Chittenden Bank parent People’s United Financial Reports Third Quarter Earnings

first_imgPeople’s United Financial Reports Third Quarter Earnings of $46 Million or $0.14 Per Share.greyBox { padding:20px 0px 20px 20px; background-color:#cfcfcf;}.boxText { font-size:11px; font-weight:bold;}.boxTextHeading { font-size:13px; font-weight:bold;}#auto { display:block;}#banking { display:none;}#energy { display:none;}#entertainment { display:none;}#government { display:none;}#health { display:none;}#heavyindustry { display:none;}#investors { display:none;}#international { display:none;}#multicultural { display:none;}#retail { display:none;}#sports { display:none;}#technology { display:none;}#technology { display:none;}#travel { display:none;}#trade { display:none;}#businessservices { display:none;}#publicissues { display:none;}#prndirect { display:none;}#prtoolkit { display:none;} .bottomBlueBox { border-bottom: solid 1px #B7C5DD; background-color: #f3f6fa;}.topBlueBox { border-top: solid 1px #B7C5DD; background-color: #f3f6fa;}.leftBlueBox { border-left: solid 1px #B7C5DD; background-color: #f3f6fa;}.rightBlueBox { border-right: solid 1px #B7C5DD; background-color: #f3f6fa;}.bottomBlueBox { border-bottom: solid 1px #B7C5DD; background-color: #f3f6fa;}.blueText { font-size:10px; color:#336699;}–>// Get the year for the footervar today = new Date();var thisYear = today.getFullYear();function getLinkName(iconName) { return iconName + ‘- ‘ + document.getElementById(‘headline’).innerHTML;}var images_on = new Array();images_on[0] = new Image(41,21);images_on[0].src = “/news/images/menu/1home_on.gif”;images_on[1] = new Image(81,21);images_on[1].src = “/news/images/menu/1uplo_on.gif”;images_on[2] = new Image(81,21);images_on[2].src = “/news/images/menu/1toda_on.gif”;images_on[3] = new Image(67,21);images_on[3].src = “/news/images/menu/1mult_on.gif”;images_on[4] = new Image(106,21);images_on[4].src = “/news/images/menu/1indu_on.gif”;images_on[5] = new Image(77,21);images_on[5].src = “/news/images/menu/1inte_on.gif”;images_on[6] = new Image(78,21);images_on[6].src = “/news/images/menu/1ours_on.gif”;images_on[7] = new Image(83,21);images_on[7].src = “/news/images/menu/1inve_on.gif”;images_on[8] = new Image(60,21);images_on[8].src = “/news/images/menu/1abou_on.gif”;images_on[9] = new Image(67,21);images_on[9].src = “/news/images/menu/1cont_on.gif”;images_on[10] = new Image(77,13);images_on[10].src = “../images/2aind_on.gif”;images_on[11] = new Image(34,21);images_on[11].src = “/news/images/menu/1rssf_on.gif”;var images_off = new Array();images_off[0] = new Image(41,21);images_off[0].src = “/news/images/menu/1home_off.gif”;images_off[1] = new Image(81,21);images_off[1].src = “/news/images/menu/1uplo_off.gif”;images_off[2] = new Image(81,21);images_off[2].src = “/news/images/menu/1toda_off.gif”;images_off[3] = new Image(67,21);images_off[3].src = “/news/images/menu/1mult_off.gif”;images_off[4] = new Image(106,21);images_off[4].src = “/news/images/menu/1indu_off.gif”;images_off[5] = new Image(77,21);images_off[5].src = “/news/images/menu/1inte_off.gif”;images_off[6] = new Image(78,21);images_off[6].src = “/news/images/menu/1ours_off.gif”;images_off[7] = new Image(83,21);images_off[7].src = “/news/images/menu/1inve_off.gif”;images_off[8] = new Image(60,21);images_off[8].src = “/news/images/menu/1abou_off.gif”;images_off[9] = new Image(67,21);images_off[9].src = “/news/images/menu/1cont_off.gif”;images_off[10] = new Image(77,13);images_off[10].src = “../images/2aind_off.gif”;images_off[11] = new Image(34,21);images_off[11].src = “/news/images/menu/1rssf_off.gif”;function imgOff(id, idx){ var getimage = document.getElementById(id); getimage.src = images_off[idx].src;}function imgOn(id, idx){ var getimage = document.getElementById(id); getimage.src = images_on[idx].src;} var currentView = “auto”; function showRow(row) { hideRow(currentView); var theRow = document.getElementById(row); theRow.style.display = “block”; currentView = row; } function hideRow(row) { var theRow = document.getElementById(row); theRow.style.display = “none”; } function disp(feedId) { divFeed = document.getElementById(feedId); if(divFeed) { if(divFeed.style.display == ‘none’) { divFeed.style.display = ‘inline’; } else { divFeed.style.display = ‘none’; } } if(feedId==’n1′) { document.getElementById(‘n2’).style.display = ‘none’; } else { document.getElementById(‘n1’).style.display = ‘none’; } }       People’s United Financial Reports Third Quarter Earnings of $46 Million or $0.14 Per Share Quarter Characterized by Strong Capital Position and Solid AssetQuality BRIDGEPORT, Conn., Oct. 16 /PRNewswire-FirstCall/ — People’s UnitedFinancial, Inc. (Nasdaq: PBCT) has announced net income of $46.0 million,or $0.14 per share, for the third quarter of 2008, compared to $43.0million, or $0.13 per share, for the second quarter of 2008 and $57.6million, or $0.20 per share, for the third quarter of 2007. Earnings forthe second and third quarters of 2008 reflect continued low levels of netloan charge-offs and further benefit from previously announcedcost-reduction initiatives. People’s United Financial completed its acquisition of ChittendenCorporation on January 1, 2008. Accordingly, People’s United Financial’sthird quarter 2007 results do not include the results of ChittendenCorporation and are not directly comparable to the current quarter’searnings. For the third quarter of 2008, return on average tangible assets was0.99 percent and return on average tangible stockholders’ equity was 5.0percent, compared to 0.91 percent and 4.7 percent, respectively, for thesecond quarter of 2008. The Board of Directors of People’s United Financial declared a $0.15per share quarterly dividend, payable November 15, 2008 to shareholders ofrecord on November 1, 2008. Based on the closing stock price on October 15,2008, the dividend yield on People’s United Financial common stock is 3.9percent. President and Chief Executive Officer, Philip R. Sherringham stated,”Our strength and stability have clearly differentiated our bank in thewake of the current economic and financial sector turmoil. Our performancethis quarter continues to be a reflection of our fortress balance sheet andcontinued strong asset quality, and was further bolstered by an improvementin the net interest margin.” Sherringham added, “We continue to generate healthy loan growth acrossour core lending businesses. Our average commercial banking and home equityloan portfolios increased $146 million, or 6 percent annualized, from thesecond quarter of 2008.” Sherringham concluded, “We remain firmly committed to our goal ofenhancing our premier regional banking franchise. While our strategic focusremains on growth through acquisitions, we continue to invest in ourcommercial, retail banking and wealth management businesses throughout NewEngland. Our balance sheet continues to be funded almost entirely bydeposits and stockholders’ equity. Given the many challenges of today’senvironment, the strength of our capital and liquidity positions, assetquality and earnings set us apart from most in the industry.” “Key drivers of the company’s performance this quarter were an increasein the net interest margin, expense control and ongoing strong assetquality,” said Paul D. Burner, Senior Executive Vice President and ChiefFinancial Officer. “The 15 basis point improvement in the net interestmargin from the second quarter of 2008 reflects the benefits fromdisciplined loan and deposit pricing. Non-interest expense decreasedslightly from the second quarter of 2008, primarily reflecting thecontinued benefit from cost-savings initiatives announced earlier thisyear.” At September 30, 2008, non-performing assets totaled $91.4 million, a$5.0 million increase from June 30, 2008. Non-performing assets equaled0.64 percent of total loans, REO and repossessed assets, compared to 0.60percent at June 30, 2008. The allowance for loan losses as a percentage oftotal loans increased to 1.08 percent at September 30, 2008 compared to1.06 percent at June 30, 2008. Third quarter net loan charge-offs totaled $4.0 million compared to$2.4 million in the second quarter of 2008. Net loan charge-offs as apercent of average loans on an annualized basis were 0.11 percent in thethird quarter of 2008 compared to 0.07 percent in this year’s secondquarter. The provision for loan losses this quarter reflects a $2.8 millionincrease in the allowance for loan losses to $154.5 million at September30, 2008. Commenting on asset quality, Burner stated, “While we expect the levelof non-performing assets to fluctuate in response to changing economic andmarket conditions, we remain comfortable with the current levels and do notsee any pervasive weakness in any sector of the loan portfolio. The ratioof non-performing loans to total loans was stable at 0.59 percent atSeptember 30, 2008 and net loan charge-offs remain extremely low. We feelthat the loan portfolio continues to benefit from our stringentunderwriting standards.” Conference Call On October 17, 2008, at 11 a.m., Eastern Time, People’s UnitedFinancial will host a conference call to discuss this earningsannouncement. The call may be heard through http://www.peoples.com(link is external) by selecting”Investor Relations” in the “About People’s” section on the home page, andthen selecting “Conference Calls” in the “News and Events” section.Additional materials relating to the call may also be accessed at People’sUnited Bank’s web site. The call will be archived on the web site andavailable for approximately 90 days. Fourth Quarter Earnings Release People’s United Financial expects to release its fourth quarter andfull year 2008 earnings on January 22, 2009. Selected Financial Terms In addition to evaluating People’s United Financial’s results ofoperations in accordance with generally accepted accounting principles(“GAAP”), management routinely supplements this evaluation with an analysisof certain non-GAAP financial measures, such as the efficiency ratio.Management believes this non-GAAP financial measure provides informationuseful to investors in understanding People’s United Financial’s underlyingoperating performance and trends, and facilitates comparisons with theperformance of other banks and thrifts. The efficiency ratio, which represents an approximate measure of thecost required by People’s United Financial to generate a dollar of revenue,is the ratio of total non-interest expense (excluding goodwill impairmentcharges, amortization of acquisition-related intangibles and fair valueadjustments, losses on real estate assets and nonrecurring expenses) to netinterest income on a fully taxable equivalent basis (excluding fair valueadjustments) plus total non-interest income (including the fully taxableequivalent adjustment on bank-owned life insurance income, and excludinggains and losses on sales of assets, other than residential mortgage loans,and nonrecurring income). People’s United Financial generally considers anitem of income or expense to be nonrecurring if it is not similar to anitem of income or expense of a type incurred within the last two years andis not similar to an item of income or expense of a type reasonablyexpected to be incurred within the following two years. Managementconsiders the efficiency ratio to be more representative of People’s UnitedFinancial’s ongoing operating efficiency, as the excluded items aregenerally related to external market conditions and non-routinetransactions. 3Q 2008 Financial Highlights Summary — Net income totaled $46.0 million, or $0.14 per share. — Net interest income on a fully taxable equivalent basis totaled $160.8 million. — Net interest margin increased 15 basis points from 2Q08 to 3.71%. — Provision for loan losses totaled $6.8 million. — Net loan charge-offs totaled $4.0 million in 3Q08 compared to $2.4 million in 2Q08. — The allowance for loan losses was increased by $2.8 million in 3Q08 from 2Q08 levels. — Non-interest income totaled $74.2 million, a 1% increase from 2Q08. — Non-interest expense totaled $158.7 million, a $4.2 million, or 3%, decrease from 2Q08. — Effective income tax rate was 32.9%. Commercial Banking — Average commercial banking loans increased $73 million from 2Q08 to $8.9 billion. — Commercial banking non-performing assets totaled $64.3 million. — The ratio of commercial banking non-performing loans to total commercial banking loans was 0.68% at September 30, 2008. — Net loan charge-offs totaled $2.5 million, or 0.11% annualized, of average commercial banking loans. Retail & Small Business Banking — Average residential mortgage loans totaled $3.4 billion. — Average home equity loans increased $73 million from 2Q08 to $1.8 billion. — Average indirect auto loans averaged $0.2 billion. — Home equity net loan charge-offs totaled $0.2 million, or 0.03% annualized, of average home equity loans. — Indirect auto net loan charge-offs totaled $0.8 million, or 1.41% annualized, of average indirect auto loans. Wealth Management — Insurance revenue increased 9% from 2Q08, primarily reflecting seasonal renewals. — Assets under management totaled $10 billion. People’s United Financial, a diversified financial services companywith $20 billion in assets, provides consumer and commercial bankingservices through a network of more than 300 branches in Connecticut,Vermont, New Hampshire, Massachusetts, Maine and New York. Through itssubsidiaries, People’s United Financial provides equipment financing, assetmanagement, brokerage and financial advisory services, and insuranceservices. Certain statements contained in this release are forward-looking innature. These include all statements about People’s United Financial’splans, objectives, expectations and other statements that are nothistorical facts, and usually use words such as “expect,” “anticipate,””believe” and similar expressions. Such statements represent management’scurrent beliefs, based upon information available at the time thestatements are made, with regard to the matters addressed. Allforward-looking statements are subject to risks and uncertainties thatcould cause People’s United Financial’s actual results or financialcondition to differ materially from those expressed in or implied by suchstatements. Factors of particular importance to People’s United Financialinclude, but are not limited to: (1) changes in general, national orregional economic conditions; (2) changes in interest rates; (3) changes inloan default and charge-off rates; (4) changes in deposit levels; (5)changes in levels of income and expense in non-interest income and expense –>last_img read more

Marriage Makes for Happier People, Study Says

first_imgThe Wall Street Journal 5 January 2015Marriage may help people navigate a midlife crisis.A new paper by Shawn Grover, a policy analyst at Canada’s Department of Finance, and John Helliwell, professor emeritus at the University of British Columbia, finds that married people are generally happier than unmarried people.It’s a well-researched area and typically opens up debate over whether the effect is one of correlation or causation–are generally happier people simply more likely to get married in the first place?Messrs. Grover and Helliwell delve into data from three separate surveys and conclude married individuals are “more satisfied, suggesting a causal effect, even after full allowance is made for selection effects.”The benefits may be greatest immediately after marriage but aren’t fleeting and appear to have the most important impact in middle age. And the effect is especially strong for close couples.“The well-being benefits of marriage are on average about twice as large for those…whose spouse is also their best friend,” the study adds.The study’s findings could be depressing for Americans who appear to be giving up on marriage.The authors use the United Kingdom’s Annual Population Survey, the British Household Panel Survey and the Gallup World Poll in their research. The data allows them to gauge life satisfaction of individuals before and after marriage and, indeed, those more satisfied with life are also more likely to get married.http://www.wsj.com/articles/BL-REB-29912last_img read more