March 10, 2004

People's Bank Announces The Repurchase Of $131.9 Million From Its Tender Offer For Its 7.20% Subordinated Notes Due 2006 And 9.875% Subordinated Notes Due 2010

BRIDGEPORT, CONN. - People's Bank (NASDAQ: PBCT), a $11 billion financial services company and the largest independent state-chartered institution in Connecticut, today announced the repurchase of $61.6 million in outstanding principal amount of its 7.20% Subordinated Notes due 2006 (CUSIP No. 710198EP3) and $70.3 million in outstanding principal amount of its 9.875% Subordinated Notes due 2010 (CUSIP No. 710198HE5) (collectively, the "Notes").

People's offer to purchase the Notes was made pursuant to a tender offer that expired at 5:00 pm EST on March 9, 2004. Goldman, Sachs & Co. acted as sole Dealer Manager and Global Bondholder Services Corporation acted as Information Agent in connection with the tender offer.