This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here
TheStreet Open House

Peapack-Gladstone Financial Corporation To Redeem The Remaining Preferred Stock Issued Under U.S. Treasury's Capital Purchase Program





BEDMINSTER, N.J., Jan. 9, 2012 /PRNewswire/ --  Peapack-Gladstone Financial Corporation (NASDAQ Global Select Market:PGC) (the "Corporation") announced today that it has received approval from the U.S. Treasury to redeem all of the remaining shares of preferred stock originally issued under Treasury's Capital Purchase Program ("CPP"). The Corporation expects to repay approximately $14.5 million to Treasury (including accrued and unpaid dividends of $112 thousand) on January 11, 2012.  The Corporation's redemption of the shares is not subject to additional conditions or stipulations from Treasury.

Frank A. Kissel, Chairman and CEO, said, "We are extremely pleased to be able to redeem the remaining portion of the original CPP investment.  When combining this redemption with our past two redemptions in 2010 and 2011, we will have repaid all of the original CPP investment completely from internally generated capital, without diluting existing shareholders.  As I have said many times, this has always been our plan and we have been successful."  Mr. Kissel also noted that the final redemption this year will save the Corporation approximately $720 thousand in dividend expense on an annual basis.   

As a result of the repurchase, accrued and unpaid dividends of $112 thousand will be paid and the accretion related to the preferred stock will be accelerated and an approximate $362 thousand total accretion will be recorded. As a result of these two items, a $474 thousand reduction to retained earnings will be recorded during the first quarter of 2012.

In connection with the January 2009 original issuance of the preferred stock under Treasury's CPP program, the Corporation issued to Treasury a warrant to purchase 150,296 common shares at $28.63 per share (after adjusting for a 5% stock dividend issued August 3, 2009). This warrant is still held by Treasury and will remain outstanding at this time.

About the Corporation



1 of 2

Select the service that is right for you!

COMPARE ALL SERVICES
Action Alerts PLUS
Try it NOW

Jim Cramer and Stephanie Link actively manage a real portfolio and reveal their money management tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
  • Weekly roundups
TheStreet Quant Ratings
Try it NOW
Only $49.95/yr

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
  • Upgrade/downgrade alerts
Stocks Under $10
Try it NOW

David Peltier, uncovers low dollar stocks with extraordinary upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
  • Weekly roundups
Dividend Stock Advisor
Try it NOW

Jim Cramer's protege, David Peltier, identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Alerts when market news affect the portfolio
  • Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
Real Money Pro
Try it NOW

All of Real Money, plus 15 more of Wall Street's sharpest minds delivering actionable trading ideas, a comprehensive look at the market, and fundamental and technical analysis.

Product Features:
  • Real Money + Doug Kass Plus 15 more Wall Street Pros
  • Intraday commentary & news
  • Ultra-actionable trading ideas
Options Profits
Try it NOW

Our options trading pros provide daily market commentary and over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • 100+ monthly options trading ideas
  • Actionable options commentary & news
  • Real-time trading community
  • Options TV
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!
DOW 17,279.74 +13.75 0.08%
S&P 500 2,010.40 -0.96 -0.05%
NASDAQ 4,579.7890 -13.6380 -0.30%

Brokerage Partners

Rates from Bankrate.com

  • Mortgage
  • Credit Cards
  • Auto

Free Newsletters from TheStreet

My Subscriptions:

After the Bell

Before the Bell

Booyah! Newsletter

Midday Bell

TheStreet Top 10 Stories

Winners & Losers

Register for Newsletters
Top Rated Stocks Top Rated Funds Top Rated ETFs