Exhibit 99.1

CONTACTS:

MEDIA:

Brian E. Goerke

(412) 762-4550

corporate.communications@pnc.com

INVESTORS:

William H. Callihan

(412) 762-8257

investor.relations@pnc.com

PNC REPORTS RECORD NET INCOME OF $381 MILLION

– Earnings per share jump 31 percent on strong revenue growth –

PITTSBURGH, July 19, 2006 – The PNC Financial Services Group, Inc. (NYSE: PNC) today reported net income of $381 million, or $1.28 per diluted share, for the second quarter of 2006, compared with net income of $282 million, or 98 cents per diluted share, in the second quarter of 2005 and net income of $354 million, or $1.19 per diluted share, in the prior quarter. For the first six months of 2006, the company earned net income of $735 million, or $2.47 per diluted share, compared with net income of $636 million, or $2.22 per diluted share, for the first six months of 2005, an increase of 16 percent and 11 percent respectively.

“PNC delivered a great quarter,” said Chairman and Chief Executive Officer James E. Rohr. “Year-over-year revenue growth significantly outpaced expense growth as we delivered on our goal of positive operating leverage. Our business mix, disciplined expense control and risk management principles position us well for what we believe will continue to be a challenging interest rate environment.”

HIGHLIGHTS

- more -

PNC Reports Record Net Income of $381 Million – Page 2

Return on average common shareholders’ equity was 17.49 percent for the quarter, compared with 14.34 percent in the year-earlier quarter and 16.67 percent in the first quarter of 2006. Return on average common shareholders’ equity for the six months ended June 30, 2006 was 17.08 percent, compared with 16.68 percent for the six months ended June 30, 2005.

The Consolidated Financial Highlights accompanying this news release include a reconciliation of total earnings for all business segments to consolidated net income and a reconciliation of taxable-equivalent net interest income to net interest income as reported under generally accepted accounting principles (GAAP).

BUSINESS SEGMENT RESULTS

Retail Banking

Retail Banking earned $185 million for the quarter, compared with $162 million for the year-ago quarter and $190 million for the first quarter of 2006. Compared with the prior year second quarter, revenue increased 10 percent, while noninterest expense increased only 4 percent, driving a 14 percent increase in earnings. Earnings growth compared with the second quarter of 2005 was driven by higher taxable-equivalent net interest income fueled by continued customer and balance sheet growth along with improved fee income and a sustained focus on expense management. The earnings decrease compared with the first quarter of 2006 was the result of a higher provision for credit losses and noninterest expenses due to investments in the franchise. Asset quality remained very strong.

- more -

PNC Reports Record Net Income of $381 Million – Page 3

Retail Banking highlights:

- more -

PNC Reports Record Net Income of $381 Million – Page 4

Corporate & Institutional Banking

Corporate & Institutional Banking earned $116 million in the second quarter, compared with $144 million in the second quarter of the prior year and $105 million in the first quarter of 2006. The decrease when compared with the second quarter of 2005 was largely the result of an increase in the provision for credit losses, primarily due to a $53 million loan recovery that benefited the prior year quarter. Revenue increased $61 million over the comparable quarter of 2005, driven by a $71 million increase in noninterest income, while noninterest expense increased $37 million. Harris Williams, which was acquired in the fourth quarter of 2005, had another strong performance and was a significant contributor to both revenue and noninterest expense growth when compared with the prior year period.

The earnings increase compared with the first quarter of 2006 was attributable to positive operating leverage due to higher revenues from Harris Williams, treasury management and other noninterest income that more than offset an increase in noninterest expense.

Corporate & Institutional Banking highlights:

BlackRock

BlackRock earned $63 million in the second quarter, an increase of $10 million, or 19 percent, compared with the second quarter of 2005 and a decrease of $8 million, or 11 percent, compared with the first quarter of 2006. The increase compared with the prior year second quarter was largely the result of growth in investment advisory and administrative fees. The decrease compared with the linked quarter was related to higher integration costs in anticipation of the pending Merrill Lynch Investment Managers transaction.

- more - -

PNC Reports Record Net Income of $381 Million – Page 5

Assets under management at BlackRock were $464 billion at June 30, 2006, compared with $414 billion at June 30, 2005, and $463 billion at March 31, 2006.

PNC owns approximately 69 percent of BlackRock, and BlackRock is consolidated into PNC’s financial statements. Accordingly, approximately 31 percent of BlackRock’s earnings are recognized as minority interest expense in the Corporation’s Consolidated Income Statement and are reflected on a separate line in the Business Earnings Summary table in the Consolidated Financial Highlights.

PFPC

PFPC earned $26 million for the quarter, compared with $24 million in the year-earlier period and $27 million in the linked quarter. The earnings increase from the second quarter of 2005 was a result of continued emphasis on cost reductions and process efficiencies as competitive factors impacted revenue growth. Second quarter 2006 earnings decreased compared with the first quarter of 2006 due to the impact of fee concessions made earlier in the year and a client deconversion, which were only partially offset by increases in existing client business and expense reductions.

PFPC provided accounting/administration services for $743 billion of net fund assets and provided custody services for $389 billion of fund assets as of June 30, 2006, compared with $766 billion and $462 billion respectively on June 30, 2005 and $750 billion and $383 billion respectively at March 31, 2006. Total fund assets serviced by PFPC were $1.9 trillion at June 30, 2006, which was consistent with the level at both June 30, 2005 and March 31, 2006.

Other

The “Other” category includes asset and liability management activities, related net securities gains or losses, certain trading activities, equity management activities, differences between business segment performance reporting and financial statement (GAAP) reporting, corporate overhead, and intercompany eliminations. PNC recorded earnings of $10 million in Other for the quarter largely as a result of equity management gains. Other for the prior year quarter included net securities losses related to a repositioning of the securities portfolio and integration costs associated with the Riggs acquisition.

- more -

PNC Reports Record Net Income of $381 Million – Page 6

CONSOLIDATED REVENUE REVIEW

Taxable-equivalent net interest income totaled $562 million for the quarter, an increase of 4 percent compared with $541 million in the year-earlier period and essentially unchanged compared with $563 million in the first quarter of 2006. The net interest margin in the second quarter of 2006 was 2.90 percent, compared with 3.00 percent in the year-earlier period and 2.95 percent in the first quarter of 2006. The increase in net interest income over the same quarter in the prior year was largely the result of higher income associated with increased interest-earning assets, partially offset by the higher cost of deposits and borrowings. Net interest income remained essentially unchanged and net interest margin declined slightly compared with the linked quarter as a result of higher short-term rates and the flat yield curve.

Noninterest income totaled $1.230 billion for the second quarter of 2006, a 32 percent increase compared with $929 million for the same quarter in the prior year, and a 4 percent increase compared with $1.185 billion in the first quarter of 2006. The increase compared with the second quarter of 2005 was due to increases in asset management, equity management, corporate services, trading and consumer services. The increase compared with the first quarter 2006 was primarily the result of higher equity management gains and corporate services revenue, partly offset by a decrease in asset management revenue related to higher BlackRock performance fees in the first quarter of 2006 and lower fund servicing revenues.

CONSOLIDATED EXPENSE REVIEW

Disciplined expense control held noninterest expense to $1.149 billion for the second quarter of 2006, a 10 percent increase compared with $1.040 billion in the second quarter of 2005. Noninterest expense decreased 2 percent compared with $1.171 billion in the first quarter of 2006. The increase compared with the same quarter of the prior year was driven primarily by performance fee-related compensation expense commensurate with growth at BlackRock and the impact of acquisitions, partially offset by the effects of the One PNC initiative. The decrease from the linked quarter was driven by a decline in performance fee-related expenses at BlackRock.

CONSOLIDATED BALANCE SHEET REVIEW

Total assets were $94.9 billion at June 30, 2006, a 5 percent increase compared with $90.8 billion at June 30, 2005, and a 2 percent increase compared with March 31, 2006. The increase compared with June 30, 2005 reflected increases in loan balances and securities.

- more -

PNC Reports Record Net Income of $381 Million – Page 7

Average loans of $49.9 billion for the quarter increased $2.8 billion, or 6 percent, over the year-earlier period and $790 million, or 2 percent, over the linked period. The increase over the second quarter of 2005 was driven by continued improvements in loan demand and targeted sales efforts across PNC’s banking business, partially offset by the impact of deconsolidating the assets of Market Street Funding in October 2005. The increase over the linked quarter was primarily the result of an increase in commercial loans.

Average securities for the second quarter of 2006 were $21.4 billion, an increase of $2.5 billion, or 13 percent, compared with the second quarter of 2005, and average securities increased $510 million compared with the linked quarter. The company continues to invest through the interest rate cycle.

Average deposits of $62.6 billion increased $6.0 billion, or 11 percent, compared with the same quarter in the prior year, and increased $1.7 billion, or 3 percent, compared with the linked quarter. Average deposits increased largely as a result of the increases in Eurodollar deposits, certificates of deposit, and money market deposits, in part due to the expansion into the greater Washington, D.C. area, partly offset by decreased savings deposits. Demand and other noninterest-bearing deposits increased $939 million, or 7 percent year over year.

PNC’s Tier 1 risk-based capital ratio was an estimated 8.8 percent at June 30, 2006, compared with 8.3 percent at June 30, 2005 and 8.8 percent at March 31, 2006.

The company repurchased 1.8 million common shares during the second quarter under its current common stock repurchase program. The board has authorized a repurchase of up to 20 million shares of common stock, of which approximately 17.8 million remained at the end of the second quarter. Management expects to continue to be active in share repurchases under current market conditions.

ASSET QUALITY REVIEW

Overall asset quality remained very strong as the company continued to focus on lending that meets prudent risk-reward parameters. The provision for credit losses for the quarter was $44 million, compared with a net credit of $27 million in the second quarter of the prior year and a provision of $22 million in the first quarter of 2006. The increase in the provision compared with the second quarter of 2005 was primarily attributable to a $53 million loan recovery in the second quarter of the prior year. The increase compared with the linked quarter was largely a result of increased loans.

Net charge-offs were $30 million, or .24 percent of average loans, for the quarter, compared with net recoveries of $38 million in the second quarter of 2005 and net charge-offs of $18 million in the linked quarter. The $53 million loan recovery referred to above was reflected in the net recoveries for the second quarter of 2005.

- more -

PNC Reports Record Net Income of $381 Million – Page 8

CONFERENCE CALL AND SUPPLEMENTAL FINANCIAL INFORMATION

PNC Chairman and Chief Executive Officer James E. Rohr and Chief Financial Officer Richard J. Johnson will hold a conference call for investors today at 11 a.m. Eastern Time regarding the topics addressed in this release and the related financial supplement. Investors should call five to 10 minutes before the start of the conference call at (800) 990-2718 or (706) 643-0187 (international). A taped replay of the call will be available for one week at (800) 642-1687 or (706) 645-9291 (international); enter conference ID 2291954. A slide presentation to accompany the conference call remarks may be found at www.pnc.com under “About PNC – Investor Relations – Investor Events.”

In addition, Internet access to the call (listen only) and to PNC’s second quarter earnings release and supplemental financial information will be available at www.pnc.com under “About PNC – Investor Relations – Investor Events.” A replay of the webcast will be available on PNC’s Web site for 30 days.

The PNC Financial Services Group, Inc., (www.pnc.com) is one of the nation’s largest diversified financial services organizations providing retail and business banking; specialized services for corporations and government entities, including corporate banking, real estate finance and asset-based lending; wealth management; asset management and global fund services.

- more -

PNC Reports Record Net Income of $381 Million – Page 9

CAUTIONARY STATEMENT REGARDING FORWARD-LOOKING INFORMATION

We make statements in this news release and in the conference call regarding this news release, and we may from time to time make other statements, regarding our outlook or expectations for earnings, revenues, expenses and/or other matters regarding or affecting PNC that are forward-looking statements within the meaning of the Private Securities Litigation Reform Act. Forward-looking statements are typically identified by words such as “believe,” “expect,” “anticipate,” “intend,” “outlook,” “estimate,” “forecast,” “project” and other similar words and expressions.

Forward-looking statements are subject to numerous assumptions, risks and uncertainties, which change over time. Forward-looking statements speak only as of the date they are made. We do not assume any duty and do not undertake to update our forward-looking statements. Actual results or future events could differ, possibly materially, from those that we anticipated in our forward-looking statements, and future results could differ materially from our historical performance.

Our forward-looking statements are subject to the following principal risks and uncertainties. We provide greater detail regarding these factors in our Form 10-K for the year ended December 31, 2005, and our current year Form 10-Q, including in the Risk Factors and Risk Management sections. Our forward-looking statements may also be subject to other risks and uncertainties, including those that we may discuss elsewhere in this news release or in our filings with the SEC, accessible on the SEC’s website at www.sec.gov and on or through our corporate website at www.pnc.com, under “About PNC – Investor Relations.”

Also, risks and uncertainties that could affect the results anticipated in forward-looking statements or from historical performance relating to our majority-owned subsidiary BlackRock, Inc. are discussed in more detail in BlackRock’s 2005 Form 10-K, including in the Risk Factors section, and in BlackRock’s other filings with the SEC, accessible on the SEC’s website and on or through BlackRock’s website at www.blackrock.com.

[TABULAR MATERIAL FOLLOWS]

Consolidated Financial Highlights

Certain prior period amounts included in these Consolidated Financial Highlights have been reclassified to conform with the current period presentation.

The following is a reconciliation of net interest income as reported in the Consolidated Income Statement to net interest income on a taxable-equivalent basis (in millions):

Consolidated Financial Highlights