Married to US, filing jointly in US...what to do with T5 interest income???

I'm American, and my wife is Canadian. Her only income for 2006 was about $2200 (Canadian) in interest on her Canadian bank account. This income was reported to her on a form T5 from her bank. We plan to file jointly on my US income tax to get the better deduction. Do we need to report the interest income from the T5 on our US income taxes? If not, then what else do we need to do?