630
18,166
3,919
3,919
3,419
3,246
(5,000)
(5,000)
(6,698)
(11,650)
$ 169,484 $ 178,165

1,198,006
(3.7%)

1,293,846
8.0%

1,397,354
8.0%

8.8%
9.3%

9.0%
15.0%

9.0%
15.0%

Tangible Common Equity / Tier 1 Common Capital Calculation:

Ending Common Equity:
$ 157,213 $ 169,484 $ 178,165
Less: Disallowed Intangibles:
(52,004)
(53,037)
(52,403)
Plus: Other Adjustments:
75
Total Tier 1 Common Capital:
$ 105,284 $ 116,446 $ 125,762
Discount Period:
Mid-Year Discount Period:
PV of Dividends:

0.0
$

1.0
0.5
6,383 $

2.0
1.5
10,083

Err:502

Terminal
Earnings
Growth Rate

Cost of Equity

Projected

Terminal P / TBV
Multiple

Err:502
Cost of Equity

Termin
Earnin
Growth

of Equity

DDM Assumptions
Projected
2012
2013
2014
$ 19,619 $ 18,275 $ 19,554
8.0%
(6.8%)
7.0%
12,285
11,583
12,153
5.4%
(5.7%)
4.9%
62.6%
63.4%
62.2%

Use Multiples Method?

Mid-Year Convention:
Maturity Year Begins:

Return on Tangible Common Equity:

Development:
Maturity:

178,165 $ 187,658 $ 196,669

19,619
18,275
19,554
3,919
3,919
3,919
3,240
3,400
3,517
(5,000)
(5,000)
(5,000)
(12,285)
(11,583)
(12,153)
$ 187,658 $ 196,669 $ 206,506

Minimum Tier 1 Common Ratio:

Terminal Earnings Growth Rate:
Annual Stock Repurchases:

Risk-Weighted Assets Growth:

Development:
Maturity:
Cost of Equity:

1,509,143
8.0%

1,614,783
7.0%

1,727,817
7.0%

9.0%
15.0%

9.0%
13.0%

9.0%
13.0%

187,658 $ 196,669 $ 206,506

(51,835)
(51,338)
(51,002)
$ 135,823 $ 145,330 $ 155,504

3.0
2.5
9,656 $

4.0
3.5
8,269 $

5.0
4.5
7,879

Terminal Value:
Sum of PV of Dividends:
Terminal P / TBV:
Terminal Value (Growth):
Terminal Value (Multiple):
PV of Terminal Value:
Present Value of Equity:
Diluted Shares:
Implied Share Price:
Options:

266.6

45.83

of Equity

Yes
0.50
2013

9.0%
4.9%
5,000

n Equity:
15.0%
13.0%

8.0%
7.0%
10.11%

42,270
1.50 x
245,703
233,255
144,111

$ 186,381

Discount Rate Calculation - Assumptions

10-Year US Treasury (Risk-Free Rate):

Equity Risk Premium:

4.41%
5.00%

Comparable Companies - Levered Beta Calculation

Equity
Name
Value

Citigroup Inc.
Bank of America Corporation
Wells Fargo & Company

Levered
Beta

94,258
151,082
139,828

2.64
2.27
1.35

Median

$ 139,828

2.27

JPMorgan Chase & Co.

$ 174,775

1.14

Cost of Equity Based on Comparables:

Cost of Equity Based on Historical Beta:

15.76%
10.11%

BIWS:
Per US Treasury website as of
12/31/09:
http://www.ustreas.gov/offices
/domestic-finance/debtmanagement/interestrate/ltcompositeindex_historic
al.shtml

BIWS:
Per US Treasury website as of
12/31/09:
http://www.ustreas.gov/offices
/domestic-finance/debtmanagement/interestrate/ltcompositeindex_historic
al.shtml