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J.P. Morgan SMid Cap Conference Dean Graham President & Chief Operating Officer December 5, 2008

J.P. Morgan SMid Cap Conference

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J.P. Morgan SMid Cap ConferenceDean GrahamPresident & Chief Operating Officer

December 5, 2008

J.P. Morgan SMid Cap Conference l December 5, 2008 l p. 2

Forward Looking Statements

This presentation contains "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of1995, including certain plans, expectations, goals, and projections and including statements about growing our commerciallending business and deposits and CapitalSource Bank’s operations, our position to make investments and loans, riskadjusted returns, margins, profits and cost of funds, credit standards and performance, charge offs and delinquencies,economic and market conditions affecting our business and our customers, loan yields and structures, industry dynamics, thestrength of our balance sheet and liquidity, our strategy of converting to a commercial bank and becoming a bank holdingcompany, the products and services we could then provide, our application for TARP funding, paydown of the “A”Participation Interest, our intentions regarding our REIT status and to sell assets, our structure and leverage, and ourintentions regarding our healthcare net lease business and possible acquisitions, all which are subject to numerousassumptions, risks, and uncertainties. All statements contained in this presentation that are not clearly historical in nature areforward-looking, and the words "anticipate," "assume," "intend," "believe," "expect," "estimate," "plan," “position,” “project,”"will," "look forward," and similar expressions are generally intended to identify forward-looking statements. All forward-looking statements (including statements regarding future financial and operating results and future transactions and theirresults) involve risks, uncertainties and contingencies, many of which are beyond our control which may cause actual results,performance, or achievements to differ materially from anticipated results, performance or achievements. Actual results coulddiffer materially from those contained or implied by such statements for a variety of factors, including without limitation: ourrecently completed bank transaction; changes in economic or market conditions or investment or lending opportunities;continued or worsening recession in the overall economy and disruptions in credit and other markets; movements in interestrates and lending spreads; continued or worsening charge offs and delinquencies; our ability to successfully and costeffectively operate CapitalSource Bank; our ability to successfully grow CapitalSource Bank's deposits and commercial loanassets or deploy its capital in favorable lending transactions or acquire assets in accordance with our strategic plan;competitive and other market pressures on product pricing and services; we may not receive all approvals needed to convertto a commercial bank or become a bank holding company or realize opportunities under the Federal Stabilization Act;success and timing of other business strategies; the nature, extent, and timing of governmental actions and reforms; changesin tax laws or regulations affecting REITs or our business otherwise, extended disruption of vital infrastructure; the impact ofour dividend policy; our ability to successfully operate after revoking our REIT election and to sell certain assets; our ability tosuccessfully convert into a commercial bank and become a bank holding company and thereafter to successfully and costeffectively operate as such; our ability to successfully consummate a transaction with respect to our healthcare net leasebusiness; and other factors described in CapitalSource's 2007 Annual Report on Form 10-K and documents subsequentlyfiled by CapitalSource with the Securities and Exchange Commission. All forward-looking statements included in thispresentation are based on information available at the time of the presentation. We are under no obligation to (and expresslydisclaim any such obligation to) update or alter our forward-looking statements, whether as a result of new information, futureevents or otherwise.

Agenda

CapitalSource Overview/Transformation to Commercial Bank

Commercial Lending Platform

Healthcare Net Lease Business

CapitalSource Bank Overview

Key Drivers of Future Financial Performance

J.P. Morgan SMid Cap Conference l December 5, 2008 l p. 4

CapitalSource Overview

Leading commercial lending franchise focused on the middlemarket Large scale, broad-based middle market lending platform Diverse portfolio of over $12.1 Billion in commercial loans and lease

assets Over 1,000 loans to small and medium-size businesses Financing of small and medium sized businesses for working capital,

growth, acquisitions or recapitalizations Successful public company (NYSE: CSE) in the midst of a

strategic transformation to a commercial banking model Launched bank strategy more than two years ago Commenced operations of CapitalSource Bank in July 2008 Initial Bank business plan anticipated a change to a Commercial Bank

charter and Bank Holding Company status Approved in November by FDIC and California DFI to convert

CapitalSource Bank from Industrial Bank to Commercial Bank charter Submitted Bank Holding Company Application to the Federal Reserve in

OctoberAll data as of September 30, 2008(1) CapitalSource consolidated

J.P. Morgan SMid Cap Conference l December 5, 2008 l p. 5

CapitalSource Overview

Ability to “Play Offense” due to sound financial footing Well capitalized – 17.5% capital ratio(1) in Commercial Banking segment Diversified funding platform, including

$5.0 billion of bank deposits / same branches had over $8.4 billion in 1Q’07 $0.9 billion in FHLB borrowing capacity $3.7 billion in match-funded commercial loan securitizations $2.7 billion in credit facility capacity - $1.5 billion drawn

Investment grade ratings from S&P and Fitch Low leverage

Focused lending strategy Diverse lending platform, with healthcare concentration Multiple lending groups compete on service, expertise and industry insight Non-commodity products and national, direct origination capability Proprietary in-house audit and due diligence resources Superior risk-adjusted returns and credit outcomes since 2000

Seasoned, proven management team 15+ years of middle market lending experience

Strong shareholder alignment Management, directors and certain of their affiliates beneficially own

approximately 32% of outstanding shares

Data as of September 30, 2008(1) Capital Ratio measured as equity to total assets for the Commercial Banking segment

J.P. Morgan SMid Cap Conference l December 5, 2008 l p. 6

Our Successful Business Model

“In-Sourced” credit process

Origination

Forensic accounting/underwriting

Credit approval

Syndication

Loan servicing

Audit

Legal

Loan management

Senior debt orientation

High asset quality – approximately 87% of loan assets are senior loans

Operational scale and expertise

Focused direct origination teams with deep industry specific experience

Large scale origination, underwriting and loan managementinfrastructure

“End-to-End” controlof the lending process

Data as of September 30, 2008

J.P. Morgan SMid Cap Conference l December 5, 2008 l p. 7

Outlook for Credit Performance

Despite the challenging economy, we expect CapitalSource creditperformance will be manageable because of:

The U.S. economy is in recession - challenges affecting financial institutionsare impacting both businesses and consumers

Deterioration is expected to continue well into 2009

The U.S. economy is in recession - challenges affecting financial institutionsare impacting both businesses and consumers

Deterioration is expected to continue well into 2009

The way we built our business:• Specialized expertise in focused markets• A diverse portfolio anchored in recession resistant sectors, such as healthcare• Senior debt orientation

The way we manage our business:• Direct origination focus• End-to-end control of the lending / credit process, including forensicaccounting group• Credit-first approach and intense underwriting discipline

The way we built our business:• Specialized expertise in focused markets• A diverse portfolio anchored in recession resistant sectors, such as healthcare• Senior debt orientation

The way we manage our business:• Direct origination focus• End-to-end control of the lending / credit process, including forensicaccounting group• Credit-first approach and intense underwriting discipline

J.P. Morgan SMid Cap Conference l December 5, 2008 l p. 8

The CapitalSource Lending Process

Our Credit Edge

A Bias Toward Specialization

The Market Opportunity

J.P. Morgan SMid Cap Conference l December 5, 2008 l p. 9

Our Credit “Edge”

UnderwritingOfficer

DevelopmentOfficer

InvestmentOfficer

Credit Committee

Loan Officer

Loan Analyst

Origination Underwriting Approval Servicing

Producing attractive risk-adjusted returns within the middlemarket by providing non-commodity solutions to clients

J.P. Morgan SMid Cap Conference l December 5, 2008 l p. 10

A Bias Towards Specialization

Healthcare Credit

Healthcare Real Estate

Healthcare Cash Flow

Media

Technology

Retail

Security Lending

Commercial Real Estate

Lender Finance

First Mortgage/Acquisition Loans

Sale-Leasebacks

Asset-Based Loans Secured byAccounts Receivable, Inventory &Other Assets

Cash Flow Loans for SponsoredLBOs

Equity Co-Investments

Specialty Lending Groups Products

Exposure across multiple industries and sectors leads to a morestable risk management profile

J.P. Morgan SMid Cap Conference l December 5, 2008 l p. 11

The Benefits of Specialization

LOW

HIGH

LOW

HIGH

The CapitalSource Zone

EXPERTISE

RE

LA

TIV

EC

OM

PE

TIT

ION

GenericABL

ConduitReal Estate

LargeSponsor

Cash Flow

MezzanineLoans

LenderFinance

Technology HealthCareReal Estate

HealthcareABL

HealthcareCash Flow

Higher RiskAdjusted Returns

Retail

Security Mediaand Comm.

GeneralCash Flow

J.P. Morgan SMid Cap Conference l December 5, 2008 l p. 12

The Market Opportunity for CapitalSource

Banks and financial service companies world-wide are under-capitalized, de-leveraging and on the defensive

Many competitors have left the market

CapitalSource is able to combine lending expertise, capital andliquidity to take advantage of “once in a lifetime” lendingopportunities

Our commitment to specialization enhances customer service

New loans are being written with conservative structures and atvery high yields

Secondary purchases, portfolio and business acquisitions arealso very attractive

Economic downturns historically are good times to make newloans as higher spreads more than offset higher credit costs

J.P. Morgan SMid Cap Conference l December 5, 2008 l p. 13

Healthcare Net Lease Business

A Source of Strength for CapitalSource andCapitalSource Bank

J.P. Morgan SMid Cap Conference l December 5, 2008 l p. 14

Healthcare Net Lease Segment

We provide long-term financing secured by income producinghealthcare-related facilities, primarily skilled nursing facilities

One of the largest portfolios of skilled nursing facilities in the U.S. $1.0 Billion portfolio of “direct real estate” assets 186 facilities located in 23 states / 40 third-party operators Annual operating lease income in excess of $100 million(1)

Long-term assets with stable cash flows Triple-net lease structure / low cost of ownership 86% of leases expire in 2013 or later Rent coverage of 2.2x before management fees Guaranteed lease escalators

Well capitalized business Equity of 35.6% of total assets

Synergies with Commercial Banking segment Same customer base We have the broadest product offering among our competitors CapitalSource is a recognized leader in the industry

As of September 30, 2008(1) Actual operating lease income of $80.0 million through 9/30/08

J.P. Morgan SMid Cap Conference l December 5, 2008 l p. 15

J.P. Morgan SMid Cap Conference l December 5, 2008 l p. 16

CapitalSource Bank

Realization of well-planned strategy to pairour high-performing commercial lendingbusiness with a robust depository Commenced operations as a de novo California

Industrial Bank in July 2008 A clean asset purchase of bank branches and

deposits Meaningful scale without asset quality

issues $5.0 billion in retail deposits 22 bank branches with 65,000 customers

throughout southern California Approximately 350 employees, including ~200

legacy hires and ~150 from CapitalSource

Talented and experienced bankingexecutive (Tad Lowrey) is CEO & President Chairman, CEO & President of Jackson Federal

Bank (1999-2005) CEO of CenFed Bank (1990-1998) Current Director of the Federal Home Loan

Bank of San Francisco Distinguished, independent Board of

Directors

CapitalSource Bank Branches

All data as of September 30, 2008

J.P. Morgan SMid Cap Conference l December 5, 2008 l p. 17

CapitalSource Bank Going Forward

CapitalSource Bank is already having a significant impact

Approximately 44% of our commercial lending assets, cash andmarketable securities are in CapitalSource Bank

Deposits currently provide approximately 45% of funding for ourCommercial Banking segment

The cost of funds in CapitalSource Bank is 150-200 bps lower thanwholesale markets

CapitalSource Bank will continue to increase in significance

Retail deposits can grow as needed to support new lending

Planned conversion to a commercial bank charter will broaden thevariety of deposit products (e.g., lock boxes), services and customerbase

Well capitalized, highly liquid CapitalSource Bank balance sheetpositions us to acquire other depositories at attractive prices

All data as of 9/30/08

J.P. Morgan SMid Cap Conference l December 5, 2008 l p. 18

Status of Commercial Bank and TARP Funding Applications

CapitalSource Bank currently operates as a California industrialbank, while pursuing conversion to a commercial bank

Our commercial bank charter applications were approved by theState of California in late October and the FDIC on November14th

CapitalSource bank holding company approval is now pendingwith the Federal Reserve (needed to complete the transition to acommercial bank)

Applications were submitted in late October for TARP fundingfor CapitalSource Inc. and CapitalSource Bank

J.P. Morgan SMid Cap Conference l December 5, 2008 l p. 19

The Strategic Transformation to a CommercialBank is Successfully Underway

Key Drivers of Financial Performance

Bank Transformation Began in 3Q

Becoming a Simple Story

J.P. Morgan SMid Cap Conference l December 5, 2008 l p. 20

Key Drivers of CapitalSource Financial Performance

Asset growth

Very attractive lending and loan purchase environment allows CapitalSource togrow its balance sheet in a highly profitable way

Originating new, senior loans underwritten to 600-800 bps over LIBOR

Utilization of CapitalSource Bank

Increasing both the percentage of commercial loans in CapitalSource Bank andpercentage of funding from deposits will drive higher returns

Cost of Funds

Migration of the balance sheet to CapitalSource Bank will drive down the cost offunds, thereby increasing margins

Operating Expenses

Balance sheet growth will leverage fixed cost investments in lending and retailbanking platforms to drive efficiencies

Credit

Higher than normal charge offs are expected to be manageable, but to continuedue to macro economic conditions and market dislocation

Higher spreads on new loans compensate for higher credit costs

J.P. Morgan SMid Cap Conference l December 5, 2008 l p. 21

The Transformation to CapitalSource Bank Began in 3Q

Profitable quarter despite challenging economic environment

3Q was the initial quarter with CapitalSource Bank

Significant balance sheet growth (+ $5 billion)

Resumed growth in commercial loan portfolio ($295 million new loansclosed)

Cost of funds declined with the addition of deposits (average cost of3.37%)

Operating expenses declined to 1.2%(1) of average total assets

Commercial loan yield remained strong at 9.54%

As of September 30, 2008

(1) Excludes direct real estate depreciation

J.P. Morgan SMid Cap Conference l December 5, 2008 l p. 22

Becoming a Simple Story

CapitalSource will no longer be a REIT after 2008

Plan to prudently sell residential mortgage compliance portfolio inearly 2009

Legacy portfolio outside CapitalSource Bank will continue to run off

Plan to realize value of Healthcare Net Lease business (IPO orotherwise)

Change of charter to commercial bank from industrial bank is wellunder way – only Federal Reserve approval remains

New business is being originated in CapitalSource Bank

New loans in CapitalSource Bank are being made at very attractivespreads, producing high ROEs

Most CapitalSource assets expected to be in CapitalSource Bank inapproximately three years

J.P. Morgan SMid Cap Conference l December 5, 2008 l p. 23

Questions & Answers

J.P. Morgan SMid Cap Conference l December 5, 2008 l p. 24

Supplemental InformationOverview of Three CapitalSource Lending Groups

Credit Performance – 9/30/06-9/30/08

CapitalSource Loans and Lease Assets – Portfolio Overview

CapitalSource Bank Balance Sheet

CapitalSource Bank Senior Management and Board

J.P. Morgan SMid Cap Conference l December 5, 2008 l p. 25

Commercial Banking – HealthCare & Specialty Finance

First mortgage/acquisition loans secured by realestate of healthcare facilities

Asset-Based loans secured by accountsreceivable, inventory, equipment & other assets

Cash flow loans for sponsored LBOs

HUD/FNMA loans

Average loan size of $11.0 million per client (1)

First mortgage/acquisition loans secured by realestate of healthcare facilities

Asset-Based loans secured by accountsreceivable, inventory, equipment & other assets

Cash flow loans for sponsored LBOs

HUD/FNMA loans

Average loan size of $11.0 million per client (1)

Intense collateral review; funding controls

In-house reimbursement & clinical expertise

Proprietary loan management capabilities

Superior healthcare workout experience

Domain expertise in healthcare and security

Intense collateral review; funding controls

In-house reimbursement & clinical expertise

Proprietary loan management capabilities

Superior healthcare workout experience

Domain expertise in healthcare and security

Healthcare is 1/6th of U.S. economy

Attractive demographic trends & politicalenvironment resistant to changeDominated by small & mid-sized borrowers

Underserved by traditional lenders

Unaffected by general economic conditions

Undergoing rapid growth and changeGovernment focus on Homeland Security & publicsafety

Healthcare is 1/6th of U.S. economy

Attractive demographic trends & politicalenvironment resistant to changeDominated by small & mid-sized borrowers

Underserved by traditional lenders

Unaffected by general economic conditions

Undergoing rapid growth and changeGovernment focus on Homeland Security & publicsafety

Owners/operators across senior housingcontinuum

Middle market healthcare service companies

Hospitals

Healthcare specific private equity firms

Security alarm dealers

Government contractors focused on homelandsecurity and public safety

Owners/operators across senior housingcontinuum

Middle market healthcare service companies

Hospitals

Healthcare specific private equity firms

Security alarm dealers

Government contractors focused on homelandsecurity and public safety

Competitive Advantages

Loans Types Market Opportunity

Target Borrowers

(1) As of September 30, 2008

J.P. Morgan SMid Cap Conference l December 5, 2008 l p. 26

Commercial Banking – Corporate Finance

Asset based revolvers

Senior secured cash flow loans

Increasingly organized into small specialty teams

Average loan size of $11.0 million per client (1)

Asset based revolvers

Senior secured cash flow loans

Increasingly organized into small specialty teams

Average loan size of $11.0 million per client (1)

Creativity

“One-stop” shop reputation as reliable lender

Specific industry expertise

Execution

Flexibility

Speed

Creativity

“One-stop” shop reputation as reliable lender

Specific industry expertise

Execution

Flexibility

Speed

Unprecedented lack of competition

Multiple contraction

Yields are widening

Deal structures are increasingly attractive

Unprecedented lack of competition

Multiple contraction

Yields are widening

Deal structures are increasingly attractive

Focus on industries with experience & expertise

Leadership in market niches

Experienced management team & sponsors

Private equity firms (approx. 200 sponsorrelationships)

Companies with strong historical cash flows

Limited operating leverage & event risk

Focus on industries with experience & expertise

Leadership in market niches

Experienced management team & sponsors

Private equity firms (approx. 200 sponsorrelationships)

Companies with strong historical cash flows

Limited operating leverage & event risk

Competitive Advantages

Loan Types Market Opportunity

Target Borrowers

(1) As of September 30, 2008

J.P. Morgan SMid Cap Conference l December 5, 2008 l p. 27

Commercial Banking – Structured Finance

Asset-based loans

Lender Finance: senior asset-based revolvers

Real Estate: predominately first mortgage debt

Average loan size of $21.7 million per client (1)

Asset-based loans

Lender Finance: senior asset-based revolvers

Real Estate: predominately first mortgage debt

Average loan size of $21.7 million per client (1)

Sophisticated structuring capabilities

Flexibility

Expertise

Speed

“One-stop” shop

Lender Finance: intense collateral analysis

Real Estate: property & market specific analysis

Portfolio acquisition experience/expertise

Sophisticated structuring capabilities

Flexibility

Expertise

Speed

“One-stop” shop

Lender Finance: intense collateral analysis

Real Estate: property & market specific analysis

Portfolio acquisition experience/expertise

Market segments that require highly specializedlending expertise

Fragmented & underserved

Need for highly customized solutions

Market segments that require highly specializedlending expertise

Fragmented & underserved

Need for highly customized solutions

Specialty lenders

Mortgage companies

Consumer & commercial lenders

Real estate developers/investors/funds

Sponsors/funds

Privately held finance companies

Specialty lenders

Mortgage companies

Consumer & commercial lenders

Real estate developers/investors/funds

Sponsors/funds

Privately held finance companies

Competitive Advantages

Loan Types Market Opportunity

Target Borrowers

(1) As of September 30, 2008

J.P. Morgan SMid Cap Conference l December 5, 2008 l p. 28

Credit Performance – 9/30/06 to 9/30/08

(1) Commercial Lending Assets includes: commercial loans, loans held for sale, receivables under reverse-repurchase agreements, commercial real estate “A”Participation Interest and related accrued interest.

9/30/08 6/30/08 3/31/08 12/31/07 9/30/07 6/30/07 3/31/07 12/31/06 9/30/06

Loans 60 or more days contractually delinquent 1.81% 1.16% 0.77% 0.75% 0.74% 1.09% 0.85% 1.12% 0.84%

Loans on non-accrual 2.39% 2.20% 1.79% 1.73% 1.76% 1.97% 1.78% 2.34% 2.39%

Allowance for Loan Loss: 1.48% 1.50% 1.40% 1.41% 1.16% 1.43% 1.45% 1.54% 1.40%

Net Charge Offs (trailing twelve months): 1.17% 0.66% 0.57% 0.64% 0.76% 0.75% 0.78% 0.69% 0.57%

Credit Metrics as % of Commercial Lending Assets

J.P. Morgan SMid Cap Conference l December 5, 2008 l p. 29

Allowance for Loan Losses Boosted in 3Q

Reserves and charge offs increased in 3Q’08, driven by macro economicconditions and market dislocation

Charge off levels expected to be manageable because of defensivenature of portfolio, including healthcare concentration

Allowance for loan losses increased in 3Q’08 to account for current andprojected economic conditions

Note: Data as of 9/30/08

(1) Commercial loans include: commercial loans, loans held for sale, receivables under reverse-repurchase agreements, and relatedaccrued interest

$141.1$136.7$138.9

$111.7

$127.5$125.2$120.6

$102.7

$163.9

1.43%

1.16%

1.74%

1.50%

1.40%1.41%1.45%

1.54%

1.40%

9/30/086/30/083/31/0812/31/079/30/076/30/073/31/0712/31/069/30/06

Allowance ($) Allowance % of Commercial Loans(1)

J.P. Morgan SMid Cap Conference l December 5, 2008 l p. 30

Commercial Loans and Lease Assets - Portfolio Overview

All data as of September 30, 2008(1) Commercial Loans include: Loans, loans held for sale, receivables under reverse-repurchase agreements andrelated accrued interest(2) Acquired 7/25/08 as part of CapitalSource Bank Asset Purchase(3) Commercial Lending Assets includes: commercial loans, loans held for sale, receivables under reverse-repurchase agreements, commercial real estate “A” Participation Interest and related accrued interest.

($ in thousands) $ Balance% ofTotal

LoanCount

AverageLoan Size

Number ofClients

Structured Finance $3,837,963 32% 211 $18,189 177

Healthcare & Specialty Finance $2,822,086 23% 371 $7,607 256

Corporate Finance $2,766,461 23% 503 $5,500 251

Total Commercial Loans (1) $9,426,510 78% 1,085 $8,688 684

"A" Participation Interest (2) $1,626,602 13%

Total Commercial Lending Assets (3) $11,053,112 92%

Healthcare Net Lease $998,834 8%

Total $12,051,946 100%

J.P. Morgan SMid Cap Conference l December 5, 2008 l p. 31

Cash and Marketable Securities 1.9$ Deposits 5.0$

Commercial Lending Assets 4.0 Other Liabilities 0.1

Goodwill and other 0.2Equity 1.0

Total 6.1$ Total 6.1$

Significant Liquidity and a Clean Balance Sheet

Note: Data as of 9/30/08

(1) Commercial Lending Assets includes: commercial loans, loans held for sale, receivables under reverse-repurchaseagreements, commercial real estate “A” Participation Interest and related accrued interest.

$2.4 billion commercial loans

$1.6 billion Commercial Real Estate “A” ParticipationInterest which is:

Highly secured by $4.7 billion diverse portfolio

Represents 36% of underlying loan balance

Receives 70% of total monthly principalcollections on underlying loans

Projected to completely repay over ~ next 12months

CapitalSource Bank

Interest-Bearing Account Type Amount

WeightedAverageInterest

Rate

Savings & Money market 608,629$ 2.69%

Certificates of Deposits (inc. brokered) 4,439,622$ 3.58%

Total Interest-Bearing Deposits 5,048,251$ 3.48%

J.P. Morgan SMid Cap Conference l December 5, 2008 l p. 32

CapitalSource Bank – Management & Board

CapitalSource Bank Management:

Tad Lowrey – President and CEO, CapitalSource Bank.

Jill Barnes – Executive Vice President and President-Retail Bank.

John Bogler – Executive Vice President, Chief Financial Officer

Bryan Corsini – Executive Vice President & President-Credit Administration

Chris Scardelletti – Executive Vice President, Chief Credit Officer

Steve Museles – Executive Vice President and Chief Legal Officer

CapitalSource Bank Board of Directors:

John K. Delaney serves as Chairman of the Board. He is the co-founder, Chairman and CEO of CapitalSource.

Joseph Colmery has been a principal of JCSD Capital, LLC and the principal portfolio manager of JCSD Partners since late 2004. Formerly, hewas the President and CEO of U.S. Bank of California and served as President and CEO of California Bancshares Inc. (1987-96). From 1984 to1986, Mr. Colmery was President and CEO of Diablo Bank, which was acquired by Security Pacific National Bank.

William Fike served as President of Umpqua Bank (California) from 2005 until his retirement in April of 2008. Previously, he served as thePresident and CEO of Sierra West Bank, which was sold to Bank of the West in 1999. Mr. Fike has also served as Chairman of the CaliforniaBankers Association.

Tad Lowrey President and CEO, CapitalSource Bank. Prior to joining CapitalSource Bank in 2008, served as Chairman, President and CEO ofJackson Federal Bank from 1999 until 2005 and CEO of CenFed Bank and its publicly owned holding company, CENFED Financial Corporation(NASDAQ: CENF) from 1990 – 1998. Mr. Lowrey is an elected director of the Federal Home Loan Bank of San Francisco.

Roger H. Molvar served until March 2008 as director of Farmers & Merchants Bank of Long Beach, California. From 2000 to 2004, he served asExecutive Vice President of IndyMac Bancorp and as Chief Executive Officer of IndyMac Consumer Bank. Previously, Mr. Molvar served asSenior Vice President and Comptroller for First Interstate Bank of California.

David J. Munio served as Executive Vice President and Chief Credit Officer for Wells Fargo and Company from 2001 until his retirement in 2006.

Robert Walker served as Vice Chairman of the Board of the Union Bank of California, N.A. and its parent holding company from July 1992 untilhis retirement in July 2004. Union Bank of California merged with Bank of California in April of 1996.