<PAGE>

               UNITED STATES SECURITIES AND EXCHANGE COMMISSION
                            Washington, D.C. 20549

                                   FORM 10-K

(Mark One)
[X]   ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE
      SECURITIES EXCHANGE ACT OF 1934 (fee required)

      For the fiscal year ended December 31, 2001

[_]   TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE
      SECURITIES EXCHANGE ACT OF 1934 (no fee required)

      For the Transition Period From ________ To ________

                       Commission file Number 333-44155

     COAST FEDERAL LITIGATION CONTINGENT PAYMENT RIGHTS TRUST (Exact name
                  of registrant as specified in its charter)

          DELAWARE                                   13-7140975
   (State of Incorporation)             (I.R.S. Employer Identification No.)

   E.A. Delle Donne Corporate Center, Montgomery Building, 1011 Centre Road,
                        Wilmington, Delaware 9805-1266
                   (Address of principal executive offices)

      Registrant's telephone number, including area code: (302) 636-3300

          Securities registered pursuant to Section 12(b) of the Act:

                                     None

          Securities registered pursuant to Section 12(g) of the Act:

                    Contingent Payment Rights Certificates
                               (Title of class)

Indicate by check mark whether the registrant (1) has filed all reports required
to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during
the preceding 12 months, and (2) has been subject to such filing requirements
for the past 90 days. Yes X No

At March 5, 2002, the aggregate market value of registrant's securities
(consisting solely of the Contingent Payment Rights Certificates (the "CPR
Certificates")) held by nonaffiliates of the registrant, based on the average
bid and asking price of the CPR Certificates on that date of $.15 per
Certificate, was approximately $3.039 million.

At March 5, 2002, there were 20,703,817 CPR Certificates, no par value,
outstanding.

Documents incorporated by reference:

                                      None

Indicate by check mark if disclosure of delinquent filers pursuant to Item 405
of Regulation S-K is not contained herein, and will not be contained, to the
best of registrant's knowledge, in definitive proxy or information statements
incorporated by reference in Part III of this Form 10-K or any amendment to the
Form 10-K. [X]
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<TABLE>
<CAPTION>
                                Table of Contents
--------------------------------------------------------------------------------
<S>                                                                        <C>
PART I

Item 1.    Business.......................................................

Item 2.    Properties.....................................................

Item 3.    Legal Proceedings..............................................

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


PART II

Item 5.    Market for Registrant's Common Equity and
           Related Stockholder Matters....................................

Item 6.    Selected Financial Data........................................

Item 7.    Management's Discussion and Analysis of
           Financial Condition and Results of Operations..................

Item 7A.   Quantitative and Qualitative Disclosures about Market Risk.....

Item 8.    Financial Statements and Supplementary Data....................

Item 9.    Changes in and Disagreements with Accountants on
           Accounting and Financial Disclosure............................


PART III

Item 10.   Directors and Executive Officers of the Registrant.............

Item 11.   Executive Compensation.........................................

Item 12.   Security Ownership of Certain Beneficial
           Owners and Management..........................................

Item 13.   Certain Relationships and Related Transactions.................

PART IV

Item 14.   Exhibits, Financial Statement Schedules and
           Reports on Form 8-K............................................
</TABLE>
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PART I

ITEM 1.  BUSINESS

The information required by this Item is set forth under Part II, Item 7,
"Management's Discussion and Analysis of Financial Condition and Results of
Operations - General."

ITEM 2.  PROPERTIES

The Coast Federal Litigation Contingent Payment Rights Trust (the "CPR Trust")
leases an office at 136 South Oak Knoll Avenue, Suite 320, Pasadena, California
91101. See Note (H) to the Consolidated Financial Statements included in Part
II, Item 8 hereof.

ITEM 3.  LEGAL PROCEEDINGS

The CPR Trust is not a party to any legal proceedings. For a discussion of Coast
Federal Bank, FSB v. The United States, which is the Litigation to which the
Registrant's CPR Certificates relate, see Part II, Item 7. "Management's
Discussion and Analysis of Financial Condition and Results of Operations - The
Litigation."

ITEM 4.  SUBMISSION OF MATTERS TO A VOTE OF SECURITY HOLDERS

None.

PART II

ITEM 5.  MARKET FOR REGISTRANT'S COMMON EQUITY AND
         RELATED STOCKHOLDER MATTERS

The CPR Certificates trade on The NASDAQ Stock Market under the symbol CCPRZ.
The following table indicates certain quarterly information with respect to the
CPR Certificates' trading prices; the CPR Certificates' first year of trading
was 1998.

<TABLE>
<CAPTION>
                                        2001                2000
                                   ---------------     ---------------
                                   High       Low      High       Low
                                   -----     -----     -----     -----
<S>                                <C>       <C>       <C>       <C>
First Quarter                      $1.53     $0.88     $2.13     $1.28
Second Quarter                      1.19      0.90      1.78      1.25
Third Quarter                       1.00      0.33      1.94      1.25
Fourth Quarter                      0.65      0.01      2.03      1.34
</TABLE>

As of February 15, 2002, there were approximately 2,933 beneficial owners of the
CPR Certificates. No dividends were declared or paid on the CPR Certificates in
2001. For a description of the CPR Certificates, see Part II, Item 7,
"Management's Discussion and Analysis of Financial Condition and Results of
Operations - General."

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ITEM 6.  SELECTED FINANCIAL DATA

The information required by this Item is set forth under Part II, Item 7,
"Management's Discussion and Analysis of Financial Condition and Results of
Operations - Summary Financial Information."

ITEM 7.  MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS
OF OPERATIONS

The following discussion should be read in conjunction with the Registration
Statement on Form S-1 with respect to the CPR Certificates referred to herein
filed by Coast Savings Financial, Inc. ("Coast") with, and declared effective
by, the Securities and Exchange Commission (the "SEC") on January 13, 1998 (SEC
File Number 333-44155).

GENERAL

The CPR Trust is a statutory business trust created under Delaware law on
January 8, 1998. The CPR Trust was created by Coast in connection with its
merger, effected on February 13, 1998 (the "Merger"), with and into H. F.
Ahmanson & Co. ("Ahmanson"), for the purpose of holding the Commitment Agreement
entered into by Ahmanson and the CPR Trust, dated as of February 13, 1998 (the
Commitment"). The Commitment represents Ahmanson's obligation to pay to the CPR
Trust an amount equal to any net after-tax proceeds, as more particularly
defined in the CPR Trust Agreement referred to below (the "Commitment Amount"),
that may be received by Coast's wholly-owned subsidiary, Coast Federal Bank, FSB
("Coast Federal") (or its successor), from Coast Federal's regulatory capital
litigation claims against the United States government in the case entitled
Coast Federal Bank, FSB v. United States, No. 92-466C (Cl. Ct. filed July 9,
1992) (the "Litigation"). Subsequent to the merger, Ahmanson merged Coast
Federal with and into Ahmanson's wholly-owned subsidiary, Home Savings of
America, FSB ("Home Savings"), with Home Savings being the successor
institution. Ahmanson merged into Washington Mutual, Inc. ("WAMU") on October 3,
1998, and Home Savings was thereafter merged into WAMU's wholly-owned
subsidiary, Washington Mutual Bank, F.A. ("Washington Mutual").

The governing instrument of the CPR Trust is the Amended and Restated
Declaration of Trust, dated as of February 13, 1998 (the "CPR Trust Agreement"),
entered into among Coast, the Litigation Trustees, Bankers Trust Company (the
"Institutional Trustee") and Bankers Trust (Delaware) (the "Delaware Trustee").
Deutche Bank subsequently succeeded to the interests of both the Institutional
Trustee and the Delaware Trustee. Pursuant to the CPR Trust Agreement, the four
senior executives of Coast with knowledge of the facts underlying the Litigation
were appointed as "Litigation Trustees" of the CPR Trust, and were given full
authority to make all decisions on behalf of Coast Federal (and its successors)
with respect to the prosecution and resolution of the Litigation.

The assets of the CPR Trust consist solely of the Commitment and the right to
draw on amounts in the Expense Fund for purposes of funding expenses of the CPR
Trust, including expenses of the Litigation, fees and expenses of the Litigation
Trustees and all administrative expenses. Under the CPR Trust Agreement,
Ahmanson agreed to provide the sum of $19,884,294 (which is equal to $20 million
less expenses related to the Litigation incurred by Coast Federal between
September 1, 1997 and February 13, 1998) (the "Expense Fund") to fund the
Litigation and other expenses of the CPR Trust, which amount is to be reimbursed
to Ahmanson from any proceeds of the Litigation, including any

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amounts received in settlement of the Litigation, prior to the payment of any
amounts to holders of the Contingent Payment Rights Certificates (the "CPR
Certificates"). The Expense Fund is on deposit in a non-interest bearing demand
deposit account in the name of the CPR Trust at Washington Mutual.

Within 60 days of the receipt of any Commitment Amount, the CPR Trust is
required under the CPR Trust Agreement to pay such amounts (other than $10
million or such greater amount as the Litigation Trustees reasonably determine
may be reasonably likely to be required to pay additional expenses or to satisfy
the CPR Trust's indemnification obligations (the "Retained Amount")) less the
amount of any accrued but unpaid expenses payable by the CPR Trust but not
covered by the Expense Fund, to the holders of the CPR Certificates as of a
record date to be set by the Litigation Trustees. The Retained Amount will be
retained for a period of two years, or such longer period as the Litigation
Trustees reasonably determine may be required.

THE LITIGATION

The following description of the Litigation does not purport to be a complete
description of the legal and factual issues presented, the court opinions
rendered or the relevant law, and the description is in all respects qualified
by reference to the documents filed in the Litigation, such opinions and the
relevant law.

On July 9, 1992, Coast Federal commenced litigation entitled Coast Federal Bank,
Federal Savings Bank v. United States, Civil Action Number 92-466C, against the
United States in the U.S. Claims Court (now the U.S. Court of Federal Claims,
hereinafter, the "Claims Court") alleging that the United States is in breach of
a contract with Coast Federal and has unlawfully taken Coast Federal's property
without just compensation or due process of law in violation of the U.S.
Constitution.

As further described below, Coast Federal's claims arose from changes with
respect to the rules for computing Coast Federal's regulatory capital that were
mandated by the Financial Institutions Reform, Recovery and Enforcement Act of
1989 ("FIRREA") and certain regulations promulgated thereunder.

On April 10, 1987, Coast Federal acquired substantially all of the assets and
liabilities of Central Savings and Loan Association ("Central") from the Federal
Savings and Loan Insurance Corporation (the "FSLIC") in a supervisory
transaction (the "Acquisition") that Coast Federal alleges was induced and
arranged by the FSLIC and the Federal Home Loan Bank Board ("FHLBB"). As part of
the Acquisition, Coast Federal entered into a contract with the FSLIC (the
"Assistance Agreement") under which the FSLIC made a cash contribution to Coast
Federal in the amount of $298.3 million (the "Capital Credit"). In the
Litigation, Coast Federal alleges that the Assistance Agreement and certain
resolutions and a forbearance letter issued by the FHLBB in connection with the
Assistance Agreement each expressly provided that the Capital Credit was to be
treated as a permanent addition to Coast Federal's regulatory capital. Coast
Federal further alleges that such treatment of the Capital Credit for regulatory
capital purposes was essential to inducing Coast Federal to consummate the
Acquisition.

Pursuant to FIRREA, which became effective on August 9, 1989, the FSLIC and the
FHLBB were eliminated and were replaced as the regulators of federally insured
savings institutions by the Office of Thrift Supervision (the "OTS"). In
regulations implementing FIRREA (the "Capital Regulations") and subsequent

                                       3
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actions, the OTS took the position that the Capital Credit should be classified
as supervisory goodwill, as defined in the Capital Regulations, which action
resulted in an immediate exclusion of the Capital Credit from one of the three
measures of Coast Federal's regulatory capital, and effected a five-year phase-
out of the Capital Credit from such inclusion in the other two measures. Coast
Federal alleges that FIRREA and the Capital Regulations constituted a breach by
the United States of its contractual commitment regarding the regulatory capital
treatment of the Capital Credit and an unlawful taking of Coast Federal's
property rights in the Capital Credit. Coast Federal seeks damages for this
breach of the contract by the United States.

SIMILAR LITIGATION

The Litigation is one of a number of cases filed against the federal government
in the Claims Court involving acquisitions of failed or distressed savings
institutions and alleging that the changes in regulatory capital calculations
brought about by FIRREA and the Capital Regulations constitute a breach of the
contract between the acquiring party and the federal government. For purposes of
the administration of such claims, the Claims Court bifurcated the trial
proceedings in the first three of such cases to be heard by it (Winstar
Corporation, et al. v. United States, Docket No. 90-8C; Statesman Savings
Holding Corp., et al. v. United States, Docket No. 90-773C (the "Statesman
Case"); and Glendale Federal Bank v. United States, Docket No. 90-772C (the
"Glendale Case")(which cases are collectively referred to herein as the "Related
Cases"). In July 1992, the Claims Court ruled in favor of the plaintiffs in the
Related Cases on the initial question of liability, finding in each case that
the plaintiff had a contract as alleged with the federal government and that the
federal government is in breach of that contract as a result of the enactment of
FIRREA and the issuance of the Capital Regulations thereunder. The decision of
the Claims Court on liability was appealed by the federal government. After
extended appellate proceedings, culminating in an appeal to the Supreme Court,
the Supreme Court ruled in favor of the plaintiffs in the Related Cases in
United States v. Winstar Corp., et al., 518 U.S. 839 (1996) (the "Winstar
Case").

LIABILITY

The Claims Court stayed proceedings in each of the other cases against the
federal government, including the Litigation, pending the outcome of the
liability phase of the Related Cases. After the Supreme Court's decision in the
Winstar Case in July of 1996, the stay was lifted and Coast reinstated its
motion for partial summary judgment as to the federal government's liability,
which motion had been pending since March of 1993. On February 20, 1998, the
United States filed its response to Coast Federal's motion. In its response, the
Government stated that "at this point, entry of an order regarding the
Government's liability would be appropriate. We believe that such an order
should reflect the Government's concession that a contract existed with respect
to Coast's claim for a capital credit to its net worth, and that the Government
acted inconsistently with the contract." On March 23, 1998, Judge Smith entered
an order in the Litigation granting Coast Federal's motion for partial summary
judgment as to liability with respect to Coast Federal's claim for a capital
credit to its net worth.

PROCEEDINGS LEADING TO TRIAL

To manage the numerous cases against the federal government involving the
calculation of regulatory capital as a result of the adoption of FIRREA (all

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such cases being referred to herein as the "Regulatory Capital Cases"), twelve
of such cases were designated as priority cases (the "Priority Cases") that
would be the first cases to go to trial following the trial on damages in the
Glendale Case. The Litigation was included among the first group of thirty cases
(the "First Group of Thirty Cases") scheduled to go to trial following the
completion of trial in the Priority Cases.

Case specific fact discovery for the First Group of Thirty Cases, including the
Litigation, was substantially completed by July 31, 1999. As of May 1, 2000,
expert witness discovery had been completed by Coast and the government,
concluding the discovery phase of the Litigation.

Pursuant to an Order dated July 31, 2000, the Litigation was reassigned from now
Senior Judge Smith to Judge Emily C. Hewitt.

On August 23, 2000, the government filed with the Claims Court a motion seeking
summary judgment denying the damage claims asserted by Coast Federal. The
government sought a summary judgment holding that (i) Coast Federal's expectancy
damages claims are too remote, speculative, uncertain and unforeseeable as a
matter of law, (ii) Coast Federal is barred from recovering expectancy damages
in any event because it failed to mitigate its damages, and (iii) Coast Federal
has overstated the amount of contractual regulatory capital taken from it as a
result of FIRREA because such capital was effectively required under generally
accepted accounting principles to be amortized over a period no greater than
12.7 years and was not a permanent addition to Coast Federal's regulatory
capital. On September 13, 2000, Coast Federal filed an opposition and
cross-motion for partial summary judgment with the Claims Court that asked the
Claims Court to reject the government's motion for summary judgment and
requested that the Claims Court enter partial summary judgment for Coast Federal
that (i) the capital credit received by Coast Federal was a permanent addition
to Coast Federal's regulatory capital, and (ii) the damages suffered by Coast
Federal from the government's breach of contract were foreseeable.

In an order dated December 28, 2000 (the "Order"), Judge Hewitt issued a ruling
on the government's motion and Coast Federal's cross-motion for summary
judgment. The Order held in part for the government, ruling that (i) Coast
Federal's capital credit in the amount of $299 million was not a permanent
addition to Coast Federal's regulatory capital and was to have been amortized
over a period of 12.7 years, and (ii) Coast Federal may not claim increased
deposit costs as "wounded bank" damages. The Order also held in part for Coast
Federal, ruling that (i) Coast Federal's expectancy damages were not
unforeseeable, and (ii) Coast Federal is not barred from recovering expectancy
damages because of a failure to mitigate.

On January 16, 2001, the government filed a motion for reconsideration and
clarification of the Order. The government requested (i) a final ruling from
Judge Hewitt that the "level yield" method of amortization governed the
amortization of Coast Federal's capital credit, (ii) reconsideration of Judge
Hewitt's denial of summary judgment concerning Coast Federal's lost profits
claims in light of the Judge's other rulings and analysis, and (iii)
reconsideration of the Order's forseeability holding because it was based upon
alleged mistakes of fact and errors of law. By a ruling dated February 5, 2001,
Judge Hewitt denied the government's motion for reconsideration.

On January 17, 2001, Coast Federal filed a motion with Judge Hewitt requesting
that Judge Hewitt certify for interlocutory appeal that portion of her Order

                                       5
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that granted partial summary judgment to the government as to the duration of
Coast Federal's capital credit. Coast Federal sought to appeal Judge Hewitt's
conclusion that Coast Federal's capital credit did not constitute a permanent
credit to its regulatory capital as well as Judge Hewitt's subsequent
determination that the capital credit is required to be amortized over 12.7
years rather than 25 years. Coast Federal's motion also requested that all
proceedings in the Litigation be stayed pending resolution of the requested
appeal. By a ruling dated February 6, 2001, Judge Hewitt granted Coast Federal's
motion and also stayed all proceedings in the Litigation in the Claims Court.

On February 16, 2001, Coast Federal filed a petition with the United States
Court of Appeals for the Federal Circuit (the "Court of Appeals") to hear Coast
Federal's appeal of the Order (the "Appeal"), and on February 26, 2001, the
government filed an opposition to the petition. By an order dated April 16,
2001, the Court of Appeals declined to hear the Appeal at that time, and the
Litigation returned to the Claims Court for further proceedings. By order dated
May 4, 2001, Judge Hewitt directed Coast Federal to submit revised expert
reports with the Claims Court by July 1, 2001, that reflect the effects of Judge
Hewitt's December 28, 2000, decision on Coast Federal's damages claims.

On June 19, 2001, Coast Federal filed a Second Expert Report with the Court of
Claims (the "Second Report"). The Second Report calculated the damages suffered
by Coast Federal from the breach of its capital credit contract as $53.2
million, if that capital credit is amortized as required by Judge Hewitt's
December 28, 2000, decision (the "New Damage Claims"). As described in the
Second Report, the New Damage Claims reflect the actual costs to Coast Federal
of two debt issuance transactions in 1992 and 1993 which Coast Federal would not
have undertaken but for the government's breach.

On August 9, 2001, the government filed a Motion for Summary Judgment with
regard to Plaintiff's New Damage Claims disputing the damages set forth in the
Second Report.

On October 2, 2001, Coast Federal filed a motion for reconsideration of the
Claims Court's December 28, 2000, order (the "December Order") holding that
Coast Federal's capital credit in the amount of $299 million was not a permanent
addition to Coast Federal's regulatory capital and was to have been amortized
over a period of 12.7 years. In its motion, Coast Federal stated that it would
not be able to prove damages from the government's breach of Coast Federal's
contractual right to a capital credit if that right was limited as set forth in
the Order. Coast Federal's motion further stated that it understood and
contemplated that, if the Claims Court did not reconsider the Order, the Claims
Court would enter a final judgment awarding no damages to Coast Federal, and
that Coast Federal would appeal that judgment for purposes of seeking appellate
review of the December Order.

By order dated October 18, 2001, the Claims Court entered judgment in favor of
the government. The Claims Court ruled that no further proceedings in the Claims
Court were necessary or appropriate in light of Coast Federal's statement that
Coast Federal could not prove damages under its contract with the government as
interpreted by the Claims Court in the December Order.

On February 4, 2002, Coast Federal filed its appeal with the Court of Appeals
seeking reversal of the December Order. Coast Federal maintains that it has a
contractual right to a permanent, nonamortizing $299 million capital credit and
that the government's breach of that right inflicted substantial damages that

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Coast Federal will pursue in full on remand if the Court of Appeals accepts
Coast Federal's view of the scope of its contractual rights. On March 19, 2002,
the government filed its response to Coast Federal's appeal. In its response,
the government alleges that (i) the Court of Appeals lacks jurisdiction over the
appeal because, the government claims, Coast Federal failed to prosecute its
remaining claim for damages after the December Order, thus rendering the appeal
interlocutory and (ii) the Claims Court correctly held in its December Order
that all of the goodwill acquired by Coast Federal in connection with its
acquisition of Central was required to amortized over a 12.7 year period. Coast
Federal will file its reply to the government's response by April 5, 2002.
Thereafter, a three member panel of the Court of Appeals will establish a date
to hear oral argument of the appeal. Following oral argument, the panel will
take the appeal under submission pending its decision. Coast Federal is unable
to predict when the panel will issue its decision.

If the Court of Appeals upholds the Claims Court's December Order and Coast
Federal does not seek or does not obtain certiorari to the United States Supreme
Court, no award of monetary damages will be made to Coast Federal, and therefore
no payment from the Trust to certificateholders will be possible. If the Court
of Appeals reverses the Claims Court's December Order, it is expected that the
Litigation will be remanded to the Claims Court for further proceedings in
accordance with the Court of Appeal's decision reversing the December Order.

DAMAGES

Each savings institution affected by FIRREA's and the Capital Regulations'
limitation on the inclusion in regulatory capital of supervisory goodwill or
FSLIC capital contributions reacted to the resulting reduction in its regulatory
capital in an individual fashion dictated by the unique facts and circumstances
faced by the institution. Accordingly, the extent and amount of
damages awarded to each institution that has brought an action against the
federal government is expected to be dependent on the specific facts in each
case.

Plaintiffs in the Regulatory Capital Cases have tended to pursue recoveries
based on one or more of three alternative theories: (1) expectation damages, (2)
restitution, and (3) reliance damages. It is impractical to provide a full
description of the elements of each of these alternative theories of recovery.
However, the following descriptions are provided for purposes of communicating a
basic understanding of these legal theories.

Expectation damages are generally intended to place the injured party in as good
a position as it would have been in if the contract had been fully performed.
Such damages may include the loss of any monetary benefits that the injured
party would have received in the absence of the breach plus any other losses
caused by the breach, less any costs or losses avoided by the injured party as a
direct result of the breach.

Restitution generally involves restoration to the injured party of any benefits
conferred by it on the breaching party. The injured party's restitution interest
is ordinarily measured by the reasonable value of the benefits conferred by its
performance of the contract on the breaching party, reduced by any benefits
received by the injured party through the breaching party's partial performance.

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Reliance damages are generally intended to restore the injured party to the
position it would have been in if the contract had not been made. Reliance
damages are generally measured by any expenditures made by the injured party in
the course of performance of the contract or as a result of entering into the
contract.

The plaintiff has the burden of proving the amounts of its damages, or the value
of its performance as a basis for restitution, by a preponderance of the
evidence.

On September 29, 1999, Coast Federal filed the first reports of its expert
witnesses (the "First Reports") with the Claims Court. The First Reports
describe the amounts and methods of calculation of the damages which the experts
believed Coast Federal suffered as a result of the government's breach. Coast
Federal's principal expectation damages analysis as set forth in the First
Reports calculated the damages to be not less than $1.397 billion. This
expectation damages analysis included calculations of damages for lost profits,
for the cost of replacing the Capital Credit going forward, for the cost of
capital raised by Coast, and for increased operating costs (such as increased
deposit costs, OTS assessments, and deposit insurance premiums) caused by the
government's breach. An alternative expectation damages analysis set forth in
the First Reports calculated the damages to be $782.1 million, based solely upon
the cost of replacing the Capital Credit in past and future periods. No
calculations for either restitution or reliance damages were included in the
First Reports. The First Reports were attached as exhibits to a filing made on
September 29, 1999, on behalf of Coast Federal with the Claims Court in
Washington, D.C.

On January 27, 2000, the government submitted its own experts' reports on
damages in response to the conclusions set forth in the First Reports of Coast
Federal's experts. The government's experts' reports were filed with the Claims
Court on August 23, 2000, as exhibits to the government's motion for summary
judgment on damages. The government's experts' reports in general opined that
the damages Coast Federal sought from the government were too speculative to
permit a recovery. In addition, the government's experts' reports opined that
the capital credit received by Coast Federal in connection with its acquisition
of Central was in essence required by generally accepted accounting principles
to be amortized over a period of approximately 12.7 years.

As discussed above under "Management's Discussion and Analysis of Financial
Condition and Results of Operations - Proceedings Leading to Trial," on December
28, 2000, the Claims Court issued its Order with respect to the government's
motion and Coast Federal's cross-motion for summary judgment (the "December
Order"). In the December Order, the Claims Court largely accepted the
government's contention with respect to the capital credit in ruling that the
capital credit was not a permanent addition to Coast Federal's regulatory
capital and was required to be amortized over 12.7 years. Also as described
above, on October 18, 2001, the Claims Court entered judgment in favor of the
government and awarded no damages to Coast Federal in light of Coast Federal's
statement that Coast Federal would not be able to prove damages if its contract
with the government is as interpreted by the Claims Court in the December Order.

As discussed above under "Management's Discussion and Analysis of Financial
Condition and Results of Operations - Proceedings Leading to Trial," Coast
Federal filed an appeal to the Claims Court's ruling in the December Order. If

                                       8
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the December Order is upheld on appeal and Coast Federal does not seek or does
not obtain certiorari to the United States Supreme Court, no award of monetary
damages will be made to Coast Federal, and therefore no payment from the Trust
to certificateholders will be possible. If the Court of Appeals reverses the
December Order, it is expected that the Litigation will be remanded to the
Claims Court for further proceedings on damages in accordance with the Court of
Appeals decision reversing the Order.

There can be no assurance that Coast Federal will obtain any monetary or other
recovery in the Litigation. As discussed below under "Management's Discussion
and Analysis of Financial Condition and Results of Operations - Damages Rulings
in Other Cases," no judge in any of the Winstar related cases which have gone to
trial has made an award for lost profits damages, which is one of the primary
theories of damages for which Coast Federal is currently seeking a recovery.

DAMAGES RULINGS IN OTHER CASES

The United States has argued in the Glendale Case and in the Priority Cases that
have gone to trial that some or all of the damages alleged by the plaintiffs in
those cases are too speculative to permit a recovery. Trial in the damages phase
of the Statesman Case commenced in May 1998, but the government and the
plaintiffs in that case reached a settlement prior to completion of the trial.
Trial of the damages phase of the Glendale case concluded in September 1998. The
plaintiff in the Glendale Case sought damages based on various damage theories
and ranging from approximately $800 million to $2 billion depending upon the
theory used. On April 9, 1999, the judge in the Glendale Case awarded the
plaintiff $909 million in restitution damages and for increased operating costs
(which the judge characterized as non-overlapping reliance damages), based on
that judge's evaluation of the evidence and analysis of the legal arguments
presented in the Glendale Case. The government appealed the damages ruling in
the Glendale Case, and on February 16, 2001, the United States Court of Appeals
for the Federal Circuit issued a ruling vacating the trial court's damage award
on the theory of restitution and remanded the case to the trial court for a
determination of total pre- and post-breach reliance damages suffered by the
plaintiff.

The damages phase of the first of the Priority Cases to go to trial on the issue
of damages, California Federal Bank v. the United States, Docket No. 92-138C
(the "CalFed Case"), concluded in February 1999. The plaintiff in the CalFed
Case sought damages of between $725 million and $1.642 billion based on damage
theories similar to those presented by the plaintiff in the Glendale case. On
April 16, 1999, the judge in the CalFed Case awarded the plaintiff approximately
$23 million in transaction costs under a cost of replacement capital theory,
based on that judge's evaluation of the evidence and analysis of the legal
arguments presented in the CalFed Case. A decision in another Priority Case,
LaSalle Talman Bank, F.S.B. v. the United States, Docket No. 92-652C (the
"LaSalle Talman Case"), was filed on September 30, 1999. The plaintiff in the
LaSalle Talman Case sought damages of between $858.8 million and $1.197 billion
based on various damages theories. The judge in the LaSalle Talman Case awarded
plaintiffs approximately $5 million in reliance damages, based on that judge's
evaluation of the evidence and analysis of the legal arguments presented in that
case. A decision in a third Priority Case, Landmark Land Company, Inc. v. United
States, Docket No. 95-502C (the "Landmark Case"), was filed on March 3, 2000.
The plaintiffs in the Landmark Case sought damages of between $1.042 billion and
$1.432 billion based on various combined damages theories of both the private
plaintiff and the FDIC. The judge in the Landmark

                                       9
<PAGE>

Case, who was the same judge who had presided in the CalFed Case, awarded the
private plaintiff and the FDIC a total of approximately $39.2 million in
restitution and reliance damages, based on that judge's evaluation of the
evidence and analysis of the legal arguments presented in the Landmark Case. A
decision in a fourth Priority Case, Bluebonnet Savings Bank v. United States,
Docket No. 95-532C (the "Blubonnet Case"), was filed on July 6, 2000. The
plaintiffs in the Bluebonnet Case sought approximately $175.9 million in
expectation damages. The judge in the Bluebonnet Case awarded no damages to the
plaintiffs based on that judge's evaluation of the evidence and analysis of the
legal arguments presented in the Bluebonnet Case. A decision in a fifth Priority
Case, Bobby J. Glass, et al. v. United States, Docket No. 92-428C (the "Glass
Case"), was filed on July 21, 2000. The private plaintiffs in the Glass Case
sought approximately $8.4 million and the FDIC as plaintiff sought approximately
$2.5 million, both based on a combination of damages theories. The judge in the
Glass Case awarded $3.972 million in damages to the private plaintiffs and $2.1
million to the FDIC based on that judge's evaluation of the evidence and
analysis of the legal arguments presented in the Glass Case.

The courts in the Glendale Case, the CalFed Case, the LaSalle Talman Case, the
Landmark Case, the Bluebonnet Case and the Glass Case declined to award damages
under some or all of the plaintiffs' damage theories. No judge in any of the
cases has made an award for lost profits damages, which was one of the primary
theories of expectation damages for which Coast Federal initially sought
recovery as described in the First Reports. In addition, no judge in any of the
cases has made a significant award of damages for the cost of replacing capital
(other than damages related to transaction costs), for which Coast Federal also
initially sought recovery as described in the First Reports. Further, in only
one of the seven cases in which a judgment has been entered after a trial on
damages, Glendale Federal Bank v. United States, Claims Court Docket No.
90-772C (the "Glendale Case"), has an award been granted that is in excess of
$40 million. The award in the Glendale Case has since been vacated on appeal and
sent back to the Claims Court for further proceedings.

It is likely that rulings in other Priority Cases will occur before trial of
Coast Federal's damage claims is completed. Appeals of the judgments in several
of these cases have been filed with the Court of Appeals for the Federal
Circuit, and appeals of other Priority Cases are likely. Any decisions reached
by the Court of Appeals in those cases could affect Coast Federal's damages
claims. For these and other reasons, there can be no assurance as to the type or
amount, if any, of damages that Coast Federal may recover. Without limiting the
generality of the foregoing, there can be no assurance that Coast Federal will
obtain any monetary award or other recovery in the Litigation.

MANAGEMENT OF THE LITIGATION

The Litigation Trustees are Ray Martin, Robert L. Hunt II, Norman H. Raiden and
James F. Barritt, who at the time of the Merger were the four senior Coast
executives with knowledge of the facts underlying the Litigation. Mr. Martin,
Mr. Hunt and Mr. Barritt were officers of Coast and Coast Federal both at the
time of the agreement with the federal government to treat certain amounts as a
permanent addition to Coast Federal's regulatory capital in connection with
Coast Federal's acquisition of Central, and also at the time of the alleged
breach of this agreement by the federal government, which gave rise to the
claims underlying the Litigation. Mr. Martin, Mr. Hunt and Mr. Barritt, together
with Mr. Raiden (who joined Coast soon after the alleged breach of the agreement
by the federal government), had been involved in the prosecution of the
Litigation prior to the Merger.

                                       10
<PAGE>

Pursuant to the CPR Trust Agreement, the Litigation Trustees have the sole and
exclusive right to instruct Coast Federal and its successors with respect to the
prosecution of the Litigation. This includes all decisions as to retention,
dismissal, terms of engagement of existing or new counsel, whose retention may
involve fees that are partly contingent, and other advisors. The CPR Trust
Agreement also provides that the Litigation Trustees have the right, in their
sole discretion, to instruct Coast Federal and its successors to dismiss,
settle, or cease prosecution of the Litigation at any time and on any terms;
Ahmanson, including any successor, is required by the CPR Trust Agreement to
cause Coast Federal and its successors to follow such instructions from the
Litigation Trustees unless such instructions are unreasonable.

The Litigation Trustees entered into a letter agreement, dated February 13, 1998
(the "Letter Agreement"), with the law firm of Cooper, Carvin & Rosenthal, PLLC
(the "Firm"). In the Letter Agreement the Firm agreed that it would not bill
Coast Federal or the CPR Trust for any fees incurred subsequent to September 1,
1997, in excess of $7,650,000 (the "Cap"). The Firm further agreed that up to $2
million of the Cap, i.e., any amounts over $5,650,000, would only be payable to
the Firm out of the Commitment Amount, if any, when received by the CPR Trust
from Ahmanson. In consideration of these limitations on the Firm's customary
charges for professional services, the Letter Agreement provided that the CPR
Trust would pay to the Firm, in addition to fees up to the amount of the Cap, a
contingent incentive fee in the amount of one percent (1%) of the Commitment
Amount, provided that no such incentive fee would be payable in the event (1)
that both Charles J. Cooper and Steven S. Rosenthal ceased to be partners of the
Firm prior to a final decision, including appeals, or other final resolution of
the Litigation, or (2) that either Mr. Cooper or Mr. Rosenthal ceased to be a
partner of the Firm prior to a final decision, including any appeals, or other
final resolution of the Litigation, other than by death, disability, or
appointment to federal office.

As of March 5, 2002, the amount remaining to be paid to the Firm under the Cap
(less the $2 million payable solely out of the Commitment Amount) was
approximately $0.3 million. On April 24, 2001, Mr. Rosenthal announced that he
had left the Firm. As a result, pursuant to the terms of the Letter Agreement,
the CPR Trust is not obligated to pay the contingent fee to the Firm in the
amount of one percent (1%) of the Commitment Amount. However, the Litigation
Trustees currently expect to enter into an agreement with the Firm, renamed
Cooper & Kirk, pursuant to which the Firm will continue to represent Coast
Federal in the Litigation.

The CPR Trust Agreement provides that as compensation the CPR Trust will pay
each Litigation Trustee, during the term of his service as a Litigation Trustee,
fees of $400,000 per year for five years (except that if the Litigation is
sooner terminated, the remainder of such fees (but in no event with respect to a
period longer than the remainder of such year plus two additional years) will be
accelerated upon final resolution of the Litigation and receipt by Ahmanson of
the Litigation Proceeds), plus reimbursement of all reasonable out-of-pocket
expenses. If the services of the Litigation Trustees continue to be necessary
after the initial five-year period or such receipt of Litigation Proceeds, the
Litigation Trustees shall be entitled to a fee of $200 per hour until
termination of the CPR Trust. The initial five-year period will end on February
13, 2003.

Pursuant to the CPR Trust Agreement, each Litigation Trustee may, but is not
obligated to, defer all or part of his compensation until 30 days after the

                                       11
<PAGE>

earliest to occur of (i) the date on which he elected to defer such
compensation, (ii) the date he ceases to be a Litigation Trustee, and (iii) the
date of the receipt of the Commitment Amount in full by the CPR Trust. Any
Litigation Trustee electing to so defer will receive the compensation he would
have received plus an amount, calculated on a monthly basis during the period of
deferral (and included in the amount deferred), equal to the product of the
monthly balance of the amount deferred and an annual rate equal to the Reference
Rate, as defined in the CPR Trust Agreement, plus 250 basis points.

For the year ending December 31, 2002, Mr. Hunt elected to defer 100% of his
2002 compensation, Mr. Barritt elected to defer 85% of his 2002 compensation,
and Mr. Martin and Mr. Raiden elected to defer 50% of their 2002 compensation.
In addition, on December 18, 2001, the Trust adopted a resolution providing that
no payments of deferred Litigation Trustee fees which become due and owing to a
Litigation Trustee shall be distributed by the Trust until the Litigation
Trustees, by a majority vote, determine to make such a payment.

SUMMARY FINANCIAL INFORMATION

The CPR Trust has no revenues. The Expense Fund is the CPR Trust's only source
of funding for the payment of the expenses of its operations. Following is a
statement that details the activity in the Expense Fund, and expenses that have
been accrued but not yet paid for the years ended December 31, 2001 and 2000, as
well as the balance of the Expense Fund that was available to cover future
expenses as of December 31, 2001 and 2000.

<TABLE>
<CAPTION>
                                                          For the Year Ended December 31,
                                                         ---------------------------------
                                                             2001                 2000
                                                         -----------          ------------
<S>                                                      <C>                  <C>
Expense Fund balance available for future
   expenses as of December 31, 1999                                           $ 9,665,808
Expense Fund balance available for future
   expenses as of December 31, 2000                      $ 4,312,873
Disbursements:
   Litigation Trustee fees                                  (983,333)          (1,216,667)
   Litigation and trust administration                      (260,000)            (260,000)
   Outside legal counsel and expert witness fees            (848,505)          (3,390,985)
   Premises and equipment                                    (52,709)             (51,600)
   Office and other expenses                                (116,753)            (149,978)
Accrued expenses:
   Deferred Litigation Trustee fees                         (600,000)            (400,000)
   Decrease (increase) in accrued Litigation
      Trustee fees                                           (16,667)              16,667
   Decrease in accrued outside legal and expert
      witness fees                                           154,000              327,000
   Decrease (increase) in other accrued expenses              12,000              (20,000)
   Increase in accrued interest on deferred
      Litigation Trustee fees                               (228,073)            (207,372)
                                                         -----------          -----------
      Expense Fund balance available
         for future expenses as of
         year end                                        $ 1,372,833          $ 4,312,873
                                                         ===========          ===========
</TABLE>

In addition, approximately $3.7 million and $2.1 million of expense was accrued
through December 31, 2001 and 2000, respectively, for interest payable to
Ahmanson or its successor on disbursements from the Expense Fund. Payment of
such accrued interest payable is contingent upon receipt of sufficient
Litigation Proceeds. Expenses for "Litigation and trust administration" refer

                                       12
<PAGE>

to fees paid to three individuals retained by the CPR Trust to provide
litigation and trust administration support services.

Through December 31, 2001, approximately $2.3 million and $.59 million of
expense was accrued, respectively, for deferred Litigation Trustee Fees and
interest due and payable on such deferred fees. As discussed above under
"Management's Discussion and Analysis of Financial Condition and Results of
Operations - Management of the Litigation," on December 18, 2001, the Trust
adopted a resolution providing that no payments of deferred Litigation Trustee
fees which become due and owing to a Litigation Trustee shall be distributed by
the Trust until the Litigation Trustees, by a majority vote, determine to make
such a payment.

As discussed above under "Management's Discussion and Analysis of Financial
Condition and Results of Operations - Proceedings Leading to Trial," the
Litigation is presently before the Court of Appeals following a ruling in the
Claims Court in favor of the government awarding no damages to Coast Federal. In
the event that Coast Federal succeeds in its appeal before the Court of Appeals,
the Litigation will be remanded to the Claims Court for further proceedings.
Whether the funds remaining in the Expense Fund upon remand will be sufficient
to successfully prosecute the Litigation to completion is uncertain. If such
funds are not sufficient, the CPR Trust may issue additional CPR Certificates
that represent pro rata interests in the assets of the CPR Trust in order to pay
expenses, including expenses related to the Litigation. However, it may not be
possible to obtain purchasers of the additional CPR Certificates and there is no
assurance that the terms of any such purchases would be reasonable. In the event
additional CPR Certificates are issued and existing CPR Certificate holders are
not given the opportunity to purchase, or do not purchase, a pro rata amount in
such issuance, such CPR Certificate holders' indirect interest in the Payment
Amount will be diluted. The CPR Trust is also authorized to borrow additional
funds for the sole purpose of funding expenses of the CPR Trust, including
expenses of the Litigation, but only if such borrowings represent debt of the
CPR Trust (and not ownership interests therein) for federal income tax purposes.
It may not be possible for the CPR Trust to borrow funds and, if it is able to
borrow funds, there can be no assurance as to the terms upon which such
borrowings may be available.

CERTIFICATEHOLDER INQUIRIES

Certificateholder inquiries, including requests for the following: (i) change of
address; (ii) replacement of lost stock certificates; (iii) Common Stock name
registration changes; (iv) Quarterly Reports on Form 10-Q; (v) Annual Reports on
Form 10-K; and (vii) information regarding stockholdings, should be directed to:

Deutche Bank
100 Plaza One, M.S. 3031
Jersey City, New Jersey 07310

ITEM 7A. QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT MARKET RISK

Not applicable.

                                       13
<PAGE>

ITEM 8.  FINANCIAL STATEMENTS AND SUPPLEMENTARY DATA



                         Independent Auditors' Report


The Trustees
Coast Federal Litigation Contingent Payment Rights Trust:

We have audited the accompanying statements of financial condition of Coast
Federal Litigation Contingent Payment Rights Trust (the "CPR Trust") as of
December 31, 2001 and 2000, and the related statements of operations, changes in
certificateholders' equity and cash flows for the years then ended. These
financial statements are the responsibility of the CPR Trust's management. Our
responsibility is to express an opinion on these financial statements based on
our audits.

We conducted our audits in accordance with auditing standards generally accepted
in the United States of America. Those standards require that we plan and
perform the audit to obtain reasonable assurance about whether the financial
statements are free of material misstatement. An audit includes examining, on a
test basis, evidence supporting the amounts and disclosures in the financial
statements. An audit also includes assessing the accounting principles used and
significant estimates made by management, as well as evaluating the overall
financial statement presentation. We believe that our audits provide a
reasonable basis for our opinion.

In our opinion, the financial statements referred to above present fairly, in
all material respects, the financial position of the CPR Trust as of December
31, 2001 and 2000, and the results of its operations and its cash flows for the
years then ended, in conformity with accounting principles generally accepted in
the United States of America.


KPMG LLP

Los Angeles, California
March 13, 2002


                              [INSERT FINANCIALS]

                                       14
<PAGE>

           COAST FEDERAL LITIGATION CONTINGENT PAYMENT RIGHTS TRUST
                       Statement of Financial Condition

<TABLE>
<CAPTION>
                                                                   December 31,
                                                          -------------------------------
                                                              2001               2000
                                                          ------------       ------------
<S>                                                       <C>                <C>
ASSETS
Cash in bank                                              $  4,771,756       $  6,951,030
Other assets                                                   238,439            438,958
                                                          ------------       ------------

     Total Assets                                         $  5,010,195       $  7,389,988
                                                          ============       ============

LIABILITIES AND CERTIFICATEHOLDERS' EQUITY
Expense fund                                              $ 19,884,294       $ 19,884,294
Deferred Litigation Trustee fees                             2,300,000          1,700,000
Other liabilities                                            4,800,826          3,087,397
                                                          ------------       ------------

     Total Liabilities                                      26,985,120         24,671,691
                                                          ------------       ------------
Certificateholders' Equity
     Certificates, no par value, 20,703,817
          authorized, issued and outstanding                         -                  -
     Accumulated deficit                                   (21,974,925)       (17,281,703)
                                                          ------------       ------------

          Total Certificateholders' Equity                 (21,974,925)       (17,281,703)
                                                          ------------       ------------

                                                          $  5,010,195       $  7,389,988
                                                          ============       ============

</TABLE>

See accompanying notes to financial statements.

                                       15
<PAGE>

           COAST FEDERAL LITIGATION CONTINGENT PAYMENT RIGHTS TRUST
                            Statement of Operations


<TABLE>
<CAPTION>
                                                                           For the Year Ended December 31,
                                                              --------------------------------------------------------
                                                                  2001                  2000                  1999
                                                              ------------          ------------          ------------
<S>                                                           <C>                   <C>                   <C>
REVENUE                                                       $          -          $          -          $          -
                                                              ------------          ------------          ------------

EXPENSES
Interest expense                                                (1,780,736)           (1,611,610)             (696,819)
Litigation Trustee fees                                         (1,600,000)           (1,600,000)           (1,600,000)
Legal fees                                                        (480,682)           (1,919,997)           (2,730,037)
Litigation and trust administration                               (260,000)             (260,000)             (268,594)
Litigation consulting - expert witnesses                          (213,822)           (1,143,988)           (1,535,627)
Insurance                                                         (201,054)             (201,115)             (201,177)
Premises and equipment                                             (52,709)              (51,600)              (53,449)
Other                                                             (104,219)             (169,382)             (208,797)
                                                              ------------          ------------          ------------

     Total Expenses                                             (4,693,222)           (6,957,692)           (7,294,500)
                                                              ------------          ------------          ------------
          Net Loss                                            $ (4,693,222)         $ (6,957,692)         $ (7,294,500)
                                                              ============          ============          ============

          Net Loss Per Certificate                            $      (0.23)         $      (0.34)         $      (0.35)
                                                              ============          ============          ============
</TABLE>

See accompanying notes to financial statements.

                                       16
<PAGE>

           COAST FEDERAL LITIGATION CONTINGENT PAYMENT RIGHTS TRUST
              Statement of Changes in Certificateholders' Equity

<TABLE>
<CAPTION>
                                                                                           Total
                                                                  Accumulated       Certificateholders'
                                              Certificates          Deficit               Equity
                                              -------------      -------------      -------------------
<S>                                           <C>                 <C>                 <C>
Balance December 31, 1998                     $           -      $  (3,029,511)     $        (3,029,511)
                                              -------------      -------------      -------------------
Net loss for the year ended
   December 31, 1999                                      -         (7,294,500)              (7,294,500)
                                              -------------      -------------      -------------------
Balance December 31, 1999                                 -        (10,324,011)             (10,324,011)
                                              -------------      -------------      -------------------
Net loss for the year ended
   December 31, 2000                                      -         (6,957,692)              (6,957,692)
                                              -------------      -------------      -------------------
Balance December 31, 2000                                 -        (17,281,703)             (17,281,703)
                                              -------------      -------------      -------------------
Net loss for the year ended
   December 31, 2001                                      -         (4,693,222)              (4,693,222)
                                              -------------      -------------      -------------------
Balance December 31, 2001                     $           -      $ (21,974,925)     $       (21,974,925)
                                              =============      =============      ===================
</TABLE>

See accompanying notes to financial statements.

                                       17
<PAGE>

           COAST FEDERAL LITIGATION CONTINGENT PAYMENT RIGHTS TRUST
                            Statement of Cash Flows

<TABLE>
<CAPTION>
                                                                            For the Year Ended December 31,
                                                                  -------------------------------------------------
                                                                      2001              2000               1999
                                                                  ------------      ------------       ------------
<S>                                                               <C>               <C>                <C>
Cash flows from operating activities:
     Net loss                                                     $ (4,693,222)     $ (6,957,692)      $ (7,294,500)
                                                                  ------------      ------------       ------------
     Adjustments to reconcile net loss to cash
          used in operating activities:
          Decrease in other assets                                     200,519           200,519            200,519
          Increase in deferred Litigation
               Trustee fees                                            600,000           400,000            600,000
          Increase in other liabilities                              1,713,429         1,581,280          1,094,685
                                                                  ------------      ------------       ------------
               Total adjustments                                     2,513,948         2,181,799          1,895,204
                                                                  ------------      ------------       ------------

               Net cash used in operating activities                (2,179,274)       (4,775,893)        (5,399,296)
                                                                  ------------      ------------       ------------

     Net decrease in cash                                           (2,179,274)       (4,775,893)        (5,399,296)

Cash at beginning of period                                          6,951,030        11,726,923         17,126,219
                                                                  ------------      ------------       ------------

Cash at end of period                                             $  4,771,756      $  6,951,030       $ 11,726,923
                                                                  ============      ============       ============

Supplemental disclosure of cash flow information:

     Cash paid during the period for interest                     $          -      $          -       $          -
                                                                  ============      ============       ============
</TABLE>

See accompanying notes to financial statements.

                                       18
<PAGE>

           COAST FEDERAL LITIGATION CONTINGENT PAYMENT RIGHTS TRUST
                         Notes to Financial Statements
                               December 31, 2001


(A)   Summary of Significant Accounting Policies

   Principles of Presentation

The Coast Federal Litigation Contingent Payment Rights Trust (the "CPR Trust")
is a statutory business trust created under Delaware law on January 8, 1998. The
CPR Trust was created by Coast in connection with its merger, effected on
February 13, 1998 (the "Merger"), with and into H. F. Ahmanson & Co.
("Ahmanson"), for the purpose of holding the Commitment Agreement entered into
by Ahmanson and the CPR Trust, dated as of February 13, 1998 (the "Commitment").
The Commitment represents Ahmanson's obligation to pay to the CPR Trust an
amount equal to any net after-tax proceeds, as more particularly defined in the
CPR Trust Agreement referred to below (the "Commitment Amount"), that may be
received by Coast's wholly-owned subsidiary, Coast Federal Bank, FSB ("Coast
Federal") (or its successor), from Coast Federal's regulatory capital litigation
claims against the United States government in the case entitled Coast Federal
Bank, FSB v. United States, No. 92-466C (Cl. Ct. filed July 9, 1992) (the
"Litigation"). Subsequent to the Merger, Ahmanson merged Coast Federal with and
into Ahmanson's wholly-owned subsidiary, Home Savings of America, FSB ("Home
Savings"), with Home Savings being the successor Institution. Ahmanson merged
into Washington Mutual, Inc. ("WAMU") on October 3, 1998 and Home Savings was
thereafter merged into WAMU's wholly-owned subsidiary Washington Mutual Bank,
F.A. ("Washington Mutual").

The governing instrument of the CPR Trust is the Amended and Restated
Declaration of Trust, dated as of February 13, 1998 (the "CPR Trust Agreement"),
entered into among Coast, the Litigation Trustees, Bankers Trust Company (the
"Institutional Trustee") and Bankers Trust (Delaware) (the "Delaware Trustee").
Pursuant to the CPR Trust Agreement, the four senior executives of Coast with
knowledge of the facts underlying the Litigation were appointed as "Litigation
Trustees" of the CPR Trust, and were given full authority to make all decisions
on behalf of Coast Federal (and its successors) with respect to the prosecution
and resolution of the Litigation.

The assets of the CPR Trust consist solely of the Commitment and the right to
draw on amounts in the Expense Fund for purposes of funding expenses of the CPR
Trust, including expenses of the Litigation, fees and expenses of the Litigation
Trustees and all administrative expenses. Under the CPR Trust Agreement,
Ahmanson agreed to provide the sum of $19,884,294 (which is equal to $20 million
less expenses related to the Litigation incurred by Coast Federal between
September 1, 1997 and February 13, 1998) (the "Expense Fund") to fund the
Litigation and other expenses of the CPR Trust, which amount is to be reimbursed
to Ahmanson from any proceeds of the Litigation, including any amounts received
in settlement of the Litigation, prior to the payment of any amounts to holders
of the Contingent Payment Rights Certificates (the "CPR Certificates"). The
Expense Fund is on deposit in a non-interest bearing demand deposit account in
the name of the CPR Trust at Washington Mutual.

                                       19
<PAGE>

           COAST FEDERAL LITIGATION CONTINGENT PAYMENT RIGHTS TRUST
                   Notes to Financial Statements (Continued)
                               December 31, 2001


Within 60 days of the receipt of any Commitment Amount, the CPR Trust is
required under the CPR Agreement to pay such amounts (other than $10 million or
such greater amount as the Litigation Trustees reasonably determine may be
reasonably likely to be required to pay additional expenses or to satisfy the
CPR Trust's indemnification obligations (the "Retained Amount")) less the amount
of any accrued but unpaid expenses payable by the CPR Trust but not covered by
the Expense Fund, to the holders of the CPR Certificates as of a record date to
be set by the Litigation Trustees. The Retained Amount will be retained for a
period of two years, or such longer period as the Litigation Trustees reasonably
determine may be required.

In connection with the Litigation, by order dated October 18, 2001, the United
States Court of Federal Claims (the "Claims Court") entered judgment in favor of
the government. On November 30, 2001, Coast Federal filed its appeal with the
United States Court of Appeals for the Federal Circuit (the "Court of Appeals")
seeking reversal of the Claims Court ruling. If the Court of Appeals upholds the
Claims Court's judgment in favor of the government, and Coast Federal does not
seek or does not obtain certiorari to the United States Supreme Court, no award
of monetary damages will be made to Coast Federal, and therefore no monetary
payment will be possible from the Trust to certificateholders. If the Court of
Appeals reverses the Claims Court's judgment in favor of the government, it is
expected that the Litigation will be remanded to the Claims Court for further
proceedings in accordance with the Court of Appeal's decision reversing such
judgment.

In the event that Coast Federal succeeds in its appeal before the Court of
Appeals, the Litigation will be remanded to the Claims Court for further
proceedings. Whether the funds remaining in the Expense Fund upon remand will be
sufficient to successfully prosecute the Litigation to completion is uncertain.
If such funds are not sufficient, the CPR Trust may issue additional CPR
Certificates that represent pro rata interests in the assets of the CPR Trust in
order to pay expenses, including expenses related to the Litigation. However, it
may not be possible to obtain purchasers of the additional CPR Certificates and
there is no assurance that the terms of any such purchases would be reasonable.
In the event additional CPR Certificates are issued and existing CPR Certificate
holders are not given the opportunity to purchase, or do not purchase, a pro
rata amount in such issuance, such CPR Certificate holders' indirect interest in
the proceeds of any settlement of the Litigation will be diluted. The CPR Trust
is also authorized to borrow additional funds for the sole purpose of funding
expenses of the CPR Trust, including expenses of the Litigation, but only if
such borrowings represent debt of the CPR Trust (and not ownership interests
therein) for federal income tax purposes. It may not be possible for the CPR
Trust to borrow funds and, if it is able to borrow funds, there can be no
assurance as to the terms upon which such borrowings may be available.

   Cash

For purposes of reporting cash flows, cash includes the balance of the Expense
Fund described above.

                                       20
<PAGE>

   Fair Value of Financial Instruments

Substantially all of the CPR Trust's financial instruments are carried at fair
value or amounts approximating fair value. Assets, including cash, are carried
at their fair value or contracted amounts, which approximate fair value due to
the relatively short term to maturity. Similarly, liabilities, including
accounts payable, are carried at amounts approximating fair value.

   Use of Estimates

The Litigation Trustees have made a number of estimates and assumptions relating
to the reporting of assets and liabilities, the disclosure of contingent assets
and liabilities, and the reported amounts of expenses in order to prepare these
financial statements in conformity with generally accepted accounting
principles. Actual results could differ from those estimates.

(B)   Other Assets

Other assets, as reported in the accompanying Statement of Financial Condition,
consists primarily of a prepaid insurance premium, having an unamortized balance
of $233,939 as of December 31, 2001, which covers the operations of the CPR
Trust for the life of the CPR Trust. The initial premium totaled $1,002,596 and
is being expensed over five years beginning in February 1998.

                                       21
<PAGE>

           COAST FEDERAL LITIGATION CONTINGENT PAYMENT RIGHTS TRUST
                   Notes to Financial Statements (Continued)
                               December 31, 2001


(C)   Expense Fund

The initial deposit into the Expense Fund (as described above) was determined as
follows:

     Initial provision by Ahmanson                     $20,000,000
     Pre-acquisition expenditures(1) by Coast Federal      (76,759)
     Pre-acquisition expenditures(1) paid by CPR Trust     (38,947)
                                                        ----------
        Initial deposit into the Expense Fund          $19,884,294
                                                        ==========

          (1) Pre-acquisition expenditures include Litigation expenses which
              were incurred prior to the Merger, whether paid by Coast Federal
              or the CPR Trust.

The CPR Trust Agreement provides that interest on disbursements from the Expense
Fund be paid by the CPR Trust out of the Commitment Amount, and that such
interest shall be equal to the Reference Rate, as defined in the CPR Trust
Agreement, plus 250 basis points, compounded quarterly.

(D)   Other Liabilities

Other liabilities, as reported in the accompanying Statement of Financial
Condition, consisted of the following as of the dates indicated.

                                                      December 31,
                                                ------------------------
                                                   2001          2000
                                                ----------    ----------
     Accrued interest on deferred
          Litigation Trustee Fees(1)            $  588,560    $  360,487
     Accrued interest on Expense
          Fund disbursements(2)                  3,701,903     2,149,240
     Accrued expenses(3)                           510,363       577,670
                                                 ---------     ---------
                                                $4,800,826    $3,087,397
                                                 =========     =========

        (1)   See Note F of Notes to Financial Statements.
        (2)   See Note C of Notes to Financial Statements.
        (3)   Include accrued legal, audit, expert witness, Litigation Trustee,
              and trust administration fees.

(E)   Certificateholders' Equity

Certificateholders' equity consists solely of the accumulated deficit generated
from the operations of the CPR Trust. The CPR Trust Certificates have no stated
or par value for financial statement purposes.

                                       22
<PAGE>

           COAST FEDERAL LITIGATION CONTINGENT PAYMENT RIGHTS TRUST
                   Notes to Financial Statements (Continued)
                               December 31, 2001


(F)   Litigation Trustee Fees

The CPR Trust Agreement provides that as compensation the CPR Trust will pay
each Litigation Trustee, during the term of his service as a Litigation Trustee,
fees of $400,000 per year for five years (except that if the Litigation is
sooner terminated, the remainder of such fees (but in no event with respect to a
period longer than the remainder of such year plus two additional years) will be
accelerated upon final resolution of the Litigation and receipt by Ahmanson of
the Litigation Proceeds), plus reimbursement of all reasonable out-of-pocket
expenses. If the services of the Litigation Trustees continue to be necessary
after the initial five-year period or such receipt of Litigation Proceeds, the
Litigation Trustees shall be entitled to a fee of $200 per hour until
termination of the CPR Trust. Pursuant to the CPR Trust Agreement, each
Litigation Trustee may, but is not obligated to, defer all or part of his
compensation until 30 days after the earliest to occur of (i) the date on which
he elected to defer such compensation, (ii) the date he ceases to be a
Litigation Trustee, and (iii) the date of the receipt of the Commitment Amount
in full by the CPR Trust. Any Litigation Trustee electing to so defer will
receive the compensation he would have received plus an amount, calculated on a
monthly basis during the period of deferral (and included in the amount
deferred), equal to the product of the monthly balance of the amount deferred
and an annual rate equal to the Reference Rate, as defined in the CPR Trust
Agreement, plus 250 basis points. For the year ending December 31, 2001, Messrs.
Martin, Hunt and Raiden elected to defer one-half of their 2001 compensation;
for the year ending December 31, 2000, Messrs. Martin and Raiden elected to
defer one-half of their 2000 compensation; and for the year ending December 31,
1999, Messrs. Martin, Hunt and Raiden elected to defer one-half of their 1999
compensation.

(G)   Contingent Liabilities

The CPR Trust has no legal actions pending against it.

(H)   Leases

The CPR Trust has entered into an operating lease agreement for office space
expiring in February 2003. Future minimum lease payments for the operating lease
as of December 31, 2000, were as follows:

     Year ending December 31,

          2002             $51,600
          2003               8,600
                           -------
                           $60,200
                           =======

The CPR Trust incurred lease expenses of $51,600 each for the years ended
December 31, 2001, 2000 and 1999.

                                       23
<PAGE>

           COAST FEDERAL LITIGATION CONTINGENT PAYMENT RIGHTS TRUST
                   Notes to Financial Statements (Continued)
                               December 31, 2001


(I)  Selected Quarterly Financial Data (Unaudited)

The following is a summary of unaudited quarterly statements of operations for
the years ended December 31, 2001, 2000 and 1999.


<TABLE>
<CAPTION>
                                                  Quarter Ended
                             -------------------------------------------------------  Year Ended
                             March 31,     June 30,      September 30,  December 31,  December 31,
                             2001          2001          2001           2001          2001
                             ------------  ------------  -------------  ------------  ------------
<S>                          <C>           <C>           <C>            <C>           <C>
Net loss                     $(1,284,370)  $(1,172,657)  $(1,225,801)   $(1,010,394)  $(4,693,222)
Net loss per certificate            (.06)         (.06)         (.06)          (.05)         (.23)

<CAPTION>
                                                  Quarter Ended
                             -------------------------------------------------------  Year Ended
                             March 31,     June 30,      September 30,  December 31,  December 31,
                             2000          2000          2000           2000          2000
                             ------------  ------------  -------------  ------------  ------------
<S>                          <C>           <C>           <C>            <C>           <C>
Net loss                     $(1,606,283)  $(1,533,739)  $(1,721,906)   $(2,095,764)  $(6,957,692)
Net loss per certificate            (.08)         (.07)         (.08)          (.10)         (.34)

<CAPTION>
                                                  Quarter Ended
                             -------------------------------------------------------  Year Ended
                             March 31,     June 30,      September 30,  December 31,  December 31,
                             1999          1999          1999           1999          1999
                             ------------  ------------  -------------  ------------  -------------
<S>                          <C>           <C>           <C>            <C>           <C>
Net loss                     $(1,343,237)  $(2,199,387)  $(2,234,609)   $(1,517,267)  $(7,294,500)
Net loss per certificate           (0.06)        (0.11)        (0.11)         (0.07)        (0.35)
</TABLE>

                                       24
<PAGE>

ITEM 9.  CHANGES IN AND DISAGREEMENTS WITH ACCOUNTANTS ON ACCOUNTING AND
         FINANCIAL DISCLOSURE.
None.

PART III

ITEM 10. DIRECTORS AND EXECUTIVE OFFICERS OF THE REGISTRANT

Information concerning the Litigation Trustees is set forth under Part II, Item
7, "Management's Discussion and Analysis of Financial Condition and Results of
Operations - Management of the Litigation."

ITEM 11. EXECUTIVE COMPENSATION

Information concerning compensation of the Litigation Trustees is set forth
under Part II, Item 7, "Management's Discussion and Analysis of Financial
Condition and Results of Operations - Management of the Litigation."

ITEM 12. SECURITY OWNERSHIP OF CERTAIN BENEFICIAL OWNERS AND MANAGEMENT

There is no holder of CPR Certificates known to the Trust to be the beneficial
owner of more than five percent of the outstanding CPR Certificates.

Following is a table which indicates as of March 5, 2002, the amount and percent
of beneficial ownership of the CPR Certificates for each Litigation Trustee and
all Litigation Trustees as a group. Each individual has sole voting and sole
investment power with respect to the number of CPR Certificates set forth
opposite his name.

Name of Beneficial                                            Number of
Owner or Number of                                           Certificates
Persons in Group (1)                                      Beneficially Owned
--------------------                                      ------------------

Ray Martin                                                     135,375

Robert L. Hunt II                                              276,353

Norman H. Raiden                                                14,772

James F. Barritt                                                17,561

Four Litigation Trustees as a Group                            444,061

________________

(1) Each of the Litigation Trustees owns less than 1% of the outstanding CPR
Certificates except for Mr. Hunt who owns 1.3%. The four Litigation Trustees as
a group own 2.1% of the outstanding CPR Certificates.

Pursuant to the CPR Trust Agreement, each of the Litigation Trustees is
obligated, as a condition of his continuation as a Litigation Trustee, to retain
not less than 50% of the CPR Certificates held by him as of the date of the
Merger, February 13, 1998, until the Litigation Proceeds are received by
Ahmanson or its successor. Transfers by a Litigation Trustee to his family
members or to any trust created for the benefit of his family shall be included
in such 50% calculation for so long as those transferees retain the CPR

                                       25
<PAGE>

Certificates. As of February 13, 1998, Mr. Martin held 135,375 CPR Certificates,
Mr. Hunt held 76,353 CPR Certificates, Mr. Raiden held 42,772 CPR Certificates,
and Mr. Barritt held 17,561 CPR Certificates. As of March 5, 2002, the only
Trustee to have transferred any CPR Certificates is Mr. Raiden, who transferred
28,000 CPR Certificates to family members in December of 1999.

ITEM 13. CERTAIN RELATIONSHIPS AND RELATED TRANSACTIONS

None.

PART IV

ITEM 14. EXHIBITS, FINANCIAL STATEMENT SCHEDULES AND REPORTS ON FORM 8-K

(a)   Documents filed as a part of this report:

1.  Index to Financial Statements:

      None.

2.  Index to Financial Statements Schedules:

      None.

3.  Exhibits

      4.1   Form of Amended and Restated Declaration of Trust of Coast Federal
            Litigation Contingent Payment Rights Trust dated February 13,
            1998(incorporated by reference to Exhibit 4.1 to the registrant's
            Current Report on Form 8-K dated February 19, 1998).

      10.1  Form of Commitment entered into between the registrant and H.F.
            Ahmanson & Company (incorporated by reference to Exhibit 10.1 to the
            registrant's Registration Statement on Form S-4).

      10.2  Contingent Fee Agreement with Cooper, Carvin & Rosenthal,LLP dated
            February 13, 1998 (incorporated by reference to Exhibit 10.1 to the
            registrant's Quarterly Report on Form 10-Q for the period ending
            march 31, 1998).


Exhibits, except as otherwise indicated above, are filed herewith.

(b) Form 8-K

During the quarter ended December 31, 2001, the following reports on Form 8-K
were filed by the registrant:


      1.    October 3, 2001, Item 5, Other Events. Press release regarding
            filing of motion for reconsideration.

      2.    October 29, 2001, Item 5, Other Events. Press release regarding
            Claims Court entry of judgment for government.

                                       26
<PAGE>

SIGNATURES

Pursuant to the requirements of Section 13 or 15(d) of the Securities Exchange
Act of 1934, the Registrant has duly caused this report to be signed on its
behalf by the undersigned, thereunto duly authorized, on the 26th day of March
2002.

COAST FEDERAL LITIGATION CONTINGENT PAYMENT RIGHTS TRUST


By: /s/ Ray Martin
    --------------
    Ray Martin
    Litigation Trustee

Pursuant to the requirements of the Securities Exchange Act of 1934, this report
has been signed below by the following persons on behalf of the Registrant and
in the capacities indicated on the 26th day of March 2002.

/s/ Ray Martin
--------------
Ray Martin
Litigation Trustee

/s/ Robert L. Hunt II
---------------------
Robert L. Hunt II
Litigation Trustee

/s/ Norman H. Raiden
--------------------
Norman H. Raiden
Litigation Trustee

/s/ James F. Barritt
--------------------
James F. Barritt
Litigation Trustee

                                       27