M&T Bank Corporation Re-authorizes Common Stock Repurchase Program

Rhea-AI Summary

M&T Bank Corporation (NYSE: MTB) has announced a re-authorization of a $800 million stock repurchase program to buy back common shares from the market. This decision follows the previous authorization in January 2021, which was not utilized due to a pending merger with People's United Financial. M&T's Chief Financial Officer highlighted that the company’s Common Equity Tier 1 capital ratio improved from 10.0% to 11.4%, ensuring sufficient capital to support loan demand while reinforcing its commitment to return excess capital to shareholders.

Positive

• Re-authorization of an $800 million stock repurchase program enhances shareholder value.
• Increase in Common Equity Tier 1 capital ratio from 10.0% to 11.4% demonstrates financial strength.
• Commitment to return excess capital indicates confidence in future growth.

Negative

• None.

BUFFALO, N.Y., Feb. 22, 2022 /PRNewswire/ -- M&T Bank Corporation ("M&T") (NYSE:MTB) announced that its Board of Directors re-authorized a stock repurchase program of up to $800 million of shares of common stock, $0.50 par value per share, on the open market or in privately negotiated transactions.

The Board originally authorized the program in January 2021, but no repurchases were made in 2021 following M&T's announcement of its pending merger with People's United Financial, Inc.

Darren King, M&T's Chief Financial Officer, noted, "Over the past year, M&T's Common Equity Tier 1 capital ratio increased from 10.0 percent to 11.4 percent. Our current capital levels are sufficient to support customer loan demand and to complete the merger with People's United Financial. This action by the Board reinforces our philosophy to return capital in excess of those priorities to our shareholders."

M&T is a financial holding company headquartered in Buffalo, New York. M&T's principal banking subsidiary, M&T Bank, operates banking offices in New York, Maryland, New Jersey, Pennsylvania, Delaware, Connecticut, Virginia, West Virginia and the District of Columbia.  Trust-related services are provided by M&T's Wilmington Trust-affiliated companies and by M&T Bank.

Investor Contact:     
Brian Klock
(716) 842–5138          

Media Contact:
Julia Berchou
(716) 842-5385

 

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SOURCE M&T Bank Corporation

FAQ

What is the amount of the stock repurchase program announced by M&T Bank?

M&T Bank has re-authorized a stock repurchase program of up to $800 million.

Why did M&T Bank not execute repurchases in 2021?

M&T Bank did not execute repurchases in 2021 due to a pending merger with People's United Financial.

What is the impact of the stock buyback on M&T Bank's stock price?

The stock buyback is expected to enhance shareholder value, potentially positively impacting the stock price.

How has M&T Bank's capital ratio changed?

M&T Bank's Common Equity Tier 1 capital ratio increased from 10.0% to 11.4% over the past year.