Fitch Ratings Affirms Washington Mutual; Places Providian on Watch Positive.

NEW YORK -- Fitch Ratings affirmed the ratings of Washington Mutual, Inc. at 'A/F1' with a Stable Outlook, and its banking subsidiaries and has placed Providian Financial Corp., rated 'B+/B' with a Positive Outlook, and its subsidiaries on Rating Watch Positive. This action follows the announcement this morning that Washington Mutual, Inc. (WM) will acquire Providian (PVN) for approximately $6.45 billion, 89% of which is to be paid in WM stock. A complete list of ratings is available at the end of this release.

This transaction is the realization of WM's long-standing plans to enter the credit card business and thus fits nicely into its stated retail strategy. While PVN has had significant business challenges in the past few years, the company's situation has improved considerably under the current management team. One of the last remaining hurdles in PVN's turn-around, i.e. access to more attractively priced and diversified funding, is addressed through this transaction. Going forward, the current PVN management team has been retained to run this business as a fourth business unit within WM, which Fitch views positively. Upon expected completion, the ratings of PVN will be equalized with those of WM.

Recognizing the somewhat higher risk profile of credit card receivables versus WM's existing asset mix, which is dominated by prime residential mortgages, WM's pro forma capital targets are now somewhat higher, on both a stated and a tangible basis, which Fitch considers appropriate for the ratings assigned. Fitch anticipates that Providian National Bank will be merged into Washington Mutual Bank (formerly Washington Mutual Bank, FA) upon consummation of the transaction, which is anticipated by year-end 2005.

The following ratings are affirmed by Fitch:

Washington Mutual, Inc.:

-- Senior debt affirmed at 'A';

-- Subordinated debt affirmed at 'A-';

-- Short-term debt affirmed at 'F1';

-- Individual affirmed at 'B';

-- Support affirmed at '5';

-- Outlook is Stable.

Washington Mutual Bank (formerly Washington Mutual Bank, FA):

-- Long-term deposits affirmed at 'A+';

-- Senior debt affirmed at 'A';

-- Subordinated debt affirmed at 'A-';

-- Short-term deposits affirmed at 'F1';

-- Short-term debt affirmed at 'F1';

-- Individual affirmed at 'B';

-- Support affirmed at '3';

-- Outlook is Stable.

Washington Mutual Capital I

-- Trust-preferred affirmed at 'A-'.

Bank United Corp.

-- Subordinated debt affirmed at 'A-'.

Bank United FSB 

-- Senior debt affirmed at 'A'.

Bank United Capital Trust

-- Trust-preferred affirmed at 'A-'.

The following ratings are placed on Rating Watch Positive:

Providian Financial Corp.

-- Senior debt at 'B+';

-- Short-term debt at 'B';

-- Support at '5';

-- Individual at 'D'.

Providian National Bank

-- Long-term deposits at 'BB';

-- Senior debt at 'BB-';

-- Subordinated debt at 'B+';

-- Short-term deposits at 'B';

-- Short-term debt at 'B';

-- Individual at 'C/D';

-- Support at '5'.

Providian Capital I

-- Trust-preferred at 'B-'.

Fitch's rating definitions are available on the agency's free of charge web site, 'www.fitchratings.com'. Published ratings, criteria and methodologies, and relevant policies and procedures are also available from this site, at all times. This document will remain on the free site for seven days.