Stephen W Prough

California's savings and loans dominate the nation's thrift industry. Nine of the 10 largest S&Ls are based in the Golden State, and the state's 151 thrifts hold more than 25% of the industry's thrift deposits. It is little wonder, then, that the California League of Savings Institutions, an industry trade group, would wield a lot of influence in the state and the nation.

Stephen W. Prough, the longtime thrift industry executive who unexpectedly resigned as president of Downey S&L and its Downey Financial Corp. holding company a year ago, received $800,000 in severance pay, double his $400,000 annual salary. Downey's new proxy report to shareholders shows that Prough, who was 52 when he stepped down, received a total of $1.7 million after he resigned Feb. 14, 1997, less than four years after he took the job.

Stephen W. Prough, the longtime thrift industry executive who unexpectedly resigned as president of Downey S&L and its Downey Financial Corp. holding company a year ago, received $800,000 in severance pay, double his $400,000 annual salary. Downey's new proxy report to shareholders shows that Prough, who was 52 when he stepped down, received a total of $1.7 million after he resigned Feb. 14, 1997, less than four years after he took the job.

Downey Savings & Loan, ending its long and sometimes turbulent search for a young and respected leader, said Tuesday that it has hired industry veteran Stephen W. Prough as its president and chief executive. Prough, 49, who has held similar positions at Western Financial Savings Bank for 11 years, will take the reins at Downey on Monday. He fills posts vacated in April by Robert L. Kemper, who retired. "It's exciting," Prough said Tuesday about the new job.

Downey Savings & Loan, ending its long and sometimes turbulent search for a young and respected leader, said Tuesday that it has hired industry veteran Stephen W. Prough as its president and chief executive. Prough, 49, who has held similar positions at Western Financial Savings Bank for 11 years, will take the reins at Downey on Monday. He fills posts vacated in April by Robert L. Kemper, who retired. "It's exciting," Prough said Tuesday about the new job.

For many Orange County executives, 1991 was a year when their pay packages came under greater shareholder scrutiny and corporate boards were cautious in handing out cash bonuses and perks. It mirrored a trend statewide of keeping executive compensation in line with a company's financial performance. Of the top 100 county executives on the list of publicly traded companies, one-third of the officers saw their cash compensation remain unchanged or had it reduced.

Atlantic Richfield Co. and Lukoil, Russia's largest oil company, formalized their previously announced $5-billion, 18-year joint venture, called Lukarco, for oil and gas development in Russia and other countries. . . . Apple Computer Inc. was dealt another blow when Microsoft Corp. announced it would halt development on a Windows NT operating system for the PowerPC microprocessor, the engine for Apple's Macintosh computers. . . . Informix Software Inc. has sued Oracle Corp.

California's savings and loans dominate the nation's thrift industry. Nine of the 10 largest S&Ls are based in the Golden State, and the state's 151 thrifts hold more than 25% of the industry's thrift deposits. It is little wonder, then, that the California League of Savings Institutions, an industry trade group, would wield a lot of influence in the state and the nation.

At a specially called meeting Wednesday, shareholders of Downey Savings & Loan approved the formation of a holding company to provide more flexibility in acquiring other operations and pursuing new investment opportunities. The vote for creating Downey Financial Corp. was a major step in Downey's previously announced growth strategy, which also includes the cost-saving measure of switching from a state charter to a federal one.

To provide more financing for home buyers, Western Financial Savings Bank in Orange has negotiated an agreement to exchange $50 million of adjustable-rate mortgages for a like amount of securities from a major secondary market purchaser. The deal marks the first time that the Federal Home Loan Mortgage Corp., known as Freddie Mac, has agreed to an even swap of adjustable-rate mortgages that carry interest rate caps for securities it issues based on those mortgages.