Pnc Financial Services Group, Inc. (the) · NYSE:PNC
Pnc Financial Services Group, Inc. (the) — FY2009 Earnings Presentation
17 slides from Pnc Financial Services Group, Inc. (the)'s earnings presentation, Jan 21, 2010
Slide 1: Fourth Quarter and Full Year 2009 Earnings
Exhibit 99.2 The PNC Financial Services Group, Inc. Fourth Quarter and Full Year 2009 Earnings January 21, 2010
Slide 2: Cautionary Statement Regarding Forward-Looking Information and Adjusted Information
Cautionary Statement Regarding Forward-Looking Information and Adjusted Information This presentation includes “snapshot” information about PNC used by way of illustration. It is not intended as a full business or financial review and should be viewed in the context of all of the information made av
Slide 3: 2009 Strategic Highlights
2009 Strategic Highlights Extraordinary challenges Exceptional performance Grew our businesses and Severe recessionary delivered strong results economic conditions Significant progress in Significant franchise rebalancing risk profile expansion Acquisition benefits exceeding expectations Uncertain r
Slide 4: 2009 Financial Highlights
2009 Financial Highlights Execution of the PNC business model delivered exceptional results Balance sheet is well-positioned with an improved risk profile, more liquidity and more capital Strong revenue performance of $17 billion from diversified sources Disciplined expense management - increased in
Slide 5: PNC's Framework for Success
PNC’s Framework for Success PNC Business December 31, Key Metrics Target Action Plans Model 2009 Loan to deposit Maximize credit portfolio value Staying core ratio 84% 80%-90% Reposition deposit gathering funded (as of) strategies Focus “front door” on risk-adjusted Returning to a Provision to retur
Slide 6: A Higher Quality, Differentiated Balance Sheet
A Higher Quality, Differentiated Balance Sheet Category (billions) Dec. 31, Sept. 30, Dec. 31, YoY 2009 2009 2008 change Investment securities $56 $54 $43 $13 Total loans 157 161 175 (18) Dec. 31, 2009 57 56 73 (16) Key Ratios Other assets Total assets $270 $271 $291 ($21) Loans/Assets 58% Transacti
Slide 7: Pretax Pre-Provision Earnings Substantially Exceed Credit Costs
Pretax Pre-Provision Earnings 1 Substantially Exceed Credit Costs Full year 2009 4Q09 vs. 3Q09 highlights Strong 4Q09 revenue performance of $5.1 billion $17.0 - 6% increase in net interest income, net interest margin up 29 basis points $9.7 - $1.1 billion gain related to BLK/BGI - Lower residential
Slide 8: Credit Quality Trends
Credit Quality Trends 4Q09 3Q09 2Q09 1Q09 Accruing loans past 30 – 89 days $2,388 $2,380 $2,195 $2,136 1 due (millions) 90 days or more $884 $875 $1,043 $501 Commercial lending $4,076 $3,866 $3,226 $2,547 Nonperforming loans Consumer lending 1,595 1,260 930 413 (millions, except %) Total nonperformi
Slide 9: Strengthening Capital Ratios Throughout 2009
Strengthening Capital Ratios Throughout 2009 Tier 1 common ratio Tier 1 risk-based ratio Highlights 11.5% 1 PNC capital ratios 1 10.9% already reflect impact 6.0% 10.5% 10.0% of marks on impaired 5.5% 9.7% loans 2 – as of 5.3% 4.9% December 31, 2008, 4.8% marks were approximately $9.2 billion Increa
Slide 10: Summary and Expectations
Summary and Expectations 2009 performance 2010 expectations Growth in relationship-based deposits offset by additional higher cost time deposit run-off PNC’s execution of its Continued weak loan demand and low business model delivered utilization rates driven by economic conditions strong results in
Slide 11: Cautionary Statement Regarding Forward-Looking Information
Cautionary Statement Regarding Forward-Looking Information Appendix This presentation includes “snapshot” information about PNC used by way of illustration and is not intended as a full business or financial review. It should not be viewed in isolation but rather in the context of all of the informa
Slide 12: Cautionary Statement Regarding Forward-Looking Information (continued)
Cautionary Statement Regarding Forward-Looking Information (continued) Appendix •Legal and regulatory developments could have an impact on our ability to operate our businesses or our financial condition or results of operations or our competitive position or reputation. Reputational impacts, in tur
Slide 13: Cautionary Statement Regarding Forward-Looking Information (continued)
Cautionary Statement Regarding Forward-Looking Information (continued) Appendix • Our ability to achieve anticipated results from this transaction is dependent on the state going forward of the economic and financial markets, which have been under significant stress recently. Specifically, we may in
Slide 14: Non-GAAP to GAAP Reconcilement
Non-GAAP to GAAP Reconcilement Appendix December 31, 2008 Income taxes For the three months ended, in millions Pretax (benefit) (a) Net income Reported net income (loss) ($246) National City conforming provision for credit losses $504 ($176) 328 Net income excluding National City conforming provisio
Slide 15: Non-GAAP to GAAP Reconcilement
Non-GAAP to GAAP Reconcilement Appendix Three months ended Year ended March 31, 2009 June 30, 2009 Sept. 30, 2009 Dec. 31, 2009 Dec. 31, 2009 in millions Total revenue $3,871 $3,987 $4,048 $5,082 $16,988 Noninterest expense 2,328 2,658 2,379 2,369 9,734 Pretax pre-provision earnings 1,543 1,329 1,66
Slide 16: Non-GAAP to GAAP Reconcilement
Non-GAAP to GAAP Reconcilement Appendix December 31, 2009 September 30, 2009 Adjustments, Income taxes Net Diluted Adjustments, Income taxes Net Diluted For the three months ended, in millions except per share data Pretax (benefit) (a) Income EPS Pretax (benefit) (a) Income EPS Net income, as report
Slide 17: Peer Group of Banks
Peer Group of Banks Appendix Ticker The PNC Financial Services Group, Inc. PNC BB&T Corporation BBT Bank of America Corporation BAC Capital One Financial, Inc. COF Comerica Inc. CMA Fifth Third Bancorp FITB JPMorgan Chase JPM KeyCorp KEY M&T Bank MTB Regions Financial Corporation RF SunTrust Banks,
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