Exhibit 99 PNC BANK CORP. AND SUBSIDIARIES Consolidated Financial Highlights FINANCIAL PERFORMANCE ====================================================================================================================================
Three months ended Twelve months ended December 31 December 31 ------------------------- --------------------------- IN THOUSANDS, EXCEPT PER SHARE DATA AND RATIOS 1994 1993 1994 1993 - ------------------------------------------------------------------------------------------------------------------------------------ Net interest income (taxable-equivalent basis) $432,722 $470,955 $1,943,129 $1,868,535 Income before cumulative effect of changes in accounting principles 28,530 171,434 610,062 745,263 Net income 28,530 171,434 610,062 725,870 Earnings per common share Before cumulative effect of changes in accounting principles Primary .12 .72 2.57 3.14 Fully diluted .12 .72 2.56 3.13 Net income Primary .12 .72 2.57 3.06 Fully diluted .12 .72 2.56 3.04 Cash dividends declared per common share .35 .32 1.31 1.175 Average common shares outstanding Primary 235,337 236,427 236,610 236,386 Fully diluted 237,134 238,360 238,448 238,421 Net interest margin 2.92% 3.77% 3.40% 3.95% Returns before cumulative effect of changes in accounting principles Return on average total assets .18 1.28 1.00 1.48 Return on average common shareholders' equity 2.56 16.52 14.10 18.89 Returns based on net income Return on average total assets .18 1.28 1.00 1.44 Return on average common shareholders' equity 2.56 16.52 14.10 18.40 Average shareholders' equity to average total assets 6.97 7.79 7.12 7.86 Net charge-offs to average loans .32 .60 .29 .66 Provision for credit losses to net charge-offs 0.00 92.12 62.77 118.57 After-tax profit margin 5.31 25.31 22.06 25.80 Overhead ratio 90.92 55.46 63.99 51.66 ==================================================================================================================================
PERIOD-END RATIOS ==================================================================================================================================== 1993 1993 - ------------------------------------------------------------------------------------------------------------------------------------ Capital Leverage 6.59% 7.85% Common shareholders' equity to total assets 6.82 6.93 Asset quality Nonperforming loans to total loans .90 1.15 Nonperforming assets to total loans and foreclosed assets 1.25 1.65 Nonperforming assets to total assets .69 .89 Allowance for credit losses to total loans 2.83 2.92 Allowance for credit losses to nonperforming loans 314.17 253.12 Book value per common share As reported $18.76 $18.34 Excluding net unrealized securities gains/losses 19.26 17.96 ===================================================================================================================================
PNC BANK CORP. AND SUBSIDIARIES Condensed Consolidated Statement of Income
==================================================================================================================================== Three months ended Twelve months ended December 31 December 31 -------------------------- --------------------------- IN THOUSANDS 1994 1993 1994 1993 - ------------------------------------------------------------------------------------------------------------------------------------ INTEREST INCOME Loans and fees on loans $660,119 $517,005 $2,479,093 $1,950,937 Securities 343,426 279,858 1,290,998 1,203,151 Other 20,600 18,338 91,721 47,032 - ------------------------------------------------------------------------------------------------------------------------------------ Total interest income 1,024,145 815,201 3,861,812 3,201,120 - ------------------------------------------------------------------------------------------------------------------------------------ INTEREST EXPENSE Deposits 271,099 180,564 935,876 742,772 Borrowed funds 160,858 86,425 499,252 362,995 Notes and debentures 167,837 86,498 517,078 266,320 - ------------------------------------------------------------------------------------------------------------------------------------ Total interest expense 599,794 353,487 1,952,206 1,372,087 - ------------------------------------------------------------------------------------------------------------------------------------ Net interest income 424,351 461,714 1,909,606 1,829,033 Provision for credit losses 38,692 60,123 203,944 - ------------------------------------------------------------------------------------------------------------------------------------ Net interest income less provision for credit losses 424,351 423,022 1,849,483 1,625,089 - ------------------------------------------------------------------------------------------------------------------------------------ NONINTEREST INCOME Investment management and trust 73,237 70,269 292,052 273,849 Service charges, fees and commissions 95,011 93,102 370,146 354,297 Mortgage banking 39,274 24,093 198,548 50,590 Net securities gains (losses) (121,024) 3,404 (134,919) 187,694 Other 18,253 15,462 96,814 78,819 - ------------------------------------------------------------------------------------------------------------------------------------ Total noninterest income 104,751 206,330 882,641 945,249 - ------------------------------------------------------------------------------------------------------------------------------------ NONINTEREST EXPENSE Staff expense 216,673 173,379 835,672 685,388 Net occupancy and equipment 80,415 60,486 280,437 229,308 Amortization of intangibles 22,759 8,852 82,237 31,589 Federal deposit insurance 19,157 16,824 73,902 65,488 Other 149,677 116,108 497,487 441,953 - ------------------------------------------------------------------------------------------------------------------------------------ Total noninterest expense 488,681 375,649 1,769,735 1,453,726 - ------------------------------------------------------------------------------------------------------------------------------------ Income before income taxes and cumulative effect of changes in accounting principles 40,421 253,703 902,389 1,116,612 Applicable income taxes 11,891 82,269 292,327 371,349 - ------------------------------------------------------------------------------------------------------------------------------------ Income before cumulative effect of changes in accounting principles 28,530 171,434 610,062 745,263 Cumulative effect of changes in accounting principles, net of tax benefit of $5,343 (19,393) - ------------------------------------------------------------------------------------------------------------------------------------ Net income $28,530 $171,434 $610,062 $725,870 ====================================================================================================================================
PNC BANK CORP. AND SUBSIDIARIES Details of Net Interest Income and Net Interest Margin
NET INTEREST INCOME ==================================================================================================================================== Three months ended Twelve months ended December 31 September 30 December 31 ----------------------------- ----------------------------- Taxable-equivalent basis 1994 1994 1994 1993 - ------------------------------------------------------------------------------------------------------------------------------------ Interest income/expense before swaps: Interest income $1,026,612 $ 978,784 $3,766,558 $3,080,500 Loan fees 15,011 19,543 69,332 65,570 Taxable-equivalent adjustment 8,371 8,285 33,523 39,502 - ------------------------------------------------------------------------------------------------------------------------------------ Total interest income 1,049,994 1,006,612 3,869,413 3,185,572 Interest expense 598,060 527,250 2,027,009 1,520,294 - ------------------------------------------------------------------------------------------------------------------------------------ Net interest income before swaps 451,934 479,362 1,842,404 1,665,278 Interest rate swaps (19,212) 23,878 100,725 203,257 - ------------------------------------------------------------------------------------------------------------------------------------ Net interest income $432,722 $503,240 $1,943,129 $1,868,535 ====================================================================================================================================
NET INTEREST MARGIN ==================================================================================================================================== Three months ended Twelve months ended December 31 September 30 December 31 ------------------------------ ---------------------- Taxable-equivalent basis 1994 1994 1994 1993 - ------------------------------------------------------------------------------------------------------------------------------------ Book-basis yield on earning assets 6.91% 6.70% 6.58% 6.51% Effect of loan fees .10 .13 .12 .14 Taxable-equivalent adjustment .06 .06 .06 .08 - ------------------------------------------------------------------------------------------------------------------------------------ Taxable-equivalent yield on earning assets 7.07 6.89 6.76 6.73 Rate on interest-bearing liabilities 4.64 4.16 4.11 3.81 - ------------------------------------------------------------------------------------------------------------------------------------ Interest rate spread 2.43 2.73 2.65 2.92 Effect of: Noninterest-bearing sources .63 .56 .57 .60 Interest rate swaps (.14) .16 .18 .43 - ------------------------------------------------------------------------------------------------------------------------------------ Net interest margin 2.92% 3.45% 3.40% 3.95% ====================================================================================================================================
NONINTEREST INCOME ====================================================================================================================================
Three months ended Twelve months ended December 31 December 31 ------------------------------- ------------------------------- IN THOUSANDS 1994 1993 1994 1993 - ------------------------------------------------------------------------------------------------------------------------------------ Investment management and trust Trust $47,402 $46,611 $194,060 $184,286 Mutual funds 25,835 23,658 97,992 89,563 - ------------------------------------------------------------------------------------------------------------------------------------ Total investment management and trust 73,237 70,269 292,052 273,849 - ------------------------------------------------------------------------------------------------------------------------------------ Service charges, fees and commissions Deposit account and corporate services 40,064 39,122 164,220 156,468 Credit card and merchant services 15,500 14,794 56,020 55,529 Brokerage 9,010 9,751 35,539 37,989 Corporate finance 11,414 10,063 44,716 40,358 Other services 19,023 19,372 69,651 63,953 - ------------------------------------------------------------------------------------------------------------------------------------ Total service charges, fees and commissions 95,011 93,102 370,146 354,297 - ------------------------------------------------------------------------------------------------------------------------------------ Mortgage banking Servicing 28,636 17,004 121,776 34,365 Sales of servicing 9,235 60,573 Marketing 1,403 7,089 16,199 16,225 - ------------------------------------------------------------------------------------------------------------------------------------ Total mortgage banking 39,274 24,093 198,548 50,590 - ------------------------------------------------------------------------------------------------------------------------------------ Other 18,253 15,462 96,814 78,819 - ------------------------------------------------------------------------------------------------------------------------------------ Total noninterest income before net securities gains (losses) 225,775 202,926 957,560 757,555 Net securities gains (losses) (121,024) 3,404 (134,919) 187,694 - ------------------------------------------------------------------------------------------------------------------------------------ Total $104,751 $206,330 $822,641 $945,249 ====================================================================================================================================
NONINTEREST EXPENSE ====================================================================================================================================
Three months ended Twelve months ended December 31 December 31 -------------------------------- ----------------------------------- IN THOUSANDS 1994 1993 1994 1993 - ------------------------------------------------------------------------------------------------------------------------------------ Compensation $188,507 $158,872 $686,342 $582,181 Employee benefits 28,166 14,507 149,330 103,207 - ------------------------------------------------------------------------------------------------------------------------------------ Total staff expense 216,673 173,379 835,672 685,388 - ------------------------------------------------------------------------------------------------------------------------------------ Net occupancy 46,606 28,905 147,713 115,354 Equipment 33,809 31,581 132,724 113,954 Amortization of intangible assets 22,759 8,852 82,237 31,589 Federal deposit insurance 19,157 16,824 73,902 65,488 Taxes other than income 10,816 8,012 44,227 36,070 Other 138,861 108,096 453,260 405,883 - ------------------------------------------------------------------------------------------------------------------------------------ Total $488,681 $375,649 $1,769,735 $1,453,726 ====================================================================================================================================
PNC BANK CORP. AND SUBSIDIARIES Condensed Consolidated Balance Sheet
=================================================================================================================================== IN MILLIONS, EXCEPT SHARE DATA 1994 1993 - ----------------------------------------------------------------------------------------------------------------------------------- ASSETS Cash and due from banks $2,592 $1,817 Short-term investments 809 856 Loans held for sale 487 1,392 Securities available for sale 3,457 11,388 Investment securities, fair value of $16,233 and $11,716 17,464 11,672 Loans, net of unearned income of $240 and $222 35,407 33,308 Allowance for credit losses (1,002) (972) - ----------------------------------------------------------------------------------------------------------------------------------- Net loans 34,405 32,336 - ----------------------------------------------------------------------------------------------------------------------------------- Other 4,931 2,619 - ----------------------------------------------------------------------------------------------------------------------------------- Total assets $64,145 $62,080 =================================================================================================================================== LIABILITIES Deposits Noninterest-bearing $6,992 $7,057 Interest-bearing 28,019 26,058 - ----------------------------------------------------------------------------------------------------------------------------------- Total deposits 35,011 33,115 - ----------------------------------------------------------------------------------------------------------------------------------- Borrowed funds 11,608 11,662 Notes and debentures 11,754 9,585 Other 1,378 3,393 - ----------------------------------------------------------------------------------------------------------------------------------- Total liabilities 59,751 57,755 - ----------------------------------------------------------------------------------------------------------------------------------- SHAREHOLDERS' EQUITY Realized shareholders' equity 4,513 4,237 Net unrealized securities gains (losses) (119) 88 - ----------------------------------------------------------------------------------------------------------------------------------- Total shareholders' equity 4,394 4,325 - ----------------------------------------------------------------------------------------------------------------------------------- Total liabilities and shareholders' equity $64,145 $62,080 =================================================================================================================================== COMMON SHAREHOLDERS' EQUITY $4,375 $4,305 COMMON SHARES OUTSTANDING 233,248,508 234,705,237 ===================================================================================================================================
PNC BANK CORP. AND SUBSIDIARIES Condensed Consolidated Average Balance Sheet
==================================================================================================================================== Three months ended Twelve months ended December 31 December 31 ------------------------------------ ----------------------------------- IN MILLIONS 1994 1993 1994 1993 - ------------------------------------------------------------------------------------------------------------------------------------ ASSETS Interest-earning assets Short-Term investments $771 $757 $808 $575 Securities 22,923 20,428 22,116 20,403 Loans, net of unearned income Commercial 12,311 11,096 12,051 10,877 Real estate project 1,670 1,770 1,687 1,845 Real estate mortgage 10,236 5,813 9,531 4,390 Consumer 9,061 8,279 8,782 7,974 Other 1,677 925 1,460 873 - ------------------------------------------------------------------------------------------------------------------------------------ Total loans, net of unearned income 34,955 27,883 33,511 25,959 - ------------------------------------------------------------------------------------------------------------------------------------ Other interest-earning assets 524 770 752 403 - ------------------------------------------------------------------------------------------------------------------------------------ Total interest-earning assets 59,173 49,838 57,187 47,340 - ------------------------------------------------------------------------------------------------------------------------------------ Other 3,779 3,172 3,709 2,981 - ------------------------------------------------------------------------------------------------------------------------------------ Total assets $62,952 $53,010 $60,896 $50,321 ==================================================================================================================================== LIABILITIES Interest-bearing liabilities Deposits $26,943 $23,981 $26,617 $23,072 Borrowed funds 11,642 9,453 11,375 10,373 Notes and debentures 12,593 8,548 11,288 6,486 - ------------------------------------------------------------------------------------------------------------------------------------ Total interest-bearing liabilities 51,178 41,982 49,280 39,931 - ------------------------------------------------------------------------------------------------------------------------------------ Noninterest-bearing deposits 6,466 5,781 6,235 5,370 Other 922 1,119 1,045 1,063 - ------------------------------------------------------------------------------------------------------------------------------------ Total liabilities 58,566 48,882 56,560 46,364 - ------------------------------------------------------------------------------------------------------------------------------------ SHAREHOLDERS' EQUITY 4,386 4,128 4,336 3,957 - ---------------------------------------------------------------------------------------------------------------------------------- Total liabilities and shareholders' equity $62,952 $53,010 $60,896 $50,321 ==================================================================================================================================== COMMON SHAREHOLDERS' EQUITY $4,366 $4,107 $4,316 $3,935 ====================================================================================================================================
PNC BANK CORP. AND SUBSIDIARIES Asset Quality Data
NONPERFORMING ASSETS ================================================================================================================================== IN MILLIONS 1994 1993 - ---------------------------------------------------------------------------------------------------------------------------------- Nonaccrual loans Commercial $177 $181 Real estate project 68 91 Real estate mortgage 65 84 - ---------------------------------------------------------------------------------------------------------------------------------- Total nonaccrual loans 310 356 - ---------------------------------------------------------------------------------------------------------------------------------- Restructured loans 9 28 - ---------------------------------------------------------------------------------------------------------------------------------- Total nonperforming loans 319 384 - ---------------------------------------------------------------------------------------------------------------------------------- Foreclosed assets Real estate project 75 108 Real estate mortgage 25 42 Other 27 20 - ---------------------------------------------------------------------------------------------------------------------------------- Total foreclosed assets 127 170 - ---------------------------------------------------------------------------------------------------------------------------------- Total $446 $554 ==================================================================================================================================
ALLOWANCE FOR CREDIT LOSSES ==================================================================================================================================
Three months ended Twelve months ended December 31 December 31 ------------------------------ ---------------------------- IN MILLIONS 1994 1993 1994 1993 - ----------------------------------------------------------------------------------------------------------------------------------- Beginning balance $1,030 $940 $972 $897 Charge-offs (50) (63) (170) (246) Recoveries 22 21 75 74 - ----------------------------------------------------------------------------------------------------------------------------------- Net charge-offs (28) (42) (95) (172) - ----------------------------------------------------------------------------------------------------------------------------------- Provision for credit losses 39 60 204 Acquisitions 35 65 43 - ----------------------------------------------------------------------------------------------------------------------------------- Ending balance $1,002 $972 $1,002 $972 ===================================================================================================================================