US Bank parent US Bancorp reported net income of $950 million for the second quarter of 2008 versus $1.156 billion for the second quarter of 2007. Net charge-offs of $396 million for the quarter were almost 100% of average loans outstanding.

In addition to providing for the $396 million of net charge-offs, US Bancorp recorded an incremental provision for credit losses of $200 million leaving $596 million for the second quarter of 2008. This provision for credit losses for Q2 represents an increase of $111 million over the first quarter of 2008 and $405 million over the second quarter of 2007. This also represented an incremental increase to the allowance for credit losses of $200 million in the second quarter of 2008 and $192 million in the first quarter of 2008.

The bank also does not anticipate buybacks between now and the end of the year.