fwp
 

Filed under Rule 433
File Nos. 333-124535
333-124535-03
(US BANCORP LOGO)
Term Sheet
     
Issuer:
  USB Capital XI
 
    
Guarantor:
  U.S. Bancorp (Ticker: USB)
 
    
Size:
  $700 million (28 million trust preferred securities)
 
    
Overallotment Option:
  4.2 million trust preferred securities
 
    
Expected Ratings:
  A1 /A /A+ (Moody’s / S&P / Fitch)
 
    
Maturity Date:
  September 15, 2066 (60NC5)
 
    
Coupon/Distribution Rate:
  6.60% per annum
 
    
1st Coupon/Distribution:
  12/15/2006 and quarterly thereafter
 
    
Redemption:
  On or after 9/15/2011 at $25 per trust preferred security plus accrued and unpaid distributions
 
    
Liquidation Amount / Par:
  $25 per trust preferred security
 
    
Trade Date:
  8/23/2006
 
    
Settle:
  8/30/2006 (T+5)
 
    
Expected Listing:
  NYSE
 
    
Public Offering Price:
  $25 per trust preferred security
 
    
Net Proceeds (before expenses) to Issuer:
  $677,950,000, subject to an increase of $0.2875 per trust preferred security for sales of more than 20,000 trust preferred securities to a single purchaser
 
    
Structuring Advisor and Joint Book-runner:
  Merrill Lynch & Co.
 
    
Joint Book-runners:
  Citigroup and Morgan Stanley
 
    
Sr. Co-Managers:
  A.G. Edwards & Sons, RBC Dain Rauscher, UBS Investment Bank, Wachovia Securities
 
    
Jr. Co-Managers:
  Banc of America Securities LLC, Bear, Stearns & Co. Inc., Charles Schwab, Credit Suisse, Goldman, Sachs & Co., Lehman Brothers, Stifel Nicolaus
 
    
CUSIP/ISIN:
  903300200/ US9033002000
This communication is intended for the sole use of the person to whom it is provided by us.
The issuer has filed a registration statement, including a prospectus, with the SEC for the offering to which this communication relates. Before you invest, you should read the prospectus in that registration statement and other documents the issuer has filed with the SEC for more complete information about the issuer and this offering. You may get these documents for free by visiting EDGAR on the SEC Web site at www.sec.gov. Alternatively, the issuer, any underwriter or any dealer participating in the offering will arrange to send you the prospectus if you request it by calling (i) Citigroup toll-free 1-877-858-5407, (ii) Merrill Lynch & Co. toll-free 1-866-500-5408, or (iii) Morgan Stanley toll-free 1-866-718-1659.