Exhibit 99 MEDIA: Jonathan Williams (412) 762-4550 pubrela@pncmail.com INVESTORS: William H. Callihan (412) 762-8257 invrela@pncmail.com PNC BANK CORP. REPORTS RECORD EARNINGS FOR 1996 PITTSBURGH, Jan. 15, 1997 -- PNC Bank Corp. (NYSE: PNC) today reported record earnings for 1996 of $992.2 million or $2.87 per fully diluted share compared with $408.1 million and $1.19 per fully diluted share in 1995. Returns on average common shareholders' equity and average assets for 1996 were 17.18% and 1.40%, respectively, compared with 7.05% and 0.54% a year ago. Excluding a one-time special assessment to recapitalize the Savings Association Insurance Fund (SAIF), 1996 earnings were $1.015 billion or $2.94 per fully diluted share. The corporation also reported record quarterly earnings for the fourth quarter of 1996 of $271.9 million or $0.79 per fully diluted share. Returns on average common shareholders' equity and average assets for the quarter were 18.58% and 1.56%, respectively. "Our record 1996 performance reflects significant progress in achieving our strategic objectives and is in line with expectations," said Thomas H. O'Brien, chairman and chief executive officer. "Our objectives for 1997 include continued focus on a number of growth initiatives, such as our AAA-affinity business, and aggressive capital management." HIGHLIGHTS o Net interest income grew 13% and noninterest revenues increased 11% reflecting the impact of initiatives to reduce reliance on wholesale investment activities and substantial growth in attractive fee-based businesses. -more- PNC Bank Corp. Reports Record Earnings for 1996 Page 2 o Net interest margin widened 68 basis points to 3.83% as the proportion of average loans to earning assets increased to 76% from 66% a year ago. o The Midlantic integration was successfully completed with cost savings ahead of expectations. o In the fourth quarter of 1996, the corporation acquired AAA-affinity credit card portfolios totaling $1.6 billion and is positioned to market a full range of products and services to AAA members nationwide. o Asset quality remained strong. Nonperforming assets continued to decline, representing 0.88% of loans and foreclosed assets at Dec. 31, 1996, and net charge-offs were 0.33% of average loans. o The corporation aggressively pursued capital management initiatives including the repurchase of approximately 23 million common shares during 1996. INCOME STATEMENT REVIEW The 1996 results include a $22.4 million after-tax third quarter charge for a one-time special assessment mandated by Congress to recapitalize the SAIF. The 1995 results include $380.2 million of after-tax charges recorded during the fourth quarter in connection with the Midlantic merger and actions taken to reposition the corporation's balance sheet. Results excluding these charges are:
1996 1995 Change ---------------------------- Earnings (in millions) $1,015 $788 29% Fully diluted earnings per common share 2.94 2.29 28 Return on Average common shareholders' equity 17.58% 13.67% Average assets 1.43 1.05 ----------------------------
Taxable-equivalent net interest income for 1996 increased $290.1 million to $2.5 billion and net interest margin widened to 3.83% compared with $2.2 billion and 3.15%, respectively, a year ago. These increases primarily result from changes in balance sheet composition and the Oct. 1995 Chemical Bank, New Jersey acquisition. -more- PNC Bank Corp. Reports Record Earnings for 1996 Page 3 Noninterest income excluding securities transactions increased $132.9 million or 10.7% to $1.4 billion in 1996. Asset management and trust revenue increased $76.6 million or 18.2% due to new business and an increase in the value of assets under administration. Managed assets increased to approximately $109 billion at Dec. 31, 1996 compared with $96 billion a year ago and assets under administration totaled approximately $329 billion at the end of 1996. Service fees increased 14.5% to $566.4 million primarily from growth in brokerage, corporate finance and deposit services. Mortgage banking revenue declined in the comparison primarily due to lower servicing sales. Mortgage originations totaled $5.6 billion in 1996 and, at Dec. 31, 1996, the corporation serviced approximately $39.5 billion of mortgages including $27.3 billion serviced for others. Other noninterest income increased $17.5 million to $156.2 million, primarily due to higher venture capital income. Net securities gains totaled $22.1 million in 1996 compared with net losses of $279.7 million in the prior year. The 1995 losses were primarily related to initiatives to reduce reliance on wholesale investment activities. Noninterest expense totaled $2.3 billion in 1996 compared with $2.5 billion in 1995. Excluding the SAIF assessment in 1996 and one-time charges taken in 1995, the efficiency ratio improved to 58.8% for 1996 compared with 64.3% a year ago. The corporation continues to invest in AAA initiatives including loan portfolio acquisitions and has begun to aggressively market products and services to the organization's membership base. During the fourth quarter, the corporation acquired AAA-affinity credit card portfolios totaling $1.6 billion. BALANCE SHEET REVIEW Total assets were $73.3 billion at Dec. 31, 1996 and $73.4 billion a year ago. Average earning assets were $64.7 billion compared with $69.5 billion in 1995, reflecting the securities portfolio downsizing partially offset by loan growth and acquisitions. Average securities declined $8.6 billion to $13.6 billion and represented 20.9% of -more- PNC Bank Corp. Reports Record Earnings for 1996 Page 4 average earning assets compared with 31.8% a year ago. Average loans increased $3.5 billion to $49.1 billion, representing 75.9% of average earning assets compared with 65.6% a year ago. Excluding the Chemical acquisition, average loans grew by 4.0%. Average interest-bearing funding sources totaled $53.5 billion in 1996 compared with $58.9 billion a year ago. Average deposits increased slightly to $45.1 billion for 1996 and represented 63.7% of total sources of funds in 1996 compared with 59.7% a year ago. Average wholesale liabilities were reduced to $19.5 billion during 1996 and represented 27.5% of total sources of funds compared with 34.1% a year ago. Asset quality remained strong. The allowance for credit losses was $1.2 billion at Dec. 31, 1996, and represented 334% of nonperforming loans compared with 352% at year-end 1995. Net charge-offs were $164 million or 0.33% of average loans in 1996 compared with $133 million and 0.29%, respectively, a year ago. Nonperforming assets declined to $459 million at Dec. 31, 1996, compared with $536 million at the end of 1995. The ratio of nonperforming assets to total loans and foreclosed assets was 0.88% at Dec. 31, 1996 and 1.10% a year ago. Shareholders' equity totaled $5.9 billion at Dec. 31, 1996. The leverage ratio was 7.24% and Tier I and total risk-based capital ratios are estimated to be 8.4% and 11.8%, respectively. During 1996, approximately 22.7 million common shares were repurchased and in the fourth quarter of 1996, the board of directors approved a 5.7% increase in the common dividend to $0.37 per share. In addition, the corporation issued $300 million of preferred stock and $350 million of trust preferred securities. PNC Bank Corp., headquartered in Pittsburgh, is one of the largest financial services organizations in the United States with banking subsidiaries in Pennsylvania, New Jersey, Delaware, Ohio, Kentucky, Indiana, Massachusetts and Florida. PNC Bank Corp.'s major businesses include consumer banking, corporate banking, mortgage banking, real estate banking and asset management. Visit PNC Bank on the World Wide Web at www.pncbank.com [TABULAR MATERIAL FOLLOWS] -more- PNC BANK CORP. AND SUBSIDIARIES Page 5 Consolidated Financial Highlights
Three months ended Year ended December 31 December 31 ------------------------------------------------- 1996 1995 1996 1995 - --------------------------------------------------------------------------------------------------------------------------------- FINANCIAL PERFORMANCE (Dollars in thousands, except per share data) Net interest income (taxable-equivalent basis) $625,637 $563,825 $2,478,609 $2,188,511 Net income (loss) 271,903 (176,177) 992,226 408,060 Fully diluted earnings (loss) per common share .79 (.52) 2.87 1.19 Return on average common shareholders' equity 18.58% (11.92)% 17.18% 7.05% Return on average total assets 1.56 (.92) 1.40 .54 Net interest margin 3.92 3.22 3.83 3.15 After-tax profit margin 26.81 (30.01) 25.61 12.96 Efficiency ratio 57.83 140.66 59.68 78.42 AVERAGE BALANCES (In millions) Assets $69,536 $75,707 $70,807 $75,131 Earning assets 63,322 69,681 64,725 69,535 Loans, net of unearned income 49,973 48,304 49,116 45,624 Securities 11,569 19,450 13,550 22,140 Deposits 44,832 46,216 45,117 44,830 Shareholders' equity 6,017 5,893 5,828 5,784 Common shareholders' equity 5,727 5,875 5,742 5,741 =================================================================================================================================
December 31 September 30 June 30 March 31 December 31 As of or for the three months ended 1996 1996 1996 1996 1995 - --------------------------------------------------------------------------------------------------------------------------------- PERIOD-END BALANCES (In millions) Assets $73,260 $69,662 $71,961 $72,668 $73,404 Earning assets 65,439 62,533 65,234 66,041 66,772 Loans, net of unearned income 51,798 49,443 49,223 48,800 48,653 Securities 11,917 11,243 14,107 14,692 15,839 Deposits 45,676 45,430 44,852 45,621 46,899 Shareholders' equity 5,869 5,798 5,832 5,786 5,768 Common shareholders' equity 5,553 5,781 5,815 5,769 5,750 SELECTED RATIOS Capital ratios Leverage 7.24% 7.18% 6.96% 6.90% 6.37% Common shareholders' equity to assets 7.58 8.30 8.08 7.94 7.83 Average common shareholders' equity to average assets 8.24 8.27 7.94 8.01 7.76 Asset quality ratios Net charge-offs to average loans .45 .30 .29 .28 .45 Nonperforming assets to loans and foreclosed assets .88 1.01 1.03 1.10 1.10 Nonperforming assets to total assets .63 .72 .71 .74 .73 Allowance for credit losses to loans 2.25 2.33 2.42 2.51 2.59 Allowance for credit losses to nonperforming loans 334.40 306.11 312.19 328.88 351.68 Book value per common share As reported $17.13 $17.23 $17.07 $16.88 $16.87 Excluding net unrealized securities gains/losses 17.34 17.58 17.49 17.16 16.79 ===================================================================================================================================
-more- PNC BANK CORP. AND SUBSIDIARIES Page 6 Consolidated Statement of Income
Three months ended Year ended December 31 December 31 ---------------------------------------------------- In thousands, except per share data 1996 1995 1996 1995 - ---------------------------------------------------------------------------------------------------------------------------------- INTEREST INCOME Loans and fees on loans $1,011,871 $983,267 $3,943,586 $3,742,877 Securities 181,264 283,703 858,686 1,282,929 Other 30,490 33,032 136,463 123,625 ---------------------------------------------------- Total interest income 1,223,625 1,300,002 4,938,735 5,149,431 INTEREST EXPENSE Deposits 354,985 400,962 1,428,771 1,551,816 Borrowed funds 80,811 177,403 381,103 834,654 Notes and debentures 170,095 168,889 684,560 621,092 ---------------------------------------------------- Total interest expense 605,891 747,254 2,494,434 3,007,562 ---------------------------------------------------- Net interest income 617,734 552,748 2,444,301 2,141,869 Provision for credit losses 1,500 6,000 ---------------------------------------------------- Net interest income less provision for credit losses 617,734 551,248 2,444,301 2,135,869 NONINTEREST INCOME Asset management and trust 129,048 111,524 496,739 420,160 Service fees 158,045 130,803 566,358 494,649 Mortgage banking 47,532 39,427 153,672 186,617 Other 46,399 30,490 156,207 138,687 ---------------------------------------------------- Total noninterest income before net securities gains (losses) 381,024 312,244 1,372,976 1,240,113 Net securities gains (losses) 7,555 (288,958) 22,124 (279,694) ---------------------------------------------------- Total noninterest income 388,579 23,286 1,395,100 960,419 NONINTEREST EXPENSE Staff expense 269,233 266,962 1,109,932 1,065,057 Net occupancy and equipment 92,955 88,063 368,649 346,064 Intangible asset and MSR amortization 36,701 41,387 117,439 114,671 Federal deposit insurance (3,720) 7,662 41,229 57,669 Other 191,321 161,827 674,601 625,889 ---------------------------------------------------- Total noninterest expense before special charges 586,490 565,901 2,311,850 2,209,350 Special charges 259,926 259,926 ---------------------------------------------------- Total noninterest expense 586,490 825,827 2,311,850 2,469,276 ---------------------------------------------------- Income (loss) before income taxes 419,823 (251,293) 1,527,551 627,012 Applicable income taxes (benefits) 147,920 (75,116) 535,325 218,952 ---------------------------------------------------- Net income (loss) $271,903 $(176,177) $992,226 $408,060 ---------------------------------------------------- EARNINGS (LOSS) PER COMMON SHARE Primary $.80 $(.52) $2.90 $1.19 Fully diluted .79 (.52) 2.87 1.19 CASH DIVIDENDS DECLARED PER COMMON SHARE .37 .35 1.42 1.40 AVERAGE COMMON SHARES OUTSTANDING Primary 334,428 336,954 340,246 339,134 Fully diluted 338,707 336,954 345,354 344,922 ==================================================================================================================================
-more- PNC BANK CORP. AND SUBSIDIARIES Page 7 Details of Net Interest Income
Three months ended Year ended Taxable-equivalent basis December 31 December 31 --------------------------------------------------- In thousands 1996 1995 1996 1995 - ----------------------------------------------------------------------------------------------------------------------------------- Interest income/expense before financial derivatives Interest income $1,205,319 $1,318,461 $4,856,671 $5,224,103 Loan fees 19,960 17,965 93,313 82,023 Taxable-equivalent adjustment 7,903 11,077 34,308 46,642 --------------------------------------------------- Total interest income 1,233,182 1,347,503 4,984,292 5,352,768 Interest expense 606,559 739,819 2,493,867 2,979,295 --------------------------------------------------- Net interest income before financial derivatives 626,623 607,684 2,490,425 2,373,473 Effect of financial derivatives on Interest income (1,654) (36,424) (11,249) (156,695) Interest expense (668) 7,435 567 28,267 --------------------------------------------------- Total effect of financial derivatives (986) (43,859) (11,816) (184,962) --------------------------------------------------- Net interest income $625,637 $563,825 $2,478,609 $2,188,511 ===================================================================================================================================
Three months ended Taxable-equivalent basis December 31 September 30 June 30 March 31 December 31 In thousands 1996 1996 1996 1996 1995 - --------------------------------------------------------------------------------------------------------------------------------- Interest income/expense before financial derivatives Interest income $1,205,319 $1,190,223 $1,224,852 $1,236,277 $1,318,461 Loan fees 19,960 28,068 20,828 24,457 17,965 Taxable-equivalent adjustment 7,903 8,008 9,146 9,251 11,077 ----------------------------------------------------------------- Total interest income 1,233,182 1,226,299 1,254,826 1,269,985 1,347,503 Interest expense 606,559 607,882 632,229 647,197 739,819 ----------------------------------------------------------------- Net interest income before financial derivatives 626,623 618,417 622,597 622,788 607,684 Effect of financial derivatives on Interest income (1,654) (1,661) (2,538) (5,396) (36,424) Interest expense (668) (182) 133 1,284 7,435 ----------------------------------------------------------------- Total effect of financial derivatives (986) (1,479) (2,671) (6,680) (43,859) ----------------------------------------------------------------- Net interest income $625,637 $616,938 $619,926 $616,108 $563,825 =================================================================================================================================
-more- PNC BANK CORP. AND SUBSIDIARIES Page 8 Details of Net Interest Margin
Three months ended Year ended December 31 December 31 --------------------------------------------- Taxable-equivalent basis 1996 1995 1996 1995 - ---------------------------------------------------------------------------------------------------------------------------------- Rates earned/paid before financial derivatives Book-basis yield on earning assets 7.55% 7.50% 7.50% 7.51% Effect of loan fees .12 .10 .14 .12 Taxable-equivalent adjustment .05 .06 .05 .07 --------------------------------------------- Taxable-equivalent yield on earning assets 7.72 7.66 7.69 7.70 Rate on interest-bearing liabilities 4.62 4.98 4.66 5.06 --------------------------------------------- Interest rate spread 3.10 2.68 3.03 2.64 Noninterest-bearing sources .83 .79 .81 .78 --------------------------------------------- Net interest margin before financial derivatives 3.93 3.47 3.84 3.42 Effect of financial derivatives on Interest income (.01) (.20) (.01) (.23) Interest expense .05 .04 --------------------------------------------- Total effect of financial derivatives (.01) (.25) (.01) (.27) --------------------------------------------- Net interest margin 3.92% 3.22% 3.83% 3.15% ==================================================================================================================================
Three months ended December 31 September 30 June 30 March 31 December 31 Taxable-equivalent basis 1996 1996 1996 1996 1995 - ----------------------------------------------------------------------------------------------------------------------------- Rates earned/paid before financial derivatives Book-basis yield on earning assets 7.55% 7.43% 7.37% 7.51% 7.50% Effect of loan fees .12 .17 .12 .15 .10 Taxable-equivalent adjustment .05 .05 .06 .06 .06 ---------------------------------------------------------------- Taxable-equivalent yield on earning assets 7.72 7.65 7.55 7.72 7.66 Rate on interest-bearing liabilities 4.62 4.60 4.59 4.74 4.98 ---------------------------------------------------------------- Interest rate spread 3.10 3.05 2.96 2.98 2.68 Noninterest-bearing sources .83 .81 .78 .79 .79 ---------------------------------------------------------------- Net interest margin before financial derivatives 3.93 3.86 3.74 3.77 3.47 Effect of financial derivatives on Interest income (.01) (.01) (.02) (.03) (.20) Interest expense .01 .05 ---------------------------------------------------------------- Total effect of financial derivatives (.01) (.01) (.02) (.04) (.25) ---------------------------------------------------------------- Net interest margin 3.92% 3.85% 3.72% 3.73% 3.22% =============================================================================================================================
-more- PNC BANK CORP. AND SUBSIDIARIES Page 9 Details of Noninterest Income
Three months ended Year ended December 31 December 31 ---------------------------------------------- In thousands 1996 1995 1996 1995 - -------------------------------------------------------------------------------------------------------------------------------- Asset management and trust Asset management services $27,828 $18,890 $103,724 $73,028 Mutual fund services 46,198 42,349 178,955 154,352 Trust 55,022 50,285 214,060 192,780 ---------------------------------------------- Total asset management and trust 129,048 111,524 496,739 420,160 Service fees Deposit 77,571 62,843 289,596 240,278 Brokerage 12,392 11,587 53,810 41,353 Consumer 19,246 14,821 63,676 53,423 Corporate finance 16,449 14,592 65,615 53,130 Credit card and merchant services 14,903 10,888 29,759 47,189 Insurance 8,706 6,599 30,062 24,831 Other 8,778 9,473 33,840 34,445 ---------------------------------------------- Total service fees 158,045 130,803 566,358 494,649 Mortgage banking Servicing 30,064 28,488 118,906 119,601 Marketing 8,022 9,893 23,638 33,295 Sale of servicing 9,446 1,046 11,128 33,721 ---------------------------------------------- Total mortgage banking 47,532 39,427 153,672 186,617 Other 46,399 30,490 156,207 138,687 ---------------------------------------------- Total noninterest income before net securities gains (losses) 381,024 312,244 1,372,976 1,240,113 Net securities gains (losses) 7,555 (288,958) 22,124 (279,694) ---------------------------------------------- Total $388,579 $23,286 $1,395,100 $960,419 ================================================================================================================================
Three months ended December 31 September 30 June 30 March 31 December 31 In thousands 1996 1996 1996 1996 1995 - ---------------------------------------------------------------------------------------------------------------------------------- Asset management and trust Asset management services $27,828 $25,963 $24,284 $25,649 $18,890 Mutual fund services 46,198 43,100 45,671 43,986 42,349 Trust 55,022 53,236 54,560 51,242 50,285 -------------------------------------------------------------- Total asset management and trust 129,048 122,299 124,515 120,877 111,524 Service fees Deposit 77,571 74,104 72,403 65,518 62,843 Brokerage 12,392 12,432 15,344 13,642 11,587 Consumer 19,246 16,602 14,370 13,458 14,821 Corporate finance 16,449 19,645 16,106 13,415 14,592 Credit card and merchant services 14,903 5,656 282 8,918 10,888 Insurance 8,706 7,712 6,872 6,772 6,599 Other 8,778 8,295 8,221 8,546 9,473 -------------------------------------------------------------- Total service fees 158,045 144,446 133,598 130,269 130,803 Mortgage banking Servicing 30,064 29,361 30,443 29,038 28,488 Marketing 8,022 4,339 4,683 6,594 9,893 Sale of servicing 9,446 700 632 350 1,046 -------------------------------------------------------------- Total mortgage banking 47,532 34,400 35,758 35,982 39,427 Other 46,399 39,507 38,810 31,491 30,490 -------------------------------------------------------------- Total noninterest income before net securities gains (losses) 381,024 340,652 332,681 318,619 312,244 Net securities gains (losses) 7,555 7,722 3,904 2,943 (288,958) -------------------------------------------------------------- Total $388,579 $348,374 $336,585 $321,562 $23,286 ==================================================================================================================================
-more- PNC BANK CORP. AND SUBSIDIARIES Page 10 Details of Noninterest Expense
Three months ended Year ended December 31 December 31 -------------------------------------------------- In thousands 1996 1995 1996 1995 - ------------------------------------------------------------------------------------------------------------------------------- Compensation $234,690 $221,645 $929,626 $863,151 Employee benefits 34,543 45,317 180,306 201,906 -------------------------------------------------- Total staff expense 269,233 266,962 1,109,932 1,065,057 Net occupancy 49,681 42,424 196,975 180,398 Equipment 43,274 45,639 171,674 165,666 Intangible asset and MSR amortization 36,701 41,387 117,439 114,671 Taxes other than income 12,360 13,796 53,353 52,857 Federal deposit insurance (3,720) 7,662 41,229 57,669 Other 178,961 148,031 621,248 573,032 -------------------------------------------------- Total noninterest expense before special charges 586,490 565,901 2,311,850 2,209,350 Special charges 259,926 259,926 -------------------------------------------------- Total $586,490 $825,827 $2,311,850 $2,469,276 ===============================================================================================================================
Three months ended December 31 September 30 June 30 March 31 December 31 In thousands 1996 1996 1996 1996 1995 - ------------------------------------------------------------------------------------------------------------------------------- Compensation $234,690 $232,161 $234,542 $228,233 $221,645 Employee benefits 34,543 45,600 49,739 50,424 45,317 ------------------------------------------------------------------- Total staff expense 269,233 277,761 284,281 278,657 266,962 Net occupancy 49,681 47,530 49,192 50,572 42,424 Equipment 43,274 42,699 42,990 42,711 45,639 Intangible asset and MSR amortization 36,701 29,012 28,062 23,664 41,387 Taxes other than income 12,360 12,972 13,391 14,630 13,796 Federal deposit insurance (3,720) 38,324 3,435 3,190 7,662 Other 178,961 147,094 142,971 152,222 148,031 ------------------------------------------------------------------- Total noninterest expense before special charges 586,490 595,392 564,322 565,646 565,901 Special charges 259,926 ------------------------------------------------------------------- Total $586,490 $595,392 $564,322 $565,646 $825,827 ===============================================================================================================================
-more- PNC BANK CORP. AND SUBSIDIARIES Page 11 Consolidated Balance Sheet
December 31 December 31 Dollars in millions, except par values 1996 1995 - -------------------------------------------------------------------------------------------------------- ASSETS Cash and due from banks $4,016 $3,679 Short-term investments 774 1,611 Loans held for sale 941 659 Securities available for sale 11,917 15,839 Loans, net of unearned income of $385 and $403 51,798 48,653 Allowance for credit losses (1,166) (1,259) -------------------------- Net loans 50,632 47,394 Goodwill and other intangibles 1,309 997 Mortgage servicing rights 313 268 Other 3,358 2,957 -------------------------- Total assets $73,260 $73,404 -------------------------- LIABILITIES Deposits Noninterest-bearing $10,937 $10,707 Interest-bearing 34,739 36,192 -------------------------- Total deposits 45,676 46,899 Borrowed funds Federal funds purchased 2,797 3,817 Repurchase agreements 645 2,851 Commercial paper 976 753 Other 3,442 1,244 -------------------------- Total borrowed funds 7,860 8,665 Notes and debentures 11,744 10,398 Other 1,761 1,674 -------------------------- Total liabilities 67,041 67,636 Mandatorily Redeemable Capital Securities of Subsidiary Trust 350 SHAREHOLDERS' EQUITY Preferred stock - $1 par value Authorized: 17,452,764 and 17,529,342 shares Issued and outstanding: 6,789,964 and 848,784 shares 7 1 Common stock - $5 par value Authorized: 450,000,000 shares Issued: 345,154,238 and 340,863,348 shares 1,726 1,704 Capital surplus 939 545 Retained earnings 4,075 3,571 Deferred benefit expense (60) (79) Net unrealized securities gains (losses) (67) 26 Common stock held in treasury at cost: 21,036,195 shares (751) -------------------------- Total shareholders' equity 5,869 5,768 -------------------------- Total liabilities and shareholders' equity $73,260 $73,404 ========================================================================================================
-more- PNC BANK CORP. AND SUBSIDIARIES Page 12 Condensed Consolidated Average Balance Sheet
Three months ended Year ended December 31 December 31 ------------------------------------------------- In millions 1996 1995 1996 1995 - --------------------------------------------------------------------------------------------------------------------------------- ASSETS Interest-earning assets Securities $11,569 $19,450 $13,550 $22,140 Loans, net of unearned income 49,973 48,304 49,116 45,624 Other interest-earning assets 1,780 1,927 2,059 1,771 ------------------------------------------------- Total interest-earning assets 63,322 69,681 64,725 69,535 Other 6,214 6,026 6,082 5,596 ------------------------------------------------- Total assets $69,536 $75,707 $70,807 $75,131 ================================================= LIABILITIES Interest-bearing liabilities Deposits $34,829 $36,577 $35,217 $35,718 Borrowed funds 5,493 11,511 6,654 13,386 Notes and debentures 11,617 10,637 11,660 9,790 ------------------------------------------------- Total interest-bearing liabilities 51,939 58,725 53,531 58,894 Noninterest-bearing deposits 10,003 9,639 9,900 9,112 Other 1,501 1,450 1,529 1,341 ------------------------------------------------- Total liabilities 63,443 69,814 64,960 69,347 Mandatorily Redeemable Capital Securities of Subsidiary Trust 76 19 SHAREHOLDERS' EQUITY 6,017 5,893 5,828 5,784 ------------------------------------------------- Total liabilities and shareholders' equity $69,536 $75,707 $70,807 $75,131 =================================================================================================================================
Three months ended December 31 September 30 June 30 March 31 December 31 In millions 1996 1996 1996 1996 1995 - ----------------------------------------------------------------------------------------------------------------------------------- ASSETS Interest-earning assets Securities $11,569 $13,097 $14,740 $14,818 $19,450 Loans, net of unearned income Consumer 13,767 13,054 13,243 13,370 13,188 Residential mortgage 12,361 12,325 11,883 11,619 11,462 Commercial 17,584 17,049 17,190 16,806 16,590 Commercial real estate 4,630 4,712 4,831 4,885 5,029 Other 1,631 1,573 2,044 1,945 2,035 ----------------------------------------------------------------- Total loans, net of unearned income 49,973 48,713 49,191 48,625 48,304 Other interest-earning assets 1,780 1,735 2,425 2,262 1,927 ----------------------------------------------------------------- Total interest-earning assets 63,322 63,545 66,356 65,705 69,681 Other 6,214 6,001 6,084 6,028 6,026 ----------------------------------------------------------------- Total assets $69,536 $69,546 $72,440 $71,733 $75,707 ================================================================= LIABILITIES Interest-bearing liabilities Deposits $34,829 $34,794 $35,383 $35,872 $36,577 Borrowed funds 5,493 5,510 7,816 7,823 11,511 Notes and debentures 11,617 12,048 11,904 11,068 10,637 ----------------------------------------------------------------- Total interest-bearing liabilities 51,939 52,352 55,103 54,763 58,725 Noninterest-bearing deposits 10,003 9,922 9,996 9,681 9,639 Other 1,501 1,506 1,574 1,525 1,450 ----------------------------------------------------------------- Total liabilities 63,443 63,780 66,673 65,969 69,814 Mandatorily Redeemable Capital Securities of Subsidiary Trust 76 SHAREHOLDERS' EQUITY 6,017 5,766 5,767 5,764 5,893 ----------------------------------------------------------------- Total liabilities and shareholders' equity $69,536 $69,546 $72,440 $71,733 $75,707 ===================================================================================================================================
-more- PNC BANK CORP. AND SUBSIDIARIES Page 13 Asset Quality Data
ALLOWANCE FOR CREDIT LOSSES Three months ended December 31 September 30 June 30 March 31 December 31 In millions 1996 1996 1996 1996 1995 - -------------------------------------------------------------------------------------------------------------------------------- Beginning balance $1,152 $1,189 $1,225 $1,259 $1,285 Charge-offs Consumer (50) (38) (38) (39) (36) Commercial (17) (8) (17) (10) (29) Other (12) (9) (3) (6) (12) ------------------------------------------------------------------- Total charge-offs (79) (55) (58) (55) (77) Recoveries Consumer 10 10 12 9 9 Commercial 7 6 6 9 8 Other 5 2 4 3 5 ------------------------------------------------------------------- Total recoveries 22 18 22 21 22 ------------------------------------------------------------------- Net charge-offs (57) (37) (36) (34) (55) Provision for credit losses 1 Acquisitions 71 28 ------------------------------------------------------------------- Ending balance $1,166 $1,152 $1,189 $1,225 $1,259 ================================================================================================================================
NONPERFORMING ASSETS Period ended December 31 September 30 June 30 March 31 December 31 In millions 1996 1996 1996 1996 1995 - -------------------------------------------------------------------------------------------------------------------------------- Nonaccrual loans Commercial $156 $176 $169 $141 $118 Commercial real estate Commercial mortgage 109 118 127 116 108 Real estate project 25 21 30 40 45 Consumer 6 5 6 7 10 Residential mortgage 51 54 46 51 54 ------------------------------------------------------------------- Total nonaccrual loans 347 374 378 355 335 Restructured loans 2 3 3 17 23 ------------------------------------------------------------------- Total nonperforming loans 349 377 381 372 358 Foreclosed assets Commercial real estate 71 79 85 98 105 Residential 22 22 21 26 24 Other 17 23 22 44 49 ------------------------------------------------------------------- Total foreclosed assets 110 124 128 168 178 ------------------------------------------------------------------- Total nonperforming assets $459 $501 $509 $540 $536 ================================================================================================================================
LOAN PORTFOLIO Period ended December 31 September 30 June 30 March 31 December 31 In millions 1996 1996 1996 1996 1995 - -------------------------------------------------------------------------------------------------------------------------------- Consumer $14,868 $13,341 $13,178 $13,566 $13,539 Residential mortgage 12,703 12,642 12,139 11,620 11,689 Commercial 18,062 17,484 17,296 16,950 16,812 Commercial real estate Commercial mortgage 2,467 2,544 2,644 2,737 2,775 Real estate project 2,157 2,090 2,193 2,137 2,139 Other 1,926 1,689 2,131 2,170 2,102 ------------------------------------------------------------------- Total loans 52,183 49,790 49,581 49,180 49,056 Unearned income (385) (347) (358) (380) (403) ------------------------------------------------------------------- Loans, net of unearned income $51,798 $49,443 $49,223 $48,800 $48,653 ================================================================================================================================