Company: WFC-PC
Filing Date: 2025-08-26
Form Type: S-3/A
Source: 0001193125-25-188722
Chunk: 196

Company: WELLS FARGO & COMPANY/MN
Filing Date: 2025-08-26
Form: S-3/A
Chunk 196
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 “economically significant.”

A significant modification would generally result in the variable rate debt securities
being treated as terminated and reissued for U.S. federal income tax purposes. Such a deemed exchange could at the time be considered a recapitalization for U.S. federal income tax purposes, in which case a holder generally would not recognize any
gain or loss (except to the extent that new debt securities are deemed issued in exchange for accrued and unpaid interest). If such a deemed exchange was not considered a recapitalization for U.S. federal income tax purposes, a holder might be
required to recognize gain or loss with respect to the variable rate debt securities and income in respect of accrued and unpaid interest, and the holding period in the hands of the holder for the variable rate debt securities could be affected. Any
amount attributable to accrued and unpaid interest would be taxed as ordinary interest income to the extent not previously included in income by the holder. Depending on the facts at the time of a Benchmark Replacement or Non-USD Benchmark Replacement, as applicable, resulting in the significant modification, the reissued variable rate debt securities could be characterized for U.S. federal income tax purposes in a manner different
from their original treatment, which could have a significant and potentially adverse effect on the timing and character of income with respect to the variable rate debt securities.

You should consult your tax adviser regarding the tax consequences of the designation of a Benchmark Replacement or Non-USD Benchmark Replacement, as applicable.

Contingent Payment Debt Securities.If debt
securities provide for variable rates of interest or other contingent payments but fail to qualify as variable rate debt securities under the rules described above, then the debt securities may become subject to the Treasury regulations governing
“contingent payment debt instruments” (“”). Under these Treasury regulations, a U.S. Holder of contingent payment debt securities generally would be required to accrue interest income each
taxable year based upon a “comparable yield” for a hypothetical fixed rate debt instrument with no contingent payments but with terms and conditions otherwise similar to the contingent payment debt securities, but in any event not less
than the applicable Federal rate (based on the overall maturity of the debt securities). We would be required to determine the comparable yield and prepare, solely for U.S. federal income tax purposes, a projected payment schedule that includes all non-contingent payments and estimates of the amount and timing of all contingent payments on the debt securities.

If the actual contingent payments made on the contingent payment debt securities in a taxable year differ from the projected contingent