Treasury says to raise $20.4 mln on Webster warrants

WASHINGTON, June 3 Fri Jun 3, 2011 8:39am EDT

WASHINGTON, June 3 (Reuters) - The U.S. Treasury Department on Friday said it expected to raise $20.4 million from the sale of 3.3 million warrants to purchase shares of Webster Financial Corp (WBS.N).

"These proceeds provide an additional return to the American taxpayers from Treasury's investment in the company beyond the dividend payment it received on the related preferred stock," Treasury said in a statement.

(Reporting by Doug Palmer; Editing by Chizu Nomiyama)