ZIONS BANCORPORATION, NATIONAL ASSOCIATION /UT/ - FORM 8-K - EX-99.1 - PRESS RELEASE

ZIONS BANCORPORATION, NATIONAL ASSOCIATION /UT/ - FORM 8-K - EX-99.1 - PRESS RELEASE - April 18, 2011

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Exhibit 99.1

***FOR IMMEDIATE RELEASE***

ZIONS BANCORPORATION REPORTS EARNINGS OF $0.08

PER DILUTED COMMON SHARE FOR FIRST QUARTER 2011

Lower Credit Costs Drive a Return to Profitability

SALT LAKE CITY, April 18, 2011 – Zions Bancorporation (Nasdaq: ZION) (“Zions” or “the Company”) today reported first quarter net earnings applicable to common shareholders of $14.8 million or $0.08 per diluted common share, compared to a net loss of $(110.3) million or $(0.62) per diluted share for the fourth quarter of 2010. Excluding the noncash effects of the discount amortization on convertible subordinated debt and additional accretion on acquired loans, net earnings were $52.6 million or $0.29 per diluted share for the first quarter of 2011 compared to a net loss of $(44.1) million or $(0.25) per diluted share for the fourth quarter of 2010.

First Quarter 2011 Highlights

Net charge-offs declined 44% to $141 million compared to $251 million in the fourth quarter.

The provision for loan losses declined 65% to $60 million from $173 million in the fourth quarter.

Other noninterest income was favorably impacted by an $18.9 million pretax gain, or $0.06 per diluted share, for amounts received from the FDIC on certain acquired loans recently determined to be covered by the FDIC loss share agreement.

The net interest margin increased to 3.76% from 3.49% in the fourth quarter, due to the lower level of subordinated debt conversions this quarter. The core net interest margin was stable at 4.06% compared to 4.07% in the fourth quarter.

Strengthening growth in commercial, term commercial real estate, and consumer loans of $401 million offset a significant portion of the continued reduction in construction and land development loans of $544 million.

The estimated Tier 1 common to risk-weighted assets ratio improved to 9.27% from 8.95% in the fourth quarter.

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ZIONS BANCORPORATION

Press Release – Page 2

April 18, 2011

“During the first quarter we were especially pleased to see a substantial moderation of loan losses and continued improvement in credit quality, which allowed for a material reduction in our provision for loan losses,” said Harris H. Simmons, chairman and chief executive officer. Mr. Simmons continued, “We believe these improved credit measures and trends are sustainable, and will lead to continued operating profitability through the remainder of the year.” Mr. Simmons concluded, “We look forward to further credit improvement, increased loan volumes, and the eventual rationalization of our capital structure through the refinancing of higher cost preferred stock and subordinated debt, all of which should lead to material improvement in our earnings levels in future periods.”

Asset Quality

Net loan and lease charge-offs were $141.5 million for the first quarter of 2011 compared to $250.9 million for the fourth quarter of 2010. Net charge-offs significantly declined in each major loan portfolio segment and most geographies.

Classified loans decreased 11% to $3.0 billion at March 31, 2011 compared to $3.4 billion at December 31, 2010, which was down 23% from the previous quarter. Classified loans that are current as to principal and interest were approximately 68% for the first quarter of 2011 compared to 69% for the fourth quarter of 2010.

Nonperforming lending-related assets declined 8.0% to $1,681.7 million at March 31, 2011 from $1,828.3 million at December 31, 2010. Additions to nonperforming lending-related assets declined to $337 million during the first quarter of 2011 compared to $371 million during the fourth quarter of 2010. Nonaccrual loans declined 7.6% to $1,412.8 million at March 31, 2011 from $1,528.7 million at December 31, 2010. Nonaccrual loans that are current were approximately 34% of the balance at March 31, 2011 compared to 35% at December 31, 2010. Delinquent loans (accruing loans past due 30-89 days and 90 days or more) declined 15.3% to $365.6 million at March 31, 2011 compared to $431.9 million at December 31, 2010. Other real estate owned declined 10.2% to $268.9 million at March 31, 2011 compared to $299.6 million at December 31, 2010.

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ZIONS BANCORPORATION

Press Release – Page 3

April 18, 2011

The ratio of nonperforming lending-related assets to net loans and leases and other real estate owned was 4.54% at March 31, 2011 compared to 4.91% at December 31, 2010.

The provision for loan losses declined to $60.0 million for the first quarter of 2011 from $173.2 million for the fourth quarter of 2010. The allowance for loan losses declined to $1,349.8 million at March 31, 2011 compared to $1,440.3 million at December 31, 2010. As a percentage of net loans and leases, the allowance was 3.69% at March 31, 2011 compared to 3.92% at December 31, 2010. The allowance for credit losses was $1,452.0 million, or 3.97% of net loans and leases at March 31, 2011, compared to $1,552.0 million, or 4.22%, at December 31, 2010.

Loans

Net loans and leases of $36.5 billion at March 31, 2011 decreased approximately $202 million or 0.5% from $36.7 billion at December 31, 2010, compared to an $802 million decline during the fourth quarter of 2010. Strengthening growth in commercial and consumer loans and continued growth in term commercial real estate loans offset continued reductions in construction and land development loan balances. These loan volume trends were widespread throughout the Company’s footprint.

Certain FDIC-supported loans continue to experience better performance than previously forecasted. The expectation of higher-than-expected cash flows from this portfolio results in a higher rate of accretion in loan balances and the recognition of additional interest income. The estimated effect on the financial statements of this higher accretion and the corresponding impact on the FDIC indemnification asset are summarized as follows:

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ZIONS BANCORPORATION

Press Release – Page 4

April 18, 2011

(In thousands)	March 31,			December 31,			September 30,
	2011			2010			2010
Balance sheet:

Change in assets – increase (decrease):
FDIC-supported loans	$	19,257		$	19,006		$	18,713
FDIC indemnification asset (included in other assets)		(13,088	)		(15,205	)		(14,970	)

Balance at end of period:
FDIC-supported loans		912,881			971,377			1,089,926
FDIC indemnification asset (included in other assets)		172,170			195,515			233,631

	Three Months Ended
	March 31,			December 31,			September 30,
	2011			2010			2010
Statement of income:

Interest income:
Interest and fees on loans	$	19,257		$	19,006		$	18,713

Noninterest expense:
Other noninterest expense		13,088			15,205			14,970
Net increase in pretax income	$	6,169		$	3,801		$	3,743

Capital Transactions

During the first quarter of 2011, the Company increased its Tier 1 capital through common stock equity distribution issuances of 1,067,540 shares for $25.5 million (average price of $23.89). These were made under a new program announced February 10, 2011 to sell up to $200 million of common stock, which superseded all prior programs. Net of commissions and fees, these issuances added $25.0 million to tangible common equity.

Effective March 15, 2011, $85.8 million of convertible subordinated debt was converted into depositary shares each representing a 1/40th interest in a share of the Company’s preferred stock. This conversion added 85,829 shares of Series C and 20 shares of Series A to the Company’s preferred stock. Accelerated discount amortization on the converted debt increased interest expense by a pretax noncash amount of approximately $41.0 million ($33.3 million after-tax) in the first quarter of 2011, compared to $73.3 million ($59.9 million after-tax) in the fourth quarter of 2010.

The estimated Tier 1 common to risk-weighted assets ratio was 9.27% at March 31, 2011 compared to 8.95% at December 31, 2010.

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ZIONS BANCORPORATION

Press Release – Page 5

April 18, 2011

Deposits

Average total deposits for the first quarter of 2011 decreased $0.6 billion or 1.4% to $40.6 billion compared to $41.2 billion for the fourth quarter of 2010. The change reflects primarily a reduction of higher cost time deposits partially offset by an increase in noninterest-bearing demand deposits. Average noninterest-bearing demand deposits for the first quarter of 2011 increased slightly to $13.7 billion compared to $13.6 billion for the fourth quarter of 2010.

Net Interest Margin

The net interest margin increased to 3.76% in the first quarter of 2011 compared to 3.49% in the fourth quarter of 2010, primarily due to the lower level of accelerated discount amortization (36 bp compared to 62 bp in the fourth quarter). The core net interest margin, adjusted for the amortization on convertible subordinated debt and accretion on acquired loans, was 4.06% in the first quarter compared to 4.07% in the fourth quarter.

Investment Securities

During the first quarter of 2011, the Company recognized credit-related net impairment losses on CDOs of $3.1 million or $0.01 per diluted share, compared to $12.3 million or $0.04 per diluted share during the fourth quarter of 2010. CDOs for which the underlying collateral is predominantly bank trust preferred securities comprised $2.1 billion of the $2.9 billion par amount of the CDO portfolio at March 31, 2011. The following table shows the changes in carrying value for bank and insurance trust preferred CDOs at March 31, 2011 compared to December 31, 2010 according to original ratings:

(Amounts in millions)

	March 31, 2011															% of carrying						Change
Original	Par					Amortized cost					Carrying value					value to par						3/31/11
ratings	Amount		%			Amount		%			Amount		%			3/31/11			12/31/10			vs 12/31/11
AAA	$	1,115		52	%	$	931		55	%	$	661		65	%		59	%		68	%		-9	%
A		948		45	%		743		43	%		346		34	%		37	%		31	%		6	%
BBB		67		3	%		34		2	%		11		1	%		16	%		13	%		3	%
	$	2,130		100	%	$	1,708		100	%	$	1,018		100	%		48	%		50	%		-2	%

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ZIONS BANCORPORATION

Press Release – Page 6

April 18, 2011

For original AAA-rated securities, the changes in CDO valuations were attributable to an increase in the limited trading activity, which provided additional market-based information to estimate fair value. For original A- and BBB-rated securities, the valuation changes resulted from an enhancement in valuation modeling that incorporates the performance of previously deferring collateral. The performance for certain deferring collateral improved during the quarter such that the payment of interest resumed. Accordingly, expectations have been revised regarding the extent of currently deferring collateral ultimately repaying contractually due interest. Also during the first quarter, the Company sold $33 million par amount ($4 million amortized cost with essentially no carrying value) of CDO securities.

Noninterest Income and Noninterest Expense

Noninterest income for the first quarter of 2011 was $134.1 million compared to $113.2 million in the fourth quarter of 2010. The increase resulted primarily from the $18.9 million pretax gain on FDIC-supported loans discussed previously.

Noninterest expense for the first quarter of 2011 was $408.4 million compared to $443.4 million for the fourth quarter of 2010. The more significant changes from the fourth quarter include a $7.7 million increase in salaries and employee benefits due to increased payroll taxes and adjustments in benefit-related accruals; reduced credit related and legal and professional expenses of $9.1 million; and a reduction of $23.3 million in the provision for unfunded lending commitments, resulting in a negative provision of $9.5 million.

Conference Call

Zions will host a conference call to discuss these first quarter results at 5:30 p.m. ET this afternoon (April 18, 2011). Media representatives, analysts and the public are invited to listen to this discussion by calling 1-877-368-2147 (international 253-237-1247) and entering the passcode 52656923, or via on-demand webcast. A link to the webcast will be available on the Zions Bancorporation website at www.zionsbancorporation.com. A replay of the call will be available from approximately 7:30 p.m. ET on Monday, April 18, 2011, until midnight ET on Monday, April 25, 2011, by dialing 1-800-642-1687 (international 706-645-9291) and entering the passcode 52656923. The webcast of the conference call will also be archived and available for 30 days.

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ZIONS BANCORPORATION

Press Release – Page 7

April 18, 2011

About Zions Bancorporation

Zions Bancorporation is one of the nation's premier financial services companies, consisting of a collection of great banks in select Western markets. Zions operates its banking businesses under local management teams and community identities through approximately 500 offices in 10 Western and Southwestern states: Arizona, California, Colorado, Idaho, Nevada, New Mexico, Oregon, Texas, Utah and Washington. The Company is a national leader in Small Business Administration lending and public finance advisory services. In addition, Zions is included in the S&P 500 and NASDAQ Financial 100 indices. Investor information and links to subsidiary banks can be accessed at www.zionsbancorporation.com.

Forward-Looking Information

Statements in this press release that are based on other than historical data or that express the Company’s expectations regarding future events or determinations are forward-looking within the meaning of the Private Securities Litigation Reform Act of 1995. Forward-looking statements provide current expectations or forecasts of future events or determinations. These forward-looking statements are not guarantees of future performance or determinations, nor should they be relied upon as representing management’s views as of any subsequent date. Forward-looking statements involve significant risks and uncertainties and actual results may differ materially from those presented, either expressed or implied, in this press release. Factors that might cause such differences include, but are not limited to:

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ZIONS BANCORPORATION

Press Release – Page 8

April 18, 2011

the Company’s ability to successfully execute its business plans and achieve its objectives; changes in general economic and financial market conditions, either internationally, nationally or locally in areas in which the Company conducts its operations, including changes in securities markets and valuations in structured securities and other assets; changes in governmental policies and programs resulting from general economic and financial market conditions; changes in interest and funding rates; continuing consolidation in the financial services industry; new private and governmental legal actions or changes in existing private and governmental legal actions; increased competitive challenges and expanding product and pricing pressures among financial institutions; legislation or regulatory changes which adversely affect the Company’s operations or business (including the Dodd-Frank Wall Street Reform and Consumer Protection Act); and changes in accounting policies, procedures or determinations as may be required by the Financial Accounting Standards Board or other regulatory agencies.

Additional factors that could cause actual results to differ materially from those expressed in the forward-looking statements are discussed in Zions Bancorporation’s most recent Annual Report on Form 10-K and Quarterly Report on Form 10-Q filed with the Securities and Exchange Commission (“SEC”) and available at the SEC’s Internet site (http://www.sec.gov).

Except as required by law, the Company specifically disclaims any obligation to update any factors or to publicly announce the result of revisions to any of the forward-looking statements included herein to reflect future events or developments.

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ZIONS BANCORPORATION AND SUBSIDIARIES
Press Release – Page 9
FINANCIAL HIGHLIGHTS
(Unaudited)
	Three Months Ended
(In thousands, except per share and ratio data)	March 31,			December 31,			September 30,			June 30,			March 31,
	2011			2010			2010			2010			2010
PER COMMON SHARE
Dividends	$	0.01		$	0.01		$	0.01		$	0.01		$	0.01
Book value per common share		24.93			25.12			26.07			26.63			26.89
Tangible common equity per common share		18.96			19.09			19.81			20.19			19.89

SELECTED RATIOS
Return on average assets		0.42	%		(0.56	)%		(0.36	)%		(0.87	)%		(0.47	)%
Return on average common equity		1.29	%		(9.51	)%		(6.94	)%		(12.41	)%		(8.30	)%
Net interest margin		3.76	%		3.49	%		3.84	%		3.58	%		4.03	%

Capital Ratios
Tangible common equity ratio		7.01	%		6.99	%		7.03	%		6.86	%		6.30	%
Tangible equity ratio		11.36	%		11.10	%		10.78	%		10.40	%		9.36	%
Average equity to average assets		13.25	%		12.80	%		12.40	%		11.59	%		11.16	%

Risk-Based Capital Ratios1:
Tier 1 common to risk-weighted assets		9.27	%		8.95	%		8.66	%		7.91	%		7.14	%
Tier 1 leverage		13.14	%		12.56	%		12.00	%		11.80	%		10.77	%
Tier 1 risk-based capital		15.37	%		14.78	%		13.97	%		12.63	%		11.19	%
Total risk-based capital		17.66	%		17.15	%		16.54	%		15.25	%		13.93	%

Taxable-equivalent net interest income	$	429,231		$	412,001		$	457,172		$	418,953		$	460,981

Weighted average common and common-
equivalent shares outstanding		181,997,687			178,097,851			172,864,619			161,810,017			151,073,384
Common shares outstanding		183,854,486			182,784,086			177,202,340			173,331,281			160,300,162

1 Ratios for March 31, 2011 are estimates.

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ZIONS BANCORPORATION AND SUBSIDIARIES
Press Release – Page 10
CONSOLIDATED BALANCE SHEETS
	March 31,			December 31,			September 30,			June 30,			March 31,
(In thousands, except share amounts)	2011			2010			2010			2010			2010
	(Unaudited)						(Unaudited)			(Unaudited)			(Unaudited)
ASSETS
Cash and due from banks	$	949,140		$	924,126		$	1,060,646		$	1,068,755		$	1,045,391
Money market investments:
Interest-bearing deposits		4,689,323			4,576,008			4,468,778			4,861,871			3,410,211
Federal funds sold and security resell agreements		67,197			130,305			116,458			103,674			117,548
Investment securities:
Held-to-maturity, at adjusted cost (approximate fair value
$758,169, $788,354, $783,362, $802,370, and $856,256)		820,636			840,642			841,573			852,606			902,902
Available-for-sale, at fair value		4,130,342			4,205,742			3,295,864			3,416,448			3,437,098
Trading account, at fair value		56,549			48,667			42,811			85,707			50,698
		5,007,527			5,095,051			4,180,248			4,354,761			4,390,698

Loans held for sale		195,055			206,286			217,409			189,376			171,892

Loans:
Loans and leases excluding FDIC-supported loans		35,753,638			35,896,395			36,579,470			36,920,355			37,784,853
FDIC-supported loans		912,881			971,377			1,089,926			1,208,362			1,320,737
		36,666,519			36,867,772			37,669,396			38,128,717			39,105,590
Less:
Unearned income and fees, net of related costs		120,725			120,341			120,037			125,779			131,555
Allowance for loan losses		1,349,800			1,440,341			1,529,955			1,563,753			1,581,577
Loans and leases, net of allowance		35,195,994			35,307,090			36,019,404			36,439,185			37,392,458

Other noninterest-bearing investments		858,958			858,367			858,402			866,970			909,601
Premises and equipment, net		721,487			720,985			719,592			705,372			707,387
Goodwill		1,015,161			1,015,161			1,015,161			1,015,161			1,015,161
Core deposit and other intangibles		82,199			87,898			94,128			100,425			106,839
Other real estate owned		268,876			299,577			356,923			413,336			414,237
Other assets		1,756,791			1,814,032			1,940,627			2,028,409			2,031,558
	$	50,807,708		$	51,034,886		$	51,047,776		$	52,147,295		$	51,712,981

LIABILITIES AND SHAREHOLDERS’ EQUITY
Deposits:
Noninterest-bearing demand	$	13,790,615		$	13,653,929		$	13,264,415		$	14,071,456		$	12,799,002
Interest-bearing:
Savings and NOW		6,494,013			6,362,138			6,394,964			6,030,986			5,978,536
Money market		14,874,507			15,090,833			15,398,157			15,562,664			16,667,011
Time under $100,000		1,859,005			1,941,211			2,037,318			2,155,366			2,306,101
Time $100,000 and over		2,085,487			2,232,238			2,417,779			2,509,479			2,697,261
Foreign		1,488,807			1,654,651			1,447,507			1,683,925			1,647,898
		40,592,434			40,935,000			40,960,140			42,013,876			42,095,809

Securities sold, not yet purchased		101,406			42,548			41,943			81,511			47,890
Federal funds purchased and security repurchase agreements		727,764			722,258			738,551			892,025			953,791
Other short-term borrowings		182,167			166,394			236,507			218,589			178,435
Long-term debt		1,913,083			1,942,622			1,939,395			1,934,410			2,016,461
Reserve for unfunded lending commitments		102,168			111,708			97,899			96,795			96,312
Other liabilities		444,099			467,142			538,750			488,987			467,371
Total liabilities		44,063,121			44,387,672			44,553,185			45,726,193			45,856,069

Shareholders’ equity:
Preferred stock, without par value, authorized 4,400,000 shares		2,162,399			2,056,672			1,875,463			1,806,877			1,532,323
Common stock, without par value; authorized 350,000,000
shares; issued and outstanding 183,854,486, 182,784,086,
177,202,340, 173,331,281, and 160,300,162 shares		4,178,369			4,163,619			4,070,963			3,964,140			3,517,621
Retained earnings		904,247			889,284			1,001,559			1,083,845			1,220,439
Accumulated other comprehensive income (loss)		(499,163	)		(461,296	)		(452,553	)		(433,020	)		(428,177	)
Controlling interest shareholders’ equity		6,745,852			6,648,279			6,495,432			6,421,842			5,842,206
Noncontrolling interests		(1,265	)		(1,065	)		(841	)		(740	)		14,706
Total shareholders’ equity		6,744,587			6,647,214			6,494,591			6,421,102			5,856,912
	$	50,807,708		$	51,034,886		$	51,047,776		$	52,147,295		$	51,712,981

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ZIONS BANCORPORATION AND SUBSIDIARIES
Press Release – Page 11
CONSOLIDATED STATEMENTS OF INCOME
(Unaudited)

	Three Months Ended
(In thousands, except per share amounts)	March 31,			December 31,			September 30,			June 30,			March 31,
	2011			2010			2010			2010			2010
Interest income:
Interest and fees on loans	$	518,157		$	539,452		$	550,489		$	547,662		$	547,636
Interest on money market investments		2,843			3,419			3,487			2,601			1,439
Interest on securities:
Held-to-maturity		8,664			8,149			6,063			11,300			7,893
Available-for-sale		22,276			22,472			21,353			21,518			22,692
Trading account		452			546			542			657			475
Total interest income		552,392			574,038			581,934			583,738			580,135

Interest expense:
Interest on deposits		36,484			40,915			46,368			52,753			56,076
Interest on short-term borrowings		2,180			2,442			3,566			3,486			3,067
Interest on long-term debt		89,872			123,813			80,125			114,153			65,692
Total interest expense		128,536			167,170			130,059			170,392			124,835

Net interest income		423,856			406,868			451,875			413,346			455,300
Provision for loan losses		60,000			173,242			184,668			228,663			265,565
Net interest income after provision for loan losses		363,856			233,626			267,207			184,683			189,735

Noninterest income:
Service charges and fees on deposit accounts		44,530			46,498			49,733			51,909			51,608
Other service charges, commissions and fees		41,685			41,124			41,780			43,395			39,042
Trust and wealth management income		6,754			6,512			6,310			7,021			7,609
Capital markets and foreign exchange		7,214			10,309			8,055			10,733			8,539
Dividends and other investment income		8,028			7,621			8,874			8,879			7,700
Loan sales and servicing income		6,013			8,943			8,390			5,617			6,432
Fair value and nonhedge derivative income (loss)		1,220			292			(16,755	)		(1,552	)		2,188
Equity securities gains (losses), net		897			(246	)		(1,082	)		(1,500	)		(3,165	)
Fixed income securities gains (losses), net		(59	)		841			8,428			530			1,256
Impairment losses on investment securities:
Impairment losses on investment securities		(3,105	)		(15,243	)		(73,082	)		(19,557	)		(48,570	)
Noncredit-related losses on securities not expected to
be sold (recognized in other comprehensive income)		-			2,923			49,370			1,497			17,307
Net impairment losses on investment securities		(3,105	)		(12,320	)		(23,712	)		(18,060	)		(31,263	)
Gain on subordinated debt exchange		-			-			-			-			14,471
Other		20,966			3,665			20,179			2,441			3,193
Total noninterest income		134,143			113,239			110,200			109,413			107,610

Noninterest expense:
Salaries and employee benefits		215,010			207,288			207,947			205,776			204,333
Occupancy, net		28,010			27,957			29,292			27,822			28,488
Furniture and equipment		25,662			24,771			25,591			25,703			24,996
Other real estate expense		24,167			25,467			44,256			42,444			32,648
Credit related expense		14,913			19,284			17,438			17,658			16,825
Provision for unfunded lending commitments		(9,540	)		13,809			1,104			483			(20,133	)
Legal and professional services		6,689			11,372			9,305			8,887			9,976
Advertising		6,911			7,099			5,575			5,772			6,374
FDIC premiums		24,101			25,636			25,706			26,438			24,210
Amortization of core deposit and other intangibles		5,701			6,230			6,296			6,414			6,577
Other		66,751			74,443			83,534			62,958			54,832
Total noninterest expense		408,375			443,356			456,044			430,355			389,126

Income (loss) before income taxes		89,624			(96,491	)		(78,637	)		(136,259	)		(91,781	)
Income taxes (benefit)		37,033			(24,097	)		(31,180	)		(22,898	)		(28,644	)
Net income (loss)		52,591			(72,394	)		(47,457	)		(113,361	)		(63,137	)
Net income (loss) applicable to noncontrolling interests		(226	)		(194	)		(132	)		(368	)		(2,927	)
Net income (loss) applicable to controlling interest		52,817			(72,200	)		(47,325	)		(112,993	)		(60,210	)
Preferred stock dividends		(38,050	)		(38,087	)		(33,144	)		(25,342	)		(26,311	)
Preferred stock redemption		-			-			-			3,107			-
Net earnings (loss) applicable to common shareholders	$	14,767		$	(110,287	)	$	(80,469	)	$	(135,228	)	$	(86,521	)

Weighted average common shares outstanding during the period:
Basic shares		181,707			178,098			172,865			161,810			151,073
Diluted shares		181,998			178,098			172,865			161,810			151,073

Net earnings (loss) per common share:
Basic	$	0.08		$	(0.62	)	$	(0.47	)	$	(0.84	)	$	(0.57	)
Diluted		0.08			(0.62	)		(0.47	)		(0.84	)		(0.57	)

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ZIONS BANCORPORATION AND SUBSIDIARIES
Press Release – Page 12

Loan Balances By Portfolio Type
(Unaudited)

(In millions)	March 31,		December 31,		September 30,		June 30,		March 31,
	2011		2010		2010		2010		2010
Commercial:
Commercial and industrial	$	9,276	$	9,167	$	9,152	$	9,149	$	9,269
Leasing		409		410		402		442		442
Owner occupied		8,252		8,218		8,345		8,334		8,457
Municipal		435		439		334		321		332
Total commercial		18,372		18,234		18,233		18,246		18,500

Commercial real estate:
Construction and land development		2,955		3,499		4,206		4,484		5,060
Term		7,857		7,650		7,550		7,567		7,524
Total commercial real estate		10,812		11,149		11,756		12,051		12,584

Consumer:
Home equity credit line		2,120		2,142		2,157		2,139		2,121
1-4 family residential		3,620		3,499		3,509		3,549		3,584
Construction and other consumer real estate		324		343		366		380		403
Bankcard and other revolving plans		276		297		287		285		314
Other		230		233		271		271		279
Total consumer		6,570		6,514		6,590		6,624		6,701

FDIC-supported loans 1		913		971		1,090		1,208		1,321
Total loans	$	36,667	$	36,868	$	37,669	$	38,129	$	39,106


1 FDIC-supported loans represent loans acquired from the FDIC subject to loss sharing agreements.

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ZIONS BANCORPORATION AND SUBSIDIARIES
Press Release – Page 13

Nonperforming Lending-Related Assets
(Unaudited)

(Amounts in thousands)	March 31,			December 31,			September 30,			June 30,			March 31,
	2011			2010			2010			2010			2010

Nonaccrual loans	$	1,379,499		$	1,492,869		$	1,809,570		$	1,962,313		$	2,087,203
Other real estate owned		225,005			259,614			304,498			364,954			366,798
Nonperforming lending-related assets, excluding
FDIC-supported assets		1,604,504			1,752,483			2,114,068			2,327,267			2,454,001

FDIC-supported nonaccrual loans		33,296			35,837			126,634			171,764			283,999
FDIC-supported other real estate owned		43,871			39,963			52,425			48,382			47,439
FDIC-supported nonperforming assets		77,167			75,800			179,059			220,146			331,438
Total nonperforming lending-related assets	$	1,681,671		$	1,828,283		$	2,293,127		$	2,547,413		$	2,785,439

Ratio of nonperforming lending-related assets to net loans
and leases 1 and other real estate owned		4.54	%		4.91	%		6.01	%		6.60	%		7.04	%

Accruing loans past due 90 days or more, excluding
FDIC-supported loans	$	14,822		$	23,218		$	74,829		$	131,773		$	60,009
FDIC-supported loans past due 90 days or more		94,723			118,760			9,689			5,483			22,275
Ratio of accruing loans past due 90 days or more to
net loans and leases 1		0.30	%		0.38	%		0.22	%		0.36	%		0.21	%

Nonaccrual loans and accruing loans past due 90 days or more	$	1,522,340		$	1,670,684		$	2,020,722		$	2,271,333		$	2,453,486
Ratio of nonaccrual loans and accruing loans past due
90 days or more to net loans and leases 1		4.14	%		4.52	%		5.35	%		5.95	%		6.27	%

Accruing loans past due 30-89 days, excluding
FDIC-supported loans	$	233,632		$	262,714		$	303,472		$	317,666		$	462,409
FDIC-supported loans past due 30-89 days		22,463			27,203			8,919			27,180			55,919

Restructured loans included in nonaccrual loans		344,024			367,135			354,434			339,113			340,165
Restructured loans on accrual		369,281			388,006			334,416			288,388			211,486

Classified loans, excluding FDIC-supported loans		3,045,509			3,408,312			4,437,871			4,877,653			5,179,393

1 Includes loans held for sale.

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ZIONS BANCORPORATION AND SUBSIDIARIES
Press Release – Page 14

Allowance for Credit Losses
(Unaudited)

	Three Months Ended
(Amounts in thousands)	March 31,			December 31,			September 30,			June 30,			March 31,
	2011			2010			2010			2010			2010
Allowance for Loan Losses
Balance at beginning of period	$	1,440,341		$	1,529,955		$	1,563,753		$	1,581,577		$	1,531,332
Add:
Provision for losses		60,000			173,242			184,668			228,663			265,565
Change in allowance covered by FDIC indemnification		(9,048	)		(11,930	)		17,190			8,748			11,770
Deduct:
Gross loan and lease charge-offs		(167,968	)		(282,803	)		(263,673	)		(279,025	)		(248,312	)
Net charge-offs recoverable from FDIC		4,534			5,884			5,674			629			1,859
Recoveries		21,941			25,993			22,343			23,161			19,363
Net loan and lease charge-offs		(141,493	)		(250,926	)		(235,656	)		(255,235	)		(227,090	)
Balance at end of period	$	1,349,800		$	1,440,341		$	1,529,955		$	1,563,753		$	1,581,577

Ratio of allowance for loan losses to net loans and
leases, at period end		3.69	%		3.92	%		4.07	%		4.11	%		4.06	%

Ratio of allowance for loan losses to nonperforming
loans, at period end		95.54	%		94.22	%		79.02	%		73.28	%		66.70	%

Annualized ratio of net loan and lease charge-offs to
average loans		1.54	%		2.71	%		2.50	%		2.64	%		2.29	%

Reserve for Unfunded Lending Commitments
Balance at beginning of period	$	111,708		$	97,899		$	96,795		$	96,312		$	116,445
Provision charged (credited) to earnings		(9,540	)		13,809			1,104			483			(20,133	)
Balance at end of period	$	102,168		$	111,708		$	97,899		$	96,795		$	96,312

Total Allowance for Credit Losses
Allowance for loan losses	$	1,349,800		$	1,440,341		$	1,529,955		$	1,563,753		$	1,581,577
Reserve for unfunded lending commitments		102,168			111,708			97,899			96,795			96,312
Total allowance for credit losses	$	1,451,968		$	1,552,049		$	1,627,854		$	1,660,548		$	1,677,889

Ratio of total allowance for credit losses
to net loans and leases outstanding, at period end		3.97	%		4.22	%		4.34	%		4.37	%		4.31	%

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ZIONS BANCORPORATION AND SUBSIDIARIES
Press Release – Page 15

Nonaccrual Loans By Portfolio Type
(Excluding FDIC-Supported Loans)
(Unaudited)

(In millions)	March 31,			December 31,			September 30,			June 30,			March 31,
	2011			2010			2010			2010			2010
Commercial lending:
Commercial and industrial	$	213		$	224		$	284		$	318		$	320
Leasing		1			1			2			8			8
Owner occupied		317			342			414			438			460
Municipal		2			2			-			-			-
Total commercial lending		533			569			700			764			788

Commercial real estate:
Construction and land development		418			494			660			744			803
Term		270			264			263			281			324
Total commercial real estate		688			758			923			1,025			1,127

Consumer:
Home equity credit line		13			14			16			13			14
1-4 family residential		120			125			145			136			127
Construction and other consumer real estate		21			24			22			20			28
Bankcard and other revolving plans		-			1			1			1			-
Other		4			2			3			3			3
Total consumer		158			166			187			173			172
Total nonaccrual loans	$	1,379		$	1,493		$	1,810		$	1,962		$	2,087


Net Charge-Offs By Portfolio Type

(In millions)	March 31,			December 31,			September 30,			June 30,			March 31,
	2011			2010			2010			2010			2010
Commercial lending:
Commercial and industrial	$	31		$	55		$	72		$	52		$	49
Leasing		-			3			3			-			2
Owner occupied		22			43			32			35			36
Municipal		-			-			-			-			-
Total commercial lending		53			101			107			87			87

Commercial real estate:
Construction and land development		48			80			71			99			86
Term		22			44			31			39			23
Total commercial real estate		70			124			102			138			109

Consumer:
Home equity credit line		6			9			6			7			7
1-4 family residential		8			14			15			14			15
Construction and other consumer real estate		4			2			7			6			5
Bankcard and other revolving plans		3			3			2			2			3
Other		2			3			3			2			3
Total consumer loans		23			31			33			31			33

Charge-offs recoverable from FDIC		(5	)		(5	)		(6	)		(1	)		(2	)
Total net charge-offs	$	141		$	251		$	236		$	255		$	227

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ZIONS BANCORPORATION AND SUBSIDIARIES
Press Release – Page 16
CONSOLIDATED AVERAGE BALANCE SHEETS, YIELDS AND RATES
(Unaudited)

	Three Months Ended						Three Months Ended						Three Months Ended
	March 31, 2011						December 31, 2010						September 30, 2010
(Amounts in thousands)	Average			Average			Average			Average			Average			Average
	balance			rate			balance			rate			balance			rate
ASSETS
Money market investments	$	4,513,934			0.26	%	$	5,022,668			0.27	%	$	5,192,847			0.27	%
Securities:
Held-to-maturity		833,000			5.38	%		832,125			5.06	%		843,268			4.14	%
Available-for-sale		4,107,003			2.28	%		3,639,181			2.53	%		3,282,056			2.68	%
Trading account		49,769			3.68	%		60,898			3.56	%		59,216			3.63	%
Total securities		4,989,772			2.81	%		4,532,204			3.01	%		4,184,540			2.99	%

Loans held for sale		160,073			4.06	%		212,822			4.49	%		188,794			4.67	%

Loans:
Net loans and leases excluding FDIC-supported loans 1		35,715,679			5.51	%		36,046,889			5.56	%		36,525,416			5.60	%
FDIC-supported loans		952,078			14.13	%		1,033,999			13.08	%		1,149,976			11.93	%
Total loans and leases		36,667,757			5.74	%		37,080,888			5.77	%		37,675,392			5.79	%
Total interest-earning assets		46,331,536			4.88	%		46,848,582			4.90	%		47,241,573			4.93	%
Cash and due from banks		1,078,869						1,071,389						1,063,000
Allowance for loan losses		(1,423,701	)					(1,504,034	)					(1,556,558	)
Goodwill		1,015,161						1,015,161						1,015,161
Core deposit and other intangibles		85,372						91,338						97,741
Other assets		3,617,747						3,784,589						3,917,955
Total assets	$	50,704,984					$	51,307,025					$	51,778,872

LIABILITIES
Interest-bearing deposits:
Savings and NOW	$	6,401,249			0.30	%	$	6,488,349			0.31	%	$	6,186,704			0.32	%
Money market		15,018,892			0.51	%		15,229,655			0.55	%		15,584,312			0.63	%
Time under $100,000		1,909,259			1.02	%		2,001,693			1.13	%		2,103,818			1.25	%
Time $100,000 and over		2,147,502			1.09	%		2,316,452			1.15	%		2,462,904			1.21	%
Foreign		1,438,979			0.58	%		1,526,859			0.61	%		1,563,090			0.60	%
Total interest-bearing deposits		26,915,881			0.55	%		27,563,008			0.59	%		27,900,828			0.66	%
Borrowed funds:
Securities sold, not yet purchased		32,054			4.34	%		28,785			4.45	%		38,789			4.33	%
Federal funds purchased and security
repurchase agreements		703,976			0.13	%		800,891			0.14	%		873,954			0.14	%
Other short-term borrowings		173,349			3.76	%		186,500			3.92	%		210,235			5.34	%
Long-term debt		1,939,921			18.79	%		1,952,428			25.16	%		1,945,775			16.34	%
Total borrowed funds		2,849,300			13.10	%		2,968,604			16.87	%		3,068,753			10.82	%
Total interest-bearing liabilities		29,765,181			1.75	%		30,531,612			2.17	%		30,969,581			1.67	%
Noninterest-bearing deposits		13,672,638						13,607,309						13,786,784
Other liabilities		548,101						601,253						601,439
Total liabilities		43,985,920						44,740,174						45,357,804
Shareholders’ equity:
Preferred equity		2,077,555						1,966,098						1,819,889
Common equity		4,642,639						4,601,598						4,601,920
Controlling interest shareholders’ equity		6,720,194						6,567,696						6,421,809
Noncontrolling interests		(1,130	)					(845	)					(741	)
Total shareholders’ equity		6,719,064						6,566,851						6,421,068
Total liabilities and shareholders’ equity	$	50,704,984					$	51,307,025					$	51,778,872

Spread on average interest-bearing funds					3.13	%					2.73	%					3.26	%

Net yield on interest-earning assets					3.76	%					3.49	%					3.84	%

1 Net of unearned income and fees, net of related costs. Loans include nonaccrual and restructured loans.

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ZIONS BANCORPORATION AND SUBSIDIARIES
Press Release – Page 17

GAAP to Non-GAAP Reconciliation
(Unaudited)
			Three Months Ended
			March 31, 2011						December 31, 2010
(Amounts in thousands)						Diluted						Diluted
			Amount			EPS			Amount			EPS
	1.	Net Earnings (Loss) Excluding the Effects of the Discount Amortization on
		Convertible Subordinated Debt and Additional Accretion on Acquired Loans

		Net earnings (loss) applicable to common shareholders (GAAP)	$	14,767		$	0.08		$	(110,287	)	$	(0.62	)
		Addback for the impact of:
		Discount amortization on convertible subordinated debt		8,101			0.05			8,499			0.05
		Accelerated discount amortization on convertible subordinated debt		33,322			0.18			59,887			0.33
		Additional accretion of interest income on acquired loans, net of expense		(3,575	)		(0.02	)		(2,203	)		(0.01	)
		Net earnings (loss) excluding the effects of the discount amortization on convertible
		subordinated debt and additional accretion on acquired loans (non-GAAP)	$	52,615		$	0.29		$	(44,104	)	$	(0.25	)

			Three Months Ended
			March 31, 2011						December 31, 2010
	2.	Core Net Interest Margin

		Net interest margin as reported (GAAP)		3.76	%					3.49	%
		Addback for the impact on net interest margin of:
		Discount amortization on convertible subordinated debt		0.11	%					0.12	%
		Accelerated discount amortization on convertible subordinated debt		0.36	%					0.62	%
		Additional accretion of interest income on acquired loans		-0.17	%					-0.16	%
		Core net interest margin (non-GAAP)		4.06	%					4.07	%

This Press Release presents the “net earnings (loss) excluding the effects of the discount amortization on convertible subordinated debt and additional accretion on acquired loans” and the “core net interest margin.” Both of these non-GAAP financial measures exclude the effects of the (1) periodic discount amortization on convertible subordinated debt; (2) accelerated discount amortization on convertible subordinated debt which has been converted; and (3) additional accretion of interest income on acquired loans based on increased projected cash flows, (hereinafter collectively referred to as the “amortization and accretion adjustments”). These amortization and accretion adjustments are included in financial results presented in accordance with generally accepted accounting principles (“GAAP”). Management considers these amortization and accretion adjustments to be relevant to ongoing operating results.

The Company believes the exclusion of these amortization and accretion adjustments to present results of operations provides a meaningful base for period-to-period and company-to-company comparisons, which management believes will assist investors in analyzing the operating results of the Company and predicting future performance. Excluding these amortization and accretion adjustments facilitates the ability of management and the Board of Directors to assess the ongoing performance of the Company’s business for the following purposes:

• Evaluation of bank reporting segment performance

• Presentations of Company performance to investors

The Company believes that presenting results of operations excluding these amortization and accretion adjustments will permit investors to assess the performance of the Company on the same basis as that applied by management and the Board of Directors.

Non-GAAP financial measures have inherent limitations, are not required to be uniformly applied, and are not audited. Although non-GAAP financial measures are frequently used by stakeholders in the evaluation of a company, they have limitations as an analytical tool and should not be considered in isolation or as a substitute for analyses of results as reported under GAAP.

# # #

For: ZIONS BANCORPORATION

Contact: James Abbott

One South Main, 15th Floor

Tel: (801) 524-4787

Salt Lake City, Utah

April 18, 2011

Harris H. Simmons

Chairman/Chief Executive Officer