Fourth quarter 2002 saw a 13.5% increase in net income, jumping to $5.3 million or $0.84 per diluted share, from $4.7 million or $0.74 per diluted share for the same period last year. In fact, fourth quarter 2002 wound up being the busiest period of the year for ITLA, as it sewed up the acquisition of its independent film finance division, the Lewis Horwitz Organization; entered into a business relationship with Household International Inc. regarding certain consumer and commercial loan products; and received state and federal bank regulatory approval to complete the conversion of its charter to a state commercial bank and bank holding company. President and CEO George W. Haligowski called those last three months of 2002, "the most productive quarter in the company's 28-year history."

Overall, the entire last year proved to be a fruitful time for ITLA Capital Corp., as it was a "break-out year" for the organization, Haligowski says. Investors reacted favorably to the company's charter conversion to a state commercial bank, as ITLA's stock rose to $33.23 on December 31, 2002, reflecting a 58.6% increase from last year's closing price.