Pnc Financial Services Group, Inc. (the) · NYSE:PNC
Pnc Financial Services Group, Inc. (the) — Merger or Acquisition (October 2008)
11 slides from Pnc Financial Services Group, Inc. (the)'s merger presentation, Oct 24, 2008
Slide 1: Investor Presentation: Acquisition of National City Corporation
Exhibit 99.2 Investor Presentation Acquisition of National City Corporation October 24, 2008
Slide 2: Cautionary Statement Regarding Forward-Looking Information
Cautionary Statement Regarding Forward-Looking Information This presentation contains forward-looking statements regarding our outlook or expectations with respect to the planned acquisition of National City Corporation (National City), the expected costs to be incurred in connection with the acquis
Slide 3: Overview: Transaction Highlights and Key Terms
Overview Transaction Highlights th PNC to acquire 100% of National City resulting in 5 largest U.S. deposit franchise - Financially compelling structure - Approved for $7.7 billion of TARP preferred stock, resulting in post acquisition Tier 1 Capital ratio of approximately 10% - Due diligence comple
Slide 4: A Leader in Deposits and Distribution
A Leader in Deposits and Distribution U.S. Deposit Rank ($) U.S. Branch Rank (#) 1 Bank of America/Merrill Lynch $720 1 Wells Fargo/Wachovia 6,779 2 Wells Fargo/Wachovia 711 2 Bank of America/Merrill Lynch 6,208 3 JP Morgan/Washington Mutual 649 3 JP Morgan/Washington Mutual 5,462 4 Citigroup 224 4
Slide 5: A Broad Distribution Network
A Broad Distribution Network Combined Branches Deposits Share Rank PA 617 $56.8B 22% 1 OH 464 $36.9B 16% 1 KY 172 $8.0B 13% 1 MD 202 $9.6B 10% 2 IN 185 $8.7B 10% 2 DC 29 $2.5B 11% 3 NJ 330 $17.8B 8% 4 IL 187 $14.4B 4% 4 DE 47 $2.5B 9% 4 MI 270 $11.9B 8% 5 Total Branches PNC branches 2,747 NCC branch
Slide 6: Implementing the PNC Business Model
Implementing the PNC Business Model PNC Model Action Plan Commitment to a moderate Exit non-core portfolios and risk profile liquidate low return asset classes Ability to grow high quality, Leverage PNC’s sales culture and diverse revenue streams product capabilities Focus on continuous Capture expe
Slide 7: National City Loan Portfolio Assessment
National City Loan Portfolio Assessment Est. lifetime losses, market (billions) Balance value and other adjustments¹ Total Commercial $55.4 $4.7 8.5% Total Consumer 33.3 4.0 12.0% Non-conforming Mortgage 4.5 2.0 43.5% Home Equity Indirect 10.0 5.3 52.5% Conforming Mortgage Construction 2.2 1.0 47.1%
Slide 8: PNC Has Demonstrated Success Integrating Balance Sheets into Our Model
PNC Has Demonstrated Success Integrating Balance Sheets into Our Model Former Mercantile Market Average Loans (billions) $12.4 Checking Relationships $11.6 (thousands) Instilling the PNC Model 298 - Reduce higher risk 286 credit exposure - Reduce non- 3Q07 3Q08 relationship based, high cost deposit
Slide 9: Capital Impact
Capital Impact 09/30/08 Proforma PNC Assets Total assets $146B $281B Tangible assets $137B $271B Risk weighted assets $118B $242B Capital Tier 1 capital $10B $24B Tangible common equity $5B $9B Total common equity $14B $20B Ratios Tier 1 risk-based 8.2% 10.0% Tangible common equity 3.6% 3.5% Gives a
Slide 10: Summary
Summary Creates a leading deposit banking franchise Financially compelling transaction Application of PNC’s established and successful business model Proven track record of successful execution 10
Slide 11: Additional Information About The PNC/National City Corporation Transaction
Additional Information About The PNC/National City Corporation Transaction The PNC Financial Services Group, Inc. and National City Corporation will be filing a joint proxy statement/prospectus and other relevant documents concerning the merger with the United States Securities and Exchange Commissi
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