The recent shareholders meeting for La Jolla-based ITLA Capital Corp., the largest financial services company headquartered in San Diego, was a celebratory event, despite current market woes.

George Haligowski

"2002 was a breakout year for ITLA," Chairman of the Board, President and CEO George W. Haligowski said as he introduced the program. "To better serve our customers, we converted subsidiary Imperial Capital Bank from an industrial bank to a commercial bank charter. In addition, our successful acquisitions of the Asahi Bank of California and the Lewis Horwitz Organization, as well as our joint venture with Household International were crowning achievements that made for one of the most dynamic periods in the company's 28-year history."

ITLA Capital Corp. achieved its seventh consecutive year of record growth in 2002, increasing net income to $20 million. Success for the company also is reflected in earnings per share growth of 16.2 percent to $3.16 per share. In addition, ITLA stock outperformed the Nasdaq composite index by approximately 90 percent over the course of 2002.

"With our charter conversion completed, we leave the thrift industry as the most profitable and well run industrial bank in the state of California," Haligowski said. "We look forward now to becoming the best commercial banking operation in the state."

The recipient of the 2002 Asian Business Leadership Award, a San Diego Press Club's "Headliner" for 2002 and a 1999 honoree of the Ernst & Young Entrepreneur of the Year award, Haligowski's successes are well documented. Born to a Japanese mother and American father, the banker utilizes both entrepreneurial skills and cultural duality for the benefit of ITLA.

In 1992, Haligowski became chief executive officer of a struggling Imperial Capital Bank, known then as Imperial Thrift & Loan Association when it was owned by a Japanese consumer finance company. Haligowski turned the company around and took it public in 1995. Since then, ITLA has experienced a tremendous rate of growth.

"We've grown from $500 million to $1.72 billion in seven years," Haligowski said, noting 2002 year-end assets.

And despite current market rates being at 42-year historical lows, ITLA's financial performance for the second quarter of 2003 remained strong.

"We are extremely proud of our consistent strong operating results which drives shareholder value and has resulted in our stock price reaching a new 52-week high of $45.40 on July 14, 2003," Haligowski said.

ITLA Capital Corp. is the largest financial services company headquartered in San Diego, and conducts its operations through Imperial Capital Bank, Imperial Capital Real Estate Investment Trust and the Lewis Horwitz Organization. Imperial Capital Bank has six branches located in California (San Francisco, Encino, Beverly Hills, Glendale, Costa Mesa and Del Mar) and one branch in Nevada (Carson City).

Submitted by ITLA Capital Corp.