Wells Fargo Issues Statement Regarding the Federal Reserve’s Stress Test Results and Intention to Raise Dividend by 14%
June 28 2024 - 3:36PM
Business Wire
Wells Fargo & Company (NYSE: WFC) today announced that it
has completed the 2024 Comprehensive Capital Analysis and Review
(CCAR) stress test process. The Company expects its stress capital
buffer (SCB) to be 3.8%, which represents a percentage amount of
incremental capital the Company must hold above its minimum
regulatory capital requirements. The Federal Reserve Board (FRB)
has indicated that it will publish the Company’s final SCB by
August 31, 2024.
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the full release here:
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Facade of a Wells Fargo bank branch in
Manhattan (Photo: Wells Fargo)
The Company expects to increase its third quarter 2024 common
stock dividend by 14 percent to $0.40 per share from $0.35 per
share, subject to approval by the Company’s Board of Directors at
its regularly scheduled meeting in July. Additionally, over the
four-quarter period beginning third quarter 2024 through second
quarter 2025, the Company has capacity to repurchase common stock,
which will be routinely assessed as part of the Company’s internal
capital adequacy framework that considers current market
conditions, potential changes to regulatory capital requirements,
and other risk factors.
“Wells Fargo continues to have a strong capital position,
reflecting the strength of our franchise and the investments we’ve
made to better serve our customers,” said CEO Charlie Scharf. “We
remain focused on using our capital strength to serve our
customers’ financial needs, while continuing to prudently return
excess capital to our shareholders.”
About Wells Fargo
Wells Fargo & Company (NYSE: WFC) is a leading financial
services company that has approximately $1.9 trillion in assets. We
provide a diversified set of banking, investment and mortgage
products and services, as well as consumer and commercial finance,
through our four reportable operating segments: Consumer Banking
and Lending, Commercial Banking, Corporate and Investment Banking,
and Wealth & Investment Management. Wells Fargo ranked No. 47
on Fortune’s 2023 rankings of America’s largest corporations. In
the communities we serve, the company focuses its social impact on
building a sustainable, inclusive future for all by supporting
housing affordability, small business growth, financial health, and
a low-carbon economy. News, insights, and perspectives from Wells
Fargo are also available at Wells Fargo Stories.
Additional information may be found at www.wellsfargo.com
LinkedIn: https://www.linkedin.com/company/wellsfargo
Cautionary Statement About Forward-Looking Statements
This news release contains forward-looking statements about our
future regulatory capital levels and possible future capital
actions, including common stock dividends and repurchases. Because
forward-looking statements are based on our current expectations
and assumptions regarding the future, they are subject to inherent
risks and uncertainties. Do not unduly rely on forward-looking
statements as actual results could differ materially from
expectations. Forward-looking statements speak only as of the date
made, and we do not undertake to update them to reflect changes or
events that occur after that date. Actual capital levels and
capital actions may vary materially from expectations due to a
number of factors, including those described in our reports filed
with the Securities and Exchange Commission and available on its
website at www.sec.gov. The amount and timing of any future common
stock dividends or repurchases will depend on the earnings, cash
requirements and financial condition of the Company, the impact to
our balance sheet of expected customer activity, our capital
requirements and long-term targeted capital structure, the results
of supervisory stress tests, market conditions (including the
trading price of our stock), regulatory and legal considerations,
including regulatory requirements under the Federal Reserve Board’s
capital plan rule, and other factors deemed relevant by the
Company, and may be subject to regulatory approval or
conditions.
News Release Category: WF-CF
View source
version on businesswire.com: https://www.businesswire.com/news/home/20240628851200/en/
Media Erin Knight, 843-307-8511
Erin.Knight@wellsfargo.com
Investor Relations John Campbell, 415-396-0523
john.m.campbell@wellsfargo.com
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