PNC Financial reported third-quarter net income of $834 million, down from $912 million in the second quarter and $1.1 billion in the same year-ago period. Third quarter 2010 included an after-tax gain of $328 million on the sale of PNC Global Investment Servicing. For the first nine months of 2011 the company earned net income of $2.6 billion compared with $2.6 billion for the first nine months of 2010.

Total revenue for the quarter and the first nine months was $3.54 billion and $10.8 billion, respectively compared to $3.60 billion and $11.3 billion for the same periods in 2010.

PNC said net charge-offs decreased in the linked quarter comparison primarily due to declines in commercial real estate loan net charge-offs and residential real estate loan net charge-offs partially offset by an increase in commercial loan net charge-offs.

The provision for credit losses was $261 million for the third quarter of 2011 versus $486 million for the third quarter of 2010. For the first nine months, provision charges were $962 million, down from $2.06 billion for the same quarter last year. The decreases were driven by overall credit quality improvement and continued actions to reduce exposure levels.

“PNC’s results for the third quarter were driven by strong performance across our businesses and markets as we continued to grow customers, loans and deposits,” said James E. Rohr, chairman and chief executive officer. “We increased capital and managed risk by improving overall credit quality. We are managing expenses effectively so we can further invest in products and services. Despite softness in the economy, we believe our business model will continue to deliver quality growth in the future.”

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