PNC Bank 2009 Annual Report Download - page 179

S ELECTED L OAN M ATURITIES A ND I NTEREST S ENSITIVITY
December 31, 2009
In millions
1 Year
or Less
1 Through
5 Years
After 5
Years
Gross
Loans
Commercial $18,867 $29,313 $6,638 $54,818
Real estate projects 7,082 7,845 655 15,582
Total $25,949 $37,158 $7,293 $70,400
Loans with
Predetermined rate $ 4,289 $ 7,198 $2,754 $14,241
Floating or adjustable
rate 21,660 29,960 4,539 56,159
Total $25,949 $37,158 $7,293 $70,400
At December 31, 2009, we had no pay-fixed interest rate
swaps designated to commercial loans as part of fair value
hedge strategies. At December 31, 2009, $11.8 billion notional
amount of receive-fixed interest rate swaps were designated as
part of cash flow hedging strategies that converted the floating
rate (1 month and 3 month LIBOR) on the underlying
commercial loans to a fixed rate as part of risk management
strategies.
T
IME D EPOSITS O F $100,000 O R M ORE
Time deposits in foreign offices totaled $4.6 billion at
December 31, 2009, substantially all of which are in
denominations of $100,000 or more.
The following table sets forth maturities of domestic time
deposits of $100,000 or more:
December 31, 2009 – in millions
Domestic
Certificates
of Deposit
Three months or less $ 3,734
Over three through six months 2,130
Over six through twelve months 4,003
Over twelve months 6,001
Total $15,868
C
OMMON S TOCK P RICES /D IVIDENDS D ECLARED
The table below sets forth by quarter the range of high and
low sale and quarter-end closing prices for our common stock
and the cash dividends we declared per common share.
High Low Close
Cash
Dividends
Declared
2009 Quarter
First $50.42 $16.20 $29.29 $ .66
Second 53.22 27.50 38.81 .10
Third 48.78 33.06 48.59 .10
Fourth 57.86 43.37 52.79 .10
Total $ .96
2008 Quarter
First $71.20 $53.10 $65.57 $ .63
Second 73.00 55.22 57.10 .66
Third 87.99 49.01 74.70 .66
Fourth 80.00 39.09 49.00 .66
Total $2.61
ITEM 9 – CHANGES IN AND DISAGREEMENTS WITH
ACCOUNTANTS ON ACCOUNTING AND FINANCIAL
DISCLOSURE
(a) None.
(b) None.
ITEM 9A – CONTROLS AND PROCEDURES
(a) MANAGEMENT’S REPORT ON INTERNAL
CONTROL OVER FINANCIAL REPORTING
The management of The PNC Financial Services Group,
Inc. and subsidiaries (PNC) is responsible for
establishing and maintaining adequate internal control
over financial reporting, as such term is defined in the
Exchange Act Rule 13a-15(f).
Because of inherent limitations, internal control over
financial reporting may not prevent or detect
misstatements. Also, projections of any evaluation of
effectiveness to future periods are subject to the risk that
controls may become inadequate because of changes in
conditions, or that the degree of compliance with the
policies or procedures may deteriorate.
We performed an evaluation under the supervision and
with the participation of our management, including the
Chairman and Chief Executive Officer and the Executive
Vice President and Chief Financial Officer, of the
effectiveness of PNC’s internal control over financial
reporting as of December 31, 2009. This assessment was
based on criteria for effective internal control over
financial reporting described in Internal Control-
Integrated Framework issued by the Committee of
Sponsoring Organizations of the Treadway Commission.
Based on this assessment, management concludes that
PNC maintained effective internal control over financial
reporting as of December 31, 2009.
PricewaterhouseCoopers LLP, the independent registered
public accounting firm that audited our consolidated
financial statements as of and for the year ended
December 31, 2009 included in this Report, has also
issued a report on the effectiveness of PNC’s internal
control over financial reporting as of December 31, 2009.
The report of PricewaterhouseCoopers LLP is included
under Item 8 of this Annual Report on Form 10-K.
(b) DISCLOSURE CONTROLS AND PROCEDURES
AND CHANGES IN INTERNAL CONTROL OVER
FINANCIAL REPORTING
As of December 31, 2009, we performed an evaluation
under the supervision and with the participation of our
management, including the Chairman and Chief
Executive Officer and the Executive Vice President and
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