Wells Fargo & Company 2020 Annual Report

2020

Annual Report

Contents

02 Letter from CEO 21 Our Performance 22 Operating Committee 24 Board of Directors 26 COVID-19 and Sustainability 33 2020 Financial Report 243 Stock Performance

"Wells Fargo plays an important role in our communities and our country -- and this has never been more true than in 2020."

Charles W. Scharf

CEO

Wells Fargo & Company

I cannot help but look back and think how little we understood one year ago of what 2020 would bring for the world, our country, and our company. The devastation caused by COVID-19 on global public health is clear, but we are still struggling to comprehend the full economic and social impact of the virus. Vaccines will hopefully bring to an end the health risks, but there is much to do to enable a full, fair, and equitable economic and social recovery.

Supporting Our Employees, Communities, and Customers I said last year that Wells Fargo plays an important role in our communities and our country -- and this has never been more true than in 2020. We believe we have both an obligation to do all we can and are in a position to provide meaningful support to our employees, communities, and customers. That is just what we did throughout this unprecedented year.

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2020 Annual Report

We prioritized employee and customer safety while recognizing that we were an essential service and needed to be available to support our customers. We quickly enabled over 200,000 employees to work from home, something we would not have considered possible just weeks before. We kept at least 70% of our branches open while implementing CDC-recommended safety protocols. We expanded digital access and deployed new tools -- including new limits for mobile deposits and wires, new digital mortgage deferment tools, and expanded e-signature support -- to make access easier and safer for customers.

We extended significant credit to our clients during the height of the crisis. In March alone, our commercial customers utilized over $80 billion of their committed loan facilities. In 2020, we also provided significant accommodations, including deferring payments and waiving fees for 3.6 million consumer and small business customers. We suspended residential property foreclosures, evictions, and involuntary auto repossessions.

We participated in the Paycheck Protection Program (PPP) and funded 194,000 loans totaling over $10.5 billion. (We also are actively participating in the next round of PPP in 2021.) We were proud to help smaller businesses through this program with 61% of our loans being for amounts less than $25,000, 84% of loans going to companies that had fewer than 10 employees, and 90% for businesses with less than $2 million in annual revenue. In addition, 41% of loans went to companies in low-to-moderate income areas or at least 50% minority census tracts.

In addition, in 2020 we voluntarily committed to donate all of our gross processing fees -- approximately $420 million -- by creating the Open for Business Fund, which provides support to struggling small businesses impacted by COVID-19. Of this commitment, we deployed $85 million in 2020 and will continue to deploy these funds through 2022.

We continued to pay all employees during the crisis, made a cash award to approximately 165,000 employees who make less than $100,000 per year, and made an additional special payment to those working on the front lines as a way of recognizing their unique contributions. We granted eligible employees additional days off so they could arrange for child care and provided financial support for those in need. We made a grant to the WE Care employee relief fund, which is available to employees affected by COVID-19 and who have limited resources.

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