U.S. Bancorp Elects Richard Davis Chairman, Announces Dividend Increase

Grundhofer, 63, retired today from the board of directors of U.S. Bancorp, and will now assume the title of chairman emeritus.

U.S. Bancorp’s board of directors also today approved a 6.25 percent increase in the dividend rate on U.S. Bancorp common stock to $1.70 on an annualized basis, or $0.425 on a quarterly basis. The board declared a quarterly common stock dividend of $0.425 per common share payable on January 15, 2008, to shareholders of record at the close of business on December 31, 2007. U.S. Bancorp, through its predecessor companies, has increased its annual common share dividend rate in each of the past 36 years and will have paid a dividend for 145 consecutive years as of January 15, 2008. Prior to this announced increase, U.S. Bancorp’s dividend on an annualized basis was $1.60, or $0.40 on a quarterly basis.

The board of directors has also declared a regular quarterly dividend of $373.27 per share (equivalent to $0.37327 per depositary share) on U.S. Bancorp’s Series B Non-Cumulative Perpetual Preferred Stock, payable January 15, 2008, to stockholders of record at the close of business on December 31, 2007.