To Our Shareholders,

In 2002, City National Bank further strengthened its position as California’s Premier Private and Business Bank, achieving record earnings for the seventh consecutive year and double-digit percentage increases in assets, loans, deposits, revenue, noninterest income and shareholders’ equity. We also continued to invest in this company’s future—expanding into new markets, enhancing our banking and wealth management capabilities and increasing our rigorous attention to credit quality and operational risk.

City National’s success is testimony to the powerful combination of growing markets, a sound business model, a compelling value proposition and an attractive client base—a combination that fuels our commitment to achieving consistent, quality earnings growth while enhancing future opportunities.

Our performance reflects the hard work, effectiveness and expertise of Team City National. Despite challenging economic conditions, our 2,250 colleagues turned in another year of significant growth and progress, underscoring their dedication to creating value for our shareholders, clients and the communities we serve. As a result, City National has become the second largest independent bank headquartered in California.