Bridgeport-based People’s United Financial Inc. reported net income of $15.1 million, or 5 cents per share, for the first quarter of 2008, compared to $33.6 million, or 11 cents per share, for the first quarter of 2007.
The company’s shares were trading at $17.37, down 63 cents or 3.5 percent, late this morning.
Included in this quarter’s results are merger-related expenses of $41.0 million, other one-time charges totaling $14.8 million and a $6.9 million gain related to the Visa Inc. initial public offering. The net impact of these items reduced first quarter 2008 net income by $33.2 million, or 10 cents per share. People’s United Financial completed its acquisition of Chittenden Corp. on January 1, 2008. The company’s first quarter 2007 results do not include the results of the acquisition.
People’s United Financial’s board of directors has approved an initial repurchase of up to 5 percent, or approximately 17.3 million shares, of its common stock outstanding as of April 17. The shares are expected to be purchased in the open market or in privately negotiated transactions.
“Our performance in the first quarter reflects the benefits of our focused commercial and retail banking strategy and strong asset quality, partially offset by the impact of the recent Federal Reserve Bank interest rate cuts and the lack of any meaningful acquisition-related cost saves at this early stage of integration,” People’s President and CEO, Philip R. Sherringham, said in a statement. “On an operating basis, the company delivered another quarter of solid financial performance.”
