Operator: Welcome to U.S. Bancorp's Third Quarter 2013 Earnings Conference Call. Following a review of the results by Richard Davis, Chairman, President, and Chief Executive Officer; and Andy Cecere, U.S. Bancorp's Vice Chairman and Chief Financial Officer, there will be a formal question-and-answer session. This call will be recorded and available for replay beginning today at approximately noon EDT through Wednesday, October 23 at 12.00 midnight EDT.
I’d now turn the conference call over to Judy Murphy, Director of Investor Relations for U.S. Bancorp.
Judith T. Murphy - EVP, Corporate Investor and Public Relations: Thank you, Tiffany, and good morning to everyone who has joined our call. Richard Davis, Andy Cecere, and Bill Parker are here with me today to review U.S. Bancorp's first quarter 2013 results and to answer your questions.
Richard and Andy will be referencing a slide presentation during our prepared remarks. A copy of the slide presentation, as well as our earnings release and supplemental analyst schedules are available on our website at usbank.com.
I would like to remind you that any forward-looking statements made during today's call are subject to risk and uncertainty. Factors that could materially change our current forward-looking assumptions are described on Page 2 of today's presentation, in our press release, and in our Form 10-K and subsequent reports on file with the SEC.
I will now turn the call over to Richard.
Richard K. Davis - Chairman, President and CEO: Thank you, Judy, and good morning, everyone. Thank you for joining our call. I'll begin with a review of U.S. Bank’s results with a summary of the third quarter’s highlights on Page 3 of the presentation.
U.S. Bank recorded net income of $1.5 billion for the third quarter of 2013, or $0.76 per diluted common share. Total average loans grew year-over-year by 5.7% and 1.9%, or 7.6% annualized on a linked quarter basis. We experienced strong loan growth in total average – strong growth in total average deposits of 5.5% over the prior year and 2%, or 8% annualized, over a linked quarter basis.
Credit quality remained strong. Total net charge-offs decreased by 16.3% from the prior quarter, while total non-performing assets declined linked quarter by 2.8%. We generated significant capital this quarter. Our estimated Tier 1 common ratio under Basel III rules issued in early July with 8.6% at September 30, while our Basel I Tier 1 common equity ratio was 9.3% and Tier 1 capital ratio was 11.2%. We returned 77% of our earnings to our shareholders during the third quarter through dividends and the repurchase of over 17 million shares of common stock.
Slide 4 provides you with a five-quarter history of our performance metrics, and they continue to be among the best in the industry. Return on average assets in the third quarter was 1.65% and return on average common equity was 15.8%. Moving to the graph on the right, you can see that this quarter's net interest margin was equal to the prior quarter at 3.43%. Our efficiency ratio for the third quarter was 52.4%, slightly higher than the previous quarter. As we have stated in the past, our goal is to maintain an efficiency ratio in the low 50s by continuing to manage expenses in relation to revenue trends, and while continue to invest in and grow our business.