Cash and Cash Equivalents and Restricted Cash

6 Months Ended

Jun. 30, 2011

Cash and Cash Equivalents and Restricted Cash [Abstract]

Cash and Cash Equivalents and Restricted Cash

Note 4.   Cash and Cash Equivalents and Restricted Cash

As of June 30, 2011 and December 31, 2010, our cash and cash equivalents and restricted cash balances were as follows:

	June 30, 2011				December 31, 2010
	Unrestricted		Restricted		Unrestricted		Restricted
	($ in thousands)
Cash and cash equivalents and restricted cash:
Cash and due from banks(1)	$	257,618	$	46,882	$	576,276	$	58,814
Interest-bearing deposits in other banks(2)		147,667		—		70,383		10,213
Other short-term investments(3)		1,175,981		54,374		173,791		59,559
Total cash and cash equivalents and restricted cash	$	1,581,266	$	101,256	$	820,450	$	128,586

(1)	Represents principal and interest collections, including those related to loans held by securitization trusts or pledged to financing sources.
(2)	Represents principal and interest collections on loan assets pledged to financing sources. Included in these balances for CapitalSource Bank were $83.1 million and $63.6 million in deposits at the Federal Reserve Bank (“FRB”) as of June 30, 2011 and December 31, 2010, respectively.
(3)	Represents principal and interest collections, including those related to loans held by securitization trusts or pledged to financing sources and also includes short-term investments held by CapitalSource Bank. Cash is invested in short term investment grade commercial paper which is rated by at least two of the three major rating agencies (S&P, Moody’s or Fitch) and has a rating of A1 (S&P) P1 (Moody’s) or F1 (Fitch) and in a short-term money market fund which has a rating of AAAm (S&P) and Aaa (Moody’s).