City National Welcomes National Diversity Coalition’s Support For Proposed Merger With RBC
June 24, 2015
LOS ANGELES – City National Bank today welcomed the National Diversity Coalition’s decision to support the company’s planned merger with Royal Bank of Canada (RBC).
In a June 24, 2015 letter to the Federal Reserve Board, the coalition said, “it is our request that Royal Bank of Canada’s request to acquire City National be expedited and no Public Hearings be held.”
“We’re very pleased that members of the National Diversity Coalition have elected to support City National’s proposed merger with RBC,” said Chairman and CEO Russell Goldsmith. “The coalition consists of organizations that are deeply committed to increasing economic opportunity in traditionally underserved communities. City National shares that commitment, and we look forward to working with the coalition and all of our community partners to make real progress in the years ahead. Our company is – and is committed to remaining -- an outstanding advocate and supporter of our communities.”
City National has announced a five-year, $11 billion commitment for small business lending, community development, affordable housing and more. This landmark pledge superseded the bank’s previous commitment of $17 billion over 10 years.
View the commitment: https://www.cnb.com/SiteCollectionDocuments/PDFs/CNB-2015-Community-Commitment.pdf
The bank made its recent commitment shortly after announcing plans to merge with RBC in a deal that is expected to close later this year. RBC fully supports and stands behind City National’s commitment.
Among other things, City National will take affirmative steps to work with and support African-American, Latino, Asian and other minority groups. This will include a focus on faith-based organizations. The bank’s intention, with assistance from these groups and organizations, is to identify, support and participate in their affordable housing and economic development-sponsored initiatives. The bank also will consider opportunities to lead and participate in innovative “new models” introduced by community and faith-based groups, including multi-bank consortia to fund capacity-building grants.
Working in conjunction with three of California’s leading utilities, City National recently announced an initiative to provide up to $350 million in new small business loans to hundreds of minority-and-women-owned small business suppliers of Southern California Edison, the Southern California Gas Company and the San Diego Gas & Electric Company.
“This program represents an innovative approach to community reinvestment,” Goldsmith said, “and it underscores our continuing commitment to find ways of responsibly helping minority and women entrepreneurs with financial advice and support.”
About City National
City National Corporation (NYSE: CYN) has $32.7 billion in assets. The company’s wholly owned subsidiary, City National Bank, provides banking, investment and trust services through 75 offices, including 16 full-service regional centers, in Southern California, the San Francisco Bay Area, Nevada, New York City, Nashville and Atlanta. City National and its investment affiliates manage or administer $62.0 billion in client investment assets, including $48.4 billion under direct management.
On January 22, 2015, City National announced plans to merge with Royal Bank of Canada. This transaction is expected to close later this year, pending regulatory approval and other customary closing conditions.
For more information about City National, visit the company’s Website at cnb.com.
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Certain statements contained in this communication may be deemed to be forward-looking statements under certain securities laws, including the “safe harbor” provisions of the United States Private Securities Litigation Reform Act of 1995 and any applicable Canadian securities legislation. These forward-looking statements include, but are not limited to, statements about the expected effects of the acquisition of City National Corporation by Royal Bank of Canada, the expected timing of the acquisition and other statements other than in relation to historical facts. Forward-looking statements are typically identified by words such as “believe”, “expect”, “foresee”, “forecast”, “anticipate”, “intend”, “estimate”, “goal”, “plan” and “project” and similar expressions of future or conditional verbs such as “will”, “may”, “should”, “could”, or “would”.
By their very nature, forward-looking statements require us to make assumptions and are subject to inherent risks and uncertainties, many of which are outside the control of Royal Bank of Canada and City National Corporation. Forward-looking statements speak only as of the date they are made and, except as required by law, neither party assumes an obligation to update the forward-looking statements contained in this communication. Any annualized, pro forma, projected and estimated numbers in this communication are used for illustrative purposes only, are not forecasts and may not reflect actual results. We caution readers not to place undue reliance on these statements as a number of important factors could cause our actual results to differ materially from the expectations expressed in such forward-looking statements. These factors include, but are not limited to, the possibility that the proposed transaction does not close when expected or at all because required regulatory or other approvals are not received or other conditions to the closing are not satisfied on a timely basis or at all, or that the anticipated benefits of the transaction are not realized when expected or at all, including as a result of the strength of the economy and competitive factors in the areas where Royal Bank of Canada and City National Corporation do business; the impact of changes in the laws and regulations regulating financial services and enforcement thereof; the effects of competition in the markets in which Royal Bank of Canada and City National Corporation operate; judicial or regulatory judgments and legal proceedings; Royal Bank of Canada’s ability to complete the acquisition and integration of City National Corporation successfully; and other factors that may affect future results of Royal Bank of Canada and City National Corporation including timely development and introduction of new products and services, Royal Bank of Canada’s ability to cross-sell more products to customers and technological changes.
We caution that the foregoing list of important factors is not exhaustive. Additional information about these and other factors can be found in Royal Bank of Canada’s 2014 Annual Report on Form 40-F and City National Corporation’s 2014 Annual Report on Form 10-K, each filed with the U.S. Securities and Exchange Commission (the “SEC”) and available at the SEC’s website (http://www.sec.gov). Royal Bank of Canada’s material general economic assumptions underlying certain of the forward-looking statements in this press release are set out in its 2014 Annual Report under the heading “Overview and Outlook — Economic and market review outlook” and for each business segment under the heading “Outlook and priorities”.
IMPORTANT ADDITIONAL INFORMATION
In connection with the proposed transaction, Royal Bank of Canada has filed with the SEC a Registration Statement on Form F-4 that includes a Proxy Statement of City National Corporation and a Prospectus of Royal Bank of Canada, as well as other relevant documents concerning the proposed transaction. This communication does not constitute an offer to sell or the solicitation of an offer to buy any securities or a solicitation of any vote or approval. STOCKHOLDERS OF CITY NATIONAL CORPORATION ARE URGED TO READ THE REGISTRATION STATEMENT AND THE DEFINITIVE PROXY STATEMENT / PROSPECTUS REGARDING THE TRANSACTION AND ANY OTHER RELEVANT DOCUMENTS FILED WITH THE SEC, AS WELL AS ANY AMENDMENTS OR SUPPLEMENTS TO THOSE DOCUMENTS, BECAUSE THEY WILL CONTAIN IMPORTANT INFORMATION. Stockholders can obtain a free copy of the Registration Statement on Form F-4, the definitive Proxy Statement / Prospectus, as well as other filings containing information about Royal Bank of Canada and City National Corporation, without charge, at the SEC’s website (http://www.sec.gov). Copies of the Prospectus, the Registration Statement on Form F-4, and the Definitive Proxy Statement, and the filings with the SEC that are incorporated by reference in the Prospectus, the Registration Statement on Form F-4 and the Definitive Proxy Statement can also be obtained, without charge, by directing a request to Royal Bank of Canada, 200 Bay Street, 4th Floor, North Tower, Toronto, ON, M5J 2W7, Attention: Investor Relations, 416-955-7802 or to City National Corporation, Investor Relations, 555 South Flower Street, 9th Floor, Los Angeles, CA 90071, 213-673-7615.