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EXHIBIT 10(a)




WELLS FARGO & COMPANY

PERFORMANCE-BASED COMPENSATION POLICY



     1.     Purpose. The purpose of the Wells Fargo & Company Performance-Based
Compensation Policy (the “Policy”) is to establish one or more performance
goals for payment of incentive compensation other than stock options and the
maximum amount of such incentive compensation that may be paid to certain
executive officers. It is the intention of the Section 162(m) Committee (the
“Committee”) of the Board of Directors of the Company that incentive
compensation awarded to each Covered Executive Officer (as defined below) be
deductible by the Company for federal income tax purposes in accordance with
Section 162(m) of the Internal Revenue Code of 1986, as amended (the “Code”),
any regulations promulgated thereunder, and ruling or advisory opinions
published by the Internal Revenue Service related thereto (the “Regulations”).



     2.     
Covered Executive Officers. This Policy shall apply to any
individual (a “Covered Executive Officer”) who, on the last day of a taxable
year is (a) the chief executive officer of the Company or is acting in such
capacity, or (b) is among the four highest compensated executive officers
(other than the chief executive officer) of the Company. Whether an individual
is the chief executive officer or among the four highest compensated executive
officers shall be determined pursuant to the executive compensation disclosure
rules under the Securities Exchange Act of 1934.



     3.     Incentive Compensation Award/Establishment of Performance Goals. An
incentive compensation award to a Covered Executive Officer may be paid in the
form of cash, stock, or restricted stock, or any combination thereof. Payment
of an incentive compensation award to a Covered Executive Officer will be
contingent upon the attainment of the performance goal or goals for the
Performance Period established for such Covered Executive Officer by the
Committee as provided herein. The Committee shall retain the discretion to
reduce the incentive compensation award payable to a Covered Executive Officer,
notwithstanding attainment of any performance goal. The incentive compensation
award determined and approved by the Committee to be payable to the chief
executive officer of the Company shall be submitted to the Board of Directors
for ratification.



     The Committee shall establish in writing one or more performance goals to
be attained (which performance goals may be stated as alternative performance
goals) for a Performance Period for each Covered Executive Officer on or before
the latest date permitted under Section 162(m) of the Code or the Regulations.
Performance goals may be based on any one or more of the following business
criteria (as defined in paragraph 4 below) as the Committee may select:





	 	•	 	Earnings Per Share
	 
	 	•	 	Business Unit Net Earnings
	 
	 	•	 	Return on Realized Common Equity



     The maximum amount of an incentive compensation award for any Performance
Period to any Covered Executive Officer shall be a dollar amount not to exceed
one-half of one percent (0.5%) of the Company’s Net Income (as defined below).



     4.     Definitions. For purposes of this Policy and for determining whether
a particular performance goal is attained, the following terms shall have the
meanings given them below:





		
	 	     (a) The term “Business Unit Net Earnings” shall mean the net
earnings of the business unit of the Company managed by a Covered Executive
Officer, as determined in accordance with generally accepted accounting
principles, adjusted in accordance with the Company’s management accounting
practices and conventions in effect at the beginning of the Performance
Period, and as further adjusted in the same manner as provided below for
Net Income.



 







 





		
	 	     (b) The term “Earnings Per Share” shall mean the Company’s diluted
earnings per share as reported in the Company’s consolidated financial
statements for the Performance Period, adjusted in the same manner as
provided below for Net Income.





		
	 	     (c) The term “Net Income” shall mean the Company’s net income for
the applicable Performance Period as reported in the Company’s consolidated
financial statements, adjusted to eliminate the effect of (1) losses
resulting from discontinued operations; (2) extraordinary gains or losses;
(3) the cumulative effect of changes in generally accepted accounting
principles; and (4) any other unusual or non-recurring gain or loss which
is separately identified and quantified.





		
	 	     (d) The term “Performance Period” shall mean a calendar year,
commencing January 1 and ending December 31.





		
	 	     (e) The term “Return on Realized Common Equity” shall mean the Net
Income of the Company on an annualized basis less dividends accrued on
outstanding preferred stock, divided by the Company’s average total common
equity excluding average accumulated comprehensive income as reported in
the Company’s consolidated financial statements for the Performance Period.



     5.     Applicability of Certain Provisions of the Long-Term Incentive
Compensation Plan and the Deferred Compensation Plan to Incentive Compensation
Awards. An incentive compensation award paid in stock or restricted stock
pursuant to this Policy shall be governed by the provisions (other than
provisions with respect to the computation of such award) of the Company’s
Long-Term Incentive Compensation Plan. Deferral of an incentive compensation
award paid in cash under this Policy shall be made pursuant to the provisions
of the Company’s Deferred Compensation Plan.



     6.     Effective Date; Amendment and Termination. Subject to approval by
the stockholders of the Company, this Policy shall be effective as of January
1, 2003, and shall supercede the performance-based compensation policy approved
by the stockholders on April 28, 1998. No incentive compensation award shall be
paid pursuant to this Policy unless this Policy has been approved by the
stockholders of the Company. The Committee may at any time terminate, suspend,
amend or modify this Policy except that stockholder approval shall be required
for any amendment or modification to this Policy that, in the opinion of
counsel, would be required by Section 162(m) of the Code or the Regulations.