X0202 4 2005-10-17 0 0001241199 CAPITALSOURCE INC CSE 0000948986 FRIEDMAN TULLY M C/O FRIEDMAN FLEISCHER & LOWE ONE MARITIME PLAZA, 10TH FLOOR SAN FRANCISCO CA 94111 1 0 0 0 Common Stock 2005-10-17 4 J 0 2669552 D 0 I See Footnote Common Stock 2005-10-17 4 J 0 111656 A 111656 D For text of footnote, see Exhibit 99 filed herewith. FFL Executive Partners, LP ("FFLEPLP"), in the aggregate, distributed 47,434 shares pro rata for no consideration to the partners of FFLEPLP. Certain limited partners of FFLEPLP elected to have their pro rata portion, a total of 29,296 shares, sold on their behalf in a private sale. These shares have been sold by Friedman Fleischer & Lowe, LLC, as agent for these limited partners in a private sale. The proceeds from these sales will be delivered to the limited partners of FFLEPLP who made this election. The shares were held by FFLEPLP. FFLEPLP is controlled by Friedman Fleischer & Lowe GP, LLC, its general partner. The reporting person is Senior Managing Member of Friedman Fleischer & Lowe GP, LLC, and may be deemed to beneficially own the shares of Common Stock owned by FFLEPLP. The reporting person disclaims beneficial ownership of any shares in which it does not have a pecuniary interest. Not Applicable. Friedman Fleischer & Lowe GP, LLC, in the aggregate, distributed 436,618 shares pro rata for no consideration to the members of Friedman Fleischer & Lowe GP, LLC. Certain members of Friedman Fleischer & Lowe GP, LLC elected to have their pro rata portion, a total of 233,442 shares, sold on their behalf in a private sale. These shares have been sold by Friedman Fleischer & Lowe, LLC, as agent for these members in a private sale. The reporting person is Senior Managing Member of Friedman Fleischer & Lowe GP, LLC. EXHIBIT LIST: Exhibit 99: Certain Footnotes /s/ Tully M. Friedman 2005-10-19