PNC's Chief Executive Details Strategic Positioning; Business Results and Future Goals Discussed at Annual Shareholders Meeting

Apr 24, 2001, 01:00 ET from The PNC Financial Services Group, Inc.

    PITTSBURGH, April 24 /PRNewswire Interactive News Release/ -- The PNC
 Financial Services Group, Inc. (NYSE:   PNC) is seeking to deliver a greater
 percentage of earnings from nontraditional financial services businesses.  The
 company's future aspirations, which were outlined during the company's annual
 shareholder meeting here today, include achieving 55 percent of total earnings
 from targeted, higher-growth businesses.  These include asset management and
 processing, treasury management and capital markets -- businesses which made
 up 39 percent of PNC's 2000 earnings, up from 29 percent in 1998.
     Today's shareholder meeting was held against the backdrop of an
 exceptional year 2000:
 
      -- Record returns for shareholders, as PNC's stock rose 64 percent in
          2000, the best performance among 14 financial services peer
          companies.  The S&P Major Regional Banks Index rose 14 percent.
      -- Record operating earnings of $1.2 billion.
      -- Record operating earnings per share, with EPS growing at a 10 percent
          compound annual rate (and cash EPS at 11 percent) for the past five
          years.
      -- Strong business growth fueling higher quality revenues, with
          noninterest income approaching 60 percent of total revenue in 2000.
          Noninterest revenues have grown at a 20 percent compound annual rate
          over the past five years.
 
     "We have been delivering on our strategy to build a more valuable business
 mix while also investing in the development of our employees and the
 betterment of our communities," said PNC President and Chief Executive Officer
 James E. Rohr.  "We have balanced the needs of our key constituents as we have
 continued to reposition the company.  The year 2001 is off to a solid start in
 a challenging economic environment.  I am pleased with the work our employees
 are doing to continue to drive toward the goals we have outlined."
     Rohr reviewed the results of several employee and community-focused
 initiatives, including more than $40 million in donated resources for more
 than 1,500 community organizations in 2000.  He pointed to employee benefit
 offerings such as matching contributions to employee 401(K) plans -- and the
 company's employee stock purchase program -- as important investments in
 recruiting and retaining top talent in a competitive marketplace.
     Shareholders today also elected 15 directors and approved a proposal to
 amend the Corporation's Articles of Incorporation to increase the authorized
 shares of common stock from 450 million shares to 800 million.  Proposals to
 amend two incentive award plans were also approved.
     The PNC Financial Services Group, Inc., headquartered in Pittsburgh, is
 one of the nation's largest diversified financial services organizations,
 providing community banking, corporate banking, real estate finance, asset-
 based lending, wealth management, asset management and global fund services.
 
     This release includes forward-looking statements within the meaning of the
 Private Securities Litigation Reform Act with respect to future financial or
 business performance, conditions, strategies, expectations and goals.
 Forward-looking statements are typically identified by words or phrases such
 as "believe," "expect," "anticipate," "intend," "estimate," "position,"
 "achieve," "strategy," "goal," "aspiration," "outlook," "outcome," "continue,"
 "remain," "maintain," "seek," and variations of such words and similar
 expressions, or future or conditional verbs such as "will," "would," "should,"
 "could," "may," or similar expressions.  The Corporation cautions that
 forward-looking statements are subject to numerous assumptions, risks and
 uncertainties, which change over time.  These forward-looking statements speak
 only as of the date of this press release, and the Corporation assumes no duty
 to update forward-looking statements.  Actual results could differ materially
 from those anticipated in these forward-looking statements and future results
 could differ materially from historical performance.
     The factors discussed elsewhere in this press release and the following
 factors, among others, could cause actual results to differ materially from
 forward-looking statements or historical performance:  adjustments to recorded
 results of sale of residential mortgage banking business after final
 settlement is completed; decisions PNC makes with respect to the redeployment
 of available capital; changes in asset quality and credit risk; economic
 conditions; changes in financial and capital markets; the inability to sustain
 revenue and earnings growth; changes in interest rates; inflation; changes in
 values of assets under management and assets serviced; relative investment
 performance of assets under management; customer acceptance of PNC products
 and services; customer borrowing, repayment, investment, and deposit
 practices; customer disintermediation; valuation of debt and equity
 investments; the introduction, withdrawal, success and timing of business
 initiatives and strategies; the extent and cost of any share repurchases;
 decisions PNC makes with respect to further reduction of balance sheet
 leverage and potential investments in PNC businesses; competitive conditions;
 the inability to realize cost savings or revenue enhancements, implement
 integration plans and other consequences associated with mergers,
 acquisitions, restructurings and divestitures; and the impact, extent and
 timing of technological changes, capital management activities, and actions of
 the Federal Reserve Board and legislative and regulatory actions and reform.
 Further, an increase in the number of customer or counterparty delinquencies,
 bankruptcies, or defaults could result, among other things, in a higher loan
 loss provision and reduced profitability.
 
     The Corporation's SEC reports, accessible on the SEC's website at
 www.sec.gov and on PNC's website at www.pnc.com, identify additional factors
 that can affect forward-looking statements.
 
                        MAKE YOUR OPINION COUNT -  Click Here
                http://tbutton.prnewswire.com/prn/11690X62355196
 
 

SOURCE The PNC Financial Services Group, Inc.
    PITTSBURGH, April 24 /PRNewswire Interactive News Release/ -- The PNC
 Financial Services Group, Inc. (NYSE:   PNC) is seeking to deliver a greater
 percentage of earnings from nontraditional financial services businesses.  The
 company's future aspirations, which were outlined during the company's annual
 shareholder meeting here today, include achieving 55 percent of total earnings
 from targeted, higher-growth businesses.  These include asset management and
 processing, treasury management and capital markets -- businesses which made
 up 39 percent of PNC's 2000 earnings, up from 29 percent in 1998.
     Today's shareholder meeting was held against the backdrop of an
 exceptional year 2000:
 
      -- Record returns for shareholders, as PNC's stock rose 64 percent in
          2000, the best performance among 14 financial services peer
          companies.  The S&P Major Regional Banks Index rose 14 percent.
      -- Record operating earnings of $1.2 billion.
      -- Record operating earnings per share, with EPS growing at a 10 percent
          compound annual rate (and cash EPS at 11 percent) for the past five
          years.
      -- Strong business growth fueling higher quality revenues, with
          noninterest income approaching 60 percent of total revenue in 2000.
          Noninterest revenues have grown at a 20 percent compound annual rate
          over the past five years.
 
     "We have been delivering on our strategy to build a more valuable business
 mix while also investing in the development of our employees and the
 betterment of our communities," said PNC President and Chief Executive Officer
 James E. Rohr.  "We have balanced the needs of our key constituents as we have
 continued to reposition the company.  The year 2001 is off to a solid start in
 a challenging economic environment.  I am pleased with the work our employees
 are doing to continue to drive toward the goals we have outlined."
     Rohr reviewed the results of several employee and community-focused
 initiatives, including more than $40 million in donated resources for more
 than 1,500 community organizations in 2000.  He pointed to employee benefit
 offerings such as matching contributions to employee 401(K) plans -- and the
 company's employee stock purchase program -- as important investments in
 recruiting and retaining top talent in a competitive marketplace.
     Shareholders today also elected 15 directors and approved a proposal to
 amend the Corporation's Articles of Incorporation to increase the authorized
 shares of common stock from 450 million shares to 800 million.  Proposals to
 amend two incentive award plans were also approved.
     The PNC Financial Services Group, Inc., headquartered in Pittsburgh, is
 one of the nation's largest diversified financial services organizations,
 providing community banking, corporate banking, real estate finance, asset-
 based lending, wealth management, asset management and global fund services.
 
     This release includes forward-looking statements within the meaning of the
 Private Securities Litigation Reform Act with respect to future financial or
 business performance, conditions, strategies, expectations and goals.
 Forward-looking statements are typically identified by words or phrases such
 as "believe," "expect," "anticipate," "intend," "estimate," "position,"
 "achieve," "strategy," "goal," "aspiration," "outlook," "outcome," "continue,"
 "remain," "maintain," "seek," and variations of such words and similar
 expressions, or future or conditional verbs such as "will," "would," "should,"
 "could," "may," or similar expressions.  The Corporation cautions that
 forward-looking statements are subject to numerous assumptions, risks and
 uncertainties, which change over time.  These forward-looking statements speak
 only as of the date of this press release, and the Corporation assumes no duty
 to update forward-looking statements.  Actual results could differ materially
 from those anticipated in these forward-looking statements and future results
 could differ materially from historical performance.
     The factors discussed elsewhere in this press release and the following
 factors, among others, could cause actual results to differ materially from
 forward-looking statements or historical performance:  adjustments to recorded
 results of sale of residential mortgage banking business after final
 settlement is completed; decisions PNC makes with respect to the redeployment
 of available capital; changes in asset quality and credit risk; economic
 conditions; changes in financial and capital markets; the inability to sustain
 revenue and earnings growth; changes in interest rates; inflation; changes in
 values of assets under management and assets serviced; relative investment
 performance of assets under management; customer acceptance of PNC products
 and services; customer borrowing, repayment, investment, and deposit
 practices; customer disintermediation; valuation of debt and equity
 investments; the introduction, withdrawal, success and timing of business
 initiatives and strategies; the extent and cost of any share repurchases;
 decisions PNC makes with respect to further reduction of balance sheet
 leverage and potential investments in PNC businesses; competitive conditions;
 the inability to realize cost savings or revenue enhancements, implement
 integration plans and other consequences associated with mergers,
 acquisitions, restructurings and divestitures; and the impact, extent and
 timing of technological changes, capital management activities, and actions of
 the Federal Reserve Board and legislative and regulatory actions and reform.
 Further, an increase in the number of customer or counterparty delinquencies,
 bankruptcies, or defaults could result, among other things, in a higher loan
 loss provision and reduced profitability.
 
     The Corporation's SEC reports, accessible on the SEC's website at
 www.sec.gov and on PNC's website at www.pnc.com, identify additional factors
 that can affect forward-looking statements.
 
                        MAKE YOUR OPINION COUNT -  Click Here
                http://tbutton.prnewswire.com/prn/11690X62355196
 
 SOURCE  The PNC Financial Services Group, Inc.

RELATED LINKS

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