Goodwill and Other Intangible Assets (Tables)

12 Months Ended

Dec. 31, 2014

Goodwill and Other Intangible Assets Disclosure [Abstract]

Goodwill by Business Segment

Note 8 Goodwill and Other Intangible Assets
Assets and liabilities of acquired entities are recorded at estimated fair value as of the acquisition date.
Goodwill
Changes in goodwill by business segment during 2014 and 2013 follow:
Table 91: Changes in Goodwill by Business Segment (a)
				Corporate &		Asset
		Retail		Institutional		Management
In millions		Banking		Banking		Group		Total
December 31, 2012		$	5,794	$	3,214	$	64	$	9,072
Other			1		1				2
December 31, 2013		$	5,795	$	3,215	$	64	$	9,074
Other					29				29
December 31, 2014		$	5,795	$	3,244	$	64	$	9,103
(a)	The Residential Mortgage Banking and Non-Strategic Assets Portfolio business segments did not have any goodwill allocated to them during 2014 and 2013.

Other Intangible Assets

Table 92: Other Intangible Assets
				December 31		December 31
In millions				2014		2013
Customer-related and other intangibles
	Gross carrying amount (a)			$	1,502	$	1,676
	Accumulated amortization (a)				(1,009)		(1,096)
		Net carrying amount		$	493	$	580
Mortgage servicing rights (b)
	Gross carrying amount			$	1,351	$	2,620
	Valuation allowance						(88)
	Accumulated amortization						(896)
		Net carrying amount		$	1,351	$	1,636
			Total	$	1,844	$	2,216
(a)	The decrease in the gross carrying amount and accumulated amortization from December 31, 2013 was due to the removal of fully amortized assets.
(b)	Upon the first quarter 2014 irrevocable election of fair value for commercial MSRs, the gross carrying amount of MSRs as of December 31, 2014 represents the fair value of commercial and residential MSRs.

Amortization Expense on Existing Intangible Assets

Table 93: Amortization Expense on Existing Intangible Assets
In millions
2012 (a)		$	310
2013 (a)			243
2014			128
2015			114
2016			97
2017			83
2018			72
2019			61
(a)	Amounts include amortization expense related to commercial MSRs. As of January 1, 2014, PNC made an irrevocable election to measure commercial MSRs at fair value, and, accordingly, amortization expense for commercial MSRs is no longer recorded.

Summary Of Changes In Customer-Related and Other Intangible Assets

Changes in customer-related intangible assets during 2014 and 2013 follow:
Table 94: Summary of Changes in Customer-Related and Other Intangible Assets
	Customer-
In millions	Related
December 31, 2012	$	726
Amortization		(146)
December 31, 2013	$	580
Additions		41
Amortization		(128)
December 31, 2014	$	493

Commercial Mortgage Servicing Rights

Changes in commercial MSRs during 2013 and 2012, prior to the irrevocable fair value election, follow:
Table 96: Commercial Mortgage Servicing Rights Accounted for Under the Amortization Method
In millions		2013		2012
Commercial Mortgage Servicing Rights - Net Carrying Amount
January 1		$	420	$	468
Additions (a)			138		73
Amortization expense (b)			(97)		(142)
Change in valuation allowance			88		21
	December 31	$	549	$	420
Commercial Mortgage Servicing Rights - Valuation Allowance
January 1		$	(176)	$	(197)
Provision			(21)		(46)
Recoveries			108		43
Other (b)			1		24
	December 31	$	(88)	$	(176)
(a)	Additions for 2013 included $53 million from loans sold with servicing retained and $85 million from purchases of servicing rights from third parties.
	Comparable amounts were $45 million and $28 million, respectively, for 2012.
(b)	Includes a direct write-down of servicing rights for $24 million recognized in the first quarter of 2012 primarily due to market-driven changes in interest rates.

Commercial and Residential Mortgage Servicing Rights

Changes in commercial MSRs accounted for at fair value during 2014 follow:
Table 95: Commercial Mortgage Servicing Rights Accounted for at Fair Value
In millions		2014
January 1		$	552
Additions:
	From loans sold with servicing retained		53
	Purchases		43
Changes in fair value due to:
	Time and payoffs (a)		(89)
	Other (b)		(53)
December 31		$	506
Unpaid principal balance of loans serviced for others at December 31		$	143,738
(a)	Represents decrease in MSR value due to passage of time, including the impact from both regularly scheduled loan principal payments and loans that were paid down or paid off during the period.
(b)	Represents MSR value changes resulting primarily from market-driven changes in interest rates.

Changes in the residential MSRs follow:
Table 97: Residential Mortgage Servicing Rights
In millions		2014		2013		2012
January 1		$	1,087	$	650	$	647
Additions:
	From loans sold with servicing retained		85		158		117
	RBC Bank (USA) acquisition (a)						16
	Purchases		45		110		175
Sales					(4)
Changes in fair value due to:
	Time and payoffs (b)		(134)		(193)		(167)
	Other (c)		(238)		366		(138)
December 31		$	845	$	1,087	$	650
Unpaid principal balance of loans serviced for others at December 31		$	108,010	$	113,994	$	119,262
(a)	See Note 2 Acquisition and Divestiture Activity in our 2013 Form 10-K for additional discussion of our 2012 acquisition of RBC Bank (USA).
(b)	Represents decrease in MSR value due to passage of time, including the impact from both regularly scheduled loan principal payments and loans that were paid down or paid off during the period.
(c)	Represents MSR value changes resulting primarily from market-driven changes in interest rates.

Commercial Mortgage Loan Servicing Assets - Key Valuation Assumptions

Table 98: Commercial Mortgage Loan Servicing Rights - Key Valuation Assumptions
		December 31			December 31
Dollars in millions		2014			2013
Fair value		$	506		$	552
Weighted-average life (years)			4.7			5.3
Weighted-average constant prepayment rate			8.03	%		7.52	%
	Decline in fair value from 10% adverse change	$	10		$	12
	Decline in fair value from 20% adverse change	$	19		$	23
Effective discount rate			6.59	%		6.91	%
	Decline in fair value from 10% adverse change	$	13		$	18
	Decline in fair value from 20% adverse change	$	26		$	35

Residential Mortgage Loan Servicing Assets - Key Valuation Assumptions

Table 99: Residential Mortgage Loan Servicing Rights - Key Valuation Assumptions
		December 31			December 31
Dollars in millions		2014			2013
Fair value		$	845		$	1,087
Weighted-average life (years)			6.1			7.9
Weighted-average constant prepayment rate			11.16	%		7.61	%
	Decline in fair value from 10% adverse change	$	36		$	34
	Decline in fair value from 20% adverse change	$	69		$	67
Weighted-average option adjusted spread			10.36	%		10.24	%
	Decline in fair value from 10% adverse change	$	31		$	47
	Decline in fair value from 20% adverse change	$	61		$	91

Fees from Mortgage Loan Servicing

Table 100: Fees from Mortgage and Other Loan Servicing
In millions	2014		2013		2012
Fees from mortgage and other loan servicing	$	503	$	544	$	557