California home equity loan 125

Savings & Loan Associations - Los Angeles, California - Illustration - Statistical Data Included

L.A. County-based; ranked by assets as of June 30, 2001

EXECUTIVE SUMMARY

INDYMAC Bancorp Inc. reinforced its position as the county's largest thrift by increasing its assets by 63.5 percent over last year. Overall, 10 of the 15 S&Ls on this year's list occupied their same positions a year ago.

Asset holdings of the savings and loans also stayed fairly constant. Except for IndyMac, only three S&L's reported a net change in assets greater than 10 percent over last year. Most notable was Kaiser Federal, whose assets increased by 16.4 percent, and People's Bank of California, whose assets decreased by 27.3 percent.

Highland Federal Bank of Burbank, last year's ninth largest thrift and subsidiary of Highland Bancorp Inc., dropped off the list when it was bought out by Jackson Federal Bank in September 2000. Jackson Federal Bank is a subsidiary of Lansing, Mich.-based Jackson National Life Insurance Co.

THE PACESETTER

INDYMAC BANCORP INC.

LAST year, IndyMac Bancorp Inc. could credit its spot atop the list of thrifts to its acquisition of SGV Bancorp Inc. This year, interest rate reductions, less expensive funding sources and a huge increase in deposits helped widen its gap over First Federal Bank of California, Los Angeles County's second largest savings and loan for two years running.

IndyMac's 63.5 percent asset growth rate -- to $7.4 billion -- was outstripped by its increase in deposits, which multiplied fivefold over the past year. Net earnings figures have also grown over the first half of the year, by more than 23 percent over the like year-earlier period. Chairman Michael Perry said that the increased bottom line is a result of less expensive funds. He said that 5 percent of the company's borrowings are from the Federal Home Loan Bank. Last year it was less than 5 percent.

IndyMac's growth in both its assets and earnings is reflected in the price of its stock, which has been trading in the high $20 range, near its 52-week high of $30.44.

The business continues to be driven by the Internet, with 85 percent to 90 percent of IndyMac's loans originating online.