Launches OneWest Bank, A Well Capitalized Regional Bank Focused on
Relationship Banking in Southern California and Mortgage Banking Nationally
Pasadena, CA, March 19, 2009 – OneWest Bank Group LLC, a newly-formed thrift holding company owned by a consortium of private investors, today completed its acquisition of the banking operations of IndyMac Federal Bank, FSB from the Federal Deposit Insurance Corporation (FDIC). IndyMac’s assets and operations were acquired by OneWest Bank, FSB, a newly-formed Pasadena, California-based federal savings bank with total assets of approximately $16.0 billion. With $1.55 billion in common equity injected by its new owners, OneWest will be well capitalized as measured by its tangible common equity (TCE) ratio.
OneWest will operate as a regional bank, focused on deposits and conforming and jumbo mortgage lending for its retail customers in Southern California. Over time the bank intends to expand its retail branch network, which currently includes 33 branches located primarily in the Los Angeles area. OneWest will operate the national mortgage banking business acquired from IndyMac and continue to modify mortgages in accordance with the program created by the FDIC. OneWest will explore opportunities with other institutions to leverage its experience and expertise with loan modifications. OneWest acquired and will continue to operate Financial Freedom, one of the nation’s largest reverse mortgage businesses.
Current IndyMac depositors and customers will be largely unaffected by the transfer of ownership and will be receiving additional information from the FDIC and OneWest in the coming days. OneWest does not plan any branch closures and expects to add more customer-facing employees over time, consistent with its plans to grow OneWest’s retail banking presence. Existing IndyMac branches will be transitioned to the OneWest brand over the coming months.
“We appreciate the support of the FDIC and the OTS in completing this transaction, and we are committed to continuing our work with the FDIC and other government agencies to implement programs to help homeowners. We are looking forward to a long and successful relationship with our valued customers, dedicated employees, and the communities we serve,” said Steven Mnuchin, Chairman and Chief Executive Officer of OneWest Bank Group, the holding company that now owns the bank. “OneWest will benefit from a strong capital position and support from a committed group of investors.”
OneWest Bank’s Chief Executive Officer is Terry Laughlin, a veteran banking executive with over 30 years of banking experience who has held senior positions at Merrill Lynch Bank & Trust, FleetBoston and Mellon Bank.
“We are excited to introduce our customers and communities to OneWest Bank over the coming months,” said Mr. Laughlin. “We intend to make OneWest synonymous with the kind of personalized, relationship-based banking that customers should expect from a community bank with deep local roots. I am looking forward to working with my fellow OneWest employees to bring a superior level of service, confidence and commitment to our neighbors. We believe there is a gap in the market for the kind of banking services we intend to provide in the years ahead.”
About OneWest Bank Group LLC
OneWest Bank Group LLC, which wholly owns OneWest Bank, FSB, is a privately-held thrift holding company whose investors include Steven Mnuchin, entities advised by J.C. Flowers & Co. LLC, Paulson & Co., MSD Capital, L.P., Stone Point Capital LLC, SSP Offshore LLC and SILAR MCF-I LLC.
About OneWest Bank, FSB
OneWest Bank, FSB is a regional bank focused on delivering personalized, relationship-based banking to its customers. The bank has 33 retail branches in Southern California with approximately $6.4 billion in deposits and total assets of $16.0 billion, including a loan portfolio, a securities portfolio, a servicing platform with mortgage servicing rights (MSRs) representing an unpaid principal balance of $153.4 billion, and a reverse mortgage platform, Financial Freedom, with a reverse mortgage portfolio and MSRs representing an unpaid principal balance of $21.3 billion. OneWest is an FDIC-insured institution and funds deposited in the bank are insured up to the FDIC’s insurance limit of $250,000 per depositor. Information about OneWest Bank can be found on the company’s website at www.owb.com.
Sard Verbinnen & Co