WATERBURY, Conn.--(BUSINESS WIRE)--May 18, 2004--Webster Financial
Corporation (NYSE: WBS), the holding company for Webster Bank,
National Association, announced today that the former stockholders of
FIRSTFED AMERICA BANCORP, INC. will receive an aggregate of
approximately $183.7 million in cash and 6.7 million shares of Webster
common stock as a result of the merger of FIRSTFED with and into
Webster completed on May 14, 2004. Based on the final election results
and applying the proration provisions set forth in the merger
agreement, the merger consideration will be paid as follows:
- Former FIRSTFED stockholders who made a valid election to
receive cash in the merger will receive $24.50 in cash per
share, without interest;
- Former FIRSTFED stockholders who made a valid election to
receive Webster common stock in the merger will receive 0.5954
shares of Webster common stock for approximately 65.4% of
their FIRSTFED shares, and will receive $24.50 in cash per
share, without interest, for the remainder of their FIRSTFED
shares. On a per share basis, this translates to an effective
exchange ratio of 0.38937 of a share of Webster common stock
and a cash payment of approximately $8.48, without interest.
The effective exchange ratio was determined by multiplying the
0.5954 exchange ratio set forth in the merger agreement by the
percentage of FIRSTFED stock election shares to be converted
into Webster stock, and the cash payment was determined by
multiplying the $24.50 price set forth in the merger agreement
by the percentage of FIRSTFED stock election shares to be
converted into cash; and
- Former FIRSTFED stockholders who did not make a valid election
will receive $24.50 in cash per share, without interest.
Webster Financial Corporation is the holding company for Webster
Bank, National Association and Webster Insurance. With $17 billion in
assets, Webster provides business and consumer banking, mortgage,
insurance, financial planning, trust and investment services through
145 banking offices, 266 ATMs, telephone banking and the Internet.
Webster Bank, N.A. owns the asset-based lending firm Webster Business
Credit Corporation, the insurance premium finance company Budget
Installment Corp., and Center Capital Corporation, an equipment
finance company headquartered in Farmington, Connecticut. For more
information about Webster, including past press releases and the
latest Annual Report, visit the Webster website at
www.websteronline.com.
CONTACT: Webster Financial Corporation
Media Contact:
Meghan Thompson, 203-578-2287
Mthompson@websterbank.com
or
Clark Finley, 203-578-2429
cfinley@websterbank.com
or
Investor Contact:
Terry Mangan, 203-578-2318
tmangan@websterbank.com
SOURCE: Webster Financial Corporation