November 26, 200816 yr Did the bank execs even go to DC? I gotta say this - I am proud of LaTourrete and Kucinich for doing what they could to prevent this ridiculous sale. I don't know much about LaTourrete and we all know about Kucinich's shortcomings (pun!), but they put their money in their mouth and probably fought this sale as best they could. Of course, then there's Mayor Jackson who hasn't done or said anything about this sale. I mean, can you imagine Bloomberg sitting quietly and not expressing ANY outrage over this loss if something similar were happening in New York. Come on Frank, at least have a press conference and talk to us and be involved in EVERY aspect of this transaction since it's going to drastically affect Cleveland. Remember Mayor White fighting tooth and nail to save and then bring back the Browns. This is far more important and we need Mayor Jackson to be communicating to Clevelanders about the sale, its potential rammifications, and what he was and is doing about it. Kind of like Bush in the last 6 weeks. What, are they hiding together?
November 26, 200816 yr Did the bank execs even go to DC? I gotta say this - I am proud of LaTourrete and Kucinich for doing what they could to prevent this ridiculous sale. I don't know much about LaTourrete and we all know about Kucinich's shortcomings (pun!), but they put their money in their mouth and probably fought this sale as best they could. Of course, then there's Mayor Jackson who hasn't done or said anything about this sale. I mean, can you imagine Bloomberg sitting quietly and not expressing ANY outrage over this loss if something similar were happening in New York. Come on Frank, at least have a press conference and talk to us and be involved in EVERY aspect of this transaction since it's going to drastically affect Cleveland. Remember Mayor White fighting tooth and nail to save and then bring back the Browns. This is far more important and we need Mayor Jackson to be communicating to Clevelanders about the sale, its potential rammifications, and what he was and is doing about it. Kind of like Bush in the last 6 weeks. What, are they hiding together? Why compare mayors? And jackson has been at a rally. AGAIN, I'm not being an apologist, however, how do you know he has not had conversations with both company's. It's easier said than done!
November 26, 200816 yr He has not had a real presence regarding this matter (or for many, other than a few vigils and rallys over the last few years). He has not reassured Clevelanders that things will be okay. Warm and reassuring statements directly to the media about our situation - with this one in particular being absolutely damaging to Clevleland - would help boost our morale and confidence, but Mayor Jackson has utterly failed to do this. I don't know what he's doing behind the scenes (it seems he is trying to connect Cleveland to the international community with the whole Paris and Costa Rica stuff, and that's fantastic), but he needs to be shown more and talking directly to us. He needs to inspire us and tell us exactly what he's done/doing for us instead of keeping quiet resulting in our useless speculating on what's going on behind closed doors.
November 27, 200816 yr He has not had a real presence regarding this matter (or for many, other than a few vigils and rallys over the last few years). He has not reassured Clevelanders that things will be okay. Warm and reassuring statements directly to the media about our situation - with this one in particular being absolutely damaging to Clevleland - would help boost our morale and confidence, but Mayor Jackson has utterly failed to do this. I don't know what he's doing behind the scenes (it seems he is trying to connect Cleveland to the international community with the whole Paris and Costa Rica stuff, and that's fantastic), but he needs to be shown more and talking directly to us. He needs to inspire us and tell us exactly what he's done/doing for us instead of keeping quiet resulting in our useless speculating on what's going on behind closed doors. And exactly, what have you done to connect with your Mayor (if you live in Cleveland), city councilperson, etc. Its very easy to say what someone should do when you are not in their position or don't know what they job entails.
November 30, 200816 yr LaTourette, Treasury officials to meet this week about NCB WASHINGTON D.C. -- U.S. Rep. Steve LaTourette (R-OH) says he expects to meet with U.S. Treasury officials early this week, including President-elect Barack Obama's interim Asst. Treasury Secretary Neel Kashkari, for better answers on why Cleveland-based National City Bank was turned down for federal bailout funds. ... See http://www.wkyc.com/money/money_article.aspx?storyid=102009&catid=16
November 30, 200816 yr it's all crazy. the only sense to make of it is that it seems to be the bailout is all about who you know. ncb's top execs must have kept to themselves too much.
December 5, 200816 yr http://www.bizjournals.com/pittsburgh/stories/2008/12/01/daily46.html PNC names post-National City acquisition management team Pittsburgh Business Times PNC Financial Services Group Inc. Chairman and CEO James Rohr outlined the executive management team that will lead the Pittsburgh-based bank when it completes its acquisition of National City Corp., Cleveland, Dec. 31 via a letter circulated to employees of both companies Thursday and filed with the SEC. PNC (NYSE:PNC) executives reporting directly to Rohr will continue to oversee the following areas: •Joe Guyaux, retail banking •Bill Demchak, corporate and institutional banking/asset and liability management group •Rob Reilly, private banking and asset management •Tim Shack, PNC global investment servicing, technology and operations Guyaux is PNC’s president; Demchak is vice chairman. PNC Chief Administrative Officer Tom Whitford is relocating to Cleveland to lead the integration. National City’s (NYSE:NCC) Shelley Seifert and Jon Gorney will help to lead the transition of employees, systems and technology, reporting to Whitford and Shack. PNC’s Pete Classen will be in charge of market leadership for Western Pennsylvania and all markets east, while Phil Rice, of National City, will handle Cleveland and all markets west. Additionally, these PNC executives will continue to head the following support areas: Joan Gulley, human resources; Mike Hannon, risk management; Rick Johnson, finance; Mike Little, audit; Helen Pudlin, legal. The letter indicated staff cuts will occur. Rohr said in the letter that “we must eliminate redundancies to create greater efficiencies” but did not address how many positions would be affected or when this would happen.. PNC announced Oct. 24 that it planned to buy National City for $5.6 billion by year-end, pending regulatory and shareholder approval. All contents of this site © American City Business Journals Inc. All rights reserved.
December 15, 200816 yr Fed approves PNC-National City deal http://cincinnati.bizjournals.com/cincinnati/stories/2008/12/15/daily11.html The Federal Reserve said Monday it has approved PNC Financial Services Group Inc.’s acquisition of National City Corp. The deal will lift PNC (NYSE: PNC) from the 14th-largest bank in the country to eighth. Its assets will jump from $146 billion to $289 billion. It will move from fourth to third in Greater Cincinnati, taking National City’s (NYSE: NCC) slot. PNC’s local deposits will more than double, to $5.3 billion. That will give it just less than 10 percent of the local deposit share. The Federal Reserve System looked at branch overlap and the banks’ record of community lending. The Department of Justice said on Friday PNC would have to sell 61 branches in western Pennsylvania because of the amount of overlap. PNC maintains an “excellent” rating for its loans related to the Community Reinvestment Act. That requires banks to make loans that meet the needs of the local community, including low- and moderate-income areas. It also had an excellent record of community development lending in Cincinnati. Some people commented to the Federal Reserve during its public comment record that they were concerned about branch closures. That could be an issue in Greater Cincinnati. PNC has said it won’t make decisions about branch closures until after the deal closes, according to the Federal Reserve ruling. Pittsburgh-based PNC has 52 local branches and Cleveland-based National City has 65, according to the Federal Deposit Insurance Corp.’s June 30 data. The deal, announced in October, is still expected to be completed by year-end. PNC agreed to pay about $5.6 billion. It’s using some federal government money raised through its Troubled Asset Relief Program Capital Purchase Program for the acquisition.
December 16, 200816 yr http://www.bizjournals.com/pittsburgh/stories/2008/12/15/focus4.html?b=1229317200^1746284 PNC's next big move could be in Washington, D.C., area, analysts believe Pittsburgh Business Times - by Patty Tascarella Midway through the Oct. 24 conference for analysts on PNC Financial Services Group Inc.’s $5.6 billion acquisition of National City Corp., a question about further purchases gave even James Rohr pause. PNC’s chairman and CEO started talking about its full plate, with the biggest deal in its history set to close by later this month and a nearly two-year integration to follow. But the enormity of the deal was eclipsed by the massive changes in the banking industry itself, and Rohr amended his comments. “You never say never,” Rohr said. Given the uncertain economy and the hits the banking sector has taken, it’s likely more large banks will look for buyers, or the government will play matchmaker, analysts believe. PNC was an avid, if targeted, acquirer — National City marks PNC’s fourth acquisition in three years — so the question about further purchases doesn’t begin with “if.” It’s where, when and, most elusive of all, who. PNC declined comment for this article. In past ones dealing with its expansion plans, Rohr’s persistent comment was that PNC likes to “fill out the franchise,” opting for contiguous markets. Even though Ohio was an obvious gap in the PNC geographic footprint — PNC basically stopped at the Ohio-Pennsylvania border, then held significant market share in the Cincinnati-Louisville, Ky., area — analysts described the region as too low-growth to interest PNC. Instead, it focused on fill-ins in the Philadelphia/New Jersey area, and made the splashier deals in the Washington, D.C., region, where it acquired Riggs National Corp. and Mercantile Bankshares Corp., for which it paid $6 billion, its highest price tag to date. “If National City hadn’t been priced the way it was, and as wounded as it was, I’m sure PNC wouldn’t have considered that (geographic) market,” said Matthew Schultheis, a financial analyst at Conshohocken, Pa.-based investment firm Boenning & Scattergood Inc. who covers PNC. “If National City had been in Virginia, it would have been much more tempting. I believe they’re still focused on shoring up some of the branch presence they need in Virginia and maybe that pushes them a little further south.” Barring extreme circumstances, most analysts believe PNC will want to continue buying and building in the fast-growing Washington, D.C., area. “Mercantile and Riggs were helpful, but aren’t quite big enough to get them over the critical mass hump for branch presence, and they’re trying to build the small business and retail business and that requires branch locations because these businesses are branch dependent,” Schultheis said. As of June 30, PNC ranked eighth in deposits in the Washington metropolitan area, with a market share of 4.28 percent. It operates 138 branches there, about 40 more than it has in the Pittsburgh area. “PNC will be the dominant bank between New York and Chicago, so geographically, I think their next move would be in the southeast,” said Brian Koble, senior research analysts at Hefren-Tillotson, a Downtown-based investment firm. The wild card is the economy and the measures the government takes to fix it. “The strong banks are being presented things that are once in a lifetime,” said Thomas McCrohan, director of equity research at Philadelphia-based investment firm Janney Montgomery Scott. “More acquisitions is going to be one of the outcomes of all the government meetings. The strong will take over the weak.” That’s tempered by the integration process with National City. Normally, PNC takes nine months to close an acquisition, with sign changes and technology synchronizations yet to come. “If National City integrates smoothly, I think they’d be emboldened to be a little more ambitious,” Koble said. “For PNC to become more aggressive in terms of pursuing another buyout opportunity, we’d have to have another set of extraordinary circumstances. If this crisis persists for another year, another 18 months, the government would go to a strong bank, like PNC, and then support a purchase of a bank that might be against the ropes.” Barring that, PNC is likely to concentrate on absorbing National City. “When a boa constrictor swallows a mouse, it can eat another mouse soon,” Schultheis said. “When it swallows a goat, that takes a while to digest.” [email protected] | (412) 208-3832 All contents of this site © American City Business Journals Inc. All rights reserved.
December 16, 200816 yr Great, so we have PNC moving into our region when they "wouldn't have considered" us if it wasn't for Nat City's circumstances. That bodes well for us. :roll:
December 24, 200816 yr http://www.pittsburghlive.com/x/pittsburghtrib/business/s_604326.html PNC, National City shareholders OK $5.6 billion merger By Thomas Olson, TRIBUNE-REVIEW Wednesday, December 24, 2008 When PNC Financial Services Group completes its government-assisted acquisition of National City Corp. next Wednesday, it will have an extra $3 billion to play with. PNC could stuff the holiday leftovers into lending, other acquisitions or reserves to ride out a recession bound to include loans going sour, analysts said Tuesday. "They will be cautious initially and keep some of those funds in reserve for potential losses from bad loans," said Frank Barkocy, research director at Mendon Capital Advisors in New York. PNC and National City expect to close their $5.6 billion merger Dec. 31. Shareholders of each bank voted yesterday to approve the deal "by a substantial margin" in special meetings Downtown and in Cleveland, the banks said. Final regulatory approval was given Dec. 15 when the Federal Reserve blessed the merger. National City, one of the nation's largest subprime lenders, agreed to be sold Oct. 24 after losing more than $3 billion since mid-2007 and suffering an 85 percent drop in its stock price this year. PNC will pay for the deal using $8.8 billion it will receive from the Treasury Department in exchange for preferred stock and warrants in a transaction that will take place at about the time the National City deal closes Dec. 31, according to a Securities and Exchange Commission filing. PNC is the first bank to use money obtained under the federal government's $700 billion bailout program -- the Troubled Asset Relief Program, or TARP -- to make an acquisition. Some proceeds could used for up to $200 million in payments to National City executives. PNC is obligated to pay the money to nearly 50 executives if PNC terminates them over the next three years, in accordance with "change in control" provisions in the executives' employment contracts with National City. "There's no restrictions whatever from paying them. TARP has nothing to do with change in control agreements," said Gerard Cassidy, an analyst for RBC Capital Markets in Portland, Ore. "These contracts were in place at National City going back years." PNC spokesman Fred Solomon said the National City perks were "existing obligations that are part of the sales agreement." Cassidy said PNC and nearly 200 other banks "are taking as much TARP money as possible as insurance against the recession." But as the economy improves, PNC is more likely to plow the money into lending or select acquisitions, he and other analysts said. Barkocy said once the economy improves, PNC might use the extra TARP money for smaller acquisitions to fill in spots in existing markets. They could include Philadelphia, Chicago or Cincinnati, he said. "We don't have the (government) money yet, so I'm not going to speculate about its uses," said PNC's Solomon. The National City merger will make PNC the nation's eighth-largest bank by assets ($288.5 billion), fourth-largest by branches (2,747) and fifth-largest by deposits ($180 billion). James Rohr, PNC's chief executive, yesterday called the National City deal "a truly transformational opportunity." PNC plans to integrate the two banks over 26 months. Some National City holders, however, voted against the deal at their meeting. "It doesn't strengthen Cleveland at all," shareholder Melanie Deutsch told The Associated Press, calling yesterday "a sad day for Cleveland." PNC will have the largest or second-largest share of deposits in nine metropolitan markets and become the largest bank in Pennsylvania, Ohio and Kentucky. The bank will control 53 percent of the deposits in the seven-county Pittsburgh region. Because PNC will have such a commanding deposit share here, antitrust regulators ordered the bank to divest 50 branches in the Pittsburgh area, consisting of 33 in Allegheny County and 17 in neighboring counties. The branches must be sold to a single buyer, said regulators, in an effort to foster competition for PNC. Those branches, as well as 11 offices in Crawford, Warren and Erie counties, are likely to be sold within two months, said PNC spokesman Brian Goerke.
December 24, 200816 yr There is no reason the government couldn't modify those executive compensation contracts. What a bunch of bull. "Change in control" provisions are a euphamism for golden parachute.
January 1, 200916 yr these executives always make out like bandits........... this is DEVASTATING!! we are talking about a 163 yr old institution in cleveland. national city made it through the great depression, stock market crash, and cant survive the lending crisis? they are something like the 3rd or 4th largest employer downtown. i just dont get it, national city was the only one out of the largest 25 banks to be denied TARP funds. PNC basically used TARP money to buy NCC. the government illegally allowed NCC to be bought out. this company LIED to share holders too. we lose money while these f*ckers paulson and ratskin are set for life cutting deals. its all BS....the banking system in the united states is a joke i encourage anyone who banks with NCC to close their account whos next? key? fifth third? they arent safe by any means sometimes i think the powers that be get together every sunday and go "how can we shit on cleveland again?" this is a really sad day.....im upset right now
January 1, 200916 yr these executives always make out like bandits........... this is DEVASTATING!! we are talking about a 163 yr old institution in cleveland. national city made it through the great depression, stock market crash, and cant survive the lending crisis? they are something like the 3rd or 4th largest employer downtown. i just dont get it, national city was the only one out of the largest 25 banks to be denied TARP funds. PNC basically used TARP money to buy NCC. the government illegally allowed NCC to be bought out. this company LIED to share holders too. we lose money while these f*ckers paulson and ratskin are set for life cutting deals. its all BS....the banking system in the united states is a joke i encourage anyone who banks with NCC to close their account whos next? key? fifth third? they arent safe by any means sometimes i think the powers that be get together every sunday and go "how can we sh!t on cleveland again?" this is a really sad day.....im upset right now It's over. There is nothing we can do. It's over. Am I upset, yes. However, I'd rather be upset then have thousands of people UNEMPLOYED. Why close their accounts? Is that what you really want? If every closed their account then the people WHO NEED THEIR JOBS THE MOST will be affected. In regard to the payouts, why is everyone upset now?? NCC's BOD let it happen, they allowed bad management to run a company into the ground. And the put a halt on the dramatics already!
January 1, 200916 yr It's over. There is nothing we can do. It's over. Am I upset, yes. However, I'd rather be upset then have thousands of people UNEMPLOYED. um. theres gonna be thousands of people unemployed anyway and they should close their accounts to send a message to PNC. i know if i was a national city customer my account would be closed already. i wouldnt want to continue banking with a ramsacked company. hell look at PNC's own comments about how they werent even interested in national city's market
January 1, 200916 yr ^Good idea. Mass accounts closed, lack of steady deposits causing another bank to crash. Just what we need.
January 1, 200916 yr It's over. There is nothing we can do. It's over. Am I upset, yes. However, I'd rather be upset then have thousands of people UNEMPLOYED. um. theres gonna be thousands of people unemployed anyway and they should close their accounts to send a message to PNC. i know if i was a national city customer my account would be closed already. i wouldnt want to continue banking with a ramsacked company. hell look at PNC's own comments about how they werent even interested in national city's market You can be the biggest drama queen! DUH! That's what happens when a merger takes place. I'm sure they have a logistic/transition team looking at repetive departments in both banks. But you're idea, if that is what you can call it, is ridiculous. Branch, administrative, middle managers, operations, back off, etc. employees need their jobs. So if everyone in Cleveland abandoned NCC then the PNC bank would crumble and more jobs than those initially identified would be lost. This would ripple throughout all the midwest, not just Cleveland. You say things without thinking of the over all consequences. I don't think ANYONE in Cleveland is happy with this, but it's the best of a bad situation. NCC management and BOD is to blame, Period. The shareholders allowed it to happen, yet nobody raised a stink until it was too late. It appears NCCs management mislead it's own employee and shareholders into thinking the bank was financially stable. Because of that, I initially wondered why they didn't receive funds, and questioned they way the transaction was handled, I now believe they didn't deserve funds. Why throw bad money at a bad situation?? All just to save a bank and for hometown pride?? I don't believe in rewarding bad performance. Some banks had to lose. If PNC didn't take over NCC, NCC would go away and unemployment in Cleveland would skyrocket. Telling people to take money out of NCC is idiotic and will only hurt those NCC bank employees who truly need their jobs. That would send a huge message to PNC. :roll:
January 1, 200916 yr Wait a minute here? Are we suggesting that if accounts are closed at PNC, that those accounts, and the dollars in them just disappear? It would seem to me that if you want to use your dollars to boost NEO business, the proper thing to do with your bank account is to switch it over to a locally headquartered bank. Try Key, or Firstmerit, Third Federal, etc. Yes, PNC loses accounts and then employment, but those other banks gain employment with their growth. And because they are locally based, they will create more of their ancillary jobs, and spend more of their money, here in Cleveland. That helps to keep your dollars circulating in our local economy.
January 1, 200916 yr Wait a minute here? Are we suggesting that if accounts are closed at PNC, that those accounts, and the dollars in them just disappear? It would seem to me that if you want to use your dollars to boost NEO business, the proper thing to do with your bank account is to switch it over to a locally headquartered bank. Try Key, or Firstmerit, Third Federal, etc. Yes, PNC loses accounts and then employment, but those other banks gain employment with their growth. And because they are locally based, they will create more of their ancillary jobs, and spend more of their money, here in Cleveland. That helps to keep your dollars circulating in our local economy. Just because you move your money, that does not guarantee the jobs (bank or ancillary) will move with them. In addition, if PNC/NCB disappear, there goes competition and the depositor could lose.
January 4, 200916 yr Wait a minute here? Are we suggesting that if accounts are closed at PNC, that those accounts, and the dollars in them just disappear? It would seem to me that if you want to use your dollars to boost NEO business, the proper thing to do with your bank account is to switch it over to a locally headquartered bank. Try Key, or Firstmerit, Third Federal, etc. Yes, PNC loses accounts and then employment, but those other banks gain employment with their growth. And because they are locally based, they will create more of their ancillary jobs, and spend more of their money, here in Cleveland. That helps to keep your dollars circulating in our local economy. thank you mytwosense thinks he knows everything. if it were up to him, we'd all write letters to achieve world peace.
January 4, 200916 yr Wait a minute here? Are we suggesting that if accounts are closed at PNC, that those accounts, and the dollars in them just disappear? It would seem to me that if you want to use your dollars to boost NEO business, the proper thing to do with your bank account is to switch it over to a locally headquartered bank. Try Key, or Firstmerit, Third Federal, etc. Yes, PNC loses accounts and then employment, but those other banks gain employment with their growth. And because they are locally based, they will create more of their ancillary jobs, and spend more of their money, here in Cleveland. That helps to keep your dollars circulating in our local economy. thank you mytwosense thinks he knows everything. if it were up to him, we'd all write letters to achieve world peace. No I don't think I know everything, but I do make an attempt to think logically.
January 4, 200916 yr Wait a minute here? Are we suggesting that if accounts are closed at PNC, that those accounts, and the dollars in them just disappear? It would seem to me that if you want to use your dollars to boost NEO business, the proper thing to do with your bank account is to switch it over to a locally headquartered bank. Try Key, or Firstmerit, Third Federal, etc. Yes, PNC loses accounts and then employment, but those other banks gain employment with their growth. And because they are locally based, they will create more of their ancillary jobs, and spend more of their money, here in Cleveland. That helps to keep your dollars circulating in our local economy. Just because you move your money, that does not guarantee the jobs (bank or ancillary) will move with them. In addition, if PNC/NCB disappear, there goes competition and the depositor could lose. No, but by the same token, keeping your deposit at PNC doesn't mean saving jobs at PNC either, then? Either the bank jobs are there to service our banking activities, or they aren't.
January 4, 200916 yr Close your National City account and join a credit union--this is what I'm doing. NONE of these banks deserve our business.
January 4, 200916 yr ^ there you go-- doesn't get anymore local than that. i dk why i dont use my credit union. i used to belong to one. what happened? hmm.
January 4, 200916 yr kingfish is right . . . if you want to go local, go credit union rather than any of the banks.
January 4, 200916 yr Credit Unions seem to get little respect. Too blue collar, too customer friendly, not maximizing their profits to the 10 degree. It's kind of a shame. I used to belong to Kemba several years ago. I still might be member for all I know.
January 5, 200916 yr Credit Unions often times have terrible hours, minimal ATM locations, and odd restrictions on accounts. They do however offer good interest rates, loan opportunities, and great customer service.
January 5, 200916 yr Actually, many credit union locations and ATMs will serve customers from other credit union customers--Credit Union of Ohio customers can walk into over 229 branches across the state and use any Alliance One or Key Bank ATM without paying a surcharge (on your first 4 transactions per statement period)--other CUs probably have similar agreements. As for account restrictions, Credit Union of Ohio waives your fees if you hold is an aggregate daily balance of $250. If you can't swing that it's only $5 a month. Still a sweet deal.
January 6, 200916 yr Well, the acquisition with PNC was approved, but there are some steps they'll be taking to phase out National City. clevelandskyscrapers.com Cleveland Skyscrapers on Instagram
January 21, 200916 yr http://www.pittsburghlive.com/x/pittsburghtrib/business/s_608074.html Bank shares plunge as calls for $250B more in federal rescue money swell By Rick Stouffer, TRIBUNE-REVIEW Wednesday, January 21, 2009 Banking stocks plummeted Tuesday on fears that the financial system, bashed initially by the subprime mortgage mess, could need another $250 billion in taxpayer bailout money, industry watchers believe. Banks reported more losses, and stock prices in recent weeks fell to numbers not seen in decades -- despite $232 billion issued in Treasury Department funds. "In general, there is a great deal of concern that banks will continue to need more bailouts," said Doug Roberts, chief investment strategist at Channel Capital Research in Shrewsbury, N.J. "Some believe the banking system already is insolvent." Shares of PNC Financial Services Group, considered one of the nation's strong, well-managed institutions, closed down 61 percent from a Dec. 8 high of $55.75. PNC shares closed at $22. "PNC has been one of the best banks; unfortunately, it acquired one of the worst," said Standard & Poor's banking analyst Erik Oja, who yesterday lowered his rating on PNC to "hold" from "buy." PNC at year's end took over National City Corp. in a $5.6 billion, government-assisted transaction. "It's going to take more time for PNC to work through National City's issues," Oja said, adding he believes many banks will cut dividends and conserve capital. PNC spokesman Brian Goerke couldn't be reached for comment. Bank of New York Mellon Corp. shares hit a 13-year low, falling at one point to $15.44, prior to the company announcing it would report fourth-quarter results two days early. Shares recovered to end the day at $19, as the New York-based institution, which maintains a sizeable Pittsburgh presence, reported net income of $28 million, or 2 cents a share, down 95 percent from net income of $520 million, or 62 cents a share, in the year-earlier quarter. BNY Mellon said its employment in the Pittsburgh region stands at 6,857, down 56 from 6,913 at Sept. 30. Other bank shares plummeted. SunTrust Banks Inc. lost $4.87, or 24.4 percent, to $15.07; Fifth Third Bancorp shed $1.21, or 22.3 percent, to $4.22; and Marshall & Ilsley Corp. fell $1.62, or 21.3 percent, to $6. The big unknown is the economy, bank industry watchers said. No one is sure how deep the recession will be or how long it will last. "There are continuing worries of how much worse the economy will become," said banking industry consultant Bert Ely. "There's a continuing negative outlook for the economy and that certainly impacts bank stocks." Loan chargeoffs at banks remain high, first because of the subprime mortgage problem, and now they've expanded because of the economic downturn, according to Brian Bethune, chief economist at IHS/Global Insight in Lexington, Mass. "Chargeoffs are charged to a bank's capital, and so even with the capital infusion from the government, banks are having to charge bad loans to their capital," Bethune said. "It's an unfortunate loop." Bethune, like many banking industry watchers, believes the banking industry will need more taxpayer money and that the government needs to set up what has been called a "bad asset bank." The special institution will take toxic assets off banks' books and absorb the drain on the institutions' capital base. Banks haven't been able to raise private capital because investors aren't sure how safe and strong the banks are, experts said. That leaves the federal government. "We estimate the industry needs another $250 billion in public and private capital," Bethune said. Ely is concerned about the political environment for banks, saying he believes the institutions will come under pressure to once again begin making what he called "risky" loans. "I'm concerned we're heading toward lending mandates," Ely said.
January 21, 200916 yr http://www.post-gazette.com/pg/09021/943309-100.stm PNC expects loss tied to National City deal Wednesday, January 21, 2009 By Patricia Sabatini, Pittsburgh Post-Gazette PNC Financial Services Group expects to report a loss for the fourth quarter because of costs tied to its Dec. 31 purchase of hobbled Cleveland-based National City Corp., the company said today. Excluding those integration costs, PNC said it projects a "meaningful profit" for the quarter but below its previous estimates. Pittsburgh-based PNC, the nation's fifth largest bank based on deposits, plans to report final fourth quarter and full year results Feb. 3. PNC also said today that it does not plan to ask for more government money beyond the $7.6 billion it received at year-end under the federal bailout program to assist in the National City acquisition. PNC shares gained $3.67 in early trading, up about 17 percent, to $25.67 after tumbling about 40 percent yesterday amid a selloff in the financial sector. Patricia Sabatini can be reached at [email protected] or 412-263-3066.
February 3, 200916 yr This bailout is going to go down as the biggest blunder in history, when all is said and done. --- http://www.crainscleveland.com/article/20090203/FREE/902039976 PNC Financial Services to eliminate 5,800 jobs By ARIELLE KASS AND SCOTT SUTTELL 8:42 am, February 3, 2009 PNC Financial Services Group (NYSE: PNC), the new owner of National City Corp., said it plans to cut 5,800 jobs over the next two years as it reported a big fourth-quarter loss stemming from increased credit provisions and costs associated with the National City acquisition.
February 4, 200916 yr PNC employees will likely not be affected. 61 NCC branches (and their employees) are being divested as part of the deal, so that will remove many employees from the new org but they won't actually lose their job, they will just be employed by another bank. Operations and branch employees at NCC should be safe. Mortgage and Credit Card support functions at NCC will also likely be safe. Corporate employees in redundant positions - mostly in Cleveland - will be eliminated. Some will have the opportunity to apply for new roles. The timing of this is TBD...soon, but not imminent.
April 16, 200916 yr PNC to replace signs on National City headquarters by July Posted by Michelle Jarboe/Plain Dealer Reporter April 16, 2009 17:07PM Categories: Banks, Real Time News CLEVELAND -- PNC Financial Services Group Inc. could be a part of Cleveland's skyline by early July. That's when the Pittsburgh bank hopes to finish swapping out the signs atop National City's former corporate headquarters at East Ninth Street and Euclid Avenue downtown. Documents submitted to Cleveland planning officials indicate that PNC plans to start work in late May to remove the "National City" signs above the office tower and replace them with the "PNC" letters and logo. More at cleveland.com http://blog.cleveland.com/business/2009/04/pnc_to_replace_signs_on_nation.html
April 16, 200916 yr The Nat City building is a total disappointment. I often walk by and wonder how in the hell one of the largest banks in America built such an unimpressive headquarters.
August 8, 200915 yr From crainscleveland.com: National City's former headquarters building soon to bear PNC name http://www.crainscleveland.com/article/20090807/FREE/908079979 By ARIELLE KASS 1:35 pm, August 7, 2009 PNC Financial Services Group will take the first step toward re-branding National City Center in downtown Cleveland this Saturday as it begins the process of installing new signs bearing the Pittsburgh bank's name on the edifice. The signs will be installed on all four sides of the building at 1900 East Ninth St. between 5 a.m. and 8 a.m., though it will be several weeks before the new name will be visible on the building. Parts of Euclid Avenue and East Ninth will be closed until noon as a helicopter lifts the crated letters to the top. The letters — nine feet tall, and with a 12-foot PNC logo — weigh about 1,000 pounds each. The National City name was removed from the bank's former headquarters building July 23. clevelandskyscrapers.com Cleveland Skyscrapers on Instagram
September 2, 200915 yr The PNC signage has started to go up - it's visible on the southern facade of the building. clevelandskyscrapers.com Cleveland Skyscrapers on Instagram
September 2, 200915 yr You'll throw up more if they put a Pittsburgh Steelers logo in that empty circular frame atop the building! "In the souls of the people the grapes of wrath are filling and growing heavy, growing heavy for the vintage." -- John Steinbeck
September 2, 200915 yr ha ha... i overheard a few weeks ago walking by, after they had taken down the nat city sign from the top of the bldg, in a conversation in the plaza between two coworkers... "you know, the only good thing about PNC is that their colors are orange and blue, not that sh*t ass black and gold."
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