Webster to Continue Participation in FDIC's Temporary Liquidity Guarantee Program

Dec 08, 2008

WATERBURY, Conn., Dec. 8 /PRNewswire-FirstCall/ -- Webster Financial Corporation (NYSE: WBS), the holding company for Webster Bank, N.A., today announced it will continue to participate in the FDIC's Temporary Liquidity Guarantee Program, which consists of the Transaction Account Guarantee Program ("TAGP") and the Debt Guarantee Program ("DGP"). The Temporary Liquidity Guarantee Program was designed to strengthen confidence and encourage liquidity in the banking system.

Webster's participation in the TAGP provides its customers with unlimited FDIC coverage on all noninterest-bearing transaction deposit accounts, NOW accounts paying no more than 0.50 percent and all IOLTA (Interest On Lawyer Trust Accounts) deposit accounts through Dec. 31, 2009. Coverage for depositors under the TAGP is in addition to and separate from the coverage available under the FDIC's general insurance rules for deposits up to $250,000 through Dec. 31, 2009.

The DGP provides for the FDIC guarantee of newly issued senior unsecured debt of eligible financial institutions. Through the DGP, Webster could issue FDIC guaranteed senior unsecured debt on or before June 30, 2009 with a maturity of June 30, 2012 or sooner.

Forward-looking Statements

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 that could cause actual results to differ from those contained in the forward-looking statement, see "Forward Looking Statements" in Webster's Annual Report for 2007. Except as required by law, Webster does not undertake to update any such forward looking information.

Webster Financial Corporation is the holding company for Webster Bank, National Association. With $17.5 billion in assets, Webster provides business and consumer banking, mortgage, financial planning, trust and investment services through 181 banking offices, 484 ATMs, telephone banking and the Internet. Webster Bank owns the asset-based lending firm Webster Business Credit Corporation, the insurance premium finance company Budget Installment Corp., Center Capital Corporation, an equipment finance company headquartered in Farmington, Conn., and provides health savings account trustee and administrative services through HSA Bank, a division of Webster Bank. Member FDIC and equal housing lender. For more information about Webster, including past press releases and the latest annual report, visit the Webster website at www.WebsterOnline.com.

SOURCE Webster Financial Corporation
CONTACT: Media: Ed Steadham, +1-203-578-2287, esteadham@websterbank.com;
Investors: Terry Mangan, +1-203-578-2318, tmangan@websterbank.com