Pnc Financial Services Group, Inc. (the) · NYSE:PNC
Pnc Financial Services Group, Inc. (the) — Morgan Stanley Financial Services Conference 2011
24 slides from Pnc Financial Services Group, Inc. (the)'s conference presentation, Feb 1, 2011
Slide 1: The PNC Financial Services Group, Morgan Stanley Financial Services Conference
Exhibit 99.1 The PNC Financial Services Group, Inc. Morgan Stanley Financial Services Conference February 1, 2011
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: Today's Discussion
Today’s Discussion PNC has a powerful franchise that achieved record results in 2010 PNC’s businesses have momentum and are positioned to capture high quality growth opportunities PNC is well positioned to navigate the economic and regulatory environment PNC Continues to Build a Great Company.
Slide 4: PNC's Powerful Franchise
A Powerful PNC’s Powerful Franchise Franchise and Record Results Dec. 31, 2010 U.S. Rank¹ Deposits $183 billion 6th Assets $264 billion 8th Branches 2,470 5th CO KS ATMs 6,673 5th OK Asset Management TX One of the largest bank-held asset managers in the U.S. Retail Corporate & Institutional Footprin
Slide 5: 2010 Strategic Highlights
A Powerful 2010 Strategic Highlights Franchise and Record Results Exceptional achievements in a challenging environment Grew our businesses and delivered record net income in 2010 Transitioned to a higher quality balance sheet Improved our Tier 1 capital ratios to record levels Implemented the PNC s
Slide 6: A Highly Engaged Team
A Powerful A Highly Engaged Team Franchise and Record Results “Gallup Great Workplace Award” Recipient Reflects PNC’s brand attributes of ease, confidence and achievement Awarded to 15 companies worldwide for extraordinary ability to create an engaged workplace culture PNC is a two-time winner and t
Slide 7: Serving the Needs of Consumers and Small Businesses
Well- Serving the Needs of Consumers and Positioned Businesses Small Businesses with Momentum PNC’s 2010 revenue contribution Strong client base Over 5.4 million checking relationships Nearly 1 million online bill payment users $212 billion in assets under administration $108 billion in discretionar
Slide 8: Strong Momentum – Retail Banking
Well- Positioned Strong Momentum – Retail Banking Businesses with Momentum Retail Banking Checking relationships Most of 2010 client growth occurred in 5,465 5,390 2H10 following conversions 4Q10 checking relationships up 27,000 in a typically flat seasonal quarter 4Q09 4Q10 Customer engagement scor
Slide 9: Rethinking the Consumer Payments Model
Well- Positioned Rethinking the Consumer Payments Model Businesses with Momentum Helping customers achieve Make it convenient Make it easy for me Choice for me Transparency Help me better Reward me manage my money Simplicity, fairness Integrated delivery Help me avoid Help me use credit mistakes wis
Slide 10: Aspiring to Create the Best Payment Account
Well- Positioned Aspiring to Create the Best Payment Account Businesses with Momentum Plans to deliver a fully-integrated consumer payment experience + + + Connects credit, debit, rewards Rewards customers for doing more with PNC Information organized like customers think Creates best-in-class onlin
Slide 11: Strong Momentum – Asset Management Group
Well- Positioned Strong Momentum – Asset Management Group Businesses with Momentum Asset Management Group Channel sales Record sales year in 2010, including +60% 60% YoY increase in channel sales, a strategic focus for PNC Total assets under administration of $212 billion, discretionary assets under
Slide 12: Serving the Needs of Businesses
Well- Positioned Serving the Needs of Businesses Businesses with Momentum PNC’s 2010 revenue contribution Broad array of products/capabilities Broad financing expertise Harris Williams Treasury management Midland Capital markets Healthcare Corporate & Go-to-Market Strategy Retail Institutional Banki
Slide 13: Strong Momentum – C&IB
Well- Positioned Strong Momentum – C&IB Businesses with Momentum Corporate & Institutional Banking sales $1,000 Credit Sales 2010 sales¹ up 19% YoY Non-Credit Sales $750 Post-conversion, momentum is building $500 further; sales up 23% in 2H10 vs. 2H09 54% $250 New names and cross-sell 53% 59% 65% bo
Slide 14: Strong Momentum – C&IB
Well- Positioned Strong Momentum – C&IB Businesses with Momentum Corporate & Institutional Banking sales % Non-Credit Sales in Western Markets Opportunity to cross-sell into the Western Market client base is in process of being realized 65% Wave 1 Wave 2 Wave 3 Wave 4 60% For every dollar of cross-s
Slide 15: Significant Business to be Captured
Well- Positioned Significant Business to be Captured Businesses with Momentum Market-specific C&IB opportunities Revenue per sales FTE by selected tier 1 market Tier 1 market baseline average 85% of Corporate Banking Washington D.C., Columbus and Indianapolis higher than 2009 relationship managers s
Slide 16: PNC's Balance Sheet Is Positioned to Support Our Clients
PNC’s Balance Sheet Is Positioned to Positioned to Navigate Support Our Clients the Environment PNC Duration Fed Funds of Equity Effective Rate (At Quarter End) (At Quarter End) PNC 4Q10 NII Sensitivity 4 6% st 3 Effect on NII in 1 year from 5% gradual interest rate change 2 over following 12 months
Slide 17: Transitioning Capital Management
Positioned Transitioning Capital Management to Navigate the Environment Pre-crisis Post-crisis Economic capital Economic capital being integrated into Basel II Basel I Basel III regulatory capital requirements to replace Basel I Migrating to Basel II Basel II and scenario stress testing Linkage betw
Slide 18: Possible Impact of Basel III for PNC
Positioned Possible Impact of Basel III for PNC to Navigate the Environment Tier 1 common ratio¹ Capital management policy considerations for PNC 12.6% Basel III limits for Tier 1 common and Tier 1 risk-based will become binding regulatory constraints when final 9.8% 10.0% PNC has revised internal p
Slide 19: Summary
Summary PNC has a powerful franchise that achieved record results in 2010 PNC’s businesses have momentum and are positioned to capture high quality growth opportunities PNC is well positioned to navigate the economic and regulatory environment PNC Continues to Build a Great Company.
Slide 20: 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 21: Cautionary Statement Regarding Forward-Looking Information (continued)
Cautionary Statement Regarding Forward-Looking Information (continued) Appendix •We will be impacted by the extensive reforms provided for in the Dodd-Frank Wall Street Reform and Consumer Protection Act (“Dodd-Frank Act”) and ongoing reforms impacting the financial institution industry generally. F
Slide 22: Cautionary Statement Regarding Forward-Looking Information (continued)
Cautionary Statement Regarding Forward-Looking Information (continued) Appendix •Our business and operating results can also be affected by widespread disasters, terrorist activities or international hostilities, either as a result of the impact on the economy and capital and other financial markets
Slide 23: Non-GAAP to GAAP Reconcilement
Non-GAAP to GAAP Reconcilement Appendix For the year ended December 31, 2010 Net income attributable to Diluted EPS Adjustments, Income taxes common from net Average Return on In millions except per share data pretax (benefit)¹ Net income shareholders income Assets Avg. Assets Net income, diluted EP
Slide 24: 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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