PNC possibly expanding into the Southern United States (Washington: move, area)

[greg42]

Originally Posted by pman

greg-be wary, Beneficial Mutual of Philadelphia went public, bought Farmer's of NJ, and is now having problems. so long as dollar remains a mutual, it's unlikely it will be bought. If people really want a local bank, they'll put their money there. It's mind boggling how many people complain about big banks then leave their money there. they get the service they deserve in some respects.

True enough. Big banks suck, but they won't give up the convenience of an ATM every 2 feet. Dollar has thus far (for 150 years) been fiercely independent. I don't think that will change, but yeah I guess you never know.

[pman]

Originally Posted by greg42

True enough. Big banks suck, but they won't give up the convenience of an ATM every 2 feet. Dollar has thus far (for 150 years) been fiercely independent. I don't think that will change, but yeah I guess you never know.

beneficial was the same way until new management got a foothold (cue mba quip). it was originally founded with the support of the catholic church to provide loans to catholic immigrants who were being discriminated against. it dates to around the civil war. it may or may not be sold but be wary, if someone does try to change the ownership structure, it's probably not for the best and worth fighting. I rather like dollar bank...a lot of big banks charge you a fee for using another atm on top of the fee that bank charges you. ugh. I never understood why small banks don't form a coalition so that dollar bank customers could use beneficial atm's for free and vice versa...and smaller banks araound the country not unlike credit unions. kind of a tru value approach to competing with the evil empires like bank of america.

[Copanut]

If you want to make a little money, put a couple hundred bucks in local banks/savings banks. Usually a year before they get bought out, they issue stock. Made a good profit with Mt. Troy Savings.

[pman]

The $3.45 billion purchase price Pittsburgh-based PNC Financial has agreed to pay for Raleigh-based RBC Bank USA includes $1 billion in PNC common stock, deliverable at the time of the deal’s closing early next year.
How much of the $1 billion actually gets handed over, however, depends on what happens to RBC Bank’s troublesome loan portfolio over the next nine months.
PNC announced its acquisition of RBC on Monday. PNC (NYSE:PNC) examiners have already calculated that they’ll have to write down some 12.5 percent of RBC Bank’s real estate heavy loan book, about $755 million as of April 30. If the numbers soar beyond that, however, the amount of common stock delivered next March at closing will be reduced, according to PNC filings with the U.S. Securities and Exchange Commission.

PNC Financial?s purchase price for RBC could drop due to loan performance | Pittsburgh Business Times

[BrianTH]

That option to pay less may address some of the concerns about the price that I have seen.

[Penguins Fan]

PNC has done a tremendous job in turning around struggling banks. Riggs Bank was probably worse than toxic and Riggs had very little presence outside of the District of Columbia. PNC turned it around had now PNC has a big footprint in the DC/MD/VA area - which has had no large bank of its own for some time, maybe more than 20 years.

Don't forget, PNC took over National City, which was about to be closed by the FDIC if someone else did not step in and take them over. To this day, many in and around Cleveland are irate that a Pittsburgh bank gobbled up National City Bank, which was brought down by bad mortgages, but PNC has done quite nicely in NCB's old footprint.

PNC will turn it around in RBC's footprint as well. They will write down or write off the bad real estate loans and do better business in retail banking.

[Blackbeauty212]

Didn't the National City take over also push PNC into Chicago? or did PNC have presence there before? I can remember.

[Penguins Fan]

I don't know if the NCB acquisition put PNC in Chicago. It did put PNC into Milwaukee and St. Louis

[deadmouse656]

Yes the PNC acquisition of National City pushed it into Chicago.

Before National City, PNC had around 800-950 branches. Today, including the RBC pending acquisition, PNC will have an estimated 2,900 branches.

It has done a tremendous job in turning NatCity around.

[MathmanMathman]

Originally Posted by Penguins Fan

Don't forget, PNC took over National City, which was about to be closed by the FDIC if someone else did not step in and take them over. To this day, many in and around Cleveland are irate that a Pittsburgh bank gobbled up National City Bank, which was brought down by bad mortgages, but PNC has done quite nicely in NCB's old footprint.

Also don't forget that National City took over Pittsburgh based Integra Bank back in the 1990s resulting in layoffs in Pittsburgh. Integra was the biggest regional bank behind PNC and Mellon.