Golden State Bancorp said Monday it had agreed to buy Redfed Bancorp for about $158 million, or 1.96 times Redfed's book value at Sept. 30.

Golden State, based in Glendale and parent of Glendale Federal Bank, plans to issue $20.75 worth of its common stock for each common share of Redfed, which is based in Redlands and parent of Redlands Federal Bank.

Golden State said the deal is expected to be immediately accretive to earnings, while also expanding its franchise into Southern California's interior, known as the Inland Empire.

"Because Redlands' offices represent new markets, Glendale Federal does not anticipate closing any Redlands offices," said Stephen J. Trafton, chairman and chief executive of Golden State.

The transaction will be accounted for as a purchase and as a tax-free exchange. The acquisition, subject to regulatory and shareholder approvals, is expected to close in the second quarter of 1998.

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