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) January 17, 2020 (January 16, 2020)

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))

Securities registered pursuant to Section 12(b) of the Act:

Title of each class	Trading Symbol	Name of each exchange on which registered
Common Stock, $0.01 par value per share	PBCT	NASDAQ Global Select Market
Fixed-to-Floating Rate Non-Cumulative Perpetual Preferred Stock, Series A, $0.01 par value per share	PBCTP	NASDAQ Global Select Market

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 January 16, 2020, People’s United Financial, Inc. (the “Company”) issued a press release announcing its results of operations for the three- and twelve-month periods ended December 31, 2019. 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 January 16, 2020
	99.2	Investor Presentation dated January 16, 2020
	104	The cover page from this Current Report on Form 8-K, formatted in Inline XBRL

EXHIBIT INDEX

Exhibit No.		Description	Page
	99.1	Earnings Press Release dated January 16, 2020		99.1-1
	99.2	Investor Presentation dated January 16, 2020		99.2-1
	104	The cover page from this Current Report on Form 8-K, formatted in Inline XBRL

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: January 17, 2020	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 Fourth Quarter Net Income of $137.5 Million, or

$0.31 per Common Share

Operating Earnings of $0.37 per Common Share

• Completed the acquisition of United Financial on November 1^st.

• Return on average assets of 0.98 percent, or 1.13 percent on an operating basis, and return on average tangible common equity of 12.8 percent, or 15.2 percent on an operating basis.

• Net interest margin of 3.14 percent, expanded two basis points linked-quarter and benefited from a 13 basis point reduction in deposit costs.

• Efficiency ratio of 53.7 percent, improved 310 basis points linked-quarter, reflecting well-controlled expenses and higher revenues, particularly continued strong non-interest income results.

• Period-end loans increased 12 percent linked-quarter driven by the United Financial acquisition and solid commercial organic growth, partially offset by a planned reduction of residential mortgage balances.

BRIDGEPORT, CT., January 16, 2020 – People’s United Financial, Inc. (NASDAQ: PBCT) today reported results for the fourth quarter and full year 2019. These results along with comparison periods are summarized below:

($ in millions, except per common share data)
	Three Months Ended									Twelve Months Ended
	Dec. 31, 2019			Sep. 30, 2019			Dec. 31, 2018			Dec. 31, 2019			Dec. 31, 2018
Net income	$	137.5		$	135.1		$	132.9		$	520.4		$	468.1
Net income available to common shareholders		134.0			131.6			129.4			506.3			454.0
Per common share		0.31			0.33			0.35			1.27			1.29
Operating earnings1		158.8			135.5			134.2			552.1			461.4
Per common share		0.37			0.34			0.36			1.39			1.31
Net interest income	$	382.7		$	348.7		$	332.6		$	1,412.3		$	1,236.0
Net interest margin		3.14	%		3.12	%		3.17	%		3.14	%		3.12	%
Non-interest income		124.2			106.0			88.7			431.1			366.4
Operating non-interest income1		116.6			106.0			98.7			423.5			376.4
Non-interest expense	$	325.7		$	281.4		$	262.7		$	1,162.7		$	996.1
Operating non-interest expense1		286.6			276.4			254.7			1,097.1			984.7
Efficiency ratio		53.7	%		56.8	%		55.1	%		55.8	%		57.4	%
Average balances
Loans	$	42,006		$	38,317		$	35,016		$	38,419		$	32,854
Deposits		42,195			38,657			35,959			39,143			33,601
Period-end balances
Loans		43,596			38,781			35,241
Deposits		43,590			38,574			36,159

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

“We are very pleased with the Company’s financial and operating performance in 2019,” said Jack Barnes, Chairman and Chief Executive Officer. “It was another noteworthy year for People’s United as we acquired two banks and a specialty finance company, enhanced our suite of banking technology and further strengthened core capabilities. As a result, we continued to build the earnings power of the Company as evidenced by a 20 percent increase in full year operating earnings from a year ago and an operating return on average tangible common equity of 14.7 percent. In addition, operating earnings per common share of $1.39 increased for the tenth consecutive year. While we have almost tripled total assets to nearly $60 billion over the last ten years, we have

remained true to our roots of delivering superior service at a local level, maintaining exceptional asset quality and supporting our communities. As we start a new decade already filled with economic and competitive uncertainties, we are confident our long-term approach to managing the business will enable us to generate value for customers and shareholders regardless of the operating environment. ”

“We concluded 2019 with a strong financial performance as demonstrated by another record quarter of earnings,” stated David Rosato, Senior Executive Vice President and Chief Financial Officer. “Operating earnings of $158.8 million increased 17 percent linked-quarter and reflected the acquisition of United, improved net interest margin and positive operating leverage. The fourth quarter margin of 3.14 percent benefited from continued remixing of the loan portfolio, disciplined management of deposit costs and the net effect of purchase accounting adjustments related to the United transaction. Excluding these purchase accounting adjustments, the margin was 3.09 percent. On an organic basis, period-end loan balances were essentially flat compared to September 30th, while period-end deposits declined one percent. Commercial loan growth of $314 million was driven by solid results in commercial real estate, equipment finance and our specialized industry verticals within C&I. These increases were offset by a $343 million decline in retail loans mostly due to our planned reduction of residential mortgages as we continue to remix the balance sheet with a focus on higher yielding portfolios. The decline in period-end deposits of $287 million was primarily attributable to lower brokered deposit balances.”

	As of and for the Three Months Ended
	Dec. 31, 2019			Sep. 30, 2019			Dec. 31, 2018
Asset Quality
Net loan charge-offs to average total loans		0.06	%		0.06	%		0.09	%
Originated non-performing loans as a percentage of originated loans		0.48	%		0.48	%		0.55	%
Returns
Return on average assets1		0.98	%		1.05	%		1.11	%
Return on average tangible common equity1		12.8	%		14.0	%		14.9	%
Capital Ratios
People’s United Financial, Inc.
Tangible common equity / tangible assets		8.0	%		7.8	%		7.6	%
Tier 1 leverage		9.2	%		8.7	%		8.7	%
Common equity tier 1		10.2	%		10.1	%		10.3	%
Tier 1 risk-based		10.7	%		10.7	%		10.9	%
Total risk-based		12.0	%		12.0	%		12.5	%
People’s United Bank, N.A.
Tier 1 leverage		9.3	%		8.8	%		9.0	%
Common equity tier 1		10.8	%		10.8	%		11.4	%
Tier 1 risk-based		10.8	%		10.8	%		11.4	%
Total risk-based		12.1	%		12.2	%		13.2	%

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

The Board of Directors declared a $0.1775 per common share quarterly dividend payable February 15, 2020 to shareholders of record on February 1, 2020. Based on the closing stock price on January 15, 2020, the dividend yield on People’s United Financial common stock is 4.4 percent.

People’s United Bank, N.A. is a subsidiary of People’s United Financial, Inc., a diversified, community-focused financial services company headquartered in the Northeast with approximately $59 billion in assets. Founded in 1842, People’s United Bank offers commercial and retail banking through a network of over 400 retail locations in Connecticut, New York, Massachusetts, Vermont, New Hampshire and Maine, as well as wealth management and insurance solutions. The company also provides specialized commercial services to customers nationwide.

Page 2

4Q 2019 Financial Highlights

Summary

• Net income totaled $137.5 million, or $0.31 per common share.

• Net income available to common shareholders totaled $134.0 million.

• Operating earnings totaled $158.8 million, or $0.37 per common share (see page 16).

• Net interest income totaled $382.7 million in 4Q19 compared to $348.7 million in 3Q19.

• Net interest margin increased two basis points from 3Q19 to 3.14% reflecting:

• Lower rates on deposits (increase of four basis points).

• Lower rates on borrowings (increase of two basis points).

• Lower yields on the loan portfolio (decrease of four basis points).

• Provision for loan losses totaled $7.3 million.

• Net loan charge-offs totaled $6.7 million.

• Net loan charge-off ratio of 0.06% in 4Q19.

• Non-interest income totaled $124.2 million in 4Q19 compared to $106.0 million in 3Q19.

• Customer interest rate swap income increased $3.3 million.

• Bank service charges increased $1.9 million.

• Commercial banking lending fees increased $1.1 million.

• Insurance revenue decreased $2.8 million.

• Included in other non-interest income is a $7.6 million net gain on the sale of branches (see page 16).

• At December 31, 2019, assets under discretionary management totaled $9.2 billion.

• Non-interest expense totaled $325.7 million in 4Q19 compared to $281.4 million in 3Q19.

• Operating non-interest expense totaled $286.6 million in 4Q19 (see page 16).

• Compensation and benefits expense, excluding $7.5 million and $0.8 million of merger-related expenses in 4Q19 and 3Q19, respectively, increased $6.6 million, primarily reflecting additional employees resulting from the United Financial acquisition.

• Professional and outside services expense, excluding $5.6 million and $3.7 million of merger-related expenses in 4Q19 and 3Q19, respectively, increased $4.0 million.

• Regulatory assessment expense increased $2.0 million.

• Included in other non-interest expense in 4Q19 is a $16.5 million charge relating to the write-off of an intangible asset and $8.9 million of merger-related expenses (see page 16).

• The efficiency ratio was 53.7% for 4Q19 compared to 56.8% for 3Q19 and 55.1% for 4Q18 (see page 16).

• The effective income tax rate was 21.0% for 4Q19 and 20.2% for the full-year of 2019, compared to 18.8% for the full-year of 2018.

• The rate in 2018 reflects a $9.2 million benefit recognized in connection with tax reform.

Page 3

Commercial Banking

• Commercial loans totaled $30.7 billion at December 31, 2019, an increase of $3.2 billion from September 30, 2019.

• Organic growth of $314 million.

• The equipment financing portfolio increased $175 million.

• The mortgage warehouse portfolio decreased $180 million.

• The New York multifamily portfolio decreased $55 million.

• Average commercial loans totaled $29.4 billion in 4Q19, an increase of $2.5 billion from 3Q19.

• The average equipment financing portfolio increased $144 million.

• The average mortgage warehouse portfolio increased $138 million.

• The average New York multifamily portfolio decreased $73 million.

• Commercial deposits totaled $16.6 billion at December 31, 2019 compared to $14.9 billion at September 30, 2019.

• The ratio of originated non-performing commercial loans to originated commercial loans was 0.44% at both December 31, 2019 and September 30, 2019.

• Non-performing commercial assets, excluding acquired non-performing loans, totaled $119.2 million at December 31, 2019 compared to $118.3 million at September 30, 2019.

• For the originated commercial loan portfolio, the allowance for loan losses as a percentage of loans was 0.89% at both December 31, 2019 and September 30, 2019.

• The originated commercial allowance for loan losses represented 201% of originated non-performing commercial loans at December 31, 2019 compared to 205% at September 30, 2019.

Retail Banking

• Residential mortgage loans totaled $10.3 billion at December 31, 2019, an increase of $1.0 billion from September 30, 2019.

• Average residential mortgage loans totaled $10.0 billion in 4Q19, an increase of $626 million from 3Q19.

• Home equity loans totaled $2.4 billion at December 31, 2019, an increase of $450 million from September 30, 2019.

• Average home equity loans totaled $2.3 billion in 4Q19, an increase of $279 million from 3Q19.

• Retail deposits totaled $27.0 billion at December 31, 2019 compared to $23.7 billion at September 30, 2019.

• The ratio of originated non-performing residential mortgage loans to originated residential mortgage loans was 0.55% at both December 31, 2019 and September 30, 2019.

• The ratio of originated non-performing home equity loans to originated home equity loans was 0.78% at December 31, 2019 compared to 0.85% at September 30, 2019.

• For the originated retail loan portfolio, the allowance for loan losses as a percentage of loans was 0.35% at both December 31, 2019 and September 30, 2019.

• The originated retail allowance for loan losses represented 59% of originated non-performing retail loans at December 31, 2019 compared to 57% at September 30, 2019.

Page 4

Conference Call

On January 16, 2020, 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.

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

People’s United Financial completed its acquisition of United Financial Bancorp, Inc. effective November 1, 2019. Accordingly, United Financial’s results of operations are included beginning with the effective date, and prior period results have not been restated to include United Financial.

	Three Months Ended
(dollars in millions, except per common share data)	Dec. 31, 2019			Sept. 30, 2019			June 30, 2019			March 31, 2019			Dec. 31, 2018
Earnings Data:
Net interest income (fully taxable equivalent)	$	390.3		$	356.0		$	355.4		$	340.0		$	339.5
Net interest income		382.7			348.7			348.1			332.8			332.6
Provision for loan losses		7.3			7.8			7.6			5.6			9.9
Non-interest income (1)		124.2			106.0			106.3			94.6			88.7
Non-interest expense (1)		325.7			281.4			278.4			277.2			262.7
Income before income tax expense		173.9			165.5			168.4			144.6			148.7
Net income		137.5			135.1			133.2			114.6			132.9
Net income available to common shareholders (1)		134.0			131.6			129.7			111.1			129.4
Selected Statistical Data:
Net interest margin (2)		3.14	%		3.12	%		3.12	%		3.20	%		3.17	%
Return on average assets (1), (2)		0.98			1.05			1.04			0.96			1.11
Return on average common equity (2)		7.2			7.7			7.7			7.0			8.3
Return on average tangible common equity (1), (2)		12.8			14.0			14.1			13.0			14.9
Efficiency ratio (1)		53.7			56.8			55.8			57.3			55.1
Common Share Data:
Earnings per common share:
Basic	$	0.31		$	0.34		$	0.33		$	0.30		$	0.35
Diluted (1)		0.31			0.33			0.33			0.30			0.35
Dividends paid per common share		0.1775			0.1775			0.1775			0.1750			0.1750
Common dividend payout ratio (1)		52.2	%		53.1	%		53.8	%		58.6	%		50.3	%
Book value per common share (end of period)	$	17.60		$	17.54		$	17.34		$	17.13		$	16.95
Tangible book value per common share (end of period) (1)		10.12			9.74			9.51			9.35			9.23
Stock price:
High		17.22			17.10			17.66			18.03			17.46
Low		14.73			13.81			15.24			14.25			13.66
Close (end of period)		16.90			15.64			16.78			16.44			14.43
Common shares (end of period) (in millions)		437.74			392.57			392.24			372.18			371.02
Weighted average diluted common shares (in millions)		424.98			394.45			394.57			374.09			372.83

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

(2) Annualized.

6

People’s United Financial, Inc.

FINANCIAL HIGHLIGHTS - Continued

People’s United Financial completed its acquisition of United Financial Bancorp, Inc. effective November 1, 2019. Accordingly, United Financial’s results of operations are included beginning with the effective date, and prior period results have not been restated to include United Financial.

	Twelve Months Ended December 31,
(dollars in millions, except per common share data)	2019			2018
Earnings Data:
Net interest income (fully taxable equivalent)	$	1,441.7		$	1,262.4
Net interest income		1,412.3			1,236.0
Provision for loan losses		28.3			30.0
Non-interest income (1)		431.1			366.4
Non-interest expense (1)		1,162.7			996.1
Income before income tax expense		652.4			576.3
Net income		520.4			468.1
Net income available to common shareholders (1)		506.3			454.0
Selected Statistical Data:
Net interest margin		3.14	%		3.12	%
Return on average assets (1)		1.01			1.04
Return on average common equity		7.4			7.8
Return on average tangible common equity (1)		13.4			14.3
Efficiency ratio (1)		55.8			57.4
Common Share Data:
Earnings per common share:
Basic	$	1.28		$	1.30
Diluted (1)		1.27			1.29
Dividends paid per common share		0.7075			0.6975
Common dividend payout ratio (1)		54.3	%		53.7	%
Book value per common share (end of period)	$	17.60		$	16.95
Tangible book value per common share (end of period) (1)		10.12			9.23
Stock price:
High		18.03			20.26
Low		13.81			13.66
Close (end of period)		16.90			14.43
Common shares (end of period) (in millions)		437.74			371.02
Weighted average diluted common shares (in millions)		397.15			351.66

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

7

People’s United Financial, Inc.

FINANCIAL HIGHLIGHTS - Continued

People’s United Financial completed its acquisition of United Financial Bancorp, Inc. effective November 1, 2019. Accordingly, United Financial’s results of operations are included beginning with the effective date, and prior period results have not been restated to include United Financial.

	As of and for the Three Months Ended
(dollars in millions)	Dec. 31, 2019			Sept. 30, 2019			June 30, 2019			March 31, 2019			Dec. 31, 2018
Financial Condition Data:
Total assets	$	58,590		$	52,072		$	51,622		$	48,092		$	47,877
Loans		43,596			38,781			38,557			35,515			35,241
Securities		7,790			7,135			7,086			7,176			7,233
Short-term investments		317			158			275			106			266
Allowance for loan losses		247			246			244			241			240
Goodwill and other acquisition-related intangible assets		3,275			3,065			3,073			2,897			2,866
Deposits		43,590			38,574			39,467			36,901			36,159
Borrowings		5,155			4,629			3,400			2,860			3,593
Notes and debentures		993			916			912			902			896
Stockholders’ equity		7,947			7,131			7,046			6,621			6,534
Total risk-weighted assets (1):
People’s United Financial, Inc.		45,243			39,779			39,026			36,466			35,910
People’s United Bank, N.A.		45,210			39,727			38,976			36,447			35,875
Non-performing assets (2)		180			182			179			167			186
Net loan charge-offs		6.7			5.8			4.5			5.1			7.5
Average Balances:
Loans	$	42,006		$	38,317		$	38,229		$	35,046		$	35,016
Securities (3)		7,372			7,041			7,147			7,311			7,479
Short-term investments		294			219			214			203			292
Total earning assets		49,673			45,577			45,591			42,560			42,786
Total assets		56,130			51,524			51,088			47,800			47,721
Deposits		42,195			38,657			39,211			36,450			35,959
Borrowings		4,146			3,855			3,146			2,937			3,456
Notes and debentures		974			914			904			896			886
Total funding liabilities		47,314			43,427			43,261			40,284			40,302
Stockholders’ equity		7,654			7,079			6,978			6,562			6,515
Ratios:
Net loan charge-offs to average total loans (annualized)		0.06	%		0.06	%		0.05	%		0.06	%		0.09	%
Non-performing assets to originated loans, real estate owned and repossessed assets (2)		0.55			0.56			0.56			0.54			0.61
Originated allowance for loan losses to:
Originated loans (2)		0.75			0.75			0.76			0.76			0.77
Originated non-performing loans (2)		156.4			156.0			146.0			157.0			140.9
Average stockholders’ equity to average total assets		13.6			13.7			13.7			13.7			13.7
Stockholders’ equity to total assets		13.6			13.7			13.6			13.8			13.6
Tangible common equity to tangible assets (4)		8.0			7.8			7.7			7.7			7.6
Total risk-based capital (1):
People’s United Financial, Inc.		12.0			12.0			12.0			12.4			12.5
People’s United Bank, N.A.		12.1			12.2			12.4			12.9			13.2

(1) December 31, 2019 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

(in millions)	Dec. 31, 2019			Sept. 30, 2019			June 30, 2019			Dec. 31, 2018
Assets
Cash and due from banks	$	484.2		$	635.2		$	505.9		$	665.7
Short-term investments		316.8			157.8			274.8			266.3
Securities:
Trading debt securities, at fair value		7.1			9.3			9.3			8.4
Equity securities, at fair value		8.2			7.8			8.5			8.1
Debt securities available-for-sale, at fair value		3,564.3			2,978.7			2,971.2			3,121.0
Debt securities held-to-maturity, at amortized cost		3,869.2			3,805.4			3,807.5			3,792.3
Federal Home Loan Bank and Federal Reserve Bank stock, at cost		341.1			334.0			289.4			303.4
Total securities		7,789.9			7,135.2			7,085.9			7,233.2
Loans held-for-sale		511.3			24.8			17.4			19.5
Loans:
Commercial real estate		14,762.3			12,186.9			12,230.7			11,649.6
Commercial and industrial		11,041.6			10,545.9			10,121.8			9,088.9
Equipment financing		4,910.4			4,735.6			4,611.0			4,339.2
Total Commercial Portfolio		30,714.3			27,468.4			26,963.5			25,077.7
Residential mortgage		10,318.1			9,308.7			9,532.6			8,154.2
Home equity and other consumer		2,563.7			2,004.3			2,060.6			2,009.5
Total Retail Portfolio		12,881.8			11,313.0			11,593.2			10,163.7
Total loans		43,596.1			38,781.4			38,556.7			35,241.4
Less allowance for loan losses		(246.6	)		(246.0	)		(244.0	)		(240.4	)
Total loans, net		43,349.5			38,535.4			38,312.7			35,001.0
Goodwill and other acquisition-related intangible assets		3,274.6			3,064.9			3,072.9			2,865.7
Bank-owned life insurance		705.0			505.6			504.4			467.0
Premises and equipment, net		305.5			258.5			261.0			267.3
Other assets		1,853.0			1,754.4			1,587.5			1,091.6
Total assets	$	58,589.8		$	52,071.8		$	51,622.5		$	47,877.3
Liabilities
Deposits:
Non-interest-bearing	$	9,803.7		$	9,129.3		$	8,747.2		$	8,543.0
Savings		4,987.7			4,616.6			4,847.4			4,116.5
Interest-bearing checking and money market		19,592.6			16,727.2			17,424.8			16,583.3
Time		9,205.5			8,100.4			8,447.9			6,916.2
Total deposits		43,589.5			38,573.5			39,467.3			36,159.0
Borrowings:
Federal Home Loan Bank advances		3,125.4			2,948.5			2,054.4			2,404.5
Federal funds purchased		1,620.0			1,365.0			1,110.0			845.0
Customer repurchase agreements		409.1			315.6			235.2			332.9
Other borrowings		—			—			—			11.0
Total borrowings		5,154.5			4,629.1			3,399.6			3,593.4
Notes and debentures		993.1			915.7			911.5			895.8
Other liabilities		905.5			822.8			797.9			695.2
Total liabilities		50,642.6			44,941.1			44,576.3			41,343.4
Stockholders’ Equity
Preferred stock		244.1			244.1			244.1			244.1
Common stock		5.3			4.9			4.9			4.7
Additional paid-in capital		7,639.4			6,901.5			6,890.7			6,549.3
Retained earnings		1,512.8			1,449.3			1,388.1			1,284.8
Unallocated common stock of Employee Stock Ownership Plan, at cost		(122.9	)		(124.7	)		(126.5	)		(130.1	)
Accumulated other comprehensive loss		(166.9	)		(182.3	)		(193.0	)		(256.8	)
Treasury stock, at cost		(1,164.6	)		(1,162.1	)		(1,162.1	)		(1,162.1	)
Total stockholders’ equity		7,947.2			7,130.7			7,046.2			6,533.9
Total liabilities and stockholders’ equity	$	58,589.8		$	52,071.8		$	51,622.5		$	47,877.3

9

People’s United Financial, Inc.

CONSOLIDATED STATEMENTS OF INCOME

	Three Months Ended
(in millions, except per common share data)	Dec. 31, 2019		Sept. 30, 2019		June 30, 2019		March 31, 2019		Dec. 31, 2018
Interest and dividend income:
Commercial real estate	$	147.2	$	136.6	$	139.9	$	132.7	$	130.2
Commercial and industrial		114.9		113.4		111.4		103.9		100.1
Equipment financing		66.7		65.3		62.8		59.0		56.7
Residential mortgage		88.2		84.7		85.5		70.7		70.2
Home equity and other consumer		30.8		24.7		25.7		24.9		24.4
Total interest on loans		447.8		424.7		425.3		391.2		381.6
Securities		47.8		44.7		46.2		47.8		48.5
Short-term investments		1.0		1.3		1.2		1.3		1.4
Loans held-for-sale		0.3		0.2		0.1		0.2		0.3
Total interest and dividend income		496.9		470.9		472.8		440.5		431.8
Interest expense:
Deposits		86.9		92.2		96.6		81.2		70.6
Borrowings		18.5		21.5		19.3		17.7		20.0
Notes and debentures		8.8		8.5		8.8		8.8		8.6
Total interest expense		114.2		122.2		124.7		107.7		99.2
Net interest income		382.7		348.7		348.1		332.8		332.6
Provision for loan losses		7.3		7.8		7.6		5.6		9.9
Net interest income after provision for loan losses		375.4		340.9		340.5		327.2		322.7
Non-interest income:
Bank service charges		28.9		27.0		26.4		25.2		26.9
Investment management fees		16.7		17.3		17.1		16.5		16.4
Commercial banking lending fees		12.9		11.8		10.2		7.8		9.6
Operating lease income		12.8		13.0		12.7		12.7		12.0
Customer interest rate swap income, net		8.9		5.6		7.6		3.0		6.3
Insurance revenue		7.5		10.3		8.7		10.5		6.7
Cash management fees		7.1		7.3		7.2		6.8		6.6
Brokerage commissions		2.6		2.6		2.6		2.8		3.3
Net security gains (losses) (1)		0.1		—		0.1		—		(10.0	)
Other non-interest income (1)		26.7		11.1		13.7		9.3		10.9
Total non-interest income		124.2		106.0		106.3		94.6		88.7
Non-interest expense:
Compensation and benefits		171.4		158.1		161.3		155.4		151.5
Occupancy and equipment		52.2		45.0		44.4		44.3		44.6
Professional and outside services		29.6		23.7		24.9		20.0		21.4
Amortization of other acquisition-related intangible assets		9.8		8.0		8.0		6.7		6.9
Operating lease expense		9.6		9.9		9.9		9.4		9.8
Regulatory assessments		7.3		5.3		6.5		7.0		7.4
Other non-interest expense		45.8		31.4		23.4		34.4		21.1
Total non-interest expense (1)		325.7		281.4		278.4		277.2		262.7
Income before income tax expense		173.9		165.5		168.4		144.6		148.7
Income tax expense (1)		36.4		30.4		35.2		30.0		15.8
Net income		137.5		135.1		133.2		114.6		132.9
Preferred stock dividend		3.5		3.5		3.5		3.5		3.5
Net income available to common shareholders	$	134.0	$	131.6	$	129.7	$	111.1	$	129.4
Earnings per common share:
Basic	$	0.31	$	0.34	$	0.33	$	0.30	$	0.35
Diluted		0.31		0.33		0.33		0.30		0.35

(1) Includes $10.0 million of security losses for the three months ended December 31, 2018, which are considered non-operating, incurred in response to a tax reform-related benefit recognized in the period. Other non-interest income includes $7.6 million of non-operating income for the three months ended December 31, 2019. Total non-interest expense includes $39.1 million, $5.0 million, $6.5 million, $15.0 million and $8.0 million of non-operating expenses for the three months ended December, 31 2019, September 30, 2019, June 30, 2019, March 31, 2019 and December 31, 2018, respectively. Income tax expense for the three months ended December 31, 2018 includes a $9.2 million benefit recognized in connection with tax reform, which is considered non-operating. See Non-GAAP Financial Measures and Reconciliation to GAAP beginning on page 16.

10

People’s United Financial, Inc.

CONSOLIDATED STATEMENTS OF INCOME

	Twelve Months Ended December 31,
(in millions, except per common share data)	2019		2018
Interest and dividend income:
Commercial real estate	$	556.4	$	463.4
Commercial and industrial		443.6		365.7
Equipment financing		253.8		212.3
Residential mortgage		329.1		236.2
Home equity and other consumer		106.1		88.6
Total interest on loans		1,689.0		1,366.2
Securities		186.5		184.2
Short-term investments		4.8		5.0
Loans held for sale		0.8		0.9
Total interest and dividend income		1,881.1		1,556.3
Interest expense:
Deposits		356.9		216.1
Borrowings		77.0		70.9
Notes and debentures		34.9		33.3
Total interest expense		468.8		320.3
Net interest income		1,412.3		1,236.0
Provision for loan losses		28.3		30.0
Net interest income after provision for loan losses		1,384.0		1,206.0
Non-interest income:
Bank service charges		107.5		99.9
Investment management fees		67.6		68.7
Operating lease income		51.2		44.9
Commercial banking lending fees		42.7		37.3
Insurance revenue		37.0		34.6
Cash management fees		28.4		27.1
Customer interest rate swap income, net		25.1		14.6
Brokerage commissions		10.6		12.8
Net security gains (losses) (1)		0.2		(9.8	)
Other non-interest income (1)		60.8		36.3
Total non-interest income		431.1		366.4
Non-interest expense:
Compensation and benefits		646.2		562.9
Occupancy and equipment		185.9		168.2
Professional and outside services		98.2		77.6
Operating lease expense		38.8		36.4
Amortization of other acquisition-related intangible assets		32.5		21.8
Regulatory assessments		26.1		37.9
Other non-interest expense		135.0		91.3
Total non-interest expense (1)		1,162.7		996.1
Income before income tax expense		652.4		576.3
Income tax expense (1)		132.0		108.2
Net income		520.4		468.1
Preferred stock dividend		14.1		14.1
Net income available to common shareholders	$	506.3	$	454.0
Earnings per common share:
Basic	$	1.28	$	1.30
Diluted		1.27		1.29

(1) Includes $10.0 million of security losses for the twelve months ended December 31, 2018, which are considered non-operating, incurred in response to a tax reform-related benefit recognized in the period. Other non-interest income includes $7.6 million of non-operating income for the twelve months ended December 31, 2019. Total non-interest expense includes $65.6 million and $11.4 million of non-operating expenses for the twelve months ended December 31, 2019 and 2018, respectively. Income tax expense for the twelve months ended December 31, 2018 includes a $9.2 million benefit recognized in connection with tax reform, which is considered non-operating. See Non-GAAP Financial Measures and Reconciliation to GAAP beginning on page 16.

11

People’s United Financial, Inc.

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

	December 31, 2019							September 30, 2019							December 31, 2018
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	$	294.4	$	1.0		1.39	%	$	218.7	$	1.3		2.33	%	$	291.6	$	1.4		2.02	%
Securities (2)		7,372.2		52.6		2.85			7,041.3		49.4		2.80			7,478.7		52.9		2.83
Loans:
Commercial real estate		13,793.2		147.2		4.27			12,194.8		136.6		4.48			11,688.1		130.2		4.45
Commercial and industrial		10,805.1		117.7		4.36			10,059.2		116.0		4.61			8,880.3		102.6		4.62
Equipment financing		4,785.0		66.7		5.58			4,640.6		65.3		5.63			4,243.2		56.7		5.34
Residential mortgage		10,019.0		88.5		3.53			9,392.7		84.9		3.62			8,165.4		70.5		3.46
Home equity and other consumer		2,603.8		30.8		4.72			2,029.2		24.7		4.88			2,038.5		24.4		4.80
Total loans		42,006.1		450.9		4.29			38,316.5		427.5		4.46			35,015.5		384.4		4.39
Total earning assets		49,672.7	$	504.5		4.06	%		45,576.5	$	478.2		4.20	%		42,785.8	$	438.7		4.10	%
Other assets		6,457.2							5,947.8							4,935.3
Total assets	$	56,129.9						$	51,524.3						$	47,721.1
Liabilities and stockholders’ equity:
Deposits:
Non-interest-bearing	$	9,593.6	$	—		—	%	$	8,777.3	$	—		—	%	$	8,576.4	$	—		—	%
Savings, interest-bearing checking and money market		23,674.3		49.7		0.84			21,758.5		53.4		0.98			20,621.7		41.7		0.81
Time		8,926.8		37.2		1.67			8,121.6		38.8		1.91			6,761.1		28.9		1.71
Total deposits		42,194.7		86.9		0.82			38,657.4		92.2		0.95			35,959.2		70.6		0.79
Borrowings:
Federal Home Loan Bank advances		2,287.7		11.4		1.99			2,363.0		14.1		2.39			2,371.9		14.9		2.51
Federal funds purchased		1,489.3		6.4		1.73			1,202.3		6.8		2.26			761.4		4.5		2.38
Customer repurchase agreements		369.2		0.7		0.73			290.1		0.6		0.86			285.1		0.4		0.56
Other borrowings		—		—		—			—		—		—			37.5		0.2		2.26
Total borrowings		4,146.2		18.5		1.78			3,855.4		21.5		2.23			3,455.9		20.0		2.32
Notes and debentures		973.5		8.8		3.61			913.8		8.5		3.73			886.4		8.6		3.90
Total funding liabilities		47,314.4	$	114.2		0.96	%		43,426.6	$	122.2		1.13	%		40,301.5	$	99.2		0.99	%
Other liabilities		1,161.3							1,019.1							904.2
Total liabilities		48,475.7							44,445.7							41,205.7
Stockholders’ equity		7,654.2							7,078.6							6,515.4
Total liabilities and stockholders’ equity	$	56,129.9						$	51,524.3						$	47,721.1
Net interest income/spread (3)			$	390.3		3.10	%			$	356.0		3.07	%			$	339.5		3.11	%
Net interest margin						3.14	%						3.12	%						3.17	%

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

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

(2) The fully taxable equivalent adjustment was $7.6 million, $7.3 million and $6.9 million for the three months ended December 31, 2019, September 30, 2019 and December 31, 2018, respectively.

12

People’s United Financial, Inc.

AVERAGE BALANCE SHEET, INTEREST AND YIELD/RATE ANALYSIS

	December 31, 2019							December 31, 2018
Twelve months ended (dollars in millions)	Average Balance		Interest		Yield/ Rate			Average Balance		Interest		Yield/ Rate
Assets:
Short-term investments	$	232.7	$	4.8		2.06	%	$	278.9	$	5.0		1.81	%
Securities (1)		7,217.5		205.2		2.84			7,343.7		200.9		2.74
Loans:
Commercial real estate		12,480.1		556.4		4.46			11,017.7		463.4		4.21
Commercial and industrial		9,874.7		454.3		4.60			8,611.7		375.4		4.36
Equipment financing		4,574.9		253.8		5.55			4,040.8		212.3		5.25
Residential mortgage		9,314.8		329.9		3.54			7,188.6		237.1		3.30
Home equity and other consumer		2,174.0		106.1		4.88			1,995.6		88.6		4.44
Total loans		38,418.5		1,700.5		4.43			32,854.4		1,376.8		4.19
Total earning assets		45,868.7	$	1,910.5		4.17	%		40,477.0	$	1,582.7		3.91	%
Other assets		5,789.3							4,552.7
Total assets	$	51,658.0						$	45,029.7
Liabilities and stockholders’ equity:
Deposits:
Non-interest-bearing	$	8,822.9	$	—		—	%	$	8,069.8	$	—		—	%
Savings, interest-bearing checking and money market		22,204.1		209.3		0.94			19,630.1		127.4		0.65
Time		8,115.7		147.6		1.82			5,901.4		88.7		1.50
Total deposits		39,142.7		356.9		0.91			33,601.3		216.1		0.64
Borrowings:
Federal Home Loan Bank advances		2,098.0		50.1		2.39			2,653.6		54.5		2.05
Federal funds purchased		1,127.5		24.6		2.18			682.2		13.6		2.00
Customer repurchase agreements		296.6		2.2		0.75			252.7		1.0		0.40
Other borrowings		3.3		0.1		1.87			104.5		1.8		1.66
Total borrowings		3,525.4		77.0		2.18			3,693.0		70.9		1.92
Notes and debentures		922.1		34.9		3.78			889.8		33.3		3.75
Total funding liabilities		43,590.2	$	468.8		1.08	%		38,184.1	$	320.3		0.84	%
Other liabilities		996.5							808.4
Total liabilities		44,586.7							38,992.5
Stockholders’ equity		7,071.3							6,037.2
Total liabilities and stockholders’ equity	$	51,658.0						$	45,029.7
Net interest income/spread (2)			$	1,441.7		3.09	%			$	1,262.4		3.07	%
Net interest margin						3.14	%						3.12	%

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

(3) The fully taxable equivalent adjustment was $29.4 million and $26.4 million for the twelve months ended December 31, 2019 and 2018, 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

(dollars in millions)	Dec. 31, 2019			Sept. 30, 2019			June 30, 2019			March 31, 2019			Dec. 31, 2018
Originated non-performing loans:
Commercial:
Commercial real estate	$	29.8		$	25.1		$	23.2		$	33.6		$	33.5
Commercial and industrial		32.1			37.7			45.4			30.3			38.0
Equipment financing		46.2			41.5			42.7			37.5			42.0
Total		108.1			104.3			111.3			101.4			113.5
Retail:
Residential mortgage		36.3			36.6			38.4			35.4			38.9
Home equity		12.6			14.3			14.7			14.1			15.3
Other consumer		—			0.1			—			—			—
Total		48.9			51.0			53.1			49.5			54.2
Total originated non-performing loans (1)		157.0			155.3			164.4			150.9			167.7
REO:
Residential		11.9			12.3			8.1			6.9			5.5
Commercial		7.3			7.7			0.6			4.1			8.7
Total REO		19.2			20.0			8.7			11.0			14.2
Repossessed assets		4.2			6.3			5.7			5.6			3.9
Total non-performing assets	$	180.4		$	181.6		$	178.8		$	167.5		$	185.8
Acquired non-performing loans (contractual amount)	$	67.1		$	21.1		$	34.1		$	42.6		$	50.1
Originated non-performing loans as a percentage of originated loans		0.48	%		0.48	%		0.52	%		0.49	%		0.55	%
Non-performing assets as a percentage of:
Originated loans, REO and repossessed assets		0.55			0.56			0.56			0.54			0.61
Tangible stockholders’ equity and originated allowance for loan losses		3.67			4.21			4.24			4.23			4.76

(1) Reported net of government guarantees totaling $1.3 million at December 31, 2019, $1.4 million at September 30, 2019, $1.6 million at June 30, 2019, $1.4 million at March 31, 2019 and $1.9 million at December 31, 2018.

14

People’s United Financial, Inc.

PROVISION AND ALLOWANCE FOR LOAN LOSSES

	Three Months Ended
(dollars in millions)	Dec. 31, 2019			Sept. 30, 2019			June 30, 2019			March 31, 2019			Dec. 31, 2018
Allowance for loan losses on originated loans:
Balance at beginning of period	$	242.3		$	240.1		$	236.9		$	236.3		$	233.9
Charge-offs		(7.2	)		(6.8	)		(4.4	)		(5.6	)		(7.3	)
Recoveries		1.6			2.1			2.2			2.2			1.3
Net loan charge-offs		(5.6	)		(4.7	)		(2.2	)		(3.4	)		(6.0	)
Provision for loan losses		8.8			6.9			5.4			4.0			8.4
Balance at end of period		245.5			242.3			240.1			236.9			236.3
Allowance for loan losses on acquired loans:
Balance at beginning of period		3.7			3.9			4.0			4.1			4.1
Charge-offs		(1.3	)		(1.4	)		(2.9	)		(1.9	)		(1.8	)
Recoveries		0.2			0.3			0.6			0.2			0.3
Net loan charge-offs		(1.1	)		(1.1	)		(2.3	)		(1.7	)		(1.5	)
Provision for loan losses		(1.5	)		0.9			2.2			1.6			1.5
Balance at end of period		1.1			3.7			3.9			4.0			4.1
Total allowance for loan losses	$	246.6		$	246.0		$	244.0		$	240.9		$	240.4
Originated commercial allowance for loan losses as a percentage of originated commercial loans		0.89	%		0.89	%		0.91	%		0.91	%		0.93	%
Originated retail allowance for loan losses as a percentage of originated retail loans		0.35			0.35			0.34			0.37			0.36
Total originated allowance for loan losses as a percentage of:
Originated loans		0.75			0.75			0.76			0.76			0.77
Originated non-performing loans		156.4			156.0			146.0			157.0			140.9
NET LOAN CHARGE-OFFS (RECOVERIES)
	Three Months Ended
(dollars in millions)	Dec. 31, 2019			Sept. 30, 2019			June 30, 2019			March 31, 2019			Dec. 31, 2018
Commercial:
Commercial real estate	$	(0.1	)	$	(0.2	)	$	0.1		$	1.1		$	1.4
Commercial and industrial		2.3			1.6			0.2			1.7			1.4
Equipment financing		4.2			4.2			3.9			2.2			4.4
Total		6.4			5.6			4.2			5.0			7.2
Retail:
Residential mortgage		(0.2	)		—			0.1			0.1			—
Home equity		0.3			—			—			(0.2	)		0.1
Other consumer		0.2			0.2			0.2			0.2			0.2
Total		0.3			0.2			0.3			0.1			0.3
Total net loan charge-offs	$	6.7		$	5.8		$	4.5		$	5.1		$	7.5
Net loan charge-offs to average total loans (annualized)		0.06	%		0.06	%		0.05	%		0.06	%		0.09	%

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															Twelve Months Ended
(dollars in millions)	Dec. 31, 2019			Sept. 30, 2019			June 30, 2019			March 31, 2019			Dec. 31, 2018			Dec. 31, 2019			Dec. 31, 2018
Total non-interest expense	$	325.7		$	281.4		$	278.4		$	277.2		$	262.7		$	1,162.7		$	996.1
Adjustments to arrive at operating non-interest expense:
Merger-related expenses		(22.6	)		(5.0	)		(6.5	)		(15.0	)		(8.0	)		(49.1	)		(11.4	)
Intangible asset write off		(16.5	)		—			—			—			—			(16.5	)		—
Total		(39.1	)		(5.0	)		(6.5	)		(15.0	)		(8.0	)		(65.6	)		(11.4	)
Operating non-interest expense		286.6			276.4			271.9			262.2			254.7			1,097.1			984.7
Operating lease expense		(9.6	)		(9.9	)		(9.9	)		(9.4	)		(9.8	)		(38.8	)		(36.4	)
Amortization of other acquisition-related intangible assets		(9.8	)		(8.0	)		(8.0	)		(6.7	)		(6.9	)		(32.5	)		(21.8	)
Other (1)		(1.6	)		(1.4	)		(1.4	)		(1.8	)		(1.6	)		(6.2	)		(6.4	)
Total non-interest expense for efficiency ratio	$	265.6		$	257.1		$	252.6		$	244.3		$	236.4		$	1,019.6		$	920.1
Net interest income (FTE basis)	$	390.3		$	356.0		$	355.4		$	340.0		$	339.5		$	1,441.7		$	1,262.4
Total non-interest income		124.2			106.0			106.3			94.6			88.7			431.1			366.4
Total revenues		514.5			462.0			461.7			434.6			428.2			1,872.8			1,628.8
Adjustments:
Operating lease expense		(9.6	)		(9.9	)		(9.9	)		(9.4	)		(9.8	)		(38.8	)		(36.4	)
Gain on sale of branches, net of expenses		(7.6	)		—			—			—			—			(7.6	)		—
BOLI FTE adjustment		0.7			0.5			0.7			0.6			0.5			2.5			9.8
Net security (gains) losses		(0.1	)		—			(0.1	)		—			10.0			(0.2	)		1.9
Other (2)		(3.2	)		0.1			—			0.3			—			(2.8	)		—
Total revenues for efficiency ratio	$	494.7		$	452.7		$	452.4		$	426.1		$	428.9		$	1,825.9		$	1,604.1
Efficiency ratio		53.7	%		56.8	%		55.8	%		57.3	%		55.1	%		55.8	%		57.4	%

(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/losses 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															Twelve Months Ended
(dollars in millions, except per common share data)	Dec. 31, 2019			Sept. 30, 2019			June 30, 2019			March 31, 2019			Dec. 31, 2018			Dec. 31, 2019 (3)			Dec. 31, 2018
Net income available to common shareholders	$	134.0		$	131.6		$	129.7		$	111.1		$	129.4		$	506.3		$	454.0
Adjustments to arrive at operating earnings:
Gain on sale of branches, net of expenses		(7.6	)		—			—			—			—			(7.6	)		—
Merger-related expenses		22.6			5.0			6.5			15.0			8.0			49.1			11.4
Intangible asset write off		16.5			—			—			—			—			16.5			—
Security losses associated with tax reform (1)		—			—			—			—			10.0			—			10.0
Total pre-tax adjustments		31.5			5.0			6.5			15.0			18.0			58.0			21.4
Tax effect (2)		(6.7	)		(1.1	)		(1.4	)		(3.1	)		(13.2	)		(12.2	)		(14.0	)
Total adjustments, net of tax		24.8			3.9			5.1			11.9			4.8			45.8			7.4
Operating earnings	$	158.8		$	135.5		$	134.8		$	123.0		$	134.2		$	552.1		$	461.4
Diluted EPS, as reported	$	0.31		$	0.33		$	0.33		$	0.30		$	0.35		$	1.27		$	1.29
Adjustments to arrive at operating EPS:
Gain on sale of branches, net of expenses		(0.01	)		—			—			—			—			(0.01	)		—
Merger-related expenses		0.04			0.01			0.01			0.03			0.01			0.10			0.02
Intangible asset write off		0.03			—			—			—			—			0.03			—
Security losses associated with tax reform		—			—			—			—			0.02			—			0.02
Tax benefit associated with tax reform		—			—			—			—			(0.02	)		—			(0.02	)
Total adjustments per common share		0.06			0.01			0.01			0.03			0.01			0.12			0.02
Operating EPS	$	0.37		$	0.34		$	0.34		$	0.33		$	0.36		$	1.39		$	1.31
Average total assets	$	56,130		$	51,524		$	51,088		$	47,800		$	47,721		$	51,658		$	45,030
Operating return on average assets (annualized)		1.13	%		1.05	%		1.06	%		1.03	%		1.12	%		1.07	%		1.02	%

(1) Security losses incurred as a tax planning strategy in response to a tax reform-related benefit are considered non-operating.

(2) Includes a $9.2 million benefit recognized in connection with tax reform for the three and twelve months ended December 31, 2018.

(3) The sum of the quarterly amounts for certain line items do not equal the full-year amount due to rounding.

OPERATING RETURN ON AVERAGE TANGIBLE COMMON EQUITY

	Three Months Ended															Twelve Months Ended
(dollars in millions)	Dec. 31, 2019			Sept. 30, 2019			June 30, 2019			March 31, 2019			Dec. 31, 2018			Dec. 31, 2019			Dec. 31, 2018
Operating earnings	$	158.8		$	135.5		$	134.8		$	123.0		$	134.2		$	552.1		$	461.4
Average stockholders’ equity	$	7,654		$	7,079		$	6,978		$	6,562		$	6,515		$	7,071		$	6,037
Less: Average preferred stock		244			244			244			244			244			244			244
Average common equity		7,410			6,835			6,734			6,318			6,271			6,827			5,793
Less: Average goodwill and average other acquisition-related intangible assets		3,226			3,069			3,043			2,900			2,807			3,060			2,623
Average tangible common equity	$	4,184		$	3,766		$	3,691		$	3,418		$	3,464		$	3,767		$	3,170
Operating return on average tangible common equity (annualized)		15.2	%		14.4	%		14.6	%		14.4	%		15.5	%		14.7	%		14.6	%

18

People’s United Financial, Inc.

NON-GAAP FINANCIAL MEASURES AND RECONCILIATION TO GAAP - Continued

OPERATING COMMON DIVIDEND PAYOUT RATIO

	Three Months Ended															Twelve Months Ended
(dollars in millions)	Dec. 31, 2019			Sept. 30, 2019			June 30, 2019			March 31, 2019			Dec. 31, 2018			Dec. 31, 2019			Dec. 31, 2018
Common dividends paid	$	69.9		$	69.9		$	69.8		$	65.2		$	65.1		$	274.8		$	243.8
Operating earnings	$	158.8		$	135.5		$	134.8		$	123.0		$	134.2		$	552.1		$	461.4
Operating common dividend payout ratio		44.0	%		51.6	%		51.8	%		53.0	%		48.5	%		49.8	%		52.8	%

TANGIBLE COMMON EQUITY RATIO

(dollars in millions)	Dec. 31, 2019			Sept. 30, 2019			June 30, 2019			March 31, 2019			Dec. 31, 2018
Total stockholders’ equity	$	7,947		$	7,131		$	7,046		$	6,621		$	6,534
Less: Preferred stock		244			244			244			244			244
Common equity		7,703			6,887			6,802			6,377			6,290
Less: Goodwill and other acquisition-related intangible assets		3,275			3,065			3,073			2,896			2,866
Tangible common equity	$	4,428		$	3,822		$	3,730		$	3,481		$	3,424
Total assets	$	58,590		$	52,072		$	51,622		$	48,092		$	47,877
Less: Goodwill and other acquisition-related intangible assets		3,275			3,065			3,073			2,896			2,866
Tangible assets	$	55,315		$	49,007		$	48,549		$	45,196		$	45,011
Tangible common equity ratio		8.0	%		7.8	%		7.7	%		7.7	%		7.6	%
TANGIBLE BOOK VALUE PER COMMON SHARE
(in millions, except per common share data)	Dec. 31, 2019			Sept. 30, 2019			June 30, 2019			March 31, 2019			Dec. 31, 2018
Tangible common equity	$	4,428		$	3,822		$	3,730		$	3,481		$	3,424
Common shares issued		532.83			487.59			487.35			467.38			466.32
Less: Shares classified as treasury shares		89.17			89.01			89.01			89.01			89.03
Unallocated ESOP shares		5.92			6.01			6.10			6.19			6.27
Common shares		437.74			392.57			392.24			372.18			371.02
Tangible book value per common share	$	10.12		$	9.74		$	9.51		$	9.35		$	9.23

19

EX-99.2

Fourth Quarter and Full Year 2019 Results January 16, 2020 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 $1.4 billion, an increase of $179 million or 14%. Full Year 2019 Overview Net income of $520.4 million, or $1.27 per Common Share Operating Earnings of $1.39 per Common Share Completed the acquisitions of United Financial, BSB Bancorp and VAR Technology Net interest income1 of $1.4 billion, an increase of $176 million or 14% Net interest margin of 3.14%, an increase of 2 basis points Average loans of $38.4 billion, an increase of $5.6 billion or 17% Period-end loans of $43.6 billion, an increase of $8.4 billion or 24% Runoff of the transactional portion of the New York multifamily portfolio lowered balances by $231 million Average deposits of $39.1 billion, an increase of $5.5 billion or 16% Period-end deposits of $43.6 billion, an increase of $7.4 billion or 21% Non-interest income of $431 million, an increase of $65 million or 18% Operating non-interest income of $424 million, an increase of $47 million or 13% Non-interest expense of $1.2 billion, an increase of $167 million or 17% Operating non-interest expense of $1.1 billion, an increase of $112 million or 11% Efficiency ratio of 55.8%, an improvement of 160 basis points Net loan charge-offs of 0.06%, a decrease of 1 basis point (Comparisons versus full year 2018, unless noted otherwise)

Full Year 2020 Goals1 Net Interest Income Net Interest Margin Non-Interest Expense (Operating) Credit Capital Growth range: 9% - 11% 3.00% - 3.10% Assumes no change in the fed funds rate Growth range: 2% - 4% $1.190 billion - $1.220 billion Maintain excellent credit quality Provision: $40 million - $50 million Maintain strong capital levels Common equity tier 1 capital ratio: 10.0% - 10.5% Growth range of 2% - 4% Excludes the runoff of select United Financial portfolios (Dec. 31, 2019 balance: $1.346 billion) Excludes transactional portion of the New York multifamily portfolio which is in runoff mode (Dec. 31, 2019 balance: $737 million) Effective Tax Rate 20% - 22% Growth range of 2% - 4% Non-Interest Income (Operating) 1Goals reflect a full year of BSB Bancorp and United Financial (acquisitions closed in April 2019 and November 2019, respectively) Loans (End of Period) Deposits (End of Period)

1 Net interest income on a fully taxable equivalent basis was $390 million, an increase of $34 million or 10%. Fourth Quarter 2019 Overview Net income of $137.5 million, or $0.31 per Common Share Operating Earnings of $0.37 per Common Share Completed the acquisition of United Financial on November 1st Net interest income1 of $383 million, an increase of $34 million or 10% Net interest margin of 3.14%, an increase of 2 basis points Average loans of $42.0 billion, an increase of $3.7 billion or 10% - (Ex. United Financial, an increase of $40 million or <1%) Period-end loans of $43.6 billion, an increase of $4.8 billion or 12% - (Ex. United Financial, a decrease of $29 million or <1%) Runoff of the transactional portion of the New York multifamily portfolio lowered balances by $55 million Planned reduction of residential mortgages lowered balances by $260 million Average deposits of $42.2 billion, an increase of $3.5 billion or 9% - (Ex. United Financial, a decrease of $97 million or <1%) Period-end deposits of $43.6 billion, an increase of $5.0 billion or 13% - (Ex. United Financial, a decrease of $287 million or 1%) Non-interest income of $124 million, an increase of $18 million or 17% Operating non-interest income of $117, an increase of $11 million or 10% Non-interest expense of $326 million, an increase of $44 million or 16% Operating non-interest expense of $287 million, an increase of $10 million or 4% Efficiency ratio of 53.7%, an improvement of 310 basis points Net loan charge-offs of 0.06%, no change (Comparisons versus third quarter 2019, unless noted otherwise)

Net Interest Income1 ($ in millions) $348.7 $382.7 1 Net interest income on a fully taxable equivalent basis for 3Q 2019 and 4Q 2019 was $356.0 million and $390.3 million, respectively. +$34.0 or 10% Linked-Quarter Change $23.2 $5.3 $2.7 $2.8

Net Interest Margin 3.12% 3.14% +2 bps Linked-Quarter Change 4 bps 2 bps (4 bps)

Loans: Average Balances $42,006 ($ in millions) $38,317 Linked-Quarter Change Linked-quarter change +$3.689 billion or 10% Ex. United Financial Acquisition: +$40 million or <1% $1,598 $746 $626 $575 $144

Deposits: Average Balances ($ in millions) $42,195 $38,657 Linked-Quarter Change Linked-quarter change +$3.538 billion or 9% Ex. United Financial Acquisition: ($97) million or (<1%) $1,716 $817 $805 $200

Non-Interest Income ($ in millions) $106.0 $124.2 $18.2 or 17% Linked-Quarter Change 1 Non-operating represents a 4Q 2019 gain, net of expenses, on the sale of eight branches in central Maine. $7.6 1 $3.3 $1.9 $1.1 $7.7 ($2.8) ($0.6)

Non-Interest Expense ($ in millions) $325.7 $281.4 Ex. Non-Operating Expenses: +$10.2 or 4% Linked-Quarter Change $34.1 1 1 Non-operating expenses include: - Merger-related costs in 3Q 2019 and 4Q 2019 of $5.0 million and $22.6 million, respectively. - Intangible asset write-off in 4Q 2019 of $16.5 million related to the liquidation of the Company’s public mutual funds. $7.0 $6.6 $4.0 $2.0 $1.8 ($0.3) ($10.9)

Efficiency Ratio Quarterly Trend

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 0.05%, 0.05%, 0.02%, 0.04% & 0.07% in 4Q 2019, 3Q 2019, 2Q 2019, 1Q 2019 & 4Q 2018, 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 Returns calculated on an operating basis 14.4% 1.03% 14.6% 1.06% 14.4% 1.12% 15.5% 1.13% 15.2%

Capital Ratios Dec. 31, 2018 Mar. 31, 2019 Jun. 30, 2019 Sep. 30, 2019 Dec. 31, 2019 People’s United Financial, Inc. Tang. Com. Equity/Tang. Assets 7.6% 7.7% 7.7% 7.8% 8.0% Tier 1 Leverage 8.7% 8.8% 8.7% 8.7% 9.2%1 Common Equity Tier 1 10.3% 10.2% 10.1% 10.1% 10.2% Tier 1 Risk-Based 10.9% 10.8% 10.7% 10.7% 10.7% Total Risk-Based 12.5% 12.4% 12.0% 12.0% 12.0% People’s United Bank, N.A. Tier 1 Leverage 9.0% 9.0% 8.9% 8.8% 9.3%1 Common Equity Tier 1 11.4% 11.2% 11.0% 10.8% 10.8% Tier 1 Risk-Based 11.4% 11.2% 11.0% 10.8% 10.8% Total Risk-Based 13.2% 12.9% 12.4% 12.2% 12.1% 1 Adjusting for a full quarter of United assets, the pro forma Tier 1 Leverage Ratio at December 31, 2019 is 8.9%.

Appendix

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 Dec. 31, 2019 Sep. 30, 2019 Net Interest Income (NII) Sensitivity

Loans By State $24,390 $26,592 $29,745 $32,575 $28,411 ($ in millions, end of period balances) State Breakdown $35,241 $43,596

Deposits By State $22,557 $26,138 $29,861 $33,056 $28,417 ($ in millions, end of period balances) State Breakdown $36,159 $43,590

Asset Quality Originated Portfolio Coverage Detail as of December 31, 2019 Note – ALLLs: Commercial: $217 million, Retail: $29 million, Total: $246 million. ALLLs / Loans NPLs / Loans ALLLs / NPLs

Peer Group Firm Ticker City State 1 Associated Banc-Corp ASB Green Bay WI 2 BankUnited Inc. BKU Miami Lakes FL 3 Citizens Financial Group, Inc. CFG Providence RI 4 Comerica Inc. CMA Dallas TX 5 First Horizon National Corp. FHN Memphis TN 6 F.N.B. Corp. FNB Pittsburgh PA 7 Huntington Bancshares, Inc. HBAN Columbus OH 8 KeyCorp KEY Cleveland OH 9 M&T Bank Corp. MTB Buffalo NY 10 New York Community Bancorp NYCB Westbury NY 11 Signature Bank SBNY New York NY 12 Sterling Bancorp STL Montebello NY 13 Valley National Bancorp VLY Wayne NJ 14 Webster Financial Corp. WBS Waterbury CT 15 Zions Bancorp. ZION Salt Lake City UT

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

XML

Document and Entity Information	Jan. 16, 2020
Document And Entity Information [Line Items]
Entity Registrant Name	People's United Financial, Inc.
Amendment Flag	false
Entity Central Index Key	0001378946
Document Type	8-K
Document Period End Date	Jan. 16, 2020
Entity Incorporation State Country Code	DE
Entity File Number	001-33326
Entity Tax Identification Number	20-8447891
Entity Address, Address Line One	850 Main Street
Entity Address, City or Town	Bridgeport
Entity Address, State or Province	CT
Entity Address, Postal Zip Code	06604
City Area Code	(203)
Local Phone Number	338-7171
Written Communications	false
Soliciting Material	false
Pre Commencement Tender Offer	false
Pre Commencement Issuer Tender Offer	false
Entity Emerging Growth Company	false
Common Stock [Member]
Document And Entity Information [Line Items]
Security 12b Title	Common Stock, $0.01 par value per share
Trading Symbol	PBCT
Security Exchange Name	NASDAQ
Series A Preferred Stock [Member]
Document And Entity Information [Line Items]
Security 12b Title	Fixed-to-Floating Rate Non-Cumulative Perpetual Preferred Stock, Series A, $0.01 par value per share
Trading Symbol	PBCTP
Security Exchange Name	NASDAQ