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IndyMac Announces Record Pro Forma EPS of $0.90 Excluding One-Time Accounting Change, GAAP EPS of $0.38 After Change.

Article Excerpt
PASADENA, Calif. -- Board of Directors Increases Quarterly Cash Dividend to $0.32

IndyMac Bancorp, Inc. (NYSE:NDE) ("IndyMac" or the "Company"), the holding company for IndyMac Bank(R) F.S.B., today reported record pro forma earnings of $54.6 million, or $0.90 per share, for the second quarter of 2004. These amounts exclude the one-time deferral of $31.6 million of net income, or $0.52 per share, related to the change in accounting for rate locks. This accounting change was made pursuant to Securities and Exchange Commission Staff Accounting Bulletin (SAB) No. 105, which became effective on April 1, 2004. Including the accounting change, IndyMac reported earnings of $23.0 million, or $0.38 per share, for the second quarter of 2004. SAB No. 105 affects the timing of revenue recognition, generally by one quarter or less, not the revenue recognized over time. There is no economic or business impact from this change in accounting. Pro forma earnings have been provided so that investors can evaluate IndyMac's results on an accounting basis consistent with prior periods. This change in accounting impacts only the second quarter of this year during which the new accounting methodology was implemented. Beginning in the third quarter, earnings and EPS are expected to be comparable to prior periods. IndyMac has also filed its Form 10-Q for the second quarter with the Securities and Exchange Commission. The Form 10-Q is available on IndyMac's Website at www.indymacbank.com.

Quarterly Cash Dividend

Based on IndyMac's strong operating performance and financial position, including earnings, capital and liquidity, and its commitment to shareholder value, IndyMac's Board of Directors declared a cash dividend of $0.32 per share for the third quarter of 2004. The cash dividend is payable September 9, 2004 to shareholders of record on August...