Key indicators included:
- Loan and mortgage-backed securities portfolio of $122.5 billion compared with $123.0 billion at the end of December.
- Loan originations of $2.7 billion, including $840 million of Fixed Rate Pick-A-Payment loan product.
- Portfolio margin remained relatively stable; the loan portfolio repriced up 2 basis points:
- $52.9 billion of the loan portfolio supported by wholesale funding, the costs of which remained relatively flat as the 90-day LIBOR rate was unchanged at 5.36 percent.
- $69.4 billion of the loan portfolio funded at a Cost of Savings rate of 4.73 percent, which rose 4 basis points from the end of December.
- Deposits of $69.4 billion remained relatively stable.
- Nonperforming assets of $766 million rose 5 basis points to 61 basis points of total loans and mortgage-backed securities:
- World Savings loans classified as nonperforming by 90 days past due.
- 68 percent average loan-to-collateral value for nonperforming loans.
"We are pleased with our progress on the Golden West integration and the additional opportunities for Wachovia," said Tom Wurtz, Wachovia chief financial officer. "The introduction of new loan and deposit products within the World Savings franchise is aiding results in the face of an unfavorable yield curve environment and lower activity overall."
In November, Wachovia launched a Fixed Rate Pick-A-Payment loan product, which represented 31 percent of World Savings loan originations in January. In February, World Savings Bank branches began offering Free Checking with no direct deposit requirement and no minimum balance, as well as free Online Banking throughout its footprint.
Currently Wachovia has 385 mortgage consultants, including 185 added in February, in its financial centers focused on originating Pick-A-Payment and other mortgage products to its customer base. Plans are to have 800 mortgage consultants trained on all mortgage product offerings by the end of this year.
About Wachovia
Wachovia Corporation (NYSE:WB) is one of the nation's largest diversified financial services companies, providing a broad range of retail banking and brokerage, asset and wealth management, and corporate and investment banking products and services. Wachovia has retail and commercial banking operations in 21 states with 3,375 retail banking offices from Connecticut to Florida and west to Texas and California. In addition, two core businesses operate under the Wachovia Securities brand name: retail brokerage with 750 offices in 47 states and through service affiliate offices in Latin America, and corporate and investment banking in selected corporate and institutional sectors globally. Other nationwide businesses include mortgage lending in all 50 states and auto finance covering 46 states. Globally, Wachovia serves clients through more than 40 international offices. Online banking is available at wachovia.com; online brokerage products and services at wachoviasec.com, and investment products and services at evergreeninvestments.com. At Dec. 31, 2006, Wachovia had assets of $707 billion and market capitalization of $108 billion.
