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SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
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FORM 8-K
CURRENT REPORT
PURSUANT TO SECTION 13 OR 15(D) OF THE
SECURITIES EXCHANGE ACT OF 1934
Date of Report (Date of earliest event reported): February 7, 1997
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Commission File Number 1-13578
DOWNEY FINANCIAL CORP.
(Exact name of registrant as specified in its charter)
Delaware 95-1953342
(State or other jurisdiction (I.R.S. Employer Identification No.)
of incorporation or organization)
3501 Jamboree Road, Newport Beach, California 92660
(Address of principal executive offices) (Zip Code)
Registrant's telephone number, including area code: (714) 854-0300
Not applicable
(Former name or former address, if changed since last report.)
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Item 5. OTHER EVENTS
On February 7, 1997, Downey Financial Corp. issued a news release
reporting the resignation of Stephen W. Prough as the President, Chief
Executive Officer and Director the appointment of James W. Lokey to the
position of President and Chief Executive Officer effective February
18, 1997.
Item 7. FINANCIAL STATEMENTS AND EXHIBITS.
(c) Exhibits.
10.16 News release dated February 7, 1997 announcing senior
management transition.
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SIGNATURES
Pursuant to the requirements of Section 13 or 15(d) of the Securities
Exchange Act of 1934, the Registrant has duly caused this report to be signed on
its behalf by the undersigned, thereunto duly authorized.
DOWNEY FINANCIAL CORP.
DATED: February 7, 1997 /s/Donald E. Royer
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Donald E. Royer
Executive Vice President and General Counsel
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NEWS RELEASE
For Further Information Contact:
Donald E. Royer, Executive Vice
President (714) 725-4790
DOWNEY FINANCIAL CORP. ANNOUNCES
SENIOR MANAGEMENT TRANSITION
Newport Beach, California - February 7, 1997. Maurice L. McAlister,
Chairman of the Board of Downey Financial Corp. (NYSE/PSE: DSL), announced today
that Stephen W. Prough has resigned his positions as Chief Executive Officer,
President and Director of Downey Financial Corp., Downey Savings and Loan
Association, F.A. and their affiliated companies, and that James W. Lokey has
been appointed Chief Executive Officer and President of Downey Financial Corp.
and Downey Savings.
Commenting on his resignation, Mr. Prough stated, "I am proud of the
achievements that my management team and I have accomplished during my tenure on
behalf of Downey and its shareholders. Downey has been a rewarding opportunity
for me. I am looking forward to my next mountain to climb. With an improving
California economy and the initiatives we have implemented, the future holds
great promise for Downey." Mr. McAlister commented that the Board expressed its
appreciation for Mr. Prough's many contributions to Downey, its customers and
shareholders during his employment, and that the Board wished him success and
good fortune in his future endeavors.
James W. Lokey has twenty-four years of financial services industry
experience, having served most recently as Executive Vice President and Division
Manager of Wells Fargo Bank, where he was responsible for the successful
integration of the Wells Fargo Bank and First Interstate Bank of California
Commercial Banking Divisions in Southern California. Prior to Wells Fargo, Lokey
spent twenty-three years with First Interstate Bank of California where he held
executive management positions in most areas of the Bank, including Credit
Policy & Administration, Private Banking, Commercial Banking, Cash Management
and Retail Branch Banking. Mr. Lokey commented on his decision to join Downey:
"Downey is well positioned to take advantage of the improving California economy
and the dynamic changes taking place in the financial services industry. The
Company's strong capital base, excellent locations and reputation for customer
service will enable us to strategically and successfully expand our product
offerings and markets, providing increased value to shareholders."
Commenting on Mr. Lokey's appointment, Mr. McAlister stated, "Downey
remains highly committed to its efforts to build its franchise and to continue
to improve its return on equity. As one of the few premier financial
institutions headquartered in Southern California, Downey seeks significant
opportunities to thrive in a fast-improving California economy. Jim Lokey brings
to Downey an exceptional commercial banking background, knowledge of the
California market and is a highly regarded banker with the experience and
business focus necessary to lead Downey in these efforts."
Downey Financial Corp., headquartered in Newport Beach, California, has
assets of $5.2 billion and operates through 57 traditional branch offices and 19
supermarket branches located throughout California.
