PNC Bank 2007 Annual Report Download - page 19

persons of Riggs), acted as the primary intermediaries through
which the payments were laundered and actively concealed,
and aided and abetted the BAE defendants’ breaches of
fiduciary duties. As it relates to PNC, plaintiff is seeking
unquantified monetary damages (including punitive damages),
an accounting, interest, attorneys’ fees and other expenses. We
believe that we have defenses to the claims against us in this
lawsuit and intend to defend it vigorously. We have filed a
motion seeking dismissal of the claims against us. As a result
of our acquisition of Riggs, PNC may be responsible for
indemnifying the Allbrittons in connection with this lawsuit.
Regulatory and Governmental Inquiries
In connection with an audit of the services provided by
Mercantile Safe Deposit & Trust Company (now PNC Bank)
as trustee of the AFL-CIO Building Investment Trust, a
collective trust fund that invests pension plan assets in
commercial real estate assets, the United States Department of
Labor has identified the possibility that Mercantile collected
unauthorized fees in violation of ERISA. If it is ultimately
determined that these fees were collected in violation of the
law, we could be subject to requirements to return the fees to
the Building Investment Trust, with interest, and could also be
subject to penalties and taxes.
As a result of the regulated nature of our business and that of a
number of our subsidiaries, particularly in the banking and
securities areas, we and our subsidiaries are the subject of
investigations and other forms of regulatory inquiry, often as
part of industry-wide regulatory reviews of specified
activities. One of these situations is in connection with
investigations of practices in the mutual fund industry, where
several of our subsidiaries have received requests for
information and other inquiries from governmental and
regulatory authorities.
Our practice is to cooperate fully with regulatory and
governmental investigations, audits and other inquiries,
including those described above. Such investigations, audits
and other inquiries may lead to remedies such as fines,
restitution or alterations in our business practices.
Other
In addition to the proceedings or other matters described
above, PNC and persons to whom we may have
indemnification obligations, in the normal course of business,
are subject to various other pending and threatened legal
proceedings in which claims for monetary damages and other
relief are asserted. See Note 24 Commitments and Guarantees
in the Notes To Consolidated Financial Statements in Item 8
of this Report for additional information regarding the Visa
indemnification and our obligation to provide indemnification
to current and former officers, directors, employees and agents
of PNC and companies we have acquired. We do not
anticipate, at the present time, that the ultimate aggregate
liability, if any, arising out of such other legal proceedings
will have a material adverse effect on our financial position.
However, we cannot now determine whether or not any claims
asserted against us or others to whom we may have
indemnification obligations, whether in the proceedings or
other matters specifically described above or otherwise, will
have a material adverse effect on our results of operations in
any future reporting period.
ITEM 4– SUBMISSION OF MATTERS TO A VOTE OF
SECURITY HOLDERS
None during the fourth quarter of 2007.
EXECUTIVE OFFICERS OF THE REGISTRANT Information
regarding each of our executive officers as of February 15,
2008 is set forth below. Executive officers do not have a
stated term of office. Each executive officer has held the
position or positions indicated or another executive position
with the same entity or one of its affiliates for the past five
years unless otherwise indicated below.
Name Age Position with PNC
Year
Employed (1)
James E. Rohr 59 Chairman and Chief
Executive Officer (2)
1972
Joseph C. Guyaux 57 President 1972
William S. Demchak 45 Vice Chairman 2002
William C. Mutterperl 61 Vice Chairman 2002
Timothy G. Shack 57 Executive Vice President
and Chief Information
Officer
1976
Thomas K. Whitford 51 Executive Vice President
and Chief Administrative
Officer
1983
Michael J. Hannon 51 Senior Vice President and
Chief Credit Officer
1982
Richard J. Johnson 51 Senior Vice President and
Chief Financial Officer
2002
Samuel R. Patterson 49 Senior Vice President and
Controller
1986
Helen P. Pudlin 58 Senior Vice President and
General Counsel
1989
John J. Wixted, Jr. 56 Senior Vice President and
Chief Risk Officer
2002
(1) Where applicable, refers to year employed by predecessor company.
(2) Also serves as a director of PNC.
William S. Demchak joined PNC as Vice Chairman and Chief
Financial Officer in September 2002. In August 2005, he took
on additional oversight responsibilities for the Corporation’s
Corporate & Institutional Banking business and continued to
oversee PNC’s asset and liability management and equity
management activities while transitioning the responsibilities
of Chief Financial Officer to Richard J. Johnson.
Thomas K. Whitford was appointed Chief Administrative
Officer in May 2007. From April 2002 through May 2007, he
served as Chief Risk Officer.
Richard J. Johnson joined PNC in December 2002 and served
as Senior Vice President and Director of Finance until his
appointment as Chief Financial Officer of the Corporation
effective in August 2005.
John J. Wixted, Jr. joined PNC as Senior Vice President and
Chief Regulatory Officer in August 2002. He served in this
role until May 2007, when he was appointed Chief Risk
Officer.
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