Post on 28-Dec-2016
Wholesale Banking
Tim Sloan, Senior EVP, Wholesale Banking
Perry Pelos, EVP, Commercial Banking
Mike Johnson, EVP, Corporate Banking Group
Mark Myers, EVP, Commercial Real Estate
Danny Peltz, EVP, Treasury Management
May 20, 2014
© 2014 Wells Fargo & Company. All rights reserved.
Wholesale Banking 1 Wells Fargo 2014 Investor Day
Agenda
Wholesale Banking overview – Tim Sloan
Featured Wholesale businesses:
- Commercial Banking – Perry Pelos
- Corporate Banking – Mike Johnson
- Commercial Real Estate – Mark Myers
Wholesale core product:
- Treasury Management – Danny Peltz
Wholesale Banking 2
Business Overview Wholesale Banking
Wells Fargo 2014 Investor Day
Wholesale Banking 3 Wells Fargo 2014 Investor Day
Wholesale Banking operates over 50 lines of business serving:
U.S. middle-market and large corporates with annual sales of $20 million and higher
Foreign subsidiaries of U.S. companies and the U.S. needs of multi-national corporations
Financial institutions and investment funds globally
Business highlights:
Over 35,000 team members
More than 400 domestic and international locations
1Q14 average assets: $517.4 billion
1Q14 average core deposits: $259.0 billion
1Q14 average loans: $301.9 billion
Revenue: 1Q14 $5.6 billion; FY 2013 $24.1 billion
Net income: 1Q14 $1.7 billion; FY 2013 $8.1 billion
Wholesale Banking overview
Wholesale Banking 4 Wells Fargo 2014 Investor Day
A diverse set of businesses
Commercial Banking Commercial Banking Government and Institutional Banking
Commercial Real Estate Homebuilder Banking Hospitality Finance Real Estate Merchant Banking REIT Finance Portfolio Management & Commercial Real Estate Services U.S. and International Lending
Corporate Banking Energy Group Financial Institutions Group Financial Sponsors Group Gaming Division Healthcare Group Power and Utilities Group Restaurant Finance U.S. Corporate Banking
International Group Foreign Exchange Global Banking Global Financial Institutions
Specialized Lending, Servicing, and Trust Services Asset Backed Finance Commercial Mortgage Originations Commercial Mortgage Servicing Community Lending & Investment Corporate Trust Services Equipment Finance Multifamily Capital Shareowner Services
Treasury Management &
Internet Solutions Commercial Electronic Office® portal Health Benefit Services Treasury Management
Wells Fargo Asset Management Affiliated Managers Funds Management Group Wells Capital Management
Wells Fargo Insurance Insurance Brokerage and Consulting Personal and Small Business Insurance Rural Community Insurance Services
Wells Fargo Capital Finance Corporate Finance Group Industries Group Retail Sales Finance Trade Capital
Wells Fargo Securities Eastdil Secured Investment Banking & Capital Markets Debt Originations Equity Originations Loan Syndications M&A Advisory
Markets Division ABF Sales and Trading Client Trade Services
Commodity Derivatives Sales and Trading Credit Sales and Trading Investment Solutions Liquid Products Sales and Trading Equity Sales and Trading
Municipal Products Principal Investments
Wholesale Banking 5 Wells Fargo 2014 Investor Day
Broad product set
Wholesale Banking 6 Wells Fargo 2014 Investor Day
Expansive distribution
688 U.S. and 76 international offices in 406 locations globally (1)
(1) Office count as of 1Q14.
Wholesale Banking 7 Wells Fargo 2014 Investor Day
#1 share of middle-market customers in the U.S. (1)
#1 total commercial real estate originations in the U.S. (2)
#1 commercial mortgage servicer in the U.S. by size (3) #1 U.S. oil & gas loan syndications bookrunner (4)
#1 in energy investment banking (5)
#1 in overall satisfaction in correspondent banking bank-to-bank services (6) #1 U.S. factor, by volume (7)
#1 in ACH payments (8)
#2 asset-based loan bookrunner (9)
#3 share of U.S. Treasury Management market (10)
#3 credit enhancer of municipal new issues (11)
#3 in U.S. commercial mortgage backed securities issuance (12)
#3 in debt capital markets, fee-based (13)
#4 in loan syndications, fee-based (13)
An industry leader
(1) TNS Commercial Banking Momentum Monitor, 2013; Middle market is defined as companies with revenues between $25MM and $500MM. (2) MBA Commercial Real Estate/Multifamily Finance Firms Annual Origination Volumes, year ending 12/31/13. (3) MBA Commercial/ Multifamily Mortgage Servicer Rankings, year-end 2013. (4) Thomson Reuters LPC, 2013. (5) Dealogic, U.S. only fee-based ranking, 2013. (6) FImetrix Global Report on Bank-to-Bank Transaction Services, 2013. (7) Commercial Finance Association (CFA) 2014 Annual Factoring Survey.(8) NACHA - The Electronic Payments Association, 2014. (9) Thomson Reuters LPC, 2013. (10) Ernst & Young: 2013 Cash Management Survey of fee-equivalent revenues. (11) Securities Data Corp., December 2013. (12) Commercial Mortgage Alert, 2013. (13) Dealogic, Jan. 2014; U.S. only; Excludes Public and Asset Backed Finance.
Wholesale Banking 8 Wells Fargo 2014 Investor Day
Focus on building long-term customer relationships
Evolve with and respond to our customers’ needs
Provide a broad product offering that can serve customers over time
Work closely with customers through all market cycles
Relationships drive growth
Wholesale Banking 9 Wells Fargo 2014 Investor Day
51%
6%
9% 8%
5%
6%
5%
2%
3%
5%
Wholesale: 29%
Share of Wells Fargo Revenues and Earnings
2013 Earnings
2013 Revenues
Wholesale: 37%
Wholesale Revenues by Category
Investment Banking Trust & investment
fees
Service charges
Loan and letter of credit fees
Net interest income
Insurance
Trading gains
Equity investment gains
Operating leases
Other
Revenue and earnings contribution
Wholesale Banking 10 Wells Fargo 2014 Investor Day
Net income growth
0.8 0.8 1.0 1.1 1.1
1.4 1.7 1.7
2.2 2.3
1.4
3.9
5.9
7.0
7.8 8.1
1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013
($ in billions)
12% CAGR 1998-2007
11% CAGR 2010-2013
Wholesale Banking 11 Wells Fargo 2014 Investor Day
Wholesale Banking credit quality
0.10%
0.29% 0.33%
0.56% 0.56%
0.36%
0.12%
0.00% 0.02% 0.08%
0.47%
0.94%
1.08%
0.34%
0.19%
-0.07% -0.08%
1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 1Q14
Wholesale Net Charge-offs (% of average loans)
Wholesale Banking 12 Wells Fargo 2014 Investor Day
Financial performance
$21,568
$24,092 $24,064
FY11 FY12 FY13
Total Revenue
$11,177
$12,082$12,378
FY11 FY12 FY13
Noninterest Expense
$6,987
$7,774$8,133
FY11 FY12 FY13
($ in millions)
CAGR = 5.6%
CAGR = 5.2%
CAGR = 7.9%
Net Income
Wholesale Banking 13 Wells Fargo 2014 Investor Day
Wholesale loans and deposits
$283$285
$288
$295
$302
1Q13 2Q13 3Q13 4Q13 1Q14
Loans
($ in billions, average balances)
$269
$278
$290
$313$316
1Q13 2Q13 3Q13 4Q13 1Q14
Broad-based Commercial Banking growth started late 2013
$5.2B from CRE loan acquisitions added in 3Q13
Corporate Banking and Asset Backed Finance grew across many sectors
Wells Fargo Capital Finance grew across asset-based lending divisions
International grew from GFI demand in Asia
Total Deposits
($ in billions, average balances) 4Q13 deposits increased on broad-
based organic growth in Corporate Banking, Commercial Banking, and Gov’t/Inst. Banking, including increases from a few large customers preparing for acquisitions
1Q14 deposits increased 17% YoY
Wholesale Banking 14 Wells Fargo 2014 Investor Day
Competitive Positioning
and Advantages Wholesale Banking
Wholesale Banking 15 Wells Fargo 2014 Investor Day
People as a competitive advantage
Tim Sloan
Senior EVP, Wholesale Banking 27 years at Wells Fargo
15 direct reports with average 23 years at WFC
Perry Pelos
Head of Commercial Banking
27 years at WFC
13 direct reports - Average 20 years at WFC
1,367 lenders - Average 10 years at WFC
2,651 total team members - Average 11 years at WFC
Mike Johnson
Head of Corporate Banking
31 years at WFC
9 direct reports - Average 18 years at WFC
371 lenders - Average 10 years at WFC
683 total team members - Average 11 years at WFC
Mark Myers
Head of Commercial Real Estate
30 years at WFC
11 direct reports - Average 24 years at WFC
399 lenders
- Average 10 years at WFC
966 total team members
- Average 11 years at WFC
Danny Peltz
Head of Treasury Management
24 years at WFC
10 direct reports - Average 19 years at WFC
537 TM Sales Consultants - Average 11 years at WFC
3,818 total team members - Average 13 years at WFC
Steve Ellis
Head of Wholesale Services
26 years at WFC
Average tenure of all Wholesale team members is 10 years (1)
Information as of April 2014. (1) Average tenure of all Wholesale team members includes team members in lines of business not featured here.
Wholesale Banking 16 Wells Fargo 2014 Investor Day
Average number of products per relationship
6.7
6.9
7.2
1Q12 1Q13 1Q14
Single product types are counted only once per relationship. Cross-sell reported on a one-quarter lag.
Wholesale Banking 17 Wells Fargo 2014 Investor Day
Cross-sell focus
Cross-sell Product Penetration, by Product Family
Credit and Treasury Management are our two core products
Over 75% of Wholesale relationships have a credit product and nearly 85% have a Treasury Management product with Wells Fargo
Additionally, Wholesale product families are listed in the chart below:
Data as of February 2014 for all Wholesale Banking relationships >$10K Pre-tax pre-provision profit (PTPP). PTPP is total revenue less noninterest expense.
0% 10% 20% 30% 40%
International
Investments
Risk Management
Corporate Trust
Insurance
Capital Markets & Advisory
Shareowner Services
Wholesale Banking 18 Wells Fargo 2014 Investor Day
Relationship tenure and cross-sell drive revenue
6.8
8.3 9.2
10.9
1 - 5 6 - 10 11 - 15 > 15
Avg. # of
products
Tenure (years)
$227 $301 $611
$1,388
$2,849
$7,331
1 - 5 6 - 10 11 - 15 16 - 20 21 - 25 > 25
Avg. annual
revenue ($000)
# of products
Longer Tenure = More Cross-sell More Cross-sell = More Revenue
Data as of February 2014. Average number of products and average annual revenue shown is per relationship.
Wholesale Banking 19 Wells Fargo 2014 Investor Day
We promote a risk culture of sound judgment, conservatism, and responsibility among our team members, and attempt to avoid anything that could cause permanent or irreparable damage to our reputation.
Credit
Take only as much risk as is appropriate to efficiently, effectively, and prudently serve customers.
Take risks when we understand them; avoid/ minimize risk when we have no competitive advantage.
Price our business to cover risk to capital; retain risk only if priced for a sufficient risk-adjusted return.
Market
Thoughtfully balance risk and return on behalf of our shareholders.
Take market risk only when appropriate controls and models are in place to accurately monitor and assess risk.
Independently assess and challenge line-of-business market risk exposures, when appropriate.
Operational
Customers expect we will be a reliable provider of services.
Wholesale decision makers have primary responsibility for risk. Corporate Risk functions provide oversight, enterprise view, and appropriate “challenge.”
Wholesale Banking has no tolerance for willful or negligent violation of laws, regulations, or company policies.
Striving toward risk management excellence
Wholesale Banking 20 Wells Fargo 2014 Investor Day
Key Growth Opportunities Wholesale Banking
Wholesale Banking 21 Wells Fargo 2014 Investor Day
Growth opportunities
Expand our global platform and sector expertise
Invest in our products, capabilities, distribution platform, and team members globally
Leverage deep sector expertise to grow select businesses
Explore opportunistic business and asset purchases
Focus on building long-term relationships
Partner across our diverse businesses to address customer needs and cross-sell our broad product offerings
Acquire new customers that fit Wells Fargo’s relationship-focused model
Up-tier relationships with sound advice and superb execution
Continue to execute our core values
Do the right thing for customers
Serve relationships for the long term, through all business cycles
Understand, price, and manage risk
Wholesale Banking 22 Wells Fargo 2014 Investor Day
Commercial Banking
Perry Pelos
Executive Vice President Head of Commercial Banking
Wholesale Banking 23 Wells Fargo 2014 Investor Day
31%
17%
7% 7%
6%
5%
27% Manufacturing
Wholesale Trade
Professional, Scientific, and Technical Services
Retail Trade
Construction
Finance and Insurance
Other
Commercial Banking: leader in the middle market
#1 share of middle-market
customers in the U.S. (1)
Wells Fargo banks approximately 25% of middle-market companies in the U.S. (1)
Our customers are in nearly every industry, including manufacturing, wholesale, retail, distribution, construction, and services.
We have a tenured management team with an average 20 years of service.
(1) TNS Commercial Banking Momentum Monitor (2013); Middle market is defined as companies with revenues between $25MM and $500MM.
(2) Data as of February 2014. Industry classifications based on NAICS level 2 codes.
Commercial Banking Customers by Industry (2)
Wholesale Banking 24 Wells Fargo 2014 Investor Day
Commercial Banking coast to coast
A local approach to serve the middle market via our Commercial Banking offices
(1) In addition to these primary U.S. offices, there are 17 satellite offices in the U.S. and 2 offices in Canada.
135 Offices Across the U.S. (1)
Wholesale Banking 25 Wells Fargo 2014 Investor Day
Commercial Banking financial performance
64,110
74,239
81,653
2011 2012 2013
CAGR = 12.9%
Total Loans (average balances)
43,528
50,906 53,338
2011 2012 2013
CAGR = 10.7%
Total Deposits (average balances)
CAGR 2011 – 2013
PTPP: 4.3% (1)
Net income: 8.4%
3,605 3,903 4,064
2011 2012 2013
Total Revenue
CAGR = 6.2%
($ in millions)
Loans, revenue, PTPP, and net income include the credit for products and services to customers in multiple businesses that are eliminated in Wholesale segment reporting. (1) Pre-tax pre-provision profit (PTPP) is total revenue less noninterest expense.
Wholesale Banking 26 Wells Fargo 2014 Investor Day
Net Interest
Income
Treasury
Management
Investment
Banking & Capital Markets
Risk
Management
Other fees
20%
5%
7%
5%
10%
2% 2%
Commitment and LC Fees
Foreign Exchange
49%
Commercial revenue diversification
Spread and Fee Income as a % of total revenue
Noninterest Income
Net Interest Income
2013 Revenue
2011 2012 2013
48%
52% 50% 49%
Asset Management 50% 51%
Wholesale Banking 27 Wells Fargo 2014 Investor Day
Strong Credit and Treasury Management platform
76% of Commercial Banking relationships have a Credit product and 91% have a Treasury Management product with Wells Fargo
Commercial portfolio has grown by focusing on solutions that address the full breadth of credit needs of privately held, middle-market companies
Our locally driven, “know your customer” decision-making model creates a diversified portfolio across industries and geography, while helping to sustain a strong and responsive risk management culture of accountability and service
Relationships w/ credit (1) (% of relationships)
Sole-bank lender (non-syndicated)
80%
<$25 million in commitments 64%
Data as of February 2014 for Commercial Banking relationships >$10K PTPP.
Wholesale Banking 28 Wells Fargo 2014 Investor Day
Top Commercial Banking cross-sell products
Cross-sell Penetration, by Product Family
Data as of February 2014 for Commercial Banking relationships >$10K PTPP.
0% 10% 20% 30% 40%
International
Investments
Risk Management
Insurance
Corporate Trust
Capital Markets & Advisory
Shareowner Services
10 products per customer on average
16-year average customer tenure
Wholesale Banking 29 Wells Fargo 2014 Investor Day
Highest middle-market share
Source: TNS 2013 Commercial Banking Momentum Monitor.
12.6% 10.3%
7.8%
3.6% 4.0%
11.9%
12.2%
10.9%
7.6% 4.4%
WFC BAC JPM USB PNC
Non Lead Bank
Lead Bank
24.5%
22.5%
18.7%
8.4%
11.2%
Wells Fargo Commercial Banking share of the middle market increased to 24.5% in 2013 from 22.1% in 2012
Wholesale Banking 30 Wells Fargo 2014 Investor Day
(1) American Bankers Association; FDIC, data as of 4Q13 for total Wells Fargo.
The expertise
• 32 offices across the U.S. and Canada have specialized Food & Agribusiness experts
• Leading provider of U.S. farm loans, by volume (1)
The opportunity
• Providing less than 10% of the total U.S. farm loan volume (1) • Added experts in five offices in last 12 months focused on growing market
share for Food & Agribusiness east of the Mississippi
Environmental & Waste
Management
Food & Agribusiness
Technology & Venture Banking
Investor Real Estate
Beverage
Heavy Equipment
Environmental & Waste
Management
Technology Banking Group
Investor Real Estate
Beverage
Heavy Equipment
Industry-specific teams: highlight on Food & Agribusiness
Wholesale Banking 31 Wells Fargo 2014 Investor Day
(1) Initial four sectors included semiconductors, software, hardware/networking, and internet.
2013
Launched National Life Science team
Expanded to Seattle
Late 90s
Internet movement; launched Technology Banking Group focused on four sectors (1)
2010
Launched National Clean Tech team
Expanded to L.A.
2006
Expanded to Southern CA
Increased Life Sciences focus
2012 Expanded to
Boston 2011
Expansion strategy driven by the geographic growth of Commercial Banking and Technology sectors
Environmental & Waste
Management
Food & Agribusiness
Technology Banking Group
Investor Real Estate
Beverage
Heavy Equipment
Expanded to Austin
Industry-specific teams: highlight on Technology Banking
Wholesale Banking 32 Wells Fargo 2014 Investor Day
Over 55% of middle-market companies that are geographically expanding plan to do so internationally (1)
Commercial Banking recently established new banking teams, comprised of 20 local relationship managers, in the four largest Canadian cities (Toronto, Montreal, Vancouver, and Calgary)
(1) KPMG Middle Market Survey (2013).
(2) Data as of February 2014 for Commercial Banking relationships >$10K PTPP.
(3) Includes Foreign Exchange, International Trade, Global Payments, and International Treasury Management.
CAGR = 12%
2011 2012 2013
Commercial Banking (2) Revenue from International Products (3)
We invest and grow with our customers: International
Wholesale Banking 33 Wells Fargo 2014 Investor Day
Over 250 Investment Banking transactions with Commercial Banking
customers in 2013 (1)
21% of Commercial Banking relationships use Wells Fargo Securities
products (2)
(1) Dealogic (2013).
(2) Data as of February 2014 for Commercial Banking relationships >$10K PTPP; Investment Banking products include Capital Markets & Advisory and Risk Management product families.
$847 Million
Initial Public Offering September 2013
Bookrunning Manager
We invest and grow with our customers: Investment Banking
Wholesale Banking 34 Wells Fargo 2014 Investor Day
Strength of Commercial Banking
Highest share of the middle market
Strong, tenured leadership team
An extensive domestic presence and expansion into Canada
Steady growth in loans and deposits
Strong Credit and broad Treasury Management platform
Growth opportunity to deepen cross-sell and strengthen our specialty team focus
Investing and growing with our customers domestically and globally
Wholesale Banking 35 Wells Fargo 2014 Investor Day
Corporate Banking
Mike Johnson
Executive Vice President Head of Corporate Banking
Wholesale Banking 36 Wells Fargo 2014 Investor Day
Corporate Banking overview
Corporate Banking today
Relationship statistics (1)
2,000+ relationships
Bank nearly 3 out of 4 Fortune 500 companies
18-year average bank relationship tenure
10 products per relationship
Business description
A diverse set of primarily industry-focused businesses
Provides integrated financial solutions to large corporate, investment grade, non-investment grade, public, and private customers in offices in the U.S., Canada, and the U.K.
(1) Data as of February 2014 for Corporate Banking relationships >$10K PTPP.
Wholesale Banking 37 Wells Fargo 2014 Investor Day
Industry-focused relationship businesses
General Corporate
Financial Institutions
Power and Utilities
Energy Gaming Healthcare Financial Sponsors
Restaurant Finance
Corporate Banking’s broad range of customers have complex financial services needs and significant capital markets activities
Industry/sector expertise allows us to understand our customers’ needs and serve them more effectively
In-depth customer and industry knowledge is fundamental to our risk management for both new customer acquisition and ongoing portfolio management
Wholesale Banking 38 Wells Fargo 2014 Investor Day
Corporate Banking locations
Energy
Power and Utilities
General Corporate
Financial Sponsors
Gaming
Financial Institutions
Restaurant Finance
Healthcare
Aberdeen, Scotland
Calgary
Wholesale Banking 39 Wells Fargo 2014 Investor Day
Know our customers
Understand their financial services needs
Offer value-added ideas and products that fit those needs
Our growth is driven by our relationship managers
Wholesale Banking 40 Wells Fargo 2014 Investor Day
Close coordination and active relationship planning
Ongoing dialogue on capital markets ideas and advice on M&A and corporate finance
Risk and liability management
Both teams licensed with Series 79 and 63 licenses
Corporate Banking and Investment Banking partnership
Wholesale Banking 41 Wells Fargo 2014 Investor Day
Corporate Banking financial performance
22,130
30,291
34,401
2011 2012 2013
CAGR = 24.7%
Total Loans (average balances)
42,861
53,042
59,193
2011 2012 2013
CAGR = 17.5%
Total Deposits (average balances)
CAGR 2011 – 2013
PTPP: 15.2% (1)
Net income: 15.6%
2,801 3,337 3,589
2011 2012 2013
Total Revenue
CAGR = 13.2%
($ in millions)
Loans, revenue, PTPP, and net income include the credit for products and services to customers in multiple businesses that are eliminated in Wholesale segment reporting. (1) Pre-tax pre-provision profit (PTPP) is total revenue less noninterest expense.
Wholesale Banking 42 Wells Fargo 2014 Investor Day
7%
3% 3%
3%
24%
15%
9%
2%
34%
X%
Commitment and LC Fees
Treasury Management
Net Interest Income
Equity Investment Gains
Other
Spread and Fee Income (as a % of total revenue)
2010 2011 2012 2013
32% 34% 34%
Non Interest Income
Net Interest Income
2013 Revenue
Investment Banking &
Capital Markets
Asset Management
Foreign Exchange
Risk Management
Corporate Banking’s revenue diversification
68%
66% 66%
Wholesale Banking 43 Wells Fargo 2014 Investor Day
Market leadership
Power and utilities
Financial institutions
#3 U.S. utilities loan syndications bookrunner (3)
#2 U.S. and Bermuda insurance investment grade bond issuance (5)
#3 U.S. financial services loan syndications bookrunner (6)
Consumer, retail, and gaming
#3 U.S. hotel & gaming loan syndications bookrunner (6)
(1) Thomson Reuters LPC, by number of deals and by volume, 2013. (2) Dealogic, U.S. only fee-based ranking, 2013. (3) Thomson Reuters LPC, by number of deals and by volume, 2013. (4) SIC 5812, by number of deals, 2013. (5) Dealogic, excludes FA notes, 2013. (6) Thomson Reuters LPC, by volume, 2013.
Energy
#1 U.S. oil & gas loan syndications bookrunner (1)
#1 energy investment banking (2)
Restaurants
#1 restaurant loan syndications bookrunner (4)
Wholesale Banking 44 Wells Fargo 2014 Investor Day
Corporate Banking cross-sell opportunity
Data as of February 2014 for Corporate Banking relationships >$10K PTPP.
Cross-sell Penetration, by Product Family
0% 10% 20% 30% 40%
Investments
Capital Markets & Advisory
International
Corporate Trust
Risk Management
Shareowner Services
Insurance
85% of Corporate Banking relationships have a credit product and 73% have a Treasury Management product with Wells Fargo
Wholesale Banking 45 Wells Fargo 2014 Investor Day
Up-tier relationships through value-added ideas
Acquire new customers that fit Wells Fargo’s relationship-focused model
Leverage deep sector expertise to expand existing businesses
Continue development of our Energy business in Canada and the U.K.
Coordinate with the International Group to serve our multi-national customers
Well positioned for continued growth
Wholesale Banking 46 Wells Fargo 2014 Investor Day
Energy Corporate Banking
Wholesale Banking 47 Wells Fargo 2014 Investor Day
Energy overview
Energy platform
today
Team members
Over 400 team members across the Wholesale platform located throughout the U.S., Canada, and U.K. dedicated to serving Energy customers
Experienced management team
Dedicated, industry-focused Energy group for 40+ years
Management team has a 13-year average tenure at Wells Fargo
Business description
One of the largest capital providers in the Energy sector
Active across the upstream, midstream, and services sectors for companies of all sizes
Wholesale Banking 48 Wells Fargo 2014 Investor Day
Energy overview
Other 4%
Midstream 20%
Services & equipment
22%
Upstream 54%
Lending Commitments by Sector (2)
Market leader in a growing, capital intensive industry
540+ relationships (1)
8 products per relationship (1)
(1) Data as of February 2014 for Corporate Banking Energy relationships >$10K PTPP. (2) Commitments as of 12/31/2013.
Wholesale Banking 49 Wells Fargo 2014 Investor Day
Energy market leadership
#1 high yield energy bookrunner (1)
#1 U.S. oil & gas loan syndications bookrunner (2)
#1 energy investment banking (3)
#1 energy high grade loan syndications (3)
#1 energy leveraged loan syndications (3)
#1 master limited partnership (MLP) equity bookrunner (4)
#3 energy equity bookrunner (5)
(1) WFS and Dealogic, by deals, 2013. (2) Thomson Reuters LPC, 2013. (3) Dealogic, U.S. only fee-based ranking, 2013. (4) Dealogic, by number of deals, 2010-2013. (5) Dealogic, by fees and number of deals, 2013.
Wholesale Banking 50 Wells Fargo 2014 Investor Day
Experienced, industry focused bankers that know their customers
Consistent, active presence providing capital throughout all cycles
A broad and deep platform that allows us to help our customers grow
Growth in the business has been driven by
Wholesale Banking 51 Wells Fargo 2014 Investor Day
Broad product platform supports our customers’ growth
Start-up
- Basic treasury
management
- Revolving credit
- Second lien
- Derivatives hedging
- Direct equity
investment
Growth - Expand treasury
management
- Leasing
- Syndicated financing
- Term loan
- High-yield issuance
- Advisory
- Corporate trust
Corporate/public - Foreign exchange
- International treasury
management
- Initial public offering/
equity issuance
- Shareowner services
- Wealth management
Wholesale Banking 52 Wells Fargo 2014 Investor Day
Broad product platform supports our customers’ growth
BreitBurn Energy Partners LP
(NASDAQ: BBEP)
Wells Fargo is:
Administrative agent and lead arranger on credit facilities
Acquisition underwriter
Bookrunner for senior notes offering
Bookrunner on IPO and follow-on equity offerings
Administrative agent and lead arranger on second lien facility
Co-investor including introduction of other equity investors
Treasury management provider
Commodity derivatives provider
Corporate trust provider
15+ year relationship with Wells Fargo
Wholesale Banking 53 Wells Fargo 2014 Investor Day
Energy financial performance
6,943
11,204 12,565
2011 2012 2013
CAGR = 34.5%
Total Loans (average balances)
4,034 4,557
6,477
2011 2012 2013
CAGR = 26.7%
Total Deposits (average balances)
CAGR 2011 – 2013
PTPP: 23.6% (1)
Net income: 24.0%
690
974 1,044
2011 2012 2013
Total Revenue
CAGR = 23.0%
($ in millions)
Loans, revenue, PTPP, and net income include the credit for products and services to customers in multiple businesses that are eliminated in Wholesale segment reporting. (1) Pre-tax pre-provision profit (PTPP) is total revenue less noninterest expense.
Wholesale Banking 54 Wells Fargo 2014 Investor Day
Spread and Fee Income (as a % of total revenue)
Noninterest Income
Net Interest Income
2013 Revenue
Energy’s revenue diversification
67%
62% 59%
8%
6%
5%
26%
5% 6%
44%
Commitment and LC Fees
Treasury Management
Net Interest Income
Equity Investment Gains
Investment Banking &
Capital Markets
Other NII
Risk Management
2011 2012 2013
41% 44%
37%
59% 56%
63%
Wholesale Banking 55 Wells Fargo 2014 Investor Day
BNP Paribas portfolio acquisition opportunity
BNP Paribas portfolio acquisition benefits:
Acquired $3.5 billion in loans on April 24, 2012
Well-established reputation as market leader with top-tier execution
Acquisition of new relationships
Experienced bankers with industry expertise and deep customer relationships
Significant cross-sell opportunity
4
5
8
BNPP 2012 BNPP 2013 EnergyBusiness
Products per Relationship
Wholesale Banking 56 Wells Fargo 2014 Investor Day
Positioned to serve the U.S. energy industry, which is capital intensive and has positive long-term growth prospects
Add new relationships and deepen existing relationships
Expand capabilities in our advisory and risk management businesses
Develop international presence to align with our customers’ global needs
Well positioned for continued growth
Wholesale Banking 57 Wells Fargo 2014 Investor Day
Commercial Real Estate
Mark Myers
Executive Vice President Head of Commercial Real Estate
Wholesale Banking 58 Wells Fargo 2014 Investor Day
The industry leader
In 2013 Wells Fargo originated more commercial real estate activity than any other competitor in (1):
Industrial Retail Hospitality Office building Affordable housing Fannie Mae Portfolio lender CMBS/conduit
(1) MBA Commercial Real Estate/Multifamily Finance Firms Annual Origination Volumes, year ending 12/31/13. (2) MBA Commercial/ Multifamily Mortgage Servicer Rankings, year-end 2013. (3) Company filings. (4) Real Estate Alert, 2013. (5) Dealogic, 2013. (6) Thomson Reuters LPC, 2013.
Product 2013 market position
Total commercial real estate originations in the U.S. (1)
#1 since 2009
Commercial mortgage servicer in the U.S. by size (2)
#1
REIT Preferred Equity bookrunner (Wells Fargo Securities) (3)
#1
Equity Sales Advisory (Eastdil Secured) (4)
#1
RE Public Equity bookrunner (Wells Fargo Securities) (5)
#2
REIT Loan Syndications by # of deals (Wells Fargo Securities) (6)
#2
RE High Grade Debt bookrunner by # of deals (Wells Fargo Securities) (3)
#2
RE M&A Advisory by # of deals (Wells Fargo Securities) (6)
#2
PERE is published by PEI, the only global B2B information group focused exclusively on private equity, private real estate, private debt, and infrastructure.
Wholesale Banking 59 Wells Fargo 2014 Investor Day
Relationships
Focus on long-term collaboration and building long-term relationships
Experienced commercial real estate investors, operators, and developers
Public and private equity REITs
Real estate investment management and private equity firms
Public and private homebuilders
Strong nonprofits that focus on community development, specifically Community Development Entities (CDEs) and Community Development Financial Institutions (CDFIs)
Our comprehensive Commercial Real Estate platform
Products and terms
Structured on-balance sheet and capital markets solutions
Products
Acquisition loans
Construction and bridge loans
Permanent loans
Note financing
Secured and unsecured credit facilities (term loans and revolvers)
Letters of credit
A&D and unit construction financing
A/B structures and mezzanine debt
Subscription lines of credit for investment management firms
Terms
$1 million to $500+ million
Recourse and non-recourse
Fixed and floating rates
All major property types
Specialty groups across platform
Tailored market-specific financing
Homebuilder Banking
Hospitality Finance
Senior Housing
REIT Finance
Real Estate Merchant Banking
Real Estate Capital Markets (Commercial Mortgage-Backed Securities)
Commercial Mortgage Servicing
Multifamily – Fannie Mae & Freddie Mac, FHA/HUD
Affordable Housing/LIHTC
New Markets Tax Credits
Equity Equivalent Investments
Real Estate Syndicated Finance
Asset Backed Finance
Eastdil Secured
Wells Fargo Securities
Wholesale Banking 60 Wells Fargo 2014 Investor Day
6,917
8,331
10,068
2011 2012 2013
Commercial Real Estate financial performance
CAGR = 20.6%
Total Deposits (average balances)
CAGR 2011 – 2013
PTPP: 23.8% (1)
Net income: 37.3%
1,811 2,322 2,517
2011 2012 2013
Total Revenue
CAGR = 17.9%
($ in millions)
Loans, revenue, PTPP, and net income include the credit for products and services to customers in multiple businesses that are eliminated in Wholesale segment reporting. (1) Pre-tax pre-provision profit (PTPP) is total revenue less noninterest expense.
47,412
58,709 62,612
2011 2012 2013
CAGR = 14.9%
Total Loans (average balances)
Wholesale Banking 61 Wells Fargo 2014 Investor Day
8%
80%
Commercial Real Estate’s revenue diversification
2011 2012 2013
Spread and Fee Income (as a % of total revenue)
2013 Revenue
19%
16% 20%
81%
84% 80%
Noninterest Income
Net Interest Income
2% Commitment and LC Fees
Net Interest Income
2% Treasury Management 2% ADC & Equity Investment
Investment Banking & Capital Markets
1% CMBS
2% Risk Management 3% Other
Wholesale Banking 62 Wells Fargo 2014 Investor Day
Competitive positioning and advantages
Experienced long-term commercial real estate management and relationship team in all markets with long local market tenure
Trusted advisor and certainty of execution, experience, and understanding of complex real estate transactions
Consistent commercial real estate lending and unwavering commitment to industry through all cycles
Strong balance sheet and willingness to use that balance sheet with larger hold positions across all property types
Evolved from simply providing credit, CMBS, and capital markets and advisory services (through Eastdil Secured) to fully integrated platform
Wholesale Banking 63 Wells Fargo 2014 Investor Day
Strong balance sheet leads to top market share
Rank Bank Outstandings ($ in millions)
% of Top 20 Banks
1 Wells Fargo $129,254 22%
2 JP Morgan $79,540 14%
3 Citi $73,728 13%
4 Bank of America $68,774 12%
5 US Bancorp $39,353 7%
6 PNC $32,653 6%
(1) Source: Federal Reserve Form FRY-9C Filings. Includes HFS, foreign, and other loans secured by RE as of 12/31/13. Top 20 Banks represents 35% of total industry bank lending.
Market Share by Commercial Real Estate Outstandings (1)
Wholesale Banking 64 Wells Fargo 2014 Investor Day
Consistent Commercial Real Estate lending through cycles
Strong balance sheet, industry commitment, and track record of performance through all cycles
Wells Fargo commercial real estate platform held relatively consistent origination levels
during 2008 – 2013 (1), benefitting our reputation and our experience
(1) MBA Commercial Real Estate/Multifamily Finance Firms Annual Origination Volumes, years ending 12/31/08 - 12/31/13.
Year
Number of Wells Fargo
transactions (1)
Wells Fargo transaction volume (1)
($ in millions)
Percent of total transactions in
market (1)
2013 10,477 $80,578 15.2%
2012 8,646 $63,806 16.9%
2011 7,767 $60,213 20.7%
2010 7,078 $44,845 25.8%
2009 7,705 $27,103 24.3%
2008 9,521 $37,566 15.5%
Wholesale Banking 65 Wells Fargo 2014 Investor Day
Trusted advisor with experienced local teams
Presence/coverage in markets across the U.S. Commercial real estate teams have in-depth
market knowledge and expertise that drive collaboration in the underwriting process across the entire platform
Average tenure for senior leaders is 24 years;
have managed through four market cycles Average tenure for team members is 11 years;
have experienced toughest market cycle
Ranked #1 in both loan volume and originations in the following growth markets in 2013 (1)
Charlotte, NC
Denver, CO
Los Angeles, CA
Miami & Orlando, FL
New York City, NY
Phoenix, AZ
Sacramento, CA
Salt Lake City, UT
San Diego, CA
San Francisco & San Jose, CA
Seattle, WA
Washington, DC
(1) MBA Commercial Real Estate/Multifamily Finance Firms Annual Origination Volumes, year ending 12/31/13. Includes Eastdil Secured.
Wholesale Banking 66 Wells Fargo 2014 Investor Day
The fully integrated platform
With a comprehensive, end-to-end real estate platform, Wells Fargo offers customers a broad platform of individual asset acquisition and balance sheet solutions to meet their investment, capital, and liquidity needs.
Customer
Individual asset acquisition solutions
Balance sheet (capital and liquidity) solutions
Asset level
banking
Corporate investment
banking
Commercial real estate lending
CMBS, mezzanine & warehouse lending
Loan syndications
Debt placement
Loan & property sales
Securities
Private & public equity
Public debt
Advisory / M&A
Wholesale Banking 67 Wells Fargo 2014 Investor Day
The strength of cross-sell
CRE is a credit business with a 93% credit product penetration rate
83% of CRE relationships also have a Treasury Management product with Wells Fargo
Top 50 CRE credit relationships have an average of 14 bank products and an average
tenure of 17 years with Wells Fargo
0% 10% 20% 30% 40%
Risk Management
Investments
Capital Markets & Advisory
Corporate Trust
Insurance
International
Shareowner Services
Cross-sell Product Penetration, by Product Family
Data as of February 2014 for Commercial Real Estate relationships >$10K PTPP.
Wholesale Banking 68 Wells Fargo 2014 Investor Day
Key growth opportunities
Opportunistic loan purchases from de-leveraging U.S. and European banks
Active internal programs to increase cross-sell across the platform and with additional bank products
Expansion of Homebuilder Banking division and launch of focused Senior Housing division
Relationship model allows focus on repeat business with those who provide the highest percentage of revenue
Expansion into U.K. and Canadian markets
Wholesale Banking 69 Wells Fargo 2014 Investor Day
U.K. expansion
2013 strategic acquisition of a £4.0 billion ($6.05 billion) portfolio of commercial real estate loans comprised of high-quality institutional assets throughout the U.K. with a focus in London. New CRE U.K. team has a strong, 20-year history in London and recognition as a market leader in the commercial real estate industry. The addition of the CRE U.K. team enables Wells Fargo to: Develop and deepen customer relationships where our
customers are going
Continue to grow our business and that of our customers in the U.K.
Layer our relationship model on top of the existing long-term relationships that the CRE U.K. team already has in place
Leverage the status of our platform to bring in new U.K.-based customers
Wholesale Banking 70 Wells Fargo 2014 Investor Day
Strong relationship model built for growth with public companies
RLJ Lodging Trust
(NYSE: RLJ)
Customer since 2002
Credit facility lead arranger and administrative agent
Unsecured term loan lead arranger and administrative agent
Bookrunner on initial public offering and first follow-on equity offering (1)
Interest rate risk management (2)
Cash management services / treasury management (3)
Shareowner services
Chesapeake Lodging Trust
(NYSE: CHSP)
Customer since 2010
Administrative agent and co-lead arranger on revolving credit facilities
Balance sheet lender for secured term loans
Physical bookrunner on preferred offering (1)
Bookrunner on follow-up equity offerings (1)
Interest rate risk management (2)
Treasury management (3)
(1) Wells Fargo Securities is the trade name for the capital markets and investment banking services of Wells Fargo & Company and its subsidiaries, including but not limited to Wells Fargo Securities, LLC, a member of NYSE, FINRA, NFA and SIPC, Wells Fargo Institutional Securities, LLC, a member of FINRA and SIPC, Wells Fargo Prime Services, LLC, a member of FINRA, NFA and SIPC, and Wells Fargo Bank, N.A. Wells Fargo Securities, LLC carries and provides clearing services for Wells Fargo Institutional Securities, LLC customer accounts. (2) Derivative products are offered by Wells Fargo Bank, N.A. and are not bank deposits or FDIC insured. (3) Member FDIC. (4) Products and services are offered through Wells Fargo Insurance Services USA, Inc., and Wells Fargo Insurance Services of West Virginia, Inc., non-bank insurance agency affiliates of Wells Fargo & Company. Products and services are underwritten by unaffiliated insurance companies except crop and flood insurance, which may be underwritten by an affiliate, Rural Community Insurance Company. Some services require additional fees and may be offered directly through third-party providers. Banking and insurance decisions are made independently and do not influence each other.
The Macerich Company
(NYSE: MAC)
Customer since 1995
Administrative agent and lead arranger on secured credit facilities
Joint lead arranger on unsecured credit facility
Balance sheet term and construction financing
Bookrunner on follow-on equity offerings (1)
Treasury management (3)
CMBS financing
Property sales advisory
Insurance services (4)
Brixmor Property Group
(NYSE: BRX)
Customer since 2011
Joint lead arranger for unsecured credit facility and unsecured term loan
Bookrunner on initial public offering (1)
Interest rate risk management (2)
CMBS and balance sheet financing
Treasury management (3)
Wholesale Banking 71 Wells Fargo 2014 Investor Day
Strong relationship model built for growth with private developers
Range of solutions
Commercial real estate platform Eastdil Secured
Term financing
3, 5, 7, 10 year available
Non-recourse and recourse financing
Bridge financing
Incremental financing to permanent takeout through potential sale or refinancing
CMBS financing
Attractive current market interest rates
Moderate to higher leverage available in the CMBS market
Non-recourse financing
5, 7, 10 year available
Loan syndications
Access to broader real estate debt market via loan syndications
Property sale advisory
Ability to maximize value of asset
Contribution to REIT via OP units, which provide tax protection and potential for upside participation
Capability to access global capital sources
Private equity
Arrange third party capital infusion while maintaining control of the asset
Secured debt placement
Provide access to broader life insurance, pension fund, and offshore financing opportunities
Hypothetical situation:
A developer owns a shopping center with short-term financing coming due and overall liquidity needs. The Wells Fargo platform has a uniquely broad set of solutions to offer.
Approach:
Understand the customer’s specific situation and relevant available products to deliver a solution that is designed to achieve the customer’s objectives.
All securities products and services offered through Wells Fargo Securities, LLC.
Wholesale Banking 72 Wells Fargo 2014 Investor Day
Differentiating factors
Strong industry focus and willingness to use our balance sheet to provide certainty of execution at all times for our relationships
Proven ongoing commitment to industry and relationships by remaining an active force in the market through all cyclical environments
Team of commercial real estate professionals with long average tenures and experience through difficult economic environments
Uniquely broad and diverse platform makes us a one-stop shop for all financial solutions for this sector
Wholesale Banking 73 Wells Fargo 2014 Investor Day
Treasury Management
Danny Peltz
Executive Vice President Head of Treasury Management
Wholesale Banking 74 Wells Fargo 2014 Investor Day
A core relationship product
Treasury Management supports Wholesale, Business Banking, and Wealth Management customers
Treasury Management, along with credit, is a cornerstone of healthy, long-term relationships
It is the financial heartbeat our customers depend on to run their businesses day to day
And it helps us understand our customers’ businesses better
Our solutions give customers technology-based workflows to manage cash flows and optimize working capital availability
A full service offering
Payments ACH
Wires
Commercial Card
Controlled Disbursements
Collections Lockbox
Cash Vault
Merchant Solutions
Electronic Receivables
Information Intraday Visibility
Multibank Reporting
Cash Forecasting
Deposits Sweep Services
Investment Balances
Multicurrency Accounts
Channels Commercial Electronic Office® portal
Direct Data Connections
Mobile
Wholesale Banking 75 Wells Fargo 2014 Investor Day
Competitive advantages
Size and scale
Single nationwide service and delivery platform
Comprehensive suite of products for all market segments
#1 industry rank in ACH payments, with a proprietary platform that enables us to make changes quickly to meet new market opportunities (1)
Depth of experience in our business
TM Operating Committee members with an average of 20 years of Wells Fargo experience
3,800 team members vertically integrated across the sales, product, and service delivery lifecycle, with an average of 13 years at Wells Fargo
Culture of continuous improvement
Market-leading ethnography discipline strengthens relationships and solicits feedback on customers’ emerging needs
15+ years of investment in product innovation and payments technology, outpacing competitors
(1) NACHA - The Electronic Payments Association, 2014.
Wholesale Banking 76 Wells Fargo 2014 Investor Day
A single nationwide platform
Sales Consultant locations (134)
Lockbox sites (19)
Cash Vault sites (122)
Placing our sales people and product delivery where customers do business
Wholesale Banking 77 Wells Fargo 2014 Investor Day
0
200
400
600
800
2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013
A single online portal for the entire relationship
The Commercial Electronic Office® (CEO®) portal extends our reach
(1) Active users are those with a log-in in the 6 months ending December 31, 2013.
2013 highlights
$11.5 trillion moved online
52 million logins
87 applications
Active CEO users (1)
(thousands)
Warehouse Finance
Self Administration
Remote Deposit
Insurance
FX
Trust & Investments
Wires & ACH Payments
Commercial Card Reporting
Cash Forecasting
Market-Linked Investments
Health Savings Accounts
CEO Mobile Channel
Mutual Fund Trading
Credit & TM Reporting
676
Wholesale Banking 78 Wells Fargo 2014 Investor Day
Market recognition
Independent customer
surveys confirm we exceed
expectations
Received A+ or A grades in 17 of 25 product qualities in a survey of middle-market customers (1)
- More than twice the number of A+ grades than the rest of the top five U.S. banks combined
Received A+ or A grades in 22 of 25 product qualities in a survey of large corporate customers (1)
- More A+ grades than the rest of the top five U.S. banks combined
(1) 2014 Phoenix-Hecht® Quality Index™.
How customers rate Wells Fargo Treasury Management (1)
Customer service
Relationship Manager overall
effectiveness
Product Average
Large Corporate A+ A+ A+
Middle Market A+ A A
Wholesale Banking 79 Wells Fargo 2014 Investor Day
Voice of the
Customer
Leadership in execution
Our approach puts the customer at the center of everything we do
Easy to do business with
Local distribution
Innovative product solutions
Build vs. buy philosophy
Continuous investment in our people
Multi-channel access
Align with relationship business
Delivery as competitive advantage
Anytime anywhere
Attract & cultivate talent
Highly integrated & customizable
Differentiated products
Wholesale Banking 80 Wells Fargo 2014 Investor Day
Investing for the future
We can no longer build for this
without delivering to all of these
Our competitive edge is increasingly based on how, not just what, we deliver
Wholesale Banking 81 Wells Fargo 2014 Investor Day
13%
25%
62%
Opportunity to continue to grow share
We have been growing twice as fast as the 3% rate of the industry as a whole (1)
The depth of our relationships allows us to continue to sell more products to our customer base
We have significant opportunity to grow business with every customer segment we serve
(1) Ernst & Young: 2013 Cash Management Survey of fee-equivalent revenues.
Providers ranked 6-20
Top 5 providers
Remaining 30 providers
We have the #3 share of the $16.8B U.S. Treasury Management market (1)
Wholesale Banking 82 Wells Fargo 2014 Investor Day
Growing by deepening relationships
We expanded our sales force 16% in the past 3 years, and have invested in internal tools and training to empower effectiveness in the field
Sales teams are organized and dedicated to specific market opportunities
Relationship segments
Geographic coverage aligns sales consultants with relationship teams
Commercial Banking
Corporate Banking
Business Banking
Wealth Management
Industry verticals
Deep industry expertise ensures our products fit customers’ needs
Retailers
Gaming
Energy / Utilities
Government
Education
Healthcare
Financial Institutions
Commercial Real Estate
Dealer Financial Services
Specialized products
Specific product expertise requires dedicated sales teams
Commercial Card
Merchant Card
Complex Electronic Commerce Solutions
International Treasury Management
Wholesale Banking 83 Wells Fargo 2014 Investor Day
Capturing opportunities for growth
Commercial Card
Aligning our customer solutions
with market trends
Fastest growing product in the industry, as customer use extends beyond T&E to invoice payments (1)
Wells Fargo commercial card purchasing volume has a 26% CAGR over the past four years
We are #5 in the market, with ample room to grow (1)
Paper to electronic
Customers look to us as a trusted adviser to facilitate change in their business processes
High-cost treasury operations are pushing customers to shift to electronic and automated tools
Integrating their systems with our platforms enables customers to realize efficiencies of straight-through processing
Rising rates
As day-to-day value of working capital increases, customers invest in more sophisticated Treasury Management solutions
Treasurers look to increase visibility and improve payment and collection controls
Smarter TM solutions accelerate the cash conversion cycle and deliver value directly to customers’ balance sheets
(1) Ernst & Young: 2013 Cash Management Survey of fee-equivalent revenues.
Wholesale Banking 84 Wells Fargo 2014 Investor Day
Summary
A core product for all relationships
Proven leadership
Investing for the future
Solution expertise to meet evolving customer needs
Positioned for growth
Biographies
Wholesale Banking 85 Wells Fargo 2014 Investor Day
Wholesale Banking 86
Timothy (Tim) J. Sloan is the head of the Wholesale Banking group and oversees Asset Management, Capital Markets, Commercial Banking, Commercial Real Estate, Asset Backed Finance, Equipment Finance, Corporate Banking, Insurance, International, Investment Banking, and Treasury Management groups as well as Wells Fargo Capital Finance. Tim serves on the Wells Fargo Operating and Management Committees and is based in Los Angeles.
A 27-year veteran of Wells Fargo & Company, Tim most recently served as the chief financial officer and was responsible for the financial management functions and the company’s corporate properties functions. Prior to that, Tim was chief administrative officer and managed Corporate Communications, Corporate Social Responsibility, Enterprise Marketing, Government Relations, and Corporate Human Resources for the enterprise.
From 1991 to 2010, Tim served in various leadership roles in Wholesale Banking including head of Commercial Banking, Real Estate and Specialized Financial Services. Prior to joining Wells Fargo as a vice president with the Loan Adjustment Group in 1987, he worked for three years at Continental Illinois Bank in Chicago.
Tim earned his B.A. in economics and history and his M.B.A. in finance and accounting, both from the University of Michigan in Ann Arbor.
With a strong commitment to community, Tim serves on the Board of Overseers of the Huntington Library, and is a member of the University of Michigan’s Ross School of Business Advisory Board. He is a trustee of Ohio Wesleyan University and the City of Hope.
Tim Sloan Senior Executive Vice President, Wholesale Banking
Wells Fargo 2014 Investor Day
Wholesale Banking 87
Perry Pelos is an executive vice president and group head of the Wells Fargo Commercial Banking Group. He is based in San Francisco. Commercial Banking provides loans, treasury management, and deposit products for middle-market businesses. The Commercial Banking group at Wells Fargo does more business with middle-market companies than any other bank in the United States.
Perry joined Wells Fargo in 1987 in the company’s Commercial Banking training program. He had several roles in Commercial and Corporate Banking, culminating with his heading the Corporate Banking Division in 1998. In 2000, he was named division manager for the Commercial Banking Central division. Perry assumed the role of group head of the Commercial Banking Group in 2010.
Perry received his B.A. in economics from Northwestern University and his M.B.A. in finance and accounting from Northwestern’s J.L. Kellogg Graduate School of Management.
His outside interests include board roles at the Bay Area Leadership Foundation, an organization that provides a path to college and career success for at-risk youth, and he is a board member and treasurer of the Bay Area Council, a business-sponsored, public-policy advocacy organization for the nine-county Bay Area. He currently serves as the co-chair of the Bay Area Community Support Campaign for Wells Fargo.
Perry Pelos Executive Vice President, Commercial Banking
Wells Fargo 2014 Investor Day
Wholesale Banking 88
Mike Johnson is an executive vice president and heads the Wells Fargo Corporate Banking Group. The group consists of a broad range of large corporate and industry specialized relationship businesses, including U.S. Corporate Banking, Financial Institutions, Energy, Healthcare, Power and Utilities, Gaming, Restaurant Finance, and Financial Sponsors. These businesses have aggregate loan commitments of approximately $107 billion and have more than 670 team members working in 37 offices across the United States. In addition, Mike oversees the Equity Funds Group, which manages a $2.4 billion portfolio of equity fund investments and select direct equity investments. He is based in San Francisco.
Mike joined Wells Fargo 31 years ago and has more than 35 years of diverse professional experience in corporate finance, commercial real estate, investment management, and capital markets. Prior to his current role, he was responsible for the Wells Fargo Debt Capital Markets and Investment Banking units as well as certain specialized relationship businesses; Debt Capital Markets included syndicated finance and private placements for corporate and commercial real estate borrowers.
A Kansas native, Mike earned his B.S. in business administration from Kansas State University in Manhattan, Kansas.
Active in the community, Mike serves on the Leadership Council for The Nature Conservancy of California and volunteers for Habitat for Humanity and other non-profits.
Mike Johnson Executive Vice President, Corporate Banking Group
Wells Fargo 2014 Investor Day
Wholesale Banking 89
Mark Myers is an executive vice president and heads the Wells Fargo Commercial Real Estate Group. Operating in regional offices in key cities throughout the United States as well as international operations in Toronto and London, Commercial Real Estate provides a comprehensive platform of banking and financing solutions to regional/national owners, operators and developers, institutional real estate funds, and REITs.
During Mark’s 30-year affiliation with Wells Fargo, he has held a number of senior leadership positions in the Real Estate, Corporate, Capital Markets and Special Situation Groups. Based in San Francisco, Mark is a member of Wells Fargo’s Management Committee.
Mark earned his B.S. degree from the University of California, Berkeley, and an M.B.A from the University of Oregon.
He currently serves on the board of trustees of the International Council of Shopping Centers (ICSC), as a trustee of the Urban Land Institute (ULI), is a member of the Real Estate Roundtable and is on the Policy Advisory Board Executive Committee of the Fisher Center for Real Estate at the University of California, Berkeley. Additionally, he serves as a member of various community and nonprofit boards.
Mark Myers Executive Vice President, Commercial Real Estate
Wells Fargo 2014 Investor Day
Wholesale Banking 90
Danny Peltz is an executive vice president and head of Wells Fargo Treasury Management, which offers the industry’s leading treasury solutions on a single, nationwide platform. Based in San Francisco, he is also a member of the Wells Fargo Management Committee.
Danny leads a team of more than 3,800 sales, marketing, product, implementation, operations, and service professionals. He also oversees Health Benefits Services, a premier provider of health savings accounts, and Wholesale Internet Solutions, which manages Wells Fargo’s internet and mobile channels for commercial customers, including the award-winning Commercial Electronic Office® (CEO®) portal.
A 24-year company veteran, Danny has been at the forefront of the paper-to-electronic revolution. Under Danny’s leadership, Wells Fargo has become an industry leader with world-class products and services.
Danny earned his bachelor’s degree from the University at Albany, State University of New York, graduating magna cum laude. He also has a master’s in business administration, with a focus in finance, from the University of Chicago, graduating with highest honors.
Danny Peltz Executive Vice President, Treasury Management
Wells Fargo 2014 Investor Day