RJ and Makay

2010 was a very good year for Ameriprise Financial. The company generated net income of $1.1 billion and operating earnings of $1.2 billion — a company record.

The fourth quarter shaped up nicely, as well. Net income spiked almost 29% to $305 million from $237 million in the fourth quarter of 2009. Net income per diluted share was up more than 31% to $1.18 compared with $0.90 a year ago.

According to the U.S. Department of Commerce, the economy grew at a 3.2% annualized rate in the fourth quarter of last year, raising hopes that the recession is truly a thing of the past and 2011 will be even better than 2010. The fourth quarter growth rate is more than 20% better than the 2.6% rate in the previous quarter and the best quarterly increase since the start of 2010.

For all of last year, the economy grew 2.9% — the most since 2005. A key driver of that growth was increased consumer spending, which rose at 4.4%. That pace, the fastest since 2006, was due mainly to increased purchasing of furnishings, appliances, cars, and clothes.