WATERBURY, Conn.--(BUSINESS WIRE)--June 26, 2000--Webster Financial Corporation (Nasdaq:WBST) today announced that it has completed its acquisition of Hartford-based MECH Financial, Inc., the holding company for Mechanics Savings Bank.
The merger agreement was approved recently by MECH shareholders. The merger was announced in December and regulatory approvals were received earlier this month. Under terms of the agreement, MECH shareholders will receive 1.52 shares of Webster common stock for each outstanding share of MECH common stock.
"Our acquisition of Mechanics Savings Bank significantly enhances Webster's franchise in Hartford County, where we already rank number two in deposit market share," said James C. Smith, Webster chairman and chief executive officer. "Mechanics customers will benefit from having greater convenience through our extensive network of branches and ATMs and will enjoy a broader selection of services. We will make the transition to Webster simple and convenient for our new customers."
With the addition of Mechanics, Webster has more than $11 billion in assets, ranking it as the fifth largest New England based bank. The acquisition is expected to contribute positively to Webster's earnings per share in 2001. Webster expects to account for the transaction under the purchase accounting method.
Connecticut-based Webster Bank provides business and consumer banking, mortgage, insurance, trust and investment services through more than 125 banking offices, 200 ATMs and the Internet (www.websterbank.com). Webster's online mortgage subsidiary at www.nowlending.com on the Worldwide Web originates low-cost mortgages across the United States.
For more information on Webster, including past press releases and the latest Annual Report, visit the Webster Bank website at www.websterbank.com.
CONTACT: Media:
Jim Kalach, 203-578-2461
jkalach@websterbank.com
Investors: James Sitro, 203-578-2399
jsitro@websterbank.com