HCBK (MM)

The low interest rate environment is having a mixed effect on the Savings & Loans industry. While most institutions have posted declines in net interest income, record low mortgage rates have helped to attract many new potential homeowners and increase mortgage banking revenue. The Paragon Report examines investing opportunities in the Savings & Loans industry and provides equity research on Hudson City Bancorp, Inc. (NASDAQ: HCBK) and First Niagara Financial Group, Inc. (NASDAQ: FNFG). Access to the full company reports can be found at:

www.paragonreport.com/HCBK

www.paragonreport.com/FNFG

While the stock prices for many of these Savings & Loans banks have fallen considerably over the past year, some banks pay substantial dividends, which are attracting more investors due to the low interest environment.

Presently Hudson City Bancorp pays an annual dividend of 32 cents for a hefty yield of around 5.4 percent. During the company's third quarter earnings announcement, Ronald E. Hermance, Jr., Chairman and Chief Executive Officer said the company plans to "restrain its balance sheet growth" while the Federal Reserve and US Treasury spur the economy by keeping interest rates at historic lows.

The Paragon Report provides investors with an excellent first step in their due diligence by providing daily trading ideas, and consolidating the public information available on them. For more investment research on the Savings and Loans Industry register with us free at www.paragonreport.com and get exclusive access to our numerous stock reports and industry newsletters.

Earlier this week First Niagara announced that it will cut its quarterly dividend by half as it looks to raise capital levels following its acquisition of HSBC's U.S. branches. The company will pay a cash dividend of 8 cents a share from the next quarter. According to the company's statement, the payout cut -- First Niagara's first ever -- will preserve about $110 million in capital during 2012.

First Niagara also started a public offering of $450 million of its common stock and said it would use a part of the proceeds to complete its $1 billion purchase of HSBC's branches.

The Paragon Report has not been compensated by any of the above-mentioned publicly traded companies. Paragon Report is compensated by other third party organizations for advertising services. We act as an independent research portal and are aware that all investment entails inherent risks. Please view the full disclaimer at http://www.paragonreport.com/disclaimer

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