You are given a text that consists of multiple sentences. Your task is to perform abstractive summarization on this text. Use your understanding of the content to express the main ideas and crucial details in a shorter, coherent, and natural sounding text. 
Text: Also joining us on the call are our Chief Risk Officer, Jodi Richard; and our Chief Credit Officer, Mark Runkel.
I'll begin on Slide 3.
In the second quarter, we reported earnings per share of $1.28.
We released $350 million in loan loss reserves this quarter supported by our outlook on the economy and continued improvement in credit quality metrics, the pace of which has been better than expected.
Net revenue totaled $5.8 billion in the second quarter.
As expected, net interest income grew in the second quarter, while our fee businesses benefited from improving consumer and business spending trends.
Notably, as of late June, total sales volumes for each of our three payments businesses, credit and debit card, merchant acquiring and corporate payment systems, were above 2019 levels for the first time since the beginning of the pandemic.
Our expenses were relatively stable compared with the first quarter.
Our book value per share totaled $31.74 at June 30, which was 4% higher than March 31.
During the quarter, we returned 79% of our earnings to shareholders in the forms of dividends and share buybacks.
Following the results of the Federal Reserve's stress tests in late June, we announced that management will recommend that our Board of Directors approve a 9.5% increase in our common dividend in the third quarter payable in October.
Slide 4 provides key metrics, including a return on tangible common equity of 20.9%.
Slide 5 highlights continued strong trends in digital activity.
Average loans were stable compared with the first quarter, in line with our expectations.
Strong demand for our instalment loans drove other retail loan growth, while C&I loans increased 0.9%, supported by strong growth in asset-backed lending, partly offset by continued pay down activity and other C&I categories.
We saw a decline in residential mortgage loans and increased pay downs.
Average credit card loan balances were stable compared with the first quarter as the payment rates remained high at 38%, reflecting a significant level of consumer liquidity.
However, period end balances increased 4.5% on a linked quarter basis as we saw some pickup in activity toward the end of the quarter.
Turning to Slide 7.
Average deposits increased 0.7% compared with the first quarter and grew by 6.4% compared with a year ago, reflecting the significant level of liquidity in the financial system.
Our overall deposit mix continues to be favorable.
In the second quarter, our non-interest bearing deposits grew 5.9% linked quarter, while time deposits declined by 8.1%.
Time deposits now account for 6% of total deposits compared with 11% a year ago.
Slide 8 shows credit quality trends, which continue to be better than expectations.
Our net charge-off ratio totaled 0.25% in the second quarter compared with 0.31% in the first quarter.
The ratio of non-performing assets to loans and other real estate was 0.36% at the end of the second quarter compared with 0.41% at the end of the first quarter.
We released reserves of $350 million this quarter, reflective of better-than-expected credit trends and a continued constructive outlook on the economy.
Our allowance for credit losses as of June 30 totaled $6.6 billion or 2.23% of loans.
The allowance level reflected our best estimate of the impact of improving economic growth and changing credit quality within the portfolios.
Slide 9 provides an earnings summary.
In the second quarter of 2021, we earned $1.28 per diluted share.
These results include the reserve release of $350 million.
Net interest income on a fully taxable equivalent basis of $3.2 billion increased 2.4% compared with the first quarter, primarily driven by higher yields and volumes in our investment securities portfolio and favorable earning asset and funding mix shifts, partly offset by lower loan yields.
Our net interest margin increased 3 basis points to 2.53%.
The impact of lower loan yields was more than offset by a favorable mix shift in both our investment portfolio and funding composition as well as lower premium amortization expense.
Slide 11 highlights trends in non-interest income.
Compared with the year ago, non-interest income was relatively stable as the expected decline in mortgage banking revenue and commercial product revenue was offset by higher payments revenue, trust and investment management revenue, treasury management fees and deposit service charges.
On a linked quarter basis, non-interest income increased 10%, driven by higher business and consumer spending activity, reflecting broad-based reopenings of local economies.
Both year-over-year and linked quarter mortgage banking revenues were negatively impacted by slower -- slowing refinancing activity and reduced gain on sale margins.
Linked quarter mortgage revenue growth of 15.7% was primarily driven by the favorable linked quarter impact of a change in fair value of mortgage servicing rights, net of hedging activities.
Slide 12 provides information on our Payment Services business.
In the second quarter, total payments revenues increased 39.5% versus a year ago and was higher by 16.4% compared with the first quarter.
Each of our three payments businesses saw strong revenue growth on both a linked quarter and a year-over-year basis, reflective of the strengthening economy and the increased spend activity.
Credit and debit card revenue increased 39.4% on a year-over-year basis, driven by stronger credit card sales volumes and higher prepaid card processing activities related to government stimulus programs.
Sales volume trends, which are the primary driver of payments revenues, are encouraging.
The bottom charts on Slide 12 indicate that as of the end of June, total sales volumes across each of the three payments businesses exceeded comparable 2019 levels.
Certain pandemic impacted spend categories continue to lag, in particular corporate T&E.
However, consumer travel and hospitality spend volumes are rebounding faster than we expected and the pace of improvement in recent weeks has accelerated a bit.
Turning to slide 13.
Non-interest expenses was relatively stable on a linked quarter basis as expected.
Slide 14 highlights our capital position.
Our common equity Tier 1 capital ratio at June 30 was 9.9% compared with our target CET1 ratio of 8.5%.
Given an improving economic conditions in the second quarter, we bought back $886 million of common stock as part of our previously announced $3.0 billion repurchase program.
For the third quarter of 2021, we expect fully taxable equivalent net interest income to be relatively stable compared to the second quarter.
We expect total payments revenues to be relatively stable compared to the second quarter, but we'll continue to track favorably on a year-over-year basis.
While we expect sales volumes growth in each of our three payments businesses to continue to improve sequentially, prepaid card volumes are expected to decline toward pre-pandemic levels as the impact of government stimulus dissipates.
We expect non-interest expenses to be relatively stable compared to the second quarter.
Credit quality remains strong.
Over the next few quarters, we expect the net charge-off ratio to remain lower than normal.
For the full year of 2021, we expect -- we currently expect our taxable equivalent tax rate to be approximately 22%.
I'll hand it back to Andy for closing remarks.
Our second quarter results came in as expected.
And there are many reasons we are optimistic as we head into the second half of the year.
The economy continues to recover toward pre-pandemic activity levels and the consumer and business spending activity continues to improve.
Credit quality trends have been a positive surprise.
And our payments volumes have come back a bit faster than we expected as recently as a few months ago.
We are well positioned for the cyclical recovery that we expect to play out over the next several quarters.
More importantly, we are well positioned to delivering superior growth and industry-leading returns on equity over the next several quarters, given our business mix, our comprehensive and holistic payments and banking capabilities and our expansive distribution model supported by world-class digital capabilities.
We will now open up the call to Q&A.

user
u.s. bancorp - q2 diluted earnings per common share $1.28.
qtrly diluted earnings per common share $1.28.
qtrly net charge-off ratio of 0.25% in 2q21 compared with 0.31% in 1q21 and 0.55% in 2q20.
allowance for credit losses declined $350 million during the quarter given improving economic outlook and credit trends.
cet1 capital ratio up to 9.9% at june 30, 2021, versus 9.0% at june 30, 2020.

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