EXECUTIVE SUMMARY

PNC is one of the largest diversified financial services companies in the United States and is headquartered in Pittsburgh, Pennsylvania.

PNC has businesses engaged in retail banking, corporate and institutional banking, asset management and residential mortgage banking, providing many of its products and services nationally, as well as other products and services in PNC’s primary geographic markets located in Pennsylvania, Ohio, New Jersey, Michigan, Illinois, Maryland, Indiana, North Carolina, Florida, Kentucky, Washington, D.C., Delaware, Alabama, Virginia, Missouri, Georgia, Wisconsin and South Carolina. PNC also provides certain products and services internationally.

KEY STRATEGIC GOALS

At PNC we manage our company for the long term. We are focused on the fundamentals of growing customers, loans, deposits and fee revenue and improving profitability, while investing for the future and managing risk, expenses and capital. We continue to invest in our products, markets and brand, and embrace our corporate responsibility to the communities where we do business.

We strive to expand and deepen customer relationships by offering a broad range of fee-based and credit products and services. We are focused on delivering those products and services where, when and how our customers want to receive them with the goal of offering insight that reflects their specific needs. Our approach is concentrated on organically growing and deepening client relationships that meet our risk/return measures. Our strategies for growing fee income across our lines of business are focused on achieving deeper market penetration and cross selling our diverse product mix.

Our strategic priorities are designed to enhance value over the long term. A key priority is to drive growth in acquired and underpenetrated markets, including in the Southeast. In addition, we are seeking to attract more of the investable assets of new and existing clients. PNC is focused on redefining our retail banking business to a more customer-centric and sustainable model while lowering delivery costs as customer banking preferences evolve. We are also working to build a stronger residential mortgage banking business with the goal of becoming the provider of choice for our customers. Additionally, we continue to focus on expense management while bolstering critical infrastructure and streamlining our processes.

Our capital priorities are to support client growth and business investment, maintain appropriate capital in light of economic uncertainty and the Basel III framework and return excess capital to shareholders, in accordance with the capital plan included in our 2014 Comprehensive Capital Analysis and Review (CCAR) submission to the Board of Governors of the

Federal Reserve System (Federal Reserve). We continue to improve our capital levels and ratios through retention of quarterly earnings and expect to build capital through retention of future earnings. PNC continues to maintain adequate liquidity positions at both PNC and PNC Bank, National Association (PNC Bank, N.A.). For more detail, see the Capital and Liquidity Actions portion of this Executive Summary, the Funding and Capital Sources portion of the Consolidated Balance Sheet Review section and the Liquidity Risk Management portion of the Risk Management section of this Financial Review and the Supervision and Regulation section in Item 1 Business of our 2013 Form 10-K.

PNC faces a variety of risks that may impact various aspects of our risk profile from time to time. The extent of such impacts may vary depending on factors such as the current economic, political and regulatory environment, merger and acquisition activity and operational challenges. Many of these risks and our risk management strategies are described in more detail in our 2013 Form 10-K and elsewhere in this Report.

RECENT MARKET AND INDUSTRY DEVELOPMENTS

There have been numerous legislative and regulatory developments and dramatic changes in the competitive landscape of our industry over the last several years. The United States and other governments have undertaken major reform of the regulation of the financial services industry, including engaging in new efforts to impose requirements designed to strengthen the stability of the financial system and protect consumers and investors. The Dodd-Frank Wall Street Reform and Consumer Protection Act (Dodd-Frank), enacted in July 2010, mandates the most wide-ranging overhaul of financial industry regulation in decades. Many parts of the law are now in effect, and others are now in the implementation stage, which is likely to continue for several years. We expect to face further increased regulation of our industry as a result of Dodd-Frank as well as other current and future initiatives intended to enhance the regulation of financial services companies, the stability of the financial system, the protection of consumers and investors, and the liquidity and solvency of financial institutions and markets. We also expect in many cases more intense scrutiny from our supervisors in the examination process and more aggressive enforcement of regulations on both the federal and state levels. Compliance with new regulations will increase our costs and reduce our revenue. Some new regulations may limit our ability to pursue certain desirable business opportunities.

The Federal Reserve on April 7, 2014 announced its intent to give banking entities an additional two years (i.e., until July 21, 2017) to conform their ownership interests in and sponsorship of certain collateralized loan obligations (CLOs) that are treated as covered funds to the requirements of section 619 of Dodd-Frank (commonly known as the Volcker Rule). These extensions will allow more time for PNC’s senior debt interests in CLOs that may be considered covered

funds to pay down over time before compliance is required, and should reduce the potential for adverse consequences that otherwise might result from a forced sale or restructuring of these investments due to the Volcker Rule.

On April 8, 2014, the Federal Deposit Insurance Corporation, the Federal Reserve and the Office of the Comptroller of the Currency (collectively the “banking agencies”) requested public comment on a notice of proposed rulemaking that would revise the denominator of the supplementary leverage ratio adopted by the banking agencies in July 2013 for banking organizations, such as PNC, subject to the advanced approaches framework to determine risk-based capital. The proposal, among other things, would modify (and in many cases reduce) the credit conversion factors applied to certain off-balance sheet exposures and would revise the treatment of derivatives and certain securities financing transactions. The proposal also would expand the supplementary leverage-related disclosures that covered banking organizations are required to make starting January 1, 2015. Comments on the proposal are due June 13, 2014.

Also on April 8, 2014, the banking agencies released final rules imposing a higher supplementary leverage ratio requirement on bank holding companies with total consolidated assets of more than $700 billion or assets under custody of more than $10 trillion, as well as the insured depository institution subsidiaries of these bank holding companies. Based on the asset and custody thresholds adopted in the final rules, these higher supplementary leverage requirements do not apply to PNC or PNC Bank, N.A.

On March 26, 2014, the Federal Reserve announced the results of its 2014 Comprehensive Capital Analysis and Review exercise (“CCAR 2014”). Of the 30 bank holding companies participating in CCAR 2014, the Federal Reserve announced that it did not object to the capital plans of 25 bank holding companies (including PNC) and objected to the capital plans of five bank holding companies (four for qualitative reasons and one due to the institution’s projected failure to meet the applicable minimum, post-stress capital ratios). In connection with the announcement of these results, the Federal Reserve emphasized that its qualitative assessment of a bank holding company’s capital planning and stress testing processes—which includes an assessment of the extent to which these processes capture and appropriately address potential risks across the organization, the robustness of the organization’s capital planning process, and corporate governance and internal controls over capital planning—is a critical component of the Federal Reserve’s CCAR review process.

On July 31, 2013, the U.S. District Court for the District of Columbia granted summary judgment to the plaintiffs in NACS, et al. v. Board of Governors of the Federal Reserve System. The decision vacated the debit card interchange and network processing rules that went into effect in October 2011

and that were adopted by the Federal Reserve to implement provisions of Dodd-Frank. The court found among other things that the debit card interchange fees permitted under the rules allowed card issuers to recover costs that were not permitted by the statute. The court stayed its decision pending appeal, and the United States Court of Appeals for the District of Columbia Circuit granted an expedited appeal. In March 2014, the court of appeals reversed the district court. It upheld the Federal Reserve’s network processing rule and upheld its interchange fee rule except as to the issue of transaction monitoring costs, and remanded that issue back to the Federal Reserve for further explanation. The court’s mandate has not yet been issued and the plaintiffs could seek rehearing from the court of appeals or review from the United States Supreme Court.

For additional information concerning recent legislative and regulatory developments, as well as certain governmental, legislative and regulatory inquiries and investigations that may affect PNC, please see the Supervision and Regulation section of Item 1 Business, Item 1A Risk Factors, Recent Market and Industry Developments in the Executive Summary section of Item 7, and Note 23 Legal Proceedings and Note 24 Commitments and Guarantees in the Notes To Consolidated Financial Statements in Item 8 of our 2013 Form 10-K, as well as Note 16 Legal Proceedings and Note 17 Commitments and Guarantees in the Notes To Consolidated Financial Statements in Part I, Item 1 of this Report.

KEY FACTORS AFFECTING FINANCIAL PERFORMANCE

Our financial performance is substantially affected by a number of external factors outside of our control, including the following:

In addition, our success will depend upon, among other things:

For additional information, please see the Cautionary Statement Regarding Forward-Looking Information section in this Financial Review and Item 1A Risk Factors in our 2013 Form 10-K.

INCOME STATEMENT HIGHLIGHTS

CREDIT QUALITY HIGHLIGHTS

BALANCE SHEET HIGHLIGHTS

Our Consolidated Income Statement and Consolidated Balance Sheet Review sections of this Financial Review describe in greater detail the various items that impacted our results during the first three months of 2014 and 2013 and balances at March 31, 2014 and December 31, 2013, respectively.

CAPITAL AND LIQUIDITY ACTIONS

Our ability to take certain capital actions, including plans to pay or increase common stock dividends or to repurchase shares under current or future programs, is subject to the results of the supervisory assessment of capital adequacy undertaken by the Federal Reserve and our primary bank regulators as part of the CCAR process.

In connection with the 2014 CCAR, PNC submitted its 2014 capital plan, approved by its Board of Directors, to the Federal Reserve in January 2014. As we announced on March 26, 2014, the Federal Reserve accepted the capital plan and did not object to our proposed capital actions, which included a recommendation to increase the quarterly common stock dividend in the second quarter of 2014. The capital plan also included share repurchase programs of up to $1.5 billion for the four quarter period beginning in the second quarter of 2014 under PNC’s existing common stock repurchase authorization. These programs include repurchases of up to $200 million to mitigate the financial impact of employee benefit plan transactions. For additional information concerning the CCAR process and the factors the Federal Reserve takes into consideration in evaluating capital plans, see the Supervision and Regulation section in Item 1 Business of our 2013 Form 10-K.

On April 3, 2014, consistent with our 2014 capital plan, our Board of Directors approved an increase to PNC’s quarterly common stock dividend from 44 cents per common share to 48 cents per common share. For the second quarter of 2014, the increased dividend was payable to shareholders of record at the close of business on April 15, 2014 and was paid on May 5, 2014.

See the Liquidity Risk Management portion of the Risk Management section of this Financial Review for more detail on our 2014 capital and liquidity actions.

Various seasonal and other factors impact our period-end balances, whereas average balances are generally more indicative of underlying business trends apart from the impact of acquisitions and divestitures. The Consolidated Balance Sheet Review section of this Financial Review provides information on changes in selected Consolidated Balance Sheet categories at March 31, 2014 compared with December 31, 2013. Total assets were $323.4 billion at March 31, 2014 compared with $320.2 billion at December 31, 2013.

Average investment securities remained relatively stable in the comparison of the first three months of 2014 compared with the first three months of 2013, as a net decrease in average residential mortgage-backed securities from principal payments was mostly offset by an increase in average U.S. Treasury and government agency securities, which was driven by the impact of fourth quarter 2013 purchases to enhance our liquidity position in light of new short-term liquidity regulatory standards. Total investment securities comprised 21% of average interest-earning assets for the first quarter of 2014 and 23% for the first quarter of 2013.

The increase in average total loans in the first quarter of 2014 compared to the prior year quarter was driven by increases in average commercial loans of $6.0 billion, average commercial real estate loans of $2.8 billion and average consumer loans of $1.7 billion. The increase in average total loans was driven by increased average loans in our Corporate & Institutional

Banking segment, primarily in Real Estate, Corporate Banking and Business Credit.

Loans represented 71% of average interest-earning assets for the first quarter of 2014 and 73% of average interest-earning assets for the first quarter of 2013.

Average interest-earning deposits with banks, which are primarily maintained with the Federal Reserve Bank, increased significantly in the comparison of first quarter 2014 to first quarter 2013, as we continued to enhance our liquidity position in preparation for implementation of new short-term liquidity regulatory standards.

The decrease in average noninterest-earning assets for the first three months of 2014 compared to the first three months of 2013 was driven primarily by decreased unsettled securities sales and securities valuations, both of which are included in noninterest-earning assets for average balance sheet purposes.

Average total deposits increased $8.7 billion in the comparison of the first quarter of 2014 compared with the prior year quarter, primarily due to an increase of $11.1 billion in average transaction deposits, which grew to $184.3 billion for the first quarter of 2014. Growth in business and consumer customer deposits as well as continued customer preference for liquidity drove the increase in average transaction deposits. These increases were partially offset by a decrease of $3.0 billion in average retail certificates of deposit attributable to run-off of maturing accounts.

Total deposits at March 31, 2014 were $222.4 billion compared with $220.9 billion at December 31, 2013 and are further discussed within the Consolidated Balance Sheet Review section of this Financial Review.

Average total deposits represented 68% of average total assets for the first quarter of 2014 and 69% for the first quarter of 2013.

The increase in average borrowed funds in the current year first quarter compared with the prior year first quarter was primarily due to increases in average Federal Home Loan Bank (FHLB) borrowings and average bank notes and senior debt, including increases as part of the enhancement of our liquidity position in light of new short-term liquidity regulatory standards. Total borrowed funds at March 31, 2014 were $46.8 billion compared with $46.1 billion at December 31, 2013 and are further discussed within the Consolidated Balance Sheet Review section of this Financial

Review. The Liquidity Risk Management portion of the Risk Management section of this Financial Review includes additional information regarding our sources and uses of borrowed funds.

BUSINESS SEGMENT HIGHLIGHTS

The Business Segments Review section of this Financial Review includes further analysis of our business segment results over the first three months of 2014 and 2013 including presentation differences from Note 18 Segment Reporting in our Notes To Consolidated Financial Statements in Part I, Item 1 of this Report. Note 18 Segment Reporting presents results of businesses for the first three months of 2014 and 2013.

We provide a reconciliation of total business segment earnings to PNC total consolidated net income as reported on a GAAP basis in Note 18 Segment Reporting in our Notes To Consolidated Financial Statements of this Report.

CONSOLIDATED INCOME STATEMENT REVIEW

Our Consolidated Income Statement is presented in Part I, Item 1 of this Report.

Net income for the first three months of 2014 was $1.1 billion, an increase of 7% compared with $1.0 billion for the first three months of 2013. The increase was driven by lower provision for credit losses and a decline in noninterest expense of 4%, partially offset by a 5% decline in revenue. Lower revenue in the comparison resulted from lower net interest income while noninterest income increased slightly.

NET INTEREST INCOME

Table 4: Net Interest Income and Net Interest Margin

Changes in net interest income and margin result from the interaction of the volume and composition of interest-earning assets and related yields, interest-bearing liabilities and related rates paid, and noninterest-bearing sources of funding. See the Statistical Information (Unaudited) – Average Consolidated Balance Sheet And Net Interest Analysis section of this Report and the discussion of purchase accounting accretion on

purchased impaired loans in the Consolidated Balance Sheet Review section of this Financial Review for additional information.

Net interest income decreased by $194 million, or 8%, in the first quarter of 2014 compared with the first quarter of 2013. The decline was driven by lower purchase accounting accretion, lower yields on loans and securities and higher borrowed funds balances, somewhat offset by loan growth and the impact of lower rates paid on deposits and borrowed funds. Purchase accounting accretion declined $86 million from lower scheduled accretion and lower excess cash recoveries on purchased impaired loans.

Net interest margin declined 55 basis points in the first quarter of 2014 compared to the first quarter of 2013 due to lower yields on interest-earning assets, which decreased 57 basis points, slightly offset by a 4 basis point decrease in the weighted-average rate paid on total interest-bearing liabilities, both of which include the impact of lower purchase accounting accretion in the comparison.

The yield on interest-earning assets decreased primarily due to lower rates on new loans and purchased securities in the ongoing low rate environment, as well as the impact of higher interest-earning deposits with banks maintained with the Federal Reserve Bank and investment securities activity in light of new short-term liquidity regulatory standards. The decrease in the rate paid on interest-bearing liabilities was primarily due to lower overall rates paid on interest-bearing deposits and redemptions of higher-rate bank notes and senior debt and subordinated debt.

In the second quarter of 2014, we expect net interest income to be down modestly compared to first quarter 2014 due to the continued decline in purchase accounting accretion and further interest rate spread compression.

For full year 2014, we expect total purchase accounting accretion to be down approximately $300 million compared with 2013.

NONINTEREST INCOME

Table 5: Noninterest Income

Noninterest income increased slightly during the first quarter of 2014 compared to first quarter of 2013, reflecting strong fee income and a gain on sale of Visa Class B common shares in the first quarter of 2014, mostly offset by lower residential mortgage fee revenue. Noninterest income as a percentage of total revenue was 42% in the first quarter of 2014, up from 40% in the first quarter of 2013.

Higher asset management revenue in the first three months of 2014 was driven by stronger equity markets and sales production, as well as increased earnings from our BlackRock investment. Discretionary assets under management grew to $130 billion at March 31, 2014 compared with $118 billion at March 31, 2013 driven by higher equity markets and strong sales.

Consumer service fees declined slightly in the first quarter of 2014 compared to the prior year quarter, as growth in customer-initiated transaction volumes was more than offset by several individually insignificant items.

Corporate services revenue increased to $301 million in the first quarter of 2014 compared to $277 million in the first quarter of 2013, principally due to higher merger and acquisition advisory fees. Net commercial mortgage servicing rights valuations were stable at $11 million in both first quarters of 2014 and 2013.

Residential mortgage fee revenue decreased to $161 million in the first three months of 2014 from $234 million in the first three months of 2013, which was driven by a decline in loan sales revenue from a reduction in origination volume and lower net hedging gains on residential mortgage servicing rights. These declines were partially offset by a net benefit of $19 million from the release of reserves for residential mortgage repurchase obligations in the first quarter 2014. The repurchase reserve provision recorded during the first quarter of 2013 was not significant.

Service charges on deposits increased in the first quarter of 2014 compared to the prior year quarter due to growth in customer activity and changes in product offerings.

Other noninterest income was stable at $311 million for both first quarters of 2014 and 2013, as a $62 million gain on the sale of 1 million Visa Class B common shares in the first quarter of 2014 was substantially offset by lower commercial mortgage loans held for sale activity and a net expense of $14 million in the current year quarter from credit valuations for customer-related derivatives activities. The first quarter 2013 impact to other noninterest income related to these credit valuations was not significant.

We held approximately 9 million Visa Class B common shares with a fair value of approximately $850 million and recorded investment of $135 million as of March 31, 2014.

Other noninterest income typically fluctuates from period to period depending on the nature and magnitude of transactions completed. Further details regarding our customer-related trading activities are included in the Market Risk Management – Customer-Related Trading Risk portion of the Risk Management section of this Financial Review. Further details regarding private and other equity investments are included in the Market Risk Management – Equity And Other Investment Risk section, and further details regarding gains or losses related to our equity investment in BlackRock are included in the Business Segments Review section.

In the second quarter 2014, we expect fee-based noninterest income to increase in the low single digits, on a percentage basis, compared to first quarter 2014, reflecting our continued focus on our strategic priorities.

Assuming a continuation of the current economic environment, we expect that full year 2014 revenue will be under some pressure, and as a result, could likely be down compared to full year 2013 revenue due to expected purchase accounting accretion declines as well as lower residential mortgage revenues.

PROVISION FOR CREDIT LOSSES