Bailout Merger No. 1: PNC and National City

Old folks are suffering because of this.

The trust I manage for my in-laws went from over $100,000 in Nat City stock to a little over $3500.00 this week, and the end is not here.. Regios bank is worse! The trust was at $1,200,000.00 (Regions) at the middle of 2007. It's now under $175,000.00. That means the lifetime savings of two 90 year old nursing home patients are gone. They saved for a lifetime and invested in what they thought was safe, conservative stock.

The financial community should really be held accountable, somehow!

Russ Lay of KY @ Jan 19, 2009 11:58:36 AM

PNC buyout of National City Bank

I am very angry that the government decided that National City Bank was not vible enough for the bail out money. I have been a customer with National City since 1973 and I hate the fact that they did not get government help. I was one of those customers told that everything was fine and that National City was in good shape after getting a large sum of money some 4-6 months ago. Our government should have given National City tarp money instead of letting PNC buy them out.

Cliff Nunn of OH @ Jan 01, 2009 20:38:19 PM

Horrible Situation.

I work for Keybank and I been monitoring the rumors and facts of the PNC NCB buyout. From the view point of a rival bank, this sale eliminates competition, but as a resident of Cleveland and customer of NCB, this is heartbreaking.

From what I heard, NCB's was in really bad shape. Something must've been wrong because they just received a 7 billion dollar injection this april. Rumors have been circulating since then about their buyout.

I honestly think this is gonna turn out to be one of the biggest conspiracy's once the dust has cleared.

1. Though in horrible standing, analysts have been saying that they were surprised that NCB sold for as low as it did when it didnt have to. I think NCB was partially pressured into selling after threats to lose its charter

2. PNC could get a tax break for buying NCB for 5 billion dollars. This would make the PNC NCB merger free basically.

3. The man that approved PNC's funds and denied NCB is Scott Talbot. Talbot and PNC share a little history which is partially why the acquisition was investigated.

4. Some of the execs including NCB's current president are going to be migrating into exec positions at PNC and some will receive a nice going away package while tons of others lost their jobs.

5. Currently, many NCB shareholds are suing to stop the sale. Normally major sales like this buyout are for the purpose of at lease satisfying shareholders if not NCB customers. Chances are they werent informed that NCB would sell...most of the time, they have to vote on it. In fact, part of the law suit includes a vote to stop the sale.

Though theres probably no chance of NCB coming back from this now, my hope would have been for NCB to rebound from its horrible morgage lending, bad books, ruined rep, and increase its stock. Losing NCB is going to devastate Cleveland, but we shall see what happens.

Earl W. of Keybank of OH @ Dec 11, 2008 19:04:06 PM

Stantings

It is not right that they led all of us to beleive they were notdoing well just like when Harbor Federal was bought out. The employees are the losers.

of @ Nov 24, 2008 09:25:43 AM

NCC not allowed to participate

I'm a bit of a novice at all this, but on CNBC this morning a senator (I believe) from NCC's home state was grilling Paulson and others about why NCC was not given any monies as part of the TARP program...or something along these lines. What I got out of it was that NCC was not given any funds to stay in business, and that the TARP funds are given out on a very discretionary basis. So essentially the government helped NCC stay in a weakened state. Thus other banks that have access to TARP funds now come in and take over the weaker bank...the bank that would have been much more stable had they been given access to the same funds PNC was.

Joe of OR @ Nov 18, 2008 13:31:47 PM

PNC Merger

This is why the majority of America said no to the bailout, with this merger I feel like once again I was lied to about how the bailout would be used. I don't recall at anytime hearing the Government saying they were going to select only certain banks to give money to and by the way yes you can use tax payers money to go and buy banks that our weak. I think this merger will not only cause great job losses throughout Ohio, but will in the long run cause a monopoly with PNC who will come in later and not help small business and charge whatever they feel to the average consumer. Once again making PNC bigger and your pockets even emptier. This merger should be investigated to make sure it is best for America not PNC. I understand buying the weak but the last time I checked NCC was one of the top 10.

Ron of OH @ Oct 29, 2008 13:26:32 PM

How is this helping the 5,000+ who will loose their jobs in the NE Ohio area?

Joe of OH @ Oct 29, 2008 12:32:51 PM

The NCB/PNC transaction leaves a lot of Questions

I believe this buyout of National City Bank was in the mill for a long time. unbeknown to those who believed in, and invested in the bank. We were led to believe that the bank was solvent and would eventually get back on track. If the "bailout money" was available, why didn't NC take advantage of it. I believe that this sale should be put on hold, and that an investigation be conducted. I don't like the idea that my tax money was used to buy my out my stock investment. This was a pretty neat trick and someone should have to answer for it. This whole transaction has a foul odor to it. This is a perfect example of how we got into this economic mess in the first place.

Chuck Burack of PA @ Oct 29, 2008 09:55:47 AM