News Details

WATERBURY, Conn.--(BUSINESS WIRE)--March 15, 2001--Webster Financial Corporation (Nasdaq: WBST), holding company for Webster Bank, announced today that it has acquired Center Capital Corporation, a privately-held equipment financing company with assets of $260 million headquartered in Farmington, Conn. Terms for the cash transaction were not disclosed. The transaction will be accounted for using the purchase accounting method of accounting.

Center Capital finances commercial and industrial equipment through installment sales and leasing programs to customers in all 50 states. The firm employs a staff of 60 and will continue to operate under the Center Capital name.

"We are pleased to announce this strategic partnership, which provides Webster with the opportunity to enter the specialty commercial finance field. Center Capital is a very well managed company helping small and middle market companies finance their machine tool, environmental, construction and transportation equipment needs," said William T. Bromage, Webster president.

"This transaction represents another major step forward as we continue to broaden our commercial bank product offerings,"Bromage said. "For Webster's regional business customers, we now add Center Capital's recognized expertise in equipment financing to the growing list of financial services we provide."

Center Capital is the former leasing subsidiary of Center Bank, whose parent company, Center Financial Corporation, was acquired by First Union. Center Capital was spun off to its senior management in 1996.

"Center Capital and Webster share a commitment to providing the financial services that small and middle-market business customers require," said Mitchell D. Weiss, Center Capital president. "This strategic partnership will allow us to leverage skills and relationships, while providing us greater growth opportunities going forward."

Connecticut-based Webster Bank provides business and consumer banking, mortgage, insurance, trust and investment services through more than 100 banking offices, 220 ATMs and the Internet (www.websterbank.com). Webster holds a majority interest in Duff & Phelps, an independent financial advisor and investment bank with offices in Chicago, New York, Los Angeles and Raleigh-Durham that provides expertise in middle-market mergers and acquisitions, private placements, fairness opinions, valuations and ESOP and ERISA advisory services. 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 1999 Annual Report, visit the Webster Bank website at www.websterbank.com. Statements in this press release regarding Webster Financial Corporation's business that are not historical facts are "forward looking statements" that involve risks and uncertainties. For a discussion of such risks and uncertainties, which could cause actual results to differ from those contained in the forward-looking statement, see "Forward Looking Statements" in the Company's Annual Report for the most recently ended fiscal year.

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