Philadelphia bank to cut jobs

Beneficial Mutual Bancorp Inc., which went public in July, said today it was cutting 40 jobs and anticipated a $3.7-million charge in the fourth quarter for severance costs.

The cutback represents about 8 percent of the company's 515 employees.

"While the actions we have taken have resulted in some short-term charges, we believe they are essential to our long-term profitability and our ability to create a more valuable franchise," Gerard Cuddy, the Philadelphia bank's president and chief executive officer, said in a statement.

Beneficial's shares debuted at $10 in July, but they have closed below that level all but one day since, in part because small bank stocks have been out of favor. The bank has 72 branches in the city and suburbs and assets of $3.5 billion.

The shares closed yesterday at $9.91.