N@N

National Penn Bancshares, Inc. Repurchases the Warrant Issued under TARP Capital Purchase Program

^{Published on 2011-04-13 13:25:34 - Market Wire}
 

BOYERTOWN, Pa.--([ BUSINESS WIRE ])--National Penn Bancshares, Inc. (Nasdaq:NPBC) today announced that it has repurchased the Warrant National Penn issued on December 12, 2008 to the U.S. Treasury as part of its participation in the U.S. Treasurya™s TARP Capital Purchase Program. In 2009, shares covered by the Warrant were reduced from 1,470,588 to 735,295 after National Penn completed a aqualifying equity offering.a In the repurchase, National Penn paid the U.S.Treasury $1,000,000 for the Warrant. When repurchased, the Warrant gave the U.S. Treasury the right to acquire up to 735,295 shares of National Penn stock at any time until December 12, 2018.

"Repurchase of the warrant concludes our participation in the TARP Capital Purchase Program. This transaction reflects the growing strength of National Penn. We are clean, strong and efficient, and focused on growing profitability to enhance shareholder value."

Scott V. Fainor, President and CEO of National Penn said: aRepurchase of the warrant concludes our participation in the TARP Capital Purchase Program. This transaction reflects the growing strength of National Penn. We are clean, strong and efficient, and focused on growing profitability to enhance shareholder value.a

About National Penn Bancshares, Inc.:

National Penn Bancshares, Inc., with approximately $9 billion in assets, is a bank holding company based in Pennsylvania. Headquartered in Boyertown, National Penn operates 123 branch banking offices, comprising 122 branches in Pennsylvania and one branch in Maryland through National Penn Bank and its HomeTowne Heritage Bank, KNBT and Nittany Bank divisions.

National Penna™s financial services affiliates consist of National Penn Wealth Management, N.A., including its National Penn Investors Trust Company division; National Penn Capital Advisors, Inc.; Institutional Advisors LLC; National Penn Insurance Services Group, Inc., including its Higgins Insurance division; and Caruso Benefits Group, Inc.

National Penn Bancshares, Inc. common stock is traded on the Nasdaq Stock Market under the symbol aNPBCa. Please visit our Web site at [ www.nationalpennbancshares.com ] to see our regularly posted material information.

Cautionary Statement Regarding Forward-Looking Information:

This release contains forward-looking information about National Penn Bancshares, Inc. that is intended to be covered by the safe harbor for forward-looking statements provided by the Private Securities Litigation Reform Act of 1995. Forward-looking statements are statements that are not historical facts. These statements can be identified by the use of forward-looking terminology such as abelieve,a aexpect,a amay,a awill,a ashould,a aproject,a acould,a aplan,a agoal,a apotential,a apro forma,a aseek,a aintend,a or aanticipatea or the negative thereof or comparable terminology, and include discussions of strategy, financial projections, guidance and estimates (including their underlying assumptions), statements regarding plans, objectives, expectations or consequences of announced transactions, and statements about the future performance, operations, products and services of National Penn and its subsidiaries. National Penn cautions readers not to place undue reliance on these statements.

National Penna™s business and operations are subject to a variety of risks, uncertainties and other factors. Consequently, actual results and experience may materially differ from those contained in any forward-looking statements. Such risks, uncertainties and other factors that could cause actual results and experience to differ from those projected include, but are not limited to, the following: increased capital requirements and other requirements or actions mandated by National Penna™s regulators, National Penna™s inability to meet the requirements of the memorandum of understanding or the individual minimum capital ratio requirements issued by its primary regulator, National Penna™s ability to raise capital and maintain capital levels, variations in interest rates, deterioration in the credit quality of loans, the effect of credit risk exposure, declines in the value of National Penna™s assets and the effect of any resulting impairment charges, recent and ongoing changes to the state and federal regulatory schemes under which National Penn and other financial services companies operate (including the recently passed Dodd-Frank Act and regulations to be adopted to implement that Act), competition from other financial institutions, interruptions or breaches of National Penna™s security systems, and the development and maintenance of National Penna™s information technology. These risks and others are described in greater detail in National Penna™s Annual Report on Form 10-K for the fiscal year ended December 31, 2010, as well as in other reports and documents filed by National Penn with the SEC after the date thereof. National Penn makes no commitment to revise or update any forward-looking statements in order to reflect events or circumstances occurring or existing after the date any forward-looking statement is made.