[2] Washington Mutual Unveils Small Business Banking Initiative.

Business Editors

SAN DIEGO--(BUSINESS WIRE)--Aug. 9, 2000

Washington Mutual today announced a concerted effort to expand its small business market share in all of its nationwide markets.

The bank's Small Business Banking Initiative, which includes several specials on existing products, brings new focus to the small business marketplace, and ensures that all markets have access to the same Washington Mutual small business product and service offerings.

The initiative introduces the bank's wide array of products and services to small businesses in key bank markets, such as California, Florida and the Northwest.

"Targeting small businesses is a natural extension of our consumer bank offerings," said Mike Amato, senior vice president, consumer banking division. "Many of our customers are small business owners who have expressed an interest in broadening their banking relationship with us. Our small business initiative addresses their needs by combining our high-touch customer service with products and services tailored for specific industries, including small manufacturers, wholesalers and professionals."

The Small Business Banking Initiative comes at a time when small businesses continue to be the primary source for job growth and economic stability in the U. S. According to the U. S. Small Business Administration, small businesses contribute 47 percent of sales to the U. S. economy, and employ 53 percent of America's private workforce.

Washington Mutual's Small Business Banking Initiative is designed for customers with less than $5 million in annual revenue, fewer than 10 employees, and those seeking credit up to $100,000. The bank is unveiling this initiative throughout its eight-state consumer banking area.

Washington Mutual serves mid-sized businesses with revenues of $5 million and up and loan needs greater than $500,000 through its WM Business Bank in California.

Product offerings associated with the Small Business Banking Initiative include: first-year fee waiver on Business Lines of Credit ($150 value); set-up fee waiver and first month free on the WM Morning Report, a statement of the customer's previous day's account activity and balances sent by fax or e-mail ($35 value); and a processing fee waiver plus up to $100 off the set-up fee for ADP payroll services (value varies with business size).

Currently, the following small business banking services are available through Washington Mutual: business checking and savings accounts, business money market accounts, business lines of credit, merchant card services, payroll services, telephone banking and overdraft protection.

"This initiative represents Washington Mutual's first real push into the small business market," Amato said. "Customers can expect us to expand on this initiative by introducing additional products and services in the coming months."

With a history dating back to 1899, Washington Mutual Inc. (NYSE:WM), is a financial services company that provides a diversified line of products and services to consumers and small-to-mid-sized businesses. As of June 30, 2000, Washington Mutual and its subsidiaries had assets of $185.69 billion. Washington Mutual currently operates more than 2,000 consumer banking, mortgage lending, commercial banking, consumer finance and financial services offices throughout the nation. Washington Mutual's news releases are available at www.wamu.com.