wbs-20230126

Exhibit 99.1

WEBSTER REPORTS

FOURTH QUARTER 2022 EPS OF $1.38; ADJUSTED EPS OF $1.60

STAMFORD, Conn., January 26, 2023 - Webster Financial Corporation ("Webster") (NYSE: WBS), the holding company for Webster Bank, N.A. and its HSA Bank division, today announced net income available to common stockholders of $240.6 million, or $1.38 per diluted share, for the quarter ended December 31, 2022, compared to $109.1 million, or $1.20 per diluted share, for the quarter ended December 31, 2021.

Fourth quarter 2022 results include $50.4 million pre-tax ($37.0 million after tax), or $0.221 per diluted share, of charges related to the merger with Sterling Bancorp on January 31, 2022 ("the merger") and balance sheet repositioning. Excluding these charges, adjusted earnings per diluted share would have been $1.601 for the quarter ended December 31, 2022. Reported results prior to the first quarter of 2022 reflect legacy Webster results only.

For the full year 2022, net income available to common stockholders was $628.4 million, or $3.72 per diluted share, and includes a combined $433.2 million ($319.0 million after tax) of initial non-purchase credit deteriorated (non-PCD) provision, merger-related, strategic initiatives, and other charges.

"With a continued focus on our clients, colleagues, and communities, we are pleased to report strong financial results in the quarter and for the full-year 2022," said John R. Ciulla, president and chief executive officer. "As pleased as we are with our financial performance, we are equally proud of the progress we have made from a culture and talent perspective."

Highlights for the fourth quarter of 2022:

•Revenue of $704.6 million.

•Period end loan and lease balance of $49.8 billion; 81 percent commercial loans and leases, 19 percent consumer loans, and a loan to deposit ratio of 92 percent.

•Period end deposit balance of $54.1 billion.

•Provision for credit losses totaled $43.0 million.

•Charges related to the merger and balance sheet repositioning totaled $50.4 million.

•Return on average assets of 1.40 percent; adjusted 1.61 percent1.

•Return on average tangible common equity of 19.93 percent1; adjusted 22.92 percent1.

•Net interest margin of 3.74 percent, up 20 basis points from prior quarter.

•Common equity tier 1 ratio of 10.71 percent.

•Efficiency ratio of 40.27 percent1.

•Tangible common equity ratio of 7.38 percent1.

"Our continued investment in our businesses, including the acquisition of interLINK announced in the fourth quarter, provides further diversification in both our loan and deposit franchises," said Glenn MacInnes, executive vice president and chief financial officer. "We continue to develop our existing businesses while executing on operational efficiencies."

1 See reconciliation of non-GAAP financial measures beginning on page 19.

Increases in the balance sheet and income statement, when compared to a year ago, are largely attributable to the merger.

Line of Business performance compared to the fourth quarter of 2021

Commercial Banking

Webster’s Commercial Banking segment serves businesses that have more than $2 million of revenue through its business banking, middle market, asset-based lending, equipment finance, commercial real estate, sponsor finance, private banking, and treasury services business units. As of December 31, 2022, Commercial Banking had $40.1 billion in loans and leases and $19.6 billion in deposit balances.

Commercial Banking Operating Results:


				Percent
	Three months ended December 31,			Favorable/
(In thousands)		2022	2021	(Unfavorable)
Net interest income		$392,340	$151,210		159.5	%
Non-interest income		42,767	24,002		78.2
Operating revenue		435,107	175,212		148.3
Non-interest expense		103,725	50,174		(106.7)
Pre-tax, pre-provision net revenue		$331,382	$125,038		165.0

				Percent
		At December 31,		Increase/
(In millions)		2022	2021	(Decrease)
Loans and leases		$40,115	$15,210		163.7	%
Deposits		19,563	9,519		105.5
AUA / AUM (off balance sheet)		2,259	2,869		(21.3)

Pre-tax, pre-provision net revenue increased $206.3 million, to $331.4 million, in the quarter as compared to prior year. The increase in balances and income was largely attributable to the merger. Net interest income increased $241.1 million, to $392.3 million, primarily driven by the merger, organic loan and deposit growth since the merger, and the impact of the higher rate environment. Non-interest income increased $18.8 million, to $42.8 million, with $18.3 million driven by the merger, and $0.5 million primarily due to increased loan fee income. Non-interest expense increased $53.6 million, to $103.7 million, with $46.0 million due to the merger, and $7.6 million in support of loan and deposit growth.

HSA Bank

Webster’s HSA Bank division offers a comprehensive consumer-directed healthcare solution that includes health savings accounts, health reimbursement arrangements, flexible spending accounts and commuter benefits. Health savings accounts are distributed nationwide directly to employers and individual consumers, as well as through national and regional insurance carriers, benefit consultants, and financial advisors. As of December 31, 2022, HSA Bank had $11.3 billion in total footings comprising $7.9 billion in deposit balances and $3.4 billion in assets under administration through linked investment accounts.

HSA Bank Operating Results:


				Percent
	Three months ended December 31,			Favorable/
(In thousands)		2022	2021	(Unfavorable)
Net interest income		$65,447	$42,219		55.0	%
Non-interest income		25,234	24,499		3.0
Operating revenue		90,681	66,718		35.9
Non-interest expense		40,655	33,456		(21.5)
Pre-tax, net revenue		$50,026	$33,262		50.4

				Percent
		At December 31,		Increase/
(Dollars in millions)		2022	2021	(Decrease)
Number of accounts (thousands)		3,042	2,992		1.7	%

Deposits		$7,945	$7,398		7.4
Linked investment accounts (off balance sheet)		3,394	3,719		(8.7)
Total footings		$11,339	$11,117		2.0

Pre-tax net revenue increased $16.8 million, to $50.0 million, in the quarter as compared to prior year. Net interest income increased $23.2 million, to $65.4 million, primarily due to an increase in net deposit spread and growth in deposits. Non-interest income increased $0.7 million, to $25.2 million, due primarily to increased interchange revenue. Non-interest expense increased $7.2 million, to $40.7 million, primarily due to the acquisition of Bend, as well as higher compensation and consulting expenses.

Consumer Banking

Webster's Consumer Banking segment serves consumer and business banking customers primarily throughout southern New England and the New York Metro and Suburban markets. Consumer Banking is comprised of the Consumer Lending and Small Business Banking (businesses that have less than $2 million of revenue) business units, as well as a distribution network consisting of 201 banking centers and 352 ATMs, a customer care center, and a full range of web and mobile-based banking services. Additionally, the Webster Investment Services group provides investment services to consumers and small business owners within Webster's targeted markets and retail footprint. As of December 31, 2022, Consumer Banking had $9.6 billion in loans and $23.6 billion in deposit balances, as well as $7.9 billion in assets under administration.

Consumer Banking Operating Results:


				Percent
	Three months ended December 31,			Favorable/
(In thousands)		2022	2021	(Unfavorable)
Net interest income		$209,077	$94,306		121.7	%
Non-interest income		27,150	24,625		10.3
Operating revenue		236,227	118,931		98.6
Non-interest expense		113,669	74,545		(52.5)
Pre-tax, pre-provision net revenue		$122,558	$44,386		176.1


		At December 31,		Percent
(In millions)		2022	2021	Increase
Loans		$9,624	$7,062		36.3	%
Deposits		23,610	12,926		82.7
AUA (off balance sheet)		7,872	4,333		81.7

Pre-tax, pre-provision net revenue increased $78.2 million, to $122.6 million, in the quarter as compared to prior year. The increase in balances and income was largely attributable to the merger. Net interest income increased $114.8 million, to $209.1 million, primarily driven by the merger, organic loan growth, and the impact of a higher rate environment. Non-interest income increased $2.5 million, to $27.2 million, with $6.3 million driven by the merger, partially offset by $3.8 million in lower net investment services income, as a result of outsourcing, and mortgage banking fee income. Non-interest expense increased $39.1 million, to $113.7 million, primarily driven by $40.7 million of incremental expenses due to the merger, partially offset by $1.6 million in lower compensation and occupancy expenses.

Consolidated financial performance:

Quarterly net interest income compared to the fourth quarter of 2021:

•Net interest income was $602.4 million compared to $226.8 million.

•Net interest margin was 3.74 percent compared to 2.73 percent. The yield on interest-earning assets increased by 176 basis points, and the cost of interest-bearing liabilities increased by 80 basis points.

•Average interest-earning assets totaled $64.0 billion and increased by $30.5 billion, or 91.1 percent.

•Average loans and leases totaled $48.6 billion and increased by $26.7 billion, or 121.8 percent.

•Average deposits totaled $54.0 billion and increased by $23.9 billion, or 79.4 percent.

Quarterly provision for credit losses:

•The provision for credit losses reflects a $43.0 million expense in the quarter, contributing to a $20.4 million increase in the allowance for credit losses on loans and leases and a $2.4 million increase in reserves on unfunded commitments. The provision for credit losses reflected an expense of $36.5 million in the prior quarter, compared to a benefit of $15.0 million a year ago.

•Net charge-offs (recoveries) were $20.2 million, compared to $28.5 million in the prior quarter, and $(1.2) million a year ago. The ratio of net charge-offs (recoveries) to average loans and leases on an annualized basis was 0.17 percent, compared to 0.25 percent in the prior quarter, and (0.02) percent a year ago.

•The allowance for credit losses on loans and leases represented 1.20 percent of total loans and leases at both December 31, 2022, and September 30, 2022, and 1.35 percent at December 31, 2021. The allowance represented 292 percent of nonperforming loans and leases at December 31, 2022, compared to 274 percent at both September 30, 2022, and December 31, 2021.

Quarterly non-interest income compared to the fourth quarter of 2021:

•Total non-interest income was $102.2 million compared to $90.1 million, an increase of $12.1 million. The increase primarily reflects the impact of the merger, partially offset by lower direct investment income and treasury derivative income. Additionally, total non-interest income includes a $4.5 million loss on the sale of investment securities.

Quarterly non-interest expense compared to the fourth quarter of 2021:

•Total non-interest expense was $348.4 million compared to $189.9 million, an increase of $158.5 million. Total non-interest expense includes a net $45.9 million of merger and strategic initiatives charges, compared to a net $13.7 million of merger, strategic initiative, and debt prepayment charges a year ago. Excluding those charges, total non-interest expense increased $126.3 million, which primarily reflects the impact of the merger.

Quarterly income taxes compared to the fourth quarter of 2021:

•Income tax expense was $68.4 million compared to $31.0 million, and the effective tax rate was 21.8 percent in both periods. The impact of increased income in 2022 on the effective tax rate was offset primarily by higher levels of tax-exempt income and tax credits in 2022 compared to 2021.

Investment securities:

•Total investment securities, net were $14.5 billion, compared to $14.6 billion at September 30, 2022, and $10.4 billion at December 31, 2021. The carrying value of the available-for-sale portfolio included $864.5 million of net unrealized losses, compared to net unrealized losses of $941.8 million at September 30, 2022, and net unrealized gains of $7.2 million at December 31, 2021. The carrying value of the held-to-maturity portfolio does not reflect $803.4 million of net unrealized losses, compared to net unrealized losses of $855.9 million at September 30, 2022, and net unrealized gains of $82.6 million at December 31, 2021.

Loans and leases:

•Total loans and leases were $49.8 billion, compared to $47.8 billion at September 30, 2022, and $22.3 billion at December 31, 2021. Compared to September 30, 2022, commercial loans and leases increased by $0.9 billion, commercial real estate loans increased by $0.8 billion, residential mortgages increased by $0.3 billion, while consumer loans decreased by $35.3 million.

•Compared to a year ago, commercial loans and leases increased by $11.9 billion, commercial real estate loans increased by $13.0 billion, residential mortgages increased by $2.6 billion, and consumer loans increased by $18.2 million.

•Loan originations for the portfolio were $4.7 billion, compared to $5.1 billion in the prior quarter, and $2.6 billion a year ago. In addition, $3.5 million of residential loans were originated for sale in the quarter, compared to $1.5 million in the prior quarter, and $41.8 million a year ago.

Asset quality:

•Total nonperforming loans and leases were $203.8 million, or 0.41 percent of total loans and leases, compared to $209.5 million, or 0.44 percent of total loans and leases, at September 30, 2022, and $109.8 million, or 0.49 percent of total loans and leases, at December 31, 2021. As of December 31, 2022, $77.2 million of nonperforming loans and leases were contractually current.

•Past due loans and leases were $73.7 million, compared to $46.4 million at September 30, 2022, and $21.9 million at December 31, 2021.

Deposits and borrowings:

•Total deposits were $54.1 billion, compared to $54.0 billion at September 30, 2022, and $29.8 billion at December 31, 2021. Core deposits to total deposits1 were 92.3 percent, compared to 95.2 percent at September 30, 2022, and 94.0 percent at December 31, 2021. The loan to deposit ratio was 92.1 percent, compared to 88.5 percent at September 30, 2022, and 74.6 percent at December 31, 2021.

•Total borrowings were $7.7 billion, compared to $5.9 billion at September 30, 2022, and $1.2 billion at December 31, 2021.

Capital:

•The return on average common stockholders’ equity and the return on average tangible common stockholders’ equity1 were 12.54 percent and 19.93 percent, respectively, compared to 13.35 percent and 16.23 percent, respectively, in the fourth quarter of 2021.

•The tangible equity1 and tangible common equity1 ratios were 7.79 percent and 7.38 percent, respectively, compared to 8.39 percent and 7.97 percent, respectively, at December 31, 2021. The common equity tier 1 ratio was 10.71 percent, compared to 11.72 percent at December 31, 2021.

•Book value and tangible book value per common share1 were $44.67 and $29.07, respectively, compared to $36.36 and $30.22, respectively, at December 31, 2021.

1 See reconciliation of non-GAAP financial measures beginning on page 19.

***

Webster Financial Corporation (NYSE:WBS) is the holding company for Webster Bank, N.A. and its HSA Bank Division. Webster is a leading commercial bank in the Northeast that provides a wide range of digital and traditional financial solutions across three differentiated lines of business: Commercial Banking, Consumer Banking and its HSA Bank division, one of the country's largest providers of employee benefits solutions. Headquartered in Stamford, CT, Webster is a values-driven organization with $71 billion in assets. Its core footprint spans the northeastern U.S. from New York to Massachusetts, with certain businesses operating in extended geographies. Webster Bank is a member of the FDIC and an equal housing lender. For more information about Webster, including past press releases and the latest annual report, visit the Webster website at www.websterbank.com.

Conference Call

A conference call covering Webster’s fourth quarter 2022 earnings announcement will be held today, Thursday, January 26, 2023 at 9:00 a.m. Eastern Time. To listen to the live call, please dial 888-330-2446, or 240-789-2732 for international callers. The passcode is 8607257. The webcast, along with related slides, will be available via Webster's Investor Relations website at investors.websterbank.com. A replay of the conference call will be available for one week via the website listed above, beginning at approximately 12:00 noon (Eastern) on January 26, 2023. To access the replay, dial 800-770-2030, or 647-362-9199 for international callers. The replay conference ID number is 8607257.

Media Contact

Alice Ferreira, 203-578-2610

[email protected]

Investor Contact

Emlen Harmon, 212-309-7646

[email protected]

Forward-Looking Statements

This release contains “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995. Forward-looking statements can be identified by words such as “believes,” “anticipates,” “expects,” “intends,” “targeted,” “continue,” “remain,” “will,” “should,” “may,” “plans,” “estimates,” and similar references to future periods; however, such words are not the exclusive means of identifying such statements. Examples of forward-looking statements include, but are not limited to: (i) projections of revenues, expenses, income or loss, earnings or loss per share, and other financial items; (ii) statements of plans, objectives, and expectations of Webster or its management or Board of Directors; (iii) statements of future economic performance; and (iv) statements of assumptions underlying such statements. Forward-looking statements are based on Webster’s current expectations and assumptions regarding its business, the economy, and other future conditions. Because forward-looking statements relate to the future, they are subject to inherent uncertainties, risks, and changes in circumstances that are difficult to predict. Webster’s actual results may differ materially from those contemplated by the forward-looking statements, which are neither statements of historical fact nor guarantees or assurances of future performance. Factors that could cause actual results to differ from those discussed in the forward-looking statements include, but are not limited to: (1) Webster's ability to successfully integrate the operations of Webster and Sterling Bancorp and realize the anticipated benefits of the merger; (2) Webster's ability to successfully execute its business plan and strategic initiatives, and manage any risks or uncertainties; (3) Webster's ability to successfully achieve the anticipated cost reductions and operating efficiencies from planned strategic initiatives, including process automation, organization simplification, and spending reductions, and avoid any higher than anticipated costs or delays in the ongoing implementation; (4) local, regional, national, and international economic conditions and the impact they may have on Webster and its customers; (5) volatility and disruption in national and international financial markets, including as a result of geopolitical conflict such as the war between Russia and Ukraine; (6) the potential adverse effects of the ongoing novel coronavirus (COVID-19) pandemic, or other unusual and infrequently occurring events, and any governmental or societal responses thereto; (7) changes in laws and regulations, including those concerning banking, taxes, dividends, securities, insurance, and healthcare, with which Webster and its subsidiaries must comply; (8) adverse conditions in the securities markets that lead to impairment in the value of Webster's investment securities and goodwill; (9) inflation, changes in interest rates, and monetary fluctuations; (10) the replacement of and transition from the London Interbank Offered Rate (LIBOR) to the Secured Overnight Financing Rate (SOFR) as the primary interest rate benchmark; (11) the timely development and acceptance of new products and services and the perceived value of those products and services by customers; (12) changes in deposit flows, consumer spending, borrowings, and savings habits; (13) Webster's ability to implement new technologies and maintain secure and reliable technology systems; (14) the effects of any cyber threats, attacks or events or fraudulent activity; (15) performance by Webster's counterparties and vendors; (16) Webster's ability to increase market share and control expenses; (17) changes in the competitive environment among banks, financial holding companies, and other financial services providers; (18) changes in the level of non-performing assets and charge-offs; (19) changes in estimates of future reserve requirements based upon the periodic review thereof under relevant regulatory and accounting requirements; (20) the effect of changes in accounting policies and practices applicable to Webster, including the impact of recently adopted accounting guidance; (21) legal and regulatory developments including the resolution of legal proceedings or regulatory or other governmental inquiries and the results of regulatory examinations or reviews; (22) Webster's ability to appropriately address social, environmental, and sustainability concerns that may arise from its business activities; and (23) the other factors that are described in the Company’s Annual Report on Form 10-K and Quarterly Reports on Form 10-Q under the headings “Risk Factors” and “Management Discussion and Analysis of Financial Condition and Results of Operations.” Any forward-looking statement made by the Company in this release speaks only as of the date on which it is made. Factors or events that could cause the Company’s actual results to differ may emerge from time to time, and it is not possible for the Company to predict all of them. The Company undertakes no obligation to publicly update any forward-looking statement, whether as a result of new information, future developments or otherwise, except as may be required by law.

Non-GAAP Financial Measures

In addition to results presented in accordance with GAAP, this press release contains certain non-GAAP financial measures. A reconciliation of net income, ROATCE, and other performance ratios, in each case as adjusted, is included in the accompanying selected financial highlights table.

Webster believes that providing certain non-GAAP financial measures provides investors with information useful in understanding its financial performance, performance trends, and financial position. Webster utilize these measures for internal planning and forecasting purposes. Webster, as well as securities analysts, investors, and other interested parties, also use these measures to compare peer company operating performance. Webster believes that its presentation and discussion, together with the accompanying reconciliations, provides a complete understanding of factors and trends affecting its business and allows investors to view performance in a manner similar to management. These non-GAAP measures should not be considered a substitute for GAAP basis measures and results, and Webster strongly encourages investors to review its consolidated financial statements in their entirety and not to rely on any single financial measure. Because non-GAAP financial measures are not standardized, it may not be possible to compare these financial measures with other companies’ non-GAAP financial measures having the same or similar names.


WEBSTER FINANCIAL CORPORATION Selected Financial Highlights (unaudited)
	At or for the Three Months Ended
(In thousands, except per share data)	December 31, 2022			September 30, 2022			June 30, 2022			March 31, 2022			December 31, 2021

Income and performance ratios:
Net income (loss)	$	244,751		$	233,968		$	182,311		$	(16,747)		$	111,038
Net income (loss) available to common stockholders	240,588			229,806			178,148			(20,178)			109,069
Earnings (loss) per diluted common share	1.38			1.31			1.00			(0.14)			1.20
Return on average assets	1.40		%	1.38		%	1.10		%	(0.12)		%	1.26		%
Return on average tangible common stockholders' equity (1)	19.93			18.62			14.50			(1.36)			16.23
Return on average common stockholders’ equity	12.54			11.78			9.09			(1.25)			13.35
Non-interest income as a percentage of total revenue	14.50			17.10			19.90			20.88			28.44

Asset quality:
Allowance for credit losses on loans and leases	$	594,741		$	574,325		$	571,499		$	569,371		$	301,187
Nonperforming assets	206,136			211,627			250,242			251,206			112,590
Allowance for credit losses on loans and leases / total loans and leases	1.20		%	1.20		%	1.25		%	1.31		%	1.35		%
Net charge-offs (recoveries) / average loans and leases (annualized)	0.17			0.25			0.09			0.10			(0.02)
Nonperforming loans and leases / total loans and leases	0.41			0.44			0.54			0.57			0.49
Nonperforming assets / total loans and leases plus OREO	0.41			0.44			0.55			0.58			0.51
Allowance for credit losses on loans and leases / nonperforming loans and leases	291.84			274.12			230.88			229.48			274.36

Other ratios:
Tangible equity (1)	7.79		%	7.70		%	8.12		%	8.72		%	8.39		%
Tangible common equity (1)	7.38			7.27			7.68			8.26			7.97
Tier 1 risk-based capital (2)	11.23			11.35			11.65			12.05			12.32
Total risk-based capital (2)	13.25			13.38			13.91			14.41			13.64
Common equity tier 1 risk-based capital (2)	10.71			10.80			11.09			11.46			11.72
Stockholders’ equity / total assets	11.30			11.33			11.83			12.55			9.85
Net interest margin	3.74			3.54			3.28			3.21			2.73
Efficiency ratio (1)	40.27			41.17			45.25			48.73			54.85

Equity and share related:
Common equity	$	7,772,207		$	7,542,431		$	7,713,809		$	7,893,156		$	3,293,288
Book value per common share	44.67			43.32			43.82			44.32			36.36
Tangible book value per common share (1)	29.07			27.69			28.31			28.94			30.22
Common stock closing price	47.34			45.20			42.15			56.12			55.84
Dividends declared per common share	0.40			0.40			0.40			0.40			0.40
Common shares issued and outstanding	174,008			174,116			176,041			178,102			90,584
Weighted-average common shares outstanding - Basic	172,522			173,868			175,845			147,394			90,052
Weighted-average common shares outstanding - Diluted	172,699			173,944			175,895			147,533			90,284
(1) See reconciliation of non-GAAP financial measures beginning on page 19.
(2) Presented as preliminary for December 31, 2022, and actual for the remaining periods.


WEBSTER FINANCIAL CORPORATION Consolidated Balance Sheets (unaudited)
(In thousands)	December 31, 2022		September 30, 2022		December 31, 2021
Assets:
Cash and due from banks	$	271,377	$	286,487	$	137,385
Interest-bearing deposits	568,566		326,638		324,185
Securities:
Available-for-sale	7,892,697		8,085,044		4,234,854
Held-to-maturity, net	6,564,697		6,505,838		6,198,125
Total securities, net	14,457,394		14,590,882		10,432,979
Loans held for sale	1,991		898		4,694
Loans and Leases:
Commercial	20,484,806		19,610,953		8,576,786
Commercial real estate	19,619,145		18,862,619		6,603,180
Residential mortgages	7,963,420		7,617,955		5,412,905
Consumer	1,697,055		1,732,348		1,678,858
Total loans and leases	49,764,426		47,823,875		22,271,729
Allowance for credit losses on loans and leases	(594,741)		(574,325)		(301,187)
Loans and leases, net	49,169,685		47,249,550		21,970,542
Federal Home Loan Bank and Federal Reserve Bank stock	445,900		373,044		71,836
Premises and equipment, net	430,184		434,721		204,557
Goodwill and other intangible assets, net	2,713,446		2,721,040		556,242
Cash surrender value of life insurance policies	1,229,169		1,230,641		572,305
Deferred tax asset, net	371,634		369,737		109,405
Accrued interest receivable and other assets	1,618,175		1,468,928		531,469
Total Assets	$	71,277,521	$	69,052,566	$	34,915,599

Liabilities and Stockholders' Equity:
Deposits:
Demand	$	12,974,975	$	13,849,812	$	7,060,488
Health savings accounts	7,944,892		7,889,310		7,397,582
Interest-bearing checking	9,237,529		9,203,220		4,182,497
Money market	11,062,652		11,156,579		3,718,953
Savings	8,673,343		9,340,372		5,689,739
Certificates of deposit	2,729,332		2,311,484		1,797,770
Brokered certificates of deposit	1,431,617		258,110		—
Total deposits	54,054,340		54,008,887		29,847,029
Securities sold under agreements to repurchase and other borrowings	1,151,830		1,265,414		674,896
Federal Home Loan Bank advances	5,460,552		3,510,717		10,997
Long-term debt	1,073,128		1,074,844		562,931
Accrued expenses and other liabilities	1,481,485		1,366,294		381,421
Total liabilities	63,221,335		61,226,156		31,477,274
Preferred stock	283,979		283,979		145,037
Common stockholders' equity	7,772,207		7,542,431		3,293,288
Total stockholders’ equity	8,056,186		7,826,410		3,438,325
Total Liabilities and Stockholders' Equity	$	71,277,521	$	69,052,566	$	34,915,599


WEBSTER FINANCIAL CORPORATION Consolidated Statements of Income (unaudited)
	Three months ended December 31,				Twelve months ended December 31,
(In thousands, except per share data)	2022		2021		2022		2021
Interest income:
Interest and fees on loans and leases	$	642,784	$	189,985	$	1,946,558	$	762,713
Interest and dividends on securities	100,804		45,990		338,101		179,885
Loans held for sale	5		45		78		246
Total interest income	743,593		236,020		2,284,737		942,844
Interest expense:
Deposits	81,202		4,027		138,552		20,131
Borrowings	60,016		5,211		111,899		21,624
Total interest expense	141,218		9,238		250,451		41,755
Net interest income	602,375		226,782		2,034,286		901,089
Provision for credit losses	43,000		(15,000)		280,619		(54,500)
Net interest income after provision for loan and lease losses	559,375		241,782		1,753,667		955,589
Non-interest income:
Deposit service fees	48,453		40,544		198,472		162,710
Loan and lease related fees	25,632		9,602		102,987		36,658
Wealth and investment services	7,017		10,111		40,277		39,586
Mortgage banking activities	89		733		705		6,219
Increase in cash surrender value of life insurance policies	6,543		3,627		29,237		14,429
(Loss) on sale of investment securities, net	(4,517)		—		(6,751)		—
Other income	18,962		25,521		75,856		63,770


Total non-interest income	102,179		90,138		440,783		323,372
Non-interest expense:
Compensation and benefits	177,979		109,283		723,620		419,989
Occupancy	20,174		13,256		113,899		55,346
Technology and equipment	44,202		28,750		186,384		112,831
Marketing	5,570		2,599		16,438		12,051
Professional and outside services	26,489		9,360		117,530		47,235
Intangible assets amortization	8,240		1,118		31,940		4,513
Loan workout expenses	606		244		2,598		1,168
Deposit insurance	6,578		4,234		26,574		15,794
Other expenses	58,552		21,009		177,490		76,173
Total non-interest expense	348,390		189,853		1,396,473		745,100
Income before income taxes	313,164		142,067		797,977		533,861
Income tax expense	68,413		31,029		153,694		124,997
Net income	244,751		111,038		644,283		408,864
Preferred stock dividends	(4,163)		(1,969)		(15,919)		(7,875)
Net income available to common stockholders	$	240,588	$	109,069	$	628,364	$	400,989

Weighted-average common shares outstanding - Diluted	172,699		90,284		167,547		90,206

Earnings per common share:
Basic	$	1.38	$	1.20	$	3.72	$	4.43
Diluted	1.38		1.20		3.72		4.42


WEBSTER FINANCIAL CORPORATION Five Quarter Consolidated Statements of Income (unaudited)
	Three Months Ended
(In thousands, except per share data)	December 31, 2022		September 30, 2022		June 30, 2022		March 31, 2022		December 31, 2021
Interest income:
Interest and fees on loans and leases	$	642,784	$	525,960	$	431,538	$	346,276	$	189,985
Interest and dividends on securities	100,804		91,569		82,202		63,526		45,990
Loans held for sale	5		40		7		26		45
Total interest income	743,593		617,569		513,747		409,828		236,020
Interest expense:
Deposits	81,202		37,492		12,459		7,399		4,027
Borrowings	60,016		29,074		14,628		8,181		5,211
Total interest expense	141,218		66,566		27,087		15,580		9,238
Net interest income	602,375		551,003		486,660		394,248		226,782
Provision for credit losses	43,000		36,531		12,243		188,845		(15,000)
Net interest income after provision for loan and lease losses	559,375		514,472		474,417		205,403		241,782
Non-interest income:
Deposit service fees	48,453		50,807		51,385		47,827		40,544
Loan and lease related fees	25,632		26,769		27,907		22,679		9,602
Wealth and investment services	7,017		11,419		11,244		10,597		10,111
Mortgage banking activities	89		86		102		428		733
Increase in cash surrender value of life insurance policies	6,543		7,718		8,244		6,732		3,627
(Loss) on sale of investment securities, net	(4,517)		(2,234)		—		—		—
Other income	18,962		19,071		22,051		15,772		25,521


Total non-interest income	102,179		113,636		120,933		104,035		90,138
Non-interest expense:
Compensation and benefits	177,979		173,983		187,656		184,002		109,283
Occupancy	20,174		23,517		51,593		18,615		13,256
Technology and equipment	44,202		45,283		41,498		55,401		28,750
Marketing	5,570		3,918		3,441		3,509		2,599
Professional and outside services	26,489		21,618		15,332		54,091		9,360
Intangible assets amortization	8,240		8,511		8,802		6,387		1,118
Loan workout expenses	606		580		732		680		244
Deposit insurance	6,578		8,026		6,748		5,222		4,234
Other expenses	58,552		44,635		42,425		31,878		21,009
Total non-interest expense	348,390		330,071		358,227		359,785		189,853
Income (loss) before income taxes	313,164		298,037		237,123		(50,347)		142,067
Income tax expense (benefit)	68,413		64,069		54,812		(33,600)		31,029
Net income (loss)	244,751		233,968		182,311		(16,747)		111,038
Preferred stock dividends	(4,163)		(4,162)		(4,163)		(3,431)		(1,969)
Net income (loss) available to common stockholders	$	240,588	$	229,806	$	178,148	$	(20,178)	$	109,069

Weighted-average common shares outstanding - Diluted	172,699		173,944		175,895		147,533		90,284

Earnings (loss) per common share:
Basic	$	1.38	$	1.31	$	1.00	$	(0.14)	$	1.20
Diluted	1.38		1.31		1.00		(0.14)		1.20


WEBSTER FINANCIAL CORPORATION Consolidated Average Balances, Interest, Yields and Rates, and Net Interest Margin on a Fully Tax-equivalent Basis (unaudited)
	Three Months Ended December 31,
			2022						2021
(Dollars in thousands)	Average balance		Interest		Yield/rate		Average balance		Interest		Yield/rate
Assets:
Interest-earning assets:
Loans and leases	$	48,574,865	$	649,820	5.25	%	$	21,902,101	$	190,698	3.43	%
Investment securities (1)	14,471,173		98,812		2.57		10,267,103		46,903		1.89
Federal Home Loan and Federal Reserve Bank stock	399,497		4,007		3.98		72,972		315		1.71
Interest-bearing deposits (2)	516,930		4,940		3.74		1,214,479		456		0.15
Loans held for sale	2,964		5		0.73		8,302		45		2.15
Total interest-earning assets	63,965,429		$	757,584	4.60	%	33,464,957		$	238,417	2.84	%
Non-interest-earning assets	5,994,351						1,915,632
Total Assets	$	69,959,780					$	35,380,589

Liabilities and Stockholders' Equity:
Interest-bearing liabilities:
Demand deposits	$	13,371,074	$	—	—	%	$	7,185,323	$	—	—	%
Health savings accounts	7,878,486		2,957		0.15		7,320,585		1,057		0.06
Interest-bearing checking, money market and savings	29,390,078		66,279		0.89		13,627,473		1,819		0.05
Certificates of deposit and brokered deposits	3,399,857		11,966		1.40		1,985,900		1,151		0.23
Total deposits	54,039,495		81,202		0.60		30,119,281		4,027		0.05

Securities sold under agreements to repurchase and other borrowings	1,237,132		9,183		2.90		604,555		824		0.53
Federal Home Loan Bank advances	4,241,042		41,523		3.83		38,810		169		1.71
Long-term debt (1)	1,073,960		9,310		3.58		563,505		4,218		3.22
Total borrowings	6,552,134		60,016		3.62		1,206,870		5,211		1.78
Total interest-bearing liabilities	60,591,629		$	141,218	0.92	%	31,326,151		$	9,238	0.12	%
Non-interest-bearing liabilities	1,407,251						642,527
Total liabilities	61,998,880						31,968,678

Preferred stock	283,979						145,037
Common stockholders' equity	7,676,921						3,266,874
Total stockholders' equity	7,960,900						3,411,911
Total Liabilities and Stockholders' Equity	$	69,959,780					$	35,380,589
Tax-equivalent net interest income			616,366						229,179
Less: tax-equivalent adjustments			(13,991)						(2,397)
Net interest income			$	602,375					$	226,782
Net interest margin					3.74	%					2.73	%

(1) For the purposes of average yield/rate and margin computations, unsettled trades on investment securities and unrealized gain (loss) balances on securities available-for-sale and senior fixed-rate notes hedges are excluded.
(2) Interest-bearing deposits is a component of cash and cash equivalents.


WEBSTER FINANCIAL CORPORATION Consolidated Average Balances, Interest, Yields and Rates, and Net Interest Margin on a Fully Tax-equivalent Basis (unaudited)
	Twelve Months Ended December 31,
			2022						2021
(Dollars in thousands)	Average balance		Interest		Yield/rate		Average balance		Interest		Yield/rate
Assets:
Interest-earning assets:
Loans and leases	$	43,751,112	$	1,967,761	4.50	%	$	21,584,872	$	765,682	3.55	%
Investment securities (1)	14,528,722		345,600		2.31		9,228,743		183,630		2.03
Federal Home Loan and Federal Reserve Bank stock	289,595		8,775		3.03		76,015		1,224		1.61
Interest-bearing deposits (2)	596,912		9,651		1.62		1,379,081		1,875		0.14
Loans held for sale	9,842		78		0.80		10,705		246		2.30
Total interest-earning assets	59,176,183		$	2,331,865	3.91	%	32,279,416		$	952,657	2.97	%
Non-interest-earning assets	5,586,025						1,955,330
Total Assets	$	64,762,208					$	34,234,746

Liabilities and Stockholders' Equity:
Interest-bearing liabilities:
Demand deposits	$	12,912,894	$	—	—	%	$	6,897,464	$	—	—	%
Health savings accounts	7,826,576		6,315		0.08		7,390,702		5,777		0.08
Interest-bearing checking, money market and savings	28,266,128		115,271		0.41		12,843,843		6,936		0.05
Certificates of deposit and brokered deposits	2,838,502		16,966		0.60		2,105,809		7,418		0.35
Total deposits	51,844,100		138,552		0.27		29,237,818		20,131		0.07

Securities sold under agreements to repurchase and other borrowings	1,064,551		19,059		1.79		543,286		3,040		0.56
Federal Home Loan Bank advances	1,965,577		58,557		2.98		108,216		1,708		1.58
Long-term debt (1)	1,031,446		34,283		3.44		565,271		16,876		3.22
Total borrowings	4,061,574		111,899		2.78		1,216,773		21,624		1.84
Total interest-bearing liabilities	55,905,674		$	250,451	0.45	%	30,454,591		$	41,755	0.14	%
Non-interest-bearing liabilities	1,135,046						441,391
Total liabilities	57,040,720						30,895,982

Preferred stock	272,179						145,037
Common stockholders' equity	7,449,309						3,193,727
Total stockholders' equity	7,721,488						3,338,764
Total Liabilities and Stockholders' Equity	$	64,762,208					$	34,234,746
Tax-equivalent net interest income			2,081,414						910,902
Less: tax-equivalent adjustments			(47,128)						(9,813)
Net interest income			$	2,034,286					$	901,089
Net interest margin					3.49	%					2.84	%

(1) For the purposes of average yield/rate and margin computations, unsettled trades on investment securities and unrealized gain (loss) balances on securities available-for-sale and senior fixed-rate notes hedges are excluded.
(2) Interest-bearing deposits is a component of cash and cash equivalents.


WEBSTER FINANCIAL CORPORATION Five Quarter Loan and Lease Balances (unaudited)
(Dollars in thousands)	December 31, 2022		September 30, 2022		June 30, 2022		March 31, 2022		December 31, 2021
Loan and Lease Balances (actual):
Commercial non-mortgage	$	18,663,164	$	17,807,234	$	16,628,317	$	15,578,594	$	7,509,538
Asset-based lending	1,821,642		1,803,719		1,892,278		1,807,545		1,067,248
Commercial real estate	19,619,145		18,862,619		18,141,670		17,584,947		6,603,180
Residential mortgages	7,963,420		7,617,955		7,223,728		6,798,199		5,412,905
Consumer	1,697,055		1,732,348		1,760,750		1,767,200		1,678,858
Total Loan and Lease Balances	49,764,426		47,823,875		45,646,743		43,536,485		22,271,729
Allowance for credit losses on loans and leases	(594,741)		(574,325)		(571,499)		(569,371)		(301,187)
Loans and Leases, net	$	49,169,685	$	47,249,550	$	45,075,244	$	42,967,114	$	21,970,542

Loan and Lease Balances (average):
Commercial non-mortgage	$	18,024,771	$	16,780,780	$	15,850,507	$	12,568,454	$	7,304,985
Asset-based lending	1,780,874		1,811,073		1,851,956		1,540,301		1,010,874
Commercial real estate	19,234,292		18,503,077		17,756,151		13,732,925		6,575,865
Residential mortgages	7,819,415		7,384,704		6,905,509		6,322,495		5,309,127
Consumer	1,715,513		1,750,044		1,756,575		1,748,654		1,701,250
Total Loan and Lease Balances	$	48,574,865	$	46,229,678	$	44,120,698	$	35,912,829	$	21,902,101


WEBSTER FINANCIAL CORPORATION Five Quarter Nonperforming Assets and Past Due Loans and Leases (unaudited)
(Dollars in thousands)	December 31, 2022		September 30, 2022		June 30, 2022		March 31, 2022		December 31, 2021
Nonperforming loans and leases:
Commercial non-mortgage	$	89,416	$	80,002	$	112,006	$	108,460	$	63,553

Asset-based lending	20,046		25,115		25,862		5,494		2,114
Commercial real estate	41,580		49,054		49,935		74,581		5,058
Residential mortgages	25,613		25,563		27,213		27,318		15,591
Consumer	27,136		29,782		32,514		32,258		23,462
Total nonperforming loans and leases	$	203,791	$	209,516	$	247,530	$	248,111	$	109,778

Other real estate owned and repossessed assets:
Commercial non-mortgage	$	78	$	—	$	—	$	—	$	—

Residential mortgages	2,024		2,024		2,558		2,582		2,276
Consumer	243		87		154		513		536
Total other real estate owned and repossessed assets	$	2,345	$	2,111	$	2,712	$	3,095	$	2,812
Total nonperforming assets	$	206,136	$	211,627	$	250,242	$	251,206	$	112,590




Past due 30-89 days:
Commercial non-mortgage	$	20,248	$	17,440	$	6,006	$	8,025	$	9,340
Asset-based lending	5,921		—		—		24,103		—
Commercial real estate	26,147		6,050		25,587		20,533		921
Residential mortgages	11,385		12,577		10,781		9,307		3,561
Consumer	9,194		9,656		9,275		9,379		5,576
Total past due 30-89 days	$	72,895	$	45,723	$	51,649	$	71,347	$	19,398
Past due 90 days or more and accruing	770		711		8		124		2,507
Total past due loans and leases	$	73,665	$	46,434	$	51,657	$	71,471	$	21,905


Five Quarter Changes in the Allowance for Credit Losses on Loans and Leases (unaudited)
	For the Three Months Ended
(Dollars in thousands)	December 31, 2022		September 30, 2022		June 30, 2022		March 31, 2022		December 31, 2021
ACL on loans and leases, beginning balance	$	574,325	$	571,499	$	569,371	$	301,187	$	314,922

Initial allowance on PCD loans and leases (1)	—		—		—		88,045		—
Provision (benefit)	40,649		31,352		11,728		189,068		(14,980)
Charge-offs:



Commercial portfolio	21,499		31,356		18,757		11,248		799


Consumer portfolio	1,193		1,453		896		1,120		1,382
Total charge-offs	22,692		32,809		19,653		12,368		2,181
Recoveries:



Commercial portfolio	895		1,413		7,765		1,364		1,107


Consumer portfolio	1,564		2,870		2,288		2,075		2,319
Total recoveries	2,459		4,283		10,053		3,439		3,426
Total net charge-offs (recoveries)	20,233		28,526		9,600		8,929		(1,245)
ACL on loans and leases, ending balance	$	594,741	$	574,325	$	571,499	$	569,371	$	301,187

ACL on unfunded loan commitments, beginning balance	$	25,329	$	20,149	$	19,640	$	13,104	$	12,170
Acquisition of Sterling	—		—		—		6,749		—
Provision (benefit)	2,378		5,180		509		(213)		934
ACL on unfunded loan commitments, ending balance	$	27,707	$	25,329	$	20,149	$	19,640	$	13,104
Total ending balance	$	622,448	$	599,654	$	591,648	$	589,011	$	314,291

(1)Represents the establishment of the initial reserve for PCD loans and leases net of $48 million in charge-offs recognized upon completion of the merger in accordance with GAAP.

WEBSTER FINANCIAL CORPORATION

Reconciliations to GAAP Financial Measures

The Company evaluates its business based on certain ratios that utilize non-GAAP financial measures. The Company believes the use of these non-GAAP financial measures provides additional clarity in assessing the results and financial position of the Company. Other companies may define or calculate supplemental financial data differently.

The efficiency ratio, which measures the costs expended to generate a dollar of revenue, is calculated excluding certain non-operational items. Return on average tangible common stockholders' equity (ROATCE) measures the Company’s net income available to common stockholders, adjusted for the tax-effected amortization of intangible assets, as a percentage of average stockholders’ equity less average preferred stock and average goodwill and intangible assets. The tangible equity ratio represents stockholders’ equity less goodwill and intangible assets divided by total assets less goodwill and intangible assets. The tangible common equity ratio represents stockholders’ equity less preferred stock and goodwill and intangible assets divided by total assets less goodwill and intangible assets. Tangible book value per common share represents stockholders’ equity less preferred stock and goodwill and intangible assets divided by common shares outstanding at the end of the period. Core deposits express total deposits less certificates of deposit and brokered time deposits. Adjusted net income available to common stockholders, adjusted diluted earnings per share (EPS), adjusted ROATCE, and adjusted return on average assets (ROAA) are calculated by excluding after tax non-operational items including merger-related expenses and the initial non-PCD provision related to the merger. See the tables below for reconciliations of these non-GAAP financial measures with financial measures defined by GAAP.


	At or for the Three Months Ended
(In thousands, except per share data)	December 31, 2022		September 30, 2022		June 30, 2022		March 31, 2022		December 31, 2021
Efficiency ratio:
Non-interest expense	$	348,390	$	330,071	$	358,227	$	359,785	$	189,853
Less: Foreclosed property activity	(80)		(393)		(358)		(75)		(347)
Intangible assets amortization	8,240		8,511		8,802		6,387		1,118
Operating lease depreciation	2,021		2,115		2,425		1,632		—
Strategic initiatives and other (1)	143		11,617		(152)		(4,140)		600
Merger related	45,790		25,536		66,640		108,495		10,560
Debt prepayment costs	—		—		—		—		2,526
Non-interest expense	$	292,276	$	282,685	$	280,870	$	247,486	$	175,396
Net interest income	$	602,375	$	551,003	$	486,660	$	394,248	$	226,782
Add: Tax-equivalent adjustment	13,991		13,247		11,732		8,158		2,397
Non-interest income	102,179		113,636		120,933		104,035		90,138
Other income (2)	4,814		11,186		3,805		3,082		431
Less: Operating lease depreciation	2,021		2,115		2,425		1,632		—
(Loss) on sale of investment securities, net	(4,517)		(2,234)		—		—		—
Other (3)	—		2,548		—		—		—
Income	$	725,855	$	686,643	$	620,705	$	507,891	$	319,748
Efficiency ratio	40.27%		41.17%		45.25%		48.73%		54.85%

Return on average tangible common stockholders' equity:
Net income (loss)	$	244,751	$	233,968	$	182,311	$	(16,747)	$	111,038
Less: Preferred stock dividends	4,163		4,162		4,163		3,431		1,969
Add: Intangible assets amortization, tax-effected	6,510		6,724		6,954		5,046		883
Adjusted income (loss)	$	247,098	$	236,530	$	185,102	$	(15,132)	$	109,952
Adjusted income (loss), annualized basis	$	988,392	$	946,120	$	740,408	$	(60,528)	$	439,808
Average stockholders' equity	$	7,960,900	$	8,090,044	$	8,125,518	$	6,691,490	$	3,411,911
Less: Average preferred stock	283,979		283,979		283,979		236,121		145,037
Average goodwill and other intangible assets	2,716,981		2,725,200		2,733,827		2,007,266		556,784
Average tangible common stockholders' equity	$	4,959,940	$	5,080,865	$	5,107,712	$	4,448,103	$	2,710,090
Return on average tangible common stockholders' equity	19.93%		18.62%		14.50%		(1.36)%		16.23%

(1)The three months ended September 30, 2022, primarily includes a contribution to the Webster foundation of $10.5 million (included within other non-interest expense).

(2)Other income includes the taxable equivalent of net income generated from low income housing tax-credit investments.

(3)The three months ended September 30, 2022, is comprised of a gain related to the early termination of repurchase agreements.

WEBSTER FINANCIAL CORPORATION

Reconciliations to GAAP Financial Measures (continued)


	At or for the Three Months Ended
(In thousands, except per share data)	December 31, 2022		September 30, 2022		June 30, 2022		March 31, 2022		December 31, 2021
Tangible equity:
Stockholders' equity	$	8,056,186	$	7,826,410	$	7,997,788	$	8,177,135	$	3,438,325
Less: Goodwill and other intangible assets	2,713,446		2,721,040		2,729,551		2,738,353		556,242
Tangible stockholders' equity	$	5,342,740	$	5,105,370	$	5,268,237	$	5,438,782	$	2,882,083
Total assets	$	71,277,521	$	69,052,566	$	67,595,021	$	65,131,484	$	34,915,599
Less: Goodwill and other intangible assets	2,713,446		2,721,040		2,729,551		2,738,353		556,242
Tangible assets	$	68,564,075	$	66,331,526	$	64,865,470	$	62,393,131	$	34,359,357
Tangible equity	7.79%		7.70%		8.12%		8.72%		8.39%

Tangible common equity:
Tangible stockholders' equity	$	5,342,740	$	5,105,370	$	5,268,237	$	5,438,782	$	2,882,083
Less: Preferred stock	283,979		283,979		283,979		283,979		145,037
Tangible common stockholders' equity	$	5,058,761	$	4,821,391	$	4,984,258	$	5,154,803	$	2,737,046
Tangible assets	$	68,564,075	$	66,331,526	$	64,865,470	$	62,393,131	$	34,359,357
Tangible common equity	7.38%		7.27%		7.68%		8.26%		7.97%

Tangible book value per common share:
Tangible common stockholders' equity	$	5,058,761	$	4,821,391	$	4,984,258	$	5,154,803	$	2,737,046
Common shares outstanding	174,008		174,116		176,041		178,102		90,584
Tangible book value per common share	$	29.07	$	27.69	$	28.31	$	28.94	$	30.22

Core deposits:
Total deposits	$	54,054,340	$	54,008,887	$	53,077,157	$	54,356,283	$	29,847,029
Less: Certificates of deposit	2,729,332		2,311,484		2,554,102		2,821,097		1,797,770
Brokered certificates of deposit	1,431,617		258,110		—		—		—
Core deposits	$	49,893,391	$	51,439,293	$	50,523,055	$	51,535,186	$	28,049,259



	Three months ended December 31, 2022
Adjusted ROATCE:
Net income	$	244,751
Less: Preferred stock dividends	4,163
Add: Intangible assets amortization, tax-effected	6,510
Strategic initiatives and other, tax-effected	104
Merger related, tax-effected	33,636
Loss on sale of investment securities, net, tax-effected	3,319

Adjusted income	$	284,157
Adjusted income, annualized basis	$	1,136,628
Average stockholders' equity	$	7,960,900
Less: Average preferred stock	283,979
Average goodwill and other intangible assets	2,716,981
Average tangible common stockholders' equity	$	4,959,940
Adjusted return on average tangible common stockholders' equity	22.92		%

Adjusted ROAA:
Net income	$	244,751
Add: Strategic initiatives and other, tax-effected	104
Merger related, tax-effected	33,636
Loss on sale of investment securities, net, tax-effected	3,319

Adjusted income	$	281,810
Adjusted income, annualized basis	$	1,127,240
Average assets	$	69,959,780
Adjusted return on average assets	1.61		%


GAAP to adjusted reconciliation:
	Three months ended December 31, 2022
(In millions, except per share data)	Pre-Tax Income		Net Income Available to Common Stockholders		Diluted EPS
Reported (GAAP)	$	313.2	$	240.6	$	1.38
Merger related expenses	45.8		33.6		0.20
Strategic initiatives and other	4.6		3.4		0.02
Adjusted (non-GAAP)	$	363.6	$	277.6	$	1.60


Title of each class	Trading Symbols	Name of each exchange on which registered
Common Stock, par value $0.01 per share	WBS	New York Stock Exchange
Depositary Shares, each representing 1/1000th interest in a share of 5.25% Series F Non-Cumulative Perpetual Preferred Stock	WBS-PrF	New York Stock Exchange
Depositary Shares, each representing 1/40th interest in a share of 6.50% Series G Non-Cumulative Perpetual Preferred Stock	WBS-PrG	New York Stock Exchange


Exhibit Number						Description
99.1						Press release dated January 26 , 202 3

104						Cover Page Interactive Data File (embedded within the Inline XBRL document).


									WEBSTER FINANCIAL CORPORATION
									(Registrant)

Date: January 26, 2023									/s/ Albert J. Wang
									Albert J. Wang
									Executive Vice President and Chief Accounting Officer


☐			Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)


☐			Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)


☐			Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))


Item 7.01			Regulation FD Disclosure


Item 9.01			Financial Statements and Exhibits