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Wiki	Wiki Summary
Arithmetic	Arithmetic (from Ancient Greek ἀριθμός (arithmós) 'number', and τική [τέχνη] (tikḗ [tékhnē]) 'art, craft') is an elementary part of mathematics that consists of the study of the properties of the traditional operations on numbers—addition, subtraction, multiplication, division, exponentiation, and extraction of roots. In the 19th century, Italian mathematician Giuseppe Peano formalized arithmetic with his Peano axioms, which are highly important to the field of mathematical logic today.
Operation Mincemeat	Operation Mincemeat was a successful British deception operation of the Second World War to disguise the 1943 Allied invasion of Sicily. Two members of British intelligence obtained the body of Glyndwr Michael, a tramp who died from eating rat poison, dressed him as an officer of the Royal Marines and placed personal items on him identifying him as the fictitious Captain (Acting Major) William Martin.
Bitwise operation	In computer programming, a bitwise operation operates on a bit string, a bit array or a binary numeral (considered as a bit string) at the level of its individual bits. It is a fast and simple action, basic to the higher-level arithmetic operations and directly supported by the processor.
Special Activities Center	The Special Activities Center (SAC) is a division of the Central Intelligence Agency responsible for covert operations and paramilitary operations. The unit was named Special Activities Division (SAD) prior to 2015.
Operations management	Operations management is an area of management concerned with designing and controlling the process of production and redesigning business operations in the production of goods or services. It involves the responsibility of ensuring that business operations are efficient in terms of using as few resources as needed and effective in meeting customer requirements.
Emergency operations center	An emergency operations center (EOC) is a central command and control facility responsible for carrying out the principles of emergency preparedness and emergency management, or disaster management functions at a strategic level during an emergency, and ensuring the continuity of operation of a company, political subdivision or other organization.\nAn EOC is responsible for strategic direction and operational decisions and does not normally directly control field assets, instead leaving tactical decisions to lower commands.
Operations research	Operations research (British English: operational research), often shortened to the initialism OR, is a discipline that deals with the development and application of advanced analytical methods to improve decision-making. It is sometimes considered to be a subfield of mathematical sciences.
Adverse possession	Adverse possession, sometimes colloquially described as "squatter's rights", is a legal principle in the Anglo-American common law under which a person who does not have legal title to a piece of property—usually land (real property)—may acquire legal ownership based on continuous possession or occupation of the property without the permission (licence) of its legal owner. The possession by a person is not adverse if they are in possession as a tenant or licensee of the legal owner.
Risk management	Risk management is the identification, evaluation, and prioritization of risks (defined in ISO 31000 as the effect of uncertainty on objectives) followed by coordinated and economical application of resources to minimize, monitor, and control the probability or impact of unfortunate events or to maximize the realization of opportunities.\nRisks can come from various sources including uncertainty in international markets, threats from project failures (at any phase in design, development, production, or sustaining of life-cycles), legal liabilities, credit risk, accidents, natural causes and disasters, deliberate attack from an adversary, or events of uncertain or unpredictable root-cause.
Financial condition report	In accounting, a financial condition report (FCR) is a report on the solvency condition of an insurance company that takes into account both the current financial status, as reflected in the balance sheet, and an assessment of the ability of the company to survive future risk scenarios. Risk assessment in an FCR involves dynamic solvency testing, a type of dynamic financial analysis that simulates management response to risk scenarios, to test whether a company could remain solvent in the face of deteriorating economic conditions or major disasters.
Balance sheet	In financial accounting, a balance sheet (also known as statement of financial position or statement of financial condition) is a summary of the financial balances of an individual or organization, whether it be a sole proprietorship, a business partnership, a corporation, private limited company or other organization such as government or not-for-profit entity. Assets, liabilities and ownership equity are listed as of a specific date, such as the end of its financial year.
Financial statement	Financial statements (or financial reports) are formal records of the financial activities and position of a business, person, or other entity.\nRelevant financial information is presented in a structured manner and in a form which is easy to understand.
Financial law	Financial law is the law and regulation of the insurance, derivatives, commercial banking, capital markets and investment management sectors. Understanding Financial law is crucial to appreciating the creation and formation of banking and financial regulation, as well as the legal framework for finance generally.
Trustmark (bank)	Trustmark is a commercial bank and financial services company headquartered in Jackson, Mississippi, United States, with subsidiaries Trustmark National Bank, Trustmark Investment Advisors, and Fisher Brown Bottrell Insurance. The bank's initial predecessor, The Jackson Bank, was chartered by the State of Mississippi in 1889.
Financial analysis	Financial analysis (also referred to as financial statement analysis or accounting analysis or Analysis of finance) refers to an assessment of the viability, stability, and profitability of a business, sub-business or project. \nIt is performed by professionals who prepare reports using ratios and other techniques, that make use of information taken from financial statements and other reports.
Form 10-K	A Form 10-K is an annual report required by the U.S. Securities and Exchange Commission (SEC), that gives a comprehensive summary of a company's financial performance. Although similarly named, the annual report on Form 10-K is distinct from the often glossy "annual report to shareholders," which a company must send to its shareholders when it holds an annual meeting to elect directors (though some companies combine the annual report and the 10-K into one document).
Interest rate	An interest rate is the amount of interest due per period, as a proportion of the amount lent, deposited, or borrowed (called the principal sum). The total interest on an amount lent or borrowed depends on the principal sum, the interest rate, the compounding frequency, and the length of time over which it is lent, deposited, or borrowed.
Collateralized debt obligation	A collateralized debt obligation (CDO) is a type of structured asset-backed security (ABS). Originally developed as instruments for the corporate debt markets, after 2002 CDOs became vehicles for refinancing mortgage-backed securities (MBS).
Mortgage loan	A mortgage loan or simply mortgage (), in civil law jurisdicions known also as a hypothec loan, is a loan used either by purchasers of real property to raise funds to buy real estate, or by existing property owners to raise funds for any purpose while putting a lien on the property being mortgaged. The loan is "secured" on the borrower's property through a process known as mortgage origination.
Mergers and acquisitions	In corporate finance, mergers and acquisitions (M&A) are transactions in which the ownership of companies, other business organizations, or their operating units are transferred or consolidated with other entities. As an aspect of strategic management, M&A can allow enterprises to grow or downsize, and change the nature of their business or competitive position.
Knowledge acquisition	Knowledge acquisition is the process used to define the rules and ontologies required for a knowledge-based system. The phrase was first used in conjunction with expert systems to describe the initial tasks associated with developing an expert system, namely finding and interviewing domain experts and capturing their knowledge via rules, objects, and frame-based ontologies.
PIK loan	A PIK, or payment in kind, is a type of high-risk loan or bond that allows borrowers to pay interest with additional debt, rather than cash. That makes it an expensive, high-risk financing instrument since the size of the debt may increase quickly, leaving lenders with big losses if the borrower is unable to pay back the loan.
California	California is a state in the Western United States. California borders Oregon to the north, Nevada and Arizona to the east, the Mexican state of Baja California to the south; and has a coastline along the Pacific Ocean to the west.
Preferred stock	Preferred stock (also called preferred shares, preference shares, or simply preferreds) is a component of share capital that may have any combination of features not possessed by common stock, including properties of both an equity and a debt instrument, and is generally considered a hybrid instrument. Preferred stocks are senior (i.e., higher ranking) to common stock but subordinate to bonds in terms of claim (or rights to their share of the assets of the company, given that such assets are payable to the returnee stock bond) and may have priority over common stock (ordinary shares) in the payment of dividends and upon liquidation.
Allowance for Loan and Lease Losses	In banking, the Allowance for Loan and Lease Losses (ALLL), formerly known as the reserve for bad debts, is a calculated reserve that financial institutions establish in relation to the estimated credit risk within the institution's assets. This credit risk represents the charge-offs that will most likely be realized against an institution's operating income as of the financial statement end date.
Current Expected Credit Losses	Current Expected Credit Losses (CECL) is a credit loss accounting standard (model) that was issued by the Financial Accounting Standards Board (FASB) on June 16, 2016. CECL replaces the current Allowance for Loan and Lease Losses (ALLL) accounting standard.
Financial institution	Financial institutions, sometimes called banking institutions, are business entities that provide services as intermediaries for different types of financial monetary transactions. Broadly speaking, there are three major types of financial institutions:\nDepository institutions – deposit-taking institutions that accept and manage deposits and make loans, including banks, building societies, credit unions, trust companies, and mortgage loan companies;\nContractual institutions – insurance companies and pension funds\nInvestment institutions – investment banks, underwriters, and other different types of financial entities managing investments.Financial institutions can be distinguished broadly into two categories according to ownership structure:\n\nCommercial banks\nCooperative banksSome experts see a trend toward homogenisation of financial institutions, meaning a tendency to invest in similar areas and have similar business strategies.
Citibank	Citibank is the consumer division of financial services multinational Citigroup. Citibank was founded in 1812 as the City Bank of New York, and later became First National City Bank of New York.
Credit Bank of Moscow	Credit Bank of Moscow (Russian: Московский кредитный банк) is a Russian bank founded in 1992 and operating in Moscow and Moscow Oblast. \nIn 2008-2015 the Moscow Credit Bank raised from 66 to 12 place by assets in Russian bank rating.
List of municipalities in California	California is a state located in the Western United States. It is the most populous state and the third largest by area after Alaska and Texas.
University of California	The University of California (UC) is a public land-grant research university system in the U.S. state of California. The system is composed of the campuses at Berkeley, Davis, Irvine, Los Angeles, Merced, Riverside, San Diego, San Francisco, Santa Barbara, and Santa Cruz, along with numerous research centers and academic abroad centers.
Irvine, California	Irvine () is a master-planned city in Orange County, California, United States in the Los Angeles metropolitan area. The Irvine Company started developing the area in the 1960s and the city was formally incorporated on December 28, 1971.
California Saga/California	"California Saga/California" is a song by American rock band the Beach Boys from their January 1973 album Holland. It was written by Al Jardine and is the third and final part of the "California Saga" series of songs on Holland.
The Californias	The Californias (Spanish: Las Californias), occasionally known as The Three Californias or Two Californias, are a region of North America spanning the United States and Mexico, consisting of the U.S. state of California and the Mexican states of Baja California and Baja California Sur. Historically, the term Californias was used to define the vast northwestern region of Spanish America, as the Province of the Californias (Spanish: Provincia de las Californias), and later as a collective term for Alta California and the Baja California Peninsula.Originally a single, vast entity within the Spanish Empire, as the Californias became defined in their geographical limits, their administration was split various times into Baja California (Lower California) and Alta California (Upper California), especially during the Mexican control of the region, following the Mexican War of Independence.
California Gold Rush	The California Gold Rush (1848–1855) was a gold rush that began on January 24, 1848, when gold was found by James W. Marshall at Sutter's Mill in Coloma, California. The news of gold brought approximately 300,000 people to California from the rest of the United States and abroad.

Risk Factors
COMMERCIAL CAPITAL BANCORP INC Item 1A Risk Factors
We rely, in part, on external financing to fund our operations and the unavailability of such funds in the future could adversely impact our growth strategy and prospects
The Bank relies on deposits, exchange balances, advances from the FHLB of San Francisco and other borrowings to fund its operations
The Bank has also historically relied on certificates of deposit
While the Bank has been successful in promoting its transaction deposit products (money market, savings and checking), certificates of deposits still comprised the majority of total deposits and jumbo deposits nevertheless constituted a significant portion of certificates of deposits at December 31, 2005
Jumbo deposits tend to be a more volatile source of funding
Although management has historically been able to replace such deposits on maturity if desired, no assurance can be given that the Bank would be able to replace such funds at any given point in time were its financial condition or market conditions to change
In addition, while exchange balances are considered similar to the Bank’s transaction accounts, the volatility of such balances is primarily dependent upon fluctuations in the real estate markets and 1031 exchange activity
As such, no assurances can be given that the Company would be able to replace such funds should market conditions change
Furthermore, no assurance can be given that we will be able to continue to issue junior subordinated debentures, thereby depriving the Bank of one source of capital
Although we consider such sources of funds adequate for our current capital needs, we may seek additional debt or equity capital in the future to achieve our long-term business objectives
The sale of equity or convertible debt securities in the future may be dilutive to our stockholders, and debt refinancing arrangements may require us to pledge some of our assets and enter into covenants that would restrict our ability to incur further indebtedness
There can be no assurance that additional financing sources, if 39 ______________________________________________________________________ sought, would be available to us or, if available, would be on terms favorable to us
If additional financing sources are unavailable or are not available on reasonable terms, our growth strategy and future prospects could be adversely impacted
Our business is subject to interest rate risk and variations in market interest rates may negatively affect our financial performance
We are unable to predict fluctuations of market interest rates, which are affected by many factors, including: · inflation; · recession; · a rise in unemployment; · tightening money supply; · changes in monetary and fiscal policies, including interest rate policies of the Board of Governors of the Federal Reserve System; and · domestic and international disorder and instability in domestic and foreign financial markets
Changes in the interest rate environment may reduce our profits
We expect that the Bank will continue to realize income from the differential or “spread” between the interest earned on loans, securities and other interest-earning assets, and interest paid on deposits, borrowings and other interest-bearing liabilities
Net interest spreads are affected by the difference between the maturities and repricing characteristics of interest-earning assets and interest-bearing liabilities
Further, our net interest spread may be negatively impacted when short-term rates rise faster than long-term interest rates over a prolonged period
In addition, an increase in the general level of interest rates may adversely affect the ability of some borrowers to pay the interest on and principal of their obligations, especially borrowers with loans subject to negative amortization
Negative amortization involves a greater risk during a period of rising interest rates because the loan principal may increase above the amount originally advanced, which could increase the risk of default
At December 31, 2005, approximately 4prca of the Bank’s total loan portfolio was currently subject to negative amortization and the Bank had recorded less than dlra1dtta0 million in negative amortization balances as of year-end
However, changes in levels of market interest rates could materially and adversely affect the Bank’s net interest spread, asset quality, levels of prepayments and cash flows as well as the market value of its securities portfolio and overall profitability
We may have difficulty managing our growth, which may divert resources and limit our ability to successfully expand our operations
We have grown substantially over the last several years
The acquisition of Hawthorne significantly contributed to the increase in our assets from dlra1dtta72 billion at December 31, 2003 to dlra5dtta02 billion at December 31, 2004
Our acquisitions in 2005 provided a funding base to support our continued growth in total assets to dlra5dtta45 billion at December 31, 2005
We expect to continue to experience significant growth in the amount of our assets, the level of our deposits and alternative funding sources, the number of our clients and the scale of our operations
Our future profitability will depend in part on our continued ability to grow and we can give no assurance that we will be able to sustain our historical growth rate or even be able to grow organically or through acquisition
In past years, we have incurred substantial expenses to build our management team and personnel, develop our delivery systems and establish our infrastructure to support our future loan growth
Our future success will depend on the ability of our officers and key employees to continue to implement and improve our operational, financial and management controls, reporting systems and procedures, and manage a growing number of client relationships across varying lines of business
We may not be able to successfully implement improvements to our management information and control systems in an efficient or timely manner and may discover deficiencies in existing systems and controls
Thus, we cannot give assurances that our growth strategy will not place a strain on our administrative and operational infrastructure
40 ______________________________________________________________________ We intend to continue to grow our deposits and alternative funding sources and expand our retail banking franchise
In 2004, we added 15 additional branch offices from the Hawthorne acquisition
In 2005 we added one banking office and have announced our plans to open two additional banking offices in 2006
Further, with the acquisitions of TIMCOR and NAEC, we have added 9 office locations and expanded our exchange transaction business to various locations throughout the nation
The close of the Calnet acquisition in March 2006 also added another retail branch location in Northern California
Continued expansion will require additional capital expenditures and we may not be successful in expanding our franchise or in attracting or retaining the personnel it requires
If we are unable to expand our business as we anticipate, we may be unable to realize any benefit from the investments made in our recent initiatives
If we are unable to manage future expansion in our operations, we may have to incur additional expenditures beyond current projections to support future growth
Additionally, the implementation of our recent initiatives to diversify and expand our funding sources, creates a lower degree of near-term earnings predictability and may create higher volatility in the Company’s net interest income, interest rate spread and net interest margin in the near-term
The Bank’s ability to pay dividends is subject to regulatory limitations which, to the extent we require such dividends in the future, may affect our ability to service our debt and pay dividends
We are a separate legal entity from our subsidiaries and do not have significant operations of our own
The availability of dividends from the Bank is limited by various statutes and regulations
It is possible, depending upon the financial condition of the Bank and other factors, that the OTS, the Bank’s primary regulator, could assert that payment of dividends or other payments by the Bank are an unsafe or unsound practice
In the event the Bank is unable to pay dividends to us, we may not be able to service our debt, pay our obligations as they become due, or pay dividends on our common stock
Consequently, the inability to receive dividends from the Bank could adversely affect our financial condition, results of operations and prospects
Our allowance for loan losses may not be adequate to cover actual losses
Like all financial institutions, we maintain an allowance for loan losses to provide for loan defaults and non-performance
Our allowance for loan losses may not be adequate to cover actual loan losses, and future provisions for loan losses could materially and adversely affect our operating results
Our allowance for loan losses is based on our historical loss experience, as well as an evaluation of the risks associated with our loans held for investment
To date, we have experienced negligible losses
The amount of future losses is susceptible to changes in economic, operating and other conditions, including changes in interest rates, that may be beyond our control, and these losses may exceed current estimates
Federal regulatory agencies, as an integral part of their examination process, review our loans and allowance for loan losses
While we believe that our allowance for loan losses is adequate to cover current losses, we cannot provide assurance that we will not need to increase our allowance for loan losses or that regulators will not require us to increase this allowance
Either of these occurrences could materially and adversely affect our earnings and profitability
Our business is subject to various lending and other economic risks that could adversely impact our results of operations and financial condition
Changes in economic conditions, particularly an economic slowdown in California, could hurt our business
Our business is directly affected by political and market conditions, broad trends in industry and finance, legislative and regulatory changes, changes in governmental monetary and fiscal policies and inflation, all of which are beyond our control
A deterioration in economic conditions, in particular an economic slowdown within California, could result in any or all of the following consequences, any of which could hurt our business materially: · loan delinquencies may increase; · problem assets and foreclosures may increase; · demand for our products and services may decline; and 41 ______________________________________________________________________ · collateral for loans made by us, especially real estate, may decline in value, in turn reducing a client’s borrowing power, and reducing the value of assets and collateral associated with our loans held for investment
A downturn in the California real estate market could hurt our business
Our business activities and credit exposure are concentrated in California
A downturn in the California real estate market could hurt our business because the vast majority of our loans are secured by real estate located within California
If there is a significant decline in real estate values, especially in California, the collateral for our loans will provide less security
Real estate values in California could be affected by, among other things, earthquakes and other natural disasters particular to California
We may suffer losses in our loan portfolio despite our underwriting practices
We seek to mitigate the risks inherent in our loan portfolio by adhering to specific underwriting practices
These practices include analysis of a borrower’s prior credit history, financial statements, tax returns and cash flow projections, valuation of collateral based on reports of independent appraisers and verification of liquid assets
Although we believe that our underwriting criteria are appropriate for the various kinds of loans we make, we may incur losses on loans that meet our underwriting criteria, and these losses may exceed the amounts set aside as reserves in our allowance for loan losses
Two of our executive officers own a significant amount of our common stock and may make decisions that are not in the best interests of all stockholders
As of December 31, 2005, two of our senior executive officers, Stephen H Gordon and David S DePillo, owned approximately 10dtta9prca of our outstanding common stock
In addition, over the years, these senior executive officers have been granted restricted stock and options to acquire shares of our common stock, which when vested and exercised will increase their ownership of shares of our common stock
As of December 31, 2005, assuming the full exercise of all restricted stock and outstanding options, Messrs
Gordon and DePillo would own in the aggregate approximately 15dtta1prca of our outstanding common stock
As a result, these individuals, by virtue of their stock ownership, will have the ability to influence the election or removal of our Board of Directors, as well as the outcome of any other matters to be decided by a vote of stockholders
We are subject to extensive regulation which could adversely affect us
Our operations are subject to extensive regulation by federal, state and local governmental authorities and are subject to various laws and judicial and administrative decisions imposing requirements and restrictions on part or all of our operations
We believe that we are in substantial compliance in all material respects with applicable federal, state and local laws, rules and regulations
Because our business is highly regulated, the laws, rules and regulations applicable to us are subject to regular modification and change
There can be no assurance that there will be no laws, rules or regulations adopted in the future, which could make compliance more difficult or expensive, or otherwise adversely affect our business, financial condition or prospects
42 ______________________________________________________________________ We face strong competition from other financial institutions, financial service companies and other organizations offering services similar to those offered by us, which could hurt our business
We conduct our business operations primarily in California
Increased competition within California may result in reduced loan originations and deposits
Ultimately, we may not be able to compete successfully against current and future competitors
Many competitors offer the same types of loans and banking services that we offer
These competitors include other savings associations, national banks, regional banks and other community banks
We also face competition from many other types of financial institutions, including finance companies, brokerage firms, insurance companies, credit unions, mortgage banks and other financial intermediaries
In particular, our competitors include national banks and major financial companies whose greater resources may afford them a marketplace advantage by enabling them to maintain numerous banking locations and mount extensive promotional and advertising campaigns
Additionally, banks and other financial institutions with larger capitalization and financial intermediaries not subject to bank regulatory restrictions have larger lending limits and are thereby able to serve the credit needs of larger clients
These institutions, particularly to the extent they are more diversified than we are, may be able to offer the same loan products and services that we offer at more competitive rates and prices
If we are unable to attract and retain banking clients, we may be unable to continue our loan and deposit growth and our business, financial condition and prospects may be negatively affected
We are involved in significant litigation related to our Commercial Banking Division