American General Receives Approval to Acquire California Thrift.

HOUSTON--(BUSINESS WIRE)--April 28, 1999--

American General (NYSE:AGC) today announced that it has received approval from The Office of Thrift Supervision (OTS) to acquire Standard Pacific Savings, a federal savings and loan. The OTS, a federal agency that regulates federal savings banks, also granted American General approval to rename the institution American General Bank, FSB.

The transaction is expected to be completed before June 30, 1999. The terms and conditions of the transaction were not disclosed. William A. Hawkins, who joined American General in November 1998 with 27 years of financial services industry experience, will serve as president of American General Bank, FSB.

In commenting on the announcement, Robert M. Devlin, chairman, president and chief executive officer of American General, said, "We are most pleased to be able to expand our product portfolio and distribution capabilities through American General Bank. The thrift charter is an excellent vehicle that could be used to bring mortgage and banking services to our more than 12 million customers and the 50,000 men and women who help our customers meet their lifetime financial needs."

American General Bank, FSB will currently operate as a traditional thrift, offering deposit and lending products including checking and savings accounts, certificates of deposit, money market accounts, residential mortgages, home equity loans, and personal lines of credit to its customers. The bank will be headquartered in Midvale, Utah.

American General is one of the nation's largest diversified financial services organizations with assets of $109 billion and market capitalization of $20 billion. Headquartered in Houston, it is a leading provider of retirement services, life insurance, and consumer loans to 12 million customers. American General common stock is listed on the New York, Pacific, London, and Swiss stock exchanges.

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