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BANK OF THE WEST AND SUBSIDIARIES <br />CONSOLIDATED STATEMENTS OF INCOME <br />(dollars in thousands) <br />Interest income <br />Loans <br />Lease financing <br />Securities available for sale <br />Other <br />Total interest income <br />Interest expense <br />Deposits <br />Short-term borrowings <br />Long-term debt <br />Total interest expense <br />Net interest income <br />Provision for credit losses <br />Net interest income after provision for credit losses <br />Noninterest income <br />Service charges on deposit accounts <br />Trust and investment services income <br />Brokerage service fees <br />Credit and debit card fees <br />Other service charges and fees <br />Net gains (losses) on debt securities available for sale!° <br />Income from bank -owned life insurance <br />Net gains on customer accommodation derivatives <br />Loss on credit guarantee derivative <br />Write -downs of other real estate owned assets, net <br />Other <br />Total noninterest income <br />Noninterest expense <br />Salaries and employee benefits <br />Occupancy <br />Outside services <br />FDIC assessments <br />Intangible amortization <br />Equipment <br />Advertising and marketing <br />Collection and repossession <br />Other <br />Total noninterest expense <br />Income before income taxes and noncontrolling interest <br />Income tax expense <br />Net income before noncontrolling interest <br />Net income attributable to noncontrolling interest <br />Net income attributable to Bank of the West <br />u" Includes other -than -temporary impairment (OTTI) losses of $1.9 million and $8 <br />and $12.3 million of total OTTI losses, net of nil and $4.1 million recognized in <br />ended December 31, 2011 and 2010, respectively. <br />Year Ended December 31, <br />2011 2010 <br />$1,891,344 <br />134,069 <br />188,237 <br />5,797 <br />2,219,447 <br />$1,997,946 <br />144,464 <br />181,550 <br />4,470 <br />2,328,430 <br />156,459 255,502 <br />637 863 <br />154,108 289,020 <br />311,204 545,385 <br />1,908,243 1,783,045 <br />319,865 512,782 <br />1,588,378 1,270,263 <br />153,698 <br />18,684 <br />41,105 <br />109,503 <br />98,240 <br />34,099 <br />23,318 <br />15,603 <br />(6,351) <br />(34,174) <br />60,935 <br />173,556 <br />17,647 <br />46,336 <br />102,789 <br />89,323 <br />(35,951) <br />21,624 <br />10,271 <br />(73,201) <br />(36,770) <br />43,058 <br />514,660 358,682 <br />697,617 <br />134,434 <br />125,089 <br />85,060 <br />55,712 <br />56,558 <br />41,817 <br />33,710 <br />124,008 <br />1,354,005 <br />274,940 <br />89,600 <br />185,340 <br />740 <br />$ 184,600 <br />.2 million recognized in earnings ($1.9 million <br />other comprehensive income) for the years <br />The accompanying notes are an integral part of these consolidated financial statements. <br />-2- <br />2011 Bank of the West Annual Report <br />764,103 <br />131,606 <br />124,201 <br />61,886 <br />51,455 <br />56,328 <br />38,618 <br />47,320 <br />132,478 <br />1,407,995 <br />695,043 <br />251,936 <br />443,107 <br />1,096 <br />$ 442,011 <br />