PNC Financial Services Group Estimates Additional Noninterest Expense Related To Revised Special Assessment Will Be About $130M On A Pre-Tax Basis; Sees Total Noninterest Expense Will Be About $645M On A Pre-Tax Basis In Q1
Portfolio Pulse from Benzinga Newsdesk
PNC Financial Services Group anticipates an additional noninterest expense of about $130M due to a revised special assessment by the FDIC, related to the systemic risk exception invoked after the closures of Silicon Valley Bank and Signature Bank. This adjustment raises the total noninterest expense to approximately $645M for Q1 2024. The FDIC's updated estimate of assessed losses to the Deposit Insurance Fund is now $20.4 billion, up from $16.3 billion, affecting PNC and other institutions.

March 05, 2024 | 7:08 pm
News sentiment analysis
Sort by:
Ascending
NEGATIVE IMPACT
PNC Financial Services Group faces a significant increase in noninterest expenses due to a revised FDIC assessment, with an additional $130M expense in Q1 2024, totaling $645M.
The additional noninterest expense of $130M due to the revised FDIC assessment significantly increases PNC's operational costs for Q1 2024. This unexpected expense, stemming from regulatory actions following bank failures, is likely to negatively impact PNC's financial performance in the short term, potentially affecting its stock price.
CONFIDENCE 90
IMPORTANCE 90
RELEVANCE 100