CORRECTED - CORRECTED-UPDATE 1-Webster Financial sees 9 pct EPS dilution fro
(Corrects Nov. 18 story to remove reference to liquidating home equity portfolio in paragraph 3)
Nov 18 (Reuters) - Webster Financial Corp (WBS.N), one of the largest banks in New England, expects the $400 million in capital it is due to receive from the U.S. Treasury to dilute earnings per share by 9 percent, slides due to be presented at an investor conference on Tuesday showed.
The company said in early November it will get the capital by issuing up to $400 million in senior preferred shares and providing warrants for up to an additional $60 million in common stock to the U.S. Treasury.
The company is looking at alternatives regarding non-performing assets, like obtaining appraisals on all nonaccrual residential development loans, according to the presentation slides, which are displayed on the company's website. here 2/BostonMeetingsNovember2008.pdf Webster Bank, a subsidiary of the company, had said last week it plans to temporarily suspend foreclosures for at least 90 days for all qualified homeowners who were more than 30 days delinquent on their residential mortgages as of Nov. 4. [ID:nBNG426114]
Shares of the company fell more than 1 percent to $14.85, but later recovered their losses to trade up 26 cents at $15.33 Tuesday morning on the New York Stock Exchange. (Reporting by Anurag Kotoky in Bangalore; Editing by Pratish Narayanan)
