Exhibit 99.1

		News Release
		Contacts:
		Steve Dale		Judith T. Murphy
		Media		Investors/Analysts
		(612) 303-0784		(612) 303-0783

U.S. BANCORP REPORTS NET INCOME
FOR THE FOURTH QUARTER OF 2010

Achieves Record Total Net Revenue of $4.7 Billion

          MINNEAPOLIS, January 19, 2011 — U.S. Bancorp (NYSE: USB) today reported net income of $974 million for the fourth quarter of 2010, or $.49 per diluted common share. Earnings for the fourth quarter of 2010 were driven by record total net revenue of $4.7 billion. Included in the fourth quarter of 2010 results was a $103 million gain ($41 million after tax) from the exchange of the long-term asset management business of FAF Advisors, Inc., an affiliate of the Company, for an equity interest in Nuveen Investments and cash consideration (“Nuveen Gain”). Additional significant items included a provision for credit losses lower than net charge-offs by $25 million and net securities losses of $14 million. In total, these items increased fourth quarter 2010 diluted earnings per common share by $.03. Highlights for the fourth quarter of 2010 included:

Ø

Strong new lending activity of $65.6 billion during the fourth quarter, the highest level reported since before the fourth quarter of 2008, including:

	§		$16.0 billion of new commercial and commercial real estate commitments
	§		$21.5 billion of commercial and commercial real estate commitment renewals
	§		$2.0 billion of lines related to new credit card accounts
	§		$26.1 billion of mortgage and other retail originations
	§		$203.2 billion of new lending activity for the full year, 9.9 percent higher than 2009

Ø

Average total loan growth of 2.0 percent (.9 percent excluding acquisitions) over the fourth quarter of 2009

	§		Average total loan growth of 1.5 percent over the third quarter of 2010
	§		Average total commercial loan growth of 2.0 percent over the prior quarter

Ø

Significant growth in average deposits of 5.2 percent (5.1 percent excluding acquisitions) over the fourth quarter of 2009, including:

U.S. Bancorp Reports Fourth Quarter 2010 Results
January 19, 2011
Page 2

	§		4.8 percent growth in average noninterest-bearing deposits
	§		11.5 percent growth in average total savings deposits

	Ø		Total net revenue growth of 7.9 percent over the fourth quarter of 2009, resulting in record total net revenue of $4.7 billion
	Ø		Net interest income growth of 5.9 percent over the fourth quarter of 2009, driven by a 5.9 percent increase in average earning assets and growth in lower cost core deposit funding
	Ø		Net interest margin of 3.83 percent for the fourth quarter of 2010, equal to the fourth quarter of 2009, and lower than the 3.91 percent in the third quarter of 2010
	Ø		Strong year-over-year growth in payments-related fee income, commercial products revenue and mortgage banking revenue, driven by:

	§		Higher credit and debit card revenue (7.3 percent), corporate payment products revenue (4.2 percent) and merchant processing services revenue (3.5 percent)
	§		A 12.4 percent increase in commercial products revenue (principally syndication revenue, standby letters of credit fees and commercial loan fees)
	§		Mortgage production of $19.6 billion, leading to a 14.7 percent increase in mortgage banking revenue

Ø

Net charge-offs and nonperforming assets declined on a linked quarter basis. Provision for credit losses was $25 million less than net charge-offs.

	§		Fifth consecutive quarterly decrease in the provision for credit losses
	§		Net charge-offs declined 5.8 percent from the third quarter of 2010
	§		Nonperforming assets (excluding covered assets) decreased 6.0 percent from the third quarter of 2010
	§		Early and late stage loan delinquencies (excluding covered loans) as a percentage of ending loan balances declined in most loan categories on a linked quarter basis
	§		Allowance to period-end loans (excluding covered loans) was 3.03 percent at December 31, 2010, compared with 3.10 percent at September 30, 2010, and 3.04 percent at December 31, 2009

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U.S. Bancorp Reports Fourth Quarter 2010 Results
January 19, 2011
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§

Allowance to nonperforming assets (excluding covered assets) was 162 percent at December 31, 2010, compared with 153 percent at September 30, 2010, and 135 percent at December 31, 2009

Ø

Strong capital generation continues to strengthen capital position; ratios at December 31, 2010 were:

	§		Tier 1 common equity ratio of 7.8 percent
	§		Tier 1 capital ratio of 10.5 percent
	§		Total risk based capital ratio of 13.3 percent

EARNINGS SUMMARY																														Table 1
($ in millions, except per-share data)														Percent				Percent
														Change				Change
		4Q				3Q				4Q				4Q10 vs				4Q10 vs				Full Year				Full Year				Percent
		2010				2010				2009				3Q10				4Q09				2010				2009				Change
Net income attributable to U.S. Bancorp		$	974			$	908			$	602				7.3				61.8			$	3,317			$	2,205				50.4
Diluted earnings per common share		$	.49			$	.45			$	.30				8.9				63.3			$	1.73			$	.97				78.4
Return on average assets (%)			1.31				1.26				.86												1.16				.82
Return on average common equity (%)			13.7				12.8				9.6												12.7				8.2
Net interest margin (%)			3.83				3.91				3.83												3.88				3.67
Efficiency ratio (%)			52.5				51.9				49.1												51.5				48.4
Tangible efficiency ratio (%) (a)			50.6				49.9				46.8												49.5				46.1
Dividends declared per common share		$	.05			$	.05			$	.05				—				—			$	.20			$	.20				—
Book value per common share (period-end)		$	14.36			$	14.19			$	12.79				1.2				12.3

     Net income attributable to U.S. Bancorp was $974 million for the fourth quarter of 2010, 61.8 percent higher than the $602 million for the fourth quarter of 2009 and 7.3 percent higher than the $908 million for the third quarter of 2010. Diluted earnings per common share of $.49 in the fourth quarter of 2010 were $.19 higher than the fourth quarter of 2009 and $.04 higher than the previous quarter. Return on average assets and return on average common equity were 1.31 percent and 13.7 percent, respectively, for the fourth quarter of 2010, compared with .86 percent and 9.6 percent, respectively, for the fourth quarter of 2009. Significant items in the fourth quarter of 2010, including the Nuveen Gain and a provision for credit losses less than net-charge-offs by $25 million, partially offset by net securities losses, resulted in a $.03 increase to diluted

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U.S. Bancorp Reports Fourth Quarter 2010 Results
January 19, 2011
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earnings per common share. Significant items in the fourth quarter of 2009 that impact the comparison to current quarter results included provision for credit losses in excess of net charge-offs of $278 million and net securities losses of $158 million.

          U.S. Bancorp Chairman, President and Chief Executive Officer Richard K. Davis said, “I am very proud of our Company’s fourth quarter performance. Net income of $974 million, or $.49 per diluted common share, was driven, once again, by record total net revenue and declining credit costs. The results continued to reflect the benefits of our diversified business model, our recent investments and overall financial strength.

          “The Company posted both year-over-year and linked quarter average total loan growth in the fourth quarter. The 1.5 percent linked quarter growth in total average loans (2.1 percent without covered assets) was supported by increases in all major loan categories. Importantly, this was the second consecutive quarter of growth in average commercial loans, despite a nominal decrease in the commercial loan utilization rate, indicating new and expanded lending activity from our commercial customers. Total average deposits also increased on a year-over-year and linked quarter basis by 5.2 percent and 4.2 percent, respectively.

          “At year end our Company closed two transactions. On December 30th, we completed the acquisition of a securitization trust administration business. This transaction, which included $1.1 trillion of assets under administration and provided U.S. Bank with approximately $8 billion of deposits at close, further strengthens our Company’s position as a leader in the structured finance trust business and is a great complement to our corporate and municipal trust business. It is a perfect example of the type of acquisition that we will continue to search for, as it adds scale and market share to one of our capital efficient, high return, fee-based processing businesses. Also, on December 31st, we completed a transaction in which we exchanged the long-term asset management business of FAF Advisors, Inc. for an equity stake in Nuveen Investments. This transaction involved a business in which we did not have the scale and distribution capabilities to compete effectively. Going forward, our customers and shareholders will benefit from this new strategic alliance, as our new partner brings a broader array of investment and distribution capabilities to the alliance, enhancing the long-term value of our past investment in the asset management business.

          “Credit quality continued to improve in the fourth quarter. As expected, net charge-offs and nonperforming assets were lower than the previous quarter, declining by 5.8 percent and 6.0 percent, respectively. Given these positive trends and improvement in the underlying risk profile of the Company’s loan portfolio, we released $25 million of loan loss reserves in the fourth quarter — our first such action since

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U.S. Bancorp Reports Fourth Quarter 2010 Results
January 19, 2011
Page 5

the beginning of this credit cycle. Going forward, we will continue to monitor the improving credit trends and maintain our reserves at the appropriate level, given the Company’s overall risk profile, all the while preserving, at all times, the strength of our balance sheet.

          “We continued to generate significant capital this quarter, ending the year with a Tier 1 common equity ratio of 7.8 percent and a Tier 1 capital ratio of 10.5 percent. On January 7th, our Company, along with our peer banks, submitted a Comprehensive Capital Plan to the Federal Reserve System. As I have said before, raising the dividend remains a top priority for our management team and board of directors. Our strong capital position and ability to generate capital each quarter through solid operating earnings, even under the most severe economic conditions, gives us confidence in our ability to increase our dividend in 2011. Our shareholders deserve to be rewarded.

          “Finally, I want to thank all of our employees for their dedication, hard work and the many contributions they have made throughout this past year. 2010 represented one of our strongest annual performances in many years. It was a year filled with challenges, but also one filled with opportunities — opportunities to acquire new customers, improve our processes, expand our franchise and build upon our reputation as a trusted provider of financial products and services. We are larger and stronger than we were at the beginning of this year and continue to gain momentum during this economic cycle. We are “positioned to win” — capable and well-prepared to adapt to a changing economic, legislative and regulatory environment, and focused on growing our business and achieving industry-leading performance and returns for the benefit of our customers, employees, communities and, importantly, our shareholders.”

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U.S. Bancorp Reports Fourth Quarter 2010 Results
January 19, 2011
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INCOME STATEMENT HIGHLIGHTS (Taxable-equivalent basis, $ in millions,      except per-share data)		Table 2

														Percent				Percent
														Change				Change
		4Q				3Q				4Q				4Q10 vs				4Q10 vs				Full Year				Full Year				Percent
		2010				2010				2009				3Q10				4Q09				2010				2009				Change
Net interest income		$	2,499			$	2,477			$	2,360				.9				5.9			$	9,788			$	8,716				12.3
Noninterest income			2,222				2,110				2,016				5.3				10.2				8,360				7,952				5.1
Total net revenue			4,721				4,587				4,376				2.9				7.9				18,148				16,668				8.9
Noninterest expense			2,485				2,385				2,228				4.2				11.5				9,383				8,281				13.3
Income before provision and taxes			2,236				2,202				2,148				1.5				4.1				8,765				8,387				4.5
Provision for credit losses			912				995				1,388				(8.3	)			(34.3	)			4,356				5,557				(21.6	)
Income before taxes			1,324				1,207				760				9.7				74.2				4,409				2,830				55.8
Taxable-equivalent adjustment			53				53				50				—				6.0				209				198				5.6
Applicable income taxes			315				260				108				21.2				nm				935				395				nm
Net income			956				894				602				6.9				58.8				3,265				2,237				46.0
Net (income) loss attributable to noncontrolling interests			18				14				—				28.6				nm				52				(32	)			nm
Net income attributable to U.S. Bancorp		$	974			$	908			$	602				7.3				61.8			$	3,317			$	2,205				50.4
Net income applicable to U.S. Bancorp common shareholders		$	951			$	871			$	580				9.2				64.0			$	3,332			$	1,803				84.8
Diluted earnings per common share		$	.49			$	.45			$	.30				8.9				63.3			$	1.73			$	.97				78.4

     Net income attributable to U.S. Bancorp for the fourth quarter of 2010 was $372 million (61.8 percent) higher than the same period of 2009 and $66 million (7.3 percent) higher than the third quarter of 2010. The increase in net income year-over-year and on a linked quarter basis was principally the result of strong growth in total net revenue, driven by an increase in both net interest income and fee-based revenue, and lower provision for credit losses. These positive variances were partially offset by an increase in total noninterest expense.

     Total net revenue on a taxable-equivalent basis for the fourth quarter of 2010 was $4,721 million; $345 million (7.9 percent) higher than the fourth quarter of 2009, reflecting a 5.9 percent increase in net interest income and a 10.2 percent increase in noninterest income. The increase in net interest income year-over-year was largely the result of an increase in average earning assets and continued growth in lower cost core deposit funding. Noninterest income increased year-over-year, primarily due to higher payments-related revenue, commercial products revenue, mortgage banking revenue, other income and lower net securities losses. Total net revenue on a taxable-equivalent basis was $134 million (2.9 percent) higher on a linked quarter basis, due to a .9 percent increase in net interest income and a 5.3 percent increase in noninterest income driven by higher payments-related revenue, trust and investment management fees, commercial

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U.S. Bancorp Reports Fourth Quarter 2010 Results
January 19, 2011
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products revenue and other income. The positive variance in other income over the prior year and on a linked quarter basis reflected the impact of the Nuveen Gain.

     Total noninterest expense in the fourth quarter of 2010 was $2,485 million; $257 million (11.5 percent) higher than the fourth quarter of 2009, and $100 million (4.2 percent) higher than the third quarter of 2010. The increase in total noninterest expense year-over-year was primarily due to the impact of acquisitions and higher compensation expense and employee benefits expense. The increase in total noninterest expense on a linked quarter basis was due to higher compensation, professional services expense and seasonally higher investments in affordable housing and other tax-advantaged projects.

     The Company’s provision for credit losses declined from a year ago and on a linked quarter basis. The provision for credit losses for the fourth quarter of 2010 was $912 million, $83 million lower than the third quarter of 2010 and $476 million lower than the fourth quarter of 2009. The provision for credit losses was $25 million lower than net charge-offs in the fourth quarter of 2010. In the third quarter of 2010, the provision for credit losses was equal to net charge-offs, while in the fourth quarter of 2009, it exceeded net charge-offs by $278 million. Net charge-offs in the fourth quarter of 2010 were $937 million, compared with $995 million in the third quarter of 2010, and $1,110 million in the fourth quarter of 2009. Given current economic conditions, the Company expects the level of net charge-offs to continue to trend lower in the first quarter of 2011.

     Nonperforming assets include assets originated by the Company, as well as loans and other real estate acquired under FDIC loss sharing agreements (“covered assets”) that substantially reduce the risk of credit losses to the Company. Excluding covered assets, nonperforming assets were $3,351 million at December 31, 2010, $3,563 million at September 30, 2010, and $3,904 million at December 31, 2009. The decline on both a linked quarter and year-over-year basis was led by reductions in nonperforming construction and land development assets as the Company continued to resolve and reduce exposure to these problem assets, in addition to improvement in other commercial portfolios, reflecting the stabilizing economy. However, there was continued stress in the residential mortgage portfolio, as well as an increase in foreclosed properties compared with a year ago, due to the overall duration of the economic slowdown. Covered nonperforming assets were $1,697 million at December 31, 2010, $1,851 million at September 30, 2010, and $2,003 million at December 31, 2009. The majority of the nonperforming covered assets were considered credit-impaired at acquisition and were recorded at their estimated fair value at the date of acquisition. The ratio of the allowance for credit losses to period-end loans, excluding covered loans, was 3.03 percent at December 31,

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U.S. Bancorp Reports Fourth Quarter 2010 Results
January 19, 2011
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2010, compared with 3.10 percent at September 30, 2010, and 3.04 percent at December 31, 2009. The ratio of the allowance for credit losses to period-end loans, including covered loans, was 2.81 percent at December 31, 2010, compared with 2.85 percent at September 30, 2010, and 2.70 percent at December 31, 2009. The Company expects total nonperforming assets, excluding covered assets, to continue to trend lower in the first quarter of 2011.

NET INTEREST INCOME (Taxable-equivalent basis; $ in millions)		Table 3

														Change				Change
		4Q				3Q				4Q				4Q10 vs				4Q10 vs				Full Year				Full Year
		2010				2010				2009				3Q10				4Q09				2010				2009				Change
Components of net interest income
Income on earning assets		$	3,148			$	3,132			$	3,026			$	16			$	122			$	12,375			$	11,748			$	627
Expense on interest-bearing liabilities			649				655				666				(6	)			(17	)			2,587				3,032				(445	)
Net interest income		$	2,499			$	2,477			$	2,360			$	22			$	139			$	9,788			$	8,716			$	1,072
Average yields and rates paid
Earning assets yield			4.82	%			4.95	%			4.91	%			(.13	)%			(.09	)%			4.91	%			4.95	%			(.04	)%
Rate paid on interest-bearing liabilities			1.21				1.25				1.31				(.04	)			(.10	)			1.24				1.55				(.31	)
Gross interest margin			3.61	%			3.70	%			3.60	%			(.09	)%			.01	%			3.67	%			3.40	%			.27	%
Net interest margin			3.83	%			3.91	%			3.83	%			(.08	)%			—	%			3.88	%			3.67	%			.21	%
Average balances
Investment securities (a)		$	49,790			$	47,870			$	44,149			$	1,920			$	5,641			$	47,763			$	42,809			$	4,954
Loans			195,484				192,541				191,648				2,943				3,836				193,022				185,805				7,217
Earning assets			259,859				251,916				245,383				7,943				14,476				252,042				237,287				14,755
Interest-bearing liabilities			212,308				208,653				201,447				3,655				10,861				209,113				195,614				13,499
Net free funds (b)			47,551				43,263				43,936				4,288				3,615				42,929				41,673				1,256

Net Interest Income

     Net interest income on a taxable-equivalent basis in the fourth quarter of 2010 was $2,499 million, compared with $2,360 million in the fourth quarter of 2009, an increase of $139 million (5.9 percent). The increase was principally the result of growth in average earning assets. Average earning assets were $14.5 billion (5.9 percent) higher than the fourth quarter of 2009, driven by increases of $3.8 billion (2.0 percent) in average loans and $5.6 billion (12.8 percent) in average investment securities. Net interest income increased $22 million (.9 percent) on a linked quarter basis, mainly a result of an increase in average earning

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U.S. Bancorp Reports Fourth Quarter 2010 Results
January 19, 2011
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assets. The net interest margin was 3.83 percent in the fourth quarter of 2010 and 2009, and 3.91 percent in the third quarter of 2010. Net interest margin was flat year-over-year, as the impact of favorable funding rates was offset by a reduction in the yield on residential mortgages and investment securities. The decline in net interest margin on a linked quarter basis reflected the reduction in the yield on residential mortgages and investment securities and the impact of the new legislation on credit card yields.

AVERAGE LOANS ($ in millions)		Table 4

														Percent				Percent
														Change				Change
		4Q				3Q				4Q				4Q10 vs				4Q10 vs				Full Year				Full Year				Percent
		2010				2010				2009				3Q10				4Q09				2010				2009				Change
Commercial		$	41,700			$	40,726			$	43,490				2.4				(4.1	)		$	40,840			$	46,197				(11.6	)
Lease financing			6,012				6,058				6,489				(.8	)			(7.4	)			6,188				6,630				(6.7	)
Total commercial			47,712				46,784				49,979				2.0				(4.5	)			47,028				52,827				(11.0	)
Commercial mortgages			26,750				26,008				24,895				2.9				7.5				25,956				24,159				7.4
Construction and development			7,827				8,182				9,149				(4.3	)			(14.4	)			8,313				9,592				(13.3	)
Total commercial real estate			34,577				34,190				34,044				1.1				1.6				34,269				33,751				1.5
Residential mortgages			29,659				27,890				25,621				6.3				15.8				27,704				24,481				13.2
Credit card			16,403				16,510				16,399				(.6	)			—				16,403				14,937				9.8
Retail leasing			4,459				4,289				4,620				4.0				(3.5	)			4,405				4,895				(10.0	)
Home equity and second mortgages			19,119				19,289				19,444				(.9	)			(1.7	)			19,285				19,335				(.3	)
Other retail			24,983				24,281				23,037				2.9				8.4				23,996				22,856				5.0
Total retail			64,964				64,369				63,500				.9				2.3				64,089				62,023				3.3
Total loans, excluding covered loans			176,912				173,233				173,144				2.1				2.2				173,090				173,082				—
Covered loans			18,572				19,308				18,504				(3.8	)			.4				19,932				12,723				56.7
Total loans		$	195,484			$	192,541			$	191,648				1.5				2.0			$	193,022			$	185,805				3.9

     Total average loans were $3.8 billion (2.0 percent) higher in the fourth quarter of 2010 than the fourth quarter of 2009, driven by growth in residential mortgages (15.8 percent) and total retail loans (2.3 percent), driven principally by growth in installment loans. These increases were partially offset by a 4.5 percent decline in total average commercial loans, principally due to lower utilization of existing commitments and reduced demand for new loans. Total average loans were $2.9 billion (1.5 percent) higher in the fourth quarter of 2010 than the third quarter of 2010, as increases in the majority of loan categories, including residential mortgages (6.3 percent), other retail loans (2.9 percent) and total commercial loans (2.0 percent), were partially offset by lower covered loans (3.8 percent). These increases were driven by higher demand for loans and lines by new and existing credit-worthy borrowers.

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U.S. Bancorp Reports Fourth Quarter 2010 Results
January 19, 2011
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     Average investment securities in the fourth quarter of 2010 were $5.6 billion (12.8 percent) higher year-over-year and $1.9 billion (4.0 percent) higher than the prior quarter. The increases over the prior year and linked quarter were primarily due to purchases of U.S. Treasury and government agency-backed securities.

AVERAGE DEPOSITS ($ in millions)		Table 5

														Percent				Percent
														Change				Change
		4Q				3Q				4Q				4Q10 vs				4Q10 vs				Full Year				Full Year				Percent
		2010				2010				2009				3Q10				4Q09				2010				2009				Change
Noninterest-bearing deposits		$	42,950			$	39,732			$	40,990				8.1				4.8			$	40,162			$	37,856				6.1
Interest-bearing savings deposits
Interest checking			41,920				39,308				39,714				6.6				5.6				40,184				36,866				9.0
Money market savings			39,585				38,005				38,485				4.2				2.9				39,679				31,795				24.8
Savings accounts			23,470				22,008				15,926				6.6				47.4				20,903				13,109				59.5
Total of savings deposits			104,975				99,321				94,125				5.7				11.5				100,766				81,770				23.2
Time certificates of deposit less than $100,000			15,212				16,024				18,438				(5.1	)			(17.5	)			16,628				17,879				(7.0	)
Time deposits greater than $100,000			27,176				27,583				27,336				(1.5	)			(.6	)			27,165				30,296				(10.3	)
Total interest-bearing deposits			147,363				142,928				139,899				3.1				5.3				144,559				129,945				11.2
Total deposits		$	190,313			$	182,660			$	180,889				4.2				5.2			$	184,721			$	167,801				10.1

     Average total deposits for the fourth quarter of 2010 were $9.4 billion (5.2 percent) higher than the fourth quarter of 2009. Noninterest-bearing deposits increased $2.0 billion (4.8 percent) year-over-year, principally due to growth in Consumer and Small Business Banking balances. Average total savings deposits were $10.9 billion (11.5 percent) higher year-over-year, the result of growth in Consumer and Small Business Banking and institutional and corporate trust balances. Average time certificates of deposit less than $100,000 were $3.2 billion (17.5 percent) lower year-over-year, reflecting maturities and lower renewals given the current rate environment.

     Average total deposits increased $7.7 billion (4.2 percent) over the third quarter of 2010. Noninterest-bearing deposits increased $3.2 billion (8.1 percent) with increases across the majority of the business lines. Total average savings deposits increased $5.7 billion (5.7 percent) on a linked quarter basis due to higher corporate trust and broker dealer balances and increased balances in Consumer and Small Business Banking. These increases were partially offset by declines in both average time deposits less than $100,000 of $812 million (5.1 percent) and average time deposits over $100,000 of $407 million (1.5 percent), reflecting maturities and lower renewals given the low interest rate environment and wholesale funding decisions.

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U.S. Bancorp Reports Fourth Quarter 2010 Results
January 19, 2011
Page 11

NONINTEREST INCOME ($ in millions)		Table 6

														Percent				Percent
														Change				Change
		4Q				3Q				4Q				4Q10 vs				4Q10 vs				Full Year				Full Year				Percent
		2010				2010				2009				3Q10				4Q09				2010				2009				Change
Credit and debit card revenue		$	293			$	274			$	273				6.9				7.3			$	1,091			$	1,055				3.4
Corporate payment products revenue			173				191				166				(9.4	)			4.2				710				669				6.1
Merchant processing services			323				318				312				1.6				3.5				1,253				1,148				9.1
ATM processing services			105				105				101				—				4.0				423				410				3.2
Trust and investment management fees			282				267				277				5.6				1.8				1,080				1,168				(7.5	)
Deposit service charges			144				160				238				(10.0	)			(39.5	)			710				970				(26.8	)
Treasury management fees			134				139				132				(3.6	)			1.5				555				552				.5
Commercial products revenue			208				197				185				5.6				12.4				771				615				25.4
Mortgage banking revenue			250				310				218				(19.4	)			14.7				1,003				1,035				(3.1	)
Investment products fees and commissions			29				27				27				7.4				7.4				111				109				1.8
Securities gains (losses), net			(14	)			(9	)			(158	)			(55.6	)			91.1				(78	)			(451	)			82.7
Other			295				131				245			nm					20.4				731				672				8.8
Total noninterest income		$	2,222			$	2,110			$	2,016				5.3				10.2			$	8,360			$	7,952				5.1

Noninterest Income

     Fourth quarter noninterest income was $2,222 million; $206 million (10.2 percent) higher than the fourth quarter of 2009 and $112 million (5.3 percent) higher than the third quarter of 2010. Year-over-year, noninterest income benefited from payments-related revenues, which were $38 million (5.1 percent) higher, largely due to increased transaction volumes and business expansion, and a $23 million (12.4 percent) increase in commercial products revenue, attributable to higher standby letters of credit fees, commercial loan and syndication fees and other capital markets revenue. Additionally, mortgage banking revenue was higher than the fourth quarter of 2009 by $32 million (14.7 percent), driven by higher origination and sales and servicing revenue, partially offset by a lower net valuation of mortgage servicing rights (“MSRs”). Total noninterest income was also favorably impacted by a year-over-year change in net securities losses, which were $144 million (91.1 percent), lower than the prior year. Other income increased by $50 million over the fourth quarter of 2009, principally due to the Nuveen Gain and a gain related to the Company’s investment in Visa Inc. (NYSE: V) (“Visa Gain”), partially offset by a fourth quarter of 2009 payments-related contract termination gain, lower customer derivative revenue and lower retail lease residual valuation income. Offsetting these positive variances was a decrease in deposit service charges of $94 million (39.5 percent) the result of revised overdraft fee policies, partially offset by core account growth.

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U.S. Bancorp Reports Fourth Quarter 2010 Results
January 19, 2011
Page 12

     Noninterest income was $112 million (5.3 percent) higher in the fourth quarter of 2010 than the third quarter of 2010. Payments-related revenue increased $6 million (.8 percent), primarily driven by higher credit and debit card transaction volumes, partially offset by seasonally lower transaction volumes in corporate payment products. Trust and investment management fees were $15 million (5.6 percent) higher on a linked quarter basis principally due to the impact of improved market conditions. The increase in commercial products revenue of $11 million (5.6 percent) over the third quarter of 2010 was attributable to higher syndication fees, foreign exchange revenue, standby letters of credit fees and commercial loan fees. Other income increased by $164 million over the third quarter of 2010, principally due to the Nuveen Gain, the Visa Gain and higher customer derivative and equity investment revenue. Offsetting these favorable variances on a linked quarter basis were declines in deposit service charges of $16 million (10.0 percent), reflecting the impact of revised overdraft fee policies, and mortgage banking revenue of $60 million (19.4 percent) due to lower mortgage origination and sales revenue.

NONINTEREST EXPENSE ($ in millions)		Table 7

														Percent				Percent
														Change				Change
		4Q				3Q				4Q				4Q10 vs				4Q10 vs				Full Year				Full Year				Percent
		2010				2010				2009				3Q10				4Q09				2010				2009				Change
Compensation		$	999			$	973			$	816				2.7				22.4			$	3,779			$	3,135				20.5
Employee benefits			171				171				145				—				17.9				694				574				20.9
Net occupancy and equipment			237				229				214				3.5				10.7				919				836				9.9
Professional services			97				78				81				24.4				19.8				306				255				20.0
Marketing and business development			106				108				105				(1.9	)			1.0				360				378				(4.8	)
Technology and communications			187				186				186				.5				.5				744				673				10.5
Postage, printing and supplies			78				74				70				5.4				11.4				301				288				4.5
Other intangibles			89				90				107				(1.1	)			(16.8	)			367				387				(5.2	)
Other			521				476				504				9.5				3.4				1,913				1,755				9.0
Total noninterest expense		$	2,485			$	2,385			$	2,228				4.2				11.5			$	9,383			$	8,281				13.3

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U.S. Bancorp Reports Fourth Quarter 2010 Results
January 19, 2011
Page 13

Noninterest Expense

     Noninterest expense in the fourth quarter of 2010 totaled $2,485 million, an increase of $257 million (11.5 percent) over the fourth quarter of 2009, and a $100 million increase (4.2 percent) over the third quarter of 2010. The increase in noninterest expense over the same quarter of last year was principally due to the impact of acquisitions and increased compensation and employee benefits expense. Compensation and employee benefits expense increased by $183 million (22.4 percent) and $26 million (17.9 percent), respectively, year-over-year, primarily because of acquisitions, branch expansion and other business initiatives, higher incentives related to the Company’s improved financial results and merit increases. Net occupancy and equipment expense increased $23 million (10.7 percent), year-over-year, principally due to acquisitions and other business expansion and technology initiatives. Professional services expense was $16 million (19.8 percent) higher year-over-year, due to technology-related projects and other projects across multiple business lines. Postage, printing and supplies expense increased $8 million (11.4 percent) over the fourth quarter of 2009, principally due to payments-related business initiatives. Other expense was higher by $17 million (3.4 percent) largely due to costs associated with other real estate owned, acquisition integration and insurance and litigation matters. Other intangibles expense decreased $18 million compared with the prior year due to the reduction or completion of amortization of certain intangibles.

     Noninterest expense was $100 million (4.2 percent) higher on a linked quarter basis. Compensation expense increased $26 million (2.7 percent), principally due to branch expansion and other business initiatives, as well as higher commissions. Net occupancy and equipment was $8 million (3.5 percent) higher, primarily due to technology-related and other business initiatives. Professional services expense was $19 million (24.4 percent) higher on a linked quarter basis, primarily due to technology and customer experience-related projects and seasonality. In addition, other expense increased $45 million (9.5 percent) over the third quarter of 2010, principally due to seasonally higher investments in affordable housing and other tax-advantaged projects and higher acquisition integration costs, partially offset by lower costs associated with other real estate owned.

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U.S. Bancorp Reports Fourth Quarter 2010 Results
January 19, 2011
Page 14

Provision for Income Taxes

     The provision for income taxes for the fourth quarter of 2010 resulted in a tax rate on a taxable-equivalent basis of 27.8 percent (effective tax rate of 24.8 percent), compared with 20.8 percent (effective tax rate of 15.2 percent) in the fourth quarter of 2009 and 25.9 percent (effective tax rate of 22.5 percent) in the third quarter of 2010. The increase in the effective tax rate principally reflected the marginal impact of higher pretax earnings and the Nuveen Gain.

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U.S. Bancorp Reports Fourth Quarter 2010 Results
January 19, 2011
Page 15

ALLOWANCE FOR CREDIT LOSSES ($ in millions)		Table 8

		4Q				3Q				2Q				1Q				4Q
		2010				2010				2010				2010				2009
Balance, beginning of period		$	5,540			$	5,536			$	5,439			$	5,264			$	4,986
Net charge-offs
Commercial			117				153				223				243				250
Lease financing			17				18				22				34				33
Total commercial			134				171				245				277				283
Commercial mortgages			90				113				71				46				30
Construction and development			129				94				156				146				144
Total commercial real estate			219				207				227				192				174
Residential mortgages			131				132				138				145				153
Credit card			275				296				317				312				285
Retail leasing			1				2				4				5				5
Home equity and second mortgages			83				79				79				90				96
Other retail			91				101				99				111				111
Total retail			450				478				499				518				497
Total net charge-offs, excluding covered loans			934				988				1,109				1,132				1,107
Covered loans			3				7				5				3				3
Total net charge-offs			937				995				1,114				1,135				1,110
Provision for credit losses			912				995				1,139				1,310				1,388
Net change for credit losses to be reimbursed by the FDIC			16				4				72				—				—
Balance, end of period		$	5,531			$	5,540			$	5,536			$	5,439			$	5,264
Components
Allowance for loan losses, excluding losses to be reimbursed by the FDIC		$	5,218			$	5,245			$	5,248			$	5,235			$	5,079
Allowance for credit losses to be reimbursed by the FDIC			92				76				72				—				—
Liability for unfunded credit commitments			221				219				216				204				185
Total allowance for credit losses		$	5,531			$	5,540			$	5,536			$	5,439			$	5,264
Gross charge-offs		$	1,035			$	1,069			$	1,186			$	1,206			$	1,174
Gross recoveries		$	98			$	74			$	72			$	71			$	64
Allowance for credit losses as a percentage of Period-end loans, excluding covered loans			3.03				3.10				3.18				3.20				3.04
Nonperforming loans, excluding covered loans			192				181				168				156				153
Nonperforming assets, excluding covered assets			162				153				146				136				135
Period-end loans			2.81				2.85				2.89				2.85				2.70
Nonperforming loans			136				133				120				109				110
Nonperforming assets			110				102				94				85				89

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U.S. Bancorp Reports Fourth Quarter 2010 Results
January 19, 2011
Page 16

Credit Quality

      Net charge-offs and nonperforming assets declined on a linked quarter and year-over-year basis as economic conditions stabilized. The allowance for credit losses was $5,531 million at December 31, 2010, compared with $5,540 million at September 30, 2010, and $5,264 million at December 31, 2009. Total net charge-offs in the fourth quarter of 2010 were $937 million, compared with $995 million in the third quarter of 2010, and $1,110 million in the fourth quarter of 2009. The decrease in total net charge-offs was principally due to improvement in the commercial, credit card and other retail portfolios. The Company recorded $912 million of provision for credit losses, $25 million less than net charge-offs during the fourth quarter of 2010. The allowance for credit losses reimbursable by the FDIC was higher by $16 million.

     Commercial and commercial real estate loan net charge-offs decreased to $353 million in the fourth quarter of 2010 (1.70 percent of average loans outstanding) compared with $378 million (1.85 percent of average loans outstanding) in the third quarter of 2010 and $457 million (2.16 percent of average loans outstanding) in the fourth quarter of 2009. The decrease primarily reflected the impact of more stable economic conditions on the Company’s commercial loan portfolios.

     Residential mortgage loan net charge-offs decreased to $131 million (1.75 percent of average loans outstanding) in the fourth quarter of 2010 compared with $132 million (1.88 percent of average loans outstanding) in the third quarter of 2010 and $153 million (2.37 percent of average loans outstanding) in the fourth quarter of 2009. Total retail loan net charge-offs were $450 million (2.75 percent of average loans outstanding) in the fourth quarter of 2010, lower than the $478 million (2.95 percent of average loans outstanding) in the third quarter of 2010 and the $497 million (3.11 percent of average loans outstanding) in the fourth quarter of 2009.

     The ratio of the allowance for credit losses to period-end loans was 2.81 percent (3.03 percent excluding covered loans) at December 31, 2010, compared with 2.85 percent (3.10 percent excluding covered loans) at September 30, 2010, and 2.70 percent (3.04 percent excluding covered loans) at December 31, 2009. The ratio of the allowance for credit losses to nonperforming loans was 136 percent (192 percent excluding covered loans) at December 31, 2010, compared with 133 percent (181 percent excluding covered loans) at September 30, 2010, and 110 percent (153 percent excluding covered loans) at December 31, 2009.

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U.S. Bancorp Reports Fourth Quarter 2010 Results
January 19, 2011
Page 17

CREDIT RATIOS		Table 9
(Percent)

		4Q				3Q				2Q				1Q				4Q
		2010				2010				2010				2010				2009
Net charge-offs ratios (a)
Commercial			1.11				1.49				2.23				2.41				2.28
Lease financing			1.12				1.18				1.41				2.14				2.02
Total commercial			1.11				1.45				2.12				2.38				2.25
Commercial mortgages			1.33				1.72				1.11				.73				.48
Construction and development			6.54				4.56				7.31				6.80				6.24
Total commercial real estate			2.51				2.40				2.67				2.28				2.03
Residential mortgages			1.75				1.88				2.06				2.23				2.37
Credit card (b)			6.65				7.11				7.79				7.73				6.89
Retail leasing			.09				.19				.37				.45				.43
Home equity and second mortgages			1.72				1.62				1.64				1.88				1.96
Other retail			1.45				1.65				1.70				1.93				1.91
Total retail			2.75				2.95				3.16				3.30				3.11
Total net charge-offs, excluding covered loans			2.09				2.26				2.61				2.68				2.54
Covered loans			.06				.14				.10				.06				.06
Total net charge-offs			1.90				2.05				2.34				2.39				2.30
Delinquent loan ratios - 90 days or more past due excluding nonperforming loans (c)
Commercial			.13				.19				.21				.18				.22
Commercial real estate			—				.05				.09				.01				.02
Residential mortgages			1.63				1.75				1.85				2.26				2.80
Retail			.81				.85				.95				1.00				1.07
Total loans, excluding covered loans			.61				.66				.72				.78				.88
Covered loans			6.04				4.96				4.91				3.90				3.59
Total loans			1.11				1.08				1.16				1.12				1.19
Delinquent loan ratios - 90 days or more past due including nonperforming loans (c)
Commercial			1.37				1.67				1.89				2.06				2.25
Commercial real estate			3.73				4.20				4.84				5.37				5.22
Residential mortgages			3.70				3.90				4.08				4.33				4.59
Retail			1.26				1.26				1.32				1.37				1.39
Total loans, excluding covered loans			2.19				2.37				2.61				2.82				2.87
Covered loans			12.94				11.12				11.72				11.19				9.76
Total loans			3.17				3.23				3.56				3.74				3.64

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U.S. Bancorp Reports Fourth Quarter 2010 Results
January 19, 2011
Page 18

ASSET QUALITY		Table 10
($ in millions)

		Dec 31				Sep 30				Jun 30				Mar 31				Dec 31
		2010				2010				2010				2010				2009
Nonperforming loans
Commercial		$	519			$	594			$	669			$	758			$	866
Lease financing			78				111				115				113				125
Total commercial			597				705				784				871				991
Commercial mortgages			545				624				601				596				581
Construction and development			748				799				1,013				1,236				1,192
Total commercial real estate			1,293				1,423				1,614				1,832				1,773
Residential mortgages			636				614				607				550				467
Retail			293				262				237				229				204
Total nonperforming loans, excluding covered loans			2,819				3,004				3,242				3,482				3,435
Covered loans			1,244				1,172				1,360				1,524				1,350
Total nonperforming loans			4,063				4,176				4,602				5,006				4,785
Other real estate (a)			511				537				469				482				437
Covered other real estate (a)			453				679				791				861				653
Other nonperforming assets			21				22				23				31				32
Total nonperforming assets (b)		$	5,048			$	5,414			$	5,885			$	6,380			$	5,907
Total nonperforming assets, excluding covered assets		$	3,351			$	3,563			$	3,734			$	3,995			$	3,904
Accruing loans 90 days or more past due, excluding covered loans		$	1,094			$	1,165			$	1,239			$	1,321			$	1,525
Accruing loans 90 days or more past due		$	2,184			$	2,110			$	2,221			$	2,138			$	2,309
Restructured loans that continue to accrue interest (c)		$	2,207			$	2,180			$	2,112			$	2,008			$	1,794
Nonperforming assets to loans plus ORE, excluding covered assets (%)			1.87				2.02				2.17				2.34				2.25
Nonperforming assets to loans plus ORE (%)			2.55				2.76				3.05				3.31				3.02