GMAC Bank Receives 'Conditional Approval' from OTS; Johnson Named Bank President

HORSHAM, Pa. - The Office of Thrift Supervision (OTS) today granted GMAC Residential Holding Corp. conditional approval to form GMAC Bank, a federal savings bank.



GMAC Bank will operate as a one-office banking institution in Wilmington, Del. offering deposit products such as checking, savings and certificate of deposit accounts in addition to first and second mortgage loans offered by its subsidiary, GMAC Mortgage Corporation. Customers will have access to their accounts via telephone and ATM machines.

The bank, which expects to commence operations during the second half of 2000, will provide diverse sources of funding for GMAC Mortgage's residential lending operations and be a vehicle to offer customers personal financial services including various insurance and investment products and eventually consumer loans.

"A federal savings bank will enable us to expand the GMAC brand by offering a wide range of financial products and services to customers including banking services, home finance products, and investment and insurance options," said R. Michael O'Brien, GMAC Residential Holding Corp. president and CEO.

O'Brien also announced today the appointment of Jeffrey R. Johnson as president of GMAC Bank. As president of GMAC Bank, Johnson is responsible for overseeing all aspects of the bank's operations and will serve on the board of directors.

Johnson has 18 years of experience in financial services and most recently served as president and CEO of Equifax Secure, a wholly owned e-commerce subsidiary of Equifax Inc. based in Atlanta. From 1989 to 1997 Johnson served as president and CEO of The Prudential Bank & Trust Company, a wholly owned subsidiary of Prudential Insurance, where he was instrumental in creating a remote banking business with more than 1.5 million retail customer relationships. Johnson's experience prior to Prudential included positions at First RepublicBank Corporation, Citicorp Savings and Colgate Palmolive.

GMAC Residential Holding Corp. is the parent of GMAC Mortgage Corporation and GMAC Home Services. GMAC Bank, GMAC Mortgage, GMAC Real Estate, and GMAC Global Relocation represent the homeownership brands of GMAC.