While Springfield area customers will not likely notice major changes beyond things like signage and the logo on their debit cards, the one thing that will change is the man at the top.
Springfield National City President John Federer’s job was a casualty of the deal.
“That’s big business and I know that. I wish everyone the best,” said the 34-year banking industry veteran.
Federer started with BancOhio’s corporate division in Columbus in 1981. A year later, he moved to Springfield, where he eventually oversaw community banks across Ohio in cities and towns including Springfield, Marion, Cambridge and Chesapeake.
BancOhio merged with National City in 1984.
“It has been a great experience and I have learned so much. Over the years, I have learned what makes businesses succeed and what can make them fail. ... It’s really been about relationships and people.”
Federer had nothing but compliments for his staff over the years, many of whom have worked for the company for almost as long as he did.
“The employees are fabulous,” he said, “and they are what makes the organization successful.”
Now that Federer’s daily schedule no longer includes the daily grind, he’s investigating ways to continue his community involvement.
While he would not divulge details, he said there will be other business ventures for him in Springfield, a town he’s called home for nearly three decades.
“This community has given me so many opportunities. I always tried to make Springfield a better place, but what has been given to me is far more important than anything I’ve ever given,” he said.
Springfield will now be considered part of the Dayton region and will be led by Regional President Jim Hoehn, said Fred Solomon, PNC spokesman.
Even though the regional president will be located in Dayton, Solomon said Hoehn “will have significant connections to the communities he serves. ...Under the regional president system, there will be essentially no change in the oversight of our market.”
Solomon could not offer additional information about restructuring or restaffing, but said he does not anticipate further job losses.
Earlier this year, Solomon said, PNC announced it would reduce overall staffing by about 5,800. About 500 positions are at banks in western Pennsylvania that will be divested, so the jobs will not be lost, but will no longer be a part of PNC.
Included in that 5,800 are about 4,000 jobs that were cut from National City before the deal with PNC closed.
At the end of the last quarter, PNC’s employment roles were at about 59,000 in the U.S. and abroad.
“Some portion of the staff reduction has already been taken,” Solomon said.
The company expects to complete the cuts — which are expected to save about $1.2 billion annually — by 2011.
PNC announced the job cuts after the acquisition and stated it would post a loss for the fourth quarter.
The company cited a loss of $248 million, in part because of costs associated with the purchase of National City. Excluding merger and integration costs, PNC stated net income of $132 million.
Contact this reporter at (937) 328-0371 or elroberts@coxohio.com.
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