PNC Financial Services Group isn?t afraid to grow.
Following its acquisition and current rebranding campaign of Mercantile Bancshares, the Pittsburgh-based agency is launching a campaign into New Jersey. Entrenching itself in the mid-Atlantic region, PNC is purchasing Yardville National Bancorp for a mixture of $14 in cash and .2923 shares of PNC for each share of Yardville. Together, the stock-and-cash package is priced at about $35 per allotment for shareholders. Friday, shares of Yardville were trading for $35.10.
At the end of the transaction, PNC will add Yardville?s 33 branches to its nearly 300 existing locations in New Jersey. The locations are believed to be of great value because of the wealthy demographic they serve, a Morningstar report indicated last month.
“This acquisition is consistent with our strategy of expanding PNC?s distribution in the rapidly growing and affluent mid-Atlantic region,” Joseph C. Guyaux, president of PNC, said in a statement.
PNC also has been growing its name in the Baltimore region, including a sponsorship with the Baltimore Symphony Orchestra to stabilize ticket prices and a deal with the Baltimore Orioles to advertise around Camden Yards.
Power tool company has highs, lows
It?s been quite a ride for Black & Decker.
Battling a housing market that has seen a dramatic drop in construction of new houses, the Towson-based home improvement and power tool company appeared to havegood news when it released its first-quarter results for 2007. According to the financial documents, the company set a record by selling more than $1.6 billion worth of merchandise.
However, that wasn?t enough to keep the company from lowering its fiscal estimates for both this year and next. Thursday, the company dropped its current earnings-per-share estimate from $6.50 to $6.48, as well as next year?s projection from $7.11 to $7.10.
“Restricting initiatives over the past several years have better positioned Black & Decker to withstand cyclical downturns and increased cost pressures,” said Morningstar analyst John Kearney in his most recent report on the company.
PNC and Black & Decker are both part of The Examiner Top 10, a portfolio of some of the largest publicly traded companies in the region.
