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Deal Overview

Buyer:
Provident Bancorp, Inc.
Actual Acquirer:
Provident Bancorp, Inc.
Target:
Warwick Community Bancorp, Inc.
Deal Type:
Bank & Thrift Company
Agreement Date:
3/15/2004
Announcement Date:
3/15/2004
Announced Deal Value ($ M):
154.29
Status:
Completed
Completion Date:
10/1/2004
Announced Deal Value Per Share ($ )
32.75

Consideration Breakout
Cash ($M) 75.9
Common Stock ($M) 76.9
Common Stock Issued 6,257,896

Deal Pricing Ratios

Announcement Completion
Price / Book (%) 198.4 214.8
Price / Tangible Book (%) 206.1 222.4
Price / Earnings (x) 22.7 NM
Price / Deposits (%) 31.64 31.49
Price / Assets (%) 20.30 21.29
Tangible Book Premium/ Deposits (%) 17.70 18.54
Deal Terms
Description of Consideration

Provident issued 2.781 shares or $32.26 in cash for each share of Warwick, subject to 50% of Warwick shares being converted to cash.

Accounting Method Purchase
In-State Transaction? Yes
Merger of Equals? No
Geographic Expansion? In Market
Goodwill Generated ($ 000) 92,145
Estimated Cost Savings (%) 25.00
Estimated Cost Savings ($ 000) 4,500
Est. Restructuring Charges ($ 000) 11,250
Maximum Termination Fee ($ 000) 6,500
Minimum Termination Fee ($ 000) 0
Exchange Ratio (Common For Common) 2.781000
Exchange Ratio (Common For Preferred) NA
Exchange Ratio (Preferred For Common) NA
Exchange Ratio (Preferred For Preferred) NA
Lockup Agreement No
Strike Price ($ ) NA
% of Shares Outstanding NA
Shares Under Option NA
Core Deposit Intangibles ($ 000) 10,395
Deal Advisers
Financial Advisers
Party Advised Adviser Hired? Firm Name
Buyer Yes RP Financial LC
Seller Yes Sandler O'Neill & Partners LP
Legal Counsel
Party Advised Adviser Hired? Firm Name
Buyer Yes Luse Gorman PC
Seller Yes Wachtell Lipton Rosen & Katz