**UNITED        STATES**

**SECURITIES        AND EXCHANGE COMMISSION**

**Washington,        D. C. 20549**

**FORM        10-Q**

**For        the quarter ended September 30, 2005**

**000-51493**

**White        River Capital, Inc.**

| **Indiana**                                                                                             | **35-1908796**                                         |
|--------------------------------------------------------------------------------------------------------------|-------------------------------------------------------------|
| (State                  or other jurisdiction of  incorporation                  or organization)  | (I.R.S.                  Employer Identification No.)  |

**250        North Shadeland Avenue**

**Indianapolis,        Indiana 46219**

**(317)        806-2166**

**As        of November XX, 2005, there were 3,810,155 shares outstanding of the issuer’s        Common Stock, without par value.**

----

**White        River Capital, Inc.**

**Form        10-Q for the Quarter Ended September 30, 2005**

**___________________________________________________________________________________**

**-        INDEX **
**-**

|                          |                                                                                                                                                                                                                             | **Page** |
|-------------------------------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|----------|
|                          |                                                                                                                                                                                                                             |     |
| **PART                  I**   | **FINANCIAL                  INFORMATION**                                                                                                                                                                                       |     |
|                          |                                                                                                                                                                                                                             |     |
| **Item                  1.**  | **Financial                  Statements**                                                                                                                                                                                        |     |
|                          |                                                                                                                                                                                                                             |     |
|                          | **Unaudited                  Condensed Consolidated Balance Sheets as of September 30, 2005                  and                  December 31, 2004**                                                                            | **1**    |
|                          |                                                                                                                                                                                                                             |     |
|                          | **Unaudited                  Condensed Consolidated Statements of Operations for the three and                  nine                  month periods ended September 30, 2005 and 2004**                                          | **2**    |
|                          |                                                                                                                                                                                                                             |     |
|                          | **Unaudited                  Condensed Consolidated Statements of Cash Flows for the nine month                  periods                  ended September 30, 2005 and 2004**                                               | **3**    |
|                          |                                                                                                                                                                                                                             |     |
|                          | **Unaudited                  Condensed Consolidated Statements of Comprehensive Income for the                  three                  and nine month periods ended September 30, 2005 and September 30,                  2004** | **4**    |
|                          |                                                                                                                                                                                                                             |     |
|                          | **Notes                  to Unaudited Condensed Consolidated Financial                  Statements**                                                                                                                             | **5**    |
|                          |                                                                                                                                                                                                                             |     |
| **Item                  2.**  | **Management’s                  Discussion and Analysis of Financial Condition** **and                  Results of Operations**                                                                                       | **20**   |
|                          |                                                                                                                                                                                                                             |     |
| **Item                  4.**  | **Controls                  and Procedures**                                                                                                                                                                                     | **45**   |
|                          |                                                                                                                                                                                                                             |     |
|                          |                                                                                                                                                                                                                             |     |
| **PART                  II.** | **OTHER                  INFORMATION**                                                                                                                                                                                           |     |
|                          |                                                                                                                                                                                                                             |     |
| **Item                  1.**  | **Legal                  Proceedings**                                                                                                                                                                                           | **46**   |
|                          |                                                                                                                                                                                                                             |     |
| **Item                  2.**  | **Unregistered                  Sales of Equity Securities and Use of Proceeds**                                                                                                                                                 | **46**   |
|                          |                                                                                                                                                                                                                             |     |
| **Item                  4.**  | **Submission                  of Matters to Vote of Security Holders**                                                                                                                                                           | **46**   |
|                          |                                                                                                                                                                                                                             |     |
| **Item                  6.**  | **Exhibits                  and Reports on Form 8-K**                                                                                                                                                                            | **47**   |
|                          |                                                                                                                                                                                                                             |     |
|                          |                                                                                                                                                                                                                             |     |
| **SIGNATURES**                | **48**                                                                                                                                                                                                                           |

----

**Part              I **
**Financial              Information**

**Item            1. **
**Financial            Statements **

| **WHITE                  RIVER CAPITAL, INC.**                               |   |                                    |     |                                   |   |
|------------------------------------------------------------------------------|--------|-----------------------------------------|----------|----------------------------------------|--------|
| **CONDENSED                  CONSOLIDATED BALANCE SHEETS**                   |   |                                    |     |                                   |   |
| **(Unaudited)**                                                              |   |                                    |     |                                   |   |
| **(Dollars                  in thousands)**                                  |   |                                    |     |                                   |   |
|                                                                         |   |                                    |     |                                   |   |
| **ASSETS**                                                                   |   | **September                  30, 2005** |     | **December                  31, 2004** |   |
|                                                                         |   |                                    |     |                                   |   |
| Cash                  and cash equivalent                                    |   | $                                       | 8,884    |                                   | $      | 3,745 |   |
| Restricted                  cash                                             |   |                                    | 28,059   |                                   |   | 23,530 |   |
| Securitized                  finance receivables—net                   |   |                                    | 138,169  |                                   |   | 115,165 |   |
| Finance                  receivables—net                               |   |                                    | 69,936   |                                   |   |  |   |
| Beneficial                  interest in Master Trust                         |   |                                    | 7,831    |                                   |   | 3,677 |   |
| Deferred                  costs                                              |   |                                    | -        |                                   |   | 634 |   |
| Goodwill                                                                     |   |                                    | 40,638   |                                   |   | - |   |
| Other                  assets                                                |   |                                    | 3,820    |                                   |   | 4,179 |   |
|                                                                         |   |                                    |          |                                   |   |  |   |
| TOTAL                                                                        |   | $                                       | 297,337  |                                   | $      | 150,930 |   |
|                                                                         |   |                                    |          |                                   |   |  |   |
|                                                                         |   |                                    |          |                                   |   |  |   |
| **LIABILITIES                  AND SHAREHOLDERS’ EQUITY (DEFICIENCY)** |   |                                    |          |                                   |   |  |   |
|                                                                         |   |                                    |          |                                   |   |  |   |
| LIABILITIES:                                                                 |   |                                    |          |                                   |   |  |   |
| Collateralized                  financing                                    |   | $                                       | 160,620  |                                   | $      | 132,257 |   |
| Line                  of credit                                              |   |                                    | 53,500   |                                   |   |  |   |
| Secured                  note payable                                        |   |                                    | 15,000   |                                   |   |  |   |
| Subordinated                  debentures                                     |   |                                    | 7,750    |                                   |   |  |   |
| Notes                  payable - Coastal Credit purchase holdback            |   |                                    | 5,000    |                                   |   |  |   |
| Accrued                  interest                                            |   |                                    | 1,666    |                                   |   | 7,100 |   |
| Amounts                  due to Master Trust                                 |   |                                    | 5,416    |                                   |   | 6,640 |   |
| Creditor                  notes payable                                      |   |                                    | 1,321    |                                   |   | 11,445 |   |
| Due                  to Castle Creek                                         |   |                                    | -        |                                   |   | 634 |   |
| Other                  payables and accrued expenses                         |   |                                    | 2,842    |                                   |   | 1,156 |   |
|                                                                         |   |                                    |          |                                   |   |  |   |
| Total                  liabilities                                           |   |                                    | 253,115  |                                   |   | 159,232 |   |
|                                                                         |   |                                    |          |                                   |   |  |   |
| SHAREHOLDERS’                  EQUITY:                                 |   |                                    |          |                                   |   |  |   |
| Preferred                  Stock, without par value, authorized              |   |                                    |          |                                   |   |  |   |
| 3,000,000                  shares; none issued and outstanding               |   |                                    | -        |                                   |   | - |   |
| Common                  Stock, without par value, authorized                 |   |                                    |          |                                   |   |  |   |
| 20,000,000                  shares; 3,810,155 issued and outstanding         |   |                                    | 179,157  |                                   |   | 145,900 |   |
| Warrants                                                                     |   |                                    | 534      |                                   |   | - |   |
| Accumulated                  other comprehensive income                      |   |                                    | 7,394    |                                   |   | 1,943 |   |
| Accumulated                  deficit                                         |   |                                    | (142,863 | )                                      |   | (156,145 | ) |
|                                                                         |   |                                    |          |                                   |   |  |   |
| Total                  shareholders’ equity (deficiency)               |   |                                    | 44,222   |                                   |   | (8,302 | ) |
|                                                                         |   |                                    |          |                                   |   |  |   |
| TOTAL                                                                        |   | $                                       | 297,337  |                                   | $      | 150,930 |   |
|                                                                         |   |                                    |          |                                   |   |  |   |
| See                  notes to condensed consolidated financial statements.   |   |                                    |          |                                   |   |  |   |

----

**Part        I **
**Financial        Information - Continued**

**Item            1. **
**Financial            Statements - Continued**

| **WHITE                    RIVER CAPITAL, INC.**                                                                   |   |                                                    |      |                                                   |   |     |   |     |    |
|--------------------------------------------------------------------------------------------------------------------|--------|---------------------------------------------------------|-----------|--------------------------------------------------------|--------|----------|--------|----------|---------|
| **CONDENSED                    CONSOLIDATED STATEMENTS OF OPERATIONS**                                             |   |                                                    |      |                                                   |   |     |   |     |    |
| **(Unaudited)**                                                                                                    |   |                                                    |      |                                                   |   |     |   |     |    |
| **(Dollars                    in thousands, except per share amounts)**                                            |   |                                                    |      |                                                   |   |     |   |     |    |
|                                                                                                               |   |                                                    |      |                                                   |   |     |   |     |    |
|                                                                                                               |   | **Three                    Months Ended September 30,** |      | **Nine                    Months Ended September 30,** |   |
|                                                                                                               |   | **2005**                                                |      | **2004**                                               |   | **2005** |   | **2004** |    |
| INTEREST:                                                                                                          |   |                                                    |      |                                                   |   |     |   |     |    |
| Interest                    on receivables                                                                         |   | $                                                       | 7,888     |                                                   | $      | 3,569    |   | $        | 17,775  |   | $ | 9,517 |   |
| Accretion                    and other interest                                                                    |   |                                                    | 2,333     |                                                   |   | 301      |   |     | 8,052   |   |   | 732 |   |
|                                                                                                               |   |                                                    |           |                                                   |   |          |   |     |         |   |   |  |   |
| Total                    interest income                                                                           |   |                                                    | 10,221    |                                                   |   | 3,870    |   |     | 25,827  |   |   | 10,249 |   |
|                                                                                                               |   |                                                    |           |                                                   |   |          |   |     |         |   |   |  |   |
| Interest                    expense                                                                                |   |                                                    | (3,189    | )                                                      |   | (3,415   | )      |     | (11,532 | ) |   | (9,623 | ) |
|                                                                                                               |   |                                                    |           |                                                   |   |          |   |     |         |   |   |  |   |
| Net                    interest margin                                                                             |   |                                                    | 7,032     |                                                   |   | 455      |   |     | 14,295  |   |   | 626 |   |
|                                                                                                               |   |                                                    |           |                                                   |   |          |   |     |         |   |   |  |   |
| Provision                    for estimated credit losses                                                           |   |                                                    | (1,031    | )                                                      |   | (2,285   | )      |     | (2,844  | ) |   | (6,484 | ) |
|                                                                                                               |   |                                                    |           |                                                   |   |          |   |     |         |   |   |  |   |
| Net                    interest margin (deficiency) after provision for estimated credit                    losses |   |                                                    | 6,001     |                                                   |   | (1,830   | )      |     | 11,451  |   |   | (5,858 | ) |
|                                                                                                               |   |                                                    |           |                                                   |   |          |   |     |         |   |   |  |   |
| OTHER                    REVENUES:                                                                                 |   |                                                    |           |                                                   |   |          |   |     |         |   |   |  |   |
| Credit                    (charge) to Master Trust—net                                                       |   |                                                    | (2,126    | )                                                      |   | 496      |   |     | (5,179  | ) |   | 1,633 |   |
| Gain                    from extinguishment of debt                                                                |   |                                                    | 266       |                                                   |   | -        |   |     | 11,327  |   |   | - |   |
| Other                    income                                                                                    |   |                                                    | 188       |                                                   |   | 707      |   |     | 614     |   |   | 2,293 |   |
|                                                                                                               |   |                                                    |           |                                                   |   |          |   |     |         |   |   |  |   |
| Total                    other revenues (charges), net                                                             |   |                                                    | (1,672    | )                                                      |   | 1,203    |   |     | 6,762   |   |   | 3,926 |   |
|                                                                                                               |   |                                                    |           |                                                   |   |          |   |     |         |   |   |  |   |
| OTHER                    EXPENSES:                                                                                 |   |                                                    |           |                                                   |   |          |   |     |         |   |   |  |   |
| Salaries                    and benefits                                                                           |   |                                                    | 551       |                                                   |   | 105      |   |     | 722     |   |   | 309 |   |
| Operating                    expenses                                                                              |   |                                                    | 718       |                                                   |   | 242      |   |     | 1,324   |   |   | 824 |   |
| Third                    party servicing expense                                                                   |   |                                                    | 1,015     |                                                   |   | 639      |   |     | 2,642   |   |   | 1,720 |   |
| Bankruptcy                    costs                                                                                |   |                                                    | 74        |                                                   |   | 104      |   |     | 244     |   |   | 404 |   |
|                                                                                                               |   |                                                    |           |                                                   |   |          |   |     |         |   |   |  |   |
| Total                    other expenses                                                                            |   |                                                    | 2,358     |                                                   |   | 1,090    |   |     | 4,932   |   |   | 3,257 |   |
|                                                                                                               |   |                                                    |           |                                                   |   |          |   |     |         |   |   |  |   |
| INCOME                    (LOSS) BEFORE INCOME TAXES                                                               |   |                                                    | 1,971     |                                                   |   | (1,717   | )      |     | 13,281  |   |   | (5,189 | ) |
|                                                                                                               |   |                                                    |           |                                                   |   |          |   |     |         |   |   |  |   |
| INCOME                    TAXES                                                                                    |   |                                                    | -         |                                                   |   | -        |   |     | -       |   |   | - |   |
|                                                                                                               |   |                                                    |           |                                                   |   |          |   |     |         |   |   |  |   |
| NET                    INCOME (LOSS)                                                                               |   | $                                                       | 1,971     |                                                   | $      | (1,717   | )      | $        | 13,281  |   | $ | (5,189 | ) |
|                                                                                                               |   |                                                    |           |                                                   |   |          |   |     |         |   |   |  |   |
| NET                    INCOME (LOSS) PER COMMON SHARE (BASIC)                                                      |   | $                                                       | 1.32      |                                                   | $      | (5.54    | )      | $        | 18.77   |   | $ | (16.73 | ) |
|                                                                                                               |   |                                                    |           |                                                   |   |          |   |     |         |   |   |  |   |
| NET                    INCOME (LOSS) PER COMMON SHARE (DILUTED)                                                    |   | $                                                       | 1.32      |                                                   | $      | (5.54    | )      | $        | 18.74   |   | $ | (16.73 | ) |
|                                                                                                               |   |                                                    |      |                                                   |   |     |   |     |    |   |   |   |   |
| BASIC                    WEIGHTED AVERAGE NUMBER                                                                   |   |                                                    |           |                                                   |   |          |   |     |         |   |   |  |   |
| OF                    COMMON SHARES OUTSTANDING                                                                    |   |                                                    | 1,489,503 |                                                   |   | 310,191  |   |     | 707,591 |   |   | 310,191 |   |
|                                                                                                               |   |                                                    |      |                                                   |   |     |   |     |    |   |   |   |   |
| DILUTED                    WEIGHTED AVERAGE NUMBER                                                                 |   |                                                    |           |                                                   |   |          |   |     |         |   |   |  |   |
| OF                    COMMON SHARES OUTSTANDING                                                                    |   |                                                    | 1,492,669 |                                                   |   | 310,191  |   |     | 708,658 |   |   | 310,191 |   |
|                                                                                                               |   |                                                    |           |                                                   |   |          |   |     |         |   |   |  |   |
|                                                                                                               |   |                                                    |           |                                                   |   |          |   |     |         |   |   |  |   |
| See                    notes to condensed consolidated financial statements.                                       |   |                                                    |           |                                                   |   |          |   |     |         |   |   |  |   |

----

**Part              I **
**Financial              Information - Continued**

**Item            1. **
**Financial            Statements - Continued**

| **WHITE                  RIVER CAPITAL, INC.**                                                                                                        |   |                                                                                                     |     |     |   |
|-------------------------------------------------------------------------------------------------------------------------------------------------------|--------|----------------------------------------------------------------------------------------------------------|----------|----------|--------|
| **CONDENSED                  CONSOLIDATED STATEMENTS OF CASH FLOWS**                                                                                  |   |                                                                                                     |     |     |   |
| **(Unaudited)**                                                                                                                                       |   |                                                                                                     |     |     |   |
| **(Dollars                  in thousands)**                                                                                                           |   |                                                                                                     |     |     |   |
|                                                                                                                                                  |   |                                                                                                     |     |     |   |
|                                                                                                                                                  |   | **Nine                  Months Ended **                   **September                    30,** |     |
|                                                                                                                                                  |   | **2005**                                                                                                 |     | **2004** |   |
| CASH                  FLOWS FROM OPERATING ACTIVITIES:                                                                                                |   |                                                                                                     |     |     |   |
| Net                  income (loss)                                                                                                                    |   | $                                                                                                        | 13,281   |     | $      | (5,189 | ) |
| Adjustments                  to reconcile net income (loss) to net cash provided by (used in)                  operating                  activities: |   |                                                                                                     |          |     |   |  |   |
| Accretion                  of discount                                                                                                                |   |                                                                                                     | (7,469   | )        |   | (553 | ) |
| Provision                  for estimated credit losses                                                                                                |   |                                                                                                     | 2,844    |     |   | 6,484 |   |
| Amortization                  and depreciation                                                                                                        |   |                                                                                                     | 90       |     |   | 21 |   |
| Amortization                  of discount and interest accrued on creditor notes payable                                                              |   |                                                                                                     | 4,877    |     |   | 6,417 |   |
| Gain                  from extinguishment of debt                                                                                                     |   |                                                                                                     | (11,327  | )        |   | - |   |
| Changes                  in assets and liabilities:                                                                                                   |   |                                                                                                     |          |     |   |  |   |
| Other                  assets and accrued interest receivable                                                                                         |   |                                                                                                     | 2,509    |     |   | 2,751 |   |
| Amounts                  due to Master Trust                                                                                                          |   |                                                                                                     | (1,225   | )        |   | 702 |   |
| Payment                  of creditor notes payable accrued interest                                                                                   |   |                                                                                                     | (6,390   | )        |   | (728 | ) |
| Other                  payables and accrued expenses                                                                                                  |   |                                                                                                     | 430      |     |   | (1,910 | ) |
| Net                  cash provided by (used in) operating activities                                                                                  |   |                                                                                                     | (2,380   | )        |   | 7,995 |   |
|                                                                                                                                                  |   |                                                                                                     |          |     |   |  |   |
| CASH                  FLOWS FROM INVESTING ACTIVITIES:                                                                                                |   |                                                                                                     |          |     |   |  |   |
| Acquisition                  of Coastal Credit, LLC, net of cash acquired                                                                             |   |                                                                                                     | (41,804  | )        |   | - |   |
| Purchase                  of securitized finance receivables                                                                                          |   |                                                                                                     | (149,333 | )        |   | (86,943 | ) |
| Principal                  collections and recoveries on securitized finance                  receivables                                             |   |                                                                                                     | 122,797  |     |   | 77,382 |   |
| Collections                  on finance receivables                                                                                                   |   |                                                                                                     | 3,741    |     |   | - |   |
| Purchase                  of finance receivables                                                                                                      |   |                                                                                                     | (4,421   | )        |   | - |   |
| Collections                  on beneficial interest in Master Trust                                                                                   |   |                                                                                                     | 8,767    |     |   | 2,012 |   |
| Change                  in restricted cash                                                                                                            |   |                                                                                                     | (4,529   | )        |   | (3,197 | ) |
| Capital                  expenditures                                                                                                                 |   |                                                                                                     | (3       | )        |   | (11 | ) |
| Net                  cash used in investing activities                                                                                                |   |                                                                                                     | (64,785  | )        |   | (10,757 | ) |
|                                                                                                                                                  |   |                                                                                                     |          |     |   |  |   |
| CASH                  FLOWS FROM FINANCING ACTIVITIES:                                                                                                |   |                                                                                                     |          |     |   |  |   |
| Proceeds                  from issuance of common stock, net of expenses                                                                              |   |                                                                                                     | 33,524   |     |   | - |   |
| Proceeds                  from collateralized financings                                                                                              |   |                                                                                                     | 153,359  |     |   | 84,679 |   |
| Proceeds                  from secured note payable                                                                                                   |   |                                                                                                     | 15,000   |     |   | - |   |
| Payment                  of debt issuance costs related to secured note payable                                                                       |   |                                                                                                     | (210     | )        |   | - |   |
| Proceeds                  from notes payable to Castle Creek                                                                                          |   |                                                                                                     | 2,375    |     |   | - |   |
| Principal                  payments on notes payable to Castle Creek                                                                                  |   |                                                                                                     | (2,375   | )        |   | - |   |
| Principal                  payments on subordinated debentures                                                                                        |   |                                                                                                     | (900     | )        |   | - |   |
| Principal                  payments on collateralized financings                                                                                      |   |                                                                                                     | (124,997 | )        |   | (79,635 | ) |
| Principal                  payments on creditor notes payable                                                                                         |   |                                                                                                     | (3,472   | )        |   | (7,177 | ) |
| Net                  cash provided by (used in) financing activities                                                                                  |   |                                                                                                     | 72,304   |     |   | (2,133 | ) |
| INCREASE                  (DECREASE) IN CASH AND CASH EQUIVALENTS                                                                                     |   |                                                                                                     | 5,139    |     |   | (4,895 | ) |
| CASH                  AND CASH EQUIVALENTS—Beginning of year                                                                                    |   |                                                                                                     | 3,745    |     |   | 8,661 |   |
| CASH                  AND CASH EQUIVALENTS—End of period                                                                                        |   | $                                                                                                        | 8,884    |     | $      | 3,766 |   |
|                                                                                                                                                  |   |                                                                                                     |          |     |   |  |   |
| SUPPLEMENTAL                  DISCLOSURES OF CASH FLOW INFORMATION:                                                                                   |   |                                                                                                     |          |     |   |  |   |
| Income                  tax refunds                                                                                                                   |   | $                                                                                                        | 72       |     | $      | 83 |   |
| Interest                  paid                                                                                                                        |   | $                                                                                                        | 9,783    |     | $      | 3,719 |   |
|                                                                                                                                                  |   |                                                                                                     |          |     |   |  |   |
| See                  notes to condensed consolidated financial statements.                                                                            |   |                                                                                                     |          |     |   |  |   |

----

**Part              I **
**Financial              Information - Continued**

**Item            1. **
**Financial            Statements - Continued**

| **WHITE                  RIVER CAPITAL, INC.**                                 |   |                                                  |   |                                                 |   |     |   |     |   |
|--------------------------------------------------------------------------------|--------|-------------------------------------------------------|--------|------------------------------------------------------|--------|----------|--------|----------|--------|
| **CONDENSED                  CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME** |   |                                                  |   |                                                 |   |     |   |     |   |
| **(Unaudited)**                                                                |   |                                                  |   |                                                 |   |     |   |     |   |
| **(Dollars                  in thousands)**                                    |   |                                                  |   |                                                 |   |     |   |     |   |
|                                                                           |   |                                                  |   |                                                 |   |     |   |     |   |
|                                                                           |   | **Three                  Months Ended September 30,** |   | **Nine                  Months Ended September 30,** |   |
|                                                                           |   | **2005**                                              |   | **2004**                                             |   | **2005** |   | **2004** |   |
|                                                                           |   |                                                  |   |                                                 |   |     |   |     |   |
| NET                  INCOME (LOSS)                                             |   | $                                                     | 1,971  |                                                 | $      | (1,717   | )      | $        | 13,281 |   | $ | (5,189 | ) |
|                                                                           |   |                                                  |        |                                                 |   |          |   |     |        |   |   |  |   |
| OTHER                  COMPREHENSIVE INCOME:                                   |   |                                                  |        |                                                 |   |          |   |     |        |   |   |  |   |
| Unrealized                  gain on beneficial interest in Master Trust        |   |                                                  | 2,817  |                                                 |   | 275      |   |     | 12,920 |   |   | 683 |   |
| Reclassification                  adjustment for gain included in net income   |   |                                                  | (2,074 | )                                                    |   | (230     | )      |     | (7,469 | ) |   | (230 | ) |
| Net                  other comprehensive income                                |   |                                                  | 743    |                                                 |   | 45       |   |     | 5,451  |   |   | 453 |   |
|                                                                           |   |                                                  |        |                                                 |   |          |   |     |        |   |   |  |   |
| COMPREHENSIVE                  INCOME (LOSS)                                   |   | $                                                     | 2,714  |                                                 | $      | (1,672   | )      | $        | 18,732 |   | $ | (4,736 | ) |
|                                                                           |   |                                                  |        |                                                 |   |          |   |     |        |   |   |  |   |
|                                                                           |   |                                                  |        |                                                 |   |          |   |     |        |   |   |  |   |
| See                  notes to condensed consolidated financial statements.     |   |                                                  |        |                                                 |   |          |   |     |        |   |   |  |   |

----

**Part              I **
**Financial              Information - Continued**

**Item            1. **
**Financial            Statements - Continued**

**WHITE        RIVER CAPITAL, INC.**

**NOTES        TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS**

**THREE        AND NINE MONTHS ENDED SEPTEMBER 30, 2005 AND 2004**

**(Unaudited)**

| **1.  ** | **BASIS                  OF PRESENTATION** |
|--------------------|--------------------------------------------|

| **2.  ** | **GENERAL                  DISCUSSION** |
|--------------------|-----------------------------------------|

| ·   | a                  share exchange for White River common shares by UAC common                  shareholders; |
|--------------------|--------------------------------------------------------------------------------------------------------------|

| ·   | a                  $35 million subscription rights equity offering by White                  River; |
|--------------------|-----------------------------------------------------------------------------------------------------|

| ·   | a                  $15 million note issuance by White                  River; |
|--------------------|-------------------------------------------------------------------------------|

| ·   | the                  acquisition of Coastal Credit for $50 million;                  and |
|--------------------|------------------------------------------------------------------------------------------|

| ·   | the                  buyout of substantially all of the UAC restructured senior notes                  (“Senior                  Notes”), restructured subordinated notes (“Subordinated Notes”), and their                  accompanying accrual notes (“Accrual                  Notes”). |
|--------------------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

**Part            I **
**Financial            Information - Continued**

**Item          1. **
**Financial          Statements - Continued**

| 1.   | the                  share exchange agreement between UAC and White                  River; |
|----------------|---------------------------------------------------------------------------------------------|

| 2.   | the                  acquisition of Coastal Credit; |
|----------------|-----------------------------------------------------|

| 3.   | the                  issuance of a warrant to purchase White River common stock to Castle                  Creek                  Capital Partners Fund IIa, LP and Castle Creek Capital Partners                  Fund IIb,                  LP (collectively the “Funds”), which advanced funds in connection with the                  described transactions and the general partner of which, Castle                  Creek                  Capital LLC (“Castle Creek”), assisted in developing, structuring and                  implementing the transactions and; |
|----------------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 4.   | the                  $15 million note placement                  agreement. |
|----------------|-----------------------------------------------------------------------------|

----

**Part              I **
**Financial              Information - Continued**

**Item            1. **
**Financial            Statements - Continued**

|                                                    | **September                      30, 2005** |                                 | **December                      31, 2004** |
|---------------------------------------------------------|---------------------------------------------|--------------------------------------|--------------------------------------------|
|                                                    | **Carrying**                                | **Contractual**                      | **Total**                                  |   | **Carrying** | **Contractual** | **Total** |
|                                                    | **Value**                                   | **Remaining**                        | **Contractual**                            |   | **Value** | **Remaining** | **Contractual** |
|                                                    |                                        | **Debt                      Not**    | **Remaining**                              |   |   | **Debt                      Not** | **Remaining** |
|                                                    |                                        | **Owned                      by**    | **Debt**                                   |   |   | **Owned                      by** | **Debt** |
|                                                    |                                        | **White                      River** |                                       |   |   | **White                      River** |   |
| Restructured                      debt:                 |                                        |                                 |                                       |   |   |   |   |
| Class                      2A general unsecured claims  | $                      163                  | $                      416           | $                      1,330               |   | $                      656 | $                      1,599 | $                      1,599 |
| Class                      2A1 general unsecured claims | -                                           | -                                    | -                                          |   | 1 | 125 | 125 |
| Restructured                      senior notes          | -                                           | -                                    | -                                          |   | 3,206 | 3,207 | 3,207 |
| Restructured                      subordinated notes    | 1,157                                       | 5,041                                | 46,383                                     |   | 7,580 | 46,383 | 46,383 |
| Senior                      accrual notes               | -                                           | -                                    | 4,106                                      |   | 1 | 4,106 | 4,106 |
| Subordinated                      accrual notes         | 1                                           | 431                                  | 3,964                                      |   | 1 | 3,964 | 3,964 |
|                                                    |                                        |                                 |                                       |   |   |   |   |
| Total                      creditor notes payable       | $                      1,321                | $                      5,888         | $                      55,783              |   | $                      11,445 | $                      59,384 | $                      59,384 |

----

**Part              I **
**Financial              Information - Continued**

**Item            1. **
**Financial            Statements - Continued**

| **3.  ** | **WHITE                  RIVER SHARE EXCHANGE FOR UAC                  SHARES** |
|--------------------|---------------------------------------------------------------------------------|

| **4.  ** | **ACQUISITION                  OF COASTAL CREDIT, LLC** |
|--------------------|---------------------------------------------------------|

----

**Part              I **
**Financial              Information - Continued**

**Item            1. **
**Financial            Statements - Continued**

| Cash                  and cash equivalent            |   | $      | 3,733   |   |
|------------------------------------------------------|--------|--------|---------|--------|
| Finance                  receivables, net            |   |   | 69,631  |   |
| Property                  and equipment, net         |   |   | 626     |   |
| Other                  assets                        |   |   | 291     |   |
| Goodwill                                             |   |   | 40,638  |   |
| Line                  of credit                      |   |   | (53,500 | )      |
| Subordinated                  debentures             |   |   | (8,650  | )      |
| Accrued                  Interest                    |   |   | (380    | )      |
| Other                  payables and accrued expenses |   |   | (1,585  | )      |
|                                                 |   |   |         |   |
| Total                  purchase price                |   | $      | 50,804  |   |

----

**Part              I **
**Financial              Information - Continued**

**Item            1. **
**Financial            Statements - Continued**

| **(Dollars                    in thousands, except per share amounts)**                               |   |                                                                          |      |                                                   |   |      |   |     |      |
|-------------------------------------------------------------------------------------------------------|--------|-------------------------------------------------------------------------------|-----------|--------------------------------------------------------|--------|-----------|--------|----------|-----------|
|                                                                                                  |   |                                                                          |      |                                                   |   |      |   |     |      |
|                                                                                                  |   | **Three                    Months Ended****September                    30,** |      | **Nine                    Months Ended September 30,** |   |
|                                                                                                  |   | **2005**                                                                      |      | **2004**                                               |   | **2005**  |   | **2004** |      |
| Total                    interest income                                                              |   |                                                                          | 14,526    |                                                   |   | 9,664     |   |     | 42,099    |   |   | 27,369 |   |
|                                                                                                  |   |                                                                          |           |                                                   |   |           |   |     |           |   |   |  |   |
| Interest                    expense                                                                   |   |                                                                          | (4,092    | )                                                      |   | (4,520    | )      |     | (15,004   | ) |   | (13,140 | ) |
|                                                                                                  |   |                                                                          |           |                                                   |   |           |   |     |           |   |   |  |   |
| Net                    interest margin                                                                |   |                                                                          | 10,434    |                                                   |   | 5,144     |   |     | 27,095    |   |   | 14,229 |   |
|                                                                                                  |   |                                                                          |           |                                                   |   |           |   |     |           |   |   |  |   |
| Provision                    for estimated credit losses                                              |   |                                                                          | (2,764    | )                                                      |   | (4,352    | )      |     | (6,755    | ) |   | (10,299 | ) |
|                                                                                                  |   |                                                                          |           |                                                   |   |           |   |     |           |   |   |  |   |
| Net                    interest margin after provision for estimated credit                    losses |   |                                                                          | 7,670     |                                                   |   | 792       |   |     | 20,340    |   |   | 3,930 |   |
|                                                                                                  |   |                                                                          |           |                                                   |   |           |   |     |           |   |   |  |   |
| Total                    other revenues (charges), net                                                |   |                                                                          | (1,657    | )                                                      |   | 1,262     |   |     | 6,805     |   |   | 4,116 |   |
|                                                                                                  |   |                                                                          |           |                                                   |   |           |   |     |           |   |   |  |   |
| Total                    other expenses                                                               |   |                                                                          | 5,415     |                                                   |   | 3,265     |   |     | 12,551    |   |   | 9,646 |   |
|                                                                                                  |   |                                                                          |           |                                                   |   |           |   |     |           |   |   |  |   |
| Income                    (Loss) Before Income Taxes                                                  |   |                                                                          | 598       |                                                   |   | (1,211    | )      |     | 14,594    |   |   | (1,600 | ) |
|                                                                                                  |   |                                                                          |           |                                                   |   |           |   |     |           |   |   |  |   |
| Income                    Taxes                                                                       |   |                                                                          | -         |                                                   |   | -         |   |     | -         |   |   | - |   |
|                                                                                                  |   |                                                                          |           |                                                   |   |           |   |     |           |   |   |  |   |
| Net                    Income (Loss)                                                                  |   | $                                                                             | 598       |                                                   | $      | (1,211    | )      | $        | 14,594    |   | $ | (1,600 | ) |
|                                                                                                  |   |                                                                          |           |                                                   |   |           |   |     |           |   |   |  |   |
| Net                    Income (Loss) Per Common Share (Basic)                                         |   | $                                                                             | 0.16      |                                                   | $      | (0.32     | )      | $        | 3.83      |   | $ | (0.42 | ) |
|                                                                                                  |   |                                                                          |           |                                                   |   |           |   |     |           |   |   |  |   |
| Net                    Income (Loss) Per Common Share (Diluted)                                       |   | $                                                                             | 0.16      |                                                   | $      | (0.32     | )      | $        | 3.82      |   | $ | (0.42 | ) |
|                                                                                                  |   |                                                                          |      |                                                   |   |      |   |     |      |   |   |   |   |
| Basic                    Weighted Average Number                                                      |   |                                                                          |           |                                                   |   |           |   |     |           |   |   |  |   |
| Of                    Common Shares Outstanding                                                       |   |                                                                          | 3,810,155 |                                                   |   | 3,810,155 |   |     | 3,810,155 |   |   | 3,810,155 |   |
|                                                                                                  |   |                                                                          |      |                                                   |   |      |   |     |      |   |   |   |   |
| Diluted                    Weighted Average Number                                                    |   |                                                                          |           |                                                   |   |           |   |     |           |   |   |  |   |
| Of                    Common Shares Outstanding                                                       |   |                                                                          | 3,819,550 |                                                   |   | 3,819,550 |   |     | 3,819,550 |   |   | 3,819,550 |   |

| **5.  ** | **NET                  ASSETS OF COLLATERALIZED****FINANCINGS** |
|--------------------|-----------------------------------------------------------------|

----

**Part              I **
**Financial              Information - Continued**

**Item            1. **
**Financial            Statements - Continued**

|                                                               |   | **September                  30, 2005** |   | **December                  31, 2004** |   |
|--------------------------------------------------------------------|--------|-----------------------------------------|--------|----------------------------------------|--------|
|                                                               |   |                                    |   |                                   |   |
| Securitized                  finance receivables—net         |   | $                                       | 138.2  |                                   | $      | 115.2 |   |
| Restricted                  cash                                   |   |                                    | 28.1   |                                   |   | 23.5 |   |
| Receivable                  from servicer included in other assets |   |                                    | 0.9    |                                   |   | 1.2 |   |
| Collateralized                  financings                         |   |                                    | (160.6 | )                                      |   | (132.3 | ) |
| Accrued                  interest payable                          |   |                                    | (0.7   | )                                      |   | (0.5 | ) |
| Other                  payables and accrued expenses               |   |                                    | (0.5   | )                                      |   | (0.5 | ) |
|                                                               |   |                                    |        |                                   |   |  |   |
| Amounts                  due to master trust                       |   | $                                       | 5.4    |                                   | $      | 6.6 |   |

| **6.  ** | **SECURITIZED****FINANCE                  RECEIVABLES—NET** |
|--------------------|-------------------------------------------------------------------|

|                                                                  |   | **September                  30, 2005** |    | **December                  31, 2004** |   |
|-----------------------------------------------------------------------|--------|-----------------------------------------|---------|----------------------------------------|--------|
|                                                                  |   |                                    |    |                                   |   |
| Principal                  balance of securitized finance receivables |   | $                                       | 150,928 |                                   | $      | 125,866 |   |
| Accrued                  interest receivable                          |   |                                    | 1,221   |                                   |   | 1,021 |   |
| Allowance                  for credit losses                          |   |                                    | (13,980 | )                                      |   | (11,722 | ) |
|                                                                  |   |                                    |         |                                   |   |  |   |
| Securitized                  finance receivables—net            |   | $                                       | 138,169 |                                   | $      | 115,165 |   |

|                                                     |   | **Three                    Months Ended** |   | **Nine                    Months Ended** |   |
|----------------------------------------------------------|--------|-------------------------------------------|--------|------------------------------------------|--------|
|                                                     |   | **September                    30,**      |   | **September                    30,**     |   |
|                                                     |   | **2005**                                  |   | **2004**                                 |   | **2005** |   | **2004** |   |
|                                                     |   |                                      |   |                                     |   |   |   |   |   |
| Balance                    at the beginning of period    |   | $                                         | 13,425 |                                     | $      | 8,189 |   | $ | 11,722 |   | $ | 5,006 |   |
| Allowance                    at purchase                 |   |                                      | 2,131  |                                     |   | 213 |   |   | 5,163 |   |   | 3,183 |   |
| Charge-offs                                              |   |                                      | (5,812 | )                                        |   | (4,313 | ) |   | (16,410 | ) |   | (12,787 | ) |
| Recoveries                                               |   |                                      | 3,580  |                                     |   | 2,485 |   |   | 11,037 |   |   | 6,973 |   |
| Provision                    for estimated credit losses |   |                                      | 656    |                                     |   | 2,285 |   |   | 2,468 |   |   | 6,484 |   |
|                                                     |   |                                      |        |                                     |   |  |   |   |  |   |   |  |   |
| Balance                    at the end of the period      |   | $                                         | 13,980 |                                     | $      | 8,859 |   | $ | 13,980 |   | $ | 8,859 |   |

----

**Part            I **
**Financial            Information - Continued**

**Item          1. **
**Financial          Statements - Continued**

| **7.  ** | **COLLATERALIZED                  FINANCINGS** |
|--------------------|------------------------------------------------|

|                              |   | **Note** | **Initial                  Note** |   | **September                  30,** |    | **December                  31,** |   |
|-----------------------------------|--------|----------|-----------------------------------|--------|------------------------------------|---------|-----------------------------------|--------|
| **Notes                  Series** |   | **Rate** | **Amount**                        |   | **2005**                           |    | **2004**                          |   |
|                              |   |     |                              |   |                               |    |                              |   |   |
| Series                  2003-A    |   |     | 3.95                              | %      | $                                  | 120,327 |                              | $      | 5,433 |   | $ | 28,098 |   |
| Series                  2004-A1   |   |     | 4.15                              |   |                               | 29,485  |                              |   | 5,516 |   |   | 14,911 |   |
| Series                  2004-A2   |   |     | 4.55                              |   |                               | 29,298  |                              |   | 7,549 |   |   | 18,155 |   |
| Series                  2004-B    |   |     | 5.02                              |   |                               | 25,896  |                              |   | 8,311 |   |   | 19,101 |   |
| Series                  2004-C    |   |     | 4.89                              |   |                               | 51,992  |                              |   | 24,469 |   |   | 51,992 |   |
| Series                  2005-A    |   |     | 4.49                              |   |                               | 47,742  |                              |   | 26,964 |   |   | - |   |
| Series                  2005-B    |   |     | 4.69                              |   |                               | 50,684  |                              |   | 34,954 |   |   | - |   |
| Series                  2005-C    |   |     | 5.40                              |   |                               | 54,933  |                              |   | 47,424 |   |   | - |   |
|                              |   |     |                                   |   |                               |         |                              |   |  |   |   |  |   |
|                              |   |     |                                   |   | $                                  | 410,357 |                              | $      | 160,620 |   | $ | 132,257 |   |

| **8.  ** | **B****ENEFICIAL                  INTEREST IN MASTER TRUST** |
|--------------------|--------------------------------------------------------------|

*Credit        Loss Assumptions*

----

**Part              I **
**Financial              Information - Continued**

**Item            1. **
**Financial            Statements - Continued**

*Prepayment        Assumptions*

*Discount        Rate Assumptions*

| **9.  ** | **FINANCE                  RECEIVABLES - NET** |
|--------------------|------------------------------------------------|

|                                                                          |   | **September                    30, 2005** |    |
|-------------------------------------------------------------------------------|--------|-------------------------------------------|---------|
|                                                                          |   |                                      |    |
| Finance                    receivables, net of unearned finance charge income |   | $                                         | 86,292  |   |
|                                                                          |   |                                      |         |   |
| Accretable                    unearned acquisition discounts and fees         |   |                                      | (11,131 | ) |
| Contract                    origination costs                                 |   |                                      | 875     |   |
| Finance                    receivables, net of discounts and fees             |   |                                      | 76,036  |   |
|                                                                          |   |                                      |         |   |
| Allowance                    for loan losses                                  |   |                                      | (6,100  | ) |
|                                                                          |   |                                      |    |   |
| Finance                    receivables, net                                   |   | $                                         | 69,936  |   |
|                                                                          |   |                                      |    |   |

| **10.  ** | **DEFERRED                  COSTS** |
|---------------------|-------------------------------------|

----

**Part            I **
**Financial            Information - Continued**

**Item          1. **
**Financial          Statements - Continued**

| **11.  ** | **LINE                  OF CREDIT** |
|---------------------|-------------------------------------|

| **12.  ** | **SECURED                  NOTE PAYABLE** |
|---------------------|-------------------------------------------|

| **13.  ** | **SUBORDINATED                  DEBENTURES** |
|---------------------|----------------------------------------------|

| **14.  ** | **RELATED                  PARTY TRANSACTIONS** |
|---------------------|-------------------------------------------------|

----

**Part            I **
**Financial            Information - Continued**

**Item          1. **
**Financial          Statements - Continued**

| **15.  ** | **INCOME                  TAXES** |
|---------------------|-----------------------------------|

| **16.  ** | **WARRANTS** |
|---------------------|--------------|

----

**Part            I **
**Financial            Information - Continued**

**Item          1. **
**Financial          Statements - Continued**

| **17.  ** | **BUSINESS                  SEGMENT INFORMATION** |
|---------------------|---------------------------------------------------|

----

**Part            I **
**Financial            Information - Continued**

**Item          1. **
**Financial          Statements - Continued**

| **For                  The Three Months Ended September 30, 2005**                                             |   | **UAC** |    | **Coastal                  Credit** |    | **Corporate                  and Other** |   | **Consolidated** |                                     |
|----------------------------------------------------------------------------------------------------------------|--------|---------|---------|-------------------------------------|---------|------------------------------------------|--------|------------------|------------------------------------------|
|                                                                                                           |   |    |    |                                |    |                                     |   |             |                                     |
| Total                  interest income                                                                         |   |  $ | 8,078   |                                |  $ | 2,141                                    |   |  $          | 2                                        |   |  $ | 10,221 |   |
|                                                                                                           |   |    |         |                                |    |                                          |   |             |                                          |   |   |  |   |
| Interest                  expense                                                                              |   |    | (2,587  | )                                   |    | (378                                     | )      |             | (224                                     | ) |   | (3,189 | ) |
|                                                                                                           |   |    |         |                                |    |                                          |   |             |                                          |   |   |  |   |
| Net                  interest margin                                                                           |   |    | 5,491   |                                |    | 1,763                                    |   |             | (222                                     | ) |   | 7,032 |   |
|                                                                                                           |   |    |         |                                |    |                                          |   |             |                                          |   |   |  |   |
| Provision                  for estimated credit losses                                                         |   |    | (656    | )                                   |    | (375                                     | )      |             | -                                        |   |   | (1,031 | ) |
|                                                                                                           |   |    |         |                                |    |                                          |   |             |                                          |   |   |  |   |
| Net                  interest margin (deficiency) after provision for estimated credit                  losses |   |    | 4,835   |                                |    | 1,388                                    |   |             | (222                                     | ) |   | 6,001 |   |
|                                                                                                           |   |    |         |                                |    |                                          |   |             |                                          |   |   |  |   |
| Total                  other revenues (charges), net                                                           |   |    | (1,681  | )                                   |    | 9                                        |   |             | -                                        |   |   | (1,672 | ) |
|                                                                                                           |   |    |         |                                |    |                                          |   |             |                                          |   |   |  |   |
| Total                  other expenses                                                                          |   |    | 1,380   |                                |    | 692                                      |   |             | 286                                      |   |   | 2,358 |   |
|                                                                                                           |   |    |         |                                |    |                                          |   |             |                                          |   |   |  |   |
| Income                  (Loss) Before Income Taxes                                                             |   | $       | 1,774   |                                | $       | 705                                      |   | $                | (508                                     | ) | $ | 1,971 |   |
|                                                                                                           |   |    |         |                                |    |                                          |   |             |                                          |   |   |  |   |
|                                                                                                           |   |    |         |                                |    |                                          |   |             |                                          |   |   |  |   |
| **For                  The Three Months Ended September 30, 2004**                                             |   |    | **UAC** |                                |    | **Coastal                  Credit**      |   |             | **Corporate                  and Other** |   |   | **Consolidated** |   |
|                                                                                                           |   |    |         |                                |    |                                          |   |             |                                          |   |   |  |   |
| Total                  interest income                                                                         |   |  $ | 3,870   |                                |  $ | -                                        |   |  $          | -                                        |   |  $ | 3,870 |   |
|                                                                                                           |   |    |         |                                |    |                                          |   |             |                                          |   |   |  |   |
| Interest                  expense                                                                              |   |    | (3,415  | )                                   |    | -                                        |   |             | -                                        |   |   | (3,415 | ) |
|                                                                                                           |   |    |         |                                |    |                                          |   |             |                                          |   |   |  |   |
| Net                  interest margin                                                                           |   |    | 455     |                                |    | -                                        |   |             | -                                        |   |   | 455 |   |
|                                                                                                           |   |    |         |                                |    |                                          |   |             |                                          |   |   |  |   |
| Provision                  for estimated credit losses                                                         |   |    | (2,285  | )                                   |    | -                                        |   |             | -                                        |   |   | (2,285 | ) |
|                                                                                                           |   |    |         |                                |    |                                          |   |             |                                          |   |   |  |   |
| Net                  interest margin (deficiency) after provision for estimated credit                  losses |   |    | (1,830  | )                                   |    | -                                        |   |             | -                                        |   |   | (1,830 | ) |
|                                                                                                           |   |    |         |                                |    |                                          |   |             |                                          |   |   |  |   |
| Total                  other revenues (charges), net                                                           |   |    | 1,203   |                                |    | -                                        |   |             | -                                        |   |   | 1,203 |   |
|                                                                                                           |   |    |         |                                |    |                                          |   |             |                                          |   |   |  |   |
| Total                  other expenses                                                                          |   |    | 1,090   |                                |    | -                                        |   |             | -                                        |   |   | 1,090 |   |
|                                                                                                           |   |    |         |                                |    |                                          |   |             |                                          |   |   |  |   |
| Income                  (Loss) Before Income Taxes                                                             |   | $       | (1,717  | )                                   | $       | -                                        |   | $                | -                                        |   | $ | (1,717 | ) |
|                                                                                                           |   |    |         |                                |    |                                          |   |             |                                          |   |   |  |   |
|                                                                                                           |   |    |         |                                |    |                                          |   |             |                                          |   |   |  |   |
| **For                  The Nine Months Ended September 30, 2005**                                              |   |    | **UAC** |                                |    | **Coastal                  Credit**      |   |             | **Corporate                  and Other** |   |   | **Consolidated** |   |
|                                                                                                           |   |    |         |                                |    |                                          |   |             |                                          |   |   |  |   |
| Total                  interest income                                                                         |   |  $ | 23,684  |                                |  $ | 2,141                                    |   |  $          | 2                                        |   |  $ | 25,827 |   |
|                                                                                                           |   |    |         |                                |    |                                          |   |             |                                          |   |   |  |   |
| Interest                  expense                                                                              |   |    | (10,923 | )                                   |    | (378                                     | )      |             | (231                                     | ) |   | (11,532 | ) |
|                                                                                                           |   |    |         |                                |    |                                          |   |             |                                          |   |   |  |   |
| Net                  interest margin                                                                           |   |    | 12,761  |                                |    | 1,763                                    |   |             | (229                                     | ) |   | 14,295 |   |
|                                                                                                           |   |    |         |                                |    |                                          |   |             |                                          |   |   |  |   |
| Provision                  for estimated credit losses                                                         |   |    | (2,469  | )                                   |    | (375                                     | )      |             | -                                        |   |   | (2,844 | ) |
|                                                                                                           |   |    |         |                                |    |                                          |   |             |                                          |   |   |  |   |
| Net                  interest margin (deficiency) after provision for estimated credit                  losses |   |    | 10,292  |                                |    | 1,388                                    |   |             | (229                                     | ) |   | 11,451 |   |
|                                                                                                           |   |    |         |                                |    |                                          |   |             |                                          |   |   |  |   |
| Total                  other revenues (charges), net                                                           |   |    | 6,740   |                                |    | 9                                        |   |             | 13                                       |   |   | 6,762 |   |
|                                                                                                           |   |    |         |                                |    |                                          |   |             |                                          |   |   |  |   |
| Total                  other expenses                                                                          |   |    | 3,878   |                                |    | 692                                      |   |             | 362                                      |   |   | 4,932 |   |
|                                                                                                           |   |    |         |                                |    |                                          |   |             |                                          |   |   |  |   |
| Income                  (Loss) Before Income Taxes                                                             |   | $       | 13,154  |                                | $       | 705                                      |   | $                | (578                                     | ) | $ | 13,281 |   |
|                                                                                                           |   |    |         |                                |    |                                          |   |             |                                          |   |   |  |   |
|                                                                                                           |   |    |         |                                |    |                                          |   |             |                                          |   |   |  |   |
| **For                  The Nine Months Ended September 30, 2004**                                              |   |    | **UAC** |                                |    | **Coastal                  Credit**      |   |             | **Corporate                  and Other** |   |   | **Consolidated** |   |
|                                                                                                           |   |    |         |                                |    |                                          |   |             |                                          |   |   |  |   |
| Total                  interest income                                                                         |   |  $ | 10,249  |                                |  $ | -                                        |   |  $          | -                                        |   |  $ | 10,249 |   |
|                                                                                                           |   |    |         |                                |    |                                          |   |             |                                          |   |   |  |   |
| Interest                  expense                                                                              |   |    | (9,623  | )                                   |    | -                                        |   |             | -                                        |   |   | (9,623 | ) |
|                                                                                                           |   |    |         |                                |    |                                          |   |             |                                          |   |   |  |   |
| Net                  interest margin                                                                           |   |    | 626     |                                |    | -                                        |   |             | -                                        |   |   | 626 |   |
|                                                                                                           |   |    |         |                                |    |                                          |   |             |                                          |   |   |  |   |
| Provision                  for estimated credit losses                                                         |   |    | (6,484  | )                                   |    | -                                        |   |             | -                                        |   |   | (6,484 | ) |
|                                                                                                           |   |    |         |                                |    |                                          |   |             |                                          |   |   |  |   |
| Net                  interest margin (deficiency) after provision for estimated credit                  losses |   |    | (5,858  | )                                   |    | -                                        |   |             | -                                        |   |   | (5,858 | ) |
|                                                                                                           |   |    |         |                                |    |                                          |   |             |                                          |   |   |  |   |
| Total                  other revenues (charges), net                                                           |   |    | 3,926   |                                |    | -                                        |   |             | -                                        |   |   | 3,926 |   |
|                                                                                                           |   |    |         |                                |    |                                          |   |             |                                          |   |   |  |   |
| Total                  other expenses                                                                          |   |    | 3,257   |                                |    | -                                        |   |             | -                                        |   |   | 3,257 |   |
|                                                                                                           |   |    |         |                                |    |                                          |   |             |                                          |   |   |  |   |
| Income                  (Loss) Before Income Taxes                                                             |   | $       | (5,189  | )                                   | $       | -                                        |   | $                | -                                        |   | $ | (5,189 | ) |

----

**Part            I **
**Financial            Information - Continued**

**Item          1. **
**Financial          Statements - Continued**

|                                 |   | **September                  30, 2005** |    | **December                  31, 2004** |   |
|--------------------------------------|--------|-----------------------------------------|---------|----------------------------------------|--------|
|                                 |   |                                    |    |                                   |   |
| Corporate                  and other |   | $                                       | 43,389  |                                   | $      | 634 |   |
| Coastal                  Credit      |   |                                    | 74,133  |                                   |   | - |   |
| UAC                                  |   |                                    | 179,815 |                                   |   | 150,296 |   |
|                                 |   |                                    |         |                                   |   |  |   |
|                                 |   | $                                       | 297,337 |                                   | $      | 150,930 |   |

| **18.  ** | **EARNINGS                  PER SHARE** |
|---------------------|-----------------------------------------|

|                                                                      |   |                                                    |      |                                                   |   |     |   |     |    |
|---------------------------------------------------------------------------|--------|---------------------------------------------------------|-----------|--------------------------------------------------------|--------|----------|--------|----------|---------|
|                                                                      |   | **Three                    Months Ended September 30,** |      | **Nine                    Months Ended September 30,** |   |
|                                                                      |   | **2005**                                                |      | **2004**                                               |   | **2005** |   | **2004** |    |
|                                                                      |   |                                                    |      |                                                   |   |     |   |     |    |
| Net                    Income (Loss)                                      |   | $                                                       | 1,971     |                                                   | $      | (1,717   | )      | $        | 13,281  |   | $ | (5,189 | ) |
|                                                                      |   |                                                    |           |                                                   |   |          |   |     |         |   |   |  |   |
| Weighted                    average shares outstanding                    |   |                                                    | 1,489,503 |                                                   |   | 310,191  |   |     | 707,591 |   |   | 310,191 |   |
|                                                                      |   |                                                    |           |                                                   |   |          |   |     |         |   |   |  |   |
| Incremental                    shares from assumed conversions            |   |                                                    |           |                                                   |   |          |   |     |         |   |   |  |   |
| Warrants                                                                  |   |                                                    | 3,166     |                                                   |   | -        |   |     | 1,067   |   |   | - |   |
|                                                                      |   |                                                    |      |                                                   |   |     |   |     |    |   |   |   |   |
| Weighted                    average shares and assumed incremental shares |   |                                                    | 1,492,669 |                                                   |   | 310,191  |   |     | 708,658 |   |   | 310,191 |   |
|                                                                      |   |                                                    |           |                                                   |   |          |   |     |         |   |   |  |   |
| Earnings                    per share:                                    |   |                                                    |      |                                                   |   |     |   |     |    |   |   |   |   |
|                                                                      |   |                                                    |           |                                                   |   |          |   |     |         |   |   |  |   |
| Basic                                                                     |   | $                                                       | 1.32      |                                                   | $      | (5.54    | )      | $        | 18.77   |   | $ | (16.73 | ) |
|                                                                      |   |                                                    |           |                                                   |   |          |   |     |         |   |   |  |   |
| Diluted                                                                   |   | $                                                       | 1.32      |                                                   | $      | (5.54    | )      | $        | 18.74   |   | $ | (16.73 | ) |
|                                                                      |   |                                                    |           |                                                   |   |          |   |     |         |   |   |  |   |

----

**Part            I **
**Financial            Information - Continued**

**Item          1. **
**Financial          Statements - Continued**

| **19.  ** | **SUBSEQUENT                  EVENTS** |
|---------------------|----------------------------------------|

----

**Part        I **
**Financial        Information - Continued**

**Item        2.  **
**Management’s        Discussion and Analysis of Financial Condition**
**and        Results of Operation**

**General**

**C**
**ritical        Accounting Policies**

***Net        Assets of Collateralized Financings***

----

**Part        I **
**Financial        Information - Continued**

**Item        2.  **
**Management’s        Discussion and Analysis of Financial Condition **
**and        Results of Operation - Continued**

***Valuation        of Beneficial Interest in Master Trust***

***Income        Recognition - Finance Receivables***

***Finance        Receivables***

***Allowance        for Loan Losses - Finance Receivables***

----

**Part        I **
**Financial        Information - Continued**

**Item        2.  **
**Management’s        Discussion and Analysis of Financial Condition **
**and        Results of Operation - Continued**

***Charge        off Policy - Finance Receivables***

***Acquisition        Discounts and Fees***

**Results        of Operations**

***Executive        Summary***

----

**Part        I **
**Financial        Information - Continued**

**Item        2.  **
**Management’s        Discussion and Analysis of Financial Condition **
**and        Results of Operation - Continued**

*Three        Months Ended September 30, 2005 Compared to the Three Months Ended September        30,        2004*

*Nine*
*        Months Ended September 30, 2005 Compared to the Nine Months Ended September        30,        2004*

----

**Part        I **
**Financial        Information - Continued**

**Item        2.  **
**Management’s        Discussion and Analysis of Financial Condition **
**and        Results of Operation - Continued**

**Discussion        of Results**

|                                                                                                           |   | **Three                  Months Ended September 30,** |   | **Nine                  Months Ended September 30,** |   |
|----------------------------------------------------------------------------------------------------------------|--------|-------------------------------------------------------|--------|------------------------------------------------------|--------|
|                                                                                                           |   | **2005**                                              |   | **2004**                                             |   | **2005** |   | **2004** |   |
| INTEREST:                                                                                                      |   |                                                  |   |                                                 |   |   |   |   |   |
| Interest                  on receivables                                                                       |   | $                                                     | 7,888  |                                                 | $      | 3,569 |   | $ | 17,775 |   | $ | 9,517 |   |
| Accretion                  and other interest                                                                  |   |                                                  | 2,333  |                                                 |   | 301 |   |   | 8,052 |   |   | 732 |   |
|                                                                                                           |   |                                                  |        |                                                 |   |  |   |   |  |   |   |  |   |
| Total                  interest income                                                                         |   |                                                  | 10,221 |                                                 |   | 3,870 |   |   | 25,827 |   |   | 10,249 |   |
|                                                                                                           |   |                                                  |        |                                                 |   |  |   |   |  |   |   |  |   |
| Interest                  expense                                                                              |   |                                                  | (3,189 | )                                                    |   | (3,415 | ) |   | (11,532 | ) |   | (9,623 | ) |
|                                                                                                           |   |                                                  |        |                                                 |   |  |   |   |  |   |   |  |   |
| Net                  interest margin                                                                           |   |                                                  | 7,032  |                                                 |   | 455 |   |   | 14,295 |   |   | 626 |   |
|                                                                                                           |   |                                                  |        |                                                 |   |  |   |   |  |   |   |  |   |
| Provision                  for estimated credit losses                                                         |   |                                                  | (1,031 | )                                                    |   | (2,285 | ) |   | (2,844 | ) |   | (6,484 | ) |
|                                                                                                           |   |                                                  |        |                                                 |   |  |   |   |  |   |   |  |   |
| Net                  interest margin (deficiency) after provision for estimated credit                  losses |   |                                                  | 6,001  |                                                 |   | (1,830 | ) |   | 11,451 |   |   | (5,858 | ) |
|                                                                                                           |   |                                                  |        |                                                 |   |  |   |   |  |   |   |  |   |
| OTHER                  REVENUES:                                                                               |   |                                                  |        |                                                 |   |  |   |   |  |   |   |  |   |
| Credit                  (charge) to Master Trust—net                                                     |   |                                                  | (2,126 | )                                                    |   | 496 |   |   | (5,179 | ) |   | 1,633 |   |
| Gain                  from extinguishment of debt                                                              |   |                                                  | 266    |                                                 |   |  |   |   | 11,327 |   |   |  |   |
| Other                  income                                                                                  |   |                                                  | 188    |                                                 |   | 707 |   |   | 614 |   |   | 2,293 |   |
|                                                                                                           |   |                                                  |        |                                                 |   |  |   |   |  |   |   |  |   |
| Total                  other revenues (charges), net                                                           |   |                                                  | (1,672 | )                                                    |   | 1,203 |   |   | 6,762 |   |   | 3,926 |   |
|                                                                                                           |   |                                                  |        |                                                 |   |  |   |   |  |   |   |  |   |
| OTHER                  EXPENSES:                                                                               |   |                                                  |        |                                                 |   |  |   |   |  |   |   |  |   |
| Salaries                  and benefits                                                                         |   |                                                  | 551    |                                                 |   | 105 |   |   | 722 |   |   | 309 |   |
| Operating                  expenses                                                                            |   |                                                  | 718    |                                                 |   | 242 |   |   | 1,324 |   |   | 824 |   |
| Third                  party servicing expense                                                                 |   |                                                  | 1,015  |                                                 |   | 639 |   |   | 2,642 |   |   | 1,720 |   |
| Bankruptcy                  costs                                                                              |   |                                                  | 74     |                                                 |   | 104 |   |   | 244 |   |   | 404 |   |
|                                                                                                           |   |                                                  |        |                                                 |   |  |   |   |  |   |   |  |   |
| Total                  other expenses                                                                          |   |                                                  | 2,358  |                                                 |   | 1,090 |   |   | 4,932 |   |   | 3,257 |   |
|                                                                                                           |   |                                                  |        |                                                 |   |  |   |   |  |   |   |  |   |
| INCOME                  (LOSS) BEFORE INCOME TAXES                                                             |   |                                                  | 1,971  |                                                 |   | (1,717 | ) |   | 13,281 |   |   | (5,189 | ) |
|                                                                                                           |   |                                                  |        |                                                 |   |  |   |   |  |   |   |  |   |
| INCOME                  TAXES                                                                                  |   |                                                  | -      |                                                 |   | - |   |   | - |   |   | - |   |
|                                                                                                           |   |                                                  |        |                                                 |   |  |   |   |  |   |   |  |   |
| NET                  INCOME (LOSS)                                                                             |   | $                                                     | 1,971  |                                                 | $      | (1,717 | ) | $ | 13,281 |   | $ | (5,189 | ) |

***Three        Months Ended September 30, 2005 Compared to Three Months Ended September        30,        2004 - Consolidated***

----

**Part        I **
**Financial        Information - Continued**

**Item        2.  **
**Management’s        Discussion and Analysis of Financial Condition **
**and        Results of Operation - Continued**

----

**Part        I **
**Financial        Information - Continued**

**Item        2.  **
**Management’s        Discussion and Analysis of Financial Condition **
**and        Results of Operation - Continued**

***Nine        Months Ended September 30, 2005 Compared to Nine Months Ended September 30,        2004        - Consolidated***

----

**Part        I **
**Financial        Information - Continued**

**Item        2.  **
**Management’s        Discussion and Analysis of Financial Condition **
**and        Results of Operation - Continued**

----

**Part        I **
**Financial        Information - Continued**

**Item        2.  **
**Management’s        Discussion and Analysis of Financial Condition **
**and        Results of Operation - Continued**

**Discussion        of Results of Operations of UAC**

|                                                                                                           |   | **Three                  Months Ended September 30,** |   | **Nine                  Months Ended September 30,** |   |
|----------------------------------------------------------------------------------------------------------------|--------|-------------------------------------------------------|--------|------------------------------------------------------|--------|
|                                                                                                           |   | **2005**                                              |   | **2004**                                             |   | **2005** |   | **2004** |   |
| INTEREST:                                                                                                      |   |                                                  |   |                                                 |   |   |   |   |   |
| Interest                  on receivables                                                                       |   | $                                                     | 5,747  |                                                 | $      | 3,569 |   | $ | 15,634 |   | $ | 9,517 |   |
| Accretion                  and other interest                                                                  |   |                                                  | 2,331  |                                                 |   | 301 |   |   | 8,050 |   |   | 732 |   |
|                                                                                                           |   |                                                  |        |                                                 |   |  |   |   |  |   |   |  |   |
| Total                  interest income                                                                         |   |                                                  | 8,078  |                                                 |   | 3,870 |   |   | 23,684 |   |   | 10,249 |   |
|                                                                                                           |   |                                                  |        |                                                 |   |  |   |   |  |   |   |  |   |
| Interest                  expense                                                                              |   |                                                  | (2,587 | )                                                    |   | (3,415 | ) |   | (10,923 | ) |   | (9,623 | ) |
|                                                                                                           |   |                                                  |        |                                                 |   |  |   |   |  |   |   |  |   |
| Net                  interest margin                                                                           |   |                                                  | 5,491  |                                                 |   | 455 |   |   | 12,761 |   |   | 626 |   |
|                                                                                                           |   |                                                  |        |                                                 |   |  |   |   |  |   |   |  |   |
| Provision                  for estimated credit losses                                                         |   |                                                  | (656   | )                                                    |   | (2,285 | ) |   | (2,469 | ) |   | (6,484 | ) |
|                                                                                                           |   |                                                  |        |                                                 |   |  |   |   |  |   |   |  |   |
| Net                  interest margin (deficiency) after provision for estimated credit                  losses |   |                                                  | 4,835  |                                                 |   | (1,830 | ) |   | 10,292 |   |   | (5,858 | ) |
|                                                                                                           |   |                                                  |        |                                                 |   |  |   |   |  |   |   |  |   |
| OTHER                  REVENUES:                                                                               |   |                                                  |        |                                                 |   |  |   |   |  |   |   |  |   |
| Credit                  (charge) to Master Trust—net                                                     |   |                                                  | (2,126 | )                                                    |   | 496 |   |   | (5,179 | ) |   | 1,633 |   |
| Gain                  from extinguishment of debt                                                              |   |                                                  | 266    |                                                 |   |  |   |   | 11,327 |   |   |  |   |
| Other                  income                                                                                  |   |                                                  | 179    |                                                 |   | 707 |   |   | 592 |   |   | 2,293 |   |
|                                                                                                           |   |                                                  |        |                                                 |   |  |   |   |  |   |   |  |   |
| Total                  other revenues (charges), net                                                           |   |                                                  | (1,681 | )                                                    |   | 1,203 |   |   | 6,740 |   |   | 3,926 |   |
|                                                                                                           |   |                                                  |        |                                                 |   |  |   |   |  |   |   |  |   |
| OTHER                  EXPENSES:                                                                               |   |                                                  |        |                                                 |   |  |   |   |  |   |   |  |   |
| Salaries                  and benefits                                                                         |   |                                                  | 86     |                                                 |   | 105 |   |   | 257 |   |   | 309 |   |
| Operating                  expenses                                                                            |   |                                                  | 205    |                                                 |   | 242 |   |   | 735 |   |   | 824 |   |
| Third                  party servicing expense                                                                 |   |                                                  | 1,015  |                                                 |   | 639 |   |   | 2,642 |   |   | 1,720 |   |
| Bankruptcy                  costs                                                                              |   |                                                  | 74     |                                                 |   | 104 |   |   | 244 |   |   | 404 |   |
|                                                                                                           |   |                                                  |        |                                                 |   |  |   |   |  |   |   |  |   |
| Total                  other expenses                                                                          |   |                                                  | 1,380  |                                                 |   | 1,090 |   |   | 3,878 |   |   | 3,257 |   |
|                                                                                                           |   |                                                  |        |                                                 |   |  |   |   |  |   |   |  |   |
| INCOME                  (LOSS) BEFORE INCOME TAXES                                                             |   |                                                  | 1,774  |                                                 |   | (1,717 | ) |   | 13,154 |   |   | (5,189 | ) |
|                                                                                                           |   |                                                  |        |                                                 |   |  |   |   |  |   |   |  |   |
| INCOME                  TAXES                                                                                  |   |                                                  | -      |                                                 |   | - |   |   | - |   |   | - |   |
|                                                                                                           |   |                                                  |        |                                                 |   |  |   |   |  |   |   |  |   |
| NET                  INCOME (LOSS)                                                                             |   | $                                                     | 1,774  |                                                 | $      | (1,717 | ) | $ | 13,154 |   | $ | (5,189 | ) |

***Three        Months Ended September 30, 2005 Compared to Three Months Ended September        30,        2004 - UAC***

----

**Part        I **
**Financial        Information - Continued**

**Item        2.  **
**Management’s        Discussion and Analysis of Financial Condition **
**and        Results of Operation - Continued**

|                                                      |   | **As                  of September 30** |    |
|-----------------------------------------------------------|--------|-----------------------------------------|---------|
|                                                      |   | **2005**                                |    | **2004** |   |
|                                                      |   |                                    |    |   |   |
| UAC                  held for sale receivables, net       |   | $                                       | 319     |   | $ | 535 |   |
| UAC                  securitized finance receivables, net |   |                                    | 136,948 |   |   | 94,740 |   |
|                                                      |   |                                    |         |   |   |  |   |
| UAC                  total receivables, net               |   | $                                       | 137,267 |   | $ | 95,275 |   |

|                                                                            |   | **Three                  Months Ended September 30,** |   |
|---------------------------------------------------------------------------------|--------|-------------------------------------------------------|--------|
|                                                                            |   | **2005**                                              |   | **2004** |   |
|                                                                            |   |                                                  |   |   |   |
| UAC                  discount accretion for beneficial interest in Master Trust |   | $                                                     | 2,074  |   | $ | 230 |   |
| UAC                  interest in Master Trust                                   |   |                                                  | 257    |   |   | 71 |   |
|                                                                            |   |                                                  |        |   |   |  |   |
| UAC                  other interest income                                      |   | $                                                     | 2,331  |   | $ | 301 |   |

----

**Part        I **
**Financial        Information - Continued**

**Item        2.  **
**Management’s        Discussion and Analysis of Financial Condition **
**and        Results of Operation - Continued**

***Nine        Months Ended September 30, 2005 Compared to Nine Months Ended September 30,        2004        - UAC***

----

**Part        I **
**Financial        Information - Continued**

**Item        2. **
**Management’s        Discussion and Analysis of Financial Condition **
**and        Results of Operation - Continued**

|                                                                            |   | **Nine                  Months Ended September 30,** |   |
|---------------------------------------------------------------------------------|--------|------------------------------------------------------|--------|
|                                                                            |   | **2005**                                             |   | **2004** |   |
|                                                                            |   |                                                 |   |   |   |
| UAC                  discount accretion for beneficial interest in Master Trust |   | $                                                    | 7,469  |   | $ | 554 |   |
| UAC                  interest in Master Trust                                   |   |                                                 | 581    |   |   | 178 |   |
|                                                                            |   |                                                 |        |   |   |  |   |
| UAC                  other interest income                                      |   | $                                                    | 8,050  |   | $ | 732 |   |

----

**Part        I **
**Financial        Information - Continued**

**Item        2.  **
**Management’s        Discussion and Analysis of Financial Condition **
**and        Results of Operation - Continued**

----

**Part        I **
**Financial        Information - Continued**

**Item        2.  **
**Management’s        Discussion and Analysis of Financial Condition **
**and        Results of Operation - Continued**

**Discussion        of Results of Operations of Coastal Credit**

|                                                                                                           |   | **One                  Month Ended September 30,** |   |
|----------------------------------------------------------------------------------------------------------------|--------|----------------------------------------------------|--------|
|                                                                                                           |   | **2005**                                           |   |
| INTEREST:                                                                                                      |   |                                               |   |
| Interest                  on receivables                                                                       |   | $                                                  | 2,141  |   |
| Accretion                  and other interest                                                                  |   |                                               | -      |   |
|                                                                                                           |   |                                               |        |   |
| Total                  interest income                                                                         |   |                                               | 2,141  |   |
|                                                                                                           |   |                                               |        |   |
| Interest                  expense                                                                              |   |                                               | (378   | ) |
|                                                                                                           |   |                                               |        |   |
| Net                  interest margin                                                                           |   |                                               | 1,763  |   |
|                                                                                                           |   |                                               |        |   |
| Provision                  for estimated credit losses                                                         |   |                                               | (375   | ) |
|                                                                                                           |   |                                               |        |   |
| Net                  interest margin (deficiency) after provision for estimated credit                  losses |   |                                               | 1,388  |   |
|                                                                                                           |   |                                               |        |   |
| OTHER                  REVENUES:                                                                               |   |                                               |        |   |
| Other                  income                                                                                  |   |                                               | 9      |   |
|                                                                                                           |   |                                               |        |   |
| Total                  other revenues (charges), net                                                           |   |                                               | 9      |   |
|                                                                                                           |   |                                               |        |   |
| OTHER                  EXPENSES:                                                                               |   |                                               |        |   |
| Salaries                  and benefits                                                                         |   |                                               | 451    |   |
| Operating                  expenses                                                                            |   |                                               | 241    |   |
|                                                                                                           |   |                                               |        |   |
| Total                  other expenses                                                                          |   |                                               | 692    |   |
|                                                                                                           |   |                                               |        |   |
| INCOME                  (LOSS) BEFORE INCOME TAXES                                                             |   |                                               | 705    |   |
|                                                                                                           |   |                                               |        |   |
| INCOME                  TAXES                                                                                  |   |                                               | -      |   |
|                                                                                                           |   |                                               |        |   |
| NET                  INCOME (LOSS)                                                                             |   | $                                                  | 705    |   |

***One        Month Ended September 30, 2005 - Coastal Credit***

----

**Part        I **
**Financial        Information - Continued**

**Item        2.  **
**Management’s        Discussion and Analysis of Financial Condition **
**and        Results of Operation - Continued**

**Discussion        of Results of Operations of Corporate and Other**

|                                                                                                               |   | **Three                    Months Ended September 30,** |   | **Nine                    Months Ended September 30,** |   |
|--------------------------------------------------------------------------------------------------------------------|--------|---------------------------------------------------------|--------|--------------------------------------------------------|--------|
|                                                                                                               |   | **2005**                                                |   | **2005**                                               |   |
| INTEREST:                                                                                                          |   |                                                    |   |                                                   |   |
| Interest                    on receivables                                                                         |   | $                                                       | -      |                                                   | $      | - |   |
| Accretion                    and other interest                                                                    |   |                                                    | 2      |                                                   |   | 2 |   |
|                                                                                                               |   |                                                    |        |                                                   |   |  |   |
| Total                    interest income                                                                           |   |                                                    | 2      |                                                   |   | 2 |   |
|                                                                                                               |   |                                                    |        |                                                   |   |  |   |
| Interest                    expense                                                                                |   |                                                    | (224   | )                                                      |   | (231 | ) |
|                                                                                                               |   |                                                    |        |                                                   |   |  |   |
| Net                    interest margin                                                                             |   |                                                    | (222   | )                                                      |   | (229 | ) |
|                                                                                                               |   |                                                    |        |                                                   |   |  |   |
| Provision                    for estimated credit losses                                                           |   |                                                    | -      |                                                   |   | - |   |
|                                                                                                               |   |                                                    |        |                                                   |   |  |   |
| Net                    interest margin (deficiency) after provision for estimated credit                    losses |   |                                                    | (222   | )                                                      |   | (229 | ) |
|                                                                                                               |   |                                                    |        |                                                   |   |  |   |
| OTHER                    REVENUES:                                                                                 |   |                                                    |        |                                                   |   |  |   |
| Other                    income                                                                                    |   |                                                    | -      |                                                   |   | 13 |   |
|                                                                                                               |   |                                                    |        |                                                   |   |  |   |
| Total                    other revenues (charges), net                                                             |   |                                                    | -      |                                                   |   | 13 |   |
|                                                                                                               |   |                                                    |        |                                                   |   |  |   |
| OTHER                    EXPENSES:                                                                                 |   |                                                    |        |                                                   |   |  |   |
| Salaries                    and benefits                                                                           |   |                                                    | 14     |                                                   |   | 14 |   |
| Operating                    expenses                                                                              |   |                                                    | 272    |                                                   |   | 348 |   |
|                                                                                                               |   |                                                    |        |                                                   |   |  |   |
| Total                    other expenses                                                                            |   |                                                    | 286    |                                                   |   | 362 |   |
|                                                                                                               |   |                                                    |        |                                                   |   |  |   |
| INCOME                    (LOSS) BEFORE INCOME TAXES                                                               |   |                                                    | (508   | )                                                      |   | (578 | ) |
|                                                                                                               |   |                                                    |        |                                                   |   |  |   |
| INCOME                    TAXES                                                                                    |   |                                                    | -      |                                                   |   | - |   |
|                                                                                                               |   |                                                    |        |                                                   |   |  |   |
| NET                    INCOME (LOSS)                                                                               |   | $                                                       | (508   | )                                                      | $      | (578 | ) |
|                                                                                                               |   |                                                    |        |                                                   |   |  |   |
|                                                                                                               |   |                                                    |        |                                                   |   |  |   |

***Three        Months Ended September 30, 2005 -***
**Corporate        and Other**

----

**Part        I **
**Financial        Information - Continued**

**Item        2.  **
**Management’s        Discussion and Analysis of Financial Condition **
**and        Results of Operation - Continued**

***Nine        Months Ended September 30, 2005 -***
**Corporate        and Other**

----

**Part        I **
**Financial        Information - Continued**

**Item        2.  **
**Management’s        Discussion and Analysis of Financial Condition **
**and        Results of Operation - Continued**

**Financial        Condition as of September 30, 2005 and December 31,        2004**

***Securitized        Finance Receivables, Net***

|                                                     |   | **September                  30, 2005** |    | **December                  31, 2004** |   |
|----------------------------------------------------------|--------|-----------------------------------------|---------|----------------------------------------|--------|
|                                                     |   |                                    |    |                                   |   |
| **Securitized                  Finance Receivables (1)** |   |                                    |    |                                   |   |
| 2003-A                                                   |   | $                                       | 7,016   |                                   | $      | 27,413 |   |
| 2004-A1                                                  |   |                                    | 5,636   |                                   |   | 15,786 |   |
| 2004-A2                                                  |   |                                    | 6,712   |                                   |   | 16,668 |   |
| 2004-B                                                   |   |                                    | 7,511   |                                   |   | 17,591 |   |
| 2004-C                                                   |   |                                    | 22,546  |                                   |   | 48,408 |   |
| 2005-A                                                   |   |                                    | 24,796  |                                   |   | - |   |
| 2005-B                                                   |   |                                    | 32,359  |                                   |   | - |   |
| 2005-C                                                   |   |                                    | 44,352  |                                   |   | - |   |
|                                                     |   |                                    | 150,928 |                                   |   | 125,866 |   |
|                                                     |   |                                    |         |                                   |   |  |   |
| **Off-Balance                  Sheet Securitizations**   |   |                                    |         |                                   |   |  |   |
| 2000-C                                                   |   |                                    | -       |                                   |   | 51,035 |   |
| 2000-D                                                   |   |                                    | -       |                                   |   | 62,141 |   |
| 2001-A                                                   |   |                                    | -       |                                   |   | 80,696 |   |
| 2001-B                                                   |   |                                    | 15,602  |                                   |   | 27,598 |   |
| 2001-C                                                   |   |                                    | 42,034  |                                   |   | 70,411 |   |
| 2002-A                                                   |   |                                    | 41,168  |                                   |   | 69,373 |   |
|                                                     |   |                                    | 98,804  |                                   |   | 361,254 |   |
|                                                     |   |                                    |         |                                   |   |  |   |
| Total                  Securitization Portfolios         |   | $                                       | 249,732 |                                   | $      | 487,120 |   |

***Finance        Receivables, Net***

----

**Part        I **
**Financial        Information - Continued**

**Item        2.  **
**Management’s        Discussion and Analysis of Financial Condition **
**and        Results of Operation - Continued**

***Beneficial        Interest in Master Trust***

----

**Part        I **
**Financial        Information - Continued**

**Item        2.  **
**Management’s        Discussion and Analysis of Financial Condition **
**and        Results of Operation - Continued**

***Other        Assets***

|                                                   |   | **September                  30, 2005** |   | **December                  31, 2004** |   |
|--------------------------------------------------------|--------|-----------------------------------------|--------|----------------------------------------|--------|
|                                                   |   |                                    |   |                                   |   |
| Receivable                  from servicer              |   | $                                       | 937    |                                   | $      | 1,197 |   |
| Prepaid                  expenses                      |   |                                    | 840    |                                   |   | 824 |   |
| Property,                  plant and equipment         |   |                                    | 637    |                                   |   | 50 |   |
| Dealer                  premium rebate receivable, net |   |                                    | 444    |                                   |   | 859 |   |
| Receivables                  held for sale, net        |   |                                    | 319    |                                   |   | 499 |   |
| Receivable                  from Master Trust account  |   |                                    | 295    |                                   |   | 637 |   |
| Deferred                  debt issuance costs, net     |   |                                    | 204    |                                   |   | - |   |
| Vehicle                  inventory                     |   |                                    | 126    |                                   |   | - |   |
| Other                                                  |   |                                    | 18     |                                   |   | 113 |   |
| Total                  other assets                    |   | $                                       | 3,820  |                                   | $      | 4,179 |   |

***Collateralized        Financings***

***Accrued        Interest Payable***

***Creditor        Notes Payable***

----

**Part        I **
**Financial        Information - Continued**

**Item        2.  **
**Management’s        Discussion and Analysis of Financial Condition **
**and        Results of Operation - Continued**

**Liquidity        and Capital Resources for the Nine Months Ended September 30, 2005 and        2004**

----

**Part        I **
**Financial        Information - Continued**

**Item        2.  **
**Management’s        Discussion and Analysis of Financial Condition **
**and        Results of Operation - Continued**

**Asset        Quality**

----

**Part        I **
**Financial        Information - Continued**

**Item        2.  **
**Management’s        Discussion and Analysis of Financial Condition **
**and        Results of Operation - Continued**

***Securitized        Finance Receivables***

| **Current                    Transaction**                                                              |   | **Initial                    Transaction** |                      | **Original****Amount****of                    Initial Transaction** |   | **Remaining                    Balance at September 30, 2005** |   | **Remaining****Balance                    as****a                    Percentage****of                    Original****Amount** |    | **Net                    Loss****to                    Original****Amount                    at****September                    30,****2005** |
|---------------------------------------------------------------------------------------------------------|--------|--------------------------------------------|---------------------------|---------------------------------------------------------------------|--------|----------------------------------------------------------------|--------|-------------------------------------------------------------------------------------------------------------------------------|---------|-----------------------------------------------------------------------------------------------------------------------------------------------|
|                                                                                                    |   |                                       |                      |                                                                |   |                                                           |   |                                                                                                                          |    |                                                                                                                                          |   |
| On                    Balance Sheet Securitized Finance Receivables:                                    |   |                                       |                      |                                                                |   |                                                           |   |                                                                                                                          |    |                                                                                                                                          |   |
| 2003-A                                                                                                  |   |                                       | Note                    1 |                                                                | $      | 1,813,648                                                      |   | $                                                                                                                             | 7,016   |                                                                                                                                          |   | 0.39 | % |   | 7.40 | % |
| 2004-A1                                                                                                 |   |                                       | 1999-C                    |                                                                |   | 364,792                                                        |   |                                                                                                                          | 5,636   |                                                                                                                                          |   | 1.54 | % |   | 9.56 | % |
| 2004-A2                                                                                                 |   |                                       | 1999-D                    |                                                                |   | 302,693                                                        |   |                                                                                                                          | 6,712   |                                                                                                                                          |   | 2.22 | % |   | 11.03 | % |
| 2004-B                                                                                                  |   |                                       | 2000-A                    |                                                                |   | 282,721                                                        |   |                                                                                                                          | 7,511   |                                                                                                                                          |   | 2.66 | % |   | 9.10 | % |
| 2004-C                                                                                                  |   |                                       | 2000-B                    |                                                                |   | 534,294                                                        |   |                                                                                                                          | 22,546  |                                                                                                                                          |   | 4.22 | % |   | 11.64 | % |
| 2005-A                                                                                                  |   |                                       | 2000-C                    |                                                                |   | 499,999                                                        |   |                                                                                                                          | 24,796  |                                                                                                                                          |   | 4.96 | % |   | 9.65 | % |
| 2005-B                                                                                                  |   |                                       | 2000-D                    |                                                                |   | 510,000                                                        |   |                                                                                                                          | 32,359  |                                                                                                                                          |   | 6.34 | % |   | 10.24 | % |
| 2005-C                                                                                                  |   |                                       | 2001-A                    |                                                                |   | 573,000                                                        |   |                                                                                                                          | 44,352  |                                                                                                                                          |   | 7.74 | % |   | 9.31 | % |
|                                                                                                    |   |                                       |                      |                                                                |   | 4,881,147                                                      |   |                                                                                                                          | 150,928 |                                                                                                                                          |   |   |   |   |   |   |
|                                                                                                    |   |                                       |                      |                                                                |   |                                                           |   |                                                                                                                          |    |                                                                                                                                          |   |   |   |   |   |   |
| Off                    Balance Sheet Securitized Finance Receivables:                                   |   |                                       |                      |                                                                |   |                                                           |   |                                                                                                                          |    |                                                                                                                                          |   |   |   |   |   |   |
| 2001-B                                                                                                  |   |                                       |                           |                                                                |   | 150,002                                                        |   |                                                                                                                          | 15,602  |                                                                                                                                          |   | 10.40 | % |   | 7.46 | % |
| 2001-C                                                                                                  |   |                                       |                           |                                                                |   | 330,000                                                        |   |                                                                                                                          | 42,034  |                                                                                                                                          |   | 12.74 | % |   | 6.90 | % |
| 2002-A                                                                                                  |   |                                       |                           |                                                                |   | 300,000                                                        |   |                                                                                                                          | 41,168  |                                                                                                                                          |   | 13.72 | % |   | 5.07 | % |
|                                                                                                    |   |                                       |                           |                                                                |   | 780,002                                                        |   |                                                                                                                          | 98,804  |                                                                                                                                          |   |  |   |   |  |   |
|                                                                                                    |   |                                       |                           |                                                                |   |                                                                |   |                                                                                                                          |         |                                                                                                                                          |   |  |   |   |  |   |
| Total                                                                                                   |   |                                       |                           |                                                                | $      | 5,661,149                                                      |   | $                                                                                                                             | 249,732 |                                                                                                                                          |   | 4.41 | % |   | 8.72 | % |
|                                                                                                    |   |                                       |                           |                                                                |   |                                                           |   |                                                                                                                          |    |                                                                                                                                          |   |   |   |   |  |   |
| Note                    1: 1998-1, 1998-A, 1998-B, 1998-C, 1998-D, 1999-A and                    1999-B |   |                                       |                           |                                                                |   |                                                           |   |                                                                                                                          |    |                                                                                                                                          |   |   |   |   |  |   |

----

**Part        I **
**Financial        Information - Continued**

**Item        2.  **
**Management’s        Discussion and Analysis of Financial Condition **
**and        Results of Operation - Continued**

|                                                                              |   | **September                  30, 2005** |    | **December                  31, 2004** |   |
|-----------------------------------------------------------------------------------|--------|-----------------------------------------|---------|----------------------------------------|--------|
|                                                                              |   |                                    |    |                                   |   |
| Securitized                  finance receivables principal balance                |   | $                                       | 150,928 |                                   | $      | 125,866 |   |
|                                                                              |   |                                    |         |                                   |   |  |   |
| Delinquencies:                                                                    |   |                                    |         |                                   |   |  |   |
| 30-59                  days                                                       |   |                                    | 8,899   |                                   |   | 6,751 |   |
| 60-89                  days                                                       |   |                                    | 2,638   |                                   |   | 2,283 |   |
| 90+                  days                                                         |   |                                    | 1,054   |                                   |   | 1,252 |   |
| Total                  delinquencies                                              |   | $                                       | 12,591  |                                   | $      | 10,286 |   |
|                                                                              |   |                                    |         |                                   |   |  |   |
| Delinquencies                  as a percentage of securitized finance receivables |   |                                    | 8.3     | %                                      |   | 8.2 | % |

----

**Part        I **
**Financial        Information - Continued**

**Item        2.  **
**Management’s        Discussion and Analysis of Financial Condition **
**and        Results of Operation - Continued**

|                                                                                                             |   | **Three                    Months Ended** |    |     |   | **Nine                    Months Ended** |   |     |    |
|------------------------------------------------------------------------------------------------------------------|--------|-------------------------------------------|---------|----------|--------|------------------------------------------|--------|----------|---------|
|                                                                                                             |   | **September                    30,**      |    |     |   | **September                    30,**     |   |     |    |
|                                                                                                             |   | **2005**                                  |    | **2004** |   | **2005**                                 |   | **2004** |    |
|                                                                                                             |   |                                      |    |     |   |                                     |   |     |    |
| Balance                    at the beginning of period                                                            |   | $                                         | 13,425  |     | $      | 8,189                                    |   | $        | 11,722  |   | $ | 5,006 |   |
| Allowance                    at purchase                                                                         |   |                                      | 2,131   |     |   | 213                                      |   |     | 5,163   |   |   | 3,183 |   |
| Charge-offs                                                                                                      |   |                                      | (5,812  | )        |   | (4,313                                   | )      |     | (16,410 | ) |   | (12,787 | ) |
| Recoveries                                                                                                       |   |                                      | 3,580   |     |   | 2,485                                    |   |     | 11,037  |   |   | 6,973 |   |
| Provision                    for estimated credit losses                                                         |   |                                      | 656     |     |   | 2,285                                    |   |     | 2,468   |   |   | 6,484 |   |
| Balance                    at the end of the period                                                              |   | $                                         | 13,980  |     | $      | 8,859                                    |   | $        | 13,980  |   | $ | 8,859 |   |
|                                                                                                             |   |                                      |         |     |   |                                          |   |     |         |   |   |  |   |
| Net                    charge offs                                                                               |   | $                                         | 2,232   |     | $      | 1,828                                    |   | $        | 5,373   |   | $ | 5,814 |   |
| Securitized                    finance receivables                                                               |   | $                                         | 150,928 |     | $      | 103,599                                  |   | $        | 150,928 |   | $ | 103,599 |   |
|                                                                                                             |   |                                      |         |     |   |                                          |   |     |         |   |   |  |   |
| Allowance                    for loan losses as a percent of securitized finance                    receivables  |   |                                      | 9.26    | %        |   | 8.55                                     | %      |     | 9.26    | % |   | 8.55 | % |
|                                                                                                             |   |                                      |         |     |   |                                          |   |     |         |   |   |  |   |
| Annualized                    net charge offs as a percent of securitized finance                    receivables |   |                                      | 5.92    | %        |   | 7.06                                     | %      |     | 4.75    | % |   | 7.48 | % |
|                                                                                                             |   |                                      |         |     |   |                                          |   |     |         |   |   |  |   |
| Allowance                    for loan losses as a percent of annualized net charge offs                          |   |                                      | 156.59  | %        |   | 121.16                                   | %      |     | 195.14  | % |   | 114.28 | % |
|                                                                                                             |   |                                      |    |     |   |                                     |   |     |    |   |   |   |   |

***Finance        Receivables***

|                                                                                  |   | **September                  30, 2005** |   | **December                  31, 2004** |   |
|---------------------------------------------------------------------------------------|--------|-----------------------------------------|--------|----------------------------------------|--------|
|                                                                                  |   |                                    |   |                                   |   |
| Finance                  receivables - gross balance                                  |   | $                                       | 96,102 |                                   | $      | 86,040 |   |
|                                                                                  |   |                                    |        |                                   |   |  |   |
| Delinquencies:                                                                        |   |                                    |        |                                   |   |  |   |
| 30-59                  days                                                           |   |                                    | 1,411  |                                   |   | 1,101 |   |
| 60-89                  days                                                           |   |                                    | 769    |                                   |   | 695 |   |
| 90+                  days                                                             |   |                                    | 844    |                                   |   | 1,101 |   |
| Total                  delinquencies                                                  |   | $                                       | 3,024  |                                   | $      | 2,897 |   |
|                                                                                  |   |                                    |        |                                   |   |  |   |
| Delinquencies                  as a percentage of finance receivables - gross balance |   |                                    | 3.1    | %                                      |   | 3.4 | % |

----

**Part        I **
**Financial        Information - Continued**

**Item        2.  **
**Management’s        Discussion and Analysis of Financial Condition **
**and        Results of Operation - Continued**

|                                                                                                                                  |   | **One                    Month Ended** |   |
|---------------------------------------------------------------------------------------------------------------------------------------|--------|----------------------------------------|--------|
|                                                                                                                                  |   | **September                    30,**   |   |
|                                                                                                                                  |   | **2005**                               |   |
|                                                                                                                                  |   |                                   |   |
| Balance                    at the beginning of period                                                                                 |   | $                                      | 6,100  |   |
| Charge-offs,                    net of recoveries                                                                                     |   |                                   | (375   | ) |
| Provision                    for estimated credit losses                                                                              |   |                                   | 375    |   |
|                                                                                                                                  |   |                                   |        |   |
| Balance                    at the end of the period                                                                                   |   | $                                      | 6,100  |   |
|                                                                                                                                  |   |                                   |        |   |
| Net                    charge offs                                                                                                    |   | $                                      | 375    |   |
| Finance                    receivables, net of unearned finance charges                                                               |   | $                                      | 86,292 |   |
|                                                                                                                                  |   |                                   |        |   |
| Allowance                    for loan losses as a percent of finance receivables, net of unearned                    finance charges  |   |                                   | 7.07   | % |
|                                                                                                                                  |   |                                   |        |   |
| Annualized                    net charge offs as a percent of finance receivables, net of unearned                    finance charges |   |                                   | 5.21   | % |
|                                                                                                                                  |   |                                   |        |   |
| Allowance                    for loan losses as a percent of annualized net charge offs                                               |   |                                   | 135.56 | % |

**DISCUSSION        OF FORWARD-LOOKING STATEMENTS**

----

**Part        I **
**Financial        Information - Continued**

**    Item        4.**
**Controls        and Procedures**

*Disclosure        Controls and Procedures*
* *

----

**Part        II **
**Other        Information **
**-        Continued**

**Item        **
**1.         **
**Legal        Proceedings.**

**Item        2.  **
**Unregistered        Sales of Equity Securities and Use of Proceeds.**

**Item        4.  **
**Submission        of Matters to a Vote of Security Holders. **

|                                                                                                                                                                                                                               | **Votes**  |
|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|------------|
|                                                                                                                                                                                                                               |       |
| **Matter**                                                                                                                                                                                                                         | **For**    | **Against** | **Abstain** |
|                                                                                                                                                                                                                               |       |   |   |
| 1.                    Adoption of the Agreement and Plan of Share Exchange with White                    Rive                                                                                                                      | 24,293,586 | 40,200 | 980 |
|                                                                                                                                                                                                                               |       |   |   |
| 2.                    Approval of the Purchase Agreement among White River, Coastal                    Credit, LLC                    and the members of Coastal Credit, LLC                                                       | 24,256,582 | 74,804 | 3,380 |
|                                                                                                                                                                                                                               |       |   |   |
| 3.                    Ratification of issuance of warrants for 150,000 shares of common                    stock of                    White River to private equity funds managed by Castle Creek Capital,                    LLC | 23,933,807 | 397,579 | 3,380 |

----

**Part        II **
**Other        Information **
**-        Continued**

**Item        6.  **
**Exhibits**

| 10.1   |   | Expense                  Sharing Agreement, dated November 8, 2005, between White River                  Capital,                  Inc. and Castle Creek Capital, LLC and Castle Creek Advisors                  LLC. |
|--------|--------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
|   |   |                                                                                                                                                                                                                  |
| 10.2   |   | White                  River Capital Inc. Directors Stock Compensation Plan                                                                                                                                           |
|   |   |                                                                                                                                                                                                                  |
| 31.1   |   | Certification                  by Chief Executive Officer required by Rule 13a-14(a) or 15d-14(a)                  of the                  Exchange Act                                                               |
|   |   |                                                                                                                                                                                                                  |
| 31.2   |   | Certification                  by Chief Financial Officer required by Rule 31a-14(a) or 15d-14(a)                  of the                  Exchange Act                                                               |
|   |   |                                                                                                                                                                                                                  |
| 32     |   | Section                  1350 Certifications                                                                                                                                                                          |

----

**SIGNATURES**

|                               |   |   | **White                  River Capital, Inc.**                                                        |
|------------------------------------|--------|--------|-------------------------------------------------------------------------------------------------------|
|                               |   |   | (Registrant)                                                                                          |
|                               |   |   |                                                                                                  |
| November                  14, 2005 |   | By:    |  /s/                Martin J. Szumski                                                            |
|                               |   |   | Martin                  J. Szumski                                                                    |
|                               |   |   | Chief                  Financial Officer                                                              |
|                               |   |   | (Signing                  on behalf of the registrant as                  Principal Financial Officer |