Exhibit 99(i)
MERRILL LYNCH & CO., INC. Attachment I
PRELIMINARY UNAUDITED EARNINGS SUMMARY
U.S. GAAP BASIS For the Three Months Ended Percent Inc / (Dec)
------------------------------------------ --------------------
September 27, June 28, September 28, 3Q02 vs. 3Q02 vs.
(in millions, except per share amounts) 2002 2002 2001 2Q02 3Q01
------------ ------- ------------ -------- --------
NET REVENUES
Commissions $ 1,122 $ 1,204 $ 1,204 (6.8)% (6.8)%
Principal transactions 377 728 739 (48.2) (49.0)
Investment banking
Underwriting 332 511 563 (35.0) (41.0)
Strategic advisory 163 194 294 (16.0) (44.6)
Asset management and portfolio service fees 1,217 1,298 1,337 (6.2) (9.0)
Other 165 219 129 (24.7) 27.9
------- ------- -------
Subtotal 3,376 4,154 4,266 (18.7) (20.9)
Interest and dividend revenues 3,484 3,198 4,663 8.9 (25.3)
Less interest expense 2,498 2,401 3,784 4.0 (34.0)
------- ------- ------
Net interest profit 986 797 879 23.7 12.2
------- ------- -------
TOTAL NET REVENUES 4,362 4,951 5,145 (11.9) (15.2)
------- ------- -------
NON-INTEREST EXPENSES
Compensation and benefits 2,228 2,569 2,757 (13.3) (19.2)
Communications and technology 421 412 529 2.2 (20.4)
Occupancy and related depreciation 218 228 280 (4.4) (22.1)
Brokerage, clearing, and exchange fees 182 172 219 5.8 (16.9)
Advertising and market development 125 151 165 (17.2) (24.2)
Professional fees 135 132 115 2.3 17.4
Office supplies and postage 62 65 78 (4.6) (20.5)
Goodwill amortization - - 53 N/M (100.0)
Other 128 274 175 (53.3) (26.9)
Recoveries/expenses related to September 11 (191) - 88 N/M N/M
------- ------- -------
TOTAL NON-INTEREST EXPENSES 3,308 4,003 4,459 (17.4) (25.8)
------- ------- -------
EARNINGS BEFORE INCOME TAXES AND DIVIDENDS ON PREFERRED
SECURITIES ISSUED BY SUBSIDIARIES 1,054 948 686 11.2 53.6
Income tax expense 313 267 216 17.2 44.9
Dividends on preferred securities issued by subsidiaries 48 47 48 2.1 -
------- ------- -------
NET EARNINGS $ 693 $ 634 $ 422 9.3 64.2
======= ======= =======
PREFERRED STOCK DIVIDENDS $ 10 $ 10 $ 10 - -
======= ======= =======
EARNINGS PER COMMON SHARE
Basic $ 0.79 $ 0.72 $ 0.49 9.7 61.2
Diluted $ 0.73 $ 0.66 $ 0.44 10.6 65.9
AVERAGE SHARES USED IN COMPUTING EARNINGS PER COMMON SHARE
Basic 864.6 861.7 845.8 0.3 2.2
Diluted 934.5 942.6 934.5 (0.9) -
ANNUALIZED RETURN ON AVERAGE COMMON EQUITY 12.7% 12.0% 8.0%
-------------------------------------------------------------------------------------------------------------------------------
Note: Certain prior period amounts have been reclassified to conform to the current period presentation.
13
Exhibit 99(i)
MERRILL LYNCH & CO., INC. Attachment II
PRELIMINARY UNAUDITED EARNINGS SUMMARY
OPERATING BASIS For the Three Months Ended Percent Inc / (Dec)
--------------------------------------- --------------------
September 27, June 28, September 28, 3Q02 vs. 3Q02 vs.
(in millions, except per share amounts) 2002 2002 2001 2Q02 3Q01
------------ ------- ------------ -------- --------
NET REVENUES
Commissions $ 1,122 $ 1,204 $ 1,204 (6.8)% (6.8)%
Principal transactions 377 728 739 (48.2) (49.0)
Investment banking
Underwriting 332 511 563 (35.0) (41.0)
Strategic advisory 163 194 294 (16.0) (44.6)
Asset management and portfolio service fees 1,217 1,298 1,337 (6.2) (9.0)
Other 165 219 129 (24.7) 27.9
------- ------- -------
Subtotal 3,376 4,154 4,266 (18.7) (20.9)
Interest and dividend revenues 3,484 3,198 4,663 8.9 (25.3)
Less interest expense 2,498 2,401 3,784 4.0 (34.0)
------- ------- --------
Net interest profit 986 797 879 23.7 12.2
------- ------- -------
TOTAL NET REVENUES 4,362 4,951 5,145 (11.9) (15.2)
------- ------- -------
NON-INTEREST EXPENSES
Compensation and benefits 2,228 2,569 2,757 (13.3) (19.2)
Communications and technology 421 412 529 2.2 (20.4)
Occupancy and related depreciation 218 228 280 (4.4) (22.1)
Brokerage, clearing, and exchange fees 182 172 219 5.8 (16.9)
Advertising and market development 125 151 165 (17.2) (24.2)
Professional fees 135 132 115 2.3 17.4
Office supplies and postage 62 65 78 (4.6) (20.5)
Goodwill amortization - - 53 N/M (100.0)
Other 128 274 175 (53.3) (26.9)
------- ------- -------
TOTAL NON-INTEREST EXPENSES 3,499 4,003 4,371 (12.6) (19.9)
------- ------- -------
EARNINGS BEFORE INCOME TAXES, DIVIDENDS ON PREFERRED SECURITIES
ISSUED BY SUBSIDIARIES, AND SEPTEMBER 11 RECOVERIES/EXPENSES 863 948 774 (9.0) 11.5
Income tax expense 236 267 251 (11.6) (6.0)
Dividends on preferred securities issued by subsidiaries 48 47 48 2.1 -
------- ------- -------
EARNINGS BEFORE SEPTEMBER 11 RECOVERIES/EXPENSES $ 579 $ 634 $ 475 (8.7) 21.9
======= ======= =======
Recoveries/expenses related to September 11, net of tax 114 - (53) N/M N/M
------- ------- --------
NET EARNINGS $ 693 $ 634 $ 422 9.3 64.2
======= ======= =======
PREFERRED STOCK DIVIDENDS $ 10 $ 10 $ 10 - -
======= ======= =======
EARNINGS PER COMMON SHARE, BEFORE SEPTEMBER 11 RECOVERIES/EXPENSES
Basic $ 0.66 $ 0.72 $ 0.55 (8.3) 20.0
Diluted $ 0.61 $ 0.66 $ 0.50 (7.6) 22.0
Impact of September 11 on diluted earnings per
common share $ 0.12 $ - $ (0.06) N/M N/M
EARNINGS PER COMMON SHARE
Basic $ 0.79 $ 0.72 $ 0.49 9.7 61.2
Diluted $ 0.73 $ 0.66 $ 0.44 10.6 65.9
AVERAGE SHARES USED IN COMPUTING EARNINGS PER COMMON SHARE
Basic 864.6 861.7 845.8 0.3 2.2
Diluted 934.5 942.6 934.5 (0.9) -
--------------------------------------------------------------------------------------------------------------------------------
Note: Certain prior period amounts have been reclassified to conform to the current period presentation.
14
Exhibit 99(i)
MERRILL LYNCH & CO., INC. Attachment III
PRELIMINARY UNAUDITED EARNINGS SUMMARY
U.S. GAAP BASIS For the Nine Months Ended
---------------------------
September 27, September 28, Percent
(in millions, except per share amounts) 2002 2001 Inc/(Dec)
------------ ------------ --------
NET REVENUES
Commissions $ 3,555 $ 4,071 (12.7)%
Principal transactions 1,982 3,344 (40.7)
Investment banking
Underwriting 1,321 1,900 (30.5)
Strategic advisory 540 891 (39.4)
Asset management and portfolio service fees 3,808 4,072 (6.5)
Other 603 446 35.2
------- -------
Subtotal 11,809 14,724 (19.8)
Interest and dividend revenues 9,966 16,459 (39.4)
Less interest expense 7,372 14,055 (47.5)
------- -------
Net interest profit 2,594 2,404 7.9
------- -------
TOTAL NET REVENUES 14,403 17,128 (15.9)
------- -------
NON-INTEREST EXPENSES
Compensation and benefits 7,443 8,978 (17.1)
Communications and technology 1,307 1,695 (22.9)
Occupancy and related depreciation 684 820 (16.6)
Brokerage, clearing, and exchange fees 552 697 (20.8)
Advertising and market development 426 575 (25.9)
Professional fees 397 408 (2.7)
Office supplies and postage 196 266 (26.3)
Goodwill amortization - 156 (100.0)
Other 575 556 3.4
Recoveries/expenses related to September 11 (191) 88 N/M
------- -------
TOTAL NON-INTEREST EXPENSES 11,389 14,239 (20.0)
------- -------
EARNINGS BEFORE INCOME TAXES AND DIVIDENDS ON PREFERRED
SECURITIES ISSUED BY SUBSIDIARIES 3,014 2,889 4.3
Income tax expense 896 906 (1.1)
Dividends on preferred securities issued by subsidiaries 144 146 (1.4)
------- -------
NET EARNINGS $ 1,974 $ 1,837 7.5
======= =======
PREFERRED STOCK DIVIDENDS $ 29 $ 29 -
======= =======
EARNINGS PER COMMON SHARE
Basic $ 2.26 $ 2.15 5.1
Diluted $ 2.07 $ 1.93 7.3
AVERAGE SHARES USED IN COMPUTING EARNINGS PER COMMON SHARE
Basic 860.4 839.8 2.5
Diluted 942.0 938.8 0.3
ANNUALIZED RETURN ON AVERAGE COMMON EQUITY 12.5% 12.2%
------------------------------------------------------------------------------------------------------
Note: Certain prior period amounts have been reclassified to conform to the current period presentation.
15
Exhibit 99(i)
MERRILL LYNCH & CO., INC. Attachment IV
PRELIMINARY UNAUDITED EARNINGS SUMMARY
OPERATING BASIS For the Nine Months Ended
--------------------------
September 27, September 28, Percent
(in millions, except per share amounts) 2002 2001 Inc/(Dec)
------------ ------------ -----------
NET REVENUES
Commissions $ 3,555 $ 4,071 (12.7)%
Principal transactions 1,982 3,344 (40.7)
Investment banking
Underwriting 1,321 1,900 (30.5)
Strategic advisory 540 891 (39.4)
Asset management and portfolio service fees 3,808 4,072 (6.5)
Other 603 446 35.2
------- -------
Subtotal 11,809 14,724 (19.8)
Interest and dividend revenues 9,966 16,459 (39.4)
Less interest expense 7,372 14,055 (47.5)
------- -------
Net interest profit 2,594 2,404 7.9
------- -------
TOTAL NET REVENUES 14,403 17,128 (15.9)
------- -------
NON-INTEREST EXPENSES
Compensation and benefits 7,443 8,978 (17.1)
Communications and technology 1,307 1,695 (22.9)
Occupancy and related depreciation 684 820 (16.6)
Brokerage, clearing, and exchange fees 552 697 (20.8)
Advertising and market development 426 575 (25.9)
Professional fees 397 408 (2.7)
Office supplies and postage 196 266 (26.3)
Goodwill amortization - 156 (100.0)
Other 575 556 3.4
------- -------
TOTAL NON-INTEREST EXPENSES 11,580 14,151 (18.2)
------- -------
EARNINGS BEFORE INCOME TAXES, DIVIDENDS ON PREFERRED SECURITIES
ISSUED BY SUBSIDIARIES, AND SEPTEMBER 11 RECOVERIES/EXPENSES 2,823 2,977 (5.2)
Income tax expense 819 941 (13.0)
Dividends on preferred securities issued by subsidiaries 144 146 (1.4)
------- -------
EARNINGS BEFORE SEPTEMBER 11 RECOVERIES/EXPENSES $ 1,860 $ 1,890 (1.6)
======= =======
Recoveries/expenses related to September 11, net of tax 114 (53) N/M
NET EARNINGS $ 1,974 $ 1,837 7.5
======= =======
PREFERRED STOCK DIVIDENDS $ 29 $ 29 -
======= =======
EARNINGS PER COMMON SHARE, BEFORE SEPTEMBER 11 RECOVERIES/EXPENSES
Basic $ 2.13 $ 2.21 (3.6)
Diluted $ 1.95 $ 1.99 (2.0)
Impact of September 11 on diluted earnings per
common share $ 0.12 $ (0.06) N/M
EARNINGS PER COMMON SHARE
Basic $ 2.26 $ 2.15 5.1
Diluted $ 2.07 $ 1.93 7.3
AVERAGE SHARES USED IN COMPUTING EARNINGS PER COMMON SHARE
Basic 860.4 839.8 2.5
Diluted 942.0 938.8 0.3
- ------------------------------------------------------------------------------------------------------------
Note: Certain prior period amounts have been reclassified to conform to the current period presentation.
16
Exhibit 99(i)
MERRILL LYNCH & CO., INC. Attachment V
PRELIMINARY SEGMENT DATA (UNAUDITED)
For the Three Months Ended For the Nine Months Ended
---------------------------------------- -----------------------------
September 27, June 28, September 28, September 27, September 28,
(dollars in millions) 2002 2002 2001 2002 2001
------------ ------- ------------ ------------ ------------
GLOBAL MARKETS & INVESTMENT BANKING
Non-interest revenues $ 1,284 $ 1,865 $ 1,861 $ 5,078 $ 7,059
Net interest profit 674 462 474 1,613 1,285
------- ------- ------- ------- -------
Total net revenues 1,958 2,327 2,335 6,691 8,344
------- ------- ------- ------- -------
Pre-tax earnings before September 11
recoveries 523 640 557 1,805 2,280
Pre-tax earnings 573 640 557 1,855 2,280
Pre-tax profit margin before September 11
recoveries 26.7% 27.5% 23.9% 27.0% 27.3%
Pre-tax profit margin 29.3% 27.5% 23.9% 27.7% 27.3%
-------------------------------------------------------------------------------------------------------------------
PRIVATE CLIENT GROUP
Non-interest revenues $ 1,757 $ 1,917 $ 1,981 $ 5,623 $ 6,383
Net interest profit 328 350 415 1,027 1,160
------- ------- ------- ------- -------
Total net revenues 2,085 2,267 2,396 6,650 7,543
------- ------- ------- ------- -------
Pre-tax earnings before September 11
recoveries 289 346 200 907 679
Pre-tax earnings 314 346 200 932 679
Pre-tax profit margin before September 11
recoveries 13.9% 15.3% 8.3% 13.6% 9.0%
Pre-tax profit margin 15.1% 15.3% 8.3% 14.0% 9.0%
-------------------------------------------------------------------------------------------------------------------
MERRILL LYNCH INVESTMENT MANAGERS
Non-interest revenues $ 363 $ 412 $ 472 $ 1,218 $ 1,483
Net interest profit 6 7 9 17 19
------- ------- ------- ------- -------
Total net revenues 369 419 481 1,235 1,502
------- ------- ------- ------- -------
Pre-tax earnings 70 97 92 284 265
Pre-tax profit margin 19.0% 23.2% 19.1% 23.0% 17.6%
--------------------------------------------------------------------------------------------------------------------
CORPORATE
Non-interest revenues $ (28) $ (40) $ (48) $ (110) $ (201)
Net interest profit (22) (22) (19) (63) (60)
------- ------- ------- ------- -------
Total net revenues (50) (62) (67) (173) (261)
------- ------- ------- ------- -------
Pre-tax earnings/(loss) before September 11
recoveries/expenses (19) (135) (75) (173) (247)
Pre-tax earnings/(loss) 97 (135) (163) (57) (335)
-------------------------------------------------------------------------------------------------------------------
TOTAL
Non-interest revenues $ 3,376 $ 4,154 $ 4,266 $11,809 $14,724
Net interest profit 986 797 879 2,594 2,404
------- ------- ------- ------- -------
Total net revenues 4,362 4,951 5,145 14,403 17,128
------- ------- ------- ------- -------
Pre-tax earnings before September 11
recoveries/expenses 863 948 774 2,823 2,977
Pre-tax earnings 1,054 948 686 3,014 2,889
Pre-tax profit margin before September 11
recoveries/expenses 19.8% 19.1% 15.0% 19.6% 17.4%
Pre-tax profit margin 24.2% 19.1% 13.3% 20.9% 16.9%
-------------------------------------------------------------------------------------------------------------------
Note: Certain prior period amounts have been restated to conform to the current period presentation.
17
Exhibit 99(i)
MERRILL LYNCH & CO., INC. Attachment VI
CONSOLIDATED QUARTERLY EARNINGS (UNAUDITED) (in millions)
3Q01 4Q01 1Q02 2Q02 3Q02
------ ------- ------ ------ ------
NET REVENUES
Commissions
Listed and over-the-counter securities $ 673 $ 672 $ 732 $ 718 $ 653
Mutual funds 355 356 341 327 277
Other 176 167 156 159 192
------ ------- ------ ------ ------
Total 1,204 1,195 1,229 1,204 1,122
Principal transactions 739 586 877 728 377
Investment banking
Underwriting 563 538 478 511 332
Strategic advisory 294 210 183 194 163
------ ------- ------ ------ ------
Total 857 748 661 705 495
Asset management and portfolio service fees
Asset management fees 514 498 469 430 402
Portfolio service fees 559 525 557 571 526
Account fees 125 120 133 135 138
Other fees 139 136 134 162 151
------ ------ ------ ------ ------
Total 1,337 1,279 1,293 1,298 1,217
Other 129 82 219 219 165
------ ------- ------ ------ ------
Subtotal 4,266 3,890 4,279 4,154 3,376
Interest and dividend revenues 4,663 3,684 3,284 3,198 3,484
Less interest expense 3,784 2,822 2,473 2,401 2,498
------ ------- ------ ------ ------
Net interest profit 879 862 811 797 986
------ ------- ------ ------ ------
TOTAL NET REVENUES 5,145 4,752 5,090 4,951 4,362
------ ------- ------ ------ ------
NON-INTEREST EXPENSES
Compensation and benefits 2,757 2,291 2,646 2,569 2,228
Communications and technology 529 537 474 412 421
Occupancy and related depreciation 280 257 238 228 218
Brokerage, clearing, and exchange fees 219 198 198 172 182
Advertising and market development 165 128 150 151 125
Professional fees 115 137 130 132 135
Office supplies and postage 78 83 69 65 62
Goodwill amortization 53 51 - - -
Other 175 346 173 274 128
Recoveries/expenses related to September 11 88 43 (2) - - (191)
Restructuring and other charges - 2,193 (2) - - -
------ ------- ------ ------ ------
TOTAL NON-INTEREST EXPENSES 4,459 6,264 4,078 4,003 3,308
------ ------- ------ ------ ------
EARNINGS/(LOSS) BEFORE INCOME TAXES, AND DIVIDENDS
ON PREFERRED SECURITIES ISSUED BY SUBSIDIARIES 686 (1,512) 1,012 948 1,054
Income tax expense/(benefit) 216 (297) 316 267 313
Dividends on preferred securities issued by
subsidiaries 48 49 49 47 48
------ ------- ------ ------ ------
NET EARNINGS/(LOSS) $ 422 $(1,264) $ 647 $ 634 $ 693
-----------------------------------------------------------------------------------------------------
PER COMMON SHARE DATA
3Q01 4Q01 1Q02 2Q02 3Q02
------ ------- ------ ------ ------
Earnings - Basic (1) $ 0.55 $ 0.57 (2) $ 0.75 $ 0.72 $ 0.66
Earnings - Diluted (1) 0.50 0.51 (2) 0.67 0.66 0.61
Dividends paid 0.16 0.16 0.16 0.16 0.16
Book value 24.38 23.03 23.73 24.46 25.17 est.
-----------------------------------------------------------------------------------------------------
Notes:
(1) Before September 11 items and Restructuring and other charges.
(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)
3Q01 4Q01 1Q02 2Q02 3Q02
----- ----- ----- ----- -----
NET REVENUES
Commissions
Listed and over-the-counter securities 13.1% 14.1% 14.4% 14.5% 15.0%
Mutual funds 6.9% 7.5% 6.7% 6.6% 6.4%
Other 3.4% 3.5% 3.0% 3.2% 4.3%
----- ----- ----- ----- -----
Total 23.4% 25.1% 24.1% 24.3% 25.7%
Principal transactions 14.4% 12.3% 17.2% 14.7% 8.6%
Investment banking
Underwriting 11.0% 11.3% 9.4% 10.3% 7.6%
Strategic advisory 5.7% 4.4% 3.6% 3.9% 3.7%
----- ----- ----- ----- -----
Total 16.7% 15.7% 13.0% 14.2% 11.3%
Asset management and portfolio service fees
Asset management fees 10.0% 10.5% 9.2% 8.7% 9.2%
Portfolio service fees 10.9% 11.0% 10.9% 11.5% 12.1%
Account fees 2.4% 2.5% 2.6% 2.7% 3.2%
Other fees 2.7% 2.9% 2.7% 3.3% 3.4%
----- ----- ----- ----- -----
Total 26.0% 26.9% 25.4% 26.2% 27.9%
Other 2.4% 1.9% 4.4% 4.5% 3.9%
----- ----- ----- ----- -----
Subtotal 82.9% 81.9% 84.1% 83.9% 77.4%
Interest and dividend revenues 90.6% 77.5% 64.5% 64.6% 79.9%
Less interest expense 73.5% 59.4% 48.6% 48.5% 57.3%
----- ----- ----- ----- -----
Net interest profit 17.1% 18.1% 15.9% 16.1% 22.6%
----- ----- ----- ----- -----
TOTAL NET REVENUES 100.0% 100.0% 100.0% 100.0% 100.0%
----- ----- ----- ----- -----
NON-INTEREST EXPENSES
Compensation and benefits 53.6% 48.2% 52.0% 51.9% 51.1%
Communications and technology 10.3% 11.3% 9.3% 8.3% 9.7%
Occupancy and related depreciation 5.4% 5.4% 4.7% 4.6% 5.0%
Brokerage, clearing, and exchange fees 4.3% 4.2% 3.9% 3.5% 4.2%
Advertising and market development 3.2% 2.7% 2.9% 3.0% 2.9%
Professional fees 2.2% 2.9% 2.6% 2.7% 3.1%
Office supplies and postage 1.5% 1.7% 1.4% 1.3% 1.4%
Goodwill amortization 1.0% 1.1% - - -
Other 3.5% 7.3% 3.3% 5.6% 2.8%
Recoveries/expenses related to September 11 1.7% 0.9% - - -4.4%
Restructuring and other charges - 46.1% - - -
----- ----- ----- ----- -----
TOTAL NON-INTEREST EXPENSES 86.7% 131.8% 80.1% 80.9% 75.8%
----- ----- ----- ----- -----
EARNINGS/(LOSS) BEFORE INCOME TAXES, AND DIVIDENDS
ON PREFERRED SECURITIES ISSUED BY SUBSIDIARIES 13.3% -31.8% 19.9% 19.1% 24.2%
Income tax expense/(benefit) 4.2% -6.2% 6.2% 5.4% 7.2%
Dividends on preferred securities
issued by subsidiaries 0.9% 1.0% 1.0% 0.9% 1.1%
----- ----- ----- ----- -----
NET EARNINGS/(LOSS) 8.2% -26.6% 12.7% 12.8% 15.9%
-----------------------------------------------------------------------------------------------------------
OTHER FINANCIAL DATA
3Q01 4Q01 1Q02 2Q02 3Q02
----- ----- ----- ----- -----
Non-interest expenses excluding compensation
and benefits to net revenues 33.1% 83.6% 28.1% 29.0% 24.8%
Compensation and benefits to pre-tax earnings
before compensation and benefits 80.1% 294.1% 72.3% 73.0% 67.9%
-----------------------------------------------------------------------------------------------------------
Common shares outstanding (in millions):
Weighted-average - basic 845.8 845.7 854.8 861.7 864.6
Weighted-average - diluted 934.5 845.7 949.2 942.6 934.5
Period-end 847.5 850.2 862.9 865.4 869.0
-----------------------------------------------------------------------------------------------------------
19
Exhibit 99(i)
MERRILL LYNCH & CO., INC. Attachment VIII
SUPPLEMENTAL DATA (UNAUDITED) (dollars in billions)
3Q01 4Q01 1Q02 2Q02 3Q02
------- ------- ------- ------- -------
CLIENT ASSETS
Private Client
U.S. $ 1,171 $ 1,185 $ 1,179 $ 1,101 $ 1,019
Non - U.S. 127 101 96 94 87
------- ------- ------- --------- -------
Total Private Client Assets 1,298 1,286 1,275 1,195 1,106
MLIM direct sales (1) 170 172 167 158 145
------- ------- ------- --------- -------
Total Client Assets $ 1,468 $ 1,458 $ 1,442 $ 1,353 $ 1,251
======= ======= ======= ========= =======
ASSETS UNDER MANAGEMENT(2) $ 507 $ 529 $ 518 $ 499 $ 452
Retail 214 220 215 203 182
Institutional 252 266 262 257 234
Private Investors 41 43 41 39 36
U.S. 310 327 323 319 305
Non-U.S. 197 202 195 180 147
Equity 253 263 257 234 190
Fixed Income 119 119 119 121 119
Money Market 135 147 142 144 143
ASSETS IN ASSET-PRICED ACCOUNTS(2) $ 183 $ 199 $ 206 $ 192 $ 176
----------------------------------------------------------------------------------------------
NET NEW MONEY
PRIVATE CLIENT ACCOUNTS(6)
U.S. $ 10 $ 14 $ - $ 4 $ 3
Non-U.S. 3 2 1 - (1)
------- ------- ------- ------- -------
TOTAL 13 16 1 4 2
------- ------- --------- ------- -------
ASSETS UNDER MANAGEMENT(3)(6) $ 4 $ 4 $ (7) $ (5) $ (12)
----------------------------------------------------------------------------------------------
BALANCE SHEET INFORMATION (ESTIMATED)
Commercial Paper and
Other Short-term Borrowings $ 5.1 $ 5.1 $ 4.6 $ 6.0 $ 6.6
Deposits 83.7 85.8 85.9 81.1 80.8
Long-term Borrowings 79.8 76.6 77.3 75.5 73.9
Preferred Securities Issued
by Subsidiaries 2.7 2.7 2.7 2.7 2.7
Total Stockholders' Equity 21.1 20.0 20.9 21.6 22.3
----------------------------------------------------------------------------------------------
GLOBAL EQUITY AND EQUITY-LINKED UNDERWRITING(2)(4)
Volume $ 15 $ 15 $ 15 $ 10 $ 3
Market Share 21.5% 12.2% 14.9% 9.5% 6.9%
Ranking 1 2 2 3 5
GLOBAL DEBT UNDERWRITING(2)(4)
Volume $ 81 $ 68 $ 91 $ 83 $ 54
Market Share 9.9% 7.2% 8.5% 8.7% 7.4%
Ranking 2 5 2 3 6
GLOBAL COMPLETED MERGERS AND ACQUISITIONS(2)(4)
Volume $ 134 $ 79 $ 62 $ 64 $ 76
Market Share 25.6% 18.5% 22.2% 20.2% 25.4%
Ranking 3 4 3 4 3
----------------------------------------------------------------------------------------------
FULL-TIME EMPLOYEES(5) 65,900 57,400 56,400 54,600 53,400
PRIVATE CLIENT FINANCIAL ADVISORS 18,000 16,400 15,900 15,100 14,600
----------------------------------------------------------------------------------------------
(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 500, 900, 400, and 3,200 full-time employees on salary continuation severance at the end
of 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
20