PNC earnings rise

PNC earnings rise

PITTSBURGH

PNC Financial Services Group Inc. reported a nearly 13 percent increase in second-quarter earnings Wednesday, easily beating Wall Street expectations.

PNC posted net income of $888 million, or $1.67 per share, for the three months ending June 30. That was up from $786 million, or $1.47 per share, in the same quarter a year ago.

The Pittsburgh bank said its provision for loan losses — money set aside to cover souring loans — dropped to $280 million, about one-third of the $823 million provision in the year-ago quarter.

PNC recently declared a quarterly common stock cash dividend of 35 cents per share payable Aug. 5.

Last month, PNC said it was buying the U.S. retail operations of Royal Bank of Canada for $3.45 billion. The transaction will bring PNC’s total to 2,870 branches and make it the fifth biggest among U.S. banks.

American orders 460 planes from Boeing

fort worth, texas

American Airlines is revamping its fleet with a record order for at least 460 new jets, a move it says will save fuel and give passengers a quieter, more comfortable ride. The airline pulled off the deal by convincing rival aircraft makers Airbus and Boeing to provide generous financing.

American said Wednesday that it will order 260 planes from Airbus and 200 from rival Boeing Co., and take options to buy 465 more.

Zillow website soars

new york

Investors rushed to grab shares of real-estate website Zillow on Wednesday, valuing the company at as much as $1.6 billion.

Zillow Inc., which has never made a profit, is another beneficiary of strong investor demand for the latest crop of Internet stocks.

Zillow’s shares tripled in their trading debut on the Nasdaq stock market. Zillow shares rose as high as $60 before settling back to $38.80 in midday trading.

China appeals to US

beijing

China, the biggest holder of U.S. Treasury debt, appealed to Washington on Wednesday to take steps to boost confidence in the dollar and protect its investors.

China’s foreign currency regulator cited reports by rating agencies such as Standard & Poor’s about possible risks to the U.S. sovereign credit rating amid conflict over whether to increase the amount the government can borrow. China held some $1.15 trillion in Treasury debt as of the end of April, according to U.S. government data.

Vindicator staff/wire reports

Selected local stocks

STOCK, DIVIDENDCLOSECHANGE

Aqua America, .62, 22.16 .14

Avalon Holdings,2.65—.06

Clear Channel, .63 58.67 —.79

Cortland Bancorp, 7.15.09

Farmers Nat., .12, 4.85 .00

First Energy, 2.20, 43.43.34

FirstMerit Corp., .64,16.52 .01

First Niles Financial, .32,7.50.00

First Place Fin., .77—.03

FNB Corp., .48,10.24.03

General Motors,29.24—.09

General Electric, .60,18.79.21

Motors Liquidation, .0422.00

Huntington Bank, .04, 6.31.05

JP Morgan Chase, 1.00,40.96.57

Key Corp, .12,8.27.21

LaFarge, 13.75 .30

Macy’s, .40, 29.60—.54

Parker Hannifin, 1.48, 87.24—.28

PNC, 1.40,55.59—.24

RTI Intl. Metals,34.13.12

Simon Prop. Grp.,3.20,120.50.27

Stoneridge 14.61 .16

United Community Fin. 1.22—.03

Selected prices at 4 p.m. Wednesday. Provided by Stifel Nicolaus. Not to be construed as an offer or recommendation to buy or sell any security.