Downey Financial 8-K Regulation FD Disclosure

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EXHIBIT 99.1

DOWNEY FINANCIAL CORP.
N E W S   R E L E A S E	For further information contact: Brian E. Côté Chief Financial Officer (949) 509-4420

DOWNEY FINANCIAL CORP. ANNOUNCES THIRTEEN
MONTH SELECTED FINANCIAL DATA

          Newport Beach, California — December 14, 2007 — Downey Financial Corp. (NYSE: DSL) today released monthly selected financial data for the thirteen months ended November 30, 2007.

          Downey Financial Corp. is the parent company of Downey Savings and Loan Association, F.A., with assets of $13.5 billion and 168 branches throughout California and four in Arizona.

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DOWNEY FINANCIAL CORP. AND SUBSIDIARIES
Monthly Selected Financial Data (Unaudited)

			Nov. 30,			Oct. 31,			Sep. 30,			Aug. 31,			Jul. 31,			Jun. 30,			May 31,			Apr. 30,			Mar. 31,			Feb. 28,			Jan. 31,			Dec. 31,			Nov. 30,
(Dollars in Thousands)			2007			2007			2007			2007			2007			2007			2007			2007			2007			2007			2007			2006			2006
Balance sheet summary
Total assets			$13,535,656			$14,182,233			$14,417,717			$14,366,680			$14,657,661			$14,902,970			$15,001,085			$15,140,169			$15,237,869			$15,509,333			$15,785,578			$16,207,382			$16,496,149
Loans receivable held for investment, net			11,324,527			11,477,114			11,601,845			11,725,121			11,921,877			12,204,200			12,441,979			12,716,549			12,942,037			13,254,834			13,477,937			13,807,284			14,185,494
Loans held for sale, at lower of cost or fair value			79,245			104,265			90,228			94,912			145,190			187,752			232,917			309,782			267,862			249,983			315,785			363,215			357,666
MBS available for sale, at fair value			111			111			112			113			114			114			115			116			117			118			119			251			253
Cash, investment securities and FHLB stock			1,690,570			2,173,884			2,299,959			2,145,314			2,209,551			2,139,340			1,956,838			1,769,031			1,694,467			1,665,319			1,657,988			1,710,995			1,629,887
Deposits			10,612,031			10,616,627			10,662,618			10,804,339			11,005,347			11,246,806			11,292,781			11,405,411			11,647,431			11,553,635			11,619,776			11,784,869			11,777,977
FHLB advances and other borrowings			1,194,828			1,576,505			1,875,217			1,769,081			1,772,685			1,691,917			1,638,500			1,954,340			1,845,067			2,081,688			2,330,821			2,610,756			2,774,668
Senior notes			198,429			198,413			198,398			198,382			198,367			198,351			198,335			198,320			198,305			198,290			198,275			198,260			198,245
Non-performing assets as a % of total assets(a)			3.65	%		2.74	%		2.25	%		1.96	%		1.77	%		1.53	%		1.30	%		1.04	%		0.94	%		0.88	%		0.78	%		0.68	%		0.55	%
Loan activity for the month ended
Loans for investment portfolio:
	Originations and purchases:
		Residential one-to-four units	$98,410			$103,877			$165,724			$171,857			$94,681			$204,552			$236,340			$258,060			$238,848			$211,270			$152,780			$169,304			$173,038
		All other	10,862			905			738			7,755			8,250			4,395			7,871			2,610			6,812			7,814			2,874			2,063			2,344
	Repayments		(240,038		)	(231,005		)	(223,419		)	(370,405		)	(385,801		)	(453,893		)	(533,008		)	(503,098		)	(577,134		)	(468,436		)	(514,617		)	(576,823		)	(530,449		)
Loans for sale:
	Originations and purchases		59,159			73,268			64,144			71,983			108,704			123,511			172,508			198,852			219,292			197,503			223,874			247,661			245,428
	Sales		(84,441		)	(58,183		)	(66,137		)	(120,636		)	(150,547		)	(166,223		)	(247,338		)	(156,379		)	(200,424		)	(252,483		)	(261,523		)	(236,633		)	(252,738		)
Mortgage loans serviced for others
Total			$5,553,615			$5,608,891			$5,622,331			$5,743,797			$5,898,401			$6,002,907			$5,968,713			$6,004,347			$6,021,673			$6,094,132			$6,051,650			$5,908,233			$5,819,457
With capitalized mortgage servicing rights:(b)
	Amount		2,429,506			2,418,279			2,419,432			2,418,387			2,409,926			2,383,290			2,374,452			2,345,736			2,348,060			2,356,824			2,350,553			2,394,754			2,349,285
	Weighted average interest rate		5.86	%		5.85	%		5.83	%		5.81	%		5.80	%		5.79	%		5.79	%		5.78	%		5.77	%		5.75	%		5.75	%		5.75	%		5.73	%
Interest rate spread data(c)
Weighted average yield:
	Loans and MBS		7.45	%		7.42	%		7.45	%		7.47	%		7.46	%		7.49	%		7.55	%		7.58	%		7.61	%		7.62	%		7.60	%		7.59	%		7.52	%
	Investment securities(d)		5.23			5.41			5.50			5.52			5.51			5.45			5.34			5.37			5.37			5.38			5.38			5.38			5.34
		Interest-earning assets yield	7.18			7.12			7.15			7.19			7.18			7.22			7.28			7.34			7.40			7.41			7.39			7.38			7.34
Weighted average cost:
	Deposits		3.93			3.97			3.96			3.94			3.97			3.97			3.96			3.96			3.94			3.99			3.99			3.95			3.93
	FHLB advances and other borrowings(e)		5.76			5.68			5.71			5.80			5.93			5.94			5.97			5.83			5.89			5.85			5.81			5.77			5.73
	Senior notes		6.50			6.50			6.50			6.50			6.50			6.50			6.50			6.50			6.50			6.50			6.50			6.50			6.50
		Combined funds cost	4.16			4.23			4.26			4.24			4.28			4.26			4.25			4.27			4.24			4.31			4.33			4.31			4.31
Interest rate spread			3.02	%		2.89	%		2.89	%		2.95	%		2.90	%		2.96	%		3.03	%		3.07	%		3.16	%		3.10	%		3.06	%		3.07	%		3.03	%

(a)  Includes the impact of real estate acquired in the settlement of loans that is being held and leased while waiting for a more favorable sales environment.
(b)  The estimated fair value may exceed book value for certain asset strata and excluded loans sold or securitized prior to 1996 and loans sub-serviced without capitalized mortgage servicing rights.
(c)  Excludes adjustments for non-accrual loans, amortization of net deferred costs to originate loans, premiums and discounts, prepayment and late fees and FHLB stock dividends.
(d)  Includes the yield on investment securities accounted for on a trade-date basis but for which interest income will not be recognized until settlement. Yields for securities available for sale are calculated using historical cost balances and are not adjusted for changes in fair value that are reflected as a separate component of stockholder's equity.
(e)  Includes the impact of interest rate swap contracts, with notional amounts of $430 million of receive-fixed, pay-3-month LIBOR variable interest, which contracts serve as a permitted hedge against a portion of our FHLB advances.

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