Company: WFC-PC
Filing Date: 2025-04-29
Form Type: 10-Q
Source: 0000072971-25-000129
Chunk: 170

Company: WELLS FARGO & COMPANY/MN
Filing Date: 2025-04-29
Form: 10-Q
Item: Item 12
Chunk 170
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 our 2024 Form 10-K.Table 12.7 reflects differences between the fair value carrying amount of the assets and liabilities for which we have elected the fair value option and the contractual aggregate unpaid principal amount at maturity.Table 12.7:  Fair Value OptionMarch 31, 2025December 31, 2024(in millions)Fair value carrying amountAggregate unpaid principalFair value carrying amount less aggregate unpaid principalFair value carrying amountAggregate unpaid principalFair value carrying amount less aggregateunpaidprincipalLoans held for sale (1)$4,310 4,416 (106)4,713 4,864 (151)Interest-bearing deposits(173)(173)— (318)(317)(1)Long-term debt (2)(4,069)(4,680)611 (3,495)(4,118)623 (1)Nonaccrual loans and loans 90 days or more past due and still accruing included in LHFS for which we have elected the fair value option were insignificant at March 31, 2025, and December 31, 2024.(2)Includes zero coupon notes for which the aggregate unpaid principal amount reflects the contractual principal due at maturity.Table 12.8 reflects amounts included in earnings related to initial measurement and subsequent changes in fair value, by income statement line item, for assets and liabilities for which the fair value option was elected. Amounts recorded in net interest income are excluded from the table below.Table 12.8:  Gains (Losses) on Changes in Fair Value Included in Earnings20252024(in millions)Mortgage banking noninterest incomeNet gains from trading and securitiesOther noninterest incomeMortgage banking noninterest incomeNet gains from trading and securitiesOther noninterest incomeQuarter ended March 31,Loans held for sale$21 (3)— 23 18 — Interest-bearing deposits— — — — 2 — Long-term debt— (26)— — 41 — 

For performing loans, instrument-specific credit risk gains or losses are derived principally by determining the change in fair value of the loans due to changes in the observable or implied credit spread. Credit spread is the market yield on the loans less the relevant risk-free benchmark interest rate. For nonperforming loans, we attribute all changes in fair value to instrument-specific credit risk. For LHFS accounted for under the fair value option, instrument-specific credit gains or losses were insignificant