PNC Bank 2001 Annual Report Download - page 6

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of an increased emphasis on checking
accounts, a key to successfully deepening
consumer and small business relationships.
To build on this momentum, we
have Web-enabled our branches and
conducted one-on-one discussions with
customers to better meet their needs.
Last year, this customized approach
improved customer retention by 10%
and helped drive customer satisfaction
to a five-year high.
We’ve also grown our client base by
instilling a stronger sales culture. During
the fourth quarter of 2001, we launched
a company-wide referral program called
the “Chairman’s Challenge.” By February
2002, over 60% of our non-sales employ-
ees had referred new business, and about
8% of new consumer checking and sav-
ings accounts opened that month were
a result of this program. We are now driv-
ing sales through a previously untapped
sector of our employee base.
In our Corporate Bank, we are
working to build deeper and more valu-
able customer relationships that generate
appropriate returns with less risk. We
are emphasizing our broad array of value-
added services, including innovative
technology-related solutions.
A key driver of this approach is our
Treasury Management business, which
showed strong sales growth in 2001. In
fact, last year noninterest income repre-
sented roughly 60% of revenue from rela-
tionships not designated for exit or sale.
Another thing that sets PNC apart
from many peers is our group of Asset
Management and Processing busi-
nesses. They are among the industry’s
leaders, and they’re poised for high-
quality growth.
4
BlackRock’s strong fixed-income
and liquidity investment track record,
international expansion, and the
continued growth of alternative invest-
ments and the BlackRock Solutions
product line drove exceptional perform-
ance in 2001. The firm (NYSE: BLK)
increased assets under management
by 17% in 2001, and delivered 23%
growth in net income.
PFPC is the nation’s largest
full-service mutual fund transfer agent
and second-largest provider of mutual
fund accounting and administration
services. Its complement of technolo-
gy-based, customized solutions, and
a larger international presence, helped
fuel a 9% increase in funds servicing
revenue in 2001.
PNC Advisors improved its
distribution platform and experienced
strong customer growth last year,
but weak equity markets adversely
impacted overall results.
We recognized long ago that
building best-of-class businesses requires
implementing best-of-class technology.
As you’ve read, technology is enhancing
results and enabling us to be more
responsive to customer needs across our
company. In fact, Information Week
named PNC the top-rated financial
services company in its list of the
500 leading information technology
innovators in the U.S.
REPOSITIONING THE FRANCHISE
As our investments in technology
have strengthened our businesses,
we’ve been at work on an even
larger mission to reduce risk and
improve returns.