Pnc Financial Services Group, Inc. (the) · NYSE:PNC
Pnc Financial Services Group, Inc. (the) — Shareholder Meeting (April 2003)
20 slides from Pnc Financial Services Group, Inc. (the)'s shareholder meeting presentation, Apr 24, 2003
Slide 1: Annual Meeting of Shareholders
PNC The PNC Financial Services Group, Inc. Annual Meeting of Shareholders April 22, 2003
Slide 2: James E. Rohr, Chairman and CEO
James E. Rohr Chairman and CEO
Slide 3: Slide 3
Slide 4: Forward-Looking Information
Forward-Looking Information This presentation and ofr statements made by PHC may contain forsard-ooking statements with rezpectte PNC's outlook or expectations for amings, revenues, expences, capital level, acet qualtyorsther future fnandal or Business performance, strategies or expectations, or the
Slide 5: Slide 5
Slide 6: 2002 Accomplishments
2002 Accomplishments » Earned $1.2 billion in difficult environment » Generated 19% return on equity » Customer satisfaction near all-time highs » Strengthened critical areas — Balance sheet — Risk management — Leadership team @PNC
Slide 7: Focused on the Future
Focused on the Future Key Strategies » Expand deposit-driven banking franchise » Grow select asset management and processing businesses » Leverage shared services to create efficiencies » Build best in class — Corporate governance — Financial discipline — Risk management @PNC
Slide 8: Retail Bank — Winning and Keeping Customers
Retail Bank — Winning and Keeping Customers Checking Acct. Households Acquisition thousands 250 200 150 100 50 Checking Acct. Households Attrition thousands 250 200 150 100 50 2000 2001 2002 2000 2001 2002 Checking Acct. Households thousands 4,600 4,000, 600 2000 2001 2002 December i Single-service
Slide 9: BlackRock — A World Class Asset Manager
BlackRock — A World Class Asset Manager Opportunities Assets Under Management » Client-driven $ billions : ae . 273 consolidation of fixed ED income managers $240 > Strong ability to $20 cross-sell $160 . $120 » BlackRock Solutions i » Leverage unified 40 operating platform $0 1996 1997 1998 1999 20
Slide 10: Wholesale Bank - Transitioning the Business Model
Wholesale Bank - Transitioning the Business Model Opportunities » Focus on middle market customers in PNC’s region » Expand relationships through noncredit products — 9" largest treasury management business — Broad array of high-performing capital markets products » Continue to improve relationship
Slide 11: PNC Advisors — Managing a Changing Environment
PNC Advisors — Managing a Changing Environment Assets Under Management > Shift from product- $ billions based to advice-based Personal Institutional Total A Assets under provider management 12/31/01 $47 $13, $60 y Leverage . Net new business. a (2 (3) interdependencies — Market depreciation (5) (2)
Slide 12: PFPC — A Premier Fund Processor
PFPC — A Premier Fund Processor » Improve efficiency » Create an aggressive sales culture » Increase product distribution » Rationalize or exit unprofitable products or clients » Expand internationally Industry Lentil) Fund Transfer Agency Full Service #1 Remote Service #8 Full Service Fund Accounti
Slide 13: Our People and Our Communities
Our People and Our Communities The Heart and Soul of PNC » Top 25 benefits package (Money magazine) » 1 million hours of volunteer service since 1999 » One of 100 Best Corporate Citizens (Business Ethics magazine) » Roughly $40 million in sponsorship, PNC Foundation funding and volunteer support @PN
Slide 14: William S. Demchak, Vice Chairman and CFO
PNC William S. Demchak Vice Chairman and Chief Financial Officer
Slide 15: 2002 Financial Highlights
2002 Financial Highlights 2002 2001 Net income ( millions) $1,184 $377 EPS (diluted) $4.15 $1.26 Return on average common equity 19.1% 5.7% Noninterest income to total revenue 59% 54% Total assets (¢ billions) $66.4 $69.6 Shareholders’ equity ( billions) $6.9 $5.8 Common shareholders’ equity to asse
Slide 16: Fortune Companies: Pennsylvania's Top Ten
Fortune 500 Companies Pennsylvania's Top Ten 2002 $ millions Net Income PNC $1,184 H.J. Heinz 834 Mellon Financial Corp. 682 Air Products & Chem. 525 Alcoa 420 Hershey Foods 404 AmerisourceBergen 345 Sovereign Bancorp 342 SunGuard DataSystems 326 Jones Apparel Group 319 Source: Fortune, April 14, 20
Slide 17: Relative Stock Price
Relative Stock Price Performance - First Quarter 115% 110% 105% 100% 95% S&P 500 90% 31-Dec.02 31Jan.03 28-Feb.03 31-Mar03 KBW- Keefe, Bruyette & Woods bank index © PNC
Slide 18: First Quarter Financial Highlights
First Quarter Financial Highlights Three Months Ended March 31 2003 2002 Net income ( millions) $262 $317 EPS (diluted) $0.92 $1.11 Return on average common equity 15.8% 21.8% Noninterest income to total revenue 61% 57% Total assets (¢ billions) $68.6 $66.7 Shareholders’ equity ( billions) $6.8 $6.0
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Slide 20: Annual Meeting of Shareholders
PNC The PNC Financial Services Group, Inc. Annual Meeting of Shareholders April 22, 2003
PNC Financial Services Group — Shareholder Meeting (April 2003) on 6ix