DUFF & PHELPS: U.S. BANCORP SUBORDINATED DEBT SHELF REGISTRATION RATED 'A+'
CHICAGO, June 15 /PRNewswire/ -- Duff & Phelps Credit Rating Co. has assigned a preliminary rating of `A+' (single A plus) to U.S. Bancorp's $500 million shelf filing for up to $500 million of subordinated debt securities. The rating recognizes U.S. Bancorp's strong balance sheet, including a large capital base and above average loan quality and reserve coverage, solid earnings and our high regard for management. The company's strong performance continued in the first quarter with net income of $62 million which equaled a return on assets of 1.24 percent. This high level of profitability reflects a large net interest margin and low level of loan loss provisioning, the result of better than average asset quality. Non-performing assets equaled a low 2.12 percent of loans and other real estate owned at March 31, 1993, and a very low 12 percent of stockholders' equity. Loan loss reserve coverage of non- performing loans was a strong 128 percent. The strong balance sheet is further reflected by the large capital base. Capital ratios, on both an absolute and risk-adjusted basis, are among the highest of all regional banks. At the close of the first quarter, stockholders' equity equaled 8.19 percent of assets while Tier 1 and total risk-based capital ratios equaled 8.59 percent and 12.14 percent, respectively. Portland, Ore.-based U.S. Bancorp, a super-regional financial services company, reported total assets of $20.4 billion on March 31, 1993. Principal bank subsidiaries are located in Oregon and Washington, although the company is significantly expanding its presence in northern California and Nevada. -0- 6/15/93 /CONTACT: Charles J. Orabutt Jr. of Duff & Phelps Credit Rating Co., 312-368-3153/ (USBC)
CO: U.S. Bancorp ST: Oregon IN: FIN SU: RTG
CK -- NY100 -- 2314 06/15/93 16:33 EDT
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|Date:||Jun 15, 1993|
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