PNC ANNOUNCES STRESS CAPITAL BUFFER (SCB)

Rhea-AI Summary

The PNC Financial Services Group announced its results from the Federal Reserve's 2022 Comprehensive Capital Analysis and Review, revealing a Stress Capital Buffer (SCB) of 2.9% for the period beginning October 1, 2022. PNC's Common Equity Tier 1 (CET1) ratio notably exceeds the regulatory minimum, indicating strong capital levels. The board also authorized the repurchase of up to 100 million shares, with 64% remaining available as of March 31, 2022. Additionally, PNC increased its quarterly dividend from $1.25 to $1.50 per share, a 20% rise effective May 5, 2022.

Positive

• Stress Capital Buffer set at 2.9%, indicating strong capital levels.
• CET1 ratio significantly exceeds the regulatory minimum of 4.5%.
• Board authorized repurchase program for up to 100 million shares.
• Quarterly dividend increased to $1.50 per share, a 20% rise.

Negative

• None.

PITTSBURGH, June 27, 2022 /PRNewswire/ -- The PNC Financial Services Group, Inc. (NYSE: PNC) last week received the results of the Federal Reserve's 2022 Comprehensive Capital Analysis and Review (CCAR).  The Federal Reserve's CCAR disclosure included its estimate of PNC's minimum capital ratios for the period from the first quarter of 2022 through the first quarter of 2024 under the hypothetical Supervisory Severely Adverse scenario.  Based on PNC's strong results, PNC's Stress Capital Buffer (SCB) for the four-quarter period beginning Oct. 1, 2022 is 2.9%.  PNC's Common Equity Tier 1 (CET1) ratio significantly exceeds the regulatory minimum (4.5%) plus our SCB, reflecting our strong capital levels entering 2022 following the integration of BBVA USA.

Earlier this quarter, our board of directors authorized a new repurchase framework, under the already approved authorization for repurchases of up to 100 million common shares of which approximately 64% were still available for repurchase as of March 31, 2022. This framework and our SCB results allow for the continuation of our recent quarterly dollar average share repurchase levels, as well as the flexibility to increase those levels should conditions warrant. PNC's common share repurchases may be executed in privately negotiated transactions or through the open market, including under Rule 10b5-1 plans. The timing and amount of executed repurchases will be based on market conditions and other factors.

As previously disclosed, on April 1, 2022, the PNC board of directors raised the quarterly cash dividend on common stock to $1.50 per share, an increase of 25 cents per share, or 20%, which became effective with the May 5, 2022 dividend payment.

The PNC Financial Services Group, Inc. is one of the largest diversified financial services institutions in the United States, organized around its customers and communities for strong relationships and local delivery of retail and business banking including a full range of lending products; specialized services for corporations and government entities, including corporate banking, real estate finance and asset-based lending; wealth management and asset management. For information about PNC, visit www.pnc.com.

CONTACTS:                                                                                                                         

MEDIA:                                                                                                                 
Marcey Zwiebel
(412) 762-4550
media.relations@pnc.com 

INVESTORS:
Bryan Gill
(412) 768-4143
investor.relations@pnc.com 

 

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SOURCE The PNC Financial Services Group, Inc.

FAQ

What is PNC's Stress Capital Buffer for 2022?

PNC's Stress Capital Buffer for the four-quarter period beginning October 1, 2022, is 2.9%.

How did PNC perform in the Federal Reserve's CCAR review?

PNC's results from the Federal Reserve's 2022 CCAR showed a strong capital position, with a CET1 ratio significantly above the regulatory minimum.

What is the new repurchase framework for PNC shares?

PNC's board authorized a repurchase framework for up to 100 million common shares, with approximately 64% available as of March 31, 2022.

What is PNC's new quarterly dividend amount?

The quarterly cash dividend on PNC's common stock is increased to $1.50 per share, effective May 5, 2022.