Company: WFC-PC
Filing Date: 2025-04-29
Form Type: 10-Q
Source: 0000072971-25-000129
Chunk: 59

Company: WELLS FARGO & COMPANY/MN
Filing Date: 2025-04-29
Form: 10-Q
Item: Item 1
Chunk 59
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 comprehensive income. Net gains (losses) included in other comprehensive income for AFS debt securities were $0 for both first quarter 2025 and 2024. Net gains (losses) included in other comprehensive income for other assets and liabilities were $1 million and $(2) million for first quarter 2025 and 2024, respectively.(2)Includes originations of mortgage servicing rights and loans held for sale.(3)All assets and liabilities transferred into Level 3 were previously classified within Level 2.(4)All assets and liabilities transferred out of Level 3 are classified as Level 2.(5)All amounts represent net unrealized gains (losses) related to assets and liabilities held at period end included in net income except for AFS debt securities and other assets and liabilities which also included net unrealized gains (losses) related to assets and liabilities held at period end in other comprehensive income. Net unrealized gains (losses) included in other comprehensive income for AFS debt securities were $0 for both first quarter 2025 and 2024. Net unrealized gains (losses) included in other comprehensive income for other assets and liabilities were $1 million and $(2) million for first quarter 2025 and 2024, respectively.(6)Included in net gains from trading and securities on our consolidated statement of income.(7)Included in mortgage banking income on our consolidated statement of income.(8)For additional information on the changes in mortgage servicing rights, see Note 6 (Mortgage Banking Activities).(9)Included in mortgage banking income, net gains from trading and securities, and other noninterest income on our consolidated statement of income.(10)Included in other noninterest income on our consolidated statement of income.

98Wells Fargo & Company

Table 12.3 provides quantitative information about the valuation techniques and significant unobservable inputs used in the valuation of our Level 3 assets and liabilities measured at fair value on a recurring basis.Weighted averages of inputs are calculated using outstanding unpaid principal balances of loans serviced for residential MSRs and notional amounts for derivative instruments.Table 12.3:  Valuation Techniques – Recurring Basis  ($ in millions, except cost to service amounts)Fair Value Level 3Valuation TechniqueSignificantUnobservable InputRange of Inputs Weighted AverageMarch 31, 2025Mortgage servicing rights (residential)$6,536 Discounted cash flowCost to service per loan (1)$60 -445 102