Company: WBS-PG
Filing Date: 2025-11-10
Form Type: 10-Q
Source: 0000801337-25-000104
Chunk: 113

Company: WEBSTER FINANCIAL CORP
Filing Date: 2025-11-10
Form: 10-Q
Item: Part I, Item 2
Chunk 113
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 to the following items, which experienced changes greater than $100 million:

•Cash and cash equivalents increased $1.0 billion, primarily due to an increase in interest-bearing deposits held at the FRB as a result of management’s strategic decision to hold higher levels of on-balance sheet liquidity;

•Total investment securities, net increased $0.5 billion, reflecting a $0.9 billion increase in the available-for-sale portfolio, partially offset by a $0.4 billion decrease in the held-to-maturity portfolio. The net increase in total investment securities was primarily due to purchases exceeding paydown activities, particularly across the Agency MBS, Agency CMBS, and CMBS categories;

•Loans and leases increased $2.5 billion, primarily due to $10.6 billion of originations during the nine months ended September 30, 2025, particularly across the commercial non-mortgage, commercial real estate, and residential mortgages categories, partially offset by net principal paydowns and the transfer of loans from portfolio to held for sale, particularly as it relates to joint venture activities in the second quarter of 2025; and

•Accrued interest receivable and other assets increased $0.1 billion. Notable drivers of the change included increases in LIHTC investments, treasury derivative assets, other alternative investments, and accrued interest receivable, partially offset by a decrease in other assets.

Total liabilities increased $3.8 billion, or 5.5%, from $69.9 billion at December 31, 2024, to $73.7 billion at September 30, 2025. The change in total liabilities was primarily attributed to the following items:

•Total deposits increased $3.4 billion, reflecting a $3.2 billion increase in interest-bearing deposits and $0.2 billion net increase in non-interest-bearing deposits. The net increase in total deposits was primarily due to an increase in money market deposits, particularly from interSYNC, which contributed to $1.9 billion of the change. The Company also experienced increases across all other deposit categories except for brokered certificates of deposit, which decreased primarily due to a change in short-term funding mix;

•Securities sold under agreements to repurchase decreased 0.2 billion primarily due to a change in short-term funding mix;

•FHLB advances increased $0.5 billion, also primarily due to a change in