State Street Corp. reported a 33 percent increase in net income for the third quarter, validating its selection as one of nine institutions chosen to receive recapitalization funds from the federal government’s bailout plan.

Net income for the three months ended Sept. 30 was $477 million, or 1.09 cents per diluted share, compared to $358 million for the same period last year.

“We are pleased to be one of the nine financial institutions key to the infrastructure of the global financial markets, selected by the U.S. Treasury to initiate the Troubled Asset Relief Program, a program aimed at addressing the financial turmoil and restoring confidence in the markets. Our selection demonstrates the important role that State Street plays for its customers and in the global markets and reflects our core financial strengths. Although we have always been and remain well capitalized, the program adds additional capital and affords us additional flexibility to continue our leadership role in meeting the challenges and opportunities in current markets,” said Ronald E. Logue, State Street's chairman and chief executive officer.