Current ABS Presentation - IndyMac

Bond Investor Relations

June 12 - 15, 2006

Indymac Bancorp, Inc.Highlights

Consistent Collateral, Issuance & Performance

Foundation in Alternative-A and Subprime production and underwriting

OTS Regulated, Publicly Traded, Securitizing Across the Credit Spectrum

Know the IndyMac Brand

INDX AR Alt-A Hybrids Option ARM

INABS (formerly SPMD) Sub-Prime

RAST Traditional Alt-A (fixed)

INDYLLot Loans

INDA & INDB Jumbo Prime (A) Alt-B

INDSClosed-end Seconds

Indymac Home EquityHELOC

1Bond Investor Relations

Forward Looking Statement

Certain statements contained herein may be deemed to be forward-looking statements within the meaning of the federal securities laws. The words "anticipate," "believe," "estimate," “expect," "project," "plan," "forecast," “intend,” and similar expressions identify forward-looking statements that are inherently subject to risks and uncertainties, many of which cannot be predicted or quantified. Actual results and the timing of certain events could differ materially from those projected in or contemplated by the forward-looking statements due to a number of factors, including the effect of economic and market conditions; the level and volatility of interest rates; the Company’s hedging strategies, hedge effectiveness and asset and liability management; the accuracy of subjective estimates used in determining the fair value of financial assets of IndyMac; credit risks with respect to our loans and other financial assets; the impact of changes in financial accounting standards; the actions undertaken by both current and potential new competitors; the availability of funds from IndyMac's lenders and from loan sales and securitizations, to fund mortgage loan originations and portfolio investments; the execution of IndyMac's growth plans and ability to gain market share in a significant market transition; the integration of Financial Freedom into the operations of IndyMac; the impact of current, pending or future legislation and regulations; and other risk factors described in the reports that IndyMac files with the Securities and Exchange Commission, including the Annual Report on Form 10-K, Quarterly Reports on Form 10-Q, and its reports on Form 8-K

While all of the above items are important, the highlighted items represent those that in management’s view merit increased focus given current conditions


Indymac Has Achieved Strong Financial Results While Management Focus Has Been Required For Major Structural Changes

1993 1995 1997 1999 2001 2003 2005

• Transformation from passive REIT to actively managed lender begins

• $2.5MM in earnings

• $120MM in capital

• 4 employees/no customers

• e-Mits deployed to 3rd

party customers

• Survived global liquidity crisis

• Independence from Countrywide; paid $76MM in stock to achieve

• De-Reited (1/00) – EPS cut nearly in half to pay taxes

• Converted to a Hybrid Thrift/Mortgage Bank (7/00)

• 19th largest mortgage lender (12/00)

• Reinstated cash dividend

• Introduces the Hybrid Thrift Model

• Assets exceed $10B

• $1B in capital

• Top 10 mortgage lender• BBB- S&P & Fitch Corporate rating• Freddie Mac Tier 1 Servicer rating• Fannie Mae Superior Servicer rating• $1B in revenue• $20B in assets• 9th largest thrift• Over 7,000 employees (550 in India)• Over 580,000 consumer customers• 26 SoCal branches• 13 regional mortgage centers• Implement regional president

structure

• Acquired Financial Freedom, the top reverse mortgage lender in the USA

• Added to S&P 400 (3/01)


Balance Sheet Provides Stability and Flexibility in a Dynamic Market

LiabilitiesCash and cash equivalents 442,525 Securities classified as trading 348,962 Advances from Federal Home Loan Bank 6,953,000 Securities classified as available for sale 3,753,195

4,544,682 Core Deposits 1,807,686 Non-Core Deposits 5,864,238

Loans receivable: Total Deposits 7,671,924 Loans held for sale 6,024,184 Loans held for investment 8,223,201 Other borrowings:Total loans receivable 14,247,385 Loans and securities sold under agreements to repurchase 3,057,262

HELOC notes payable 998,289 Mortgage servicing rights 1,094,490 Trust preferred debentures 308,661 Investment in Federal Home Loan Bank stock 556,262 Other notes payable 2,890 Interest receivable 131,644 Collateralized mortgage obligations 168 Goodwill and other intangible assets 80,847 Total other borrowings 4,367,270 Foreclosed assets 8,817 Other assets 788,172 Other liabilities 934,004

2,660,232 Total liabilities 19,926,198$

Share Holders Equity

Common Stock 934 Additional paid-in-capital 1,242,500 Accumulated other comprehensive loss (15,157) Retained earnings 818,241 Treasury stock (520,417) Total shareholders' equity 1,526,101$

Total assets 21,452,299$ Total liabilities and shareholders' equity 21,452,299$

Assets Liabilities and Shareholders' Equity

$2.5B represents draws on the $3.5B committed credit facilities, with $600MM uncommitted financing

Deposits grew 33% in 2005

#2 Member of San Francisco FHLB

2005 -0.37% @ WA multiple of 3.54______

2004 0.36% @ WA multiple of 3.54


Know the Indymac Brand – 2005 IssuancesShelf Name RAST INDX-12 MAT INDX-Hybrid INDYL- Lot Lns INDA INDB INABS (SPMD)

Product Fixed ARM ARM Lot Jumbo A Alt-B SubprimeCredit Rating A A A A+ A+ A- / B B / CNaming Convention A1,B2,C3… AR2,AR4… AR1,AR3… L1, L2… AR1,AR2… AR1,AR2… A,B,C…Average FICO 712 707 708 727 752 673 623

Minimum FICO 620 620 620 608 664 595 500

Average Loan Size $541,000 $310,792 $301,371 $174,000 $497,000 $249,000 $196,000

WA. Interest Rate 6.20% 5.27% 5.99% 6.65% 5.58% 6.52% 7.34%

WA. LTV 70.53% 71.75% 74.49% 78.96% 66.22% 79.67% 78%

Purchase 35% 24% 58% 100% 45% 71% 41%

Refinance 21% 17% 13% 0% 28% 5% 5%

Cash Out 43% 59% 29% 0% 27% 24% 54%

Full Doc 32% 20% 27% 40% 52% 39% 59%

Stated Income/Reduced doc 37% 56% 52% 60% 30% 48% 38%

California 30% 43% 33% 31% 53% 28% 12%

First Lien 100% 100% 100% 100% 100% 100% 100%

Second Lien 0% 0% 0% 0% 0% 0% 0%

% IO 29% n/a 87% n/a 89% 84% 17%

% Prepay Penalties 29% 85% 20% 40% 21% 64% 72%

Owner Occupied 84% 91% 85% 100% 96% 83% 91%

Second Home 3% 2% 4% 0% 4% 1% 1%# of Transactions in 2005 16 9 18 3 2 1 4Average Deal Size $418 Million $911 Million $617 Million $250 Million $274 Million $300 Million $852 MillionTotal Issuance in 2005 $6.7 Billion $8.2 Billion $11.1 Billion $750 Million $549 Million $300 Million $3.4 Billion


Know the Indymac Brand – Q1’06 Issuances

Shelf Name RAST INDX-12 MAT INDX-Hybrid INDYL-Lot Lns INABS (SPMD) HELOCProduct Fixed ARM ARM Lot Subprime HELOCCredit Rating A A A A+ B / C ANaming Convention A1,B2,C3… AR2,AR4… AR1,AR3… L1, L2… A,B,C… H1, H2…Average FICO 700 700 703 726 622 719Minimum FICO 620 620 620 585 501 461Average Loan Size $304,629 $330,330 $331,561 $185,664 $193,063 n/aWA. Interest Rate 6.74% 5.92% 6.58% 7.03% 7.58% 8.56%WA. LTV (CLTV for HELOC) 72.09% 72.99% 74.35% 83.03% 79.74% 83.59%

Purchase 44% 18% 60% 99% 49% 33%Refinance 13% 17% 11% 0% 5% 4%Cash Out 43% 65% 29% 0% 47% 63%

Full Doc 23% 12% 22% 28% 56% 0%Stated Income/Reduced doc 41% 60% 55% 72% 41% 97%

California 26% 46% 36% 26% 14% 59%First Lien 100% 100% 100% 100% 96% 3%Second Lien 0% 0% 0% 0% 4% 97%

% IO 47% n/a 83% 50% 25% n/a% Prepay Penalties 68% 91% 45% 40% 64% n/a

Owner Occupied 77% 93% 82% 100% 90% 93%Second Home 4% 1% 4% 0% 1% 1%# of Transactions in 2006 Q1 4 2 3 1 2 1Average Deal Size $545 Million $1.6 Billion $759 Million $244 Million $630 Million $502 MillionTotal Issuance in 2006 Q1 $2.1 Billion $3.2 Billion $2.27 Billion $244 Million $1.2 Billion $502 Million


5.20 6.48 11.25 12.7419.22

27.32

47.2261.80

$

$10

$20

$30

$40

$50

$60

$70

$80

$90

IMB Ranks #7 in Q106

Our Production Volume Has Demonstrated Solid Growth, with a Consistent Emphasis on Alt-A, Sub-prime, and Specialty Products

Note: Graph excludes warehouse lending

0.59_0.44_0.260.35

0.85_0.71_1.250.82

1.05_

1.170.090.96

0.61_1.580.401.38

0.80_2.130.931.86

1.150.892.791.861.71

1.94

2.281.09

3.03 4.185.10

3.33

3.653.602.94

1999 2000 2001 2002 2003 2004 2005

Subdivision construction

Reverse mortgages

Consumer construction

HELOC

Subprime

Agency conforming

Alt-A and jumbo

0.00%

0.50%

1.00%

1.50%

2.00%

2.50%

3.00%

3.50%

4.00%

4.50% 0

5

10

15

20

25

302000 2001 2002 2003 2004 Q1’06

Industry rankMarket share

Market shareRank

2005

6.573.744.47

1.45

2.221.12

Q1’06 (annualized)


National Presence of Regional Mortgage Centers Help Drive Production Growth and Market Share Expansion

MidWest

NorthEast

NorCal

NorthWest

SoCal

SouthEast

New England

MidEast

North Central

FloridaState

UpperMidwest

RockyMountains

MidAtlantic

SouthWest

Existing Regional Mortgage Centers

Pasadena

Atlanta

Marlton

Dallas

Bellevue

Sacramento

Kansas City

Columbia

Phoenix

Ontario

SF East Bay

Irvine

Philadelphia

Tampa

Proposed Mortgage Centers 2006 and 2007

ChicagoDenver

Columbus

Virginia

Boston


Months as IndyMac Seller

% of 2005 Prime Volume


% of 2005 Subprime Volume


% of 2005 Delegated Volume

1 41 2.40% 78 2.05% 52 11.89%2 78 1.03% 30 1.89% 44 6.71%3 52 0.98% 34 1.70% 79 3.36%4 106 0.90% 28 1.21% 17 3.29%5 33 0.88% 33 1.10% 14 3.23%

MPG - Top Sellers by Loan Submissions 2005 (Excludes Bulk)Prime Subprime Delegated

Seller Termination Reasons

Fraud

Pre-funding Quality Control (PFQC) audit finding – suspected fraud

Seller Monitoring Findings− MARI, Dunn & Bradstreet and all public

information sourcesAudit Response− Investor or Repurchase RequestAppraisal Misrepresentation

Mortgage Professionals Group Top Sellers –Broad Seller Base Allows Us to Manage Seller Performance Aggressively

Mortgage Professionals Group Top Sellers –Broad Seller Base Allows Us to Manage Seller Performance Aggressively


Indymac has Detailed Quality Control Reviews in All Key Areas

PPQC Sellers UnderwritersQuarterly audit – statistically valid random sample with a minimum of50 loans per business unit

QC audit on 5 of first 7 loans

10% random sampling audit on each delegated correspondent seller

Monthly QC audit of 4 loansper underwriter

100% review of loans from all watch listed sellers

100% review of loans from all watch listed sellers

PPQC findings and duediligence rejects

Loans referred for possible misrepresentation

PPQC findings, due diligence rejects, investor repurchase demands

Investor repurchase demands

Review of DQ loans:

– All EPD – 90-day DQ within12 months of origination

– New seller loans 60-day DQ within 1st 12 months

– Loans > $650K orig. UPB and 90-days DQ

– Loans > $350K orig. UPB and 90-days DQ in 1st 24 months

– Loans with actual or forecasted losses > $100K

Quarterly DQ reports:

– Compare actual vs. expected DQ%

– 150% ratio actual vs. expected triggers review

Quarterly performance reports:

– Loans with minimum 1-year seasoning

– WAVG DQ%

– Stratified by prime, sub-prime,doc type


100% of loans run through CMS and review in accordance with risk scoreApproximately 20 - 25% of production reviewed by Licensed Staff Appraisers, however…Risk assessment rules target 18% of Prime and 32% of Subprime production58 fully licensed appraisers on staff nationwide, 22 years average experienceOver 3,300 appraisers on exclusionary listDecision Summary 2005 - 65% Approved; 7% Conditioned; 28% Cut-value or Rejected

Appraisal Data (160+ fields)

FNC Risk Score

170+ Factors reviewed

Score 50+, High

Score 11-49, Avg.

Score 10-, Low

Mandatory Licensed Appraiser

Full underwriter review

Appraisal Strategy: Leverage Technology to Target Highest Risk with Highest Expertise

Data validation –U/W, Short-form review

AVM

VP4

Loan Characteristics

CMS Process


Prime

Full = 2 Yrs. W-2s, Pay-stubs, 1040s“Primary” Borrower Fico for Full/Alt, All borrowers for “Stated”2-months reserves on most programsCollections & Chargeoff’s:− Aggregate to $5K do not need to be

satisfied. For investment properties, up to $250 per account and $1,000 in aggregate

SubprimeFull = W-2/Paystub or 24 month bank statementsLimited = 12 month bank statementsFull, Limited, Stated Doc Types OnlyFico on “Primary” BorrowerNo reserves on most programs, except− >$500K, Full > 95%, Stated >90%

Documented Verified -2 years -2 years

Fast Forward

Documented Verified -1 year -1 year

Stated Stated Not Verified Documented Verified Documented Verified

No Ratio Silent NA Documented Verified Documented VerifiedNINA (No income/no asset)No Doc Silent NA Silent NA Silent NA

Limited

Employment, income and assets must be fully disclosed on the application. Based on the overall credit quality of the loan, certain income and/or asset documentation waivers may be provided and a verbal VOE and IRS 4506 will be required

NASilent NASilentVerifiedDocumented

VerifiedDocumentedVerifiedDocumented

Full Doc

AssetsEmploymentIncome

VerifiedDocumentedVerifiedDocumented

Details on Documentation Levels


IndyMac Leverages Proprietary e-MITS Technology to Provide Fast Credit and Risk-based Pricing Decisions to Customers

Electronic Mortgage Information and Transaction System (e-MITS)IndyMac Bank’s award winning proprietary automated loan decision and market-based pricing systemConsistent credit decisioningBest execution model

What is e-MITS?

Facilitates efficient pipeline managementFaster loan closing resulting from upfront customized listing of documentation requirementsAccess available 24-hours a day, 7 days a week

BenefitsIndependently pulls tri-merged credit reportPerforms automated screening of IndyMac underwriting guidelinesDirectly accesses DU and LP systemAllows mortgage originators and consumers to receive an approval and a risk-based price within minutesComputes credit loss estimate, prepayment assumption, and servicing valuationProvides competitive rate surveysProvides alternate qualified product and pricing choicesSeveral thousand automated underwriting and pricing rules

Features


Borrowers Continue to Leverage Payment Options, but Relative Performance Remains Strong

0.0%

10.0%

20.0%

30.0%

40.0%

50.0%

60.0%

70.0%

80.0%

90.0%

100.0%

Pre-2

003

2003

Q120

03Q2

2003

Q320

03Q4

2004

Q120

04Q2

2004

Q320

04Q4

2005

Q120

05Q2

2005

Q320

05Q4

2006

Q1All a

t Mar

31

Origination Quarter

Option Arm Payment Patterns by Vintage

Loans w ith Current Principal > Original Loans w ith Current Principal = Original** Loans w ith Current Principal < Original

0.0%

1.0%

2.0%

3.0%

4.0%

5.0%

6.0%

7.0%

8.0%

9.0%Pre-

2003

2003

Q120

03Q2

2003

Q320

03Q4

2004

Q120

04Q2

2004

Q320

04Q4

2005

Q120

05Q2

2005

Q320

05Q4

2006

Q1All a

t Mar

31

Option Arm vs Prime Ever 90 DQ's

% of Option ARMs Ever-90 % of "Other Prime" Ever-90

0.00%

0.50%

1.00%

1.50%

2.00%

2.50%

3.00%

2002 2003 2004 2005

5/1 Arm vs Option Arm Ever 90

5/1 ARM

Option ARM

Data re-weighted to make loan characteristics comparable

Option ARM Prepay Speeds by Vintage

0.0%

5.0%

10.0%

15.0%

20.0%

25.0%

30.0%

35.0%

40.0%

3 5 7 9 11 13 15 17 19 21 23 25 27 29 31 33Loan Age

CPR

(Ann

ualiz

ed)

All Years 2003 First-pays 2004 First-pays 2005 First-pays


New Hybrid Option ARM Products Enhance Loan Features and Transparency to the Borrower

Product Index Min PMT Neg-am Cap*

PMT @ Cap Recast PMT @

Recast Lifecap

Pay Option 1 & 5 year12-MAT P&I from

teaser110 FIR, full-am 5 years FIR-full P&I 9.95%

FlexPay 1 & 5 year

12-MAT Discount off FIR

110 <10yr FIR-IO

>10yr FIR-P&I

1st at 10 years

15, 20, 25 after

FIR-full P&I 9.95%

FlexPay Hybrid 3, 5, & 7 year

1-year Libor

Discount off FIR

110 <10yr FIR-IO

>10yr FIR-P&I

1st at 10 years

15, 20, 25 after

FIR-full P&I 2/2/6 (3yr); 5/2/5

(5,7yr)

Note: Fully-indexed rate (FIR), Full P&I Payment multiplied by above factor

FlexPay Products - Minimum Payment Discount

Documentation Type 12-MAT 1 Year 12-MAT 5 Year 3/1 Libor 5/1 Libor 7/1 Libor

Full/Stated <=80% -50% -45% -50% -45% -40%

Full/Stated >80% -40% -35% -40% -35% -30%

NINA <=80% -45% -40% -45% -40% -35%


FlexPay Offers Payment Flexibility of Original Option ARM, With More Borrower-Friendly Payment Shock Expectations

FlexPay 7/1 vs Option ARM vs 7/1 Fully Amt - Assuming Minimum Payment Only

$800.00

$1,300.00

$1,800.00

$2,300.00

$2,800.00

Year

Min

imum

Pay

men

t

Option ARM

7/1 Full Amt

FlexPay 7/1

Option ARM $999.76 $1,074.74 $1,155.34 $1,241.99 $2,374.96 $2,374.96 $2,374.96

7/1 Full Amt $1,920.93 $1,920.93 $1,920.93 $1,920.93 $1,920.93 $1,920.93 $1,920.93

FlexPay 7/1 $1,182.47 $1,182.47 $1,182.47 $1,182.47 $1,887.94 $1,887.94 $1,887.94

1 2 3 4 5 6 7

FlexPay 7/1 vs Option ARM vs 7/1 Int Only - Assuming 6 Int Only Pmts per Year

$800.00

$1,300.00

$1,800.00

$2,300.00

$2,800.00

Year

Min

imum

Pay

men

t

Option ARM

7/1 I/O

FlexPay 7/1

Option ARM $999.76 $1,074.74 $1,155.34 $1,241.99 $1,335.15 $2,384.74 $2,384.74

7/1 I/O $1,656.25 $1,656.25 $1,656.25 $1,656.25 $1,656.25 $1,656.25 $1,656.25

FlexPay 7/1 $1,182.47 $1,182.47 $1,182.47 $1,182.47 $1,182.47 $1,182.47 $1,182.47

1 2 3 4 5 6 7

Assuming Minimum Pmt OnlyBoth Option ARM & FlexPay reach 110% cap at approx. month 60FlexPay’s new required minimum pmt set at IO versus full P&I

Overall AssumptionsMin. Option ARM pmt based on 1.25% 1-mo start rate, 7.5% annual pmt adjNo change in 1-yr CMT rate of 4.98%FlexPay note rate of 6.875%No base rate change over time

Assuming 6 Interest Only Pmts per YearMandatory 5-year recast waived on FlexPay, resulting in reduced potential for payment shock


Collections/Loss MitigationLoss Mitigation Workouts

Workout Type* 2003 2004 2005 Q1'06Repayment Plans (Created) 1,685 1,861 2,441 2,857

Modifications (Completed) 112 123 135 139

Short-Payoffs/Deed-In Lieu (Completed) 16 17 11 10

Avg Totals 1,813 2,001 2,587 3,006

Loss Mitigation Workouts

0

500

1,000

1,500

2,000

2,500

3,000

2003 2004 2005 Q1'06

Repayment Plans (Created) Modifications (Completed) Short-Payoffs/Deed-In Lieu (Completed) Avg Totals

* Monthly completed averages


* Percentage Successful = Current, 30, 60, BK Current, FC Current, PIF, Srvc Rlse** Percentage Failure = 90, 120, BK DQ, FC REO, PEN LIQ, C/O,LIQ

Current and Historical Modification Success and Failure Rates

78.9%84.5%74.0%69.8%

75.8%69.1%69.7%

73.1%74.2%

68.1%

21.1%

31.9% 30.3%23.5%25.8%

30.9%24.2%

30.2%26.0%

15.5%

9.8%2.3% 3.1% 0.9%4.4%3.2%2.2% 1.1%0.8%

6.5%

0%

10%

20%

30%

40%

50%

60%

70%

80%

90%

Mar 05 Apr 05May 05

Jun 05 Jul 05Aug 05

Sep 05 Oct 05Nov 05

Dec 05

Modification Date

Percentage Successful * Percentage Failure ** 1st Payment Default

Collections/Loss MitigationModification Success and Failure Rate


Collections/Loss MitigationRepay Plans Created March 2005 to March 2006

* FNMA defines 60% as the benchmark for a good success / failure ratio.

Repay Plans Created Mar 2005 through Mar 2006

0

1,000

2,000

3,000

4,000

Mar-05 Apr-05 May-05 Jun-05 Jul-05 Aug-05 Sep-05 Oct-05 Nov-05 Dec-05 Jan-06 Feb-06 Mar-06

Month

#of

Rep

ayPl

ans

60%

65%

70%

75%

80%

Succ

ess

Rat

e

Created Plans Success Rate


Although Sub-prime 60+ DQ is Moderately Higher Than Peers, Cumulative Losses are Lower Due to Indymac’s Strong Loss Mitigation Program

0.00%

5.00%

10.00%

15.00%

20.00%

25.00%

30.00%

35.00%

40.00%

45.00%

2000 2001 2002 2003 2004

NDE LB NC Option Average

0.00%

1.00%

2.00%

3.00%

4.00%

5.00%

6.00%

7.00%

2000 2001 2002 2003 2004


3-month average CPR compares more

favorably to peers

60+ Delinquency remains moderately higher than peers

Cumulative Lossbetter than peers

Source: CSFB Subprime HEAT Update, Apr 2006

0.00%

10.00%

20.00%

30.00%

40.00%

50.00%

60.00%

2000 2001 2002 2003 2004



With Current Solid Business Foundation & Hybrid Thrift/ MortgageBanking Model In Place, 5 Year Plan Projects EPS CAGR of 21% Through 2010

2005 2007 2008 2009 20102006

• Over 3% market share

• Investment grade ratings

• 25 regional centers

• Top 6 mortgage lender

• $2.7B in revenue

• 2 million consumer customers

• Over $11 EPS

• 100 SoCal branches

• Top 10 mortgage lender

• $1B in revenue

• $20B in assets

• 9th largest thrift

• Over 7,000 employees (550 in India)

• Over 580,000 consumer customers

• 26 SoCal branches

• 13 regional mortgage centers

• Implement regional president structure

• Added to S&P 500

• Fortune 100 employer

• “Eight in ’08”

• $8 EPS

• 8th largest lender

1992-2005 1999-05

EPS Growth (CAGR)

27% 32%

2005-2010

21%


Appendix


Servicer Rating Comparison

Indymac Bank

Ameriquest Mortgage Co.Chase Home Finance LC

Countrywide Home Loans, IncHomecomings (GMAC - RFC)

New Century Mortgage Corp.Option One Mortgage Corp.Washington Mutual BankWells Fargo Home Mtg. Inc.

MOODY’s FITCH S&P

(1) Moody’s enhanced their rating methodology to include modifiers (+/-) to the rating categories. Had the modifiers been in place in 2004, the Indymac equivalent rating would have been SQ2-. The 2005 rating is an affirmation of the 2004 rating, considering the enhanced methodology.

RPS2+

-RPS1

RPS1RPS1

--

RPS2+RPS1

PrimeRPS2+

RPS2+RPS1

RPS1RPS1

RPS3RPS2+RPS2RPS1

Sub-primeRPS2+

-RPS1

RPS1RPS1

--

RPS2RPS1

Alt-AAbove/Stable

-Strong/Stable

Strong/StableStrong/Stable

--


ResidentialAbove/Stable

Strong/StableAbove/Positive


Avg./PositiveStrong/StableStrong/StableStrong/Stable

Sub-primeSQ2

-SQ1

RPS1RPS1

--

RPS2+RPS1

PrimeSQ2- (1)

SQ2SQ1

SQ1SQ2

SQ3+SQ1SQ2SQ1

Sub-prime

Primary services


10Q/10K Fast FactsQ1 ’06 Highlights Volume by Division ($mn)

Production by Amortization Type Geographic Distribution

Q1 ’06 Mortgage industry market share of 3.89%

#7 mortgage originator

Record mortgage loan production of $20 B, up 72% from Q1 ’05

Record pipeline of mortgage loans in process of $10.4 B

55.35 57.37 56.78

30.72 26.02 20.19

2.63 4.74 10.655.6 4.83 2.362.14 1.78 3.593.42 4.93 5.9

Mortgage Professionals, Wholesale/ Correspondent

Q1 ‘06 2005 2004

Mortgage Professionals, Conduit

Consumer Direct & Indirect

Financial Freedom

Servicing Retention

Home Equity division

Consumer Construction & Lot

30 28 32

27 29 21

20 19 24

23 24 23

Q1 ‘06 2005 2004

Fixed Rate Mortgages

Option ARMs

ARMs and Hybrid ARMs

Interest Only Hybrid ARMs

44 44 46

9 8 66 6 75 4 34 4 4

32 34 34

Q1 ‘06 2005 2004

California

Florida

New York

Virginia

New Jersey

Other


Management Has a Strong Track Record of Growth and Returns Over Various Interest Rate Environments

* 1999 marked the beginning of Indymac’s transition to a depository institution and taxable entity (earnings and EPS in 1999 are presented pro forma fully-taxed). 12/31/92 marked inception of Indymac’s transition from a passive REIT to an operating mortgage banker with current senior management

Net revenuesEarningsEPSROETotal assetsDepositsTotal equity# of shares outstanding (millions)Debt of equity ratioMarket capitalizationLoan productionMarket shareCapitalized servicing portfolio

$1,106$300

$4.5422%

$21,452$7,672$1,526

6413.0:1$2,505

$62,9152.18%

$84,495

12/31/05

$267$68

$0.869%

$4,025$0

$82875

3.9:1$957

$6,9800.45%$7,747

12/31/99*

27%28%32%16%32%Nm

11%-3%22%17%44%30%49%

CAGR 6 years

$8$5

$0.214%

$714$0

$11914

5.0:1$75$0

0%$0

12/31/92*

46%37%27%14%30%Nm

22%12%8%

31%NmNmNm

CAGR inception to date

18%2%5%

Year 2005

22%1%

-1%

12/99-12/05

23%12%10%

12/92-12/05

IndymacDow Jones Industrial AverageS&P 500

Comparative Annualized Returns

Dollars in millions, except per share data


Trends Show Credit Quality Of Production Relatively Stable Year Over Year

(1) 95% of reverse mortgages are FHA insured (based on number of loans)(2) While Indymac production is evaluated using the S&P LEVELS model, this data is

not audited or endorsed by S&P. S&P Evaluated Production excludes second liens, HELOC, reverse mortgages, and construction loans.

% of Production Q1 05 Q2 05 Q3 05 Q4 05 Q1 06Agency Equivalent <=45bps 66% 68% 66% 63% 58%Alt-A Equivalent 45-80 bps 25% 25% 24% 26% 28%Subprime Equivalent >80bps 9% 7% 10% 11% 14%Total 100% 100% 100% 100% 100%

Balance ($ in millions) FICO CLTV

Total Q106 Production 20,340$ NA NALess: Consumer Construction (934) 720 76%Closed End Seconds Held for Sale (858) 689 94%HELOCs (785) 728 79%Reverse Mortgages (1) (1,118) NA 55%Subdivision Construction (363) NA 74%Subtotal (4,058) 712 74%Total Production Evaluated By S&P LEVELS Model (2) 16,282$ 697 80

Indymac Total Production Reconciled To Loans Evaluated By S&P LEVELS Model

S&P Evaluated Quarterly Production (2)

$ in millions 3/31/2005 3/31/2006Evaluated Production 9,835$ 16,282$ Avg. Loan Size (actual) 261,302$ 290,466$ S&P Lifetime Loss 0.47% 0.51%LTV 73% 74%CLTV 78% 80%FICO 700 697 ProductFixed 25% 32%Option ARMs 35% 34%Hybrid/ARM 11% 7%Hybrid ARM I/O 29% 27%Total 100% 100%Doc Type Full Doc 32% 20%Occupancy TypePrimary Home 89% 88%Second Home 3% 3%Investment 8% 9%Total 100% 100%GeographicNo. California 14% 15%So. California 28% 28%Other 58% 57%Total 100% 100%

Loan Characteristics

S&P Loss Levels Q1 05 Q2 05 Q3 05 Q4 05 Q1 06Agency Equivalent <=45bps 0.21% 0.22% 0.21% 0.20% 0.22%Alt-A Equivalent 45-80 bps 0.58% 0.58% 0.58% 0.59% 0.59%Subprime Equivalent >80bps 1.99% 1.80% 2.25% 2.05% 1.57%Total 0.47% 0.42% 0.50% 0.51% 0.51%


Underwriter Approval Authority Levels

1The Business Unit Head may grant exceptions to these limits on a case-by-case basis2No non-prime allowed except in those instances where loans are submitted as prime and downgraded to non-prime following documentationreview. In these cases, the loan will remain with the original underwriter

3Required in order to underwrite any IndyMac loans 4Required in order to underwrite Texas O/O Refinance loans5Required in order to underwrite Co-op loans6Required in order to underwrite non-prime loans7Required in order to underwrite spec loans (training for this loan type is currently under development)8Individual loans are subject to review per the Underwriter Second Review Policy

Loan Limits UW Levels Experience IndyMac Internal Requirements<= 650K ▪Contract ▪Resume / history of experience

Underw riter ▪IndyMac Skills Test▪Backround Check

▪Level I ▪New Hire Underw riter Certif ication3

▪Co-op Certif ication5

<=$650,000 ▪Level II ▪New Hire Underw riter Certif ication3


▪Non-prime Certif ication6

▪Spec Loan Certif ication7

<= $1,000,000 ▪New Hire Underw riter Certif ication3




<= $1,500,0008 ▪New Hire Underw riter Certif ication3




▪New Hire Underw riter Certif ication3




▪1 year minimum underw riting experience

Underw riter Approval Authority Matrix1

Applies to Retail, Wholesale, Correspondent Prior Approved

<= Conforming Loan Limit2

▪0-2 years underw riting experience

▪Texas O/O Refinance Transaction Certif ication4

▪Level III (Senior UW)

▪Level IV (Senior UW)

▪3+ years underw riting experience

▪3+ years underw riting experience

<= Maximum loan amount

▪Level V (Elite UW)

▪3+ years underw riting experience▪1 year IndyMac underw riting experience

▪6 mos. IndyMac experience (except new regions)

▪Previous mortgage industry experience required





▪1 -3 years underw riting experience


Alt-A Pay Option ARMsHigh Level Product Parameters

Max LnAmt

Max LTV %

Max CLTV %

Min Credit Score

Max DTI

Min MosRsrv.

Full-Alt Doc / Stated Income Doc (*)

$400K 95 / 85 95 / 90 640/660 40 2

90 / 85 w/sub fin/90

620/660 40 2

90 / 80 90 / 90 640 40 2

80 / 80 95 / 90 680/660 42 2

80 / 80 95 / 85 680/640 42 2

80 / 80 95 / 80 680/620 42 2

80 / 80 95 / 90 700 42 6 / 6

80 / 75 90 / 90 620/660 42 2 / 6

80 / 75 90 / 75 700 42 12

75 / 65 75 / 70 620/660 42 / 45 6 / 9

75 / 70 75 / 75 700 42 / 45 12

70 / 65 75 / 70 660 42 / 45 9 / 12

$2.5MM 70 / NA 70 / NA 700 /NA 45 / NA 9 / NA

$2MM

$1.5MM

$1MM

$650K

$500K

12 MAT & 12MAT Fixed Minimum Pmt40-year 12 MAT & 40-yr

12MAT Fixed Minimum PmtFlexPay 12 MAT 1 & 5-yearFlexPay 3, 5 & 7/1 LIBOR

Alt-A Credit – 620 min FICO110% Neg Am Cap29% of 2005 productionFull/Alt, Stated Income &

NINA (primary residence only) doc typesPurchase/Refi/Cash-out RefiPrimary residence, Second

Home & Investment Property

Alt-A Pay Option ARM Program Highlights

(*) When only 1 value is listed, parameters are the same for both.

10,1527,002n/aOriginal balance in millions

990# of deals active

1%1.7%n/aSeverity

8,6294,438n/aCurrent balance in millions

3,6115,297n/aLoss $

0.00%0.00%n/aLoss %

0.19%0.40%n/aDQ 90+

0.34%0.39%n/aDQ 60

2005 Vintage2004 Vintage2003 Vintage4/25/06 Distribution

Performance & Loss Highlights as of 3/31/06

NOTE: This is a consolidated representation of Indymac’s guidelines and performance data for discussion purposes only – please refer to the Lending Guide for complete guidelines.


Alt A Standard ProductsHigh Level Product Parameters

Max LnAmt

Max LTV % Max CLTV %

Min Credit Score

Max DTI %

Min MosRsrv.

Full-Alt Doc / Stated Income Doc (*)95 95 620 50 2

90 / 85 90 / 85 620 / 680 50 2

50 / 80 95 / 95 620 / 620 65 / 45 2

85 / 90 85 / 90 680 / 700 50 2

85 / 80 85 / 90 680 / 660 50 / 45 2

80 / 80 100 / 100 660 / 700 50 / 45 2

80 / 80 100 / 100 620 / 700 45 / 45 2

80 / 75 100 / 80 620 / 660 45 6

70 95 / 80 620 50 / 45 6

95 / 90 95 / 100 620 / 700 50 / 45 2

$500K

95 / 80 95 / 100 620 50 / 45 2

90 / 90 100 / 90 660 / 700 45 / 50 2

$750K

85 / 80 85 / 85 680 / 620 50 / 45 2

80 / 80 100 / 90 660 / 680 45 / 50 2 / 6

80 / 75 95 / 80 720 / 660 45 0 / 6

80 / 75 90 / 80 680 55 6 / 9

70 / 65 95 / 70 620 55 6 / 9

75 / 70 75 / 70 680 55 9 / 12

55 / 60 55 / 65 740 / 620 65 / 55 9 / 12

$3MM 70 / 65 75 / 70 680 55 9 / 12

$2MM

$1.5MM

$1MM

$650K

15 & 30-year FRM30-year FR IO40 due in 30 FRM3, 5, 7 & 10/1 LIBOR ARM & IO3, 5, 7 & 10/1 40 due in 30 LIBOR ARM

Alt-A CreditDoc Types - Full/Alt, Fast

Forward, Stated Income, No Ratio, NINA and No DocPurchase, Refinance & Cash-

out RefinancePrimary residence, Second


Alt-A Standard Program Highlights


Current balance in millions

Original balance in millions

# of active deals

Severity

Loss $

Loss %

DQ 90+

DQ 60

4/25/06 Distribution

17,9436,8254,8061,736

3418145

15.52%8.73%31.63%17.30%

15,5333,6312,105253

101,327552,0641,435,712626,953

0.00%0.01%0.03%0.03%

0.42%1.09%0.88%1.40%

0.39%0.59%0.52%1.05%

2005 Vintage

2004 Vintage

2003 Vintage

2002 Vintage




Nonprime ProductsHigh Level Parameters – Credit Level 1++

Min Credit Score

Max Loan Amount

Max LTV%

Max CLTV%

Max Cashout Max DTI %

Full-Alt Doc / Stated Income Doc (*)$750K 100 / 95 100 $50K 50

$850K 95 / 85 100 No Limit 50

$850K 90 / NA 100 / NA No Limit/NA 50 / NA

$500K 100 / 90 100 $50K/No Limit 50

$650K 95 / 90 100 No Limit 50

$850K 80 / NA 100 No Limit/NA 50 / NA

525

$500K 75 / NA 100 / NA No Limit / NA 55 / NA

640

$1.25MM 80 / NA 100 / NA No Limit/NA 50 / NA

$650K 100 / 95 100 $50K 50

$1.25MM 75 / NA 100 / NA No Limit/NA 55 / NA

$750K 90 / 80 100 No Limit 50

$750K 80 / NA 100 / NA No Limit/NA 50 / NA

$1MM 90 / 80 100 No Limit 50

600

$750K 95 / 90 100 No Limit 50

$1MM 80 / NA 100 / NA No Limit/NA 50 / NA

580

$1MM 75 / NA 100 No Limit/NA 55 / NA

$650K 90 / 80 100 No Limit 50

$500K 85 / 70 100 No Limit 50 / 55

$400K 80 100 No Limit 50

$400K 75 100 No Limit 55

500

550

15 & 30-year FRM30-year FR IO40 due in 30 FRM2/6, 3/1, 5/1 LIBOR ARM2/6, 3/1, 5/1 IO LIBOR ARM2/6, 3/1, 5/1 LIBOR ARM 40 due in 30

Doc Types - Full/Alt, Limited, Stated IncomePurchase, Refinance & Cash-

out RefinancePrimary residence, Second


Nonprime Product Highlights


Current balance in millions

Originalbalance in millions

# of active deals

Severity

Loss $

Loss %

DQ 90+

DQ 60

4/25/06 Distribution

3,4492,199399609

4312

11.45%14.55%31.30%32.85%

2,8671,1758793

144,2731,293,0511,831,6668,973,971

0.00%0.06%0.45%1.5%

3.55%6.80%10.78%18.36%

1.30%2.42%2.13%3.74%

2005 Vintage

2004 Vintage

2003 Vintage

2002 Vintage




Subprime 60+ Delinquency as % of Original Balance

0.00%

2.00%

4.00%

6.00%

8.00%

10.00%

12.00%

14.00%

16.00%

18.00%

1 3 5 7 9 11 13 15 17 19 21 23 25 27 29 31 33 35 37 39 41 43 45 47 49 51 53 55 57 59 61 63 65 67 69 71 73

Month

2000-A2000-B2000-C2001-A2001-C2002-A2002-B2003-A2004-A2004-B2004-C2005-A2005-B


Subprime Cumulative Loss as % of Original Balance

0.00%

0.50%

1.00%

1.50%

2.00%

2.50%

3.00%

3.50%

4.00%

4.50%

5.00%

1 3 5 7 9 11 13 15 17 19 21 23 25 27 29 31 33 35 37 39 41 43 45 47 49 51 53 55 57 59 61 63 65 67 69 71 73

Month #

2000-A2000-B2000-C2001-A2001-C2002-A2002-B2003-A2004-A


Portfolio Overview

March 31, 2005 March 31, 2006

Direct Servicing of $55.0 billion271,566 Loans

Master Servicing Portfolio (directly serviced by others) of $630,784,570 on approximately 3,546 loans

Alt-A = 60.76%Conforming Conventional = 26.59%Subprime = 10.71%Other = 1.94%

Total = 100%

California = 31.39%New York = 9.26%Florida = 7.31%New Jersey = 4.07%Virginia = 3.07%Other = 44.90%

Total = 100%

Direct Servicing of $92.8 billion404,634 Loans

Master Servicing Portfolio (directly serviced by others) of $600,572,710 on approximately 2,952 loans

Alt-A = 59.37%Conforming Conventional = 23.04%Subprime = 14.48%Other = 3.10%

Total = 100%

California = 30.35%Florida = 9.01%New York = 7.54%New Jersey = 4.04%Virginia = 3.51%Other = 45.55%

Total = 100%


Investor Relations Contacts

Josh Cousins, FVP – (626) 535-8404

Key Indymac Investor Contacts and Performance Data Sources

[email protected] Neira, VP – (626) 535-8016 [email protected]

Andy Sciandra, SVP – (626) 535-5025 [email protected] Shirreffs, FVP – (626) 535-5050 [email protected] Kammer, FVP – (626) 535-4362 [email protected]

Secondary Marketing Contacts

Where to Find Indymac’s Collateral and Performance Information Reportshttp://regab.indymacbank.com/main.aspxhttp://bondir.indymacbank.com

Need Further Website Assistance? Contact One of Our Analysts at……Scott McKey, Sr. Analyst Lead – (626) 535-5251 - [email protected] Man, Analyst – (626) 535-8514 - [email protected]

mailto:[email protected]





http://regab.indymacbank.com/main.aspx

http://bondir.indymacbank.com/



Current ABS Presentation - IndyMac

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