8-K

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

FORM 8-K

CURRENT REPORT

Pursuant to Section 13 or 15(d)

of the Securities Exchange Act of 1934

Date of Report (Date of earliest event reported) October 18, 2018

People’s United Financial, Inc.

(Exact name of registrant as specified in its charter)

Delaware	001-33326	20-8447891
(State or other jurisdiction of incorporation)	(Commission File Number)	(IRS Employer Identification No.)
850 Main Street, Bridgeport, CT		06604
(Address of principal executive offices)		(Zip Code)

Registrant’s telephone number, including area code (203) 338-7171

Not Applicable

(Former name or former address, if changed since last report)

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligations of the registrant under any of the following provisions:

☐ 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))

☐ Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (§230.405 of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (§240.12b-2 of this chapter).

Emerging growth company  ☐

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act.  ☐

Item 2.02. Results of Operations and Financial Condition.

On October 18, 2018, People’s United Financial, Inc. (the “Company”) issued a press release announcing its results of operations for the three- and nine-month periods ended September 30, 2018. A copy of that press release is being furnished herewith as Exhibit 99.1.

The information contained in and accompanying this Form 8-K with respect to Item 2.02 (including Exhibit 99.1 hereto) is being furnished to, and not filed with, the Securities and Exchange Commission in accordance with General Instruction B.2 to Form 8-K.

Item 7.01. Regulation FD Disclosure.

The Company hereby furnishes the Investor Presentation attached hereto as Exhibit 99.2.

The information contained in and accompanying this Form 8-K with respect to Item 7.01 (including Exhibit 99.2 hereto) is being furnished to, and not filed with, the Securities and Exchange Commission in accordance with General Instruction B.2 to Form 8-K.

Item 9.01. Financial Statements and Exhibits

(d)    The following Exhibits are submitted herewith.

Exhibit No.	Description
99.1	Earnings Press Release dated October 18, 2018
99.2	Investor Presentation dated October 18, 2018

EXHIBIT INDEX

Exhibit No.	Description	Page
99.1	Earnings Press Release dated October 18, 2018		99.1-1
99.2	Investor Presentation dated October 18, 2018		99.2-1

SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.

		People’s United Financial, Inc.
		(Registrant)
Date: October 18, 2018	By:	/s/ Andrew S. Hersom
		(Signature)
	Name:	Andrew S. Hersom
	Title:	Senior Vice President, Investor Relations

EX-99.1

Exhibit 99.1

People’s United Financial Reports Third Quarter Net Income of $117.0 Million, or $0.33 per Common Share

• Completed the acquisition of First Connecticut Bancorp on October 1^st.

• Return on average assets of 1.06 percent and return on average tangible common equity of 14.5 percent.

• Efficiency ratio of 56.7 percent, an improvement of 170 basis points linked-quarter reflecting continued emphasis on enhancing operating leverage.

• Net interest margin of 3.15 percent, expanded five basis points linked-quarter and benefited from an increase in loan yields that continue to outpace the rise in deposit costs.

• Strong deposit growth as end of period balances increased $742 million or two percent from June 30^th.

BRIDGEPORT, CT., October 18, 2018 – People’s United Financial, Inc. (NASDAQ: PBCT) today reported results for the third quarter 2018. Results for the third quarter and comparison periods are summarized below:

($ in millions, except per common share data)
	As of and for the Three Months Ended
	Sep. 30, 2018			Jun. 30, 2018			Sep. 30, 2017
Net income	$	117.0		$	110.2		$	90.8
Net income available to common shareholders		113.5			106.7			87.3
Per common share		0.33			0.31			0.26
Operating earnings1		113.8			109.0			89.3
Per common share		0.33			0.32			0.26
Net interest income	$	306.4		$	301.2		$	284.6
Net interest margin		3.15	%		3.10	%		3.04	%
Non-interest income		92.3			94.9			89.3
Non-interest expense	$	241.3		$	248.6		$	237.1
Operating non-interest expense1		240.8			245.7			234.1
Efficiency ratio		56.7	%		58.4	%		57.3	%
Average balances
Loans	$	32,166		$	32,116		$	31,994
Deposits		33,058			32,536			32,065
End of period balances
Loans		32,199			32,512			32,384
Deposits		33,210			32,468			32,547

¹ See Non-GAAP Financial Measures and Reconciliation to GAAP beginning on page 16.

“Third quarter results reflect our consistent focus on improving relationship profitability across the Company’s diverse mix of businesses,” said Jack Barnes, Chairman and Chief Executive Officer. “Another quarter of record earnings generated a return on average tangible common equity of 14.5 percent, up 270 basis points from the prior year quarter. The addition of First Connecticut further strengthens the franchise’s earnings power as we are confident in achieving the transaction’s attractive financial returns. Integration has progressed well and the core system conversion will take place in January. Experienced teams at both companies have worked closely

together to ensure a seamless transition for clients who will benefit from our full suite of products and services as well as enhanced digital capabilities. We are excited about executing in the market as one team and deepening our well-established presence in the central Connecticut and western Massachusetts regions.”

“Operating earnings of $113.8 million for the third quarter increased 27 percent year-over-year and benefited from higher revenues and well-controlled expenses,” said David Rosato, Senior Executive Vice President and Chief Financial Officer. “Total revenues of $399 million grew seven percent due to increases in both net interest income and non-interest income. Net interest margin expanded 11 basis points from a year ago and five basis points linked-quarter highlighting the asset sensitivity of the balance sheet. As expected, deposits rebounded in the third quarter with average balances rising $522 million or two percent from the second quarter, while average loans were flat over the same period. Loan growth has been below our expectations this year primarily due to heightened competition, lower demand and above average payoffs. In this environment, we continue to emphasize the importance of improving operating leverage as evidenced by a third quarter efficiency ratio of 56.7 percent. We are particularly pleased with our ability to control costs, especially as we further invest in revenue producing talent and enhanced technology.”

	As of and for the Three Months Ended
	Sep. 30, 2018			Jun. 30, 2018			Sep. 30, 2017
Asset Quality
Net loan charge-offs to average total loans		0.09	%		0.06	%		0.06	%
Originated non-performing loans as a percentage of originated loans		0.53	%		0.56	%		0.59	%
Returns
Return on average assets1		1.06	%		1.00	%		0.84	%
Return on average tangible common equity1		14.5	%		13.9	%		11.8	%
Capital Ratios
People’s United Financial, Inc.
Tangible common equity / tangible assets		7.6	%		7.3	%		7.1	%
Tier 1 leverage		8.7	%		8.6	%		8.3	%
Common equity tier 1		10.3	%		10.0	%		9.5	%
Tier 1 risk-based		11.1	%		10.8	%		10.2	%
Total risk-based		12.8	%		12.5	%		12.0	%
People’s United Bank, N.A.
Tier 1 leverage		9.2	%		9.1	%		8.6	%
Common equity tier 1		11.6	%		11.4	%		10.6	%
Tier 1 risk-based		11.6	%		11.4	%		10.6	%
Total risk-based		13.6	%		13.4	%		12.6	%

¹ See Non-GAAP Financial Measures and Reconciliation to GAAP beginning on page 16.

The Company’s Board of Directors declared a $0.1750 per common share quarterly dividend payable November 15, 2018 to shareholders of record on November 1, 2018. Based on the closing stock price on October 17, 2018, the dividend yield on People’s United Financial common stock is 4.3 percent.

People’s United Financial, Inc., a diversified financial services company with $47 billion in total assets, provides commercial and retail banking, as well as wealth management services through a network of over 400 branches in Connecticut, New York, Massachusetts, Vermont, New Hampshire and Maine.

Page 2

3Q 2018 Financial Highlights

Summary

• Net income totaled $117.0 million, or $0.33 per common share.

• Net income available to common shareholders totaled $113.5 million.

• Operating earnings totaled $113.8 million, or $0.33 per common share (see page 16).

• Net interest income totaled $306.4 million in 3Q18 compared to $301.2 million in 2Q18.

• Net interest margin increased five basis points from 2Q18 to 3.15% reflecting:

• Higher yields on the loan portfolio (increase of ten basis points).

• One additional calendar day in 3Q18 (increase of two basis points).

• Higher yields on the securities portfolio (increase of one basis point).

• A decrease in average borrowing balances (increase of one basis point).

• Higher rates on deposits (decrease of nine basis points).

• Provision for loan losses totaled $8.2 million.

• Net loan charge-offs totaled $7.0 million.

• Net loan charge-off ratio of 0.09% in 3Q18.

• Non-interest income totaled $92.3 million in 3Q18 compared to $94.9 million in 2Q18.

• Insurance revenue increased $1.5 million, reflecting the seasonality of commercial insurance renewals.

• Bank service charges increased $0.6 million.

• Commercial banking lending fees decreased $1.5 million.

• Customer interest rate swap income decreased $1.2 million.

• Other non-interest income in 2Q18 includes $2.0 million in gains related to certain legacy investments.

• At September 30, 2018, assets under administration, which are not reported as assets of People’s United Financial, totaled $23.8 billion, of which $9.3 billion are under discretionary management, compared to $23.6 billion and $9.0 billion, respectively, at June 30, 2018.

• Non-interest expense totaled $241.3 million in 3Q18 compared to $248.6 million in 2Q18.

• Operating non-interest expense totaled $240.8 million in 3Q18 (see page 16).

• Compensation and benefits expense increased $0.7 million, primarily reflecting additional employees resulting from the Vend Lease acquisition.

• Professional and outside services expense, excluding $0.4 million and $2.1 million of merger-related expenses in 3Q18 and 2Q18, respectively, decreased $1.9 million.

• Other non-interest expense includes merger-related expenses of $0.1 million in 3Q18 and $0.8 million in 2Q18. Also included in 2Q18 is a $4.1 million charge relating to the closing of 10 branches.

• The efficiency ratio was 56.7% for 3Q18 compared to 58.4% for 2Q18 and 57.3% for 3Q17 (see page 16).

• The effective income tax rate was 21.6% for both 3Q18 and the first nine months of 2018, compared to 27.8% for the full-year of 2017.

• The lower rates in 2018 primarily reflect the benefit from a reduction in the U.S. federal corporate income tax rate from 35% to 21%, effective January 1, 2018.

Page 3

Commercial Banking

• Commercial loans totaled $23.4 billion at September 30, 2018, a decrease of $315 million from June 30, 2018.

• The equipment financing portfolio increased $105 million from June 30, 2018.

• The mortgage warehouse portfolio decreased $201 million from June 30, 2018.

• The New York multi-family portfolio decreased $128 million from June 30, 2018.

• Average commercial loans totaled $23.3 billion in 3Q18, an increase of $62 million from 2Q18.

• The average equipment financing portfolio increased $197 million from 2Q18, reflecting in part loans and leases acquired in connection with the Vend Lease acquisition in June.

• The average New York multi-family portfolio decreased $108 million from 2Q18.

• The average mortgage warehouse portfolio decreased $24 million from 2Q18.

• Commercial deposits totaled $11.9 billion at September 30, 2018 compared to $11.4 billion at June 30, 2018.

• The ratio of originated non-performing commercial loans to originated commercial loans was 0.52% at September 30, 2018 compared to 0.55% at June 30, 2018.

• Non-performing commercial assets, excluding acquired non-performing loans, totaled $122.1 million at September 30, 2018 compared to $132.6 million at June 30, 2018.

• For the originated commercial loan portfolio, the allowance for loan losses as a percentage of loans was 0.94% at September 30, 2018 compared to 0.93% at June 30, 2018.

• The originated commercial allowance for loan losses represented 182% of originated non-performing commercial loans at September 30, 2018 compared to 169% at June 30, 2018.

Retail Banking

• Residential mortgage loans totaled $6.9 billion at September 30, 2018, an increase of $46 million from June 30, 2018.

• Average residential mortgage loans totaled $6.9 billion in 3Q18, an increase of $34 million from 2Q18.

• Home equity loans totaled $1.9 billion at September 30, 2018, a decrease of $42 million from June 30, 2018.

• Average home equity loans totaled $1.9 billion in 3Q18, a decrease of $46 million from 2Q18.

• Retail deposits totaled $21.3 billion at September 30, 2018 compared to $21.1 billion at June 30, 2018.

• The ratio of originated non-performing residential mortgage loans to originated residential mortgage loans was 0.48% at September 30, 2018 compared to 0.50% at June 30, 2018.

• The ratio of originated non-performing home equity loans to originated home equity loans was 0.80% at September 30, 2018 compared to 0.81% at June 30, 2018.

Conference Call

On October 18, 2018, at 5 p.m., Eastern Time, People’s United Financial will host a conference call to discuss this earnings announcement. The call may be heard through www.peoples.com by selecting “Investor Relations” in the “About Us” section on the home page, and then selecting “Conference Calls” in the “News and Events” section. Additional materials relating to the call may also be accessed at People’s United Bank’s web site. The call will be archived on the web site and available for approximately 90 days.

Page 4

Certain statements contained in this release are forward-looking in nature. These include all statements about People’s United Financial’s plans, objectives, expectations and other statements that are not historical facts, and usually use words such as “expect,” “anticipate,” “believe,” “should” and similar expressions. Such statements represent management’s current beliefs, based upon information available at the time the statements are made, with regard to the matters addressed. All forward-looking statements are subject to risks and uncertainties that could cause People’s United Financial’s actual results or financial condition to differ materially from those expressed in or implied by such statements. Factors of particular importance to People’s United Financial include, but are not limited to: (1) changes in general, international, national or regional economic conditions; (2) changes in interest rates; (3) changes in loan default and charge-off rates; (4) changes in deposit levels; (5) changes in levels of income and expense in non-interest income and expense related activities; (6) changes in accounting and regulatory guidance applicable to banks; (7) price levels and conditions in the public securities markets generally; (8) competition and its effect on pricing, spending, third-party relationships and revenues; (9) the successful integration of acquisitions; and (10) changes in regulation resulting from or relating to financial reform legislation. People’s United Financial does not undertake any obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise.

###

Access Information About People’s United Financial at www.peoples.com.

INVESTOR CONTACT:

Andrew S. Hersom

Investor Relations

203.338.4581

Andrew.Hersom@peoples.com

MEDIA CONTACT:

Steven Bodakowski

Corporate Communications

203.338.4202

Steven.Bodakowski@peoples.com

Page 5

People’s United Financial, Inc.

FINANCIAL HIGHLIGHTS

	Three Months Ended
	Sept. 30,			June 30,			March 31,			Dec. 31,			Sept. 30,
(dollars in millions, except per common share data)	2018			2018			2018			2017			2017
Earnings Data:
Net interest income (fully taxable equivalent)	$	313.0		$	307.8		$	302.1		$	304.1		$	295.8
Net interest income		306.4			301.2			295.8			292.3			284.6
Provision for loan losses		8.2			6.5			5.4			7.5			7.0
Non-interest income (1)		92.3			94.9			90.4			87.3			89.3
Non-interest expense (1)		241.3			248.6			243.5			239.7			237.1
Income before income tax expense		149.2			141.0			137.3			132.4			129.8
Net income		117.0			110.2			107.9			106.2			90.8
Net income available to common shareholders (1)		113.5			106.7			104.4			102.7			87.3
Selected Statistical Data:
Net interest margin (2)		3.15	%		3.10	%		3.05	%		3.07	%		3.04	%
Return on average assets (1), (2)		1.06			1.00			0.98			0.96			0.84
Return on average common equity (2)		8.0			7.6			7.5			7.4			6.4
Return on average tangible common equity (1), (2)		14.5			13.9			13.8			13.8			11.8
Efficiency ratio (1)		56.7			58.4			59.4			56.1			57.3
Common Share Data:
Earnings per common share:
Basic	$	0.33		$	0.31		$	0.31		$	0.30		$	0.26
Diluted (1)		0.33			0.31			0.30			0.30			0.26
Dividends paid per common share		0.1750			0.1750			0.1725			0.1725			0.1725
Common dividend payout ratio (1)		52.9	%		56.2	%		56.3	%		57.1	%		66.8	%
Book value per common share (end of period)	$	16.69		$	16.56		$	16.43		$	16.40		$	16.29
Tangible book value per common share (end of period) (1)		9.19			9.02			8.93			8.87			8.68
Stock price:
High		19.00			19.37			20.26			19.50			18.26
Low		16.95			18.00			18.18			17.58			15.97
Close (end of period)		17.12			18.09			18.66			18.70			18.14
Common shares (end of period) (in millions)		342.36			341.59			341.01			339.98			337.84
Weighted average diluted common shares (in millions)		345.04			344.47			344.00			341.11			338.82

(1) See Non-GAAP Financial Measures and Reconciliation to GAAP beginning on page 16.    

(2) Annualized.    

6

People’s United Financial, Inc.

FINANCIAL HIGHLIGHTS

	Nine Months Ended September 30,
(dollars in millions, except per common share data)	2018			2017
Earnings Data:
Net interest income (fully taxable equivalent)	$	922.9		$	839.1
Net interest income		903.4			808.1
Provision for loan losses		20.1			18.5
Non-interest income		277.6			265.6
Non-interest expense (1)		733.4			720.5
Income before income tax expense		427.5			334.7
Net income		335.1			230.9
Net income available to common shareholders (1)		324.6			220.4
Selected Statistical Data:
Net interest margin (2)		3.10	%		2.94	%
Return on average assets (1), (2)		1.01			0.73
Return on average common equity (2)		7.7			5.6
Return on average tangible common equity (1), (2)		14.1			10.0
Efficiency ratio (1)		58.2			58.3
Common Share Data:
Earnings per common share:
Basic	$	0.95		$	0.67
Diluted (1)		0.94			0.67
Dividends paid per common share		0.5225			0.5150
Common dividend payout ratio (1)		55.1	%		76.8	%
Book value per common share (end of period)	$	16.69		$	16.29
Tangible book value per common share (end of period) (1)		9.19			8.68
Stock price:
High		20.26			19.85
Low		16.95			15.97
Close (end of period)		17.12			18.14
Common shares (end of period) (in millions)		342.36			337.84
Weighted average diluted common shares (in millions)		344.50			329.59

(1) See Non-GAAP Financial Measures and Reconciliation to GAAP beginning on page 16.

(2) Annualized.

7

People’s United Financial, Inc.

FINANCIAL HIGHLIGHTS - Continued

	As of and for the Three Months Ended
	Sept. 30,			June 30,			March 31,			Dec. 31,			Sept. 30,
(dollars in millions)	2018			2018			2018			2017			2017
Financial Condition Data:
Total assets	$	44,133		$	44,575		$	44,101		$	44,453		$	43,998
Loans		32,199			32,512			32,104			32,575			32,384
Securities		7,385			7,324			7,173			7,043			6,914
Short-term investments		128			253			470			378			303
Allowance for loan losses		238			237			235			234			233
Goodwill and other acquisition-related intangible assets		2,569			2,574			2,555			2,560			2,568
Deposits		33,210			32,468			32,894			33,056			32,547
Borrowings		3,392			4,639			3,877			4,104			4,144
Notes and debentures		886			889			892			902			906
Stockholders’ equity		5,959			5,900			5,845			5,820			5,746
Total risk-weighted assets (1):
People’s United Financial, Inc.		33,165			33,369			32,833			33,256			33,029
People’s United Bank, N.A.		33,116			33,317			32,784			33,202			32,981
Non-performing assets (2)		173			187			174			168			191
Net loan charge-offs		7.0			5.0			4.5			6.5			5.2
Average Balances:
Loans	$	32,166		$	32,116		$	32,096		$	32,271		$	31,994
Securities (3)		7,404			7,302			7,186			7,022			6,559
Short-term investments		193			267			366			361			347
Total earning assets		39,763			39,685			39,648			39,654			38,900
Total assets		44,245			44,110			44,011			44,039			43,256
Deposits		33,058			32,536			32,824			32,879			32,065
Borrowings		3,539			4,031			3,752			3,836			4,010
Notes and debentures		888			890			895			904			909
Total funding liabilities		37,485			37,456			37,471			37,619			36,984
Stockholders’ equity		5,937			5,870			5,820			5,774			5,722
Ratios:
Net loan charge-offs to average total loans (annualized)		0.09	%		0.06	%		0.06	%		0.08	%		0.06	%
Non-performing assets to originated loans, real estate owned and repossessed assets (2)		0.57			0.62			0.58			0.56			0.64
Originated allowance for loan losses to:
Originated loans (2)		0.78			0.77			0.78			0.77			0.77
Originated non-performing loans (2)		147.9			138.4			149.3			155.2			131.6
Average stockholders’ equity to average total assets		13.4			13.3			13.2			13.1			13.2
Stockholders’ equity to total assets		13.5			13.2			13.3			13.1			13.1
Tangible common equity to tangible assets (4)		7.6			7.3			7.3			7.2			7.1
Total risk-based capital (1):
People’s United Financial, Inc.		12.8			12.5			12.6			12.2			12.0
People’s United Bank, N.A.		13.6			13.4			12.9			12.6			12.6

(1) September 30, 2018 amounts and ratios are preliminary.

(2) Excludes acquired loans.

(3) Average balances for securities are based on amortized cost.

(4) See Non-GAAP Financial Measures and Reconciliation to GAAP beginning on page 16.

8

People’s United Financial, Inc.

CONSOLIDATED STATEMENTS OF CONDITION

	Sept. 30,			June 30,			Dec. 31,			Sept. 30,
(in millions)	2018			2018			2017			2017
Assets
Cash and due from banks	$	410.5		$	462.7		$	505.1		$	414.1
Short-term investments		127.5			253.1			377.5			302.5
Securities:
Trading debt securities, at fair value		8.3			8.2			8.2			8.3
Equity securities, at fair value		8.9			9.9			8.7			9.0
Debt securities available-for-sale, at fair value		3,312.1			3,245.1			3,125.3			3,188.5
Debt securities held-to-maturity, at amortized cost		3,742.9			3,718.7			3,588.1			3,387.6
Federal Home Loan Bank and Federal Reserve Bank stock, at cost		312.4			342.2			312.3			320.9
Total securities		7,384.6			7,324.1			7,042.6			6,914.3
Loans held-for-sale		15.2			17.1			16.6			15.0
Loans:
Commercial real estate		10,595.5			10,761.1			11,068.7			11,180.5
Commercial and industrial		8,568.6			8,823.3			8,731.1			8,624.7
Equipment financing		4,209.3			4,103.9			3,905.4			3,705.6
Total Commercial Portfolio		23,373.4			23,688.3			23,705.2			23,510.8
Residential mortgage		6,911.9			6,866.2			6,805.7			6,781.0
Home equity and other consumer		1,914.0			1,957.5			2,064.4			2,092.7
Total Retail Portfolio		8,825.9			8,823.7			8,870.1			8,873.7
Total loans		32,199.3			32,512.0			32,575.3			32,384.5
Less allowance for loan losses		(238.0	)		(236.8	)		(234.4	)		(233.4	)
Total loans, net		31,961.3			32,275.2			32,340.9			32,151.1
Goodwill and other acquisition-related intangible assets		2,568.9			2,573.8			2,560.0			2,567.9
Bank-owned life insurance		407.7			407.2			405.0			405.6
Premises and equipment, net		243.8			246.3			253.0			264.7
Other assets		1,013.7			1,015.0			952.7			963.0
Total assets	$	44,133.2		$	44,574.5		$	44,453.4		$	43,998.2
Liabilities
Deposits:
Non-interest-bearing	$	8,060.2		$	8,002.4		$	8,002.4		$	7,655.3
Savings		4,048.8			4,184.9			4,410.5			4,513.1
Interest-bearing checking and money market		15,065.3			14,659.4			15,189.1			15,143.1
Time		6,035.9			5,621.5			5,454.3			5,235.8
Total deposits		33,210.2			32,468.2			33,056.3			32,547.3
Borrowings:
Federal Home Loan Bank advances		2,369.7			3,510.1			2,774.4			3,074.1
Federal funds purchased		735.0			855.0			820.0			543.0
Customer repurchase agreements		261.3			254.9			301.6			295.8
Other borrowings		26.0			19.1			207.8			231.1
Total borrowings		3,392.0			4,639.1			4,103.8			4,144.0
Notes and debentures		885.6			888.7			901.6			906.2
Other liabilities		686.5			678.3			571.8			654.6
Total liabilities		38,174.3			38,674.3			38,633.5			38,252.1
Stockholders’ Equity
Preferred stock		244.1			244.1			244.1			244.1
Common stock		4.4			4.4			4.4			4.3
Additional paid-in capital		6,054.3			6,040.3			6,012.3			5,972.2
Retained earnings		1,220.9			1,167.9			1,040.2			996.4
Unallocated common stock of Employee Stock Ownership Plan, at cost		(131.9	)		(133.7	)		(137.3	)		(139.1	)
Accumulated other comprehensive loss		(270.8	)		(260.7	)		(181.7	)		(169.7	)
Treasury stock, at cost		(1,162.1	)		(1,162.1	)		(1,162.1	)		(1,162.1	)
Total stockholders’ equity		5,958.9			5,900.2			5,819.9			5,746.1
Total liabilities and stockholders’ equity	$	44,133.2		$	44,574.5		$	44,453.4		$	43,998.2

9

People’s United Financial, Inc.    

CONSOLIDATED STATEMENTS OF INCOME    

	Three Months Ended
(in millions, except per common share data)	Sept. 30, 2018		June 30, 2018		March 31, 2018		Dec. 31, 2017			Sept. 30, 2017
Interest and dividend income:
Commercial real estate	$	114.7	$	111.5	$	107.0	$	106.2		$	105.6
Commercial and industrial		93.2		90.1		82.3		80.1			80.0
Equipment financing		56.2		50.5		48.9		47.4			41.5
Residential mortgage		56.0		55.3		54.7		53.4			52.5
Home equity and other consumer		22.0		21.4		20.8		20.7			21.0
Total interest on loans		342.1		328.8		313.7		307.8			300.6
Securities		46.6		45.1		44.0		41.6			37.2
Short-term investments		1.1		1.3		1.2		1.0			1.1
Loans held-for-sale		0.2		0.2		0.2		0.2			0.3
Total interest and dividend income		390.0		375.4		359.1		350.6			339.2
Interest expense:
Deposits		56.9		47.3		41.3		38.3			34.4
Borrowings		18.2		18.5		14.2		12.4			12.7
Notes and debentures		8.5		8.4		7.8		7.6			7.5
Total interest expense		83.6		74.2		63.3		58.3			54.6
Net interest income		306.4		301.2		295.8		292.3			284.6
Provision for loan losses		8.2		6.5		5.4		7.5			7.0
Net interest income after provision for loan losses		298.2		294.7		290.4		284.8			277.6
Non-interest income:
Bank service charges		24.9		24.3		23.8		24.7			25.3
Investment management fees		17.4		17.2		17.7		17.3			16.9
Operating lease income		11.0		11.2		10.7		11.7			10.9
Insurance revenue		9.8		8.3		9.8		6.9			9.7
Commercial banking lending fees		7.9		9.4		10.4		8.8			7.0
Cash management fees		7.0		7.0		6.6		6.5			6.8
Brokerage commissions		3.2		3.2		3.1		2.9			2.8
Customer interest rate swap income, net		2.8		4.0		1.5		5.2			1.9
Net security gains (losses) (1)		0.1		—		0.1		(9.8	)		—
Other non-interest income		8.2		10.3		6.7		13.1			8.0
Total non-interest income		92.3		94.9		90.4		87.3			89.3
Non-interest expense:
Compensation and benefits (2)		135.7		135.0		140.7		132.7			129.9
Occupancy and equipment		41.6		40.8		41.2		41.0			40.2
Professional and outside services		17.0		20.6		18.6		18.7			19.2
Regulatory assessments		10.0		9.9		10.6		11.9			10.3
Operating lease expense		8.9		8.7		9.0		8.9			8.8
Amortization of other acquisition-related intangible assets		4.9		4.9		5.1		7.9			7.9
Other non-interest expense (2)		23.2		28.7		18.3		18.6			20.8
Total non-interest expense (1)		241.3		248.6		243.5		239.7			237.1
Income before income tax expense		149.2		141.0		137.3		132.4			129.8
Income tax expense (1)		32.2		30.8		29.4		26.2			39.0
Net income		117.0		110.2		107.9		106.2			90.8
Preferred stock dividend		3.5		3.5		3.5		3.5			3.5
Net income available to common shareholders	$	113.5	$	106.7	$	104.4	$	102.7		$	87.3
Earnings per common share:
Basic	$	0.33	$	0.31	$	0.31	$	0.30		$	0.26
Diluted		0.33		0.31		0.30		0.30			0.26

(1) Includes $10.0 million of security losses incurred as a tax planning strategy in response to tax reform enacted on December 22, 2017, which are considered non-operating, for the three months ended December 31, 2017. Total non-interest expense includes $0.5 million, $2.9 million, $1.6 million and $3.0 million of non-operating expenses for the three months ended September 30, 2018, June 30, 2018, December 31, 2017 and September 30, 2017, respectively. Income tax expense includes a $6.5 million benefit realized in connection with tax reform, which is considered non-operating, for the three months ended December 31, 2017. See Non-GAAP Financial Measures and Reconciliation to GAAP beginning on page 16.

(2) In accordance with GAAP, effective January 1, 2018, net periodic pension and postretirement benefit costs are reported within other non-interest expense rather than compensation and benefits. Prior period amounts have been reclassified to conform to this presentation.

10

People’s United Financial, Inc.    

CONSOLIDATED STATEMENTS OF INCOME    

	Nine Months Ended September 30,
(in millions, except per common share data)	2018		2017
Interest and dividend income:
Commercial real estate	$	333.2	$	299.5
Commercial and industrial		265.6		218.7
Equipment financing		155.6		104.6
Residential mortgage		166.0		154.1
Home equity and other consumer		64.2		59.3
Total interest on loans		984.6		836.2
Securities		135.7		112.1
Short-term investments		3.6		2.7
Loans held for sale		0.6		0.7
Total interest and dividend income		1,124.5		951.7
Interest expense:
Deposits		145.5		92.4
Borrowings		50.9		28.9
Notes and debentures		24.7		22.3
Total interest expense		221.1		143.6
Net interest income		903.4		808.1
Provision for loan losses		20.1		18.5
Net interest income after provision for loan losses		883.3		789.6
Non-interest income:
Bank service charges		73.0		73.8
Investment management fees		52.3		49.2
Operating lease income		32.9		32.1
Insurance revenue		27.9		26.3
Commercial banking lending fees		27.7		26.7
Cash management fees		20.6		19.6
Brokerage commissions		9.5		9.2
Customer interest rate swap income, net		8.3		7.1
Net security gains (losses)		0.2		(15.6	)
Other non-interest income		25.2		37.2
Total non-interest income		277.6		265.6
Non-interest expense:
Compensation and benefits (1)		411.4		389.9
Occupancy and equipment		123.6		118.6
Professional and outside services		56.2		62.8
Regulatory assessments		30.5		29.8
Operating lease expense		26.6		26.3
Amortization of other acquisition-related intangible assets		14.9		22.1
Other non-interest expense (1)		70.2		71.0
Total non-interest expense (2)		733.4		720.5
Income before income tax expense		427.5		334.7
Income tax expense		92.4		103.8
Net income		335.1		230.9
Preferred stock dividend		10.5		10.5
Net income available to common shareholders	$	324.6	$	220.4
Earnings per common share:
Basic	$	0.95	$	0.67
Diluted		0.94		0.67

(1) In accordance with GAAP, effective January 1, 2018, net periodic pension and postretirement benefit costs are reported within other non-interest expense rather than compensation and benefits. Prior period amounts have been reclassified to conform to this presentation.

(2) Total non-interest expense includes $3.4 million and $29.0 million of non-operating expenses for the nine months ended September 30, 2018 and 2017, respectively. See Non-GAAP Financial Measures and Reconcilioation to GAAP beginning on page 16.

11

People’s United Financial, Inc.    

AVERAGE BALANCE SHEET, INTEREST AND YIELD/RATE ANALYSIS (1)    

	September 30, 2018							June 30, 2018							September 30, 2017
Three months ended (dollars in millions)	Average Balance		Interest		Yield/ Rate			Average Balance		Interest		Yield/ Rate			Average Balance		Interest		Yield/ Rate
Assets:
Short-term investments	$	192.5	$	1.1		2.06	%	$	266.7	$	1.3		2.02	%	$	347.3	$	1.1		1.25	%
Securities (2)		7,404.2		50.8		2.75			7,302.1		49.2		2.69			6,558.8		44.4		2.71
Loans:
Commercial real estate		10,641.4		114.7		4.31			10,802.9		111.5		4.13			11,169.8		105.6		3.78
Commercial and industrial		8,584.8		95.6		4.45			8,558.3		92.6		4.32			8,580.0		84.0		3.91
Equipment financing		4,120.8		56.2		5.47			3,923.6		50.5		5.14			3,399.5		41.5		4.89
Residential mortgage		6,887.3		56.2		3.27			6,853.6		55.5		3.24			6,731.7		52.8		3.13
Home equity and other consumer		1,931.8		22.0		4.55			1,977.6		21.4		4.33			2,112.6		21.0		3.97
Total loans		32,166.1		344.7		4.29			32,116.0		331.5		4.13			31,993.6		304.9		3.81
Total earning assets		39,762.8	$	396.6		3.99	%		39,684.8	$	382.0		3.85	%		38,899.7	$	350.4		3.60	%
Other assets		4,481.8							4,425.0							4,356.7
Total assets	$	44,244.6						$	44,109.8						$	43,256.4
Liabilities and stockholders’ equity:
Deposits:
Non-interest-bearing	$	8,025.2	$	—		—	%	$	7,872.7	$	—		—	%	$	7,609.1	$	—		—	%
Savings, interest-bearing checking and money market		19,031.4		32.6		0.68			19,220.6		28.2		0.59			19,529.1		21.4		0.44
Time		6,001.3		24.3		1.62			5,442.3		19.1		1.40			4,926.8		13.0		1.06
Total deposits		33,057.9		56.9		0.69			32,535.6		47.3		0.58			32,065.0		34.4		0.43
Borrowings:
Federal Home Loan Bank advances		2,560.6		14.0		2.18			3,009.3		14.8		1.97			2,834.3		9.4		1.33
Federal funds purchased		722.7		3.8		2.11			634.5		3.0		1.86			649.9		2.1		1.26
Customer repurchase agreements		234.3		0.3		0.53			228.7		0.1		0.31			311.3		0.1		0.19
Other borrowings		20.9		0.1		2.05			158.5		0.6		1.45			214.2		1.1		2.06
Total borrowings		3,538.5		18.2		2.05			4,031.0		18.5		1.84			4,009.7		12.7		1.27
Notes and debentures		888.3		8.5		3.83			889.6		8.4		3.79			908.9		7.5		3.29
Total funding liabilities		37,484.7	$	83.6		0.89	%		37,456.2	$	74.2		0.79	%		36,983.6	$	54.6		0.59	%
Other liabilities		823.3							784.0							550.6
Total liabilities		38,308.0							38,240.2							37,534.2
Stockholders’ equity		5,936.6							5,869.6							5,722.2
Total liabilities and stockholders’ equity	$	44,244.6						$	44,109.8						$	43,256.4
Net interest income/spread (3)			$	313.0		3.10	%			$	307.8		3.06	%			$	295.8		3.01	%
Net interest margin						3.15	%						3.10	%						3.04	%

(1) Average yields earned and rates paid are annualized.

(2) Average balances and yields for securities are based on amortized cost.

(3) The fully taxable equivalent adjustment was $6.6 million, $6.6 million and $11.2 million for the three months ended September 30, 2018, June 30, 2018 and September 30, 2017, respectively.

12

People’s United Financial, Inc.    

AVERAGE BALANCE SHEET, INTEREST AND YIELD/RATE ANALYSIS (1)    

	September 30, 2018							September 30, 2017
Nine months ended	Average				Yield/			Average				Yield/
(dollars in millions)	Balance		Interest		Rate			Balance		Interest		Rate
Assets:
Short-term investments	$	274.6	$	3.6		1.74	%	$	357.4	$	2.7		1.01	%
Securities (2)		7,298.3		148.0		2.70			6,704.9		132.2		2.63
Loans:
Commercial real estate		10,791.8		333.2		4.12			10,913.9		299.5		3.66
Commercial and industrial		8,521.2		272.8		4.27			8,192.8		229.6		3.74
Equipment financing		3,972.6		155.6		5.22			3,100.5		104.6		4.50
Residential mortgage		6,859.5		166.6		3.24			6,601.2		154.8		3.13
Home equity and other consumer		1,981.1		64.2		4.32			2,117.6		59.3		3.73
Total loans		32,126.2		992.4		4.12			30,926.0		847.8		3.66
Total earning assets		39,699.1	$	1,144.0		3.84	%		37,988.3	$	982.7		3.45	%
Other assets		4,423.6							4,102.3
Total assets	$	44,122.7						$	42,090.6
Liabilities and stockholders’ equity:
Deposits:
Non-interest-bearing	$	7,899.0	$	—		—	%	$	7,152.2	$	—		—	%
Savings, interest-bearing checking and money market		19,296.0		85.7		0.59			19,446.5		57.4		0.39
Time		5,611.6		59.8		1.42			4,746.5		35.0		0.98
Total deposits		32,806.6		145.5		0.59			31,345.2		92.4		0.39
Borrowings:
Federal Home Loan Bank advances		2,748.6		39.7		1.92			2,698.0		22.3		1.10
Federal funds purchased		655.6		9.1		1.85			627.6		4.9		1.03
Customer repurchase agreements		241.7		0.6		0.34			311.6		0.4		0.19
Other borrowings		127.1		1.5		1.60			102.5		1.3		1.71
Total borrowings		3,773.0		50.9		1.80			3,739.7		28.9		1.03
Notes and debentures		891.0		24.7		3.70			927.1		22.3		3.21
Total funding liabilities		37,470.6	$	221.1		0.79	%		36,012.0	$	143.6		0.53	%
Other liabilities		776.1							548.5
Total liabilities		38,246.7							36,560.5
Stockholders’ equity		5,876.0							5,530.1
Total liabilities and stockholders’ equity	$	44,122.7						$	42,090.6
Net interest income/spread (3)			$	922.9		3.05	%			$	839.1		2.92	%
Net interest margin						3.10	%						2.94	%

(1) Average yields earned and rates paid are annualized.

(2) Average balances and yields for securities are based on amortized cost.

(3) The fully taxable equivalent adjustment was $19.5 million and $31.0 million for the nine months ended September 30, 2018 and 2017, respectively.

13

People’s United Financial, Inc.    

Loans acquired in a business combination are initially recorded at fair value with no carryover of an acquired entity’s previous established allowance for loan losses. Accordingly, selected asset quality metrics have been highlighted to distinguish between the ‘originated’ portfolio and the ‘acquired’ portfolio.    

NON-PERFORMING ASSETS

	Sept. 30,			June 30,			March 31,			Dec. 31,			Sept. 30,
(dollars in millions)	2018			2018			2018			2017			2017
Originated non-performing loans:
Commercial:
Commercial real estate	$	17.2		$	20.3		$	21.0		$	23.7		$	36.7
Commercial and industrial		44.9			50.1			34.6			32.6			34.9
Equipment financing		49.3			49.2			47.7			44.3			54.1
Total		111.4			119.6			103.3			100.6			125.7
Retail:
Residential mortgage		32.0			33.5			35.4			32.7			33.8
Home equity		14.6			15.1			16.1			15.4			14.8
Other consumer		0.1			—			—			—			—
Total		46.7			48.6			51.5			48.1			48.6
Total originated non-performing loans (1)		158.1			168.2			154.8			148.7			174.3
REO:
Commercial		8.7			9.3			10.6			9.3			6.3
Residential		4.4			5.8			6.8			7.6			4.7
Total REO		13.1			15.1			17.4			16.9			11.0
Repossessed assets		2.0			3.7			1.8			2.5			5.4
Total non-performing assets	$	173.2		$	187.0		$	174.0		$	168.1		$	190.7
Acquired non-performing loans (contractual amount)	$	32.3		$	26.7		$	30.1		$	29.7		$	26.6
Originated non-performing loans as a percentage of originated loans		0.53	%		0.56	%		0.52	%		0.49	%		0.59	%
Non-performing assets as a percentage of:
Originated loans, REO and repossessed assets		0.57			0.62			0.58			0.56			0.64
Tangible stockholders’ equity and originated allowance for loan losses		4.78			5.25			4.94			4.81			5.60

(1) Reported net of government guarantees totaling $2.5 million at September 30, 2018, $2.6 million at June 30, 2018, $3.0 million at March 31, 2018, $3.1 million at December 31, 2017 and $4.0 million at September 30, 2017.

14

People’s United Financial, Inc.    

PROVISION AND ALLOWANCE FOR LOAN LOSSES    

	Three Months Ended
(dollars in millions)	Sept. 30, 2018			June 30, 2018			March 31, 2018			Dec. 31, 2017			Sept. 30, 2017
Allowance for loan losses on originated loans:
Balance at beginning of period	$	232.8		$	231.3		$	230.8		$	229.2		$	227.9
Charge-offs		(6.4	)		(4.7	)		(4.4	)		(6.4	)		(5.8	)
Recoveries		1.0			1.9			1.4			1.2			1.5
Net loan charge-offs		(5.4	)		(2.8	)		(3.0	)		(5.2	)		(4.3	)
Provision for loan losses		6.5			4.3			3.5			6.8			5.6
Balance at end of period		233.9			232.8			231.3			230.8			229.2
Allowance for loan losses on acquired loans:
Balance at beginning of period		4.0			4.0			3.6			4.2			3.7
Charge-offs		(2.0	)		(2.5	)		(1.8	)		(1.5	)		(1.0	)
Recoveries		0.4			0.3			0.3			0.2			0.1
Net loan charge-offs		(1.6	)		(2.2	)		(1.5	)		(1.3	)		(0.9	)
Provision for loan losses		1.7			2.2			1.9			0.7			1.4
Balance at end of period		4.1			4.0			4.0			3.6			4.2
Total allowance for loan losses	$	238.0		$	236.8		$	235.3		$	234.4		$	233.4
Originated commercial allowance for loan losses as a percentage of originated commercial loans		0.94	%		0.93	%		0.94	%		0.93	%		0.94	%
Originated retail allowance for loan losses as a percentage of originated retail loans		0.36			0.36			0.36			0.35			0.35
Total originated allowance for loan losses as a percentage of:
Originated loans		0.78			0.77			0.78			0.77			0.77
Originated non-performing loans		147.9			138.4			149.3			155.2			131.6

NET LOAN CHARGE-OFFS (RECOVERIES)

	Three Months Ended
(dollars in millions)	Sept. 30, 2018			June 30, 2018			March 31, 2018			Dec. 31, 2017			Sept. 30, 2017
Commercial:
Commercial real estate	$	1.7		$	0.7		$	0.5		$	1.5		$	1.5
Commercial and industrial		2.2			1.7			1.7			2.1			2.0
Equipment financing		2.9			2.6			1.6			2.0			0.5
Total		6.8			5.0			3.8			5.6			4.0
Retail:
Residential mortgage		0.1			(0.1	)		0.2			0.2			0.1
Home equity		(0.1	)		—			0.4			0.5			0.9
Other consumer		0.2			0.1			0.1			0.2			0.2
Total		0.2			—			0.7			0.9			1.2
Total net loan charge-offs	$	7.0		$	5.0		$	4.5		$	6.5		$	5.2
Net loan charge-offs to average total loans (annualized)		0.09	%		0.06	%		0.06	%		0.08	%		0.06	%

15

People’s United Financial, Inc.

NON-GAAP FINANCIAL MEASURES AND RECONCILIATION TO GAAP

In addition to evaluating People’s United Financial Inc. (“People’s United”) results of operations in accordance with U.S. generally accepted accounting principles (“GAAP”), management routinely supplements its evaluation with an analysis of certain non-GAAP financial measures, such as the efficiency and tangible common equity ratios, tangible book value per common share and operating earnings metrics. Management believes these non-GAAP financial measures provide information useful to investors in understanding People’s United’s underlying operating performance and trends, and facilitates comparisons with the performance of other financial institutions. Further, the efficiency ratio and operating earnings metrics are used by management in its assessment of financial performance, including non-interest expense control, while the tangible common equity ratio and tangible book value per common share are used to analyze the relative strength of People’s United’s capital position.

The efficiency ratio, which represents an approximate measure of the cost required by People’s United to generate a dollar of revenue, is the ratio of (i) total non-interest expense (excluding operating lease expense, goodwill impairment charges, amortization of other acquisition-related intangible assets, losses on real estate assets and non-recurring expenses) (the numerator) to (ii) net interest income on a fully taxable equivalent (“FTE”) basis plus total non-interest income (including the FTE adjustment on bank-owned life insurance (“BOLI”) income, the netting of operating lease expense and excluding gains and losses on sales of assets other than residential mortgage loans and acquired loans, and non-recurring income) (the denominator). People’s United generally considers an item of income or expense to be non-recurring if it is not similar to an item of income or expense of a type incurred within the last two years and is not similar to an item of income or expense of a type reasonably expected to be incurred within the following two years.

Operating earnings exclude from net income available to common shareholders those items that management considers to be of such a non-recurring or infrequent nature that, by excluding such items (net of income taxes), People’s United’s results can be measured and assessed on a more consistent basis from period to period. Items excluded from operating earnings, which include, but are not limited to: (i) non-recurring gains/losses; (ii) merger-related expenses, including acquisition integration and other costs; (iii) writedowns of banking house assets and related lease termination costs; (iv) severance-related costs; and (v) charges related to executive-level management separation costs, are generally also excluded when calculating the efficiency ratio. Operating earnings per common share (“EPS”) is derived by determining the per common share impact of the respective adjustments to arrive at operating earnings and adding (subtracting) such amounts to (from) diluted EPS, as reported. Operating return on average assets is calculated by dividing operating earnings (annualized) by average total assets. Operating return on average tangible common equity is calculated by dividing operating earnings (annualized) by average tangible common equity. The operating common dividend payout ratio is calculated by dividing common dividends paid by operating earnings for the respective period.

The tangible common equity ratio is the ratio of (i) tangible common equity (total stockholders’ equity less preferred stock, goodwill and other acquisition-related intangible assets) (the numerator) to (ii) tangible assets (total assets less goodwill and other acquisition-related intangible assets) (the denominator). Tangible book value per common share is calculated by dividing tangible common equity by common shares (total common shares issued, less common shares classified as treasury shares and unallocated Employee Stock Ownership Plan (“ESOP”) common shares).

In light of diversity in presentation among financial institutions, the methodologies used by People’s United for determining the non-GAAP financial measures discussed above may differ from those used by other financial institutions.

16

People’s United Financial, Inc.    

NON-GAAP FINANCIAL MEASURES AND RECONCILIATION TO GAAP - Continued    

OPERATING NON-INTEREST EXPENSE AND EFFICIENCY RATIO    

	Three Months Ended															Nine Months Ended
(dollars in millions)	Sept. 30, 2018			June 30, 2018			March 31, 2018			Dec. 31, 2017			Sept. 30, 2017			Sept. 30, 2018			Sept. 30, 2017
Total non-interest expense	$	241.3		$	248.6		$	243.5		$	239.7		$	237.1		$	733.4		$	720.5
Adjustments to arrive at operating non-interest expense:
Merger-related expenses		(0.5	)		(2.9	)		—			(1.6	)		(3.0	)		(3.4	)		(29.0	)
Total		(0.5	)		(2.9	)		—			(1.6	)		(3.0	)		(3.4	)		(29.0	)
Operating non-interest expense		240.8			245.7			243.5			238.1			234.1			730.0			691.5
Operating lease expense		(8.9	)		(8.7	)		(9.0	)		(8.9	)		(8.8	)		(26.6	)		(26.3	)
Amortization of other acquisition-related intangible assets		(4.9	)		(4.9	)		(5.1	)		(7.9	)		(7.9	)		(14.9	)		(22.1	)
Other (1)		(1.8	)		(1.7	)		(1.3	)		(1.4	)		(1.5	)		(4.8	)		(3.7	)
Total non-interest expense for efficiency ratio	$	225.2		$	230.4		$	228.1		$	219.9		$	215.9		$	683.7		$	639.4
Net interest income (FTE basis)	$	313.0		$	307.8		$	302.1		$	304.1		$	295.8		$	922.9		$	839.1
Total non-interest income		92.3			94.9			90.4			87.3			89.3			277.6			265.6
Total revenues		405.3			402.7			392.5			391.4			385.1			1,200.5			1,104.7
Adjustments:
Operating lease expense		(8.9	)		(8.7	)		(9.0	)		(8.9	)		(8.8	)		(26.6	)		(26.3	)
BOLI FTE adjustment		0.6			0.4			0.4			0.8			1.2			1.4			2.6
Net security (gains) losses		(0.1	)		—			(0.1	)		9.8			—			(0.2	)		15.6
Other (2)		—			—			—			(1.3	)		(0.2	)		—			—
Total revenues for efficiency ratio	$	396.9		$	394.4		$	383.8		$	391.8		$	377.3		$	1,175.1		$	1,096.6
Efficiency ratio		56.7	%		58.4	%		59.4	%		56.1	%		57.3	%		58.2	%		58.3	%

(1) Items classified as “other” and deducted from non-interest expense for purposes of calculating the efficiency ratio include certain franchise taxes and real estate owned expenses.

(2) Items classified as “other” and (deducted from) added to total revenues for purposes of calculating the efficiency ratio include, as applicable, asset write-offs and gains associated with the sale of branch locations.

17

People’s United Financial, Inc.

NON-GAAP FINANCIAL MEASURES AND RECONCILIATION TO GAAP - Continued

OPERATING EARNINGS

	Three Months Ended															Nine Months Ended
(dollars in millions, except per common share data)	Sept. 30, 2018			June 30, 2018			March 31, 2018			Dec. 31, 2017			Sept. 30, 2017			Sept. 30, 2018			Sept. 30, 2017
Net income available to common shareholders	$	113.5		$	106.7		$	104.4		$	102.7		$	87.3		$	324.6		$	220.4
Adjustments to arrive at operating earnings:
Merger-related expenses		0.5			2.9			—			1.6			3.0			3.4			29.0
Security losses associated with tax reform (1)		—			—			—			10.0			—			—			—
Total pre-tax adjustments		0.5			2.9			—			11.6			3.0			3.4			29.0
Tax effect (2)		(0.2	)		(0.6	)		—			(9.8	)		(1.0	)		(0.8	)		(9.2	)
Total adjustments, net of tax		0.3			2.3			—			1.8			2.0			2.6			19.8
Operating earnings	$	113.8		$	109.0		$	104.4		$	104.5		$	89.3		$	327.2		$	240.2
Diluted EPS, as reported	$	0.33		$	0.31		$	0.30		$	0.30		$	0.26		$	0.94		$	0.67
Adjustments to arrive at operating EPS:
Merger-related expenses		—			0.01			—			0.01			—			0.01			0.06
Security losses associated with tax reform		—			—			—			0.02			—			—
Tax benefit associated with tax reform		—			—			—			(0.02	)		—			—			—
Total adjustments per common share		—			0.01			—			0.01			—			0.01			0.06
Operating EPS	$	0.33		$	0.32		$	0.30		$	0.31		$	0.26		$	0.95		$	0.73
Average total assets	$	44,245		$	44,110		$	44,011		$	44,039		$	43,256		$	44,123		$	42,091
Operating return on average assets (annualized)		1.03	%		0.99	%		0.95	%		0.95	%		0.83	%		0.99	%		0.76	%

(1) Security losses incurred as a tax planning strategy in response to tax reform enacted on December 22, 2017 are considered non-operating.

(2) Includes a $6.5 million benefit realized in connection with tax reform enacted on December 22, 2017.    

OPERATING RETURN ON AVERAGE TANGIBLE COMMON EQUITY

	Three Months Ended															Nine Months Ended
(dollars in millions)	Sept. 30, 2018			June 30, 2018			March 31, 2018			Dec. 31, 2017			Sept. 30, 2017			Sept. 30, 2018			Sept. 30, 2017
Operating earnings	$	113.8		$	109.0		$	104.4		$	104.5		$	89.3		$	327.2		$	240.2
Average stockholders’ equity	$	5,937		$	5,870		$	5,820		$	5,774		$	5,722		$	5,876		$	5,530
Less: Average preferred stock		244			244			244			244			244			244			244
Average common equity		5,693			5,626			5,576			5,530			5,478			5,632			5,286
Less: Average goodwill and average other acquisition-related          intangible assets		2,572			2,554			2,558			2,564			2,524			2,561			2,359
Average tangible common equity	$	3,121		$	3,072		$	3,018		$	2,966		$	2,954		$	3,071		$	2,927
Operating return on average tangible common equity (annualized)		14.6	%		14.2	%		13.8	%		14.1	%		12.1	%		14.2	%		10.9	%

18

People’s United Financial, Inc.

NON-GAAP FINANCIAL MEASURES AND RECONCILIATION TO GAAP - Continued

OPERATING COMMON DIVIDEND PAYOUT RATIO

	Three Months Ended															Nine Months Ended
(dollars in millions)	Sept. 30, 2018			June 30, 2018			March 31, 2018			Dec. 31, 2017			Sept. 30, 2017			Sept. 30, 2018			Sept. 30, 2017
Common dividends paid	$	60.0		$	59.9		$	58.8		$	58.6		$	58.3		$	178.7		$	169.3
Operating earnings	$	113.8		$	109.0		$	104.4		$	104.5		$	89.3		$	327.2		$	240.2
Operating common dividend payout ratio		52.7	%		55.0	%		56.3	%		56.1	%		65.3	%		54.6	%		70.5	%

TANGIBLE COMMON EQUITY RATIO

(dollars in millions)	Sept. 30, 2018			June 30, 2018			March 31, 2018			Dec. 31, 2017			Sept. 30, 2017
Total stockholders’ equity	$	5,959		$	5,900		$	5,845		$	5,820		$	5,746
Less: Preferred stock		244			244			244			244			244
Common equity		5,715			5,656			5,601			5,576			5,502
Less: Goodwill and other acquisition-related intangible assets		2,569			2,574			2,555			2,560			2,568
Tangible common equity	$	3,146		$	3,082		$	3,046		$	3,016		$	2,934
Total assets	$	44,133		$	44,575		$	44,101		$	44,453		$	43,998
Less: Goodwill and other acquisition-related intangible assets		2,569			2,574			2,555			2,560			2,568
Tangible assets	$	41,564		$	42,001		$	41,546		$	41,893		$	41,430
Tangible common equity ratio		7.6	%		7.3	%		7.3	%		7.2	%		7.1	%

TANGIBLE BOOK VALUE PER COMMON SHARE

(in millions, except per common share data)	Sept. 30, 2018		June 30, 2018		March 31, 2018		Dec. 31, 2017		Sept. 30, 2017
Tangible common equity	$	3,146	$	3,082	$	3,046	$	3,016	$	2,934
Common shares issued		437.74		437.06		436.56		435.64		433.59
Less: Shares classified as treasury shares		89.02		89.02		89.02		89.04		89.04
Unallocated ESOP shares		6.36		6.45		6.53		6.62		6.71
Common shares		342.36		341.59		341.01		339.98		337.84
Tangible book value per common share	$	9.19	$	9.02	$	8.93	$	8.87	$	8.68

19

EX-99.2

Third Quarter 2018 Results October 18, 2018 Exhibit 99.2

Forward-Looking Statement Certain statements contained in this presentation are forward-looking in nature. These include all statements about People's United Financial, Inc. (“People’s United”) plans, objectives, expectations and other statements that are not historical facts, and usually use words such as "expect," "anticipate," "believe," "should" and similar expressions. Such statements represent management's current beliefs, based upon information available at the time the statements are made, with regard to the matters addressed. All forward-looking statements are subject to risks and uncertainties that could cause People's United’s actual results or financial condition to differ materially from those expressed in or implied by such statements. Factors of particular importance to People’s United include, but are not limited to: (1) changes in general, international, national or regional economic conditions; (2) changes in interest rates; (3) changes in loan default and charge-off rates; (4) changes in deposit levels; (5) changes in levels of income and expense in non-interest income and expense related activities; (6) changes in accounting and regulatory guidance applicable to banks; (7) price levels and conditions in the public securities markets generally; (8) competition and its effect on pricing, spending, third-party relationships and revenues; (9) the successful integration of acquisitions; and (10) changes in regulation resulting from or relating to financial reform legislation. People's United does not undertake any obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise.

1 Net interest income on a fully taxable equivalent basis was $313 million, an increase of $5 million or 2%. (Comparisons versus second quarter 2018, unless noted otherwise) Third Quarter 2018 Overview Record Quarterly Net income of $117 million, or $0.33 per Common Share Completed the acquisition of First Connecticut Bancorp on October 1st Net interest income1 of $306 million, an increase of $5 million or 2% Net interest margin of 3.15%, an increase of 5 basis points Average loan balances of $32.2 billion, an increase of $50 million or <1% Period-end balances of $32.2 billion, a decrease of $313 million or 1% Mortgage Warehouse Lending period-end balances declined $201 million Run-off of the transactional portion of the New York multi-family portfolio lowered period-end balances by $128 million Average deposit balances of $33.1 billion, an increase of $522 million or 2% Period-end balances of $33.2 billion, an increase of $742 million or 2% Non-interest income of $92 million, a decrease of $3 million or 3% Non-interest expense of $241 million, an improvement of $7 million or 3% Includes merger-related expense of $500,000 compared to $2.9 million in the 2nd quarter Efficiency ratio of 56.7%, an improvement of 170 basis points Net loan charge-offs of 0.09%, an increase of 3 basis points

Net Interest Income1 ($ in millions) $301.2 $306.4 1 Net interest income on a fully taxable equivalent basis for 2Q 2018 and 3Q 2018 was $307.8 million and $313.0 million, respectively. +$5.2 or 2% Linked-Quarter Change $10.7 ($9.1) $1.9 $1.2 $0.5

Net Interest Margin 3.10% 3.15% +5 bps Linked-Quarter Change 10 bps (9 bps) 2 bps 1 bp 1 bp

Loans: Average Balances $32,166 ($ in millions) $32,116 Linked-Quarter Change Linked-quarter change: +$50 million or <1% $197 ($162) $34 $27 ($46)

Deposits: Average Balances ($ in millions) $33,058 $32,536 Linked-Quarter Change Linked-quarter change: +$522 million or 2% $559 ($157) $152 ($32)

Non-Interest Income ($ in millions) $94.9 $92.3 ($1.5) $1.5 ($2.6) or (3%) Linked-Quarter Change $0.6 ($1.2) ($2.0)

Non-Interest Expense ($ in millions) $241.3 $248.6 Ex. Merger-Related Expenses: Improved by $4.9 or 2% Linked-Quarter Change $0.8 ($2.4) ($4.1) ($1.9) $0.7 ($0.4)

Efficiency Ratio Quarterly Trend Note: The efficiency ratio, beginning with the 1st quarter of 2018, reflects the unfavorable impact of lower FTE adjustments on net interest income due to tax reform.

Asset Quality 1Non-performing assets (excluding acquired non-performing loans) as a percentage of originated loans plus all REO and repossessed assets; acquired non-performing loans excluded as risk of loss has been considered by virtue of (i) our estimate of acquisition-date fair value, (ii) the existence of an FDIC loss sharing agreement, and/or (iii) allowance for loan losses established subsequent to acquisition Notes: Source: SNL Financial Top 50 Banks represents the largest 50 banks by total assets in each respective quarter. 2Ex. acquired loan charge-offs, PBCT’s charge-off ratio was 0.07%, 0.03%, 0.04%, 0.06% & 0.05% in 3Q 2018, 2Q 2018, 1Q 2018, 4Q 2017& 3Q 2017, respectively PBCT Peer Group (Median) Top 50 Banks (Median) PBCT Peer Group (Median) Top 50 Banks (Median) Non-Performing Assets / Loans & REO (%)1 Net Charge-offs / Average Loans2

Returns Return on Average Assets Return on Average Tangible Common Equity

Capital Ratios Sep. 30, 2017 Dec. 31, 2017 Mar. 31, 2018 Jun. 30, 2018 Sep. 30, 2018 People’s United Financial, Inc. Tang. Com. Equity/Tang. Assets 7.1% 7.2% 7.3% 7.3% 7.6% Tier 1 Leverage 8.3% 8.3% 8.5% 8.6% 8.7% Common Equity Tier 1 9.5% 9.7% 10.1% 10.0% 10.3% Tier 1 Risk-Based 10.2% 10.4% 10.8% 10.8% 11.1% Total Risk-Based 12.0% 12.2% 12.6% 12.5% 12.8% People’s United Bank, N.A. Tier 1 Leverage 8.6% 8.5% 8.6% 9.1% 9.2% Common Equity Tier 1 10.6% 10.7% 11.0% 11.4% 11.6% Tier 1 Risk-Based 10.6% 10.7% 11.0% 11.4% 11.6% Total Risk-Based 12.6% 12.6% 12.9% 13.4% 13.6% Note: Capital ratios beginning March 31, 2018 reflect the reclassification of approximately $38 million from AOCI to retained earnings representing the stranded tax effects arising as a result of the enactment of the Tax Cuts and Jobs Act. The reclassification favorably impacted capital ratios by approximately 11 basis points.

Interest Rate Risk Profile 1Yield curve twist pivot point is 18 month point on yield curve. Short End defined as overnight to 18 months. Long End defined as terms greater than 18 months. Immediate Parallel Shock Est. Change in NII Yield Curve Twist1 Est. Change in NII Sep. 30, 2018 Jun. 30, 2018 Net Interest Income (NII) Sensitivity

Appendix

Loans By State $21,737 $24,390 $26,592 $29,745 $32,575 $28,411 ($ in millions, end of period balances) State Breakdown $32,199

Deposits By State $21,751 $22,557 $26,138 $29,861 $33,056 $28,417 ($ in millions, end of period balances) State Breakdown $33,210

Asset Quality Originated Portfolio Coverage Detail as of September 30, 2018 Note – ALLLs: Commercial: $203 million, Retail: $31 million, Total: $234 million. ALLLs / Loans NPLs / Loans ALLLs / NPLs

Peer Group Firm Ticker City State 1 Associated ASB Green Bay WI 2 Citizens CFG Providence RI 3 Comerica CMA Dallas TX 4 Cullen/Frost CFR San Antonio TX 5 East West EWBC Pasadena CA 6 First Horizon FHN Memphis TN 7 Huntington HBAN Columbus OH 8 KeyCorp KEY Cleveland OH 9 M&T MTB Buffalo NY 10 New York Community NYCB Westbury NY 11 Signature SBNY New York NY 12 Synovus SNV Columbus GA 13 Umpqua UMPQ Portland OR 14 Webster WBS Waterbury CT 15 Zions ZION Salt Lake City UT

For more information, investors may contact: Andrew S. Hersom (203) 338-4581 andrew.hersom@peoples.com