Sec Form 4 Filing - PIECZYNSKI JAMES @ CAPITALSOURCE INC - 2014-03-28

Insider filing report for Changes in Beneficial Ownership
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FORM 4
Check this box if no longer subject to Section 16. Form 4 or Form 5 obligations may continue. See Instruction 1(b).
UNITED STATES SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
STATEMENT OF CHANGES IN BENEFICIAL OWNERSHIP
Filed pursuant to Section 16(a) of the Securities Exchange Act of 1934, Section 17(a) of the Public Utility Holding Company Act of 1935 or Section 30(h) of the Investment Company Act of 1940
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1. Name and Address of Reporting Person
PIECZYNSKI JAMES
2. Issuer Name and Ticker or Trading Symbol
CAPITALSOURCE INC [ CSE]
5. Relationship of Reporting Person(s) to Issuer
(Check all applicable)
X __ Director _____ 10% Owner
X __ Officer (give title below) _____ Other (specify below)
CEO
(Last) (First) (Middle)
C/O CAPITALSOURCE INC., 5404 WISCONSIN AVENUE, 2ND FLOOR
3. Date of Earliest Transaction (MM/DD/YY)
03/28/2014
(Street)
CHEVY CHASE, MD20815
4. If Amendment, Date Original Filed (MM/DD/YY)
6. Individual or Joint/Group Filing (Check Applicable Line)
__ X __ Form filed by One Reporting Person
_____ Form filed by More than One Reporting Person
(City) (State) (Zip)
Table I - Non-Derivative Securities Acquired, Disposed of, or Beneficially Owned
1.Title of Security
(Instr. 3)
2. Transaction Date (MM/DD/YY) 2A. Deemed Execution Date, if any (MM/DD/YY) 3. Transaction Code
(Instr. 8)
4. Securities Acquired (A) or Disposed of (D)
(Instr. 3, 4 and 5)
5. Amount of Securities Beneficially Owned Following Reported Transaction(s)
(Instr. 3 and 4)
6. Ownership Form: Direct (D) or Indirect (I)
(Instr. 4)
7. Nature of Indirect Beneficial Ownership
(Instr. 4)
Code V Amount (A) or (D) Price
Common Stock 03/24/2014 G V 45,554 D $ 0 394,762 ( 1 ) D
Common Stock 03/28/2014 M 1,200 A $ 2.99 395,962 D
Common Stock 03/28/2014 S 1,200 D $ 14.4 394,762 D
Common Stock 03/31/2014 M 373,800 A $ 2.99 768,562 D
Common Stock 03/31/2014 S 373,800 D $ 14.5491 ( 2 ) 394,762 D
Common Stock 4,000 I By Spouse
Common Stock 1,119 I By Pieczynski Living Trust ( 3 )
Table II - Derivative Securities Acquired, Disposed of, or Beneficially Owned
( e.g. , puts, calls, warrants, options, convertible securities)
1. Title of Derivative Security
(Instr. 3)
2. Conversion or Exercise Price of Derivative Security 3. Transaction Date (MM/DD/YY) 3A. Deemed Execution Date, if any (MM/DD/YY) 4. Transaction Code
(Instr. 8)
5. Number of Derivative Securities Acquired (A) or Disposed of (D)
(Instr. 3, 4, and 5)
6. Date Exercisable and Expiration Date
(MM/DD/YY)
7. Title and Amount of Underlying Securities
(Instr. 3 and 4)
8. Price of Derivative Security
(Instr. 5)
9. Number of Derivative Securities Beneficially Owned Following Reported Transaction(s)
(Instr. 4)
10. Ownership Form of Derivative Security: Direct (D) or Indirect (I)
(Instr. 4)
11. Nature of Indirect Beneficial Ownership
(Instr. 4)
Code V (A) (D) Date Exercisable Expiration Date Title Amount or Number of Shares
Employee Stock Option (Right to Buy) $ 2.99 03/28/2014 M 1,200 ( 4 ) 05/15/2019 Common Stock 1,200 $ 0 373,800 D
Employee Stock Option (Right to Buy) $ 2.99 03/31/2014 M 373,800 ( 4 ) 05/15/2019 Common Stock 373,800 $ 0 0 D
Reporting Owners
Reporting Owner Name / Address Relationships
Director 10% Owner Officer Other
PIECZYNSKI JAMES
C/O CAPITALSOURCE INC.
5404 WISCONSIN AVENUE, 2ND FLOOR
CHEVY CHASE, MD20815
X CEO
Signatures
/s/ Kori Ogrosky, Attorney-in-Fact 04/01/2014
Signature of Reporting Person Date
Explanation of Responses:
( 1 )Includes 44 shares of common stock acquired in connection with the Issuer's quarterly dividends.
( 2 )The price reported in Column 4 is the weighted average price. These shares were sold in multiple transactions at prices ranging from $14.53 to $14.58, inclusive. The reporting person undertakes to provide to the issuer, any security holder of the issuer or the staff of the Securities and Exchange Commission, upon request, full information regarding the number of shares sold at each separate price within the ranges set forth in this footnote.
( 3 )The reporting person and his spouse serve as the trustees for the trust.
( 4 )The option is fully vested.

Reminder: Report on a separate line for each class of securities beneficially owned directly or indirectly.
* If the form is filed by more than one reporting person, see Instruction 4(b)(v).
** Intentional misstatements or omissions of facts constitute Federal Criminal Violations. See 18 U.S.C. 1001 and 15 U.S.C. 78ff(a).

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