MERRILL LYNCH & CO., INC.
Exhibit 99(i)
Attachment I
PRELIMINARY UNAUDITED EARNINGS SUMMARY
U.S. GAAP BASIS For the Three Months Ended Percent Inc / (Dec)
-------------------------------------------- -----------------------
December 27, September 27, December 28, 4Q02 vs. 4Q02 vs.
(in millions, except per share amounts) 2002 2002 2001 3Q02 4Q01
----------- ------------ ----------- -------- --------
NET REVENUES
Commissions $ 1,071 $ 1,122 $ 1,195 (4.5)% (10.4)%
Principal transactions 358 377 586 (5.0) (38.9)
Investment banking
Underwriting 420 332 538 26.5 (21.9)
Strategic advisory 163 163 210 - (22.4)
Asset management and portfolio service fees 1,106 1,217 1,279 (9.1) (13.5)
Other 148 165 82 (10.3) 80.5
------- ------- -------
Subtotal 3,266 3,376 3,890 (3.3) (16.0)
Interest and dividend revenues 3,212 3,484 3,684 (7.8) (12.8)
Less interest expense 2,273 2,498 2,822 (9.0) (19.5)
------- ------- -------
Net interest profit 939 986 862 (4.8) 8.9
------- ------- -------
TOTAL NET REVENUES 4,205 4,362 4,752 (3.6) (11.5)
------- ------- -------
NON-INTEREST EXPENSES
Compensation and benefits 1,983 2,228 2,291 (11.0) (13.4)
Communications and technology 434 421 537 3.1 (19.2)
Occupancy and related depreciation 225 218 257 3.2 (12.5)
Brokerage, clearing, and exchange fees 175 182 198 (3.8) (11.6)
Advertising and market development 114 125 128 (8.8) (10.9)
Professional fees 155 135 137 14.8 13.1
Office supplies and postage 62 62 83 - (25.3)
Goodwill amortization - - 51 - (100.0)
Other 145 130 346 11.5 (58.1)
Research related expenses 100 - - N/M N/M
(Recoveries)/expenses related to September 11 (21) (191) 43 (89.0) N/M
Restructuring and other charges 10 (2) 2,193 N/M (99.5)
------- ------- -------
TOTAL NON-INTEREST EXPENSES 3,382 3,308 6,264 2.2 (46.0)
------- ------- -------
EARNINGS (LOSS) BEFORE INCOME TAXES AND DIVIDENDS ON PREFERRED
SECURITIES ISSUED BY SUBSIDIARIES 823 1,054 (1,512) (21.9) N/M
Income tax expense (benefit) 173 313 (297) (44.7) N/M
Dividends on preferred securities issued by subsidiaries 47 48 49 (2.1) (4.1)
------- ------- -------
NET EARNINGS (LOSS) $ 603 $ 693 $(1,264) (13.0) N/M
======= ======= =======
PREFERRED STOCK DIVIDENDS $ 9 $ 10 $ 9 - -
======= ======= =======
EARNINGS (LOSS) PER COMMON SHARE
Basic $ 0.68 $ 0.79 $ (1.51) (13.9) N/M
Diluted $ 0.63 $ 0.73 $ (1.51) (13.7) N/M
AVERAGE SHARES USED IN COMPUTING EARNINGS PER COMMON SHARE
Basic 868.2 864.6 845.7 0.4 2.7
Diluted 942.9 934.5 845.7 0.9 11.5
ANNUALIZED RETURN ON AVERAGE COMMON EQUITY 10.7% 12.7% N/M
- ------------------------------------------------------------------------------------------------------------------------------------
Note: Certain prior period amounts have been reclassified to conform to the current period presentation.
13
MERRILL LYNCH & CO., INC.
Exhibit 99(i)
Attachment II
PRELIMINARY UNAUDITED EARNINGS SUMMARY
OPERATING BASIS For the Three Months Ended Percent Inc / (Dec)
----------------------------------------- ---------------------
December 27, September 27, December 28, 4Q02 vs. 4Q02 vs.
(in millions, except per share amounts) 2002 2002 2001 3Q02 4Q01
----------- ------------ ----------- -------- --------
NET REVENUES
Commissions $ 1,071 $ 1,122 $ 1,195 (4.5)% (10.4)%
Principal transactions 358 377 586 (5.0) (38.9)
Investment banking
Underwriting 420 332 538 26.5 (21.9)
Strategic advisory 163 163 210 - (22.4)
Asset management and portfolio service fees 1,106 1,217 1,279 (9.1) (13.5)
Other 148 165 82 (10.3) 80.5
------- ------- -------
Subtotal 3,266 3,376 3,890 (3.3) (16.0)
Interest and dividend revenues 3,212 3,484 3,684 (7.8) (12.8)
Less interest expense 2,273 2,498 2,822 (9.0) (19.5)
------- ------- -------
Net interest profit 939 986 862 (4.8) 8.9
------- ------- -------
TOTAL NET REVENUES 4,205 4,362 4,752 (3.6) (11.5)
------- ------- -------
NON-INTEREST EXPENSES
Compensation and benefits 1,983 2,228 2,291 (11.0) (13.4)
Communications and technology 434 421 537 3.1 (19.2)
Occupancy and related depreciation 225 218 257 3.2 (12.5)
Brokerage, clearing, and exchange fees 175 182 198 (3.8) (11.6)
Advertising and market development 114 125 128 (8.8) (10.9)
Professional fees 155 135 137 14.8 13.1
Office supplies and postage 62 62 83 - (25.3)
Goodwill amortization - - 51 - (100.0)
Other 145 130 346 11.5 (58.1)
------- ------- -------
TOTAL NON-INTEREST EXPENSES 3,293 3,501 4,028 (5.9) (18.2)
------- ------- -------
OPERATING EARNINGS BEFORE INCOME TAXES AND DIVIDENDS ON
PREFERRED SECURITIES ISSUED BY SUBSIDIARIES 912 861 724 5.9 26.0
Income tax expense 250 235 184 6.4 35.9
Dividends on preferred securities issued by subsidiaries 47 48 49 (2.1) (4.1)
------- ------- -------
OPERATING EARNINGS $ 615 $ 578 $ 491 6.4 25.3
======= ======= =======
Research related expenses, net of income tax (benefit) of $(35) (65) - - N/M N/M
Recoveries/(expenses) related to September 11, net of income
tax expense (benefit) of $9, $77 and $(13), respectively 12 114 (30) (89.5) N/M
Restructuring and other charges, net of income tax expense
(benefit) of $(51), $1 and $(468), respectively 41 1 (1,725) N/M N/M
------- ------- -------
NET EARNINGS (LOSS) $ 603 $ 693 $(1,264) (13.0) N/M
======= ======= =======
PREFERRED STOCK DIVIDENDS $ 9 $ 10 $ 9 - -
======= ======= =======
OPERATING EARNINGS PER COMMON SHARE
Basic $ 0.70 $ 0.66 $ 0.57 6.1 22.8
Diluted $ 0.64 $ 0.61 $ 0.51 4.9 25.5
EARNINGS PER COMMON SHARE
Basic $ 0.68 $ 0.79 $ (1.51) (13.9) N/M
Diluted $ 0.63 $ 0.73 $ (1.51)(A) (13.7) N/M
AVERAGE SHARES USED IN COMPUTING EARNINGS PER COMMON SHARE
Basic 868.2 864.6 845.7 0.4 2.7
Diluted 942.9 934.5 938.0 0.9 0.5
- -------------------------------------------------------------------------------------------------------------------------------
Notes: Operating earnings, which exclude research related expenses, recoveries/expenses related to
September 11 and restructuring and other charges, should not be considered an alternative to net
earnings (as determined in accordance with accounting principles generally accepted in the United
States), but rather as a measure considered relevant by management in comparing current year results
with prior year results. For U.S. GAAP quarterly Preliminary Unaudited Earnings Summary, see Attachment I.
(A) Based on 845.7 diluted shares.
Certain prior period amounts have been reclassified to conform to the current period presentation.
14
MERRILL LYNCH & CO., INC.
Exhibit 99(i)
Attachment III
PRELIMINARY UNAUDITED EARNINGS SUMMARY
U.S. GAAP BASIS For the Year Ended
--------------------------
December 27, December 28, Percent
(in millions, except per share amounts) 2002 2001 Inc / (Dec)
----------- ----------- -----------
NET REVENUES
Commissions $ 4,626 $ 5,266 (12.2)%
Principal transactions 2,340 3,930 (40.5)
Investment banking
Underwriting 1,741 2,438 (28.6)
Strategic advisory 703 1,101 (36.1)
Asset management and portfolio service fees 4,914 5,351 (8.2)
Other 751 528 42.2
------- -------
Subtotal 15,075 18,614 (19.0)
Interest and dividend revenues 13,178 20,143 (34.6)
Less interest expense 9,645 16,877 (42.9)
------- -------
Net interest profit 3,533 3,266 8.2
------- -------
TOTAL NET REVENUES 18,608 21,880 (15.0)
------- -------
NON-INTEREST EXPENSES
Compensation and benefits 9,426 11,269 (16.4)
Communications and technology 1,741 2,232 (22.0)
Occupancy and related depreciation 909 1,077 (15.6)
Brokerage, clearing, and exchange fees 727 895 (18.8)
Advertising and market development 540 703 (23.2)
Professional fees 552 545 1.3
Office supplies and postage 258 349 (26.1)
Goodwill amortization - 207 (100.0)
Other 611 902 (32.3)
Research related expenses 211 - N/M
(Recoveries)/expenses related to September 11 (212) 131 N/M
Restructuring and other charges 8 2,193 (99.6)
------- -------
TOTAL NON-INTEREST EXPENSES 14,771 20,503 (28.0)
------- -------
EARNINGS BEFORE INCOME TAXES AND DIVIDENDS ON PREFERRED
SECURITIES ISSUED BY SUBSIDIARIES 3,837 1,377 178.6
Income tax expense 1,069 609 75.5
Dividends on preferred securities issued by subsidiaries 191 195 (2.1)
------- -------
NET EARNINGS $ 2,577 $ 573 349.7
======= =======
PREFERRED STOCK DIVIDENDS $ 38 $ 38 -
======= =======
EARNINGS PER COMMON SHARE
Basic $ 2.94 $ 0.64 359.4
Diluted $ 2.69 $ 0.57 371.9
AVERAGE SHARES USED IN COMPUTING EARNINGS PER COMMON SHARE
Basic 862.3 838.7 2.8
Diluted 942.2 938.6 0.4
ANNUALIZED RETURN ON AVERAGE COMMON EQUITY 12.0% 2.7%
- -----------------------------------------------------------------------------------------------------------
Note: Certain prior period amounts have been reclassified to conform to the current period presentation.
15
MERRILL LYNCH & CO., INC.
Exhibit 99(i)
Attachment IV
PRELIMINARY UNAUDITED EARNINGS SUMMARY
OPERATING BASIS For the Year Ended
--------------------------
December 27, December 28, Percent
(in millions, except per share amounts) 2002 2001 Inc/(Dec)
----------- ------------- -------------
NET REVENUES
Commissions $ 4,626 $ 5,266 (12.2)%
Principal transactions 2,340 3,930 (40.5)
Investment banking
Underwriting 1,741 2,438 (28.6)
Strategic advisory 703 1,101 (36.1)
Asset management and portfolio service fees 4,914 5,351 (8.2)
Other 751 528 42.2
------- -------
Subtotal 15,075 18,614 (19.0)
Interest and dividend revenues 13,178 20,143 (34.6)
Less interest expense 9,645 16,877 (42.9)
------- -------
Net interest profit 3,533 3,266 8.2
------- -------
TOTAL NET REVENUES 18,608 21,880 (15.0)
------- -------
NON-INTEREST EXPENSES
Compensation and benefits 9,426 11,269 (16.4)
Communications and technology 1,741 2,232 (22.0)
Occupancy and related depreciation 909 1,077 (15.6)
Brokerage, clearing, and exchange fees 727 895 (18.8)
Advertising and market development 540 703 (23.2)
Professional fees 552 545 1.3
Office supplies and postage 258 349 (26.1)
Goodwill amortization - 207 (100.0)
Other 611 902 (32.3)
------- -------
TOTAL NON-INTEREST EXPENSES 14,764 18,179 (18.8)
------- -------
OPERATING EARNINGS BEFORE INCOME TAXES AND DIVIDENDS ON
PREFERRED SECURITIES ISSUED BY SUBSIDIARIES 3,844 3,701 3.9
Income tax expense 1,101 1,125 (2.1)
Dividends on preferred securities issued by subsidiaries 191 195 (2.1)
------- -------
OPERATING EARNINGS $ 2,552 $ 2,381 7.2
======= =======
Research related expenses, net of income tax (benefit) of $(68) (143) - N/M
Recoveries/(expenses) related to September 11, net of income tax
expense (benefit)of $86 and $(48), respectively 126 (83) N/M
Restructuring and other charges, net of income tax expense
(benefit) of $(50) and $(468), respectively 42 (1,725) N/M
------- -------
NET EARNINGS $ 2,577 $ 573 349.7
======= =======
PREFERRED STOCK DIVIDENDS $ 38 $ 38 -
======= =======
OPERATING EARNINGS PER COMMON SHARE
Basic $ 2.92 $ 2.79 4.7
Diluted $ 2.67 $ 2.50 6.8
EARNINGS PER COMMON SHARE
Basic $ 2.94 $ 0.64 359.4
Diluted $ 2.69 $ 0.57 371.9
AVERAGE SHARES USED IN COMPUTING EARNINGS PER COMMON SHARE
Basic 862.3 838.7 2.8
Diluted 942.2 938.6 0.4
- --------------------------------------------------------------------------------------------------------------
Notes: Operating earnings, which exclude research related expenses, recoveries/expenses related to
September 11 and restructuring and other charges, should not be considered an alternative to net
earnings (as determined in accordance with accounting principles generally accepted in the United
States), but rather as a measure considered relevant by management in comparing current year results
with prior year results. For U.S. GAAP full year Preliminary Unaudited Earnings Summary, see Attachment III.
Certain prior period amounts have been reclassified to conform to the current period presentation.
16
MERRILL LYNCH & CO., INC.
Exhibit 99(i)
Attachment V
PRELIMINARY SEGMENT DATA (UNAUDITED)
For the Three Months Ended For the Year Ended
----------------------------------------- -------------------------
December 27, September 27, December 28, December 27, December 28,
(dollars in millions) 2002 2002 2001 2002 2001
----------- ------------ ---------- ----------- -----------
GLOBAL MARKETS & INVESTMENT BANKING
Non-interest revenues $ 1,146 $ 1,269 $ 1,484 $ 6,171 $ 8,466
Net interest profit 631 679 487 2,259 1,809
------- ------- ------- ------- -------
Total net revenues 1,777 1,948 1,971 8,430 10,275
------- ------- ------- ------- -------
Pre-tax earnings before September 11 recoveries/
expenses, and restructuring and other charges 558 519 434 2,376 2,810
Pre-tax earnings (loss) 547 569 (399) 2,415 1,977
Pre-tax profit margin before September 11 recoveries/
expenses and restructuring and other charges 31.4% 26.6% 22.0% 28.2% 27.3%
Pre-tax profit margin 30.8% 29.2% N/M 28.6% 19.2%
---------------------------------------------------------------------------------------------------------------------------
GLOBAL PRIVATE CLIENT
Non-interest revenues $ 1,806 $ 1,763 $ 1,993 $ 7,445 $ 8,399
Net interest profit 318 325 386 1,336 1,518
------- ------- ------- ------- -------
Total net revenues 2,124 2,088 2,379 8,781 9,917
------- ------- ------- ------- -------
Pre-tax earnings before September 11 recoveries/
expenses, and restructuring and other charges 298 293 311 1,205 918
Pre-tax earnings (loss) 362 320 (766) 1,296 (159)
Pre-tax profit margin before September 11 recoveries/
expenses and restructuring and other charges 14.0% 14.0% 13.1% 13.7% 9.3%
Pre-tax profit margin 17.0% 15.3% N/M 14.8% N/M
----------------------------------------------------------------------------------------------------------------------------
MERRILL LYNCH INVESTMENT MANAGERS
Non-interest revenues $ 328 $ 356 $ 449 $ 1,529 $ 1,912
Net interest profit 11 5 9 24 20
------- ------- ------- ------- -------
Total net revenues 339 361 458 1,553 1,932
------- ------- ------- ------- -------
Pre-tax earnings before restructuring and
other charges 73 69 60 344 302
Pre-tax earnings (loss) 50 69 (223) 321 19
Pre-tax profit margin before restructuring and
other charges 21.5% 19.1% 13.1% 22.2% 15.6%
Pre-tax profit margin 14.7% 19.1% N/M 20.7% 1.0%
----------------------------------------------------------------------------------------------------------------------------
CORPORATE
Non-interest revenues $ (14) $ (12) $ (36) $ (70) $ (163)
Net interest profit (21) (23) (20) (86) (81)
------- ------- ------- ------- -------
Total net revenues (35) (35) (56) (156) (244)
------- ------- ------- ------- -------
Pre-tax earnings (loss) before September 11
recoveries/expenses and research related expenses (17) (20) (81) (81) (329)
Pre-tax earnings (loss) (136) 96 (124) (195) (460)
---------------------------------------------------------------------------------------------------------------------------
TOTAL
Non-interest revenues $ 3,266 $ 3,376 $ 3,890 $15,075 $18,614
Net interest profit 939 986 862 3,533 3,266
------- ------- ------- ------- -------
Total net revenues 4,205 4,362 4,752 18,608 21,880
------- ------- ------- ------- -------
Pre-tax earnings before September 11 recoveries/
expenses, restructuring and other charges and
research related expenses 912 861 724 3,844 3,701
Pre-tax earnings (loss) 823 1,054 (1,512) 3,837 1,377
Pre-tax profit margin before September 11
recoveries/expenses, restructuring and other
charges and research related expenses 21.7% 19.7% 15.2% 20.7% 16.9%
Pre-tax profit margin 19.6% 24.2% N/M 20.6% 6.3%
---------------------------------------------------------------------------------------------------------------------------
Notes: Pre-tax earnings for Corporate include September 11 expenses and research related expenses.
Pre-tax earnings for the business segments include September 11 business interruption recoveries
and restructuring and other charges.
Certain prior period amounts have been restated to conform to the current period presentation.
17
MERRILL LYNCH & CO., INC.
Exhibit 99(i)
Attachment VI
CONSOLIDATED QUARTERLY EARNINGS (UNAUDITED) (in millions)
4Q01 1Q02 2Q02 3Q02 4Q02
------ ------ ------ ------ ------
NET REVENUES
Commissions
Listed and over-the-counter securities $ 672 $ 732 $ 718 $ 653 $ 623
Mutual funds 356 341 327 277 274
Other 167 156 159 192 174
------ ------ ------ ------ ------
Total 1,195 1,229 1,204 1,122 1,071
Principal transactions 586 877 728 377 358
Investment banking
Underwriting 538 478 511 332 420
Strategic advisory 210 183 194 163 163
------ ------ ------ ------ ------
Total 748 661 705 495 583
Asset management and portfolio service fees
Asset management fees 498 469 430 402 386
Portfolio service fees 525 557 571 526 480
Account fees 120 133 135 138 122
Other fees 136 134 162 151 118
------ ------ ------ ------ ------
Total 1,279 1,293 1,298 1,217 1,106
Other 82 219 219 165 148
------ ------ ------ ------ ------
Subtotal 3,890 4,279 4,154 3,376 3,266
Interest and dividend revenues 3,684 3,284 3,198 3,484 3,212
Less interest expense 2,822 2,473 2,401 2,498 2,273
------ ------ ------ ------ ------
Net interest profit 862 811 797 986 939
------ ------ ------ ------ ------
TOTAL NET REVENUES 4,752 5,090 4,951 4,362 4,205
------ ------ ------ ------ ------
NON-INTEREST EXPENSES
Compensation and benefits 2,291 2,646 2,569 2,228 1,983
Communications and technology 537 474 412 421 434
Occupancy and related depreciation 257 238 228 218 225
Brokerage, clearing, and exchange fees 198 198 172 182 175
Advertising and market development 128 150 151 125 114
Professional fees 137 130 132 135 155
Office supplies and postage 83 69 65 62 62
Goodwill amortization 51 - - - -
Other 346 173 163 130 145
Research related expenses - - 111 - 100
(Recoveries)/expenses related to September 11 43 (2) - - (191) (21)
Restructuring and other charges 2,193 (2) - - (2) 10
------ ------ ------ ------ ------
TOTAL NON-INTEREST EXPENSES 6,264 4,078 4,003 3,308 3,382
------ ------ ------ ------ ------
EARNINGS (LOSS) BEFORE INCOME TAXES, AND DIVIDENDS
ON PREFERRED SECURITIES ISSUED BY SUBSIDIARIES (1,512) 1,012 948 1,054 823
Income tax expense (benefit) (297) 316 267 313 173
Dividends on preferred securities issued by
subsidiaries 49 49 47 48 47
------ ------ ------ ------ ------
NET EARNINGS (LOSS) $(1,264) $ 647 $ 634 $ 693 $ 603
- -------------------------------------------------------------------------------------------------------------
PER COMMON SHARE DATA
4Q01 1Q02 2Q02 3Q02 4Q02
------ ------ ------ ------ ------
Earnings - Basic (1) $ 0.57 (2) $ 0.75 $ 0.82 $ 0.66 $ 0.70
Earnings - Diluted (1) 0.51 (2) 0.67 0.75 0.61 0.64
Dividends paid 0.16 0.16 0.16 0.16 0.16
Book value 23.03 23.73 24.46 25.17 25.72 est.
- -------------------------------------------------------------------------------------------------------------
Notes:
(1) Before September 11 items, Restructuring and other charges and Research related expenses.
(2) September 11 related expenses were $30 million after-tax and Restructuring and other
charges were $1,725 million after-tax in the fourth quarter of 2001. Including these items,
the basic and diluted loss per share was $(1.51).
Certain prior period amounts have been reclassified to conform to the current period presentation.
18
MERRILL LYNCH & CO., INC.
Exhibit 99(i)
Attachment VII
PERCENTAGE OF QUARTERLY NET REVENUES (UNAUDITED)
4Q01 1Q02 2Q02 3Q02 4Q02
------ ------ ------ ------ ------
NET REVENUES
Commissions
Listed and over-the-counter securities 14.1% 14.4% 14.5% 15.0% 14.8%
Mutual funds 7.5% 6.7% 6.6% 6.4% 6.5%
Other 3.5% 3.0% 3.2% 4.3% 4.2%
------ ------ ------ ------ ------
Total 25.1% 24.1% 24.3% 25.7% 25.5%
Principal transactions 12.3% 17.2% 14.7% 8.6% 8.5%
Investment banking
Underwriting 11.3% 9.4% 10.3% 7.6% 10.0%
Strategic advisory 4.4% 3.6% 3.9% 3.7% 3.9%
------ ------ ------ ------ ------
Total 15.7% 13.0% 14.2% 11.3% 13.9%
Asset management and portfolio service fees
Asset management fees 10.5% 9.2% 8.7% 9.2% 9.2%
Portfolio service fees 11.0% 10.9% 11.5% 12.1% 11.4%
Account fees 2.5% 2.6% 2.7% 3.2% 2.9%
Other fees 2.9% 2.7% 3.3% 3.4% 2.8%
------ ------ ------ ------ ------
Total 26.9% 25.4% 26.2% 27.9% 26.3%
Other 1.9% 4.4% 4.5% 3.9% 3.5%
------ ------ ------ ------ ------
Subtotal 81.9% 84.1% 83.9% 77.4% 77.7%
Interest and dividend revenues 77.5% 64.5% 64.6% 79.9% 76.4%
Less interest expense 59.4% 48.6% 48.5% 57.3% 54.1%
------ ------ ------ ------ ------
Net interest profit 18.1% 15.9% 16.1% 22.6% 22.3%
------ ------ ------ ------ ------
TOTAL NET REVENUES 100.0% 100.0% 100.0% 100.0% 100.0%
------ ------ ------ ------ ------
NON-INTEREST EXPENSES
Compensation and benefits 48.2% 52.0% 51.9% 51.1% 47.2%
Communications and technology 11.3% 9.3% 8.3% 9.7% 10.3%
Occupancy and related depreciation 5.4% 4.7% 4.6% 5.0% 5.4%
Brokerage, clearing, and exchange fees 4.2% 3.9% 3.5% 4.2% 4.2%
Advertising and market development 2.7% 2.9% 3.0% 2.9% 2.7%
Professional fees 2.9% 2.6% 2.7% 3.1% 3.7%
Office supplies and postage 1.7% 1.4% 1.3% 1.4% 1.5%
Goodwill amortization 1.1% - - - -
Other 7.3% 3.3% 3.3% 2.9% 3.3%
Research related expenses - - 2.3% - 2.4%
(Recoveries)/expenses related to September 11 0.9% - - -4.4% -0.5%
Restructuring and other charges 46.1% - - -0.1% 0.2%
------ ------ ------ ------ ------
TOTAL NON-INTEREST EXPENSES 131.8% 80.1% 80.9% 75.8% 80.4%
------ ------ ------ ------ ------
EARNINGS (LOSS) BEFORE INCOME TAXES, AND DIVIDENDS
ON PREFERRED SECURITIES ISSUED BY SUBSIDIARIES -31.8% 19.9% 19.1% 24.2% 19.6%
Income tax expense (benefit) -6.2% 6.2% 5.4% 7.2% 4.1%
Dividends on preferred securities issued by
subsidiaries 1.0% 1.0% 0.9% 1.1% 1.1%
------ ------ ------ ------ ------
NET EARNINGS (LOSS) -26.6% 12.7% 12.8% 15.9% 14.4%
- ------------------------------------------------------------------------------------------------------------------
COMMON SHARES OUTSTANDING (IN MILLIONS)
4Q01 1Q02 2Q02 3Q02 4Q02
------ ------ ------ ------ ------
Weighted-average - basic 845.7 854.8 861.7 864.6 868.2
Weighted-average - diluted 845.7 949.2 942.6 934.5 942.9
Period-end 850.2 862.9 865.4 869.0 873.8
- ------------------------------------------------------------------------------------------------------------------
19
MERRILL LYNCH & CO., INC.
Exhibit 99(i)
Attachment VIII
SUPPLEMENTAL DATA (UNAUDITED) (dollars in billions)
4Q01 1Q02 2Q02 3Q02 4Q02
------- ------- ------- ------- -------
CLIENT ASSETS
Private Client
U.S. $ 1,185 $ 1,179 $ 1,101 $ 1,019 $ 1,053
Non - U.S. 101 96 94 87 89
------- ------- ------- ------- -------
Total Private Client Assets 1,286 1,275 1,195 1,106 1,142
MLIM direct sales (1) 172 167 158 145 146
------- ------- ------- ------- -------
Total Client Assets $ 1,458 $ 1,442 $ 1,353 $ 1,251 $ 1,288
======= ======= ======= ======= =======
ASSETS UNDER MANAGEMENT $ 529 $ 518 $ 499 $ 452 $ 462
Retail 220 215 203 182 189
Institutional 266 262 257 234 235
Private Investors 43 41 39 36 38
U.S. 327 323 319 305 313
Non-U.S. 202 195 180 147 149
Equity 263 257 234 190 191
Fixed Income 119 119 121 119 122
Money Market 147 142 144 143 149
ASSETS IN ASSET-PRICED ACCOUNTS $ 199 $ 206 $ 192 $ 176 $ 182
------------------------------------------------------------------------------------------------
NET NEW MONEY
PRIVATE CLIENT ACCOUNTS(6)
U.S. $ 14 $ - $ 4 $ 3 $ 10
Non-U.S. 2 1 - (1) -
------- ------- ------- ------- -------
TOTAL 16 1 4 2 10
------- ------- ------- ------- -------
ASSETS UNDER MANAGEMENT(3)(6) $ 4 $ (7) $ (5) $ (12) $ 5
------------------------------------------------------------------------------------------------
BALANCE SHEET INFORMATION (ESTIMATED)
Commercial Paper and
Other Short-term Borrowings $ 5.1 $ 4.6 $ 6.0 $ 6.6 $ 7.4
Deposits 85.8 85.9 81.1 80.8 81.8
Long-term Borrowings 76.6 77.3 75.5 73.9 76.4
Preferred Securities Issued
by Subsidiaries 2.7 2.7 2.7 2.7 2.7
Total Stockholders' Equity 20.0 20.9 21.6 22.3 22.9
------------------------------------------------------------------------------------------------
GLOBAL EQUITY AND EQUITY-LINKED UNDERWRITING(2)(4)
Volume $ 15 $ 15 $ 10 $ 3 $ 6
Market Share 12.2% 14.9% 9.3% 6.6% 10.9%
Ranking 2 2 4 5 2
GLOBAL DEBT UNDERWRITING(2)(4)
Volume $ 68 $ 91 $ 83 $ 58 $ 51
Market Share 7.2% 8.6% 8.7% 7.4% 6.5%
Ranking 5 2 3 5 7
GLOBAL COMPLETED MERGERS AND ACQUISITIONS(2)(4)
Volume $ 79 $ 62 $ 64 $ 79 $ 116
Market Share 18.5% 22.1% 20.0% 23.8% 30.8%
Ranking 4 3 4 3 5
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FULL-TIME EMPLOYEES(5) 57,100 56,100 54,400 53,200 50,900
PRIVATE CLIENT FINANCIAL ADVISORS 16,400 15,900 15,100 14,600 14,000
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(1)Reflects funds managed by MLIM not sold through Private Client channels.
(2)Certain prior period amounts have been restated to conform to the current period presentation.
(3)Adjusted to exclude the impact of transferring funds to U.S. bank deposits.
(4)Full credit to book manager. Market shares derived from Thomson Financial Securities Data statistics.
(5)Excludes 1,500, 700, 1,000, 600, and 3,500 full-time employees on salary
continuation severance at the end of 4Q02, 3Q02, 2Q02, 1Q02 and 4Q01, respectively.
(6)Excluding the impact related to the restructuring of the Non-U.S. businesses.
For more information, please contact:
Investor Relations Phone: 866-607-1234
Merrill Lynch & Co., Inc. Fax: 212-449-7461
investor_relations@ml.com
www.ir.ml.com
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