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UNITED STATES OF AMERICA

BEFORE THE

BOARD OF GOVERNORS OF THE FEDERAL RESERVE SYSTEM

WASHINGTON, D.C.

 

STATE OF CALIFORNIA

DEPARTMENT OF FINANCIAL INSTITUTIONS

SACRAMENTO, CALIFORNIA

 

Written Agreement by and among

 

IMPERIAL CAPITAL BANCORP, INC.

La Jolla, California

 

FEDERAL RESERVE BANK OF

SAN FRANCISCO

San Francisco, California

 

and

 

STATE OF CALIFORNIA

DEPARTMENT OF FINANCIAL

INSTITUTIONS

Sacramento, California

Docket No. 09-097-WA/RB-HC

 

 

 

WHEREAS, Imperial Capital Bancorp, Inc., La Jolla, California ("Imperial"), a registered bank holding company, owns and controls Imperial Capital Bank, La Jolla, California (the "Bank"), a state chartered nonmember bank, and various nonbank subsidiaries;

WHEREAS, it is the common goal of Imperial, the Federal Reserve Bank of San Francisco (the "Reserve Bank"), and the State of California Department of Financial Institutions (the "Department") to maintain the financial soundness of Imperial so that Imperial may serve as a source of strength to the Bank;

WHEREAS, Imperial, the Reserve Bank, and the Department have mutually agreed to enter into this Written Agreement (the "Agreement"); and

 

 

 

 

 

 

WHEREAS, on July 28, 2009, the board of directors of Imperial, at a duly constituted meeting, adopted a resolution authorizing and directing Norval L. Bruce, Member of the Executive Committee to enter into this Agreement on behalf of Imperial, and consenting to compliance with each and every provision of this Agreement by Imperial and its institution-affiliated parties, as defined in sections 3(u) and 8(b)(3) of the Federal Deposit Insurance Act, as amended (the "FDI Act") (12 U.S.C. §§ 1813(u) and 1818(b)(3)).

NOW, THEREFORE, Imperial, the Reserve Bank, and the Department agree as follows:

Dividends and Distributions

     1.      (a)           Imperial shall not declare or pay any dividends without the prior written approval of the Reserve Bank, the Director of the Division of Banking Supervision and Regulation (the "Director") of the Board of Governors of the Federal Reserve System (the "Board of Governors"), and the Department.

 

           (b)     Imperial and any nonbank subsidiary shall not directly or indirectly take dividends or any other form of payment representing a reduction in capital from the Bank without the prior written approval of the Reserve Bank and the Department.

 

           (c)     Imperial and its nonbank subsidiaries shall not make any distributions of interest, principal, or other sums on subordinated debentures or trust preferred securities without the prior written approval of the Reserve Bank, the Director, and the Department.

 

       &n


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