Banking Table of FACILITY COUNT CONTENTS

Arizona 26 banking locations 10 banking locations 1 Financial Highlights 287 banking locations 21 banking locations 2 Letter from the Chairman Banking on Relationships 105 banking locations 34 banking locations 4 6 Commercial Relationship Banking 4 banking locations 10 banking locations 10 Small Business Relationship 51 banking locations 7 banking locations Banking 29 banking locations 11 banking locations 12 Consumer Relationship Banking The of the West Brand 15 Specialized Banking Products 32 banking locations 4 banking locations The bear is the branding icon for 16 Banking on Communities Bank of the West, signifying our 13 banking locations 27 banking locations Western heritage, the strength of 18 Executive Management Committee a solid financial institution and 57 banking locations Includes Branches, Commercial and 19 Senior Management Committee the independent spirit of America. Nevada Corporate Banking 13 banking locations Offices, Agribusiness 20 Board of Directors and Real Estate 31 banking locations Industries Offices Financial HIGHLIGHTS

(dollar amounts in thousands) 2006 2005 2004

Net interest income $ 1,601,285 $ 1,413,239 $ 1,156,774

Total noninterest income 541,715 395,514 287,590

Total noninterest expense 1,170,941 941,015 721,379

Net income 572,032 525,661 419,027

Return on average assets 1.04% 1.23% 1.31%

Total assets 55,642,936 55,157,645 40,170,606

Total loans and leases 39,495,309 37,744,452 27,234,728

Total deposits 37,436,420 33,901,911 26,006,520

Stockholder’s equity 8,810,493 8,331,286 6,733,971

Total risk based capital ratio 11.27% 10.79% 12.41%

1 Letter from the CHAIRMAN

Relationship banking is the focus of our report this year, A NEW APPROACH and it has been at the core of our successful growth since Our challenge is to leverage the value of a much larger our founding as a community bank over 130 years ago. franchise and more comprehensive product line, while In 2006, we completed the migration of our relationship ensuring that size and scope don’t disrupt our personalized model into the 200-plus branches of the former style of customer service. To do this, we launched a new Commercial Federal Bank acquired in December, 2005. bank-wide operating model last June that enables us to That successful integration, and customer growth across offer a uniform set of products to our entire customer base. our network, served to increase earnings 9% over 2005, We call it, not too surprisingly, the B.E.A.R. Plan, an despite narrowing interest rate margins and intense acronym for Business Empowerment to Achieve Results. competition for deposits. Bank of the West had net income of $572.0 million for the year, up from the 2005 net of The B.E.A.R. model brings decision-making closer to our $525.7 million. Our deposits at December 31, 2006 were customers through decentralization, with geographic $37.4 billion, and loans and leases totaled $39.5 billion. division executives exercising a substantial degree of Year end assets for the bank were $55.6 billion. local operational and credit autonomy in eight regional centers: Albuquerque, , Fargo, Los Angeles, Omaha, Now among the largest commercial in the U.S., Bank Portland, Sacramento, and . We have also of the West faces complexities of scale that could present located representatives of our major product lines in an obstacle to our highly successful customer-focused each regional center, working closely with relationship strategy. We offer high-touch, community-bank service managers to provide SBA credit, cash management, with the full product set customers expect from a large equipment financing, foreign exchange, trade finance and financial institution. But we don’t want to risk becoming other services. yet another huge, impersonal organization. To keep our strategy viable, we began last year to make structural and Our larger scale allows us to be a more effective organizational changes, to make relationship banking commercial competitor. By deploying commercial banking truly scalable across a footprint of 19 states and more than employees regionally, segmented in accord with the size 700 branch and commercial locations. and scope of our 164,000 business clients, we can provide faster, better-tailored decisions and counsel. A newly- created National Banking Division is opening new offices to

2 better serve large customer relationships in major markets, MANAGEMENT TRANSITION and our Agribusiness and Real Estate Industries bankers are Two key, long-term vice chairmen of the bank retired also extending their presence with new office locations. in 2006. Doug Grigsby, Vice Chairman/Finance for Bank of the West and Chief Financial Officer of BancWest The past year was also devoted to making newly acquired Corporation, left after nearly three decades of commitment product lines readily accessible across our entire network, to the growth of the bank. Thibault Fulconis, a veteran and to rolling Bank of the West products out in new territory. of our shareholder BNP Paribas, joined us in December to Bank of the West’s strategy for the insurance business, assume these positions. for example, is to build market-by-market capacity by acquiring independent agencies to distribute products from Vice Chairman Steve Glenn, for many years our Chief our Fargo-based BW Insurance Agency. We now have 60 Administrative Officer, retired in the spring. Both Doug formerly independent agencies under the BWIA brand. We and Steve contributed immeasurably to the success of will continue to acquire insurance agencies and offer the bank. insurance products to both our consumer and commercial banking customers across our franchise. To ensure concentrated focus on implementation of the B.E.A.R. Plan, we created a new role, elevating J. Michael Building upon the Commercial Federal Bank acquisition, Shepherd, our former General Counsel and head of risk we expanded our mortgage business with a 75% increase management, to President and Chief Operating Officer. in mortgage consultants. We made mortgage application He manages all activities of our customer-facing business and loan processing more efficient with technology im- lines. provements. Despite a soft residential real estate market, the Omaha-based division experienced a 56% increase in To sustain Bank of the West as a high performance loan application volume in 2006, resulting in a year-end institution requires a tremendous amount of commitment mortgage portfolio that exceeds $10 billion. and effort from nearly 11,000 hard working employees, and they deserve my heartfelt thanks and appreciation. We also advanced our infill strategy in 2006, with the We also continue to owe our success to the strong support opening of new branches in Idaho, New Mexico, Oregon of our shareholder, BNP Paribas. and Minnesota. In Omaha, we completed construction of the Bank of the West Business Park by mid-year to A strong business model, sharpened focus and our accommodate our growing administrative and back office expanded geographical franchise all point to a promising support units. future. Our B.E.A.R. plan, when fully realized, will ensure that we continue to provide high-touch, personalized service on a much larger scale, fulfilling our brand promise COMMUNITY SUPPORT and differentiating Bank of the West as the bank that “gets The bank’s community affairs function helps stimulate bigger by acting smaller.” economic health in the communities we serve; our B.E.A.R. Plan improves our ability to accomplish this by extending more authority to the local community level. A $6 million charitable grant-making and community events program ensures that we support human service, educational and economic development nonprofits. Community affairs also works to ensure that our products, from mortgages to microcredit, from church loans to small farm and business loans, are made available to lower-income communities, organizations and individuals throughout our footprint. Don J. McGrath, Chairman and CEO March 1, 2007

3 Banking on RELATIONSHIPS

We offer a broad array of banking products and services that help commercial customers manage their companies, enable small businesses to grow, assist consumers to meet their financial goals and support the economic health of our communities.

Relationship banking has been the commercial customers manage their are available throughout our regional key to growth and success at Bank of companies, enable small businesses network. Our commercial bankers the West ever since our founding to grow, assist consumers to meet serve all industry segments, and as a California community bank in their financial goals and support the we have specialized expertise in 1874. With assets of $55.6 billion and economic health of our communities. agribusiness, commercial real estate, 3.75 million business and household construction, financial institutions, accounts, Bank of the West is among “Relationship banking starts with healthcare, municipalities and religious the 25 largest regional commercial understanding the company’s institutions. banks in the United States and the business and proactively second largest bank headquartered delivering products and services Our branch network provides in California. that meet all of the customer’s comprehensive banking services for commercial banking needs.” individuals and small business owners Bank of the West has more than 700 that include checking, credit card -Kevin Murphy branch, commercial and specialty and savings accounts, direct consumer Commercial Relationship Banker, CA business locations in 19 states: loans and lines of credit, mortgages, , California, Colorado, Idaho, insurance, investment products, Middle market companies and small Iowa, Kansas, Minnesota, Missouri, construction loans and private banking businesses will find a large bank Nebraska, Nevada, New Mexico, services as well as BusinessLink and product set available, including capital North Dakota, Oklahoma, Oregon, AgLink, our specialized loan products markets, cash management, credit South Dakota, Utah, Washington, for small business. To facilitate cards, equipment finance, foreign Wisconsin and Wyoming. efficient and timely delivery of our exchange, loan syndication, SBA loans, broad product set, we have decentral- trade finance and wealth management. Throughout our entire network, we ized operations at eight regional These commercial banking services offer a broad array of banking centers: Albuquerque, Denver, Fargo, products and services that help Los Angeles, Omaha, Portland,

4 “Relationship Banking involves high touch, personalized engagement with customers, understanding their business and individual goals, delivering financial products and services, and expanding banking relationships with customers as their needs grow.”

Sacramento and San Francisco. support. Working together to advance where we live and work. Bank of Regional executives have local credit collaboration and teamwork, our the West actively supports its authority and the autonomy to make service teams constantly interact, communities through community decisions closer to the customer. forming ad hoc internal relationships reinvestment loans, corporate to deliver more products, services and donations and the promotion “When we can successfully value to our customers. These com- of financial literacy. Throughout match customers with products mitted employees are our greatest our franchise, we are also well and services from our asset and the driving force that makes represented by bank employees business lines that meet their Bank of the West a high performance who volunteer their time and talents specific needs, we create value financial institution. to participate in local community for our services that translates organizations. “Relationship banking helps into customer loyalty and nonprofit clients achieve their At Bank of the West, we combine appreciation.” the broad product set and specialty -Greg McGhee goals through our involvement expertise of a large bank with Commercial Relationship Banker, OK in their organizations as a board member, volunteer and the high-touch personalized service culture of a community bank While relationship banking typically banker.” to deliver the best of both banking describes customer and banker -Renee Desai worlds to our customers. Getting contact, it also represents an internal Community Affairs Officer, CO bigger by acting smaller. That’s dynamic among our bankers, business how we define relationship banking. lines, product and specialty service Our relationship banking philosophy groups as well as the back office also extends to the communities functions that provide customer

5 Commercial Relationship BANKING

“AMVAC has grown through strategic acquisitions of chemical product lines, and this capital–intensive strategy has meant we’ve needed a particularly close relationship with our bankers. Bank of the West isn’t just our lender – they take care of most of our financial services, including our cash management and leading the syndication of our latest credit facility.”

-Eric Wintemute CEO (right) and James Barry CFO AMVAC, Los Angeles, CA

At Bank of the West, relationship chemicals in Southern California and foreign exchange, interest rate banking is fully scalable for compa- in Alabama, and the new line of derivatives and other capital markets nies. Whether a company is a sole credit provides a capital infusion to investments. proprietorship looking for an SBA loan the company following its acquisition to jump-start a dream or a middle of a crop protection product line ColorGraphics is the largest privately market corporation in need of online from BASF. As administrative and held commercial printer on the West cash management, equipment leasing syndication agent for the relationship, Coast with plants in Los Angeles, San and specialized credit or syndicated Bank of the West worked with six Francisco, Orange County and lending services, Bank of the West is other banks to ensure that AMVAC Seattle. A customer since 1999, ready and able. could finance its acquisition with a $60 ColorGraphics has a multimillion million term loan, an accordion term dollar line of credit for company Our commercial bankers serve larger feature of $30 million as necessary, acquisitions, operating capital and mid-sized companies in all industry and a revolving commitment of $75 equipment financing. segments. On this larger side of million. the corporate spectrum, Bank of the We have specialized commercial West recently closed a $165 million The funds will enable AMVAC to bankers with noted industry syndicated credit facility for American sustain its ongoing strategy of expertise who service customers in Vanguard Corporation (AMVAC), a acquiring mature product lines from agribusiness, commercial real estate, customer since 1979. larger developers. Besides the credit religious institutions, municipalities, and syndication agent relationship, healthcare and financial institutions. The company manufactures Bank of the West also provides AMVAC Real estate and construction environmentally-sensitive agricultural with cash management services,

6 “Bank of the West has worked closely with AMVAC since 1979, to provide creative financial solutions as their sales have grown to nearly $200 million in 2006. We leveraged our experience as a provider of commercial banking services to middle market companies and as a leading agricultural lender. Over the years we’ve both grown, and we’ve developed a full service relationship including credit facilities and a range of supporting products.”

-Bank of the West Relationship Banking Team Vince Cohee, Shikha Rehman, Ted Dunn, Los Angeles, CA

customers benefit from the broad Relationships with healthcare institu- For the past 20 years, Bank of the West spectrum of property types the bank tions, especially senior residential care has focused on the special needs of finances – retail, office, industrial and facilities, are a specialty niche at Bank religious institutions, making it the residential developments, including of the West. From site acquisition largest specialized bank lender to low-to-moderate income projects – through construction and occupancy churches in the U.S. and the wide geography we cover. development, the bank offers all the As one of the leading providers of expertise this industry demands. Grace Church, with a predominantly financing to real estate investors and As an example, the bank recently Korean-speaking congregation in developers in the West, Bank of the provided multi-million dollar term and Fullerton, California, turned to Bank West can provide continuity of service construction loans for the refinancing of the West’s dedicated church as a single bank for all projects. and expansion of Bishop Place, a banking experts in 2006 to refinance senior living facility in Pullman, its large mortgage and establish a For the past five years, for example, Washington. The transaction, which cash management relationship. Our Bank of the West and its predecessor expanded the 79-unit facility by 70 WebDirect online business banking have provided more than $40 million additional units, included a swap to product enables Grace Church to in construction loans and three-to- hedge rising interest rates, plus project easily make wire transfers to its many five year financing for Omaha-based management support. international missionaries. Noddle Companies, a commercial developer of retail and office space in the East and Midwest. Bank of the West is now as active in Midwest real estate markets as it is in the other areas of its footprint.

7 Commercial Relationship BANKING

“The personal attention we receive from our banking team means a lot to us. Because they fully understand our business, they can recommend solutions that meet our banking needs. Financing provided by Bank of the West helps us run our operations while a sweep maximizes return on our deposits, which we can make electronically and conveniently right from our office.”

-Lee Reeve, Owner, Reeve Cattle Entities, Wichita, KS

Bank of the West is the nation’s fourth bank’s new Electronic Depository clients in these high volume industries. largest bank agricultural lender, and Service – a feature that utilizes a In the public sector, Bank of the West as the bank has expanded into the scanner to make electronic deposits is a depository institution and cash “nation’s breadbasket” our growth in and to balance accounts without manager for states, cities, counties and agricultural banking has further ever having to visit a branch, which local district agencies throughout our accelerated. Our agribusiness experts in Reeve’s case is some 30 miles footprint. As a public agency financier, serve fruit, grain and vegetable away. Additionally, the bank’s new Bank of the West also has expertise growers, processors, wineries, Eurodollar Investment Sweep account in arranging bond issues for long-term ranches, dairies and nurseries, as helps the company maximize rate of debt. well as forest product industries. In return on deposits while automatically 2006, the bank reached a milestone managing target balances. Besides basic credit and deposit options, $2 billion in loans outstanding to Bank of the West offers a variety of agriculture, serving the three largest Other important commercial niches specialized products and services to agribusiness regions in the U.S. – served with specialized expertise are meet the needs of mid-sized commercial California, the Pacific Northwest and financial institutions and local govern- customers and small businesses alike. the Midwest. ment entities. As a correspondent They are part of a broad product array banker, Bank of the West provides our commercial bankers make available Reeve Cattle Entities, a 40,000-head item processing and other services to to customers throughout our franchise. feedlot and ethanol production numerous community banks and In each case, the client’s relationship company in southwest Kansas, is a credit unions. The bank also provides manager brings in appropriate experts new customer that benefits from the similar document processing representing products to ensure that Wichita-based expertise of our and services to title and escrow each client is matched with product commercial bankers, as well as companies. The bank’s technological solutions that fit their needs. products offered by Bank of the West. capabilities assure the rapid response The company was attracted by the necessary to process information for

8 “As one of the largest agricultural lenders in the nation, Bank of the West understands the dynamics of running a feedlot. Our team performed sales comparisons and account analyses to determine the right mix of products for Reeve Cattle. We offered competitive pricing and rates on financing and deposits. We also explained how our cash management products could help their business operate more efficiently.”

-Bank of the West Relationship Banking Team James Wernli, Wichita, KS; Francis Abella, Walnut Creek, CA; Carol Latoza, Omaha, NE

Cash Management: Foreign Exchange: Syndications: Scalable products serve companies With its strong international links, Working with a variety of financial needing active account management, Bank of the West provides advisory institutions, the bank leads, lockbox, plus armored car and related expertise and can facilitate administers and participates in large operational services to optimize cash transactions in global markets. syndicated loans. usage. Global Trade Services: Wealth Management: Capital Markets: In cooperation with a worldwide Trust and other investment options Fixed income products, derivatives, network of trade centers, we provide assist companies and wealthy sweep accounts and other short term a full range of letters of credit individuals to protect, grow and investments help customers maximize and other trade products to facilitate disburse their funds. The bank’s return on investments. import/export transactions for money managers suit their investment companies of all sizes. recommendations to individual Equipment Finance: client needs. From financing for Cemex’ fleet of Pacific Rim Banking: cement trucks or inventory finance for In addition to a group of specialized vehicle dealers, to vendor programs multi-lingual California branches for manufacturers, Bank of the West’s serving Asia-related individuals and leasing group can tailor a program to companies, the bank also provides meet any company’s needs. depository services for U.S. subsidiaries and affiliates of many Japanese companies.

9 Small Business Relationship BANKING

“Our company has grown rapidly for the last 10 years and so has our relationship with one bank, Bank of the West. The bank’s financing helped us purchase an additional plant, add a new production room, and install equipment to develop our business. Over the years, our banking needs have indeed evolved and Bank of the West has been there for us through it all.”

-Jim Lieb (left) and Dallas Bream, co-owners J. Lieb Foods, Inc., Portland, OR

Small businesses and companies that operating line of credit. Real estate Another example of how Bank of the seek the next level of growth find loans have allowed J. Lieb Foods to West has grown with a customer benefits in Bank of the West’s scalable further expand through the purchase is our banking relationship with La relationship banking services. of a cold storage facility and an Crosse Technology in La Crosse, Through more than 700 branches and additional bottling plant in Yakima, Wisconsin. The multinational company commercial banking offices in our Washington. manufactures consumer electronics regional network, our commercial including radio-controlled clocks and bankers provide tailored services to A 30-year business banking relation- watches, wireless weather stations, customers involved in a variety of ship with Bank of the West has power monitors, and other measuring industries. As their banking needs helped Bowlin Travel Centers, Inc. of devices. What began with a financing change, the long-term relationships Albuquerque, New Mexico, grow from arrangement has grown over the we’ve fostered allow us to adapt and a family-owned business to a small years into a banking relationship that grow with our customers. publicly traded corporation. Known includes cash management services, for serving the traveling public with investments, capital markets products For example, in 1998 our banking Southwestern tradition and hospitality, and Electronic Depository Service relationship with J. Lieb Foods, Inc., Bowlin maintains 12 roadside gift that gives companies the convenience of Portland, Oregon, a contract bottler stores and five restaurants in New to make deposits and balance of salad dressings, sauces, beverages Mexico and southern Arizona. Bowlin’s their accounts electronically using a and fruit preserves, began with long-term banking relationship dedicated scanner. an equipment lease. Bank of the West started with deposit accounts and has then provided financing for the since grown to include term loans, company to expand its manufacturing lines of credit, letters of credit and capacity. We now service the company various cash management services with our WebDirect online banking like Positive Pay, Automated Clearing product for businesses and provide an House, and WebDirect.

10 “When J. Lieb Foods first came to us to apply for an equipment lease, they were using products and services from several banking sources. Over the years, we consolidated these products into one banking relationship – ours. We now provide them with an operating line, a real estate loan, an equipment lease and even hold personal accounts for some of their managers and employees.”

-Bank of the West Relationship Banking Team Donna Muffley, Marie Werts, Devon Rehse, Portland, OR

Relationship banking involves more Personalized service combined with Bank of the West also provides than just providing products and competitive pricing convinced government-guaranteed Small Business services. It’s also looking out for River Mountain Manufacturing in Administration loans. Through an SBA our clients’ best interests to save Frisco, Colorado, to use BusinessLink loan, the bank recently financed property them time and money. Our attention and apply for a line of credit and acquisition in Berthoud, Colorado for to detail helped Diodes Fabtech commercial real estate loan. The CH Diagnostics & Consulting, a firm that of Lee’s Summit, Missouri, save crafted log furniture supplier also uses tests water purity and consults with hundreds of dollars in monthly our business credit and debit cards, municipal water quality and treatment banking fees charged by another merchant services, online business professionals. financial institution. This supplier to banking as well as a variety of the semiconductor industry maintains consumer banking products for the Insurance products for companies its deposits at Bank of the West, owner’s individual needs. and small businesses including including a sweep account. Diodes group health, commercial property, Fabtech also utilizes our corporate An expansion of a business banking commercial general and excess liability, credit cards, cash management and relationship served by our Walnut bonding, business automobile and international wire services. Creek, California, branch manager led worker’s compensation insurance to the bank providing an AgLink loan are offered through subsidiary BW Today’s dynamic business climate to citrus grower Shiraz Ranch for Insurance Agency, Inc., at select Bank demands that banks provide quick operating capital at its 300-acre Central of the West branches and dedicated access to capital. Our BusinessLink and California ranch and packaging facility. BWIA offices. AgLink fast response loan programs The bank also handles the grower’s are designed for small businesses and business deposit accounts. agricultural entities requiring operat- ing capital, construction financing or equipment on an expedited basis.

11 Consumer Relationship BANKING

From Manteca, CA, to Moorhead, MN (left), friendly, personalized service is our hallmark customer experience at Bank of the West.

“I am always impressed when a company employee goes out of their way to provide service; it is indicative of a healthy and dynamic company, and in this case made me glad my family and I had recently switched to Bank of the West.”

-Richard Herbert, Bank Customer, Sebastopol, CA

“I have spent my life in North losing her savings, we practice high- Mortgage Consultants work hand in Lake Tahoe, CA, where small touch, relationship oriented service. hand with customers to help them town values include courtesy, Friendly service, coupled with know- identify the right loan product based on respect, and simple kindness – ledgeable staff, is the hallmark of their unique situation. To accommodate Bank of the West. In fact, our customer growing demand, last fall Bank of they have been the benchmark satisfaction scores are consistently the West opened residential Construction for continued interaction. high, and our customer service has Lending Offices across the entire foot- Your financial services officer been recognized nationally and print. Staffed with experts in construction Jarelle Buckheit is the type of regionally by several independent financing, the bank provides unique employee that allows me to research companies. products such as a new single-family consider finding more ways to owner-occupied construction loan. Home do business with your bank.” Whether it’s through one of 679 Mortgage Consultants and Construction -Wayne Oelrich branch banking locations, banking Lending Officers work together to offer Bank Customer, Truckee, CA online (www.bankofthewest.com) or a one-stop shop approach to consumer by phone, Bank of the West customers home construction financing. Regardless of technological advances, can select from a variety of personal banking continues to be a service checking and savings options, debit Our home equity line of credit product, with personal relationships at its core. and credit cards, mortgage and home Equity Choice, provides a financial Whether it’s a customer service equity credit, consumer loans and solution for homeowners’ unanticipated manager in California re-opening the lines of credit, investments, insurance, needs. For example, Bank of the West’s branch to help a customer with a last trust and retirement accounts. commercial relationship team in Crested minute transaction or an employee Butte, Colorado, recently structured in New Mexico thwarting a fraud We help make home ownership a a sizable loan with a home-owners to prevent an elderly customer from reality by providing a broad selection association to make improvements to of mortgage loan products. Our Home

1 2 “Matching our customers’ needs with the right mix of services delivered by friendly, attentive and knowledgeable branch staff is what we do best at Bank of the West. Our customers tell us so. Recent surveys indicated that up to 98% of our customers were pleased with our service. Top regional scores for 2006 went to branches in the Pacific Northwest, the North Bay region north of San Francisco and the Pacific Rim Banking group in Southern California.” -Bank of the West Branch Managers Jill Schuman, Yakima, WA; Doris Chen, Pac Rim Banking, Cerritos, CA; Jim Birdsong, Healdsburg, CA

its local condominium development. whom we first banked with a business broker referrals and online at To repay the loan, the association equity line of credit. The relationship www.essexcredit.com. assessed individual homeowners. grew to include business deposits, Equity Choice became an option that cash management services and a For 26 years, we have financed our many of the homeowners picked to business letter of credit. Subsequently, client’s hobbies, interests, and passions finance their individual assessments. our Private Banking team now handles helping to make their leisure and family his personal deposit needs, which time more enjoyable. Through a newly expanded network of include investments through BancWest dedicated Private Banking offices, Investment Services. Essex Credit’s market leadership is specialized personal bankers provide driven by top-notch customer service, a single point of contact for high net BancWest Investment Services is the deep product knowledge and loans worth individuals. Our Private Banking investment and brokerage subsidiary tailored to meet our client’s needs. Our clients can count on their dedicated of Bank of the West that specializes in flexible loan programs and dynamic personal banker to coordinate a broad retirement planning, mutual funds, market position give our clients the range of financial needs, including annuities, education savings plans, IRA most feature-rich loan options available. personal and commercial banking and other tax-advantaged accounts. products and services, mortgage Investment officers are available at our In 2006, Essex Credit introduced the and construction financing, wealth branches or can come to clients’ places Vintage Plus program, the first of management services, investments of business. its kind in the nation specializing in and insurance. financing antique yachts. Vintage Plus Subsidiary Essex Credit Corporation fills a unique market niche by providing Many of our Private Banking clients provides consumer financing for financing up to $500,000 and loan terms initially bank with us as a small pleasure boats, yachts and recreational up to 20 years. business banking relationship. Such is vehicles through its offices in coastal the case of a Salt Lake City, Utah, client communities as well as through

1 3 Consumer Relationship BANKING

“Our banking relationship dates back to our grandfather more than five decades ago. As our family has grown and our banking needs have changed, Bank of the West continues to provide the right financial products for us, both for our business and our personal banking needs. More than transactional banking services, we’ve built a trusting relationship with Bank of the West.”

-The Elkin Family - Claudia, Lauren III, and Linda, Novato, CA

“True relationship banking Our mix of retirement products can Many consumer banking relationships epitomizes genuine customer help ensure that you have sufficient expand to include banking the family care, offered in collaboration income during your retirement years. business as well. One such example with our great banking partners. is our relationship with Paul Taylor, a This full service offering of banking consumer banking customer in It is fostered by well prepared products and services has attracted Brentwood, California, who chose Bank and consistent customer contact generations of loyal customers. of the West for his business banking and ensures our customer’s We have met the banking needs of needs when he opened a small cabinet financial needs are continually four generations of the Elkin family of making business in 1997. being cared for.” Novato, California. The relationship -Emily Baumgartner began with the late Lauren Elkin, Sr. Today, with a 50% annual growth rate, Branch Manager, CO and continued for nearly 40 years with Precision Cabinets is the largest his son, Lauren Jr. and wife Jean, employer in Brentwood, at one time We can help a young family purchase before their passing. having up to 300 workers. We provide their first home or save for their child’s Precision Cabinets with a line of credit, college education. Today, we provide both personal and cash management products, sweep business banking products to their and payroll accounts, wire transfers and Our insurance products can provide adult children Linda Elkin, her brother, more. And of course, we continue to peace of mind during life’s unforeseen Lauren lll, his wife Claudia and their handle Paul’s personal banking needs moments. sons, Lauren lV and Michael. as well.

14 Specialized Banking PRODUCTS

Bank of the West provides specialized products and services through indirect or subsidiary channels, that is, through brokers or dealers whose own customers are the end users of these products.

Consumer Finance: Equipment Finance: property and casualty insurance both Bank of the West provides indirect We provide indirect leasing programs to individuals and businesses. Its lending for autos, recreational vehicles through a nationwide broker network. products range from automobile, and pleasure boats through a network Bank of the West also offers vendor homeowners and life to group health, of 6,000 dealers nationwide, as well as leasing programs for equipment commercial property, bonding and directly through our branch network. manufacturers that supply enterprises worker’s compensation insurance. A high-volume, technology-intensive such as automotive repair shops, business, indirect financing for boats bakeries, dry cleaners, sophisticated SBA Loans: and vehicles provides rapid response machine tool operators and printing Bank of the West provides indirect to dealerships and loan servicing for companies with specialized equipment financing of government-backed their vehicle purchasers. Through its for their operations. One such Small Business Administration loans indirect consumer finance business, customer is CLAAS, a leading global nationwide through our network of Bank of the West finances more than manufacturer of combines, harvesters, field representatives. SBA-guaranteed 10% of the RV purchases in the U.S. tractors and attachments. Our vendor loans are available through several Despite the economic fluctuations in leasing arm, Trinity Capital, provides programs for construction, real estate the price of gas, interest rates, and equipment financing to the U.S. or equipment purchase, and for other market conditions, we have customer base of CLAAS. operating capital. The bank also steadily grown this business over the provides SBA loans directly through past 20 years. The strength of our Insurance: our branch system. brand has earned Bank of the West Subsidiary BW Insurance Agency, Inc. substantial market share in each of operates 60 locations predominantly these markets. housed within Midwestern Bank of the West branches and provides

15 Banking on COMMUNITIES

“Hopi Credit made it possible for Sichomovi village to create several staff jobs and space for a convenience store – a simple but much- needed rarity on this reservation, which is 65 miles from the nearest commercial town. Bank of the West made our loan possible for Hopi Credit, and we’re thankful that the bank was able to focus on this special remote community.”

-Beth Cascadden (left) and Annette Fredericks, Sichomovi, AZ

Through an investment this year of underserved communities throughout Valley—Santa Clara and San Mateo $750,000 to subsidize home and small the bank’s 19-state service footprint. counties. The bank has provided $3.3 business loans for Hopi tribe members million in funding for LCD since its in northeastern Arizona, Bank of the In the fifth year of the current inception, and Bank of the West West made it possible for Hopis to buy community support plan, which will executives also serve on LCD’s loan necessities from a convenience store take the bank through 2015, Bank of committee and board of directors. on the remote reservation instead of the West made $8.1 billion in loans, driving 65 miles to Winslow. This investments, gifts and service con- Power Community Development investment in Hopi Credit Association, tracts for targeted lower-income and Corporation uses a Bank of the West the primary housing lender on the minority beneficiaries. Cumulatively, line of credit to redevelop the inner reservation, enabled the village of the bank’s progress toward the $75 city and stabilize neighborhoods in Sichomovi to borrow and relocate its billion goal now stands at $34.2 the low/moderate census tracts of administrative offices to a newly billion. Lending categories include Wichita, Kansas. Since 2000, Power financed building, freeing up space in commercial loans, consumer and CDC has built and sold 55 houses in their previous building for the store. mortgage loans, community develop- previously blighted areas. With Bank ment, church and SBA loans, as well of the West credit, Power CDC has The $750,000, which triples an earlier as small farm credit and micro-loans. also built the area’s only grocery commitment and will let Hopi Credit store, Save-A-Lot, which employs 25 finance approximately 40 homes or One micro-lending partner with which local residents. Bank of the West also small business ventures, fulfills a Bank of the West has worked for many donated $10,000 to the CDC. small fragment of Bank of the West’s years is Lenders for Community multi-year goal to lend, invest and Development, a San Jose, California- contribute $75 billion for lower-income based nonprofit that makes small individuals, businesses and business start-up loans for low-income organizations in lower-income and entrepreneurs in the heart of Silicon

16 “We are committed to better understand the impact that we have on the communities where our customers and employees live and work. Bank of the West made a commitment to the members of the Hopi Tribe in Arizona by providing a low interest loan to the Hopi Credit Association to fund consumer loans in a community that has no banking institution within 100 miles of its borders. This epitomizes the human side of banking.”

-Bank of the West Relationship Banking Team Eric Sexton, Tolleson, AZ and Rick Yee, Walnut Creek, CA

Among other notable investments and providing volunteer banker/teachers • Cheyenne Frontier Days, the world’s contributions in 2006 were: who explain basics of personal largest outdoor rodeo and a finance. Funding for 2006 included Wyoming tradition since 1897. • A $50,000 sponsoring partnership $125,000 to launch the program in Bank of the West also sponsors the in the Denver Youth Mentoring Denver. Bill Pickett Invitational Rodeo, Collaborative, a project of the the nation’s only African-American Strategic Partnerships office of Sponsored community events in 2006 touring rodeo. Denver Mayor John Hickenlooper, included: • “Bank of the West Celebrates in cooperation with Denver Public America” features a free community Schools and 15 nonprofit youth • Bank of the West Classic women’s concert and fireworks show agencies that match at-risk youth pro tennis tournament, part of the in Omaha’s Memorial Park each with caring adults, to recruit 1,000 U.S. Open Series that annually July 4th weekend. citizens for mentoring relationships. draws 40,000 spectators to Stanford University in • Collegiate athletic programs in New • A $10,000 grant to sponsor the third along with millions of television Mexico, Wyoming and California. annual Neighborhood Summit viewers. conference on sustaining healthy • Arts festivals in Cherry Creek, neighborhoods, for public officials • San Gabriel Valley Lunar New Year Colorado and Sausalito, California. and civil society participants in Festival, one of the largest Asian • Bank of the West Beach Games, Kansas City, Omaha and Des Moines. American celebrations in the U.S., featuring the U.S. Open of attracting thousands of spectators • Ongoing major support for Operation Surfing and world-class athletes in Southern California and broad- Hope’s “Banking on Our Future” in volleyball, free-style motocross cast on Asian-language media. financial literacy program in Los and skateboarding in Southern Angeles, Oakland, Denver and California. Some 350,000 spectators Portland public schools, including attend the free week-long event.

17 Executive Management COMMITTEE

(Left to right) Kevin Ames, Paul Woolway, James Henry, William Even, Jean-Milan Givadinovitch, Norma Waters, Gerard Denot, Frank Bonetto, Don J. McGrath, Vanessa Washington, J. Michael Shepherd, Paul Wible, Donald Duggan, Don Ward, Susan Fowler, Thibault Fulconis

Don J. McGrath William Even Vanessa Washington Chairman and CEO Senior Executive Vice President Senior Executive Vice President Chief Credit Officer General Counsel and Secretary J. Michael Shepherd President and Chief Operating Officer Susan Fowler Norma Waters Executive Vice President Executive Vice President Human Resources Regional Banking Group Kevin Ames Specialty Products Executive Vice President Thibault Fulconis Chief Financial Officer Vice Chairman Paul Wible Finance Group Senior Executive Vice President Frank Bonetto Consumer Finance Vice Chairman Jean-Milan Givadinovitch Regional Banking Group Director of Audit and Inspection Paul V. Woolway Executive Vice President Gerard Denot James Henry Product Strategy Vice Chairman Vice Chairman Commercial Banking Group Risk Management

Donald Duggan Donald Ward Senior Executive Vice President Senior Executive Vice President Chief Information Officer Chief Administrative Officer

18 Senior Management COMMITTEE

Thomas Anderson James Kennedy John Thomason Executive Vice President Executive Vice President Executive Vice President President, BW Insurance Agency, Inc. Financial Institutions Corporate Real Estate

Ross Biatek Allen Kirschenbaum Stephen Weiss Executive Vice President Executive Vice President Chief Counsel General Auditor Real Estate Industries Bill Williamson Bryan Borders Fran Lopez Executive Vice President Executive Vice President Executive Vice President Northwest Division SBA Lending Marketing John Wojcik Guy Candido Tom Malkasian Executive Vice President Executive Vice President Executive Vice President Controller Specialty Products Real Estate Industries – South Gina Wolley Bob Dalrymple Daniel Mikes Executive Vice President Executive Vice President Executive Vice President Customer and Branch Services Great Plains Division Church Loans William Zillman Richard Davis Paul Nakae Executive Vice President Executive Vice President Executive Vice President Wealth Management Southern California Division Real Estate Industries – Bay Area Ralph E. Anthony Jack Devereaux Jerry Newell Senior Vice President Executive Vice President Executive Vice President Finance Integration & Tax Rocky Mountain Division Equipment Finance Mark Beecher Jerry Dunn Yukinori Nishio Senior Vice President Executive Vice President Executive Vice President Consumer Finance Regional Banking Group Administration Pacific Rim Banking National Sales

Tate Fitzgerald Roland Ojeda Arthur Crawford Executive Vice President Executive Vice President Senior Vice President Mortgage Banking Operational Risk Consumer Finance

Scott Germer Brad Rasmus Ted Dunn Executive Vice President Executive Vice President Senior Vice President Loan Portfolio Risk Midwest Division Syndications

Mark Glasky Martin Resch John Hyche Executive Vice President Executive Vice President Senior Vice President National Banking Treasurer Syndications

Brad Grubb Randy Roberts Christopher Kramme Executive Vice President Executive Vice President Senior Vice President CEO, BancWest Investment Services, Inc. Southern California Operations Commercial Banking Group Strategic Planning James Hanna Michael Robinson Executive Vice President Executive Vice President Carole Merchant Information Technology Central California / Nevada Division Senior Vice President Consumer Finance Andrew Harmening George Stanfield National Indirect Lending Executive Vice President Executive Vice President Northern California Division Southwest Division Lori Rivers Senior Vice President Bruce Heysse Roger Sturdevant Consumer Product Services Executive Vice President Executive Vice President Consumer Finance Agribusiness Banking Michael Stead Direct Lending Capital Markets Director 1 9 Board of DIRECTORS

Frank Bonetto Robert A. Fuhrman Don J. McGrath Vice Chairman Vice Chairman Chairman & CEO Regional Banking Group President & COO (retired) Bank of the West Bank of the West Lockheed Corporation President & CEO Chairman, Executive Committee Bernard Brasseur Stuart A. Hall BancWest Corporation Risk Manager (retired) President & CEO (retired) Bank of the West Liberty Northwest Rodney R. Peck Senior Partner David W. Clark A. Ewan Macdonald Pillsbury Winthrop Shaw Pittman LLP Chairman & CEO (retired) Chairman & CEO (retired) Clark and Sullivan Constructors Del Monte Foods Donald A. Pelton Senior Executive Francois Dambrine Pierre Mariani Vice President (retired) Head of U.S. Retail Banking Executive Vice President Bank of the West BNP Paribas International Retail Banking and Financial Services J. Michael Shepherd Gerard Denot BNP Paribas President & COO Vice Chairman Bank of the West Commercial Banking Group Vilma S. Martinez Bank of the West Partner Jean Thomazeau Munger, Tolles & Olson LLP Advisor to the Chairman (retired) Walter A. Dods, Jr. BNP Paribas Chairman Isao “Steve” Matsuura and Chairman (retired) (retired) BancWest Corporation Sanwa Bank California Admiral Robert L. Toney Trustee, Estate of S.M. Damon U.S. Navy

Jacques H. Wahl Senior Advisor to the Chairman (retired) BNP Paribas Former Director & President Banque Nationale de Paris

2 0 Corporate Address To obtain financial information about Bank of the West BancWest Corporation and financial 180 Montgomery Street information about Bank of the West, San Francisco, CA 94104 contact: Phone: 925.942.8300 Thibault Fulconis www.bankofthewest.com Vice Chairman Finance Group Essex Credit Corporation [email protected] 401 Lennon Lane Walnut Creek, CA 94598 Credit Ratings Phone: 866.377.3948 Standard & Poor’s www.essexcredit.com Bank of the West uninsured CDs: long-term A+, short term A-1 General Information Contact for news media and others Moody’s seeking general information: Bank of the West deposits: Roberta Wong Murray long-term Aa3; short-term P-1 Senior Vice President Corporate Communications Fitch Phone: 415.399.8220 Bank of the West deposits: [email protected] long-term AA - ; short-term F1+ (Ratings as of December 31, 2006)

Headquartered and chartered in San Francisco, California, Bank of the West is a full-service commercial bank with $55.6 billion in assets and $37.4 billion in deposits at December 31, 2006. The bank operates more than 700 branch and commercial banking offices in nineteen states — Arizona, California, Colorado, Idaho, Iowa, Kansas, Minnesota, Missouri, Oklahoma, Oregon, Nevada, New Mexico, Nebraska, North Dakota, South Dakota, Utah, Washington, Wisconsin and Wyoming. Founded in 1874, Bank of the West originates commercial, small business and consumer loans and leases, and offers a range of individual and other commercial banking, insurance, trust, and investment products. Subsidiary Essex Credit Corporation offers loans on pleasure craft and recreational vehicles. See www.bankofthewest.com.

Bank of the West is a subsidiary of BancWest Corporation, a bank holding company with assets of $67.3 billion at December 31, 2006. Headquartered in Honolulu, Hawaii, with administrative offices in San Francisco, BancWest Corporation also owns First Hawaiian Bank, with $12.0 billion in assets at December 31, 2006 and 62 branches in Hawaii, and . See www.bancwestcorp.com.

BancWest Corporation is a subsidiary of BNP Paribas, a global financial institution of European heritage with offices in more than 85 countries and nearly 140,000 employees. BNP Paribas is the second largest bank in the Euro zone by market valuation. With total assets of $1.90 trillion (€ 1.44 trillion) at December 31, 2006, a significant and growing presence in the United States and leading positions in Asia, BNP Paribas is a major provider of retail, commercial, insurance, investment and investment banking products and services worldwide. See www.bnpparibas.com. 180 Montgomery Street San Francisco, CA 94104 925.942.8300 www.bankofthewest.com