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Fee income fuels U.S. Bank earnings increase

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U.S. Bancorp, the holding company for U.S. Bank, this morning reported increased second-quarter earnings, due partly to growth in fee revenues.

Net income totaled $1.2 billion for the second quarter, up $80 million and 7.1 percent from the same period last year.

Earnings per share were 66 cents, up 10 percent from 60 cents in second-quarter 2005 and up 4.8 percent from 63 cents in first-quarter 2006.

Noninterest income compared to last year increased 13.9 percent.

The Minneapolis, Minn.-based company announced two acquisitions in June – Vail Banks Inc. in Colorado and Schneider Payment Services.

U.S. Bancorp shares (NYSE: USB) closed Monday at $31.02 and dropped to $30.76 as of 11:30 a.m., following this morning’s announcement.

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