* Says repurchase not subject to issuance of capital
* Says repurchase to occur on March 3
* Says will record charge in Q1 2010.
March 1 Webster Financial Corp (WBS.N) said it
received U.S. governmental approval to repurchase $100 million,
or 25 percent, of the shares of preferred stock issued to the
Treasury under the Capital Purchase Program.
The holding company for Webster Bank said the repurchase is
not subject to the issuance of additional capital or other
conditions from the Treasury.
The company said the repurchase is expected to occur on
March 3 and will accelerate the accretion of the remaining $1.6
million discount related to the preferred shares.
The company said it would record a reduction in retained
earnings due to the repurchase in the first quarter of 2010.
Webster added its ratio of Tier common to risk-weighted
assets will not be affected by the repurchase.
Shares of the company closed at $16 Friday on the New York
(Reporting by Jochelle Mendonca in Bangalore; Editing by