Wells Fargo Reports January Retail Banking Customer Activity

SAN FRANCISCO–(BUSINESS WIRE)–Wells Fargo & Company (NYSE: WFC) today reported Retail Banking customer
activity data for January 2017. Tim Sloan, President and Chief Executive
Officer noted, “Today’s update on Retail Banking trends is part of our
ongoing commitment to transparency. We remain focused on meeting our
customers’ financial needs by providing great service and quality
products, and we’re pleased that our customer experience survey scores
increased for the third consecutive month. We will provide our next
update on customer activity trends in March.”

Mary Mack, head of Community Banking, added, “After factoring in day
count differences and typical seasonality, trends were relatively stable
in January and within our expectations. We have made good progress,
including rolling out our new Retail Banking incentive compensation
program in January, but we have more work ahead as we remain focused on
strengthening our relationships with existing customers and building new
ones with potential customers.”

Key Takeaways

Customer Interactions

  • Total branch interactions were down 12% from December, which is
    typically a month with higher levels of teller activity, and down 4%
    from January 2016 (year-over-year “YoY”)

Deposit Balances and Accounts

  • Average consumer and small business deposit balances were stable from
    December 2016 (linked month “LM’) and up 7% YoY
  • Consumer checking account opens were up 18% LM due to typical
    seasonality, but down 0.2 million, or 31%, YoY
  • Customer-initiated consumer checking account closures were up 1% LM
    and 4% YoY
  • Primary consumer checking customers of 23.4 million, down modestly LM,
    but up 2.6% YoY

Debit and Credit Cards

  • Customers continued to actively use their debit and credit cards

    • Point-of-sale debit card transactions were down 10% LM consistent
      with the typical seasonal slowdown after the holidays, but were up
      5% YoY
    • Consumer credit card purchase volume was down 19% LM, consistent
      with the typical slowdown after the holidays, but was up 7% YoY;
      consumer credit card balances outstanding were down 2% LM, but
      were up 7% YoY
  • New consumer credit card applications were up 8% LM due to typical
    seasonality, but down 0.2 million, or 47%, YoY
  • Point-of-sale active consumer credit card accounts of 7.7 million,
    down 4% LM, but up 6% YoY

Customer Experience Surveys

  • Customer loyalty scores were up for the third consecutive month, but
    were down YoY
  • Survey results of overall satisfaction with most recent visit were
    77.2% in January 2017, up from 76.4% in December 2016, and down
    slightly from 77.8% in January 2016

Jan 2017
change from:

(in millions, unless otherwise noted)      










Customer Interactions (1)    
Total Branch Interactions 48.9 55.3 50.9 -12 % -4 %
Teller Transactions 46.0 52.3 47.5 -12 % -3 %
Branch Banker Interactions 2.9 2.9 3.4 0 % -14 %
Total Phone Banker Interactions 9.2 9.6 8.5 -5 % 8 %
Total Digital (Online and Mobile) Secure Sessions 469.9 479.2 459.0 -2 % 2 %

Total Digital (Online and Mobile) Active Customers (2)

27.6 27.3 26.8 1 % 3 %
Consumer Checking Account Opens 0.3 0.3 0.5 18 % -31 %
Consumer Checking Account Customer-Initiated Closures (3) 0.2 0.2 0.2 1 % 4 %
Deposit Balances and Accounts

Consumer and Small Business Banking Deposits
(period end,
$ in billions)

$ 750.4 $ 760.6 $ 709.9 -1 % 6 %

Consumer and Small Business Banking Deposits
(average, $
in billions)

$ 754.0 $ 753.8 $ 706.2 0 % 7 %
Primary Consumer Checking Customers (5) 23.4 23.5 22.8 0 % 3 %
Primary Consumer Checking Customers YoY Growth (5) 2.6 % 3.0 % 5.1 %
Debit Cards (Consumer and Business)
Point-of-Sale Active Cards 25.7 26.2 25.6 -2 % 1 %
Point-of-Sale Transactions 630.5 698.0 598.1 -10 % 5 %
Consumer Credit Cards (6)
Point-of-Sale Active Accounts 7.7 8.0 7.2 -4 % 6 %
Applications 0.2 0.2 0.4 8 % -47 %
Balances (period end, $ in billions) $ 27.6 $ 28.3 $ 25.7 -2 % 7 %
Purchase Volume ($ in billions) $ 5.4 $ 6.6 $ 5.0 -19 % 7 %
Customer Experience Survey Scores with Branch
Customer Loyalty 56.9 % 55.5 % 61.1 %
Overall Satisfaction with Most Recent Visit 77.2 % 76.4 % 77.8 %
Business Days 20 21 19

Percentage changes are calculated using whole numbers. If the %
change were based on the rounded amounts presented, it would
produce a different result for Branch Banker Interactions, Total
Phone Banker Interactions, Consumer Checking Account Opens,
Consumer Checking Account Customer-Initiated Closures, Debit Card
Point-of-Sale Active Cards, Consumer Credit Card Point-of-Sale
Active Accounts, Consumer Credit Card Applications and Consumer
Credit Card Purchase Volume, but all differences are attributable
to rounding. (1) A customer communication or transaction qualifies
as a customer traffic interaction, which is consistent with the
definition used by management for each customer channel presented.
Preparation of customer traffic interaction metrics requires the
application of interpretive judgement for each communication or
transaction. Management uses these metrics to monitor customer
traffic trends within the Company’s Retail Banking business. (2)
Primarily includes retail banking, consumer lending, small
business and business banking customers. (3) Does not include
accounts closed by the bank. (4) Period-end and average deposits
for January 2017 included $1.8 billion and $2.1 billion,
respectively, and December 2016 included $1.2 billion and $2.5
billion, respectively, of deposits related to our new Payments,
Virtual Solutions, and Innovation Group that involved realignment
in fourth quarter 2016 of some personnel and business activities
from Wholesale Banking to the Community Banking operating segment.
(5) Customers who actively use their checking account with
transactions such as debit card purchases, online bill payments,
and direct deposit. (6) Credit card metrics shown in the table are
for general purpose cards only.


Conference Call

The Company will host a live conference call on Friday, February 17, at
9 a.m. PT (12 p.m. ET). You may participate by dialing 866-872-5161
(U.S. and Canada) or 440-424-4922 (International). The call will also be
available online at https://www.wellsfargo.com/about/investor-relations/events/
and https://engage.vevent.com/rt/wells_fargo_ao~68962498.

A replay of the conference call will be available beginning at 11:30
a.m. PT (2:30 p.m. ET) on February 17 through Friday, March 3. Please
dial 855-859-2056 (U.S. and Canada) or 404-537-3406 (International) and
enter Conference ID 68962498#. The replay will also be available online
at https://www.wellsfargo.com/about/investor-relations/events/
and https://engage.vevent.com/rt/wells_fargo_ao~68962498.

Cautionary Statement About Forward-Looking Statements

This news release contains forward-looking statements about our future
financial performance and business. 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. For information about
factors that could cause actual results to differ materially from our
expectations, refer to our reports filed with the Securities and
Exchange Commission, including the discussion under “Risk Factors” in
our Annual Report on Form 10-K for the year ended December 31, 2015 and
in our Quarterly Report on Form 10-Q for the quarter ended September 30,
2016, as filed with the Securities and Exchange Commission and available
on its website at www.sec.gov.

About Wells Fargo

Wells Fargo & Company (NYSE: WFC) is a diversified, community-based
financial services company with $1.9 trillion in assets. Founded in 1852
and headquartered in San Francisco, Wells Fargo provides banking,
insurance, investments, mortgage, and consumer and commercial finance
through more than 8,600 locations, 13,000 ATMs, the internet
(wellsfargo.com) and mobile banking, and has offices in 42 countries and
territories to support customers who conduct business in the global
economy. With approximately 269,000 team members, Wells Fargo serves one
in three households in the United States. Wells Fargo & Company was
ranked No. 27 on Fortune’s 2016 rankings of America’s largest
corporations. Wells Fargo’s vision is to satisfy our customers’
financial needs and help them succeed financially.


Wells Fargo & Company
Ancel Martinez,
Jim Rowe, 415-396-8216