As part of Provident's plan to boost capital, management and directors are buying an undisclosed number of newly issued shares at $10.80 -- a slight premium to yesterday's closing Provident price of $10.45. Institutional investors, however, are buying in at only $9.50. The package also includes the sale of convertible preferred stock with a 10 percent coupon. Institutional investors includes T. Rowe Price, Philadelphia Financial Management and Jefferies Dakota Fund. T. Rowe price is buying "on behalf of certain clients," Provident said, which seems to mean people other than retail mutual-fund investors.

Provident rose 20 cents this morning on the news.