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

FORM 10-Q

(Mark One)

For the quarterly period ended June 30, 2002

or

For the transition period from                              to                             

Commission file number 0-22732

PACIFIC CREST CAPITAL, INC.
(Exact name of registrant as specified in its charter)

(818) 865-3300
(Registrant's telephone number, including area code)

Not applicable
(Former name, former address and former fiscal year, if changed since last report)

        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 (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days. Yes ý    No o

        As of August 5, 2002, the number of shares outstanding of the registrant's $ .01 par value Common Stock was 2,437,326.

9.375% Cumulative Trust Preferred Securities of PCC Capital I

Guarantee of Pacific Crest Capital, Inc. with respect to the
9.375% Cumulative Trust Preferred Securities of PCC Capital I

PACIFIC CREST CAPITAL, INC.

June 30, 2002 FORM 10-Q

TABLE OF CONTENTS

PACIFIC CREST CAPITAL, INC.
CONSOLIDATED BALANCE SHEETS
(dollars in thousands, except per share data)

See accompanying Notes to Consolidated Financial Statements.

1

PACIFIC CREST CAPITAL, INC.
CONSOLIDATED STATEMENTS OF INCOME
(Unaudited)
(dollars in thousands, except per share data)

2

PACIFIC CREST CAPITAL, INC.
CONSOLIDATED STATEMENTS OF CHANGES IN SHAREHOLDERS' EQUITY
(Unaudited)
(dollars and shares in thousands)

See accompanying Notes to Consolidated Financial Statements.

3

PACIFIC CREST CAPITAL, INC.
CONSOLIDATED STATEMENTS OF CASH FLOWS
(Unaudited)
(in thousands)

See accompanying Notes to Consolidated Financial Statements.

4

PACIFIC CREST CAPTIAL, INC.
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
June 30, 2002
(Unaudited)

Note 1. Basis of Presentation

        The interim consolidated financial statements included herein have been prepared by Pacific Crest Capital, Inc., without audit, pursuant to the rules and regulations of the Securities and Exchange Commission ("SEC"). Certain information and footnote disclosures, normally included in financial statements prepared in accordance with accounting principles generally accepted in the United States of America, have been condensed or omitted pursuant to such SEC rules and regulations; nevertheless, the Company believes that the disclosures are adequate to make the information presented not misleading.

        The consolidated financial statements include the accounts of Pacific Crest Capital, Inc. ("Pacific Crest" or the "Parent") and its wholly owned subsidiaries, Pacific Crest Bank (the "Bank") and PCC Capital I ("PCC Capital"), which together are referred to as the "Company". All significant intercompany transactions and balances have been eliminated. Certain reclassifications have been made to prior period consolidated financial statements in order to conform to the current period presentation.

        In the opinion of management, all adjustments have been included, including normal recurring adjustments necessary to present fairly the financial position of the Company and the results of its operations for the interim period presented. The results of operations for this current interim period are not necessarily indicative of the results expected for any subsequent period or for the full year. These consolidated financial statements should be read in conjunction with the audited consolidated financial statements and notes thereto, which are included in the Company's Annual Report on Form 10-K for the year ended December 31, 2001.

Note 2. Computation of Tangible Book Value Per Common Share

        Tangible book value per common share was calculated by dividing total shareholders' equity by the number of common shares issued less common shares held in treasury. The tables below present the computation of tangible book value per common share as of the dates indicated (in thousands, except share data):

Note 3. Computation of Earnings Per Common Share

        Basic and diluted earnings per common share were determined by dividing net income by the applicable basic and diluted weighted average common shares outstanding. For the diluted earnings per share computation, the basic weighted average common shares outstanding were increased to include

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additional common shares that would have been outstanding if dilutive stock options had been exercised. The dilutive effect of stock options was calculated using the treasury stock method.

        The tables below present the basic and diluted earnings per common share computations for the periods indicated (dollars and shares in thousands, except per share data):

Note 4. Supplemental Disclosure of Cash Flow Information

        For purposes of the Consolidated Balance Sheets and Consolidated Statements of Cash Flows, cash and cash equivalents include "Cash" and "Securities purchased under resale agreements." Supplemental disclosure of cash flow information is as follows for the periods indicated (in thousands):

Note 5. Investment Securities

        Investment securities have been classified in the Consolidated Balance Sheets according to management's intent and ability. Securities classified as available for sale are recorded at market value. Unrealized gains or losses on securities available for sale are excluded from earnings and reported in "Accumulated other comprehensive income (loss)," net of tax effect, as a separate component of

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Shareholders' Equity. The following tables present the amortized cost and estimated fair values of investment securities available for sale as of the dates indicated (in thousands):

        The Company's investment securities portfolio at June 30, 2002 consisted of fixed rate investments in U.S. government sponsored agency mortgage-backed securities issued by Fannie Mae and Ginnie Mae, as well as adjustable rate investments in investment grade corporate debt securities.

        The Company's entire investment securities portfolio at June 30, 2002 was scheduled to mature after ten years.

        U.S. government sponsored agency securities with market values totaling $39.6 million and $47.3 million were pledged to secure borrowings aggregating $30.0 million and $40.0 million at June 30, 2002 and at December 31, 2001, respectively.

Note 6. SBA Loans Held for Sale

        The table below presents the Company's U.S. Small Business Administration ("SBA") loans held for sale as of the dates indicated (in thousands):

Note 7. FHLB Advances

        As of June 30, 2002 and December 31, 2001, the Company had Federal Home Loan Bank ("FHLB") advances secured by commercial real estate loans and a required investment in FHLB stock

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of $4.1 million and $2.0 million, respectively. The tables below describe the attributes of the FHLB advances as of the dates indicated (dollars in thousands):

Note 8. Term Borrowings

        The Company had fixed rate, long-term borrowings through one broker at June 30, 2002 and December 31, 2001. This debt is secured by pledging specific amounts of certain U.S. government sponsored agency securities.The tables below reflect the attributes of the Company's term borrowings as of the dates indicated (dollars in thousands):

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Note 9. Federal Income Tax Refund

        In April of 2002, the Company received a payment from the Internal Revenue Service ("IRS") in connection with a refund claim filed by the Company for a prior year's income taxes. The total amount of the payment was $1,218,000, which was comprised of $804,000 for income taxes and $414,000 for interest. The $804,000 was applied as a reduction of "Deferred income taxes, net" on the Consolidated Balance Sheets, while the $414,000 was applied to a receivable included in "Prepaid expenses and other assets". The Company had accrued as "Other income" $300,000 of the interest during the fourth quarter of 2001 and accrued the remaining $114,000 during the first quarter of 2002.

Note 10. Recent Accounting Pronouncements

        In July of 2001, the Financial Accounting Standards Board ("FASB") issued Statement of Financial Accounting Standards ("SFAS") No. 141, Business Combinations ("SFAS 141"), and SFAS No. 142, Goodwill and Other Intangible Assets ("SFAS 142"). SFAS 141 eliminates the pooling-of-interests method of accounting for business combinations, although certain combinations initiated prior to July 1, 2001 are exempt from the provisions of SFAS 141. In addition, SFAS 141 further clarifies the criteria for recognition of intangible assets separately from goodwill. This statement is effective for business combinations completed after June 30, 2001. SFAS 142 requires that upon adoption, amortization of goodwill will cease and the carrying value of goodwill shall be evaluated for impairment on an annual basis. Identifiable intangible assets will continue to be amortized over their useful lives and reviewed for impairment. SFAS 142 is effective for fiscal years beginning after December 15, 2001. As of June 30, 2002, the Company had no goodwill recorded on its Consolidated Balance Sheet. The adoption of the provisions of SFAS 141 and SFAS 142 did not have an impact on the Company's consolidated financial position or results of operations.

        In June of 2001, the FASB issued SFAS No. 144, Accounting for the Impairment or Disposal of Long-Lived Assets ("SFAS 144"). SFAS 144 supersedes SFAS No. 121, Accounting for the Impairment of Long-Lived Assets and for Long-Lived Assets to Be Disposed Of,and the accounting and reporting provisions of Accounting Principles Board Opinion No. 30, Reporting the Results of Operations—Reporting the Effects of Disposal of a Segment of a Business, and Extraordinary, Unusual and Infrequently Occurring Events and Transactions, and addresses financial accounting and reporting for the impairment or disposal of long-lived assets. SFAS 144 was effective January 1, 2002. The adoption of SFAS 144 did not have a material impact on the Company's consolidated financial position or results of operations.

        In April of 2002, the FASB issued SFAS No. 145, Rescission of FASB Statements No. 4, 44, and 64, Amendment of FASB Statement No. 13, and Technical Corrections ("SFAS 145"). SFAS 145 rescinds SFAS No. 4, Reporting Gains and Losses from Extinguishment of Debt ("SFAS 4"), and an amendment of that SFAS, SFAS No. 64, Extinguishment of Debt Made to Satisfy Sinking-Fund Requirements. SFAS 145 also rescinds SFAS No. 44, Accounting for Intangible Assets of Motor Carriers. Further, SFAS 145 amends SFAS No. 13, Accounting for Leases ("SFAS 13"), to eliminate an inconsistency between the required accounting for sale-leaseback transactions and the required accounting for certain lease modifications that have economic effects that are similar to sale-leaseback transactions. SFAS 145 also amends other existing authoritative pronouncements to make various technical corrections, clarify meanings, or described their applicability under changed conditions. This pronouncement requires gains and losses from extinguishment of debt to be classified as an extraordinary item only if the criteria in Accounting Principles Board Opinion No. 30, Reporting the Results of Operations—Reporting the Effects of Disposal of a Segment of a Business, and Extraordinary, Unusual and Infrequently Occurring Events and

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Transactions, have been met. Further, lease modifications with economic effects similar to sale-leaseback transactions must be accounted for in the same manner as sale-leaseback transactions. The provisions of SFAS 145 related to the rescission of SFAS 4 shall be applied in fiscal years beginning after May 15, 2002. The provisions of SFAS 145 related to SFAS 13 shall be effective for transactions occurring after May 15, 2002, with early application encouraged. The adoption of SFAS 145 did not have and is not expected to have a material impact on the Company's consolidated financial position or results of operations.

Note 11. Subsequent Events

        In July of 2002, the Company borrowed $30 million from the FHLB, consisting of $20 million at 2.29%, maturing in January of 2004, and $10 million at 2.68%, maturing in July of 2004. In August of 2002, the Company borrowed $20 million from the FHLB at 3.03%, maturing in August of 2005. The Company obtained this total of $50 million in long-term advances in order to take advantage of favorable long-term borrowing rates. These advances replaced the Company's $42.5 million in short-term, overnight advances outstanding at June 30, 2002. Adding these long-term advances in July and August of 2002, together with the $40 million of long-term advances obtained in November of 2001, resulted in current total long-term FHLB advances of $90 million, with a weighted average interest rate of 2.88%.

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ITEM 2. Management's Discussion and Analysis of Financial Condition and Results of Operations

        The following is management's discussion and analysis of the major factors that influenced the consolidated results of operations and financial condition of the Company for the period ended June 30, 2002. This analysis should be read in conjunction with the Company's Annual Report on Form 10-K for the year ended December 31, 2001 filed with the Securities and Exchange Commission, and with the unaudited financial statements and notes as set forth in this report.

OVERVIEW

Forward-Looking Information

        Certain matters discussed under this caption may constitute forward-looking statements under Section 27A of the Securities Act and Section 21E of the Securities Exchange Act. There can be no assurance that the results described or implied in such forward-looking statements will, in fact, be achieved and actual results, performance, and achievements could differ materially because the business of the Company involves inherent risks and uncertainties. These risks include, but are not limited to, general economic conditions nationally and in California, unanticipated credit losses in the Company's loan portfolio, rapid changes in interest rates, and other risks discussed in the Company's Annual Report on Form 10-K for the year ended December 31, 2001.

Capital

        As of June 30, 2002, Pacific Crest's leverage ratio, Tier 1 risk-based capital ratio and total risk-based capital ratio were 9.97%, 11.90%, and 13.94%, respectively. The Bank's leverage ratio, Tier 1 risk-based capital ratio and total risk-based capital ratio were 9.82%, 11.69%, and 12.94%, respectively. These ratios placed Pacific Crest and the Bank in the "well-capitalized" category as defined by federal regulations, which require corresponding capital ratios of 5%, 6% and 10%, respectively, to qualify for that designation.

Dividends

        On July 26, 2002, the Company announced that the Board of Directors had declared a cash dividend of $0.10 per common share for the third quarter of 2002. The dividend will be paid on September 13, 2002 to shareholders of record at the close of business on August 30, 2002.

        On May 13, 2002, the Company announced that the Board of Directors had declared a cash dividend of $0.08 per common share for the second quarter of 2002. The dividend was paid on June 14, 2002 to shareholders of record at the close of business on May 31, 2002. During the first quarter of 2002, the Company declared and paid a cash dividend of $0.08 per common share. The total amount of cash dividends paid during the six months ended June 30, 2002 was $389,000.

Stock Repurchase Plan

        During the six months ended June 30, 2002, pursuant to its common stock repurchase program, the Company repurchased 18,800 shares of its common stock at an average cost per share of $24.94. The total amount paid for these shares was approximately $469,000. During the same period, the Company utilized repurchased shares for all of its common stock issuances under the Company's employee stock purchase plan, non-employee directors stock purchase plan, and employee stock option plan, which totaled 34,417 shares. As of June 30, 2002, the Company had 15,700 shares remaining authorized for repurchase under its common stock repurchase program.

11

Sale of Interest Rate Cap Agreement

        On February 8, 2000, the Company sold its interest rate cap agreement and recognized a deferred gain of $1.8 million, which was reported in the Consolidated Balance Sheets under the caption, "Accrued interest payable and other liabilities". The deferred gain is being amortized as a credit to "Interest expense—deposits" over the remaining life of the original interest rate cap agreement, which had a maturity date of June 8, 2003. During the six months ended June 30, 2002 and 2001, the amount of deferred gain amortization totaled $275,000, which resulted in a reduction in interest expense on deposits. As of June 30, 2002, the remaining, unamortized deferred gain totaled $519,000 and will be amortized as follows: $279,000 for the last six months of 2002 and $240,000 for the first six months of 2003.

FHLB Credit Line Expansion

        In July of 2002, the FHLB approved an increase in Pacific Crest Bank's available credit line from 20% of total assets to 35% of total assets. As a result, the Bank's credit line increased by $81.5 million, to $190.2 million. All FHLB advances must be secured by eligible loans and/or eligible securities. The FHLB credit facility serves as an excellent source of low cost funding and is a critical component of the Company's strategy to reduce funding costs. The Company is focusing on using the FHLB credit facility primarily for fixed rate advances with 12-36 month terms as part of its hedging strategy to insulate the Company from potentially higher interest rates in 2003 and 2004.

        In July of 2002, the Company borrowed $30 million from the FHLB, consisting of $20 million at 2.29%, maturing in January of 2004, and $10 million at 2.68%, maturing in July of 2004. In August of 2002, the Company borrowed $20 million from the FHLB at 3.03%, maturing in August of 2005. The Company obtained this total of $50 million in long-term advances in order to take advantage of favorable long-term borrowing rates. These advances replaced the Company's $42.5 million in short-term, overnight advances outstanding at June 30, 2002. Adding these long-term advances in July and August of 2002, together with the $40 million of long-term advances obtained in November of 2001, resulted in current total long-term FHLB advances of $90 million, with a weighted average interest rate of 2.88%.

Corporate Governance