NMIL Newmil Bancorp

NewMil Bancorp, Inc. (NASDAQ/NM:NMIL) announced that its shareholders approved the agreement and plan of merger with Webster Financial Corporation (NYSE: WBS), Waterbury, Connecticut at the Special Meeting of Shareholders held today. NewMil anticipates completion of the merger on October 6, 2006. NewMil Bancorp, Inc, headquartered in New Milford, Connecticut, is the holding company for NewMil Bank, a state-chartered savings bank with $873 million in assets at December 31, 2005. The Bank has 20 full-service branches serving western Connecticut. Webster Financial Corporation is the holding company for Webster Bank, National Association and Webster Insurance. With $18.0 billion in assets, Webster provides business and consumer banking, mortgage, insurance, financial planning, trust and investment services through 160 banking offices, 308 ATMs, telephone banking and the Internet. This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. These forward-looking statements include, but are not limited to, statements regarding the benefits of the merger of Webster and NewMil, including future business opportunities and financial results, and the companies' intentions with respect to the combined company. These forward-looking statements are based upon current beliefs and expectations and are subject to business, economic and other uncertainties and contingencies, many of which are beyond our control. Actual results may differ materially from the anticipated results as a result of various factors, including among others: (1) the failure to successfully integrate the two companies' businesses, or to integrate them in a timely manner; (2) the failure to achieve anticipated cost savings, or to achieve such savings in a timely manner; (3) costs, customer loss and business disruption in connection with the acquisition or the integration of our companies may be greater than expected; and (4) difficulties associated with achieving expected future financial results. Additional factors that could cause actual results to differ materially from those expressed in the forward-looking statements, including those relating to the businesses of Webster and NewMil generally, are discussed in Webster's and NewMil's reports filed with the SEC (accessible on the SEC website at http://www.sec.gov, on Webster's website at http://websteronline.com and on NewMil's website at http://www.newmil.com). Webster and NewMil do not undertake any obligation to update any forward-looking statements to reflect changes in beliefs, expectations or events.