FEDERAL DEPOSIT INSURANCE CORPORATION

In Re: American Premier Bank
Arcadia, Los Angeles County, California
Application for Federal Deposit Insurance (Bank Insurance Fund)

ORDER

The undersigned, acting on behalf of the Board of Directors of the Federal Deposit Insurance Corporation (FDIC) pursuant to delegated authority, has fully considered all available facts and information relevant to the factors of Section 6 of the Federal Deposit Insurance Act and relating to the application for Federal deposit insurance for American Premier Bank (Bank), a proposed new state nonmember bank to be located at 336 East Huntington Drive, Arcadia, Los Angeles County, California, and has concluded that the application should be approved.

Accordingly, it is hereby ORDERED that the application submitted by the Bank for Federal deposit insurance be, and the same is, hereby approved subject to the following conditions:

1. Beginning paid in capital funds shall not be less than $10,000,000;

2. That the Tier 1 capital to assets ratio (as defined in the appropriate capital regulation and guidance from the institution's primary federal regulator) be maintained at not less than eight percent throughout the first three years of operation and that an adequate ALLL be provided;

3. That prior to opening, the Bank shall submit the final stock subscription list to the San Francisco Regional office for review to obtain FDIC's non-objection to any shareholders and/or interrelated parties.

4. That any changes in the proposed management or proposed ownership of 10% or more of stock, including new acquisitions of or subscriptions to 10% or more of stock, be approved by the FDIC prior to opening;

5. That an accrual accounting system shall be adopted;

6. Federal deposit insurance shall not become effective until the applicant is authorized to operate as a State bank by the appropriate State authority;

7. Federal deposit insurance shall not become effective until the applicant is authorized to operate a bank holding company by the appropriate Federal Reserve Bank;

8. Prior to the effective date of Federal deposit insurance, the bank shall obtain surety bond coverage in a sufficient amount to conform to generally accepted banking practices;

9. During the first three years after deposit insurance coverage becomes effective, the bank shall obtain an annual audit of its financial statements by an independent public accountant;

10. The bank shall operate within the parameters of the business plan and the policies submitted to the FDIC. Furthermore, during the first three years of operations, the bank shall notify the Regional Director of any proposed material deviation or change from the submitted business plan or the policies 60 days before consummation of the change;

11. If deposit insurance has not become effective within twelve months from the date of this ORDER, the consent granted herein shall expire, unless the Corporation approves a request for an extension of the deadline prior to the expiration; and

12. Until the bank is established, the Corporation shall have the right to alter, suspend, or withdraw the said commitment should any interim development warrant such action.

Dated at Washington D.C. this day of , 2002.

By:________________________________
John M. Lane
Associate Director
Division of Supervision

FEDERAL DEPOSIT INSURANCE CORPORATION

In Re: American Premier Bank
Arcadia, Los Angeles County, California
Application for Federal Deposit Insurance (Bank Insurance Fund)

STATEMENT

Pursuant to the provisions of Section 5 of the Federal Deposit Insurance Act (12 U.S.C. 1815), an application for Federal deposit insurance has been filed on behalf of America Premier Bank, a proposed new state nonmember bank with membership in the Bank Insurance Fund, with the main office to be located at 336 East Huntington Drive, Arcadia, Los Angeles County, California.

The applicant is being organized to fulfill the banking needs of Arcadia and several of the surrounding towns in the San Gabriel Valley. The bank's proponents believe that recent bank mergers have created a need for a smaller, more responsive community business bank in that area. The bank will focus on serving the small to medium-sized businesses and high net worth individuals. The proponents of the bank also plan to use their personal and business contacts to target the area's growing Asian-American community, which currently comprises approximately 25 percent of the San Gabriel Valley's population.

The bank intends to issue between 800,000 and 1,200,000 shares of stock through a private placement offering. The bank has eight organizers who will serve as the bank's board of directors. The board will own an aggregate 12.5 percent of the outstanding shares. Of the remaining shares, half are expected to be sold to domestic investors and half to foreign investors. The board includes individuals with experience in banking, importing and exporting, medicine, and real estate.

Because foreign ownership will likely range from 25 percent to almost 50 percent, the Corporation is imposing a condition requiring that any changes in proposed management or ownership of 10 percent or more of stock, including new acquisitions, be approved by the FDIC before the depository institutions opens for business. Additionally, FDIC will review the final subscriptions to determine if there are any principal shareholders or interrelated parties from abroad.

The proposed investment in fixed assets is reasonable, capital is adequate, earnings prospects are considered sufficient to provide a profitable operation within a reasonable period of time, and management is considered to be satisfactory.

Accordingly, based on a careful evaluation of all facts and information, the Associate Director, pursuant to delegated authority, has concluded that approval of the application is warranted.

ASSOCIATE DIRECTOR
DIVISION OF SUPERVISION
FEDERAL DEPOSIT INSURANCE CORPORATION