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WaMu Reports Second Quarter Earnings Per Share of $0.92, up 16 Percent

Increases Cash Dividend to 56 Cents

SEATTLE--(BUSINESS WIRE)--July 18, 2007--WaMu (NYSE:WM) announced today that second quarter 2007 earnings per share increased 16 percent from a year ago. Continued strong performance led to net income of $830 million, or $0.92 per diluted share, compared with net income of $767 million, or $0.79 per diluted share, in the second quarter of 2006. Second quarter net income was also up from $784 million, or $0.86 per share, in the prior quarter.

"We delivered record growth in our retail banking, credit card and commercial businesses during the second quarter. Our Home Loans' results improved from the first quarter and we are targeting a return to profitability by the end of the year," said Chairman and CEO Kerry Killinger. "I'm pleased with the job our employees are doing in growing the franchise, delivering best-in-class customer service, as evidenced by our recent J.D. Power award recognition, and focusing on improving our operating efficiency."

Based on the quarter's solid performance and the company's strong financial position, the Board of Directors increased the cash dividend on the company's common stock for the 48th consecutive quarter to 56 cents per share.

SECOND QUARTER FINANCIAL SUMMARY AND HIGHLIGHTS
----------------------------------------------------------------------

Financial Summary
                                              Three Months Ended
                                         -----------------------------
(in millions, except per share data)     June 30,  Mar. 31,  June 30,
                                            2007      2007      2006
                                         --------- --------- ---------
Income Statement
Net interest income                      $  2,034  $  2,081  $  2,060
Provision for loan and lease losses           372       234       224
Noninterest income                          1,758     1,541     1,578
Noninterest expense                         2,138     2,105     2,229
Income from continuing operations             830       784       759
Income from discontinued operations, net
 of taxes                                       -         -         8
Net income                                    830       784       767

Diluted earnings per common share        $   0.92  $   0.86  $   0.79

Balance Sheet
Total assets, end of period              $312,219  $319,985  $350,884
Average total assets                      316,004   331,905   348,664
Average interest-earning assets           279,836   295,700   313,239
Average total deposits                    206,765   210,764   200,252

Performance Ratios
Return on average common equity             13.74%    12.99%    11.82%
Net interest margin                          2.90      2.79      2.65
Efficiency ratio                            56.38     58.13     61.27
Nonperforming assets/total assets            1.29      1.02      0.62
Tangible equity/total tangible assets        6.07      5.78      5.84
    --  New production records set. During the second quarter, the
        Retail Bank added a record 406,000 net new checking accounts,
        Card Services opened a record 928,000 new credit card
        accounts, and the Commercial Group produced record loan volume
        of $4.3 billion.

    --  Depositor and other retail banking fees up 12 percent year
        over year. Since the end of last year's second quarter, the
        company added over 1.2 million net new checking accounts to
        its retail base. This tremendous growth in new accounts helped
        drive depositor and other retail banking fees up 12 percent
        year over year, or 16 percent after excluding a one-time $21
        million incentive payment recognized in the second quarter of
        last year.

    --  Net interest margin expands 11 basis points to 2.90 percent.
        During the first quarter, the company sold approximately $17.5
        billion of low yielding loans. During the second quarter, the
        company improved its funding mix, which included reducing the
        average balance of FHLB advances by $14 billion and increasing
        lower cost retail deposits by $1.2 billion. The result was a
        13 basis point reduction in the company's cost of funds, which
        more than offset the 2 basis point decline in the yield on
        interest-earning assets. The modest decline in net interest
        income from the prior quarter and a year ago reflected a
        decline in average interest-earning assets that overshadowed a
        substantially improved net interest margin. The decline in
        assets reflected not only the portfolio repositioning, but
        also constrained asset growth in the current interest rate and
        credit environment.

    --  Home Loans' results improve. Second quarter results for Home
        Loans were a loss of $37 million, an improvement from a loss
        of $113 million in the prior quarter as a result of more
        stable market conditions for subprime loans in the second
        quarter. Net losses from the sales of subprime mortgage loans
        and adjustments to reflect changes in market values of loans
        held for sale totaled $38 million. In addition, the company
        decreased the value of its subprime residuals by $93 million
        for a combined total loss for the quarter of $131 million, or
        about half the $252 million in losses recognized in the first
        quarter.

    --  Increase in provision reflects credit card growth and soft
        housing market. The quarter's provision increased to $372
        million from $234 million in the prior quarter. With the
        strong growth in credit card receivables held in portfolio,
        the company increased the provision for loan losses for credit
        cards to $229 million from $106 million in the first quarter.
        The mortgage component of the provision continued to reflect
        the difficult housing environment. Nonperforming assets as a
        percentage of total assets increased to 1.29 percent from 1.02
        percent at the end of the prior quarter reflecting the
        continued softness of the housing market, along with a
        decrease in total assets.

    --  Focus on productivity reflects disciplined expense management.
        Second quarter's noninterest expense of $2.1 billion was down
        from the prior year as the benefits of the company's
        productivity initiatives continue to be realized. At 56.38
        percent, the company's efficiency ratio for the second quarter
        showed a significant improvement from 61.27 percent a year ago
        and reflected the company's success in growing revenue and its
        continued focus on productivity.
SECOND QUARTER OPERATING SEGMENT RESULTS
----------------------------------------------------------------------
Retail Banking Group

Selected Segment Information
                                               Three Months Ended
                                          ----------------------------
(in millions, except accounts and         June 30,  Mar. 31,  June 30,
 households)                                2007      2007      2006
                                          --------  --------  --------
Net interest income                       $  1,283  $  1,275  $  1,323
Provision for loan and lease losses             91        62        13
Noninterest income                             819       751       732
Noninterest expense                          1,139     1,075     1,109
Net income from continuing operations          558       569       586

Average loans                             $149,716  $155,206  $182,891
Average retail deposits                    145,252   144,030   138,803
Net change in number of retail checking
 accounts                                  406,243   327,776   404,190
Net change in retail households            228,000   195,000   259,000
    --  Retail Bank continues strong performance. With record account
        growth and a 12 percent year over year increase in depositor
        fees, the Retail Bank delivered another strong quarter. The
        modest decline in net income from a year ago reflected an
        increase in credit costs, particularly for home equity
        lending, and the 3 percent decline in net interest income,
        primarily as a result of the 18 percent decline in average
        loans.

    --  Checking account growth at record level. During the second
        quarter, the company added a record 406,000 net new checking
        accounts, up 24 percent from the first quarter. The quarter's
        growth was also up 1 percent from the record set in the second
        quarter a year ago, which included a full quarter of WaMu's
        new free checking product. The attractiveness of WaMu's free
        checking contributed to the 5 percent increase in average
        retail deposits from the prior year. The company's success in
        attracting new customers also led to an increase in the number
        of retail households, up 2 percent from the end of the prior
        quarter and up 9 percent from a year earlier.
Card Services Group (managed basis)

Selected Segment Information
                                                Three Months Ended
                                            --------------------------
(in millions)                               June 30, Mar. 31, June 30,
                                              2007     2007     2006
                                            -------- -------- --------
Net interest income                         $   660  $   653  $   615
Provision for loan and lease losses             523      388      417
Noninterest income                              393      474      389
Noninterest expense                             300      325      293
Net income                                      141      256      181

Average managed receivables                 $24,234  $23,604  $20,474
Period-end managed receivables               24,987   23,597   21,095
30+ day managed delinquency rate               5.11%    5.15%    5.23%
Managed net credit losses                      6.49     6.31     5.99
    --  Card Services' fundamentals remain strong. Second quarter
        results continued to show solid net interest income and
        expense containment. The decrease in net income from prior
        periods was due to a higher level of provisioning from the
        quarter's strong growth in period-end receivables and a
        reduction in noninterest income from the lower level of
        securitization activity in the second quarter.

    --  Card Services opens record number of new accounts. During the
        quarter, Card Services opened a record 928,000 new credit card
        accounts. Marketing to WaMu customers is an important growth
        opportunity for Card Services and has accounted for
        approximately a third of production. Period-end managed
        receivables of $25 billion were up 6 percent from the first
        quarter and up 18 percent from the prior year.

    --  Credit quality reflects strong economy. At 5.11 percent of
        period-end managed receivables, the 30+ day managed
        delinquency rate was down from prior quarters due to the
        strong receivables growth in the quarter. Net credit losses of
        6.49 percent during the quarter were up from prior periods
        with an increase in contractual and bankruptcy losses.
Commercial Group

Selected Segment Information
                                               Three Months Ended
                                          ----------------------------
(in millions)                             June 30,  Mar. 31,  June 30,
                                            2007      2007      2006
                                          --------  --------  --------
Net interest income                       $    195  $   200   $   166
Provision for loan and lease losses              2      (10)      (10)
Noninterest income                              62       14        17
Noninterest expense                             74       74        57
Net income                                     113       94        84

Loan volume                               $  4,348  $ 3,671   $ 2,961
Average loans                               38,789   38,641    31,505
    --  Commercial Group net income up 35 percent year over year. Net
        income of $113 million for the second quarter was up 35
        percent from the same quarter a year ago and was up 20 percent
        compared with the prior quarter. The improved results
        primarily reflect the quarter's higher gain on sale.

    --  Loan volume hits record level. Record loan volume of $4.3
        billion was up 47 percent from a year ago and was up 18
        percent from the prior quarter as a result of the strong
        growth in multi-family and commercial real estate loans.
Home Loans Group

Selected Segment Information
                                               Three Months Ended
                                          ----------------------------
(in millions)                             June 30,  Mar. 31,  June 30,
                                            2007      2007      2006
                                          --------  --------  --------
Net interest income                       $   215   $   245    $   290
Provision for loan and lease losses           101        49         38
Noninterest income                            391       162        461
Noninterest expense                           548       521        617
Net income (loss)                             (37)     (113)        50

Loan volume                               $31,541   $30,609    $41,747
Average loans                              43,312    53,254     43,988
    --  Home Loans shows improvement in a difficult environment. While
        the quarter's $37 million loss was an improvement from the
        loss of $113 million in the prior quarter, the difficult
        mortgage environment continues to pressure results. Net losses
        from the sales of subprime mortgage loans and adjustments to
        reflect changes in market values of loans held for sale
        totaled $38 million, which was a substantial improvement from
        net losses of $164 million in the first quarter. During the
        second quarter, the company reduced the value of its subprime
        residuals by $93 million to a balance of $79 million at
        quarter end. This decline in fair value was similar to the
        first quarter and reflected the poor performance of subprime
        loans and the slowdown in home price appreciation.

    --  Prime business continues to improve. Gain on sale for the
        prime portion of the business remained strong, but was down
        slightly primarily on lower sales volume. MSR valuation and
        risk management results improved during the quarter with the
        rise in long-term interest rates and lower net hedging costs.

    --  Increase in home loan volume reflects seasonal growth. Prime
        home loan volume was up 7 percent from the first quarter, as
        the business rebounded from the typically low first quarter.
        Subprime mortgage production for the second quarter was down
        30 percent from the prior quarter as the company has chosen to
        reduce its subprime exposure through this point in the cycle.
        Compared with a year ago, home loan volume was down as the
        company reduced not only its subprime lending, but also
        decided to exit its traditional correspondent business.

    COMPANY UPDATES

    --  On April 18, WaMu launched a $2 billion subprime borrowers'
        assistance program which offers a refinance opportunity at a
        discount to borrowers who are current on their existing
        mortgage. The goal of the program is to keep as many borrowers
        as possible in their homes.

    --  On April 26, WaMu launched its new Mortgage PlusTM product
        nationwide. The WaMu Mortgage Plus home loan is an all-in-one
        product that combines a mortgage with the flexibility of a
        built-in equity line of credit.

    --  On May 21, WaMu was named the bank with the best reputation in
        the U.S. According to U.S. consumers surveyed by Reputation
        Institute, WaMu's corporate reputation outranks its banking
        peers and was the only bank included in the top 50 best
        regarded companies in the United States.

    --  On June 4, J.D. Power and Associates released their 2007
        Retail Banking Satisfaction Study. The results, which were
        reported by region, placed WaMu #1 in the Midwest and
        West/Pacific regions and #3 in the Mid-Atlantic and Southwest
        regions.

    --  On July 17, WaMu's Board of Directors declared a cash dividend
        of 56 cents per share on the company's common stock, up from
        55 cents per share in the previous quarter. Dividends on the
        common stock are payable on August 15, 2007 to shareholders of
        record as of July 31, 2007. In addition to declaring a
        dividend on the company's common stock, the company will pay a
        dividend of $0.3956 per depository share of Series K Preferred
        Stock to be payable on Sept. 15, 2007 to holders of record on
        Sept. 1, 2007.

    ABOUT WAMU

WaMu, through its subsidiaries, is one of the nation's leading consumer and small business banks. At June 30, 2007, WaMu and its subsidiaries had assets of $312.22 billion. The company has a history dating back to 1889 and its subsidiary banks currently operate approximately 2,700 consumer and small business banking stores throughout the nation. WaMu's press releases are available at http://newsroom.wamu.com.

WEBCAST INFORMATION

A conference call to discuss the company's financial results will be held on Wednesday, July 18, 2007, at 5:00 p.m. ET and will be hosted by Kerry Killinger, chairman and chief executive officer and Tom Casey, executive vice president and chief financial officer. The conference call is available by telephone or on the Internet. The dial-in number for the live conference call is 888-677-5720. Participants calling from outside the United States may dial 210-795-2680. The passcode "WaMu" is required to access the call. Via the Internet, the conference call is available on the Investor Relations portion of the company's web site at www.wamu.com/ir. A transcript of the prepared remarks will be available on the company's web site prior to the call and archived for at least 30 days. A recording of the conference call will be available from 7:00 p.m. ET on Wednesday, July 18, 2007, through 11:59 p.m. ET on Friday, August 17, 2007. The recorded message will be available at 800-819-5743. Callers from outside the United States may dial 203-369-3828.

CAUTIONARY STATEMENTS

This document contains forward-looking statements, which are not historical facts and pertain to future operating results. These forward-looking statements are within the meaning of the Private Securities Litigation Reform Act of 1995. These forward-looking statements include, but are not limited to, statements about our plans, objectives, expectations and intentions and other statements contained in this document that are not historical facts. When used in this presentation, the words "expects," "anticipates," "intends," "plans," "believes," "seeks," "estimates," or words of similar meaning, or future or conditional verbs, such as "will," "would," "should," "could," or "may" are generally intended to identify forward-looking statements. These forward-looking statements are inherently subject to significant business, economic and competitive uncertainties and contingencies, many of which are beyond our control. In addition, these forward-looking statements are subject to assumptions with respect to future business strategies and decisions that are subject to change. Actual results may differ materially from the results discussed in these forward-looking statements for the reasons, among others, discussed under the heading "Factors That May Affect Future Results" in Washington Mutual's 2006 Annual Report on Form 10-K and "Cautionary Statements" in our Form 10-Q for the quarter ended March 31, 2007 which include:

    --  Volatile interest rates and their impact on the mortgage
        banking business;

    --  Credit risk;

    --  Operational risk;

    --  Risks related to credit card operations;

    --  Changes in the regulation of financial services companies,
        housing government-sponsored enterprises and credit card
        lenders;

    --  Competition from banking and nonbanking companies;

    --  General business, economic and market conditions; and

    --  Reputational risk.

There are other factors not described in our 2006 Form 10-K and Form 10-Q for the quarter ended March 31, 2007 which are beyond the Company's ability to anticipate or control that could cause results to differ.

WM-1
                       Washington Mutual, Inc.
                    Selected Financial Information
             (dollars in millions, except per share data)
                             (unaudited)


                                    Quarter Ended
--------------------------------------------------------------------
                    June 30,  Mar. 31,  Dec. 31, Sept. 30,  June 30,
                       2007      2007      2006      2006      2006
--------------------------------------------------------------------
PROFITABILITY
  Net income       $    830  $    784  $  1,058  $    748  $    767
  Net interest
   income             2,034     2,081     1,998     1,947     2,060
  Noninterest
   income             1,758     1,541     1,592     1,570     1,578
  Noninterest
   expense            2,138     2,105     2,257     2,184     2,229
  Diluted earnings
   per common
   share:
    Income from
     continuing
     operations    $   0.92  $   0.86  $   0.66  $   0.76  $   0.78
    Income from
     discontinued
     operations           -         -      0.44      0.01      0.01
      Net income       0.92      0.86      1.10      0.77      0.79
  Diluted weighted
   average number
   of common
   shares
   outstanding
  (in thousands)    893,090   899,706   955,817   967,376   975,504
  Net interest
   margin              2.90%     2.79%     2.58%     2.53%     2.65%
  Dividends
   declared per
   common share    $   0.55  $   0.54  $   0.53  $   0.52  $   0.51
  Book value per
   common share
   (period end)(1)    27.27     27.30     28.21     27.65     27.31
  Return on
   average assets      1.05%     0.95%     1.20%     0.86%     0.88%
  Return on
   average common
   equity             13.74     12.99     16.03     11.47     11.82
  Efficiency
   ratio(2)(3)        56.38     58.13     62.87     62.09     61.27

ASSET QUALITY
  Nonperforming
   assets(4) to
   total assets        1.29%     1.02%     0.80%     0.69%     0.62%
  Allowance as a
   percentage of
   loans held in
   portfolio           0.73      0.71      0.72      0.64      0.68

CREDIT PERFORMANCE
  Provision for
   loan and lease
   losses          $    372  $    234  $    344  $    166  $    224
  Net charge-offs       271       183       136       154       116

CAPITAL ADEQUACY
  Capital Ratios
   for WMI:
    Tangible
     equity to
     total
     tangible
     assets(5)         6.07%     5.78%     6.04%     5.86%     5.84%
    Total risk-
     based capital
     to total
     risk-weighted
     assets(6)        10.98     11.17     11.77     11.10     11.26
    Tier 1 capital
     to average
     total
     assets(6)         6.09      5.87      6.35      6.28      6.24
  Capital Ratios
   for WMB (well-
   capitalized
   minimum)(7):
    Tier 1 capital
     to adjusted
     total assets
     (5.00%)           7.02      6.70      6.79      6.47      6.33
    Adjusted tier
     1 capital to
     total risk-
     weighted
     assets
     (6.00%)           8.06      7.88      8.28      8.12      8.13
    Total risk-
     based capital
     to total
     risk-weighted
     assets
     (10.00%)         12.05     11.94     12.16     11.30     11.39

SUPPLEMENTAL DATA
  Average balance
   sheet:
    Total loans
     held in
     portfolio     $216,004  $222,617  $239,265  $242,165  $242,334
    Total
     interest-
     earning
     assets(2)      279,836   295,700   314,784   312,827   313,239
    Total assets    316,004   331,905   353,056   349,542   348,664
    Total deposits  206,765   210,764   214,801   208,912   200,252
    Total
     stockholders'
     equity          24,436    24,407    26,700    26,147    25,958
  Period-end
   balance sheet:
    Total loans
     held in
     portfolio,
     net            213,434   215,481   223,330   240,215   241,840
    Total assets    312,219   319,985   346,288   348,877   350,884
    Total deposits  201,380   210,209   213,956   210,882   204,558
    Total
     stockholders'
     equity          24,210    24,578    26,969    26,458    26,131
    Common shares
     outstanding
     at the end of
     period (in
     thousands)(8)  875,722   888,111   944,479   945,098   962,880
    Employees at
     end of period   49,989    49,693    49,824    51,056    56,247
_________________


                                     Six Months Ended
-------------------------------------------------------
                                     June 30,  June 30,
                                        2007      2006
-------------------------------------------------------
PROFITABILITY
  Net income                        $  1,614  $  1,752
  Net interest
   income                              4,115     4,176
  Noninterest
   income                              3,299     3,216
  Noninterest
   expense                             4,244     4,367
  Diluted earnings
   per common
   share:
    Income from
     continuing
     operations                     $   1.78  $   1.75
    Income from
     discontinued
     operations                            -      0.02
      Net income                        1.78      1.77
  Diluted weighted
   average number
   of common
   shares
   outstanding
  (in thousands)                     896,304   989,408
  Net interest
   margin                               2.85%     2.70%
  Dividends
   declared per
   common share                     $   1.09  $   1.01
  Book value per
   common share
   (period end)(1)                     27.27     27.31
  Return on
   average assets                       1.00%     1.01%
  Return on
   average common
   equity                              13.36     13.28
  Efficiency
   ratio(2)(3)                         57.24     59.08

ASSET QUALITY
  Nonperforming
   assets(4) to
   total assets                         1.29%     0.62%
  Allowance as a
   percentage of
   loans held in
   portfolio                            0.73      0.68

CREDIT PERFORMANCE
  Provision for
   loan and lease
   losses                           $    606  $    306
  Net charge-offs                        454       221

CAPITAL ADEQUACY
  Capital Ratios
   for WMI:
    Tangible
     equity to
     total
     tangible
     assets(5)                          6.07%     5.84%
    Total risk-
     based capital
     to total
     risk-weighted
     assets(6)                         10.98     11.26
    Tier 1 capital
     to average
     total
     assets(6)                          6.09      6.24
  Capital Ratios
   for WMB (well-
   capitalized
   minimum)(7):
    Tier 1 capital
     to adjusted
     total assets
     (5.00%)                            7.02      6.33
    Adjusted tier
     1 capital to
     total risk-
     weighted
     assets
     (6.00%)                            8.06      8.13
    Total risk-
     based capital
     to total
     risk-weighted
     assets
     (10.00%)                          12.05     11.39

SUPPLEMENTAL DATA
  Average balance
   sheet:
    Total loans
     held in
     portfolio                      $219,292  $237,446
    Total
     interest-
     earning
     assets(2)                       287,724   310,523
    Total assets                     323,911   346,175
    Total deposits                   208,753   195,668
    Total
     stockholders'
     equity                           24,422    26,388
  Period-end
   balance sheet:
    Total loans
     held in
     portfolio,
     net                             213,434   241,840
    Total assets                     312,219   350,884
    Total deposits                   201,380   204,558
    Total
     stockholders'
     equity                           24,210    26,131
    Common shares
     outstanding
     at the end of
     period (in
     thousands)(8)                   875,722   962,880
    Employees at
     end of period                    49,989    56,247
_________________

(1) Excludes six million shares held in escrow.

(2) Based on continuing operations.

(3) The efficiency ratio is defined as noninterest expense divided by
     total revenue (net interest income and noninterest income).

(4) Excludes nonaccrual loans held for sale.

(5) Excludes unrealized net gain/loss on available-for-sale securities
     and derivatives, goodwill and intangible assets (except MSR) and
     the impact from the adoption and application of FASB Statement
     No. 158, Employers' Accounting for Defined Benefit Pension and
     Other Postretirement Plans, as of December 31, 2006. Minority
     interests of $2.94 billion for June 30, 2007, $2.45 billion for
     March 31, 2007 and December 31, 2006 and $1.96 billion for
     September 30, 2006 and June 30, 2006 are included in the
     numerator.

(6) The capital ratios are estimated as if Washington Mutual, Inc.
     were a bank holding company subject to Federal Reserve Board
     capital requirements.

(7) Capital ratios for Washington Mutual Bank ("WMB") at June 30, 2007
     are preliminary.

(8) Includes six million shares held in escrow.
WM-2
                       Washington Mutual, Inc.
                  Consolidated Statements of Income
             (dollars in millions, except per share data)
                             (unaudited)

                                       Quarter Ended
----------------------------------------------------------------------
                      June 30,  Mar. 31,  Dec. 31, Sept. 30,  June 30,
                         2007      2007      2006      2006      2006
----------------------------------------------------------------------
Interest Income
  Loans held for
   sale              $    421  $    562  $    515  $    435  $    395
  Loans held in
   portfolio            3,786     3,900     4,053     4,012     3,887
  Available-for-sale
   securities             351       332       392       379       368
  Trading assets          108       113       102       140       165
  Other interest and
   dividend income         82       101       148       139       120
-------------------- -------------------------------------------------
    Total interest
     income             4,748     5,008     5,210     5,105     4,935
Interest Expense
  Deposits              1,723     1,772     1,843     1,739     1,461
  Borrowings              991     1,155     1,369     1,419     1,414
-------------------- -------------------------------------------------
    Total interest
     expense            2,714     2,927     3,212     3,158     2,875
-------------------- -------------------------------------------------
     Net interest
      income            2,034     2,081     1,998     1,947     2,060
  Provision for loan
   and lease losses       372       234       344       166       224
-------------------- -------------------------------------------------
     Net interest
      income after
      provision for
      loan and lease
      losses            1,662     1,847     1,654     1,781     1,836
Noninterest Income
  Revenue from sales
   and servicing of
   home mortgage
   loans                  300       125       164       118       222
  Revenue from sales
   and servicing of
   consumer loans         403       443       372       355       424
  Depositor and
   other retail
   banking fees           720       665       692       655       641
  Credit card fees        183       172       182       165       152
  Securities fees
   and commissions         70        60        54        52        56
  Insurance income         29        29        30        31        33
  Net gain (loss) on
   trading assets        (145)     (108)      (81)       68      (129)
  Gain (loss) from
   sales of other
   available-for-
   sale securities          7        35        (1)       (1)        -
  Other income            191       120       180       127       179
-------------------- -------------------------------------------------
    Total
     noninterest
     income             1,758     1,541     1,592     1,570     1,578
Noninterest Expense
  Compensation and
   benefits               977     1,002       945       939     1,021
  Occupancy and
   equipment              354       376       476       408       435
  Telecommunications
   and outsourced
   information
   services               132       129       133       142       145
  Depositor and
   other retail
   banking losses          58        61        64        57        51
  Advertising and
   promotion              113        98       107       124       117
  Professional fees        55        38        89        57        45
  Other expense           449       401       443       457       415
-------------------- -------------------------------------------------
    Total
     noninterest
     expense            2,138     2,105     2,257     2,184     2,229
  Minority interest
   expense                 42        43        34        34        37
-------------------- -------------------------------------------------
      Income from
       continuing
       operations
       before income
       taxes            1,240     1,240       955     1,133     1,148
      Income taxes        410       456       315       394       389
-------------------- -------------------------------------------------
       Income from
        continuing
        operations        830       784       640       739       759
-------------------- -------------------------------------------------
Discontinued
 Operations(1)
      Income from
       discontinued
       operations
       before income
       taxes                -         -         2        14        12
      Gain on
       disposition
       of
       discontinued
       operations           -         -       667         -         -
      Income taxes          -         -       251         5         4
-------------------- -------------------------------------------------
       Income from
        discontinued
        operations          -         -       418         9         8
-------------------- -------------------------------------------------
Net Income           $    830  $    784  $  1,058  $    748  $    767
==================== =================================================
Net Income Available
 to Common
 Stockholders        $    822  $    777  $  1,050  $    748  $    767
==================== =================================================

Basic Earnings Per
 Common Share:
  Income from
   continuing
   operations        $   0.95  $   0.89  $   0.68  $   0.78  $   0.80
  Income from
   discontinued
   operations               -         -      0.45      0.01      0.01
                     --------- --------- --------- --------- ---------
   Net Income            0.95      0.89      1.13      0.79      0.81

Diluted Earnings Per
 Common Share:
  Income from
   continuing
   operations        $   0.92  $   0.86  $   0.66  $   0.76  $   0.78
  Income from
   discontinued
   operations               -         -      0.44      0.01      0.01
                     --------- --------- --------- --------- ---------
   Net Income            0.92      0.86      1.10      0.77      0.79

Dividends declared
 per common share        0.55      0.54      0.53      0.52      0.51
Basic weighted
 average number of
 common shares
 outstanding (in
 thousands)           868,968   874,816   931,484   941,898   947,023
Diluted weighted
 average number of
 common shares
 outstanding (in
 thousands)           893,090   899,706   955,817   967,376   975,504
_______________


(1) Represents WM Advisors, Inc., the Company's retail mutual fund
     management business, which was sold in the fourth quarter of
     2006.
WM-3
                       Washington Mutual, Inc.
                  Consolidated Statements of Income
             (dollars in millions, except per share data)
                             (unaudited)

                                                    Six Months Ended
----------------------------------------------------------------------
                                                    June 30,  June 30,
                                                       2007      2006
----------------------------------------------------------------------
Interest Income
  Loans held for sale                              $    984  $    856
  Loans held in portfolio                             7,686     7,468
  Available-for-sale securities                         682       690
  Trading assets                                        221       363
  Other interest and dividend income                    183       215
----------------------------------------------------------------------
    Total interest income                             9,756     9,592
Interest Expense
  Deposits                                            3,495     2,682
  Borrowings                                          2,146     2,734
----------------------------------------------------------------------
    Total interest expense                            5,641     5,416
----------------------------------------------------------------------
      Net interest income                             4,115     4,176
  Provision for loan and lease losses                   606       306
----------------------------------------------------------------------
      Net interest income after provision for loan
       and lease losses                               3,509     3,870
Noninterest Income
  Revenue from sales and servicing of home mortgage
   loans                                                425       486
  Revenue from sales and servicing of consumer
   loans                                                846       801
  Depositor and other retail banking fees             1,385     1,219
  Credit card fees                                      355       291
  Securities fees and commissions                       131       108
  Insurance income                                       58        66
  Net loss on trading assets                           (253)     (142)
  Gain (loss) from sales of other available-for-
   sale securities                                       41        (8)
  Other income                                          311       395
----------------------------------------------------------------------
    Total noninterest income                          3,299     3,216
Noninterest Expense
  Compensation and benefits                           1,979     2,054
  Occupancy and equipment                               731       826
  Telecommunications and outsourced information
   services                                             261       279
  Depositor and other retail banking losses             119       108
  Advertising and promotion                             211       211
  Professional fees                                      93        81
  Other expense                                         850       808
----------------------------------------------------------------------
    Total noninterest expense                         4,244     4,367
  Minority interest expense                              85        37
----------------------------------------------------------------------
        Income from continuing operations before
         income taxes                                 2,479     2,682
        Income taxes                                    865       947
----------------------------------------------------------------------
          Income from continuing operations           1,614     1,735
----------------------------------------------------------------------
Discontinued Operations(1)
        Income from discontinued operations before
         income taxes                                     -        27
        Income taxes                                      -        10
----------------------------------------------------------------------
          Income from discontinued operations             -        17
----------------------------------------------------------------------
Net Income                                         $  1,614  $  1,752
======================================================================
Net Income Available to Common Stockholders        $  1,599  $  1,752
======================================================================

Basic Earnings Per Common Share:
  Income from continuing operations                $   1.83  $   1.81
  Income from discontinued operations                     -      0.02
                                                   --------- ---------
    Net Income                                         1.83      1.83

Diluted Earnings Per Common Share:
  Income from continuing operations                $   1.78  $   1.75
  Income from discontinued operations                     -      0.02
                                                   --------- ---------
    Net Income                                         1.78      1.77

Dividends declared per common share                    1.09      1.01
Basic weighted average number of common shares
 outstanding (in thousands)                         871,876   960,245
Diluted weighted average number of common shares
 outstanding (in thousands)                         896,304   989,408
_________________

 (1) Represents WM Advisors, Inc., the Company's retail mutual fund
      management business, which was sold in the fourth quarter of
      2006.
WM-4
                       Washington Mutual, Inc.
            Consolidated Statements of Financial Condition
                        (dollars in millions)
                             (unaudited)

                      June 30,  Mar. 31,  Dec. 31, Sept. 30,  June 30,
                         2007      2007      2006      2006      2006
----------------------------------------------------------------------
Assets
  Cash and cash
   equivalents       $  4,167  $  4,047  $  6,948  $  6,649  $  6,675
  Federal funds sold
   and securities
   purchased under
   agreements to
   resell               3,267     8,279     3,743     5,102     4,112
  Trading assets        5,534     5,290     4,434     5,391     7,445
  Available-for-sale
   securities, total
   amortized cost of
   $28,934, $22,921,
   $25,073, $29,136
   and $28,504:
    Mortgage-backed
     securities        19,810    15,939    18,063    22,353    21,438
    Investment
     securities         8,530     6,900     6,915     6,664     6,358
----------------------------------------------------------------------
      Total
       available-
       for-sale
       securities      28,340    22,839    24,978    29,017    27,796
  Loans held for
   sale                19,327    26,874    44,970    23,720    23,342
  Loans held in
   portfolio          214,994   217,021   224,960   241,765   243,503
  Allowance for loan
   and lease losses    (1,560)   (1,540)   (1,630)   (1,550)   (1,663)
----------------------------------------------------------------------
      Loans held in
       portfolio,
       net            213,434   215,481   223,330   240,215   241,840
  Investment in
   Federal Home Loan
   Banks                1,596     2,230     2,705     3,013     3,500
  Mortgage servicing
   rights               7,231     6,507     6,193     6,288     9,162
  Goodwill              9,056     9,052     9,050     8,368     8,339
  Other assets         20,267    19,386    19,937    21,114    18,673
----------------------------------------------------------------------
      Total assets   $312,219  $319,985  $346,288  $348,877  $350,884
======================================================================
Liabilities
  Deposits:
    Noninterest-
     bearing
     deposits        $ 33,557  $ 34,367  $ 33,386  $ 34,667  $ 35,457
    Interest-bearing
     deposits         167,823   175,842   180,570   176,215   169,101
----------------------------------------------------------------------
      Total deposits  201,380   210,209   213,956   210,882   204,558
  Federal funds
   purchased and
   commercial paper     3,390       563     4,778     5,282     6,138
  Securities sold
   under agreements
   to repurchase        9,357     8,323    11,953    13,665    19,866
  Advances from
   Federal Home Loan
   Banks               21,412    24,735    44,297    47,247    55,311
  Other borrowings     40,313    39,430    32,852    33,883    27,995
  Other liabilities     9,212     9,694     9,035     9,501     8,926
  Minority interests    2,945     2,453     2,448     1,959     1,959
----------------------------------------------------------------------
      Total
       liabilities    288,009   295,407   319,319   322,419   324,753
Stockholders' equity
  Preferred stock         492       492       492       492         -
  Capital surplus -
   common stock         2,715     3,121     5,825     5,761     6,596
  Accumulated other
   comprehensive
   loss                  (568)     (268)     (287)     (180)     (599)
  Retained earnings    21,571    21,233    20,939    20,385    20,134
----------------------------------------------------------------------
      Total
       stockholders'
       equity          24,210    24,578    26,969    26,458    26,131
----------------------------------------------------------------------
      Total
       liabilities
       and
       stockholders'
       equity        $312,219  $319,985  $346,288  $348,877  $350,884
======================================================================
WM-5
                       Washington Mutual, Inc.
                    Selected Financial Information
                        (dollars in millions)
                             (unaudited)

                                       Quarter Ended
----------------------------------------------------------------------
                     June 30, Mar. 31,   Dec. 31,   Sept. 30, June 30,
                        2007     2007       2006        2006     2006
----------------------------------------------------------------------
Stockholders' Equity
 Rollforward
Balance, beginning
 of period           $24,578  $26,969    $26,458     $26,131  $25,819
Net income               830      784      1,058         748      767
Cumulative effect
 from the adoption
 of new accounting
 pronouncements            -       (6)(1)   (157)(2)       -        -
Other comprehensive
 income (loss), net
 of income taxes        (300)      19         50         419     (151)
Cash dividends
 declared on common
 stock                  (484)    (476)      (496)       (497)    (486)
Cash dividends
 declared on
 preferred stock          (8)      (7)        (8)          -        -
Common stock
 repurchased and
 retired(3)             (500)  (2,797)         -        (930)       -
Common stock issued       94       92         64          95      182
Preferred stock
 issued                    -        -          -         492        -
----------------------------------------------------------------------
Balance, end of
 period              $24,210  $24,578    $26,969     $26,458  $26,131
======================================================================

(1) As of January 1, 2007, the Company adopted FASB Interpretation No.
     48, Accounting for Uncertainty in Income Taxes.

(2) On December 31, 2006, the Company adopted Statement of Financial
     Accounting Standards ("Statement") No. 158, Employers' Accounting
     for Defined Benefit Pension and Other Postretirement Plans.
     Statement No. 158 requires an entity to recognize the overfunded
     or underfunded status of its defined benefit postretirement plans
     as an asset or liability in its statement of financial condition
     and to recognize changes, through comprehensive income, in that
     funded status in the year in which the changes occur. The
     cumulative effects, net of income taxes, resulted in a $274
     million decrease to December 31, 2006 other assets and a $117
     million decrease to December 31, 2006 other liabilities.

(3) The Company repurchased 13.5 million, 61.4 million, 1.7 million,
     18.8 million and zero shares of its common stock in the three
     months ended June 30, 2007, March 31, 2007, December 31, 2006,
     September 30, 2006 and June 30, 2006. At June 30, 2007, the total
     remaining common stock repurchase authority was 54.7 million
     shares.
WM-6
                       Washington Mutual, Inc.
                    Selected Financial Information
                        (dollars in millions)
                             (unaudited)


                                      Quarter Ended
---------------------------------------------------------------------
                     June 30,  Mar. 31,  Dec. 31, Sept. 30,  June 30,
                        2007      2007      2006      2006      2006
---------------------------------------------------------------------
RETAIL BANKING
 GROUP
  Condensed income
   statement:
    Net interest
     income         $  1,283  $  1,275  $  1,239  $  1,260  $  1,323
    Provision for
     loan and lease
     losses               91        62        47        53        13
    Noninterest
     income              819       751       774       738       732
    Inter-segment
     revenue              21        22        17        17        16
    Noninterest
     expense           1,139     1,075     1,102     1,079     1,109
---------------------------------------------------------------------
    Income from
     continuing
     operations
     before income
     taxes               893       911       881       883       949
    Income taxes         335       342       336       337       363
---------------------------------------------------------------------
      Income from
       continuing
       operations        558       569       545       546       586
      Income from
       discontinued
       operations          -         -        12         9         8
---------------------------------------------------------------------
        Net income  $    558  $    569  $    557  $    555  $    594
=====================================================================
  Performance and
   other data:
    Efficiency
     ratio             53.65%    52.50%    54.29%    53.55%    53.53%
    Average loans   $149,716  $155,206  $172,029  $180,829  $182,891
    Average assets   159,518   165,047   182,256   191,288   193,246
    Average
     deposits:
      Checking
       deposits:
      Noninterest
       bearing        23,107    22,331    21,873    21,440    21,418
      Interest
       bearing        30,282    31,739    33,010    34,792    37,518
---------------------------------------------------------------------
      Total
       checking
       deposits       53,389    54,070    54,883    56,232    58,936
      Savings and
       money market
       deposits       43,814    43,103    41,442    38,317    38,143
      Time deposits   48,049    46,857    47,188    45,405    41,724
---------------------------------------------------------------------
        Average
         deposits    145,252   144,030   143,513   139,954   138,803
    Loan volume       10,069     8,492     7,966     9,006    10,105
    Employees at
     end of period    28,178    27,883    27,671    28,042    31,432
CARD SERVICES GROUP
 Managed basis(1)
  Condensed income
   statement:
    Net interest
     income         $    660  $    653  $    664  $    633  $    615
    Provision for
     loan and lease
     losses              523       388       555       345       417
    Noninterest
     income              393       474       451       343       389
    Inter-segment
     expense               5         4         2         2         1
    Noninterest
     expense             300       325       316       294       293
---------------------------------------------------------------------
    Income before
     income taxes        225       410       242       335       293
    Income taxes          84       154        93       128       112
---------------------------------------------------------------------
        Net income  $    141  $    256  $    149  $    207  $    181
=====================================================================
  Performance and
   other data:
    Efficiency
     ratio             28.68%    28.96%    28.41%    30.16%    29.19%
    Average loans   $ 24,234  $ 23,604  $ 22,875  $ 21,706  $ 20,474
    Average assets    26,762    26,039    25,472    24,236    23,044
    Employees at
     end of period     2,889     2,646     2,676     2,731     2,597

 Securitization
  adjustments
  Condensed income
   statement:
    Net interest
     income         $   (459) $   (414) $   (437) $   (411) $   (405)
    Provision for
     loan and lease
     losses             (294)     (282)     (280)     (220)     (217)
    Noninterest
     income              165       132       157       191       188
  Performance and
   other data:
    Average loans    (13,888)  (12,507)  (12,811)  (12,169)  (11,565)
    Average assets   (12,287)  (10,961)  (11,035)  (10,330)   (9,753)
 Adjusted basis
  Condensed income
   statement:
    Net interest
     income         $    201  $    239  $    227  $    222  $    210
    Provision for
     loan and lease
     losses              229       106       275       125       200
    Noninterest
     income              558       606       608       534       577
    Inter-segment
     expense               5         4         2         2         1
    Noninterest
     expense             300       325       316       294       293
---------------------------------------------------------------------
    Income before
     income taxes        225       410       242       335       293
    Income taxes          84       154        93       128       112
---------------------------------------------------------------------
        Net income  $    141  $    256  $    149  $    207  $    181
=====================================================================
  Performance and
   other data:
    Average loans   $ 10,346  $ 11,097  $ 10,064  $  9,537  $  8,909
    Average assets    14,475    15,078    14,437    13,906    13,291



                                      Six Months Ended
--------------------------------------------------------
                                      June 30,  June 30,
                                         2007      2006
--------------------------------------------------------
RETAIL BANKING
 GROUP
  Condensed income
   statement:
    Net interest
     income                          $  2,558  $  2,670
    Provision for
     loan and lease
     losses                               153        67
    Noninterest
     income                             1,571     1,401
    Inter-segment
     revenue                               43        30
    Noninterest
     expense                            2,215     2,197
--------------------------------------------------------
    Income from
     continuing
     operations
     before income
     taxes                              1,804     1,837
    Income taxes                          677       702
--------------------------------------------------------
      Income from
       continuing
       operations                       1,127     1,135
      Income from
       discontinued
       operations                           -        17
--------------------------------------------------------
        Net income                   $  1,127  $  1,152
========================================================
  Performance and
   other data:
    Efficiency
     ratio                              53.09%    53.57%
    Average loans                    $152,445  $178,396
    Average assets                    162,267   188,721
    Average
     deposits:
      Checking
       deposits:
      Noninterest
       bearing                         22,722    20,884
      Interest
       bearing                         31,006    38,922
--------------------------------------------------------
      Total
       checking
       deposits                        53,728    59,806
      Savings and
       money market
       deposits                        43,460    37,790
      Time deposits                    47,456    41,334
--------------------------------------------------------
        Average
         deposits                     144,644   138,930
    Loan volume                        18,561    17,360
    Employees at
     end of period                     28,178    31,432
CARD SERVICES GROUP
 Managed basis(1)
  Condensed income
   statement:
    Net interest
     income                          $  1,314  $  1,232
    Provision for
     loan and lease
     losses                               912       747
    Noninterest
     income                               867       734
    Inter-segment
     expense                                9         2
    Noninterest
     expense                              626       590
--------------------------------------------------------
    Income before
     income taxes                         634       627
    Income taxes                          238       240
--------------------------------------------------------
        Net income                   $    396  $    387
========================================================
  Performance and
   other data:
    Efficiency
     ratio                              28.82%    30.05%
    Average loans                    $ 23,921  $ 20,281
    Average assets                     26,403    22,905
    Employees at
     end of period                      2,889     2,597

 Securitization
  adjustments
  Condensed income
   statement:
    Net interest
     income                          $   (874) $   (837)
    Provision for
     loan and lease
     losses                              (577)     (442)
    Noninterest
     income                               297       395
  Performance and
   other data:
    Average loans                     (13,201)  (11,835)
    Average assets                    (11,627)   (9,985)
 Adjusted basis
  Condensed income
   statement:
    Net interest
     income                          $    440  $    395
    Provision for
     loan and lease
     losses                               335       305
    Noninterest
     income                             1,164     1,129
    Inter-segment
     expense                                9         2
    Noninterest
     expense                              626       590
--------------------------------------------------------
    Income before
     income taxes                         634       627
    Income taxes                          238       240
--------------------------------------------------------
        Net income                   $    396  $    387
========================================================
  Performance and
   other data:
    Average loans                    $ 10,720  $  8,446
    Average assets                     14,776    12,920


(This table is continued on "WM-7.")
__________________________
(1) The managed basis presentation treats securitized and sold credit
     card receivables as if they were still on the balance sheet. The
     Company uses this basis in assessing the overall performance of
     this operating segment. The managed basis presentation of the
     Card Services Group is derived by adjusting the GAAP financial
     information to add back securitized loan balances and the related
     interest, fee income and provision for credit losses. Such
     adjustments are eliminated as securitization adjustments when
     reporting GAAP results.
WM-7
                       Washington Mutual, Inc.
                    Selected Financial Information
                        (dollars in millions)
                             (unaudited)


                                     Quarter Ended
--------------------------------------------------------------------
(This table is
 continued from
 "WM-6.")              June 30, Mar. 31, Dec. 31, Sept. 30, June 30,
                          2007     2007     2006      2006     2006
--------------------------------------------------------------------
COMMERCIAL GROUP
  Condensed income
   statement:
    Net interest
     income            $   195  $   200  $   189   $   159  $   166
    Provision for
     loan and lease
     losses                  2      (10)     (69)       (2)     (10)
    Noninterest
     income                 62       14       40        25       17
    Noninterest
     expense                74       74       72        60       57
--------------------------------------------------------------------
    Income before
     income taxes          181      150      226       126      136
    Income taxes            68       56       86        48       52
--------------------------------------------------------------------
      Net income       $   113  $    94  $   140   $    78  $    84
====================================================================
  Performance and
   other data:
    Efficiency
     ratio               28.77%   34.52%   31.49%    32.21%   31.28%
    Average loans      $38,789  $38,641  $37,552   $32,414  $31,505
    Average assets      41,181   41,001   40,216    34,560   33,709
    Average
     deposits            6,160    3,762    3,609     2,323    2,242
    Loan volume          4,348    3,671    4,019     3,104    2,961
    Employees at
     end of period       1,404    1,351    1,409     1,242    1,252
HOME LOANS GROUP
  Condensed income
   statement:
    Net interest
     income            $   215  $   245  $   273   $   276  $   290
    Provision for
     loan and lease
     losses                101       49       47        84       38
    Noninterest
     income                391      162      126       314      461
    Inter-segment
     expense                16       18       15        15       15
    Noninterest
     expense               548      521      534       528      617
--------------------------------------------------------------------
    Income (loss)
     before income
     taxes                 (59)    (181)    (197)      (37)      81
    Income taxes
     (benefit)             (22)     (68)     (75)      (14)      31
--------------------------------------------------------------------
      Net income
       (loss)          $   (37) $  (113) $  (122)  $   (23) $    50
====================================================================
  Performance and
   other data:
    Efficiency
     ratio               92.82%  133.90%  138.93%    92.00%   83.80%
    Average loans      $43,312  $53,254  $51,048   $45,407  $43,988
    Average assets      60,330   71,381   71,512    70,565   70,958
    Average
     deposits           17,506   16,767   19,788    20,659   20,124
    Loan volume         31,541   30,609   34,897    37,200   41,747
    Employees at
     end of period      12,735   13,025   13,025    13,936   15,560
CORPORATE
 SUPPORT/TREASURY
 AND OTHER
  Condensed income
   statement:
    Net interest
     income
     (expense)         $     2  $   (15) $   (64)  $  (107) $   (60)
    Provision for
     loan and lease
     losses                (51)      27       44       (94)     (17)
    Noninterest
     income
     (expense)              42       81      142        75      (88)
    Noninterest
     expense                77      110      233       223      153
    Minority
     interest
     expense                42       43       34        34       37
--------------------------------------------------------------------
    Loss from
     continuing
     operations
     before income
     taxes                 (24)    (114)    (233)     (195)    (321)
    Income taxes
     (benefit)             (38)     (71)    (103)      (90)    (129)
--------------------------------------------------------------------
      Income (loss)
       from
       continuing
       operations           14      (43)    (130)     (105)    (192)
      Income from
       discontinued
       operations            -        -      406         -        -
--------------------------------------------------------------------
        Net income
         (loss)        $    14  $   (43) $   276   $  (105) $  (192)
====================================================================
  Performance and
   other data:
    Average loans      $ 1,367  $ 1,345  $ 1,294   $ 1,245  $ 1,178
    Average assets      41,801   40,877   46,208    40,823   39,061
    Average
     deposits           37,847   46,205   47,891    45,976   39,083
    Loan volume             72      107      144        58       82
    Employees at
     end of period       4,783    4,788    5,043     5,105    5,406



                                     Six Months Ended
------------------------------------------------------
(This table is
 continued from
 "WM-6.")                            June 30, June 30,
                                        2007     2006
------------------------------------------------------
COMMERCIAL GROUP
  Condensed income
   statement:
    Net interest
     income                          $   395  $   329
    Provision for
     loan and lease
     losses                               (7)     (10)
    Noninterest
     income                               76       29
    Noninterest
     expense                             148      125
------------------------------------------------------
    Income before
     income taxes                        330      243
    Income taxes                         124       93
------------------------------------------------------
      Net income                     $   206  $   150
======================================================
  Performance and
   other data:
    Efficiency
     ratio                             31.38%   34.80%
    Average loans                    $38,715  $31,260
    Average assets                    41,092   33,522
    Average
     deposits                          4,968    2,250
    Loan volume                        8,018    5,731
    Employees at
     end of period                     1,404    1,252
HOME LOANS GROUP
  Condensed income
   statement:
    Net interest
     income                          $   460  $   628
    Provision for
     loan and lease
     losses                              150       57
    Noninterest
     income                              553      862
    Inter-segment
     expense                              34       28
    Noninterest
     expense                           1,069    1,239
------------------------------------------------------
    Income (loss)
     before income
     taxes                              (240)     166
    Income taxes
     (benefit)                           (90)      63
------------------------------------------------------
      Net income
       (loss)                        $  (150) $   103
======================================================
  Performance and
   other data:
    Efficiency
     ratio                            109.14%   84.70%
    Average loans                    $48,255  $46,934
    Average assets                    65,824   74,541
    Average
     deposits                         17,139   18,339
    Loan volume                       62,150   86,745
    Employees at
     end of period                    12,735   15,560
CORPORATE
 SUPPORT/TREASURY
 AND OTHER
  Condensed income
   statement:
    Net interest
     income
     (expense)                       $   (13) $  (104)
    Provision for
     loan and lease
     losses                              (25)    (113)
    Noninterest
     income
     (expense)                           123       63
    Noninterest
     expense                             186      216
    Minority
     interest
     expense                              85       37
------------------------------------------------------
    Loss from
     continuing
     operations
     before income
     taxes                              (136)    (181)
    Income taxes
     (benefit)                          (109)     (96)
------------------------------------------------------
      Income (loss)
       from
       continuing
       operations                        (27)     (85)
      Income from
       discontinued
       operations                          -        -
------------------------------------------------------
        Net income
         (loss)                      $   (27) $   (85)
======================================================
  Performance and
   other data:
    Average loans                    $ 1,356  $ 1,160
    Average assets                    41,341   38,057
    Average
     deposits                         42,002   36,149
    Loan volume                          179      105
    Employees at
     end of period                     4,783    5,406


(This table is continued on "WM-8.")
WM-8
                       Washington Mutual, Inc.
                    Selected Financial Information
                        (dollars in millions)
                             (unaudited)


                                     Quarter Ended
--------------------------------------------------------------------
(This table is
 continued from
 "WM-7.")           June 30,  Mar. 31,  Dec. 31, Sept. 30,  June 30,
                       2007      2007      2006      2006      2006
----------------------------------------------------------------------
RECONCILING
 ADJUSTMENTS
  Condensed income
   statement:
    Net interest
     income(1)     $    138  $    137  $    134  $    137  $    131
    Noninterest
     income
     (expense)(2)      (114)      (73)      (98)     (116)     (121)
----------------------------------------------------------------------
    Income (loss)
     before income
     taxes               24        64        36        21        10
    Income taxes
     (benefit)(3)       (17)       43       (22)      (15)      (40)
----------------------------------------------------------------------
       Net income  $     41  $     21  $     58  $     36  $     50
======================================================================
  Performance and
   other data:
    Average
     loans(4)      $ (1,301) $ (1,479) $ (1,573) $ (1,600) $ (1,601)
    Average
     assets(4)       (1,301)   (1,479)   (1,573)   (1,600)   (1,601)

TOTAL CONSOLIDATED
  Condensed income
   statement:
    Net interest
     income        $  2,034  $  2,081  $  1,998  $  1,947  $  2,060
    Provision for
     loan and
     lease losses       372       234       344       166       224
    Noninterest
     income           1,758     1,541     1,592     1,570     1,578
    Noninterest
     expense          2,138     2,105     2,257     2,184     2,229
    Minority
     interest
     expense             42        43        34        34        37
----------------------------------------------------------------------
    Income from
     continuing
     operations
     before income
     taxes            1,240     1,240       955     1,133     1,148
    Income taxes        410       456       315       394       389
----------------------------------------------------------------------
     Income from
      continuing
      operations        830       784       640       739       759
     Income from
      discontinued
      operations          -         -       418         9         8
----------------------------------------------------------------------
       Net income  $    830  $    784  $  1,058  $    748  $    767
======================================================================
  Performance and
   other data:
    Efficiency
     ratio            56.38%    58.13%    62.87%    62.09%    61.27%
    Average loans  $242,229  $258,064  $270,414  $267,832  $266,870
    Average assets  316,004   331,905   353,056   349,542   348,664
    Average
     deposits       206,765   210,764   214,801   208,912   200,252
    Loan volume      46,030    42,879    47,026    49,368    54,895
    Employees at
     end of period   49,989    49,693    49,824    51,056    56,247


                                  Six Months Ended
----------------------------------------------------
(This table is
 continued from
 "WM-7.")                         June 30,  June 30,
                                     2007      2006
----------------------------------------------------
RECONCILING
 ADJUSTMENTS
  Condensed income
   statement:
    Net interest
     income(1)                   $    275  $    258
    Noninterest
     income
     (expense)(2)                    (188)     (268)
----------------------------------------------------
    Income (loss)
     before income
     taxes                             87       (10)
    Income taxes
     (benefit)(3)                      25       (55)
----------------------------------------------------
       Net income                $     62  $     45
====================================================
  Performance and
   other data:
    Average
     loans(4)                    $ (1,389) $ (1,586)
    Average
     assets(4)                     (1,389)   (1,586)

TOTAL CONSOLIDATED
  Condensed income
   statement:
    Net interest
     income                      $  4,115  $  4,176
    Provision for
     loan and
     lease losses                     606       306
    Noninterest
     income                         3,299     3,216
    Noninterest
     expense                        4,244     4,367
    Minority
     interest
     expense                           85        37
----------------------------------------------------
    Income from
     continuing
     operations
     before income
     taxes                          2,479     2,682
    Income taxes                      865       947
----------------------------------------------------
     Income from
      continuing
      operations                    1,614     1,735
     Income from
      discontinued
      operations                        -        17
----------------------------------------------------
       Net income                $  1,614  $  1,752
====================================================
  Performance and
   other data:
    Efficiency
     ratio                          57.24%    59.08%
    Average loans                $250,102  $264,610
    Average assets                323,911   346,175
    Average
     deposits                     208,753   195,668
    Loan volume                    88,908   109,941
    Employees at
     end of period                 49,989    56,247

__________________________
(1) Represents the difference between mortgage loan premium
     amortization recorded by the Retail Banking Group and the amount
     recognized in the Company's Consolidated Statements of Income.
     For management reporting purposes, certain mortgage loans that
     are held in portfolio by the Retail Banking Group are treated as
     if they are purchased from the Home Loans Group. Since the cost
     basis of these loans includes an assumed profit factor paid to
     the Home Loans Group, the amortization of loan premiums recorded
     by the Retail Banking Group reflects this assumed profit factor
     and must therefore be eliminated as a reconciling adjustment.

(2) Represents the difference between gain from mortgage loans
     recorded by the Home Loans Group and gain from mortgage loans
     recognized in the Company's Consolidated Statements of Income. A
     substantial amount of loans originated or purchased by this
     segment are considered to be salable for management reporting
     purposes.

(3) Represents the tax effect of reconciling adjustments.

(4) Represents the inter-segment offset for inter-segment loan
     premiums that the Retail Banking Group recognized upon transfer
     of portfolio loans from the Home Loans Group.
WM-9
                       Washington Mutual, Inc.
                    Selected Financial Information
                        (dollars in millions)
                             (unaudited)


                                            Quarter Ended
---------------------------------------------------------------------
                                            June 30, 2007
                                 -------------------------------------
                                                             Interest
                                                             Income/
                                              Balance  Rate  Expense
----------------------------------------------------- ------ ---------
Average Balances and Weighted
 Average Interest Rates
Assets
Interest-earning assets(1):
  Federal funds sold and
   securities purchased under
   agreements to resell                      $  3,964  5.39%   $   53
  Trading assets                                4,995  8.67       108
  Available-for-sale
   securities(2):
    Mortgage-backed securities                 18,576  5.36       249
    Investment securities                       7,983  5.10       102
  Loans held for sale                          26,225  6.43       421
  Loans held in portfolio:
    Loans secured by real
     estate:
      Home loans(3)(4)                         90,818  6.44     1,462
      Home equity loans and
       lines of credit(4)                      54,431  7.59     1,031
      Subprime mortgage
       channel(5)                              20,152  6.80       343
      Home construction(6)                      2,043  6.72        34
      Multi-family                             29,419  6.63       488
      Other real estate                         6,843  7.03       120
-----------------------------------------------------        ---------
       Total loans secured by
        real estate                           203,706  6.83     3,478
     Consumer:
       Credit card                             10,101 10.44       263
       Other                                      254 12.44         8
     Commercial                                 1,943  7.73        37
-----------------------------------------------------        ---------
       Total loans held in
        portfolio                             216,004  7.02     3,786
  Other                                         2,089  5.47        29
-----------------------------------------------------        ---------
       Total interest-earning
        assets                                279,836  6.79     4,748
Noninterest-earning assets:
  Mortgage servicing rights                     6,782
  Goodwill                                      9,054
  Other assets                                 20,332
-----------------------------------------------------
       Total assets                          $316,004
=====================================================
Liabilities
Interest-bearing liabilities:
  Deposits:
    Interest-bearing checking
     deposits                                $ 30,373  2.51       190
    Savings and money market
     deposits                                  58,969  3.33       490
    Time deposits                              84,330  4.96     1,043
-----------------------------------------------------        ---------
       Total interest-bearing
        deposits                              173,672  3.98     1,723
  Federal funds purchased and
   commercial paper                             2,169  5.36        29
  Securities sold under
   agreements to repurchase                     8,416  5.35       112
  Advances from Federal Home
   Loan Banks                                  22,063  5.36       295
  Other                                        39,886  5.57       555
-----------------------------------------------------        ---------
       Total interest-bearing
        liabilities                           246,206  4.42     2,714
                                                             ---------
Noninterest-bearing sources:
  Noninterest-bearing deposits                 33,093
  Other liabilities                             9,610
  Minority interests                            2,659
  Stockholders' equity                         24,436
-----------------------------------------------------
       Total liabilities and
        stockholders' equity                 $316,004
=====================================================
  Net interest spread and net
   interest income                                     2.37    $2,034
                                                             =========
  Impact of noninterest-bearing
   sources                                             0.53

  Net interest margin                                  2.90


                                             Quarter Ended
----------------------------------------------------------------------
                                                  Mar. 31, 2007
                                 -------------------------------------
                                                             Interest
                                                             Income/
                                             Balance   Rate  Expense
----------------------------------------------------- ------ ---------
Average Balances and Weighted
 Average Interest Rates
Assets
Interest-earning assets(1):
  Federal funds sold and
   securities purchased under
   agreements to resell                      $  3,930  5.39%   $   52
  Trading assets                                5,594  8.10       113
  Available-for-sale
   securities(2):
    Mortgage-backed securities                 17,887  5.47       245
    Investment securities                       6,753  5.17        87
  Loans held for sale                          35,447  6.37       562
  Loans held in portfolio:
    Loans secured by real
     estate:
      Home loans(3)(4)                         97,365  6.45     1,570
      Home equity loans and
       lines of credit(4)                      53,014  7.56       989
      Subprime mortgage
       channel(5)                              20,612  6.67       344
      Home construction(6)                      2,061  6.55        34
      Multi-family                             29,826  6.57       490
      Other real estate                         6,763  7.03       117
-----------------------------------------------------        ---------
       Total loans secured by
        real estate                           209,641  6.79     3,544
     Consumer:
       Credit card                             10,904 11.57       311
       Other                                      267 12.96         9
     Commercial                                 1,805  7.95        36
-----------------------------------------------------        ---------
       Total loans held in
        portfolio                             222,617  7.04     3,900
  Other                                         3,472  5.77        49
-----------------------------------------------------        ---------
       Total interest-earning
        assets                                295,700  6.81     5,008
Noninterest-earning assets:
  Mortgage servicing rights                     6,304
  Goodwill                                      9,054
  Other assets                                 20,847
-----------------------------------------------------
       Total assets                          $331,905
=====================================================
Liabilities
Interest-bearing liabilities:
  Deposits:
    Interest-bearing checking
     deposits                                $ 31,821  2.63       206
    Savings and money market
     deposits                                  54,862  3.27       443
    Time deposits                              91,631  4.97     1,123
-----------------------------------------------------        ---------
       Total interest-bearing
        deposits                              178,314  4.03     1,772
  Federal funds purchased and
   commercial paper                             3,846  5.48        52
  Securities sold under
   agreements to repurchase                    12,098  5.48       164
  Advances from Federal Home
   Loan Banks                                  36,051  5.38       478
  Other                                        32,808  5.67       461
-----------------------------------------------------        ---------
       Total interest-bearing
        liabilities                           263,117  4.51     2,927
                                                             ---------
Noninterest-bearing sources:
  Noninterest-bearing deposits                 32,450
  Other liabilities                             9,482
  Minority interests                            2,449
  Stockholders' equity                         24,407
-----------------------------------------------------
       Total liabilities and
        stockholders' equity                 $331,905
=====================================================
  Net interest spread and net
   interest income                                     2.30    $2,081
                                                             =========
  Impact of noninterest-bearing
   sources                                             0.49

  Net interest margin                                  2.79


                                             Quarter Ended
----------------------------------------------------------------------
                                                   June 30, 2006
                                 -------------------------------------
                                                              Interest
                                                              Income/
                                              Balance   Rate  Expense
------------------------------------------------------ ------ --------
Average Balances and Weighted
 Average Interest Rates
Assets
Interest-earning assets(1):
  Federal funds sold and
   securities purchased under
   agreements to resell                       $  4,413  4.99%   $   56
  Trading assets                                 8,595  7.69       165
  Available-for-sale
   securities(2):
    Mortgage-backed securities                  21,840  5.34       292
    Investment securities                        6,215  4.91        76
  Loans held for sale                           24,536  6.42       395
  Loans held in portfolio:
    Loans secured by real
     estate:
      Home loans(3)(4)                         125,559  5.77     1,809
      Home equity loans and
       lines of credit(4)                       52,225  7.28       949
      Subprime mortgage
       channel(5)                               19,640  6.21       305
      Home construction(6)                       2,068  6.47        33
      Multi-family                              26,291  6.23       410
      Other real estate                          5,585  6.97        98
------------------------------------------------------        --------
       Total loans secured by
        real estate                            231,368  6.23     3,604
     Consumer:
       Credit card                               8,448 11.28       238
       Other                                       594  9.74        14
     Commercial                                  1,924  6.61        31
------------------------------------------------------        --------
       Total loans held in
        portfolio                              242,334  6.42     3,887
  Other                                          5,306  4.80        64
------------------------------------------------------        --------
       Total interest-earning
        assets                                 313,239  6.30     4,935
Noninterest-earning assets:
  Mortgage servicing rights                      9,003
  Goodwill                                       8,302
  Other assets                                  18,120
------------------------------------------------------
       Total assets                           $348,664
======================================================
Liabilities
Interest-bearing liabilities:
  Deposits:
    Interest-bearing checking
     deposits                                 $ 37,603  2.61       245
    Savings and money market
     deposits                                   48,095  2.82       339
    Time deposits                               79,541  4.39       877
------------------------------------------------------        --------
       Total interest-bearing
        deposits                               165,239  3.53     1,461
  Federal funds purchased and
   commercial paper                              7,767  4.97        97
  Securities sold under
   agreements to repurchase                     17,923  4.97       225
  Advances from Federal Home
   Loan Banks                                   60,862  4.85       745
  Other                                         26,239  5.27       347
------------------------------------------------------        --------
       Total interest-bearing
        liabilities                            278,030  4.12     2,875
                                                              --------
Noninterest-bearing sources:
  Noninterest-bearing deposits                  35,013
  Other liabilities                              7,698
  Minority interests                             1,965
  Stockholders' equity                          25,958
------------------------------------------------------
       Total liabilities and
        stockholders' equity                  $348,664
======================================================
  Net interest spread and net
   interest income                                      2.18    $2,060
                                                              ========
  Impact of noninterest-bearing
   sources                                              0.47

  Net interest margin                                   2.65

_______________________________
(1) Nonaccrual assets and related income, if any, are included in
     their respective categories.

(2) The average balance and yield are based on average amortized cost
     balances.

(3) Capitalized interest recognized in earnings that resulted from
     negative amortization within the Option ARM portfolio totaled
     $344 million, $361 million and $245 million for the three months
     ended June 30, 2007, March 31, 2007 and June 30, 2006.

(4) Excludes home loans and home equity loans and lines of credit in
     the subprime mortgage channel.

(5) Represents mortgage loans purchased from recognized subprime
     lenders and mortgage loans originated under the Long Beach
     Mortgage name and held in the investment portfolio.

(6) Represents loans to builders for the purpose of financing the
     acquisition, development and construction of single-family
     residences for sale and construction loans made directly to the
     intended occupant of a single-family residence.
WM-10
                       Washington Mutual, Inc.
                    Selected Financial Information
                        (dollars in millions)
                             (unaudited)


                                     Six Months Ended
----------------------------------------------------------------------
                          June 30, 2007            June 30, 2006
                     ------------------------ ------------------------
                                     Interest                 Interest
                                     Income/                  Income/
                     Balance   Rate  Expense  Balance   Rate  Expense
----------------------------------------------------------------------
Average Balances and
 Weighted Average
 Interest Rates
Assets
Interest-earning
 assets(1):
  Federal funds sold
   and securities
   purchased under
   agreements to
   resell            $  3,947  5.39% $    105 $  4,086  4.82% $     99
  Trading assets        5,293  8.37       221   10,135  7.18       363
  Available-for-sale
   securities(2):
    Mortgage-backed
     securities        18,234  5.42       494   20,997  5.31       558
    Investment
     securities         7,372  5.13       188    5,534  4.78       132
  Loans held for
   sale                30,810  6.40       984   27,164  6.30       856
  Loans held in
   portfolio:
    Loans secured by
     real estate:
     Home
      loans(3)(4)      94,074  6.45     3,033  121,661  5.68     3,452
     Home equity
      loans and
      lines of
      credit(4)        53,726  7.57     2,020   51,776  7.12     1,831
     Subprime
      mortgage
      channel(5)       20,381  6.74       686   19,803  6.08       602
     Home
      construction
      (6)               2,052  6.63        68    2,063  6.41        66
     Multi-family      29,621  6.60       977   26,026  6.08       791
     Other real
      estate            6,803  7.03       238    5,372  6.90       186
-----------------------------        -------- --------        --------
      Total loans
       secured by
       real estate    206,657  6.81     7,022  226,701  6.12     6,928
    Consumer:
     Credit card       10,500 11.03       574    8,130 11.02       444
     Other                261 12.70        17      607 10.40        32
    Commercial          1,874  7.83        73    2,008  6.39        64
-----------------------------        -------- --------        --------
      Total loans
       held in
       portfolio      219,292  7.03     7,686  237,446  6.30     7,468
  Other                 2,776  5.65        78    5,161  4.50       116
-----------------------------        -------- --------        --------
      Total
       interest-
       earning
       assets         287,724  6.80     9,756  310,523  6.19     9,592
Noninterest-earning
 assets:
  Mortgage servicing
   rights               6,545                    8,634
  Goodwill              9,054                    8,300
  Other assets         20,588                   18,718
-----------------------------                 --------
      Total assets   $323,911                 $346,175
=============================                 ========
Liabilities
Interest-bearing
 liabilities:
  Deposits:
    Interest-bearing
     checking
     deposits        $ 31,093  2.57       397 $ 39,012  2.45       473
    Savings and
     money market
     deposits          56,927  3.31       933   46,464  2.61       602
    Time deposits      87,960  4.96     2,165   76,379  4.22     1,607
-----------------------------        -------- --------        --------
      Total
       interest-
       bearing
       deposits       175,980  4.00     3,495  161,855  3.33     2,682
  Federal funds
   purchased and
   commercial paper     3,003  5.44        81    7,616  4.72       179
  Securities sold
   under agreements
   to repurchase       10,247  5.43       276   16,608  4.74       396
  Advances from
   Federal Home Loan
   Banks               29,019  5.37       773   63,912  4.65     1,491
  Other                36,366  5.62     1,016   26,437  5.04       668
-----------------------------        -------- --------        --------
      Total
       interest-
       bearing
       liabilities    254,615  4.47     5,641  276,428  3.92     5,416
                                     --------                 --------
Noninterest-bearing
 sources:
  Noninterest-
   bearing deposits    32,773                   33,813
  Other liabilities     9,547                    8,284
  Minority interests    2,554                    1,262
  Stockholders'
   equity              24,422                   26,388
-----------------------------                 --------
      Total
       liabilities
       and
       stockholders'
       equity        $323,911                 $346,175
=============================                 ========
  Net interest
   spread and net
   interest income             2.33  $  4,115           2.27  $  4,176
                                     ========                 ========
  Impact of
   noninterest-
   bearing sources             0.52                     0.43
  Net interest
   margin                      2.85                     2.70

_______________________________
(1) Nonaccrual assets and related income, if any, are included in
     their respective categories.

(2) The average balance and yield are based on average amortized cost
     balances.

(3) Capitalized interest recognized in earnings that resulted from
     negative amortization within the Option ARM portfolio totaled
     $706 million and $439 million for the six months ended June 30,
     2007 and June 30, 2006.

(4) Excludes home loans and home equity loans and lines of credit in
     the subprime mortgage channel.

(5) Represents mortgage loans purchased from recognized subprime
     lenders and mortgage loans originated under the Long Beach
     Mortgage name and held in the investment portfolio.

(6) Represents loans to builders for the purpose of financing the
     acquisition, development and construction of single-family
     residences for sale and construction loans made directly to the
     intended occupant of a single-family residence.
WM-11
                       Washington Mutual, Inc.
                    Selected Financial Information
                        (dollars in millions)
                             (unaudited)


                                Change from
                              Mar. 31, 2007     June 30,     Mar. 31,
                           to June 30, 2007        2007         2007
---------------------------------------------------------------------
Deposits
  Retail deposits:
   Checking deposits:
     Noninterest bearing   $          (258) $    24,142  $    24,400
     Interest bearing               (1,931)      29,592       31,523
---------------------------------------------------------------------
       Total checking
        deposits                    (2,189)      53,734       55,923
   Savings and money
    market deposits                   (441)      43,617       44,058
   Time deposits(1)                    878       48,140       47,262
---------------------------------------------------------------------
       Total retail
        deposits                    (1,752)     145,491      147,243
   Commercial business
    and other deposits               1,445       19,186       17,741
   Brokered deposits:
     Consumer                       (1,842)      17,153       18,995
     Institutional                  (6,231)      11,025       17,256
   Custodial and escrow
    deposits(2)                       (449)       8,525        8,974
---------------------------------------------------------------------
        Total deposits     $        (8,829) $   201,380  $   210,209
=====================================================================




                               Dec. 31,      Sept. 30,     June 30,
                                  2006           2006         2006
-------------------------------------------------------------------
Deposits
  Retail deposits:
   Checking deposits:
     Noninterest bearing   $    22,838    $    22,466  $    22,450
     Interest bearing           32,723         33,761       35,958
-------------------------------------------------------------------
       Total checking
        deposits                55,561         56,227       58,408
   Savings and money
    market deposits             41,943         39,481       37,664
   Time deposits(1)             46,821         47,361       43,685
-------------------------------------------------------------------
       Total retail
        deposits               144,325        143,069      139,757
   Commercial business
    and other deposits          15,175         15,831       15,625
   Brokered deposits:
     Consumer                   22,299         22,430       14,316
     Institutional              22,339         18,236       22,708
   Custodial and escrow
    deposits(2)                  9,818         11,316       12,152
-------------------------------------------------------------------
        Total deposits     $   213,956    $   210,882  $   204,558
===================================================================


(1) Weighted average remaining maturity of time deposits was 8 months
     at June 30, 2007, 9 months at March 31, 2007 and December 31,
     2006 and 10 months at September 30, 2006 and June 30, 2006.
(2) Substantially all custodial and escrow deposits are reported as
     noninterest-bearing checking deposits.


                                                June 30,     Mar. 31,
                                                   2007         2007
---------------------------------------------------------------------
Retail Deposit Accounts
 (number of accounts)
   Noninterest bearing
    checking                                 10,449,887    9,983,313
   Interest bearing
    checking                                  1,399,203    1,459,534
   Savings and money
    market                                    6,936,870    6,708,784
---------------------------------------------------------------------
       Total transaction
        accounts, end of
        period(1)                            18,785,960   18,151,631
=====================================================================

   Net change in
    noninterest bearing
    checking accounts                           466,574      371,607
   Net change in checking
    accounts                                    406,243      327,776


                               Dec. 31,      Sept. 30,     June 30,
                                  2006           2006         2006
-------------------------------------------------------------------
Retail Deposit Accounts
 (number of accounts)
   Noninterest bearing
    checking                 9,611,706      9,403,072    9,063,458
   Interest bearing
    checking                 1,503,365      1,532,215    1,564,396
   Savings and money
    market                   6,525,772      6,379,068    6,161,187
-------------------------------------------------------------------
       Total transaction
        accounts, end of
        period(1)           17,640,843     17,314,355   16,789,041
===================================================================

   Net change in
    noninterest bearing
    checking accounts          208,634        339,614      432,812
   Net change in checking
    accounts                   179,784        307,433      404,190


(1) Transaction accounts include retail checking, small business
     checking, retail savings and small business savings.


                                                June 30,     Mar. 31,
                                                   2007         2007
---------------------------------------------------------------------
Retail Banking Stores
Stores, beginning of
 period                                           2,228        2,225
   Stores opened during
    the quarter                                      11            6
   Stores closed during
    the quarter                                      (4)          (3)
---------------------------------------------------------------------
Stores, end of period                             2,235        2,228
=====================================================================


                               Dec. 31,      Sept. 30,     June 30,
                                  2006           2006         2006
-------------------------------------------------------------------
Retail Banking Stores
Stores, beginning of
 period                          2,225          2,201        2,168
   Stores opened during
    the quarter                     81 (1)         25           35
   Stores closed during
    the quarter                    (81)            (1)          (2)
-------------------------------------------------------------------
Stores, end of period            2,225          2,225        2,201
===================================================================


(1) Includes 26 retail banking stores acquired through the merger with
     Commercial Capital Bancorp.
WM-12
                       Washington Mutual, Inc.
                    Selected Financial Information
                        (dollars in millions)
                             (unaudited)

                                         Quarter Ended
----------------------------------------------------------------------
                         June 30, Mar. 31, Dec. 31, Sept. 30, June 30,
                            2007     2007     2006      2006     2006
----------------------------------------------------------------------
Loan Volume
  Home loans:
   Short-term adjustable-
    rate loans(1):
     Option ARMs          $ 7,888  $ 7,777  $ 9,487   $11,601  $12,728
     Other ARMs                22       36       13        42      387
----------------------------------------------------------------------
      Total short-term
       adjustable-rate
       loans                7,910    7,813    9,500    11,643   13,115
   Medium-term
    adjustable-rate
    loans(2)               14,953   13,567   17,323    16,707   16,041
   Fixed-rate loans         8,172    8,824    7,351     8,818   13,695
----------------------------------------------------------------------
      Total home loan
       volume              31,035   30,204   34,174    37,168   42,851
  Home equity loans and
   lines of credit          9,880    8,319    8,098     8,498    8,251
  Home construction(3)        426      298      298       269      421
  Multi-family              3,067    2,663    2,977     2,186    2,230
  Other real estate         1,246    1,080    1,182       983      787
----------------------------------------------------------------------
      Total loans secured
       by real estate(4)   45,654   42,564   46,729    49,104   54,540
  Consumer(5)                  20       26       23        26       36
  Commercial                  356      289      274       238      319
----------------------------------------------------------------------
      Total loan volume   $46,030  $42,879  $47,026   $49,368  $54,895
======================================================================
Loan Volume by Channel
  Retail                  $27,051  $23,284  $24,426   $22,239  $23,709
  Wholesale                14,588   13,378   16,002    14,964   14,798
  Purchased                 4,391    6,217    6,398    11,560   12,033
  Correspondent                 -        -      200       605    4,355
----------------------------------------------------------------------
      Total loan volume
       by channel         $46,030  $42,879  $47,026   $49,368  $54,895
======================================================================
Refinancing Activity(6)
  Home loan refinancing   $22,637  $22,552  $25,060   $23,993  $26,667
  Home equity loans and
   lines of credit and
   consumer                   157      550      599       689      161
  Home construction loans     121      276      283       254      379
  Multi-family and other
   real estate              1,378    1,131    2,240     1,398    1,419
----------------------------------------------------------------------
      Total refinancing   $24,293  $24,509  $28,182   $26,334  $28,626
======================================================================

(1) Short-term is defined as adjustable-rate loans that reprice within
     one year.

(2) Medium-term is defined as adjustable-rate loans that reprice after
     one year.

(3) Represents loans to builders for the purpose of financing the
     acquisition, development and construction of single-family
     residences for sale and construction loans made directly to the
     intended occupant of a single-family residence.

(4) Includes mortgage loans purchased from recognized subprime lenders
     and mortgage loans originated under the Long Beach Mortgage name
     of $2.45 billion, $3.48 billion, $6.07 billion, $9.40 billion and
     $8.20 billion for the three months ended June 30, 2007, March 31,
     2007, December 31, 2006, September 30, 2006 and June 30, 2006.

(5) Excludes credit card loan volume.

(6) Includes loan refinancing entered into by both new and pre-
     existing loan customers.
WM-13
                       Washington Mutual, Inc.
                    Selected Financial Information
                        (dollars in millions)
                             (unaudited)

                                                    Six Months Ended
---------------------------------------------------------------------
                                                    June 30,  June 30,
                                                       2007      2006
---------------------------------------------------------------------
Loan Volume
  Home loans:
  Short-term adjustable-rate loans(1):
    Option ARMs                                     $15,666  $ 21,505
    Other ARMs                                           58     3,330
---------------------------------------------------------------------
      Total short-term adjustable-rate loans         15,724    24,835
  Medium-term adjustable-rate loans(2)               28,519    30,906
  Fixed-rate loans                                   16,996    31,300
---------------------------------------------------------------------
      Total home loan volume                         61,239    87,041
  Home equity loans and lines of credit              18,199    15,558
  Home construction(3)                                  724       914
  Multi-family                                        5,729     4,264
  Other real estate                                   2,326     1,502
---------------------------------------------------------------------
      Total loans secured by real estate(4)          88,217   109,279
  Consumer(5)                                            46        85
  Commercial                                            645       577
---------------------------------------------------------------------
      Total loan volume                             $88,908  $109,941
=====================================================================
Loan Volume by Channel
  Retail                                            $50,335  $ 46,289
  Wholesale                                          27,965    31,520
  Purchased                                          10,608    19,351
  Correspondent                                           -    12,781
------------------------------------------------------------ --------
      Total loan volume by channel                  $88,908  $109,941
=====================================================================
Refinancing Activity(6)
  Home loan refinancing                             $45,190  $ 53,537
  Home equity loans and lines of credit and
   consumer                                             707       377
  Home construction loans                               396       772
  Multi-family and other real estate                  2,509     2,774
------------------------------------------------------------ --------
      Total refinancing                             $48,802  $ 57,460
=====================================================================

(1) Short-term is defined as adjustable-rate loans that reprice within
     one year.

(2) Medium-term is defined as adjustable-rate loans that reprice after
     one year.

(3) Represents loans to builders for the purpose of financing the
     acquisition, development and construction of single-family
     residences for sale and construction loans made directly to the
     intended occupant of a single-family residence.

(4) Includes mortgage loans purchased from recognized subprime lenders
     and mortgage loans originated under the Long Beach Mortgage name
     of $5.93 billion and $15.29 billion for the six months ended June
     30, 2007 and June 30, 2006.

(5) Excludes credit card loan volume.

(6) Includes loan refinancing entered into by both new and pre-
     existing loan customers.
WM-14
                       Washington Mutual, Inc.
                    Selected Financial Information
                        (dollars in millions)
                             (unaudited)


                           Change from
                         Mar. 31, 2007  June 30,  Mar. 31,  Dec. 31,
                      to June 30, 2007     2007      2007      2006
---------------------------------------------------------------------
Loans Held in
 Portfolio
  Loans secured by
   real estate:
    Home:
     Short-term
      adjustable-rate
      loans(1):
       Option ARMs(2)      $ (4,675)   $ 53,455  $ 58,130  $ 63,557
       Other ARMs                37      13,538    13,501    15,091
---------------------------------------------------------------------
        Total short-
         term
         adjustable-
         rate loans          (4,638)     66,993    71,631    78,648
     Medium-term
      adjustable-rate
      loans(3)                 (277)     29,647    29,924    29,774
     Fixed-rate loans            (1)      9,505     9,506     9,782
---------------------------------------------------------------------
        Total home
         loans               (4,916)    106,145   111,061   118,204
    Home equity loans
     and lines of
     credit                   2,508      58,631    56,123    54,924
    Home
     construction(4)            (13)      2,058     2,071     2,082
    Multi-family               (225)     29,290    29,515    30,161
    Other real estate           151       6,879     6,728     6,745
---------------------------------------------------------------------
        Total loans
         secured by
         real
         estate(5)           (2,495)    203,003   205,498   212,116
  Consumer:
    Credit card                 423       9,913     9,490    10,861
    Other                       (18)        243       261       276
  Commercial                     63       1,835     1,772     1,707
---------------------------------------------------------------------
        Total loans
         held in
         portfolio(6)        (2,027)    214,994   217,021   224,960
Less: allowance for
 loan and lease
 losses                         (20)     (1,560)   (1,540)   (1,630)
---------------------------------------------------------------------
        Total loans
         held in
         portfolio,
         net               $ (2,047)   $213,434  $215,481  $223,330
=====================================================================




                                Sept. 30,  June 30,
                                    2006      2006
---------------------------------------------------
Loans Held in
 Portfolio
  Loans secured by
   real estate:
    Home:
     Short-term
      adjustable-rate
      loans(1):
       Option ARMs(2)           $ 67,142  $ 69,224
       Other ARMs                 16,375    15,021
---------------------------------------------------
        Total short-
         term
         adjustable-
         rate loans               83,517    84,245
     Medium-term
      adjustable-rate
      loans(3)                    47,740    52,032
     Fixed-rate loans              9,928     9,424
---------------------------------------------------
        Total home
         loans                   141,185   145,701
    Home equity loans
     and lines of
     credit                       54,364    52,981
    Home
     construction(4)               2,077     2,082
    Multi-family                  27,407    26,749
    Other real estate              5,869     5,537
---------------------------------------------------
        Total loans
         secured by
         real
         estate(5)               230,902   233,050
  Consumer:
    Credit card                    8,807     8,451
    Other                            281       287
  Commercial                       1,775     1,715
---------------------------------------------------
        Total loans
         held in
         portfolio(6)            241,765   243,503
Less: allowance for
 loan and lease
 losses                           (1,550)   (1,663)
---------------------------------------------------
        Total loans
         held in
         portfolio,
         net                    $240,215  $241,840
===================================================


(1) Short-term adjustable-rate loans reprice within one year.

(2) The total amount by which the unpaid principal balance of Option
     ARM loans exceeded their original principal amount was $1.30
     billion, $1.12 billion, $888 million, $681 million and $474
     million at June 30, 2007, March 31, 2007, December 31, 2006,
     September 30, 2006 and June 30, 2006.

(3) Medium-term adjustable-rate loans reprice after one year.

(4) Represents loans to builders for the purpose of financing the
     acquisition, development and construction of single-family
     residences for sale and construction loans made directly to the
     intended occupant of a single-family residence.

(5) Includes subprime mortgage channel loans, comprising mortgage
     loans purchased from recognized subprime lenders and mortgage
     loans originated under the Long Beach Mortgage name and held in
     the investment portfolio as follows:
    ------------------------------------------------------------------
    Subprime Mortgage
     Channel           June 30, Mar. 31,   Dec. 31, Sept. 30, June 30,
                          2007     2007       2006      2006     2006
    ------------------------------------------------------------------
    Home loans         $17,602  $17,610    $18,725   $20,083  $20,498
    Home equity
     loans and lines
     of credit           2,855    2,749      2,042     1,522      424
    ------------------------------------------------------------------
             Total     $20,457  $20,359    $20,767   $21,605  $20,922
    ==================================================================

(6) Includes net unamortized deferred loan origination costs of $1.33
     billion, $1.43 billion, $1.48 billion, $1.61 billion and $1.62
     billion at June 30, 2007, March 31, 2007, December 31, 2006,
     September 30, 2006 and June 30, 2006.
WM-15
                       Washington Mutual, Inc.
                    Selected Financial Information
                        (dollars in millions)
                             (unaudited)


                                                              Weighted
                                        Change from           Average
                                      Mar. 31, 2007  June 30, Coupon
                                   to June 30, 2007     2007   Rate
--------------------------------------------------- --------  --------
Selected Loans Secured by Real
 Estate and MBS
  Home loans held in portfolio:
    Short-term adjustable-rate
     loans(1):
      Option ARMs                          $(4,675) $ 53,455     7.74%
      Other ARMs                                37    13,538     7.28
--------------------------------------------------- --------
       Total short-term
        adjustable-rate loans               (4,638)   66,993     7.65
    Medium-term adjustable-rate
     loans(2)                                 (277)   29,647     5.99
    Fixed-rate loans                            (1)    9,505     6.71
------------------------------------------------------------
       Total home loans held in
        portfolio                           (4,916)  106,145     7.10
  Home equity loans and lines of
   credit:
    Short-term (Prime-based or
     treasury-based)(1)                      1,141    34,995     8.47
    Fixed-rate loans                         1,367    23,636     7.68
------------------------------------------------------------
       Total home equity loans and
        lines of credit                      2,508    58,631     8.15
  Multi-family loans held in
   portfolio:
    Short-term adjustable-rate
     loans(1):
      Option ARMs                             (723)    7,650     7.28
      Other ARMs                               131     7,910     6.77
---------------------------------- -------------------------
       Total short-term
        adjustable-rate loans                 (592)   15,560     7.02
    Medium-term adjustable-rate
     loans(2)                                  345    11,890     5.93
    Fixed-rate loans                            22     1,840     6.35
---------------------------------- -------------------------
       Total multi-family loans
        held in portfolio                     (225)   29,290     6.53
---------------------------------- -------------------------
       Total selected loans held
        in portfolio secured by
        real estate(3)                      (2,633)  194,066     7.33
  Loans held for sale(4)                    (7,395)   18,999     6.39
  MBS(5):
    Short-term adjustable-rate
     MBS(1)                                   (510)    5,453     5.70
    Medium-term adjustable-rate
     MBS(2)                                    349     2,802     5.22
    Fixed-rate MBS                           4,032    11,555     5.39
---------------------------------- -------------------------
       Total MBS(6)                          3,871    19,810     5.45
---------------------------------- -------------------------
       Total selected loans
        secured by real estate and
        MBS                                $(6,157) $232,875     7.10
================================== =========================



                                          Weighted            Weighted
                                          Average             Average
                                 Mar. 31,  Coupon    June 30, Coupon
                                    2007    Rate        2006   Rate
--------------------            --------- --------- --------- -------
Selected Loans
 Secured by Real
 Estate and MBS
  Home loans held
   in portfolio:
    Short-term
     adjustable-
     rate loans(1):
      Option ARMs               $ 58,130      7.74% $ 69,224     6.72%
      Other ARMs                  13,501      7.25    15,021     6.75
--------------------            ---------           ---------
       Total
        short-
        term
        adjustable-
        rate loans                71,631      7.65    84,245     6.72
    Medium-term
     adjustable-
     rate loans(2)                29,924      5.86    52,032     5.68
    Fixed-rate
     loans                         9,506      6.68     9,424     6.50
--------------------            ---------           ---------
       Total home
        loans held
        in
        portfolio                111,061      7.08   145,701     6.34
  Home equity loans
   and lines of
   credit:
    Short-term
     (Prime-based
     or treasury-
     based)(1)                    33,854      8.45    36,640     8.33
    Fixed-rate
     loans                        22,269      7.62    16,341     6.88
--------------------            ---------           ---------
       Total home
        equity
        loans and
        lines of
        credit                    56,123      8.12    52,981     7.88
  Multi-family
   loans held in
   portfolio:
    Short-term
     adjustable-
     rate loans(1):
      Option ARMs                  8,373      7.29     9,255     6.54
      Other ARMs                   7,779      7.01     6,095     6.66
-------------------             ---------           ---------
       Total short-
        term
        adjustable-
        rate loans                16,152      7.15    15,350     6.59
    Medium-term
     adjustable-
     rate loans(2)                11,545      5.78     9,781     5.46
    Fixed-rate
     loans                         1,818      6.39     1,618     6.48
-------------------             ---------           ---------
       Total multi-
        family
        loans held
        in
        portfolio                 29,515      6.57    26,749     6.17
-------------------             ---------           ---------
       Total
        selected
        loans held
        in
        portfolio
        secured by
        real
        estate(3)                196,699      7.30   225,431     6.68
  Loans held for
   sale(4)                        26,394      6.44    23,031     6.43
  MBS(5):
    Short-term
     adjustable-
     rate MBS(1)                   5,963      5.71     9,058     5.42
    Medium-term
     adjustable-
     rate MBS(2)                   2,453      5.09     3,853     4.97
    Fixed-rate MBS                 7,523      5.25     8,527     5.27
-------------------             ---------           ---------
       Total MBS(6)               15,939      5.40    21,438     5.28
-------------------             ---------           ---------
       Total
        selected
        loans
        secured by
        real estate
        and MBS                 $239,032      7.08  $269,900     6.55
===================             =========           =========


(1) Short-term adjustable-rate loans and MBS reprice within one year.

(2) Medium-term adjustable-rate loans and MBS reprice after one year.

(3) At June 30, 2007, March 31, 2007, and June 30, 2006, adjustable-
     rate loans with lifetime caps were $158.24 billion, $162.24
     billion, and $193.17 billion with a lifetime weighted average cap
     rate of 12.96%, 12.31% and 12.13%.

(4) Excludes credit card and student loans.

(5) Includes only those securities designated as available-for-sale.
     Excludes principal-only strips and interest-only strips.

(6) At June 30, 2007, March 31, 2007 and June 30, 2006, the par value
     of adjustable-rate MBS with lifetime caps were $8.02 billion,
     $8.16 billion and $12.81 billion with a lifetime weighted average
     cap rate of 10.57%, 10.55% and 10.42%.


                                      Mar. 31, 2007     Dec. 31, 2006
                                   to June 30, 2007  to June 30, 2007
---------------------------------------------------------------------
Rollforward of Loans Held
 for Sale
  Balance, beginning of
   period                               $    26,874       $    44,970
    Mortgage loans originated,
     purchased and transferred
     from held in portfolio                  29,492            59,578
    Mortgage loans
     transferred to held
     in portfolio                           (1,760)           (2,674)
    Mortgage loans sold
     and other(1)                          (35,127)          (82,630)
    Net change in consumer
     loans held for sale                      (152)                83
---------------------------------------------------------------------
  Balance, end of period                $    19,327       $    19,327
=====================================================================

Rollforward of Home Loans
 Held in Portfolio
  Balance, beginning of
   period                               $   111,061       $   118,204
    Loans originated,
     purchased and
     transferred from held
     for sale                                 5,136            10,285
    Loan payments,
     transferred to held
     for sale and other                    (10,052)          (22,344)
---------------------------------------------------------------------
  Balance, end of period                $   106,145       $   106,145
=====================================================================


(1) The unpaid principal balance ("UPB") of home loans sold was $30.30
     billion and $75.55 billion for the three and six months ended
     June 30, 2007.
WM-16
                       Washington Mutual, Inc.
                    Selected Financial Information
                        (dollars in millions)
                             (unaudited)

                                         Quarter Ended
----------------------------------------------------------------------
Detail of Revenue from
 Sales and Servicing of
 Home Mortgage Loans     June 30, Mar. 31, Dec. 31, Sept. 30, June 30,
                            2007     2007     2006      2006     2006
----------------------------------------------------------------------
Gain from home mortgage
 loans and originated
 mortgage-backed
 securities, net of
 hedging and risk
 management
 instruments(1):
  Gain from home
   mortgage loans and
   originated mortgage-
   backed securities      $  66    $ 149    $  64    $  206   $  190
  Revaluation gain
   (loss) from
   derivatives
   economically hedging
   loans held for sale      126      (54)      91       (87)      61
----------------------------------------------------------------------
    Gain from home
     mortgage loans and
     originated
     mortgage-backed
     securities, net of
     hedging and risk
     management
     instruments            192       95      155       119      251
----------------------------------------------------------------------
Home mortgage loan
 servicing revenue
 (expense):
  Home mortgage loan
   servicing revenue(2)     526      514      497       525      586
  Change in MSR fair
   value due to payments
   on loans and other      (401)    (356)    (375)     (410)    (460)
------------------------ -------- -------- -------- --------- -------
    Net mortgage loan
     servicing revenue      125      158      122       115      126
  Change in MSR fair
   value due to
   valuation inputs or
   assumptions              530      (96)     (80)     (469)     435
  Revaluation gain
   (loss) from
   derivatives
   economically hedging
   MSR                     (547)     (32)     (33)      353     (433)
  Adjustment to MSR fair
   value for MSR sale         -        -        -         -     (157)
----------------------------------------------------------------------
    Home mortgage loan
     servicing revenue
     (expense), net of
     MSR valuation
     changes and
     derivative risk
     management
     instruments            108       30        9        (1)     (29)
----------------------------------------------------------------------
    Total revenue from
     sales and servicing
     of home mortgage
     loans                $ 300    $ 125    $ 164    $  118   $  222
======================================================================

                                                    Six Months Ended
----------------------------------------------------------------------
Detail of Revenue from
 Sales and Servicing of
 Home Mortgage Loans                                 June 30, June 30,
                                                        2007     2006
----------------------------------------------------------------------
Gain from home mortgage
 loans and originated
 mortgage-backed
 securities, net of
 hedging and risk
 management
 instruments(1):
  Gain from home
   mortgage loans and
   originated mortgage-
   backed securities                                 $  214   $  356
  Revaluation gain from
   derivatives
   economically hedging
   loans held for sale                                   72      104
----------------------------------------------------------------------
     Gain from home
      mortgage loans and
      originated
      mortgage-backed
      securities, net of
      hedging and risk
      management
      instruments                                       286      460
----------------------------------------------------------------------
Home mortgage loan
 servicing revenue:
  Home mortgage loan
   servicing revenue(2)                               1,041    1,159
  Change in MSR fair
   value due to payments
   on loans and other                                  (757)    (869)
----------------------------------------------------------------------
     Net mortgage loan
      servicing revenue                                 284      290
  Change in MSR fair
   value due to
   valuation inputs or
   assumptions                                          434      849
  Revaluation loss from
   derivatives
   economically hedging
   MSR                                                 (579)    (956)
  Adjustment to MSR fair
   value for MSR sale                                     -     (157)
----------------------------------------------------------------------
     Home mortgage loan
      servicing revenue,
      net of MSR
      valuation changes
      and derivative
      risk management
      instruments                                       139       26
----------------------------------------------------------------------
     Total revenue from
      sales and
      servicing of home
      mortgage loans                                 $  425   $  486
======================================================================

 (1)  Originated mortgage-backed securities represent available-for-
       sale securities retained on the balance sheet subsequent to the
       securitization of mortgage loans that were originated by the
       Company.

 (2)  Includes contractually specified servicing fees, late charges
       and the shortfall of the scheduled interest required to be
       remitted to investors and that which is collected from
       borrowers upon payoff.
WM-17
                       Washington Mutual, Inc.
                    Selected Financial Information
                        (dollars in millions)
                             (unaudited)

                                         Quarter Ended
----------------------------------------------------------------------
                         June 30, Mar. 31, Dec. 31, Sept. 30, June 30,
                            2007     2007     2006      2006     2006
----------------------------------------------------------------------
MSR Valuation and Risk
 Management(1):
  Change in MSR fair
   value due to valuation
   inputs or assumptions   $ 530    $ (96)   $ (80)    $(469) $   435
Gain (loss) on MSR risk
 management instruments:
  Revaluation gain (loss)
   from derivatives         (547)     (32)     (33)      353     (433)
  Revaluation gain (loss)
   from certain trading
   securities                 (4)       4       (5)       39      (47)
  Loss from certain
   available-for-sale
   securities                  -        -        -        (1)       -
----------------------------------------------------------------------
    Total gain (loss) on
     MSR risk management
     instruments            (551)     (28)     (38)      391     (480)
----------------------------------------------------------------------
      Total changes in
       MSR valuation and
       risk management     $ (21)   $(124)   $(118)    $ (78) $   (45)
======================================================================


                                                     Six Months Ended
----------------------------------------------------------------------
                                                     June 30, June 30,
                                                        2007     2006
----------------------------------------------------------------------
MSR Valuation and Risk
 Management(1):
  Change in MSR fair
   value due to valuation
   inputs or assumptions                               $ 434  $   849
Loss on MSR risk
 management instruments:
  Revaluation loss from
   derivatives                                          (579)    (956)
  Revaluation loss from
   certain trading
   securities                                              -      (89)
----------------------------------------------------------------------
    Total loss on MSR
     risk management
     instruments                                        (579)  (1,045)
----------------------------------------------------------------------
      Total changes in
       MSR valuation and
       risk management                                 $(145) $  (196)
======================================================================

(1) Excludes $157 million downward adjustment to MSR fair value
     recognized in the three and six months ended June 30, 2006.
WM-18
                       Washington Mutual, Inc.
                    Selected Financial Information
                        (dollars in millions)
                             (unaudited)

                                    Quarter Ended
----------------------------------------------------------------------
                  June 30,  Mar. 31,  Dec. 31,  Sept. 30,     June 30,
                     2007      2007      2006       2006         2006
----------------------------------------------------------------------
Rollforward of
 Mortgage
 Servicing
 Rights(1)
  Balance,
   beginning of
   period        $  6,507  $  6,193  $  6,288  $   9,162  $     8,736
   Home loans:
    Additions         592       760       357        533          607
    Change in
     MSR fair
     value due
     to payments
     on loans
     and other       (401)     (356)     (375)      (410)        (460)

    Change in
     MSR fair
     value due
     to
     valuation
     inputs or
     assumptions      530       (96)      (80)      (469)         435
    Adjustment
     to MSR fair
     value for
     MSR sale           -         -         -          -         (157)
    Sale of MSR         -         -         1     (2,527)           -
   Net change in
    commercial
    real estate
    MSR                 3         6         2         (1)           1
----------------------------------------------------------------------
  Balance, end
   of period     $  7,231  $  6,507  $  6,193  $   6,288  $     9,162
======================================================================
Rollforward of
 Mortgage Loans
 Serviced for
 Others
  Balance,
   beginning of
   period        $467,782  $444,696  $439,208  $ 570,352  $   569,501
   Home loans:
    Additions      29,949    44,550    25,833     29,899       30,949
    Sale of
     servicing          -         -         -   (141,842)          (9)
    Loan
     payments
     and other    (24,213)  (22,469)  (20,744)   (19,288)     (30,368)
   Net change in
    commercial
    real estate
    loans           1,349     1,005       399         87          279
----------------------------------------------------------------------
  Balance, end
   of period     $474,867  $467,782  $444,696  $ 439,208  $   570,352
======================================================================

                  June 30,  Mar. 31,  Dec. 31,  Sept. 30,     June 30,
                     2007      2007      2006       2006         2006
----------------------------------------------------------------------
Total Servicing
 Portfolio
   Mortgage
    loans
    serviced for
    others       $474,867  $467,782  $444,696  $ 439,208  $   570,352
   Consumer
    loans
    serviced for
    others         14,745    13,645    12,415     13,112       12,644
   Servicing on
    retained MBS
    without MSR     1,023     1,082     1,140      1,199        1,262
   Servicing on
    owned loans   218,122   226,217   251,766    245,925      247,489
   Subservicing
    portfolio         439       465    84,797    137,089          552
----------------------------------------------------------------------
  Total
   servicing
   portfolio     $709,196  $709,191  $794,814  $ 836,533  $   832,299
======================================================================

                                                    June 30, 2007
----------------------------------------------------------------------
                                                 Unpaid     Weighted
                                               Principal    Average
                                                Balance    Servicing
                                                               Fee
----------------------------------------------------------------------
Mortgage Loans
 Serviced for                                             (in basis
 Others by Loan                                            points,
 Type                                                      annualized)
   Agency                                      $ 246,758           31
   Private                                       193,661           57
   Subprime
    mortgage
    channel-home                                  34,448           50
---------------------------------------------------------
 Total mortgage
  loans serviced
  for others(2)                                $ 474,867           43
=========================================================

(1) MSR as a percentage of mortgage loans serviced for others was
     1.52%, 1.39%, 1.39%, 1.43% and 1.61% at June 30, 2007, March 31,
     2007, December 31, 2006, September 30, 2006 and June 30, 2006.

(2) Weighted average coupon rate was 6.33% at June 30, 2007.
WM-19
                       Washington Mutual, Inc.
                    Selected Financial Information
                        (dollars in millions)
                             (unaudited)

                                        Quarter Ended
----------------------------------------------------------------------
                         June 30, Mar. 31, Dec. 31, Sept. 30, June 30,
                            2007     2007     2006      2006     2006
----------------------------------------------------------------------
Allowance for Loan and
 Lease Losses
  Balance, beginning of
   quarter                $1,540   $1,630   $1,550    $1,663   $1,642
  Allowance transferred
   to loans held for
   sale                      (81)    (148)    (158)     (125)     (87)
  Allowance acquired
   through business
   combinations/other          -        7       30         -        -
  Provision for loan and
   lease losses              372      234      344       166      224
----------------------------------------------------------------------
                           1,831    1,723    1,766     1,704    1,779
  Loans charged off:
    Loans secured by
     real estate:
      Home loans(1)          (21)     (35)     (16)      (12)     (11)
      Home equity loans
       and lines of
       credit(1)             (55)     (29)     (13)       (8)      (6)
      Subprime mortgage
       channel(2)           (103)     (40)     (52)      (47)     (21)
      Home
       construction(3)        (1)       -       (4)       (3)       -
      Other real estate       (1)       -       (1)       (2)       -
----------------------------------------------------------------------
       Total loans
        secured by real
        estate              (181)    (104)     (86)      (72)     (38)
    Consumer:
      Credit card           (106)     (96)     (68)      (98)     (94)
      Other                   (2)      (3)      (3)       (3)      (6)
    Commercial               (15)      (9)      (9)       (6)      (4)
----------------------------------------------------------------------
       Total loans
        charged off         (304)    (212)    (166)     (179)    (142)
  Recoveries of loans
   previously charged
   off:
    Loans secured by
     real estate:
      Home loans(1)            1        1        -         -        1
      Home equity loans
       and lines of
       credit(1)               3        3        2         2        3
      Subprime mortgage
       channel(2)             11        1        4         -        1
      Multi-family             -        -        -         -        1
      Other real estate        -        -        -         -        1
----------------------------------------------------------------------
       Total loans
        secured by real
        estate                15        5        6         2        7
    Consumer:
      Credit card             15       16       18        16       15
      Other                    -        6        3         4        3
    Commercial                 3        2        3         3        1
----------------------------------------------------------------------
       Total recoveries
        of loans
        previously
        charged off           33       29       30        25       26
----------------------------------------------------------------------
         Net charge-offs    (271)    (183)    (136)     (154)    (116)
----------------------------------------------------------------------
  Balance, end of
   quarter                $1,560   $1,540   $1,630    $1,550   $1,663
======================================================================


  Net charge-offs
   (annualized) as a
   percentage of average
   loans held in
   portfolio
                            0.50%    0.33%    0.23%     0.26%    0.19%
  Allowance as a
   percentage of loans
   held in portfolio        0.73     0.71     0.72      0.64     0.68
______________________________
(1) Excludes home loans and home equity loans and lines of credit in
     the subprime mortgage channel.

(2) Represents mortgage loans purchased from recognized subprime
     lenders and mortgage loans originated under the Long Beach
     Mortgage name and held in the investment portfolio.

(3) Represents loans to builders for the purpose of financing the
     acquisition, development and construction of single-family
     residences for sale and construction loans made directly to the
     intended occupant of a single-family residence.
WM-20
                       Washington Mutual, Inc.
                    Selected Financial Information
                        (dollars in millions)
                             (unaudited)

                         June 30, Mar. 31, Dec. 31, Sept. 30, June 30,
                            2007     2007     2006      2006     2006
----------------------------------------------------------------------
Nonperforming Assets
  Nonaccrual
   loans(1)(2):
    Loans secured by
     real estate:
      Home loans(3)       $  991   $  690   $  640    $  568   $  512
      Home equity loans
       and lines of
       credit(3)             378      297      231       162      103
      Subprime mortgage
       channel (4)         1,707    1,503    1,283     1,121    1,092
      Home
       construction(5)        47       41       27        35       31
      Multi-family            69       60       46        31       19
      Other real estate       52       52       51        53       56
----------------------------------------------------------------------
       Total nonaccrual
        loans secured by
        real estate        3,244    2,643    2,278     1,970    1,813
    Consumer                   1        1        1         1        1
    Commercial                30       28       16        16       16
----------------------------------------------------------------------
       Total nonaccrual
        loans held in
        portfolio          3,275    2,672    2,295     1,987    1,830
  Foreclosed assets(6)       750      587      480       405      330
----------------------------------------------------------------------
       Total
        nonperforming
        assets(7)         $4,025   $3,259   $2,775    $2,392   $2,160
======================================================================


       Total
        nonperforming
        assets as a
        percentage of
        total assets        1.29%    1.02%    0.80%     0.69%    0.62%
_________________
(1) Nonaccrual loans held for sale, which are excluded from the
     nonaccrual balances presented above, were $171 million, $195
     million, $185 million, $129 million, and $122 million at June 30,
     2007, March 31, 2007, December 31, 2006, September 30, 2006, and
     June 30, 2006. Loans held for sale are accounted for at lower of
     aggregate cost or fair value, with valuation changes included as
     adjustments to noninterest income.

(2) Credit card loans are exempt under regulatory rules from being
     classified as nonaccrual because they are charged off when they
     are determined to be uncollectible, or by the end of the month in
     which the account becomes 180 days past due.

(3) Excludes home loans and home equity loans and lines of credit in
     the subprime mortgage channel.

(4) Represents mortgage loans purchased from recognized subprime
     lenders and mortgage loans originated under the Long Beach
     Mortgage name and held in the investment portfolio.

(5) Represents loans to builders for the purpose of financing the
     acquisition, development and construction of single-family
     residences for sale and construction loans made directly to the
     intended occupant of a single-family residence.

(6) Foreclosed real estate securing Government National Mortgage
     Association ("GNMA") loans of $49 million, $72 million, $99
     million, $129 million, and $142 million at June 30, 2007, March
     31, 2007, December 31, 2006, September 30, 2006, and June 30,
     2006 have been excluded. These assets are fully collectible as
     the corresponding GNMA loans are insured by the Federal Housing
     Administration ("FHA") or guaranteed by the Department of
     Veterans Affairs ("VA").

(7) Excludes accruing restructured loans of $285 million, $355
     million, $330 million, $331 million, and $336 million at June 30,
     2007, March 31, 2007, December 31, 2006, September 30, 2006, and
     June 30, 2006.

    CONTACT: Media Contact
             Washington Mutual
             Alan Gulick, 206-500-2760
             alan.gulick@wamu.net
             or
             Investor Relations Contact
             Washington Mutual
             Alan Magleby
             206-500-4148 (Seattle)
             212-702-6955 (New York)
             alan.magleby@wamu.net

    SOURCE: Washington Mutual, Inc.