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 EARNS $505 MILLION AND $1.45 DILUTED EPS IN SECOND QUARTER

Net income up 19 percent compared with second quarter 2007

PITTSBURGH, July 17, 2008 – The PNC Financial Services Group, Inc. (NYSE: PNC) today reported net income of $505 million, or $1.45 per diluted share, for the second quarter of 2008 compared with net income of $423 million, or $1.22 per diluted share, for the second quarter of 2007 and net income of $377 million, or $1.09 per diluted share, for the first quarter of 2008.

For the first six months of 2008, the company earned net income of $882 million, or $2.54 per diluted share, compared with net income of $882 million, or $2.67 per diluted share, for the first six months of 2007.

“PNC reported strong second quarter results, growing revenue faster than expenses while continuing to manage credit risk effectively,” said James E. Rohr, chairman and chief executive officer. “We remained focused on our customer growth strategies in this challenging environment. As these economic conditions continue, we believe our solid balance sheet, strong capital and liquidity, and diverse revenue mix position us well for the future and allow us to invest in our businesses and grow customer relationships.”

HIGHLIGHTS

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PNC Earns $505 Million and $1.45 Diluted EPS in Second Quarter – Page 2

CONSOLIDATED REVENUE REVIEW

Net interest income totaled $977 million for the quarter, an increase of 32 percent compared with $738 million for second quarter 2007 and an increase of 14 percent compared with $854 million for the linked quarter. The net interest margin in the second quarter of 2008 increased to 3.47 percent compared with 3.03 percent in the second quarter of 2007 and 3.09 percent in the first quarter of 2008. The increase in net interest income and the margin for both periods of comparison was primarily due to the benefit of declining interest rates on PNC’s liability sensitive balance sheet that resulted in lower funding costs. Acquisitions also contributed to the growth in net interest income in both comparisons.

Noninterest income totaled $1.062 billion for the second quarter of 2008 compared with $975 million for the same quarter of 2007 and $967 million for the first quarter of 2008. Noninterest income increased $95 million, or 10 percent, compared with the linked quarter due to higher corporate service fees, service charges on deposits and fund servicing fees as well as consumer service fees apart from the impact of the sale of J.J.B. Hilliard, W. L. Lyons, LLC on March 31, 2008. Noninterest income for the second quarter of 2008 also included a net gain of $21 million on valuations of commercial mortgage loans and commitments held for sale, net of hedges, compared with a net loss of $177 million in the first quarter, trading income of $53 million primarily driven by customer trading activity compared with a loss of $76 million in the linked quarter mainly due to proprietary trading activity, and a gain of $80 million related to PNC’s BlackRock LTIP shares obligation compared with a $40 million gain in the linked quarter. First quarter 2008 noninterest income included a gain of $114 million on the sale of Hilliard Lyons, a gain of $95 million on the partial share redemption of PNC’s Visa ownership, and net gains on securities transactions of $41 million.

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PNC Earns $505 Million and $1.45 Diluted EPS in Second Quarter – Page 3

Noninterest income increased $87 million, or 9 percent, compared with the prior year second quarter. Fund servicing, asset management and corporate service fees as well as consumer service fees apart from the impact of the sale of Hilliard Lyons grew in the year over year comparison. The comparison was also impacted by the second quarter 2008 gain related to PNC’s BlackRock LTIP shares obligation and higher trading results.

CONSOLIDATED EXPENSE REVIEW

Noninterest expense for the second quarter of 2008 was $1.115 billion compared with $1.040 billion in the prior year second quarter and $1.042 billion for the first quarter of 2008. The 7 percent increase in the linked quarter comparison was primarily due to the comparative impact of the first quarter 2008 reversal of $43 million of an indemnification obligation related to certain Visa litigation recorded in the fourth quarter of 2007 and the acquisition of Sterling Financial Corporation on April 4, 2008, partially offset by the impact of the sale of Hilliard Lyons. The 7 percent increase in noninterest expense compared with the second quarter of 2007 primarily resulted from investments in growth initiatives, including acquisitions, partially offset by the sale of Hilliard Lyons.

CONSOLIDATED BALANCE SHEET REVIEW

Total assets were $142.8 billion at June 30, 2008 compared with $125.7 billion at June 30, 2007 and $140.0 billion at March 31, 2008. The increase compared with June 30, 2007 was primarily due to growth in loans and securities along with the impact of acquisitions. The increase compared with the linked quarter end was attributable to acquisitions and higher securities partially offset by lower trading assets.

Average loans were $72.8 billion for the quarter and increased $9.3 billion, or 15 percent, compared with the year-earlier second quarter and $3.5 billion, or 5 percent, compared with the first quarter of 2008. The increase in average loans compared with the second quarter of 2007 was primarily a result of acquisitions and higher commercial loans. The increase compared with the linked quarter was mainly due to acquisitions, growth in commercial loans and the impact of the transfer of education loans previously held for sale to the loan portfolio during the first quarter of 2008.

Average securities available for sale for the second quarter of 2008 were $31.4 billion, an increase of $5.0 billion, or 19 percent, compared with the second quarter of 2007 and an increase of $1.5 billion, or 5 percent, compared with the first quarter of 2008. The increase in securities over the prior year second quarter was primarily due to the addition of commercial mortgage-backed and residential mortgage-backed securities as part of the company’s balance sheet management activities. Securities available for sale increased by $2.5 billion at June 30, 2008 compared with March 31, 2008 primarily due to net securities purchases.

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PNC Earns $505 Million and $1.45 Diluted EPS in Second Quarter – Page 4

Average loans held for sale were $2.4 billion for the second quarter of 2008, a decrease of $.3 billion compared with the second quarter of 2007 and a decrease of $1.3 billion compared with the first quarter of 2008. The linked quarter decline was primarily due to the transfer of approximately $1.8 billion of education loans previously held for sale to the loan portfolio during the first quarter of 2008 and the securitization and sale of $.5 billion of commercial mortgage loans held for sale. The portfolio of commercial mortgage loans held for sale intended for securitization was $1.6 billion at June 30, 2008 compared with $2.1 billion at March 31, 2008.

Average deposits of $84.0 billion grew $5.8 billion, or 7 percent, compared with the second quarter of 2007 and $2.4 billion, or 3 percent, compared with the linked quarter. Average deposits increased from the prior year second quarter as a result of acquisitions and growth in money market and time deposits. In the linked quarter comparison, average deposits increased due to the Sterling acquisition and growth in retail money market deposits somewhat offset by a decrease in time deposits in foreign offices and a decline in legacy retail certificates of deposit.

Average borrowed funds for the second quarter of 2008 were $31.1 billion, an increase of $9.8 billion compared with the second quarter of 2007 and a decrease of $1.0 billion compared with the first quarter of 2008. The increase over second quarter 2007 was due to new borrowings to fund acquisitions and earning asset growth.

PNC’s Tier 1 risk-based capital ratio was an estimated 8.1 percent at June 30, 2008 compared with 8.3 percent at June 30, 2007 and 7.7 percent at March 31, 2008. The decline in the ratio from June 30, 2007 was primarily due to the impact of acquisitions, which increased risk-weighted assets and goodwill, and organic balance sheet growth. The increase in the ratio from March 31, 2008 resulted mainly from retained earnings and the second quarter issuance of noncumulative preferred securities that qualified as Tier 1 capital, partially offset by the Sterling acquisition. PNC issued approximately 4.6 million shares of common stock and paid approximately $224 million in cash to Sterling shareholders at closing of the acquisition in April 2008. The company has not actively engaged in share repurchase activity during 2008. In April 2008, the second quarter dividend was increased by five percent, or three cents, to 66 cents a share. In July 2008, the PNC board of directors declared a third quarter common stock cash dividend of 66 cents a share.

ASSET QUALITY REVIEW

Overall asset quality at PNC performed as expected in the challenging credit environment and remained at a manageable level. The company continued to focus on maintaining a moderate risk profile. The provision for credit losses for the second quarter of 2008 was $186 million compared with $54 million in the second quarter of 2007 and $151 million in the first quarter of 2008. The increase in the provision compared with the linked quarter was primarily attributable to general credit quality migration, including residential real estate development exposure in the commercial real estate portfolio and related sectors, and growth in total credit exposure.

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PNC Earns $505 Million and $1.45 Diluted EPS in Second Quarter – Page 5

Net charge-offs for the second quarter of 2008 were $112 million, or .62 percent of average loans, compared with net charge-offs of $32 million, or .20 percent, for the second quarter of 2007 and net charge-offs of $98 million, or .57 percent, for the first quarter of 2008. The increases in net charge-offs were primarily due to commercial loans in the prior year second quarter comparison and commercial real estate and consumer loans in both periods of comparison.

The allowance for loan and lease losses to total loans improved to 1.35 percent at June 30, 2008 from 1.09 percent at June 30, 2007 and 1.22 percent at March 31, 2008.

Nonperforming assets at June 30, 2008 were $733 million, or 1.00 percent of total loans and foreclosed assets, compared with ratios of .40 percent at June 30, 2007 and .87 percent at March 31, 2008. Nonperforming assets increased $473 million compared with the balance a year ago and $118 million compared with March 31, 2008. The increases were primarily due to higher nonaccrual residential real estate development loans. Nonperforming assets to total assets were .51 percent at June 30, 2008 compared with .21 percent at June 30, 2007 and .44 percent at March 31, 2008. The allowance for loan and lease losses to nonperforming loans was 142 percent at June 30, 2008, 303 percent at June 30, 2007 and 151 percent at March 31, 2008.

BUSINESS SEGMENT RESULTS

Retail Banking

Retail Banking earned $140 million for the quarter compared with $222 million for the year-ago quarter and $195 million for the first quarter of 2008. The decline from the prior year second quarter was driven by an increase in the provision for credit losses and lower net interest income. The decline from the linked quarter was primarily attributable to the first quarter after-tax gain of $62 million related to the Visa initial public offering. The declines in both period comparisons were partially offset by the net benefits from the Yardville and Sterling acquisitions.

Retail Banking overview:

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PNC Earns $505 Million and $1.45 Diluted EPS in Second Quarter – Page 6

Corporate & Institutional Banking

Corporate & Institutional Banking earned $134 million in the second quarter of 2008 compared with $122 million in the second quarter of 2007 and $2 million in the first quarter of 2008. In the prior year second quarter comparison, higher revenue was somewhat offset by increases in the provision for credit losses and noninterest expense. The linked quarter increase in earnings was impacted by a significant increase in noninterest income somewhat offset by an increase in the provision.

Corporate & Institutional Banking overview:

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PNC Earns $505 Million and $1.45 Diluted EPS in Second Quarter – Page 7

Global Investment Servicing

Global Investment Servicing, formerly known as PFPC, earned $33 million for the second quarter of 2008 compared with $32 million for the second quarter of 2007 and $30 million for the first quarter of 2008.

Servicing revenue increased $28 million, or 13 percent, from the second quarter of 2007 and $6 million, or 3 percent, from the linked quarter. The increase compared with the 2007 quarter primarily resulted from the acquisitions of Albridge Solutions Inc. and Coates Analytics, LP in December 2007 and growth in offshore operations. The linked quarter increase reflected fee income growth primarily from new business and growth from existing clients. Operating expense increased $28 million, or 18 percent, from the year ago quarter and $5 million, or 3 percent, from the linked quarter as a result of investments in technology, a larger employee base to support business growth and costs related to the acquisitions.

Global Investment Servicing provided accounting/administration services for $988 billion of net fund assets and provided custody services for $471 billion of fund assets as of June 30, 2008 compared with $868 billion and $467 billion, respectively, on June 30, 2007 and $1.0 trillion and $476 billion, respectively, at March 31, 2008. Total fund assets serviced by Global Investment Servicing were $2.6 trillion at June 30, 2008 compared with asset servicing levels of $2.4 trillion at June 30, 2007 and $2.6 trillion at March 31, 2008.

Other, including BlackRock

The “Other, including BlackRock” category, for the purposes of this release, includes the earnings and gains or losses related to PNC’s equity interest in BlackRock and those related to Hilliard Lyons, integration costs, asset and liability management activities including net securities gains or losses and certain trading activities, equity management activities, differences between business segment performance reporting and financial statement reporting under GAAP, corporate overhead and intercompany eliminations.

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PNC Earns $505 Million and $1.45 Diluted EPS in Second Quarter – Page 8

PNC recorded earnings of $198 million in Other for the second quarter of 2008 compared with $47 million in the second quarter of 2007 and $150 million in the first quarter of 2008. In the linked quarter comparison, the increase in earnings primarily resulted from trading losses incurred in the first quarter, and higher net interest income and a higher net gain related to PNC’s BlackRock LTIP shares obligation in the second quarter of 2008. These increases were somewhat offset by the comparative impact of the first quarter 2008 reversal of an indemnification obligation related to certain Visa litigation, first quarter net securities gains, gain on sale of Hilliard Lyons and equity management gains, and higher integration costs in the second quarter. In the comparison with the second quarter of 2007, earnings increased mainly due to higher net interest income and a net gain related to PNC’s BlackRock LTIP shares obligation compared with a net loss in the prior year quarter, somewhat offset by higher integration costs.

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 10:00 a.m. Eastern Time regarding the topics addressed in this news 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). The related financial supplement and presentation slides to accompany the conference call remarks may be found at www.pnc.com/investorevents. A taped replay of the call will be available for one week at 800-642-1687 or 706-645-9291 (international), conference ID 53775254.

In addition, Internet access to the call (listen only) and to PNC’s second quarter 2008 earnings release, supplemental financial information and presentation slides will be available at www.pnc.com/investorevents. 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.

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PNC Earns $505 Million and $1.45 Diluted EPS in Second Quarter – 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,” “will,” “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. Because forward-looking statements are subject to assumptions and uncertainties, 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 some of these factors in our Form 10-K for the year ended December 31, 2007 and our first quarter 2008 Form 10-Q, including in the Risk Factors and Risk Management sections of those reports, and in our other SEC reports. 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/secfilings.

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PNC Earns $505 Million and $1.45 Diluted EPS in Second Quarter – Page 10

We grow our business from time to time by acquiring other financial services companies. Acquisitions in general present us with risks in addition to those presented by the nature of the business acquired. In particular, acquisitions may be substantially more expensive to complete (including as a result of costs incurred in connection with the integration of the acquired company) and the anticipated benefits (including anticipated cost savings and strategic gains) may be significantly harder or take longer to achieve than expected. In some cases, acquisitions involve our entry into new businesses or new geographic or other markets, and these situations also present risks resulting from our inexperience in these new areas. As a regulated financial institution, our pursuit of attractive acquisition opportunities could be negatively impacted due to regulatory delays or other regulatory issues. Regulatory and/or legal issues related to the pre-acquisition operations of an acquired business may cause reputational harm to PNC following the acquisition and integration of the acquired business into ours and may result in additional future costs arising as a result of those issues. Our recent acquisition of Sterling Financial Corporation (“Sterling”) presents regulatory and litigation risk, as a result of financial irregularities at Sterling’s commercial finance subsidiary, that may impact our financial results.

[TABULAR MATERIAL FOLLOWS]

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FINANCIAL RESULTS

Dollars in millions, except per share data

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

BUSINESS SEGMENT EARNINGS (a) (b)

In millions

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