LOS ANGELES, Jan. 24, 2011 /PRNewswire/ -- Cathay General
Bancorp (the "Company", (Nasdaq: CATY)), the holding company for
Cathay Bank (the "Bank"), today announced results for the fourth
quarter of 2010.
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FINANCIAL
PERFORMANCE
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Three months
ended December 31,
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Year ended
December 31,
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2010
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2009
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2010
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2009
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Net income/(loss)
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$18.1 million
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($35.3) million
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$11.6 million
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($67.4) million
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Net income/(loss) attributable
to common stockholders
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$14.0 million
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($39.4) million
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($4.8) million
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($83.7) million
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Basic earnings/(loss) per common
share
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$0.18
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($0.64)
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($0.06)
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($1.59)
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Diluted earnings/(loss) per
common share
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$0.18
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($0.64)
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($0.06)
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($1.59)
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Return on average
assets
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0.65%
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-1.19%
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0.10%
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-0.58%
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Return on average total
stockholders' equity
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4.99%
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-10.45%
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0.81%
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-5.20%
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Efficiency ratio
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61.65%
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64.25%
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53.22%
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50.65%
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FOURTH QUARTER HIGHLIGHTS
- Improved profitability – Fourth quarter net income was
$18.1 million compared to net income
of $17.3 million in the third quarter
of 2010 and compared to a net loss of $35.3
million in the same quarter a year ago.
- Decrease in net charge-offs – Net charge-offs decreased
$45.5 million, or 66.6%, to
$22.8 million in the fourth quarter
of 2010 from $68.3 million in the
same quarter a year ago and increased $4.8
million, or 26.6%, from $18.0
million in the third quarter of 2010. The provision for
credit losses was $10.0 million for
the fourth quarter of 2010 compared to $17.9
million in the third quarter of 2010 and $91.0 million in the same quarter a year ago.
- Decrease in non-accrual loans – Total non-accrual loans
decreased $41.4 million, or 14.6%, to
$242.3 million at December 31, 2010, from $283.7 million at September 30, 2010. The allowance for loan
losses was 101% of non-accrual loans at December 31, 2010.
FULL YEAR HIGHLIGHTS
- Net income was $11.6 million for
the year ended 2010 compared to net loss of $67.4 million for the year ended 2009.
- Net charge-offs decreased $92.9
million, or 42.4%, to $126.4
million for the year ended 2010 from $219.3 million for the year ended 2009. The
provision for credit losses was $156.9
million for the year ended 2010 compared to $307.0 million for the year ended 2009.
"We are pleased to report a profit for the full year of 2010 and
are also encouraged by the 101% coverage of non-accrual loans by
our allowance for loan losses at year end. With the stabilization
in credit quality, we expect solid commercial and residential
mortgage loan growth in the new year," commented Dunson Cheng, Chairman of the Board, Chief
Executive Officer, and President of the Company.
"Our retail branches continue to experience solid growth in
relationship deposits at the same time we are reducing the
dependence on wholesale funding. Our focus on core deposit
generation resulted in core deposits increasing 6.6% in 2010," said
Peter Wu, Executive Vice Chairman
and Chief Operating Officer.
"Our net interest margin in the fourth quarter continued to
improve as the rate paid on deposits continued to decline. At
the same time, we have also prepaid $314
million of fixed rate borrowings and expect to make
additional prepayments during 2011 as part of our plan to further
improve our net interest margin. We are hopeful that our
profitability will continue to improve to our historical levels
over the course of time," concluded Dunson
Cheng.
INCOME STATEMENT REVIEW
Net income attributable to common stockholders for the quarter
ended December 31, 2010, was
$14.0 million, an increase of
$53.4 million, or 136%, compared to
net loss attributable to common stockholders of $39.4 million for the same quarter a year ago.
Diluted earnings per share attributable to common
stockholders for the quarter ended December
31, 2010, was $0.18 compared
to a loss per share of $0.64 for the
same quarter a year ago due primarily to decreases in the provision
for credit losses, lower other real estate owned expenses, and
increases in net securities gains which were partially offset by
prepayment penalties on the repayment of Federal Home Loan Bank
("FHLB") advances.
Return on average stockholders' equity was 4.99% and return on
average assets was 0.65% for the quarter ended December 31, 2010, compared to a return on
average stockholders' equity of negative 10.45% and a return on
average assets of negative 1.19% for the same quarter of 2009.
Net interest income before provision for credit
losses
Net interest income before provision for credit losses increased
to $75.2 million during the fourth
quarter of 2010, an increase of $1.4
million, or 2.0%, compared to $73.8
million during the same quarter a year ago. The
increase was due primarily to the decrease in interest expense paid
on time certificates of deposit and the prepayment of FHLB
advances.
The net interest margin, on a fully taxable-equivalent basis,
was 2.88% for the fourth quarter of 2010, an increase of 14 basis
points from 2.74% for the third quarter of 2010 and an increase of
23 basis points from 2.65% for the fourth quarter of 2009.
The decrease in the rate on interest bearing deposits and the
prepayment of FHLB advances contributed to the increase in the net
interest margin from the corresponding quarter of the prior year.
For the fourth quarter of 2010, the yield on average
interest-earning assets was 4.52%, on a fully taxable-equivalent
basis, the cost of funds on average interest-bearing liabilities
equaled 1.99%, and the cost of interest bearing deposits was 1.16%.
In comparison, for the fourth quarter of 2009, the yield on
average interest-earning assets was 4.66%, on a fully
taxable-equivalent basis, cost of funds on average interest-bearing
liabilities equaled 2.35%, and the cost of interest bearing
deposits was 1.63%. The interest spread, defined as the difference
between the yield on average interest-earning assets and the cost
of funds on average interest-bearing liabilities, increased 22
basis points to 2.53% for the fourth quarter ended
December 31, 2010, from 2.31% for the
same quarter a year ago, primarily due to the reasons discussed
above.
The cost of deposits, including demand deposits, decreased 7
basis points to 1.00% in the fourth quarter of 2010 compared to
1.07% in the third quarter of 2010 and decreased 45 basis points
from 1.45% in the fourth quarter of 2009 due primarily to the
decrease in the rates paid on certificates of deposit upon renewal
and on money market accounts as a result of the decline in market
interest rates.
Provision for credit losses
The provision for credit losses was $10.0
million for the fourth quarter of 2010 compared to
$17.9 million for the third quarter
of 2010 and compared to $91.0 million
in the fourth quarter of 2009. The provision for credit
losses was $156.9 million for the
year ended 2010 compared to $307.0
million for the year ended 2009. The provision for
credit losses was based on the review of the adequacy of the
allowance for loan losses at December 31,
2010. The provision for credit losses represents the charge
against current earnings that is determined by management, through
a credit review process, as the amount needed to establish an
allowance that management believes to be sufficient to absorb
credit losses inherent in the Company's loan portfolio, including
unfunded commitments. The following table summarizes the
charge-offs and recoveries for the periods as indicated:
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For the
three months ended December 31,
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For the year
ended December 31,
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2010
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2009
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2010
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2009
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(In
thousands)
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Charge-offs:
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Commercial
loans
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$
4,108
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$
9,713
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$
21,609
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$
59,370
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Construction loans-
residential
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2,660
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12,612
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14,889
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71,147
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Construction loans-
other
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4,448
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11,394
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30,432
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22,128
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Real estate loans
(1)
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10,088
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26,381
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47,765
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52,931
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Real estate- land
loans
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4,240
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9,368
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24,060
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16,967
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Installment and other
loans
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-
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-
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-
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4
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Total
charge-offs
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25,544
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69,468
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138,755
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222,547
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Recoveries:
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Commercial
loans
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1,380
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381
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4,712
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904
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Construction loans-
residential
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1,043
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367
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5,448
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1,140
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Construction loans-
other
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100
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-
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553
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-
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Real estate loans
(1)
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3
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415
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933
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461
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Real estate- land
loans
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205
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6
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668
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692
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Installment and other
loans
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11
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2
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13
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21
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Total
recoveries
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2,742
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1,171
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12,327
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3,218
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Net charge-offs
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$
22,802
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$
68,297
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$
126,428
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$
219,329
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(1) Real estate loans include
commercial mortgage loans, residential mortgage loans, and equity
lines.
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Non-interest income
Non-interest income, which includes revenues from depository
service fees, letters of credit commissions, securities gains
(losses), gains (losses) on loan sales, wire transfer fees, and
other sources of fee income, was $16.2
million for the fourth quarter of 2010, an increase of
$7.9 million compared to
non-interest income of $8.3
million for the fourth quarter of 2009. The increase in
non-interest income in the fourth quarter of 2010 was primarily due
to an increase in securities gains of $6.3
million, a decrease of $1.1
million in loss from interest rate swaps, and an increase of
$321,000 in wealth management
commissions compared to the fourth quarter of 2009.
Non-interest expense
Non-interest expense increased $3.6
million, or 6.9%, to $56.3
million in the fourth quarter of 2010 compared to
$52.7 million in the same quarter a
year ago. The efficiency ratio was 61.65% in the fourth
quarter of 2010 compared to 64.25% for the same period a year ago
due primarily to lower OREO expenses, lower occupancy expenses, and
higher securities gains offset by $13.4
million in prepayment penalties from prepayment of
FHLB advances recorded in the fourth quarter of 2010.
OREO expense decreased $5.3
million from $16.0 million in
the fourth quarter of 2009 to $10.7
million in the fourth quarter of 2010 primarily due to
increases in gains on OREO sales and decreases in OREO expenses.
Professional services expenses decreased $2.9 million primarily due to decreases in
consulting expenses. Occupancy expense decreased $2.2 million primarily due to a correction in the
depreciation life for certain components of our administrative
office building at 9650 Flair Drive, El
Monte which opened in January
2009. Offsetting the above decreases was a
$13.4 million prepayment penalty from
prepaying $314.4 million of FHLB
advances in the fourth quarter of 2010.
Income taxes
The effective tax rate for the fourth quarter of 2010 was 27.3%
compared to a benefit of 42.9% in the fourth quarter of 2009.
The effective tax rate includes the impact of the utilization
of low income housing tax credits.
BALANCE SHEET REVIEW
Total assets were $10.8 billion at
December 31, 2010, a decrease of
$786.2 million, or 6.8%, from
$11.6 billion at December 31, 2009, primarily due to the decrease
of $706.4 million, or 19.9%, in
securities.
Gross loans, excluding loans held for sale, were $6.87 billion at December
31, 2010, a decrease of $30.5
million, or 0.4%, from $6.90
billion at December 31, 2009,
primarily due to a decrease of $216.1
million, or 34.5%, in construction loans, and a decrease of
$125.1 million, or 3.1%, in
commercial real estate loans offset by an increase of $133.3 million, or 10.2%, in commercial loans and
an increase of $170.2 million, or
24.9% in residential mortgage loans. The changes in loan
composition from December 31, 2009,
are presented below:
Type of Loans:
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December 31,
2010
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December 31,
2009
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%
Change
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(Dollars in
thousands)
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Commercial
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$
1,441,167
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$
1,307,880
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10
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Residential mortgage
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852,454
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682,291
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25
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Commercial mortgage
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3,940,061
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4,065,155
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(3)
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Equity lines
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208,876
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195,975
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7
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Real estate
construction
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409,986
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626,087
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(35)
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Installment &
other
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16,077
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21,754
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(26)
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Gross loans and
leases
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$
6,868,621
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$
6,899,142
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(0)
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Allowance for loan
losses
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(245,231)
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(211,889)
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16
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Unamortized deferred loan
fees
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(7,621)
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(8,339)
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(9)
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Total loans and leases,
net
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$
6,615,769
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$
6,678,914
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(1)
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Loans held-for-sale
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$
2,873
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$
54,826
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(95)
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Total deposits were $7.0 billion
at December 31, 2010, a decrease of
$513.2 million, or 6.8%, from
$7.5 billion at December 31, 2009, primarily due to a
$435.1 million, or 51.0%, decrease in
brokered deposits. The changes in deposit composition from
December 31, 2009, are presented
below:
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Deposits
|
December 31,
2010
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|
December 31,
2009
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%
Change
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(Dollars in
thousands)
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Non-interest-bearing
demand
|
$
930,300
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$
864,551
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8
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NOW
|
418,703
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337,304
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|
24
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Money market
|
982,617
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|
943,164
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|
4
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Savings
|
385,245
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|
347,724
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|
11
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Time deposits under
$100,000
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1,081,266
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1,529,954
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(29)
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Time deposits of $100,000 or
more
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3,193,715
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|
3,482,343
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(8)
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Total
deposits
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$
6,991,846
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|
$
7,505,040
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|
(7)
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ASSET QUALITY REVIEW
At December 31, 2010, total
non-accrual portfolio loans, excluding non-accrual loans held for
sale, were $242.3 million, a decrease
of $38.3 million, or 13.7%, from
$280.6 million at December 31, 2009, and a decrease of $41.4 million, or 14.6%, from $283.7 million at September 30, 2010. A summary of
non-accrual loans, excluding non-accrual loans held for sale, and
the related allowance and charge-offs as of December 31, 2010, is shown below:
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At December
31, 2010
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Balance
|
|
Allowance
|
Cumulative
Charge-off
|
Cumulative
Charge-off as a
% of Unpaid
Balance
|
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(Dollars in
thousands)
|
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|
Non-accrual loans without
charge-off
|
|
|
|
|
|
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Commercial real
estate
|
$
38,803
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|
$
190
|
$
-
|
0.0%
|
|
|
Commercial
|
6,595
|
|
876
|
-
|
0.0%
|
|
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Construction-
non-residential
|
1,188
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|
-
|
-
|
0.0%
|
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|
Residential
mortgage
|
7,708
|
|
610
|
-
|
0.0%
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|
Land
|
6,992
|
|
227
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-
|
0.0%
|
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Subtotal
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$
61,286
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|
$
1,903
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$
-
|
0.0%
|
|
|
Non-accrual loans with
charge-off
|
|
|
|
|
|
|
|
Commercial real
estate
|
$
83,869
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|
$
115
|
$
34,965
|
29.4%
|
|
|
Commercial
|
24,904
|
|
1,991
|
19,583
|
44.0%
|
|
|
Construction-
residential
|
25,251
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|
7,140
|
12,447
|
33.0%
|
|
|
Construction-
non-residential
|
27,498
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|
-
|
25,039
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47.7%
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|
Residential
mortgage
|
4,580
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|
320
|
1,517
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24.9%
|
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Land
|
14,931
|
|
125
|
12,559
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45.7%
|
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|
Subtotal
|
$
181,033
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|
$
9,691
|
$
106,110
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37.0%
|
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|
Total
|
$
242,319
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|
$
11,594
|
$
106,110
|
30.5%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
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|
The allowance for loan losses was $245.2
million and the allowance for off-balance sheet unfunded
credit commitments was $2.3 million
at December 31, 2010, and represented
the amount that the Company believes to be sufficient to absorb
credit losses inherent in the Company's loan portfolio including
unfunded commitments. The allowance for credit losses, the
sum of allowance for loan losses and for off-balance sheet unfunded
credit commitments, was $247.6
million at December 31, 2010,
compared to $217.1 million at
December 31, 2009, an increase of
$30.5 million, or 14.0%. The
allowance for credit losses represented 3.60% of period-end gross
loans, excluding loans held for sale, and 100.1% of non-performing
portfolio loans at December 31, 2010.
The comparable ratios were 3.15% of period-end gross loans
and 77.4% of non-performing loans at December 31, 2009. Results of the changes
from September 30, 2010, and
December 31, 2009, to December 31, 2010, of the Company's
non-performing assets and troubled debt restructurings are
highlighted below:
|
|
(Dollars in
thousands)
|
December 31,
2010
|
|
September 30,
2010
|
|
%
Change
|
|
December 31,
2009
|
|
%
Change
|
|
Non-performing
assets
|
|
|
|
|
|
|
|
|
|
|
Accruing loans past due 90 days
or more
|
$
5,006
|
|
$
849
|
|
490
|
|
$
-
|
|
100
|
|
Non-accrual loans:
|
|
|
|
|
|
|
|
|
|
|
Construction-
residential
|
25,251
|
|
38,828
|
|
(35)
|
|
54,490
|
|
(54)
|
|
Construction-
non-residential
|
28,686
|
|
36,035
|
|
(20)
|
|
36,797
|
|
(22)
|
|
Land
|
21,923
|
|
17,731
|
|
24
|
|
40,534
|
|
(46)
|
|
Commercial real estate,
excluding land
|
122,672
|
|
154,228
|
|
(20)
|
|
112,774
|
|
9
|
|
Commercial
|
31,499
|
|
25,636
|
|
23
|
|
26,570
|
|
19
|
|
Residential
mortgage
|
12,288
|
|
11,217
|
|
10
|
|
9,478
|
|
30
|
|
Total non-accrual
loans:
|
$
242,319
|
|
$
283,675
|
|
(15)
|
|
$
280,643
|
|
(14)
|
|
Total
non-performing loans
|
247,325
|
|
284,524
|
|
(13)
|
|
280,643
|
|
(12)
|
|
Other real estate
owned
|
77,740
|
|
79,957
|
|
(3)
|
|
71,014
|
|
9
|
|
Total
non-performing assets
|
$
325,065
|
|
$
364,481
|
|
(11)
|
|
$
351,657
|
|
(8)
|
|
Accruing troubled
debt restructurings (TDRs)
|
$
136,800
|
|
$
73,323
|
|
87
|
|
$
54,992
|
|
149
|
|
Non-accrual TDRs (included in
non-accrual loans above)
|
$
28,146
|
|
$
66,597
|
|
(58)
|
|
$
41,609
|
|
(32)
|
|
Non-accrual loans held for
sale
|
$
2,873
|
|
$
6,164
|
|
(53)
|
|
$
54,826
|
|
(95)
|
|
|
|
|
|
|
|
|
|
|
|
|
Allowance for loan
losses
|
$
245,231
|
|
$
257,706
|
|
(5)
|
|
$
211,889
|
|
16
|
|
Allowance for off-balance sheet
credit commitments
|
2,337
|
|
2,664
|
|
(12)
|
|
5,207
|
|
(55)
|
|
Allowance for credit
losses
|
$
247,568
|
|
$
260,370
|
|
(5)
|
|
$
217,096
|
|
14
|
|
|
|
|
|
|
|
|
|
|
|
|
Total gross loans outstanding,
at period-end (1)
|
$6,868,621
|
|
$6,907,395
|
|
(1)
|
|
$6,899,142
|
|
(0)
|
|
|
|
|
|
|
|
|
|
|
|
|
Allowance for loan losses to
non-performing loans, at period-end (2)
|
99.15%
|
|
90.57%
|
|
|
|
75.50%
|
|
|
|
Allowance for loan losses to
gross loans, at period-end (1)
|
3.57%
|
|
3.73%
|
|
|
|
3.07%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Allowance for credit losses to
non-performing loans, at period-end (2)
|
100.10%
|
|
91.51%
|
|
|
|
77.36%
|
|
|
|
Allowance for credit losses to
gross loans, at period-end (1)
|
3.60%
|
|
3.77%
|
|
|
|
3.15%
|
|
|
|
(1) Excludes loans held for sale
at period-end.
|
|
|
|
|
|
|
|
|
|
|
(2) Excludes non-accrual loans
held for sale at period-end.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
At December 31, 2010, total
residential construction loans were $151.3
million of which $10.6 million
were in San Bernardino and
Riverside counties in California and none were in the Central Valley
of California. At December 31, 2010, total land loans were
$123.2 million, of which $19.9 million were in San Bernardino, Riverside, and Imperial counties in California, $758,000 were in the Central Valley of
California, and $2.9 million were in the state of Nevada.
Troubled debt restructurings on non-accrual status totaled
$28.1 million at December 31, 2010. Troubled debt restructurings
on accrual status totaled $136.8
million at December 31, 2010.
These loans are classified as troubled debt restructurings as
a result of granting a concession to borrowers. The
concessions may be granted in various forms, including reduction in
the stated interest rate, reduction in the loan balance or accrued
interest, or extension of the maturity date. Although these
loan modifications are considered troubled debt restructurings
under Accounting Standard Codification 310-40, formerly Statement
of Financial Accounting Standards 15, these loans have been
performing under the restructured terms and have demonstrated
sustained performance under the modified terms. The sustained
performance considered by management includes the periods prior to
the modification if the prior performance met or exceeded the
modified terms as well as cash paid to set up interest
reserves.
Non-performing assets, excluding non-accrual loans held for
sale, to total assets was 3.0% at December
31, 2010, compared to 3.0% at December 31, 2009, and compared to 3.2% at
September 30, 2010. Total
non-performing portfolio assets decreased $26.6 million, or 7.6%, to $325.1 million at December
31, 2010, compared to $351.7
million at December 31, 2009,
primarily due to a $38.3 million
decrease in non-accrual loans offset by a $6.7 million increase in OREO and by a
$5.0 million increase in accruing
loans past due 90 days or more. Total non-performing
portfolio assets decreased $39.4
million, or 10.8%, to $325.1
million at December 31, 2010,
compared to $364.5 million at
September 30, 2010, primarily due to
a $41.4 million decrease in
non-accrual loans and a $2.2 million
decrease in OREO offset by a $4.2
million increase in accruing loans past due 90 days or
more.
CAPITAL ADEQUACY REVIEW
At December 31, 2010, the
Company's Tier 1 risk-based capital ratio of 15.37%, total
risk-based capital ratio of 17.27%, and Tier 1 leverage capital
ratio of 11.44%, continue to place the Company in the "well
capitalized" category for regulatory purposes, which is defined as
institutions with a Tier 1 risk-based capital ratio equal to or
greater than 6%, a total risk-based capital ratio equal to or
greater than 10%, and a Tier 1 leverage capital ratio equal to or
greater than 5%. At December 31,
2009, the Company's Tier 1 risk-based capital ratio was
13.55%, total risk-based capital ratio was 15.43%, and Tier 1
leverage capital ratio was 9.64%.
YEAR-TO-DATE REVIEW
Net loss attributable to common stockholders was $4.8 million, a decrease of $78.9 million, or 94.2%, compared to net loss
attributable to common stockholders of $83.7
million for the same period a year ago due primarily to
decreases in the provision for loan losses, higher net interest
income, lower OREO expenses partially offset by decreases in
security gains and by prepayment penalties from prepayment of FHLB
advances. Loss per share was $0.06 for the year ended December 31, 2010, compared to a $1.59 loss per share for the same period a year
ago. The net interest margin for the year ended December 31, 2010, increased 15 basis points to
2.77% compared to 2.62% for the same period a year ago.
Return on average stockholders' equity was 0.81% and return on
average assets was 0.10% for the year ended December 31, 2010, compared to a negative return
on average stockholders' equity of 5.20% and a negative return on
average assets of 0.58% for the year ended December 31, 2009. The efficiency ratio for
the year ended December 31, 2010, was
53.22% compared to 50.65% for the year ended December 31, 2009.
CONFERENCE CALL
Cathay General Bancorp will host a conference call this
afternoon to discuss its fourth quarter 2010 financial results. The
call will begin at 3:00 p.m. Pacific
Time. Analysts and investors may dial in and participate in
the question-and-answer session. To access the call, please dial
1-866-800-8649 and enter Participant Passcode 66175528. A
listen-only live Webcast of the call will be available at
www.cathaygeneralbancorp.com and a recorded version is scheduled to
be available for replay for 12 months after the call.
ABOUT CATHAY GENERAL BANCORP
Cathay General Bancorp is the holding company for Cathay Bank, a
California state-chartered bank.
Founded in 1962, Cathay Bank offers a wide range of financial
services. Cathay Bank currently operates 31 branches in
California, eight branches in
New York State, one in
Massachusetts, two in Texas, three in Washington State, three in the Chicago, Illinois area, one in New Jersey, one in Hong Kong, and a representative office in
Shanghai and in Taipei. Cathay Bank's website is found at
http://www.cathaybank.com. Cathay General Bancorp's website is
found at http://www.cathaygeneralbancorp.com. Information set
forth on such websites is not incorporated into this press
release.
FORWARD-LOOKING STATEMENTS AND OTHER NOTICES
Statements made in this press release, other than statements of
historical fact, are forward-looking statements within the meaning
of the applicable provisions of the Private Securities Litigation
Reform Act of 1995 regarding management's beliefs, projections, and
assumptions concerning future results and events. These
forward-looking statements may include, but are not limited to,
such words as "aims," "anticipates," "believes," "could,"
"estimates," "expects," "hopes," "intends," "may," "plans,"
"projects," "seeks," "shall," "should," "will," "predicts,"
"potential," "continue," and variations of these words and similar
expressions. Forward-looking statements are based on estimates,
beliefs, projections, and assumptions and are not guarantees of
future performance. These forward-looking statements are subject to
certain risks and uncertainties that could cause actual results to
differ materially from our historical experience and our present
expectations or projections. Such risks and uncertainties and other
factors include, but are not limited to, adverse developments or
conditions related to or arising from: significant volatility and
deterioration in the credit and financial markets; adverse changes
and disruption in general economic conditions and the capital
markets; the effects of the Emergency Economic Stabilization Act,
the American Recovery and Reinvestment Act, and the Troubled Asset
Relief Program (TARP) and any changes or amendments thereto;
difficult conditions in the U.S. and international financial
markets; credit loss and deterioration in asset or credit quality;
the availability of capital; the impact of any goodwill impairment
that may be determined; acquisitions of other banks, if any;
fluctuations in interest rates; liquidity risk; inflation and
deflation; real estate market conditions; the soundness of other
financial institutions; expansion into new market areas;
earthquakes, wildfires, or other natural disasters; our ability to
compete with competitors and competitive pressures; our ability to
retain key personnel; current and potential future supervisory
action by bank supervisory authorities; changes in laws,
regulations, and accounting rules, or their interpretations;
legislative, judicial, or regulatory actions and developments
including the potential impact of the Dodd-Frank Wall Street Reform
and Consumer Protection Act; and general economic or business
conditions in California and other
regions where Cathay Bank has operations, including, but not
limited to, adverse changes in economic conditions.
These and other factors are further described in Cathay General
Bancorp's Annual Report on Form 10-K for the year ended
December 31, 2009 (Item 1A in
particular), other reports filed with the Securities and Exchange
Commission ("SEC"), and other filings Cathay General Bancorp makes
with the SEC from time to time. Actual results in any future period
may also vary from the past results discussed in this press
release. Given these risks and uncertainties, readers are cautioned
not to place undue reliance on any forward-looking statements,
which speak to the date of this press release. Cathay General
Bancorp has no intention and undertakes no obligation to update any
forward-looking statement or to publicly announce any revision of
any forward-looking statement to reflect future developments or
events, except as required by law.
Cathay General Bancorp's filings with the SEC are available at
the website maintained by the SEC at http://www.sec.gov, or by
request directed to Cathay General Bancorp, 9650 Flair Drive,
El Monte, California 91731,
Attention: Investor Relations (626) 279-3286.
|
|
CATHAY
GENERAL BANCORP
CONSOLIDATED
FINANCIAL HIGHLIGHTS
(Unaudited)
|
|
|
|
|
|
|
|
|
|
Three months
ended December 31,
|
|
Year ended
December 31,
|
|
(Dollars in thousands, except
per share data)
|
|
2010
|
|
2009
|
|
%
Change
|
|
2010
|
|
2009
|
%
Change
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
FINANCIAL
PERFORMANCE
|
|
|
|
|
|
|
|
|
|
|
|
|
Net interest income before
provision for credit losses
|
|
$
75,237
|
|
$
73,755
|
|
2
|
|
$
297,906
|
|
$
282,692
|
5
|
|
Provision for credit
losses
|
|
10,000
|
|
91,000
|
|
(89)
|
|
156,900
|
|
307,000
|
(49)
|
|
Net interest
income/(loss) after provision for credit losses
|
|
65,237
|
|
(17,245)
|
|
478
|
|
141,006
|
|
(24,308)
|
680
|
|
Non-interest
income
|
|
16,169
|
|
8,272
|
|
95
|
|
32,251
|
|
78,654
|
(59)
|
|
Non-interest
expense
|
|
56,348
|
|
52,701
|
|
7
|
|
175,711
|
|
183,037
|
(4)
|
|
Income/(loss) before
income tax expense/(benefit)
|
|
25,058
|
|
(61,674)
|
|
141
|
|
(2,454)
|
|
(128,691)
|
(98)
|
|
Income tax
expense/(benefit)
|
|
6,789
|
|
(26,550)
|
|
126
|
|
(14,629)
|
|
(61,912)
|
(76)
|
|
Net
income/(loss)
|
|
18,269
|
|
(35,124)
|
|
152
|
|
12,175
|
|
(66,779)
|
118
|
|
Net income
attributable to noncontrolling interest
|
|
(158)
|
|
(154)
|
|
3
|
|
(610)
|
|
(611)
|
(0)
|
|
Net income/(loss)
attributable to Cathay General Bancorp
|
|
$
18,111
|
|
$
(35,278)
|
|
151
|
|
$
11,565
|
|
$
(67,390)
|
117
|
|
Dividends on preferred
stock
|
|
(4,102)
|
|
(4,089)
|
|
0
|
|
(16,388)
|
|
(16,338)
|
0
|
|
Net income/(loss)
attributable to common stockholders
|
|
$
14,009
|
|
$
(39,367)
|
|
136
|
|
$
(4,823)
|
|
$
(83,728)
|
94
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net income/(loss)
attributable to common stockholders
per common share:
|
|
|
|
|
|
|
|
|
|
|
Basic
|
|
$
0.18
|
|
$
(0.64)
|
|
(128)
|
|
$
(0.06)
|
|
$
(1.59)
|
(96)
|
|
Diluted
|
|
$
0.18
|
|
$
(0.64)
|
|
(128)
|
|
$
(0.06)
|
|
$
(1.59)
|
(96)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Cash dividends paid per common
share
|
|
$
0.010
|
|
$
0.010
|
|
-
|
|
$
0.040
|
|
$
0.205
|
(80)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
SELECTED RATIOS
|
|
|
|
|
|
|
|
|
|
|
|
|
Return on average
assets
|
|
0.65%
|
|
-1.19%
|
|
(155)
|
|
0.10%
|
|
-0.58%
|
(117)
|
|
Return on average
total stockholders' equity
|
|
4.99%
|
|
-10.45%
|
|
(148)
|
|
0.81%
|
|
-5.20%
|
(116)
|
|
Efficiency
ratio
|
|
61.65%
|
|
64.25%
|
|
(4)
|
|
53.22%
|
|
50.65%
|
5
|
|
Dividend payout
ratio
|
|
4.34%
|
|
n/m
|
*
|
|
|
27.16%
|
|
n/m
|
|
|
* n/m, not meaningful
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
YIELD ANALYSIS (Fully taxable
equivalent)
|
|
|
|
|
|
|
|
|
|
|
|
|
Total
interest-earning assets
|
|
4.52%
|
|
4.66%
|
|
(3)
|
|
4.55%
|
|
4.90%
|
(7)
|
|
Total
interest-bearing liabilities
|
|
1.99%
|
|
2.35%
|
|
(15)
|
|
2.11%
|
|
2.63%
|
(20)
|
|
Net interest
spread
|
|
2.53%
|
|
2.31%
|
|
10
|
|
2.44%
|
|
2.27%
|
7
|
|
Net interest
margin
|
|
2.88%
|
|
2.65%
|
|
9
|
|
2.77%
|
|
2.62%
|
6
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
CAPITAL RATIOS
|
|
December 31,
2010
|
|
December 31,
2009
|
|
September
30, 2010
|
|
Well
Capitalized Requirements
|
|
Minimum
Regulatory Requirements
|
|
|
Tier 1
risk-based capital ratio
|
|
15.37%
|
|
13.55%
|
|
14.95%
|
|
6.0%
|
|
4.0%
|
|
|
Total
risk-based capital ratio
|
|
17.27%
|
|
15.43%
|
|
16.85%
|
|
10.0%
|
|
8.0%
|
|
|
Tier 1
leverage capital ratio
|
|
11.44%
|
|
9.64%
|
|
10.93%
|
|
5.0%
|
|
4.0%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
CATHAY
GENERAL BANCORP
CONDENSED
CONSOLIDATED BALANCE SHEETS
(Unaudited)
|
|
(In thousands, except share and
per share data)
|
|
December 31, 2010
|
|
December 31,
2009
|
|
%
change
|
|
|
|
|
|
|
|
|
|
Assets
|
|
|
|
|
|
|
|
Cash and due from
banks
|
|
$
87,347
|
|
$
100,124
|
|
(13)
|
|
Short-term investments and
interest bearing deposits
|
|
206,321
|
|
254,726
|
|
(19)
|
|
Securities purchased under
agreements to resell
|
|
110,000
|
|
-
|
|
100
|
|
Securities held-to-maturity
(market value of $837,372 in 2010 and $628,908 in 2009)
|
|
840,102
|
|
635,015
|
|
32
|
|
Securities available-for-sale
(amortized cost of $2,005,330 in 2010 and $2,916,491 in
2009)
|
|
2,003,567
|
|
2,915,099
|
|
(31)
|
|
Trading securities
|
|
3,818
|
|
18
|
|
21,111
|
|
Loans held for sale
|
|
2,873
|
|
54,826
|
|
(95)
|
|
Loans
|
|
6,868,621
|
|
6,899,142
|
|
(0)
|
|
Less: Allowance for
loan losses
|
|
(245,231)
|
|
(211,889)
|
|
16
|
|
Unamortized
deferred loan fees, net
|
|
(7,621)
|
|
(8,339)
|
|
(9)
|
|
Loans,
net
|
|
6,615,769
|
|
6,678,914
|
|
(1)
|
|
Federal Home Loan Bank
stock
|
|
63,873
|
|
71,791
|
|
(11)
|
|
Other real estate owned,
net
|
|
77,740
|
|
71,014
|
|
9
|
|
Affordable housing investments,
net
|
|
88,472
|
|
95,853
|
|
(8)
|
|
Premises and equipment,
net
|
|
109,456
|
|
108,635
|
|
1
|
|
Customers' liability on
acceptances
|
|
14,014
|
|
26,554
|
|
(47)
|
|
Accrued interest
receivable
|
|
35,382
|
|
35,982
|
|
(2)
|
|
Goodwill
|
|
316,340
|
|
316,340
|
|
-
|
|
Other intangible assets,
net
|
|
17,044
|
|
23,157
|
|
(26)
|
|
Other assets
|
|
209,868
|
|
200,184
|
|
5
|
|
|
|
|
|
|
|
|
|
Total
assets
|
|
$
10,801,986
|
|
$
11,588,232
|
|
(7)
|
|
|
|
|
|
|
|
|
|
Liabilities and Stockholders'
Equity
|
|
|
|
|
|
|
|
Deposits
|
|
|
|
|
|
|
|
Non-interest-bearing
demand deposits
|
|
$
930,300
|
|
$
864,551
|
|
8
|
|
Interest-bearing
deposits:
|
|
|
|
|
|
|
|
NOW
deposits
|
|
418,703
|
|
337,304
|
|
24
|
|
Money market
deposits
|
|
982,617
|
|
943,164
|
|
4
|
|
Savings
deposits
|
|
385,245
|
|
347,724
|
|
11
|
|
Time
deposits under $100,000
|
|
1,081,266
|
|
1,529,954
|
|
(29)
|
|
Time
deposits of $100,000 or more
|
|
3,193,715
|
|
3,482,343
|
|
(8)
|
|
Total
deposits
|
|
6,991,846
|
|
7,505,040
|
|
(7)
|
|
|
|
|
|
|
|
|
|
Securities sold under agreements
to repurchase
|
|
1,561,000
|
|
1,557,000
|
|
0
|
|
Advances from the Federal Home
Loan Bank
|
|
550,000
|
|
929,362
|
|
(41)
|
|
Other borrowings from financial
institutions
|
|
8,465
|
|
7,212
|
|
17
|
|
Other borrowings for affordable
housing investments
|
|
19,111
|
|
19,320
|
|
(1)
|
|
Long-term debt
|
|
171,136
|
|
171,136
|
|
-
|
|
Acceptances
outstanding
|
|
14,014
|
|
26,554
|
|
(47)
|
|
Other liabilities
|
|
50,309
|
|
59,864
|
|
(16)
|
|
Total
liabilities
|
|
9,365,881
|
|
10,275,488
|
|
(9)
|
|
Commitments and
contingencies
|
|
-
|
|
-
|
|
-
|
|
Stockholders' Equity
|
|
|
|
|
|
|
|
Preferred stock,
10,000,000 shares authorized, 258,000 issued and outstanding in
2010 and 2009
|
|
247,455
|
|
243,967
|
|
1
|
|
|
|
|
|
|
|
|
|
Common
stock, $0.01 par value, 100,000,000 shares authorized, 82,739,348
issued and 78,531,783 outstanding at December 31, 2010, and
67,667,155 issued and 63,459,590 outstanding at December 31,
2009
|
|
827
|
|
677
|
|
22
|
|
|
|
|
|
|
|
|
|
Additional
paid-in-capital
|
|
762,509
|
|
634,623
|
|
20
|
|
Accumulated other
comprehensive income/(loss), net
|
|
(1,022)
|
|
(875)
|
|
(17)
|
|
Retained
earnings
|
|
543,625
|
|
551,588
|
|
(1)
|
|
Treasury
stock, at cost (4,207,565 shares at December 31, 2010, and at
December 31, 2009)
|
|
(125,736)
|
|
(125,736)
|
|
-
|
|
|
|
|
|
|
|
|
|
Total Cathay General
Bancorp stockholders' equity
|
|
1,427,658
|
|
1,304,244
|
|
9
|
|
Noncontrolling
interest
|
|
8,447
|
|
8,500
|
|
(1)
|
|
Total equity
|
|
1,436,105
|
|
1,312,744
|
|
9
|
|
Total liabilities and
equity
|
|
$
10,801,986
|
|
$
11,588,232
|
|
(7)
|
|
|
|
|
|
|
|
|
|
Book value per common stock
share
|
|
$14.80
|
|
$16.49
|
|
(10)
|
|
Number of common stock shares
outstanding
|
|
78,531,783
|
|
63,459,590
|
|
24
|
|
|
|
|
|
|
|
|
|
|
CATHAY
GENERAL BANCORP
CONDENSED
CONSOLIDATED STATEMENTS OF OPERATIONS
(Unaudited)
|
|
|
|
Three months
ended December 31,
|
|
Year ended
December 31,
|
|
|
|
2010
|
2009
|
|
2010
|
2009
|
|
|
|
(In
thousands, except share and per share data)
|
|
|
INTEREST AND DIVIDEND
INCOME
|
|
|
|
|
|
|
|
Loan receivable, including loan
fees
|
|
$
94,585
|
$
99,599
|
|
$
380,662
|
$
401,831
|
|
Investment securities-
taxable
|
|
22,780
|
29,835
|
|
106,568
|
123,939
|
|
Investment securities-
nontaxable
|
|
659
|
168
|
|
854
|
788
|
|
Federal Home Loan Bank
stock
|
|
66
|
-
|
|
237
|
149
|
|
Federal funds sold and
securities
|
|
|
|
|
|
|
|
purchased under agreements to
resell
|
|
14
|
13
|
|
14
|
1,351
|
|
Deposits with banks
|
|
228
|
423
|
|
1,259
|
673
|
|
|
|
|
|
|
|
|
|
Total interest and dividend
income
|
|
118,332
|
130,038
|
|
489,594
|
528,731
|
|
|
|
|
|
|
|
|
|
INTEREST EXPENSE
|
|
|
|
|
|
|
|
Time deposits of $100,000 or
more
|
|
11,801
|
18,012
|
|
54,219
|
83,349
|
|
Other deposits
|
|
6,254
|
10,011
|
|
29,943
|
50,207
|
|
Securities sold under agreements
to repurchase
|
|
16,672
|
16,655
|
|
66,141
|
65,182
|
|
Advances from Federal Home Loan
Bank
|
|
7,417
|
10,661
|
|
37,527
|
42,442
|
|
Long-term debt
|
|
950
|
944
|
|
3,852
|
4,835
|
|
Short-term borrowings
|
|
1
|
-
|
|
6
|
24
|
|
|
|
|
|
|
|
|
|
Total interest
expense
|
|
43,095
|
56,283
|
|
191,688
|
246,039
|
|
|
|
|
|
|
|
|
|
Net interest income before
provision for credit losses
|
|
75,237
|
73,755
|
|
297,906
|
282,692
|
|
Provision for credit
losses
|
|
10,000
|
91,000
|
|
156,900
|
307,000
|
|
|
|
|
|
|
|
|
|
Net interest income/(loss) after
provision for loan losses
|
|
65,237
|
(17,245)
|
|
141,006
|
(24,308)
|
|
|
|
|
|
|
|
|
|
NON-INTEREST
INCOME
|
|
|
|
|
|
|
|
Securities gains, net
|
|
9,583
|
3,325
|
|
18,695
|
55,644
|
|
Letters of credit
commissions
|
|
1,186
|
1,057
|
|
4,466
|
4,216
|
|
Depository service
fees
|
|
1,350
|
1,266
|
|
5,220
|
5,206
|
|
Other operating
income
|
|
4,050
|
2,624
|
|
3,870
|
13,588
|
|
|
|
|
|
|
|
|
|
Total non-interest
income
|
|
16,169
|
8,272
|
|
32,251
|
78,654
|
|
|
|
|
|
|
|
|
|
NON-INTEREST
EXPENSE
|
|
|
|
|
|
|
|
Salaries and employee
benefits
|
|
14,390
|
14,426
|
|
58,835
|
60,795
|
|
Occupancy expense
|
|
1,756
|
3,983
|
|
12,188
|
16,109
|
|
Computer and equipment
expense
|
|
2,098
|
1,918
|
|
8,230
|
7,856
|
|
Professional services
expense
|
|
3,531
|
6,407
|
|
17,630
|
16,428
|
|
FDIC and State
assessments
|
|
4,022
|
4,014
|
|
19,549
|
19,386
|
|
Marketing expense
|
|
691
|
440
|
|
3,160
|
2,593
|
|
Other real estate owned
expense
|
|
10,665
|
15,925
|
|
16,011
|
36,075
|
|
Operations of affordable housing
investments
|
|
2,220
|
2,083
|
|
7,611
|
7,338
|
|
Amortization of core deposit
intangibles
|
|
1,482
|
1,547
|
|
5,958
|
6,636
|
|
Cost associated with debt
redemption
|
|
13,352
|
-
|
|
14,261
|
-
|
|
Other operating
expense
|
|
2,141
|
1,958
|
|
12,278
|
9,821
|
|
|
|
|
|
|
|
|
|
Total non-interest
expense
|
|
56,348
|
52,701
|
|
175,711
|
183,037
|
|
|
|
|
|
|
|
|
|
Income/(loss) before income tax
expense/(benefit)
|
|
25,058
|
(61,674)
|
|
(2,454)
|
(128,691)
|
|
Income tax
expense/(benefit)
|
|
6,789
|
(26,550)
|
|
(14,629)
|
(61,912)
|
|
Net income/(loss)
|
|
18,269
|
(35,124)
|
|
12,175
|
(66,779)
|
|
Less: net income
attributable to noncontrolling interest
|
|
(158)
|
(154)
|
|
(610)
|
(611)
|
|
Net income/(loss) attributable
to Cathay General Bancorp
|
|
18,111
|
(35,278)
|
|
11,565
|
(67,390)
|
|
|
|
|
|
|
|
|
|
Dividends on preferred
stock
|
|
(4,102)
|
(4,089)
|
|
(16,388)
|
(16,338)
|
|
Net income/(loss) attributable
to common stockholders
|
|
$
14,009
|
$
(39,367)
|
|
$
(4,823)
|
$
(83,728)
|
|
|
|
|
|
|
|
|
|
Net income/(loss) attributable
to common stockholders per common share:
|
|
|
|
|
|
|
|
Basic
|
|
$
0.18
|
$
(0.64)
|
|
$
(0.06)
|
$
(1.59)
|
|
Diluted
|
|
$
0.18
|
$
(0.64)
|
|
$
(0.06)
|
$
(1.59)
|
|
|
|
|
|
|
|
|
|
Cash dividends paid per common
share
|
|
$
0.010
|
$
0.010
|
|
$
0.040
|
$
0.205
|
|
Basic average common shares
outstanding
|
|
78,527,427
|
61,146,538
|
|
77,073,954
|
52,629,159
|
|
Diluted average common shares
outstanding
|
|
78,528,630
|
61,146,538
|
|
77,074,339
|
52,629,159
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
CATHAY
GENERAL BANCORP
AVERAGE
BALANCES – SELECTED CONSOLIDATED FINANCIAL
INFORMATION
(Unaudited)
|
|
|
Three months
ended,
|
|
|
(In thousands)
|
December 31,
2010
|
|
December 31,
2009
|
|
September
30, 2010
|
|
|
|
|
|
|
|
|
|
|
|
Interest-earning
assets
|
Average
Balance
|
Average
Yield/Rate (1) (2)
|
|
Average
Balance
|
Average
Yield/Rate (1) (2)
|
|
Average
Balance
|
Average
Yield/Rate (1) (2)
|
|
Loans and leases (1)
|
$ 6,890,269
|
5.45%
|
|
$ 7,056,871
|
5.60%
|
|
$ 6,880,590
|
5.49%
|
|
Taxable investment
securities
|
3,126,869
|
2.89%
|
|
3,341,762
|
3.54%
|
|
3,368,420
|
2.91%
|
|
Tax-exempt investment securities
(2)
|
84,929
|
4.74%
|
|
15,324
|
6.68%
|
|
2,130
|
5.22%
|
|
FHLB stock
|
65,162
|
0.40%
|
|
71,791
|
0.00%
|
|
67,855
|
0.45%
|
|
Federal funds sold and
securities purchased
|
|
|
|
|
|
|
|
|
|
under agreements to
resell
|
27,500
|
0.20%
|
|
44,185
|
0.12%
|
|
-
|
-
|
|
Deposits with banks
|
215,579
|
0.42%
|
|
541,845
|
0.31%
|
|
293,015
|
0.55%
|
|
|
|
|
|
|
|
|
|
|
|
Total
interest-earning assets
|
$10,410,308
|
4.52%
|
|
$11,071,778
|
4.66%
|
|
$10,612,010
|
4.51%
|
|
|
|
|
|
|
|
|
|
|
|
Interest-bearing
liabilities
|
|
|
|
|
|
|
|
|
|
Interest-bearing demand
deposits
|
$
416,344
|
0.20%
|
|
$
333,583
|
0.32%
|
|
$
400,750
|
0.20%
|
|
Money market
|
1,023,787
|
0.85%
|
|
996,423
|
1.30%
|
|
972,665
|
0.87%
|
|
Savings deposits
|
381,940
|
0.14%
|
|
376,949
|
0.21%
|
|
374,113
|
0.17%
|
|
Time deposits
|
4,369,433
|
1.41%
|
|
5,120,702
|
1.88%
|
|
4,491,273
|
1.49%
|
|
Total
interest-bearing deposits
|
$ 6,191,504
|
1.16%
|
|
$ 6,827,657
|
1.63%
|
|
$ 6,238,801
|
1.23%
|
|
Securities sold under agreements
to repurchase
|
1,561,864
|
4.23%
|
|
1,553,522
|
4.25%
|
|
1,558,625
|
4.24%
|
|
Other borrowed funds
|
675,280
|
4.36%
|
|
953,545
|
4.44%
|
|
892,652
|
4.49%
|
|
Long-term debt
|
171,136
|
2.20%
|
|
171,136
|
2.19%
|
|
171,136
|
2.42%
|
|
Total
interest-bearing liabilities
|
8,599,784
|
1.99%
|
|
9,505,860
|
2.35%
|
|
8,861,214
|
2.11%
|
|
|
|
|
|
|
|
|
|
|
|
Non-interest-bearing demand
deposits
|
969,014
|
|
|
851,664
|
|
|
916,345
|
|
|
Total deposits and
other borrowed funds
|
$ 9,568,798
|
|
|
$10,357,524
|
|
|
$ 9,777,559
|
|
|
Total average assets
|
$11,087,902
|
|
|
$11,790,703
|
|
|
$11,300,183
|
|
|
Total average equity
|
$ 1,447,423
|
|
|
$ 1,347,477
|
|
|
$ 1,446,643
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Year
ended,
|
|
(In thousands)
|
December 31,
2010
|
|
December 31,
2009
|
|
|
|
|
|
|
|
|
Interest-earning
assets
|
Average
Balance
|
Average
Yield/Rate (1) (2)
|
|
Average
Balance
|
Average
Yield/Rate (1) (2)
|
|
Loans and leases (1)
|
$ 6,898,876
|
5.52%
|
|
$ 7,266,254
|
5.53%
|
|
Taxable investment
securities
|
3,475,307
|
3.07%
|
|
3,216,516
|
3.85%
|
|
Tax-exempt investment securities
(2)
|
28,210
|
4.66%
|
|
18,996
|
6.38%
|
|
FHLB stock
|
68,780
|
0.34%
|
|
71,798
|
0.21%
|
|
Federal funds sold and
securities purchased
|
|
|
|
|
|
|
under agreements to
resell
|
6,932
|
0.20%
|
|
58,482
|
2.31%
|
|
Deposits with banks
|
300,471
|
0.42%
|
|
174,939
|
0.38%
|
|
|
|
|
|
|
|
|
Total
interest-earning assets
|
$10,778,576
|
4.55%
|
|
$10,806,985
|
4.90%
|
|
|
|
|
|
|
|
|
Interest-bearing
liabilities
|
|
|
|
|
|
|
Interest-bearing demand
deposits
|
$
397,434
|
0.23%
|
|
$
295,770
|
0.36%
|
|
Money market deposits
|
966,888
|
0.90%
|
|
890,427
|
1.49%
|
|
Savings deposits
|
369,190
|
0.19%
|
|
338,781
|
0.24%
|
|
Time deposits
|
4,765,632
|
1.55%
|
|
5,084,309
|
2.33%
|
|
Total interest-bearing
deposits
|
$ 6,499,144
|
1.29%
|
|
$ 6,609,287
|
2.02%
|
|
Federal funds
purchased
|
-
|
-
|
|
8,392
|
0.27%
|
|
Securities sold under agreements
to repurchase
|
1,560,215
|
4.24%
|
|
1,562,447
|
4.17%
|
|
Other borrowed funds
|
843,321
|
4.45%
|
|
997,277
|
4.26%
|
|
Long-term debt
|
171,136
|
2.25%
|
|
171,136
|
2.83%
|
|
Total
interest-bearing liabilities
|
9,073,816
|
2.11%
|
|
9,348,539
|
2.63%
|
|
|
|
|
|
|
|
|
Non-interest-bearing demand
deposits
|
911,351
|
|
|
781,391
|
|
|
Total deposits and
other borrowed funds
|
$ 9,985,167
|
|
|
$10,129,930
|
|
|
|
|
|
|
|
|
|
Total average assets
|
$11,489,165
|
|
|
$11,544,807
|
|
|
Total average equity
|
$ 1,430,433
|
|
|
$ 1,303,575
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(1) Yields and interest earned
include net loan fees. Non-accrual loans are included in the
average balance.
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(2) The average yield has been
adjusted to a fully taxable-equivalent basis for certain securities
of states and political subdivisions and other securities held
using a statutory Federal income tax rate of 35%.
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SOURCE Cathay General Bancorp