LOS ANGELES, Oct. 19, 2011 /PRNewswire/ -- Cathay General
Bancorp (the "Company", NASDAQ: CATY), the holding company for
Cathay Bank (the "Bank"), today announced results for the third
quarter of 2011.
FINANCIAL PERFORMANCE
|
Third
Quarter
|
|
|
2011
|
|
2010
|
|
Net income
|
$26.1 million
|
|
$17.3 million
|
|
Net income available to common
stockholders
|
$22.0 million
|
|
$13.2 million
|
|
Basic earnings per common
share
|
$0.28
|
|
$0.17
|
|
Diluted earnings per common
share
|
$0.28
|
|
$0.17
|
|
Return on average
assets
|
0.98%
|
|
0.61%
|
|
Return on average total
stockholders' equity
|
6.91%
|
|
4.76%
|
|
Efficiency ratio
|
49.48%
|
|
45.17%
|
|
|
|
|
|
THIRD QUARTER HIGHLIGHTS
- Improved profitability – Third quarter net income was
$26.1 million compared to net income
of $24.3 million in the second
quarter of 2011 and net income of $17.3
million in the same quarter a year ago.
- Strong growth in commercial loans – Commercial loans increased
$183.9 million during the third
quarter of 2011 and $379.9 million
during the nine months of 2011.
- Decline in non-accrual loans – At September 30, 2011, total non-accrual portfolio
loans, excluding non-accrual loans held for sale, were $192.7 million, an decrease of $49.6 million, or 20.5%, from $242.3 million at December
31, 2010, and a decrease of $63.7
million, or 24.8%, from $256.4
million at June 30, 2011.
"We are pleased to see a significant reduction in the amount of
nonaccrual loans during the third quarter as we continue to improve
the quality of our loan portfolio. Commercial loan growth of
11% for the quarter and 26% for the year to date reflect both
increased business from our existing customers as well as the
addition of new borrowers," commented Dunson Cheng, Chairman of the Board, Chief
Executive Officer, and President of the Company.
"Our net interest margin increased to 3.32% during the third
quarter due mainly to a decrease in wholesale borrowings. We expect
continued steady improvement in the net interest margin in the
future as the rate on our deposits reprice to current market
levels," said Peter Wu, Executive
Vice Chairman and Chief Operating Officer.
"We are optimistic that our commercial loans portfolio will
continue to grow and become a larger proportion of our overall loan
portfolio. We are hopeful that our profitability will
approach our historical levels over the course of time," concluded
Dunson Cheng.
INCOME STATEMENT REVIEW
Net income available to common stockholders for the quarter
ended September 30, 2011, was
$22.0 million, an increase of
$8.8 million compared to a net income
available to common stockholders of $13.2
million for the same quarter a year ago. Diluted
earnings per share available to common stockholders for the quarter
ended September 30, 2011, was
$0.28 compared to a diluted earnings
per share of $0.17 for the same
quarter a year ago due primarily to decreases in the provision for
credit losses, decreases in net losses from interest rate swaps,
increases in gains on sales of securities, decreases in Federal
Deposit Insurance Corporation ("FDIC") assessments, and increases
in net interest income which were partially offset by prepayment
penalties on the repayment of Federal Home Loan Bank ("FHLB")
advances, increases in other real estate owned ("OREO") expenses
and increases in incentive compensation accruals.
Return on average stockholders' equity was 6.91% and return on
average assets was 0.98% for the quarter ended September 30, 2011, compared to a return on
average stockholders' equity of 4.76% and a return on average
assets of 0.61% for the same quarter a year ago.
Net interest income before provision for credit
losses
Net interest income before provision for credit losses increased
$7.7 million, or 10.4%, to
$81.0 million during the third
quarter of 2011 compared to $73.3
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
and securities sold under agreement to repurchase.
The net interest margin, on a fully taxable-equivalent basis,
was 3.32% for the third quarter of 2011, an increase of 13 basis
points from 3.19% for the second quarter of 2011, and an increase
of 58 basis points from 2.74% for the third quarter of 2010.
The decrease in the rate on interest bearing deposits and the
prepayment of FHLB advances and decreases in securities sold under
agreement to repurchase contributed to the increase in the net
interest margin from the same quarter a year ago.
For the third quarter of 2011, the yield on average
interest-earning assets was 4.68%, on a fully taxable-equivalent
basis, the cost of funds on average interest-bearing liabilities
equaled 1.66%, and the cost of interest bearing deposits was 0.99%.
In comparison, for the third quarter of 2010, the yield on
average interest-earning assets was 4.51%, on a fully
taxable-equivalent basis, cost of funds on average interest-bearing
liabilities equaled 2.11%, and the cost of interest bearing
deposits was 1.23%. 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 62
basis points to 3.02% for the third quarter ended September 30, 2011, from 2.40% for the same
quarter a year ago, primarily due to the reasons discussed
above.
The cost of deposits, including demand deposits, decreased 6
basis points to 0.85% in the third quarter of 2011 compared to
0.91% in the second quarter of 2011 and decreased 22 basis points
from 1.07% in the third quarter of 2010 due primarily to the
decrease in the rates paid on certificates of deposit upon renewal
and on money market accounts.
Provision for credit losses
The provision for credit losses was $9.0
million for the third quarter of 2011 compared to
$10.0 million for the second quarter
of 2011 and to $17.9 million in the
third quarter of 2010. The provision for credit losses was
based on the review of the adequacy of the allowance for loan
losses at September 30, 2011. 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 indicated:
|
For the
three months ended September 30,
|
|
For the nine
months ended September 30,
|
|
|
2011
|
|
2010
|
|
2011
|
|
2010
|
|
|
(In
thousands)
|
|
Charge-offs:
|
|
|
|
|
|
|
|
|
Commercial
loans
|
$
1,219
|
|
$
5,588
|
|
$
11,215
|
|
$
17,501
|
|
Construction loans-
residential
|
10,923
|
|
5,170
|
|
18,349
|
|
15,979
|
|
Construction loans-
other
|
12,616
|
|
3,844
|
|
16,045
|
|
22,234
|
|
Real estate loans
(1)
|
5,560
|
|
(393)
|
|
24,119
|
|
37,677
|
|
Real estate- land
loans
|
522
|
|
7,138
|
|
1,008
|
|
19,820
|
|
Total
charge-offs
|
30,840
|
|
21,347
|
|
70,736
|
|
113,211
|
|
Recoveries:
|
|
|
|
|
|
|
|
|
Commercial
loans
|
513
|
|
963
|
|
1,568
|
|
3,332
|
|
Construction loans-
residential
|
6
|
|
1,909
|
|
3,667
|
|
4,405
|
|
Construction loans-
other
|
402
|
|
36
|
|
629
|
|
453
|
|
Real estate loans
(1)
|
426
|
|
8
|
|
2,665
|
|
930
|
|
Real estate- land
loans
|
25
|
|
421
|
|
618
|
|
463
|
|
Installment and other
loans
|
-
|
|
-
|
|
-
|
|
2
|
|
Total
recoveries
|
1,372
|
|
3,337
|
|
9,147
|
|
9,585
|
|
Net charge-offs
|
$
29,468
|
|
$
18,010
|
|
$
61,589
|
|
$
103,626
|
|
|
|
|
|
|
|
|
|
|
(1) Real estate loans include
commercial mortgage loans, residential mortgage loans and equity
lines.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
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 $16.8
million for the third quarter of 2011, an increase of
$12.9 million, or 333%, compared to
non-interest income of $3.9 million
for the third quarter of 2010. The increase in non-interest income
in the third quarter of 2011 was primarily due to increases of
$8.3 million from gains on sale of
securities and $1.6 million from sale
of loans and decreases of $3.2
million in losses from interest rate swaps.
Non-interest expense
Non-interest expense increased $13.5
million, or 38.7%, to $48.4
million in the third quarter of 2011 compared to
$34.9 million in the same quarter a
year ago. The efficiency ratio was 49.48% in the third
quarter of 2011 compared to 45.17% for the same quarter a year ago
due primarily to increases in salaries and incentive compensation
expense, increases in OREO expenses, and higher prepayment
penalties from prepayment of FHLB advances.
Prepayment penalties from prepaying $100
million of FHLB advances were $4.5
million in the third quarter of 2011 compared to none in the
same quarter a year ago. Salaries and employee benefits
increased $3.1 million to
$17.5 million in the third quarter of
2011 compared to $14.4 million in the
same quarter a year ago primarily due to increases in incentive
compensation and the hiring of new employees. OREO expense
increased to $6.1 million in the
third quarter of 2011 compared to $453,000 in the third quarter of 2010 primarily
due to increases of $2.9 million in
2011 from OREO write-downs and decreases of $2.7 million compared to 2010 in gains from OREO.
Occupancy expense increased $913,000 primarily due to a correction in the
depreciation life for certain components of our administrative
office building made in 2010. Operation expense on affordable
housing investments also increased $936,000 primarily due to prior year adjustments
made in the third quarter of 2010. Offsetting the above
increases was a decrease of $2.0
million in FDIC assessments primarily due to the change in
the FDIC insurance assessment methodology that became effective on
April 1, 2011.
Income taxes
The effective tax rate for the third quarter of 2011 was 35.2%
compared to 28.9% in the third quarter of 2010. The effective
tax rate includes the impact of the utilization of low income
housing tax credits during the third quarter of 2011.
BALANCE SHEET REVIEW
Total assets were $10.5 billion at
September 30, 2011, a decrease of
$302.9 million, or 2.8%, from
$10.8 billion at December 31, 2010, primarily due to the decrease
of $550.6 million in investment
securities offset by increases of $148.5
million in gross loans and $153.2
million in trading securities.
Gross loans, excluding loans held for sale, were $7.02 billion at September
30, 2011, an increase of $148.5
million, or 2.2%, from $6.87
billion at December 31, 2010,
primarily due to an increase of $379.9
million, or 26.4%, in commercial loans and an increase of
$114.9 million, or 13.5%, in
residential mortgage loans offset by a decrease of $161.0 million, or 39.3%, in construction loans,
and a decrease of $191.5 million, or
4.9%, in commercial real estate loans. The changes in loan
composition from December 31, 2010,
are presented below:
Type of Loans:
|
September
30, 2011
|
|
December 31,
2010
|
|
%
Change
|
|
|
(Dollars in
thousands)
|
|
|
|
Commercial loans
|
$
1,821,059
|
|
$
1,441,167
|
|
26
|
|
Residential mortgage
loans
|
967,396
|
|
852,454
|
|
13
|
|
Commercial mortgage
loans
|
3,748,524
|
|
3,940,061
|
|
(5)
|
|
Equity lines
|
215,315
|
|
208,876
|
|
3
|
|
Real estate construction
loans
|
249,003
|
|
409,986
|
|
(39)
|
|
Installment & other
loans
|
15,845
|
|
16,077
|
|
(1)
|
|
|
|
|
|
|
|
|
Gross loans
|
$
7,017,142
|
|
$
6,868,621
|
|
2
|
|
|
|
|
|
|
|
|
Allowance for loan
losses
|
(209,116)
|
|
(245,231)
|
|
(15)
|
|
Unamortized deferred loan
fees
|
(8,360)
|
|
(7,621)
|
|
10
|
|
|
|
|
|
|
|
|
Total loans and leases,
net
|
$
6,799,666
|
|
$
6,615,769
|
|
3
|
|
Loans held for sale
|
$
1,276
|
|
$
2,873
|
|
(56)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total deposits were $7.1 billion
at September 30, 2011, an increase of
$133.3 million, or 1.9%, from
$7.0 billion at December 31, 2010, primarily due to a
$214.5 million, or 6.7%, increase in
time deposits of $100,000 or more, a
$96.9 million, or 10.4%, increase in
non-interest-bearing demand deposits, and a $40.8 million, or 10.6%, increase in saving
deposits offset by a $46.2 million,
or 4.7%, decrease in money market deposits and a $189.9 million, or 17.6%, decrease in time
deposits under $100,000. The
changes in deposit composition from December
31, 2010, are presented below:
Deposits
|
September
30, 2011
|
|
December 31,
2010
|
|
%
Change
|
|
|
(Dollars in
thousands)
|
|
|
|
Non-interest-bearing demand
deposits
|
$
1,027,178
|
|
$
930,300
|
|
10
|
|
NOW deposits
|
435,860
|
|
418,703
|
|
4
|
|
Money market deposits
|
936,449
|
|
982,617
|
|
(5)
|
|
Saving deposits
|
426,000
|
|
385,245
|
|
11
|
|
Time deposits under
$100,000
|
891,390
|
|
1,081,266
|
|
(18)
|
|
Time deposits of $100,000 or
more
|
3,408,247
|
|
3,193,715
|
|
7
|
|
Total deposits
|
$
7,125,124
|
|
$
6,991,846
|
|
2
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
ASSET QUALITY REVIEW
At September 30, 2011, total
non-accrual portfolio loans, excluding non-accrual loans held for
sale, were $192.7 million, an
decrease of $49.6 million, or 20.5%,
from $242.3 million at December 31, 2010, and a decrease of $91.0 million, or 32.1%, from $283.7 million at September 30, 2010.
The allowance for loan losses was $209.1
million and the allowance for off-balance sheet unfunded
credit commitments was $1.9 million
at September 30, 2011, and
represented the amount believed by management to be sufficient to
absorb credit losses inherent in the 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 $211.0
million at September 30, 2011,
compared to $247.6 million at
December 31, 2010, a decrease of
$36.6 million, or 14.8%. The
allowance for credit losses represented 3.01% of period-end gross
loans, excluding loans held for sale, and 102.5% of non-performing
portfolio loans at September 30,
2011. The comparable ratios were 3.60% of period-end
gross loans and 100.1% of non-performing loans at December 31, 2010. Results of the changes
from December 31, 2010, and
June 30, 2011, to September 30, 2011, of the Company's
non-performing assets and troubled debt restructurings are
highlighted below:
(Dollars in
thousands)
|
September
30, 2011
|
|
December 31,
2010
|
|
%
Change
|
|
June 30,
2011
|
|
%
Change
|
|
Non-performing
assets
|
|
|
|
|
|
|
|
|
|
|
Accruing loans past due 90 days
or more
|
$
13,053
|
|
$
5,006
|
|
161
|
|
$
-
|
|
100
|
|
Non-accrual loans:
|
|
|
|
|
|
|
|
|
|
|
Construction- residential
loans
|
28,386
|
|
25,251
|
|
12
|
|
41,030
|
|
(31)
|
|
Construction-
non-residential loans
|
21,611
|
|
28,686
|
|
(25)
|
|
29,419
|
|
(27)
|
|
Land loans
|
13,355
|
|
21,923
|
|
(39)
|
|
14,209
|
|
(6)
|
|
Commercial real estate
loans, excluding land loans
|
83,983
|
|
122,672
|
|
(32)
|
|
122,092
|
|
(31)
|
|
Commercial
loans
|
29,723
|
|
31,499
|
|
(6)
|
|
34,350
|
|
(13)
|
|
Residential mortgage
loans
|
15,656
|
|
12,288
|
|
27
|
|
15,319
|
|
2
|
|
Total non-accrual
loans:
|
$
192,714
|
|
$
242,319
|
|
(20)
|
|
$
256,419
|
|
(25)
|
|
Total non-performing
loans
|
205,767
|
|
247,325
|
|
(17)
|
|
256,419
|
|
(20)
|
|
Other real estate
owned
|
94,308
|
|
77,740
|
|
21
|
|
74,233
|
|
27
|
|
Total non-performing
assets
|
$
300,075
|
|
$
325,065
|
|
(8)
|
|
$
330,652
|
|
(9)
|
|
Accruing troubled
debt restructurings (TDRs)
|
$
126,270
|
|
$
136,800
|
|
(8)
|
|
$
116,327
|
|
9
|
|
Non-accrual loans held for
sale
|
$
1,276
|
|
$
2,873
|
|
(56)
|
|
$
1,637
|
|
(22)
|
|
|
|
|
|
|
|
|
|
|
|
|
Allowance for loan
losses
|
$
209,116
|
|
$
245,231
|
|
(15)
|
|
$
229,900
|
|
(9)
|
|
Allowance for off-balance sheet
credit commitments
|
1,863
|
|
2,337
|
|
(20)
|
|
1,547
|
|
20
|
|
Allowance for credit
losses
|
$
210,979
|
|
$
247,568
|
|
(15)
|
|
$
231,447
|
|
(9)
|
|
|
|
|
|
|
|
|
|
|
|
|
Total gross loans outstanding,
at period-end (1)
|
$7,017,142
|
|
$6,868,621
|
|
2
|
|
$6,922,157
|
|
1
|
|
|
|
|
|
|
|
|
|
|
|
|
Allowance for loan losses to
non-performing loans, at period-end (2)
|
101.63%
|
|
99.15%
|
|
|
|
89.66%
|
|
|
|
Allowance for loan losses to
gross loans, at period-end (1)
|
2.98%
|
|
3.57%
|
|
|
|
3.32%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Allowance for credit losses to
non-performing loans, at period-end (2)
|
102.53%
|
|
100.10%
|
|
|
|
90.26%
|
|
|
|
Allowance for credit losses to
gross loans, at period-end (1)
|
3.01%
|
|
3.60%
|
|
|
|
3.34%
|
|
|
|
(1) Excludes loans held for sale
at period-end.
|
|
|
(2) Excludes non-accrual loans
held for sale at period-end.
|
|
|
|
|
|
|
|
|
|
|
|
|
At September 30, 2011, total
residential construction loans were $81.1
million of which $2.1 million
were in Riverside county in
California. At September 30, 2011, total land loans were
$99.6 million, of which $12.6 million were in San Bernardino, Riverside, and Imperial counties in California, $710,000 were in the Central Valley of
California, and $1.7 million were in the state of Nevada.
Troubled debt restructurings on accrual status totaled
$126.3 million at September 30, 2011. These loans are
classified as troubled debt restructurings as a result of granting
a concession to borrowers who are experiencing financial
difficulties. The concessions may be granted in various
forms, including change in the stated interest rate, reduction in
the loan balance or accrued interest, or extension of the maturity
date that causes a significant delay in payment. Although
these loan modifications are considered troubled debt
restructurings under Accounting Standard Codification 310-40 and
Accounting Standard Update 2011-02, 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.
The ratio of non-performing assets, excluding non-accrual loans
held for sale, to total assets was 2.9% at September 30, 2011, compared to 3.0% at
December 31, 2010, and compared to
3.2% at September 30, 2010.
Total non-performing portfolio assets decreased $25.0 million, or 7.7%, to $300.1 million at September 30, 2011, compared to $325.1 million at December
31, 2010, primarily due to a $49.6
million decrease in non-accrual loans offset by a
$16.6 million increase in OREO and by
a $8.0 million increase in accruing
loans past due 90 days or more. Total non-performing
portfolio assets decreased $64.4
million, or 17.7%, to $300.1
million at September 30, 2011,
compared to $364.5 million at
September 30, 2010, primarily due to
a $91.0 million decrease in
non-accrual loans offset by a $14.4
million increase in OREO, and a $12.2
million increase in accruing loans past due 90 days or more.
CAPITAL ADEQUACY REVIEW
At September 30, 2011, the
Company's Tier 1 risk-based capital ratio of 15.83%, total
risk-based capital ratio of 17.72%, and Tier 1 leverage capital
ratio of 12.60%, 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,
2010, the Company's Tier 1 risk-based capital ratio was
15.37%, total risk-based capital ratio was 17.27%, and Tier 1
leverage capital ratio was 11.44%.
YEAR-TO-DATE REVIEW
Net income attributable to common stockholders was $60.1 million, an increase of $78.9 million, or 419%, compared to net loss
attributable to common stockholders of $18.8
million for the same period a year ago due primarily to
decreases in the provision for loan losses, decreases in net losses
from interest rate swaps, decreases in FDIC assessments, increases
in gains on sale of securities, and increases in net interest
income which were partially offset by prepayment penalties on the
repayment of FHLB advances, increases in salaries and incentive
compensation expense, and increases in OREO expense. Diluted
earnings per share was $0.76 compared
to a $0.25 loss per share for the
same period a year ago. The net interest margin for the nine
months ended September 30, 2011,
increased 46 basis points to 3.19% compared to 2.73% for the same
period a year ago.
Return on average stockholders' equity was 6.59% and return on
average assets was 0.91% for the nine months ended September 30, 2011, compared to a negative return
on average stockholders' equity of 0.62% and a negative return on
average assets of 0.08% for the same period of 2010. The
efficiency ratio for the nine months ended September 30, 2011 was 51.24% compared to 49.99%
for the same period a year ago.
CONFERENCE CALL
Cathay General Bancorp will host a conference call this
afternoon to discuss its third quarter 2011 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
1-800-510-0219 and enter Participant Passcode 74486132. 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 of management 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: U.S.
and international economic and market conditions; market disruption
and volatility; current and potential future supervisory action by
bank supervisory authorities and changes in laws and regulations,
or their interpretations; restrictions on dividends and other
distributions by laws and regulations and by our regulators and our
capital structure; credit losses and deterioration in asset or
credit quality; availability of capital; potential goodwill
impairment; liquidity risk; fluctuations in interest rates; past
and future acquisitions; inflation and deflation; success of
expansion, if any, of our business in new markets; the soundness of
other financial institutions; real estate market conditions; our
ability to compete with competitors; increased costs of compliance
and other risks associated with changes in regulations and the
current regulatory environment, including the requirements of the
Dodd-Frank Wall Street Reform and Consumer Protection Act (the
"Dodd-Frank Act"), the potential for substantial changes in the
legal, regulatory, and enforcement framework and oversight
applicable to financial institutions in reaction to adverse
financial market events of recent years, including changes pursuant
to the Dodd-Frank Act; the short term and long term impact of the
Basel II and the proposed Basel III capital standards of the Basel
Committee; our ability to retain key personnel; successful
management of reputational risk; natural disasters and geopolitical
events; general economic or business conditions in California, Asia, and other regions where Cathay Bank has
operations; restrictions on compensation paid to our executives as
a result of our participation in the TARP Capital Purchase
Program; our ability to adapt our information technology systems;
and changes in accounting standards or tax laws and
regulations.
These and other factors are further described in Cathay General
Bancorp's Annual Report on Form 10-K for the year ended
December 31, 2010 (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 September 30,
|
|
Nine months
ended September 30,
|
|
(Dollars in thousands, except
per share data)
|
|
2011
|
|
2010
|
|
%
Change
|
|
2011
|
|
2010
|
%
Change
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
FINANCIAL
PERFORMANCE
|
|
|
|
|
|
|
|
|
|
|
|
|
Net interest income before
provision for credit losses
|
|
$
80,953
|
|
$
73,341
|
|
10
|
|
$
234,373
|
|
$
222,669
|
5
|
|
Provision for credit
losses
|
|
9,000
|
|
17,900
|
|
(50)
|
|
25,000
|
|
146,900
|
(83)
|
|
Net interest income after
provision for credit losses
|
|
71,953
|
|
55,441
|
|
30
|
|
209,373
|
|
75,769
|
176
|
|
Non-interest
income
|
|
16,827
|
|
3,886
|
|
333
|
|
41,906
|
|
16,082
|
161
|
|
Non-interest
expense
|
|
48,383
|
|
34,881
|
|
39
|
|
141,576
|
|
119,363
|
19
|
|
Income/(loss) before
income tax expense
|
|
40,397
|
|
24,446
|
|
65
|
|
109,703
|
|
(27,512)
|
499
|
|
Income tax
expense/(benefit)
|
|
14,162
|
|
7,023
|
|
102
|
|
36,802
|
|
(21,418)
|
272
|
|
Net
income/(loss)
|
|
26,235
|
|
17,423
|
|
51
|
|
72,901
|
|
(6,094)
|
1,296
|
|
Net income
attributable to noncontrolling interest
|
|
(151)
|
|
(151)
|
|
-
|
|
(452)
|
|
(452)
|
-
|
|
Net income/(loss)
attributable to Cathay General Bancorp
|
|
$
26,084
|
|
$
17,272
|
|
51
|
|
$
72,449
|
|
$
(6,546)
|
1,207
|
|
Dividends on preferred
stock
|
|
(4,111)
|
|
(4,098)
|
|
0
|
|
(12,323)
|
|
(12,286)
|
0
|
|
Net income/(loss)
attributable to common stockholders
|
|
$
21,973
|
|
$
13,174
|
|
67
|
|
$
60,126
|
|
$
(18,832)
|
419
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net income/(loss)
attributable to common stockholders per common share:
|
|
|
|
|
|
|
|
|
|
|
Basic
|
|
$
0.28
|
|
$
0.17
|
|
65
|
|
$
0.76
|
|
$
(0.25)
|
404
|
|
Diluted
|
|
$
0.28
|
|
$
0.17
|
|
65
|
|
$
0.76
|
|
$
(0.25)
|
404
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Cash dividends paid per common
share
|
|
$
0.01
|
|
$
0.01
|
|
$
-
|
|
$
0.03
|
|
$
0.03
|
$ -
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
SELECTED RATIOS
|
|
|
|
|
|
|
|
|
|
|
|
|
Return on average
assets
|
|
0.98%
|
|
0.61%
|
|
61
|
|
0.91%
|
|
-0.08%
|
1,238
|
|
Return on average total
stockholders’ equity
|
|
6.91%
|
|
4.76%
|
|
45
|
|
6.59%
|
|
-0.62%
|
1,163
|
|
Efficiency
ratio
|
|
49.48%
|
|
45.17%
|
|
10
|
|
51.24%
|
|
49.99%
|
2
|
|
Dividend payout
ratio
|
|
3.01%
|
|
4.54%
|
|
|
|
3.26%
|
|
n/m
|
*
|
|
* n/m, not meaningful
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
YIELD ANALYSIS (Fully taxable
equivalent)
|
|
|
|
|
|
|
|
|
|
|
|
|
Total interest-earning
assets
|
|
4.68%
|
|
4.51%
|
|
4
|
|
4.65%
|
|
4.55%
|
2
|
|
Total interest-bearing
liabilities
|
|
1.66%
|
|
2.11%
|
|
(21)
|
|
1.77%
|
|
2.15%
|
(18)
|
|
Net interest
spread
|
|
3.02%
|
|
2.40%
|
|
26
|
|
2.88%
|
|
2.40%
|
20
|
|
Net interest
margin
|
|
3.32%
|
|
2.74%
|
|
21
|
|
3.19%
|
|
2.73%
|
17
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
CAPITAL RATIOS
|
|
September
30, 2011
|
|
September
30, 2010
|
|
December 31, 2010
|
|
Well
Capitalized Requirements
|
|
Minimum
Regulatory Requirements
|
|
|
Tier 1 risk-based capital
ratio
|
|
15.83%
|
|
14.95%
|
|
15.37%
|
|
6.0%
|
|
4.0%
|
|
|
Total risk-based capital
ratio
|
|
17.72%
|
|
16.85%
|
|
17.27%
|
|
10.0%
|
|
8.0%
|
|
|
Tier 1 leverage capital
ratio
|
|
12.60%
|
|
10.93%
|
|
11.44%
|
|
5.0%
|
|
4.0%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
CATHAY
GENERAL BANCORP
CONDENSED
CONSOLIDATED BALANCE SHEETS
(Unaudited)
|
|
(In thousands, except share and
per share data)
|
|
September
30, 2011
|
|
December 31, 2010
|
|
%
change
|
|
|
|
|
|
|
|
|
|
Assets
|
|
|
|
|
|
|
|
Cash and due from
banks
|
|
$
208,873
|
|
$
87,347
|
|
139
|
|
Short-term investments and
interest bearing deposits
|
|
33,693
|
|
206,321
|
|
(84)
|
|
Securities purchased under
agreements to resell
|
|
80,000
|
|
110,000
|
|
(27)
|
|
Securities held-to-maturity
(market value of $1,285,926 in 2011
|
|
|
|
|
|
|
|
and $837,359 in
2010)
|
|
1,235,736
|
|
840,102
|
|
47
|
|
Securities available-for-sale
(amortized cost of $1,066,845 in 2011 and
|
|
|
|
|
|
|
|
$2,005,330 in
2010)
|
|
1,057,371
|
|
2,003,567
|
|
(47)
|
|
Trading securities
|
|
156,977
|
|
3,818
|
|
4,011
|
|
Loans held for sale
|
|
1,276
|
|
2,873
|
|
(56)
|
|
Loans
|
|
7,017,142
|
|
6,868,621
|
|
2
|
|
Less: Allowance for
loan losses
|
|
(209,116)
|
|
(245,231)
|
|
(15)
|
|
Unamortized deferred loan
fees, net
|
|
(8,360)
|
|
(7,621)
|
|
10
|
|
Loans, net
|
|
6,799,666
|
|
6,615,769
|
|
3
|
|
Federal Home Loan Bank
stock
|
|
56,175
|
|
63,873
|
|
(12)
|
|
Other real estate owned,
net
|
|
94,308
|
|
77,740
|
|
21
|
|
Affordable housing investments,
net
|
|
80,592
|
|
88,472
|
|
(9)
|
|
Premises and equipment,
net
|
|
106,613
|
|
109,456
|
|
(3)
|
|
Customers’ liability on
acceptances
|
|
24,638
|
|
14,014
|
|
76
|
|
Accrued interest
receivable
|
|
29,919
|
|
35,382
|
|
(15)
|
|
Goodwill
|
|
316,340
|
|
316,340
|
|
-
|
|
Other intangible assets,
net
|
|
12,834
|
|
17,044
|
|
(25)
|
|
Other assets
|
|
204,100
|
|
209,868
|
|
(3)
|
|
|
|
|
|
|
|
|
|
Total assets
|
|
$
10,499,111
|
|
$
10,801,986
|
|
(3)
|
|
|
|
|
|
|
|
|
|
Liabilities and Stockholders’
Equity
|
|
|
|
|
|
|
|
Deposits
|
|
|
|
|
|
|
|
Non-interest-bearing
demand deposits
|
|
$
1,027,178
|
|
$
930,300
|
|
10
|
|
Interest-bearing
deposits:
|
|
|
|
|
|
|
|
NOW deposits
|
|
435,860
|
|
418,703
|
|
4
|
|
Money market
deposits
|
|
936,449
|
|
982,617
|
|
(5)
|
|
Savings
deposits
|
|
426,000
|
|
385,245
|
|
11
|
|
Time deposits under
$100,000
|
|
891,390
|
|
1,081,266
|
|
(18)
|
|
Time deposits of $100,000
or more
|
|
3,408,247
|
|
3,193,715
|
|
7
|
|
Total deposits
|
|
7,125,124
|
|
6,991,846
|
|
2
|
|
|
|
|
|
|
|
|
|
Securities sold under agreements
to repurchase
|
|
1,407,500
|
|
1,561,000
|
|
(10)
|
|
Advances from the Federal Home
Loan Bank
|
|
205,000
|
|
550,000
|
|
(63)
|
|
Other borrowings from financial
institutions
|
|
2,770
|
|
8,465
|
|
(67)
|
|
Other borrowings for affordable
housing investments
|
|
18,955
|
|
19,111
|
|
(1)
|
|
Long-term debt
|
|
171,136
|
|
171,136
|
|
-
|
|
Acceptances
outstanding
|
|
24,638
|
|
14,014
|
|
76
|
|
Other liabilities
|
|
49,423
|
|
50,309
|
|
(2)
|
|
Total
liabilities
|
|
9,004,546
|
|
9,365,881
|
|
(4)
|
|
Commitments and
contingencies
|
|
-
|
|
-
|
|
-
|
|
Stockholders’ Equity
|
|
|
|
|
|
|
|
Preferred stock,
10,000,000 shares authorized, 258,000 issued
|
|
|
|
|
|
|
|
and outstanding in 2011
and 2010
|
|
250,103
|
|
247,455
|
|
1
|
|
Common stock, $0.01 par
value, 100,000,000 shares authorized,
|
|
|
|
|
|
|
|
82,853,701 issued and
78,646,136 outstanding at September 30, 2011, and
|
|
|
|
|
|
|
|
82,739,348 issued and
78,531,783 outstanding at December 31, 2010
|
|
829
|
|
827
|
|
0
|
|
Additional
paid-in-capital
|
|
765,021
|
|
762,509
|
|
0
|
|
Accumulated other
comprehensive income/(loss), net
|
|
(5,490)
|
|
(1,022)
|
|
(437)
|
|
Retained
earnings
|
|
601,391
|
|
543,625
|
|
11
|
|
Treasury stock, at cost
(4,207,565 shares at September 30, 2011,
|
|
|
|
|
|
|
|
and at
December 31, 2010)
|
|
(125,736)
|
|
(125,736)
|
|
-
|
|
|
|
|
|
|
|
|
|
Total Cathay General
Bancorp stockholders' equity
|
|
1,486,118
|
|
1,427,658
|
|
4
|
|
Noncontrolling
interest
|
|
8,447
|
|
8,447
|
|
-
|
|
Total equity
|
|
1,494,565
|
|
1,436,105
|
|
4
|
|
Total liabilities and
equity
|
|
$
10,499,111
|
|
$
10,801,986
|
|
(3)
|
|
|
|
|
|
|
|
|
|
Book value per common stock
share
|
|
$15.49
|
|
$14.80
|
|
5
|
|
Number of common stock shares
outstanding
|
|
78,646,136
|
|
78,531,783
|
|
0
|
|
|
|
|
|
|
|
|
CATHAY
GENERAL BANCORP
CONDENSED
CONSOLIDATED STATEMENTS OF OPERATIONS
(Unaudited)
|
|
|
|
Three months
ended September 30,
|
|
Nine months
ended September 30,
|
|
|
|
2011
|
2010
|
|
2011
|
2010
|
|
|
|
(In
thousands, except share and per share data)
|
|
INTEREST AND DIVIDEND
INCOME
|
|
|
|
|
|
|
|
Loan receivable, including loan
fees
|
|
$
92,590
|
$
95,255
|
|
$
272,940
|
$
286,077
|
|
Investment securities-
taxable
|
|
20,304
|
24,749
|
|
65,274
|
83,788
|
|
Investment securities-
nontaxable
|
|
1,054
|
19
|
|
3,165
|
195
|
|
Federal Home Loan Bank
stock
|
|
38
|
77
|
|
134
|
171
|
|
Federal funds sold and
securities
|
|
|
|
|
|
|
|
purchased under agreements
to resell
|
|
33
|
-
|
|
81
|
-
|
|
Deposits with banks
|
|
360
|
406
|
|
901
|
1,031
|
|
|
|
|
|
|
|
|
|
Total interest and dividend
income
|
|
114,379
|
120,506
|
|
342,495
|
371,262
|
|
|
|
|
|
|
|
|
|
INTEREST EXPENSE
|
|
|
|
|
|
|
|
Time deposits of $100,000 or
more
|
|
10,496
|
12,754
|
|
32,115
|
42,418
|
|
Other deposits
|
|
4,777
|
6,603
|
|
15,871
|
23,689
|
|
Securities sold under agreements
to repurchase
|
|
14,840
|
16,667
|
|
45,903
|
49,469
|
|
Advances from Federal Home Loan
Bank
|
|
2,101
|
10,090
|
|
10,592
|
30,110
|
|
Long-term debt
|
|
1,208
|
1,046
|
|
3,630
|
2,902
|
|
Short-term borrowings
|
|
4
|
5
|
|
11
|
5
|
|
|
|
|
|
|
|
|
|
Total interest
expense
|
|
33,426
|
47,165
|
|
108,122
|
148,593
|
|
|
|
|
|
|
|
|
|
Net interest income before
provision for credit losses
|
|
80,953
|
73,341
|
|
234,373
|
222,669
|
|
Provision for credit
losses
|
|
9,000
|
17,900
|
|
25,000
|
146,900
|
|
|
|
|
|
|
|
|
|
Net interest income after
provision for loan losses
|
|
71,953
|
55,441
|
|
209,373
|
75,769
|
|
|
|
|
|
|
|
|
|
NON-INTEREST
INCOME
|
|
|
|
|
|
|
|
Securities gains, net
|
|
8,833
|
484
|
|
20,243
|
9,112
|
|
Letters of credit
commissions
|
|
1,440
|
1,253
|
|
4,113
|
3,280
|
|
Depository service
fees
|
|
1,341
|
1,277
|
|
4,101
|
3,870
|
|
Other operating
income/(loss)
|
|
5,213
|
872
|
|
13,449
|
(180)
|
|
|
|
|
|
|
|
|
|
Total non-interest
income
|
|
16,827
|
3,886
|
|
41,906
|
16,082
|
|
|
|
|
|
|
|
|
|
NON-INTEREST
EXPENSE
|
|
|
|
|
|
|
|
Salaries and employee
benefits
|
|
17,481
|
14,436
|
|
53,411
|
44,445
|
|
Occupancy expense
|
|
3,714
|
2,801
|
|
10,709
|
10,432
|
|
Computer and equipment
expense
|
|
2,139
|
2,011
|
|
6,437
|
6,132
|
|
Professional services
expense
|
|
4,846
|
4,460
|
|
13,534
|
14,099
|
|
FDIC and State
assessments
|
|
2,642
|
4,599
|
|
9,864
|
15,527
|
|
Marketing expense
|
|
908
|
749
|
|
2,420
|
2,469
|
|
Other real estate owned
expense
|
|
6,120
|
453
|
|
8,603
|
5,346
|
|
Operations of affordable housing
investments
|
|
2,102
|
1,166
|
|
6,055
|
5,391
|
|
Amortization of core deposit
intangibles
|
|
1,461
|
1,484
|
|
4,402
|
4,476
|
|
Cost associated with debt
redemption
|
|
4,540
|
-
|
|
18,527
|
909
|
|
Other operating
expense
|
|
2,430
|
2,722
|
|
7,614
|
10,137
|
|
|
|
|
|
|
|
|
|
Total non-interest
expense
|
|
48,383
|
34,881
|
|
141,576
|
119,363
|
|
|
|
|
|
|
|
|
|
Income/(loss) before income tax
expense/(benefit)
|
|
40,397
|
24,446
|
|
109,703
|
(27,512)
|
|
Income tax
expense/(benefit)
|
|
14,162
|
7,023
|
|
36,802
|
(21,418)
|
|
Net income/(loss)
|
|
26,235
|
17,423
|
|
72,901
|
(6,094)
|
|
Less: net income
attributable to noncontrolling interest
|
|
(151)
|
(151)
|
|
(452)
|
(452)
|
|
Net income/(loss) attributable
to Cathay General Bancorp
|
|
26,084
|
17,272
|
|
72,449
|
(6,546)
|
|
|
|
|
|
|
|
|
|
Dividends on preferred
stock
|
|
(4,111)
|
(4,098)
|
|
(12,323)
|
(12,286)
|
|
Net income/(loss) attributable
to common stockholders
|
|
$
21,973
|
$
13,174
|
|
$
60,126
|
$
(18,832)
|
|
|
|
|
|
|
|
|
|
Net income/(loss) attributable
to common stockholders per common share:
|
|
|
|
|
|
|
Basic
|
|
$
0.28
|
$
0.17
|
|
$
0.76
|
$
(0.25)
|
|
Diluted
|
|
$
0.28
|
$
0.17
|
|
$
0.76
|
$
(0.25)
|
|
|
|
|
|
|
|
|
|
Cash dividends paid per common
share
|
|
$
0.01
|
$
0.01
|
|
$
0.03
|
$
0.03
|
|
Basic average common shares
outstanding
|
|
78,640,308
|
78,520,612
|
|
78,628,477
|
76,584,138
|
|
Diluted average common shares
outstanding
|
|
78,641,142
|
78,520,612
|
|
78,637,977
|
76,584,138
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
CATHAY
GENERAL BANCORP
AVERAGE
BALANCES - SELECTED CONSOLIDATED FINANCIAL
INFORMATION
(Unaudited)
|
|
|
For the
three months ended,
|
|
|
(In thousands)
|
September
30, 2011
|
|
September
30, 2010
|
|
June 30,
2011
|
|
|
|
|
|
|
|
|
|
|
|
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)
|
$
6,981,382
|
5.26%
|
|
$
6,880,590
|
5.49%
|
|
$ 6,900,481
|
5.22%
|
|
Taxable investment
securities
|
2,308,508
|
3.49%
|
|
3,368,420
|
2.91%
|
|
2,647,076
|
3.50%
|
|
Tax-exempt investment securities
(2)
|
134,736
|
4.77%
|
|
2,130
|
5.22%
|
|
134,865
|
4.83%
|
|
FHLB stock
|
57,439
|
0.26%
|
|
67,855
|
0.45%
|
|
60,047
|
0.33%
|
|
Federal funds sold and
securities purchased
|
|
|
|
|
|
|
|
|
|
under agreements to
resell
|
207,174
|
0.06%
|
|
-
|
-
|
|
39,231
|
0.07%
|
|
Deposits with banks
|
64,897
|
2.20%
|
|
293,015
|
0.55%
|
|
131,968
|
0.97%
|
|
|
|
|
|
|
|
|
|
|
|
Total interest-earning
assets
|
$
9,754,136
|
4.68%
|
|
$ 10,612,010
|
4.51%
|
|
$ 9,913,668
|
4.65%
|
|
|
|
|
|
|
|
|
|
|
|
Interest-bearing
liabilities
|
|
|
|
|
|
|
|
|
|
Interest-bearing demand
deposits
|
$
431,016
|
0.17%
|
|
$
400,750
|
0.20%
|
|
$
416,437
|
0.20%
|
|
Money market deposits
|
948,678
|
0.71%
|
|
972,665
|
0.87%
|
|
986,362
|
0.81%
|
|
Savings deposits
|
454,780
|
0.10%
|
|
374,113
|
0.17%
|
|
390,387
|
0.15%
|
|
Time deposits
|
4,306,331
|
1.22%
|
|
4,491,273
|
1.49%
|
|
4,408,690
|
1.27%
|
|
Total interest-bearing
deposits
|
$
6,140,805
|
0.99%
|
|
$
6,238,801
|
1.23%
|
|
$ 6,201,876
|
1.05%
|
|
Securities sold under agreements
to repurchase
|
1,411,332
|
4.17%
|
|
1,558,625
|
4.24%
|
|
1,428,407
|
4.18%
|
|
Other borrowed funds
|
283,996
|
2.94%
|
|
892,652
|
4.49%
|
|
359,031
|
4.08%
|
|
Long-term debt
|
171,136
|
2.80%
|
|
171,136
|
2.42%
|
|
171,136
|
2.85%
|
|
Total interest-bearing
liabilities
|
8,007,269
|
1.66%
|
|
8,861,214
|
2.11%
|
|
8,160,450
|
1.77%
|
|
|
|
|
|
|
|
|
|
|
|
Non-interest-bearing demand
deposits
|
1,013,859
|
|
|
916,345
|
|
|
979,392
|
|
|
|
|
|
|
|
|
|
|
|
|
Total deposits and other
borrowed funds
|
$
9,021,128
|
|
|
$
9,777,559
|
|
|
$ 9,139,842
|
|
|
|
|
|
|
|
|
|
|
|
|
Total average assets
|
$ 10,595,366
|
|
|
$ 11,300,183
|
|
|
$ 10,682,900
|
|
|
Total average equity
|
$
1,505,156
|
|
|
$
1,446,643
|
|
|
$ 1,476,417
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
For the nine
months ended,
|
|
|
|
|
(In thousands)
|
September
30, 2011
|
|
September
30, 2010
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Interest-earning
assets
|
Average
Balance
|
Average
Yield/Rate (1) (2)
|
|
Average
Balance
|
Average
Yield/Rate (1) (2)
|
|
|
|
|
Loans and leases (1)
|
$
6,926,633
|
5.27%
|
|
$
6,901,776
|
5.54%
|
|
|
|
|
Taxable investment
securities
|
2,541,139
|
3.43%
|
|
3,593,669
|
3.12%
|
|
|
|
|
Tax-exempt investment securities
(2)
|
134,377
|
4.84%
|
|
8,156
|
4.90%
|
|
|
|
|
FHLB stock
|
60,402
|
0.30%
|
|
70,000
|
0.33%
|
|
|
|
|
Federal funds sold and
securities purchased
|
|
|
|
|
|
|
|
|
|
under agreements to
resell
|
109,890
|
0.10%
|
|
-
|
-
|
|
|
|
|
Deposits with banks
|
121,406
|
0.99%
|
|
329,080
|
0.42%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total interest-earning
assets
|
$
9,893,847
|
4.65%
|
|
$ 10,902,681
|
4.55%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Interest-bearing
liabilities
|
|
|
|
|
|
|
|
|
|
Interest-bearing demand
deposits
|
$
420,214
|
0.19%
|
|
$
391,062
|
0.25%
|
|
|
|
|
Money market deposits
|
986,984
|
0.79%
|
|
947,713
|
0.92%
|
|
|
|
|
Savings deposits
|
408,776
|
0.13%
|
|
364,893
|
0.20%
|
|
|
|
|
Time deposits
|
4,327,742
|
1.27%
|
|
4,899,150
|
1.59%
|
|
|
|
|
Total interest-bearing
deposits
|
$
6,143,716
|
1.04%
|
|
$
6,602,818
|
1.34%
|
|
|
|
|
Federal funds
purchased
|
37
|
1.25%
|
|
-
|
-
|
|
|
|
|
Securities sold under agreements
to repurchase
|
1,462,277
|
4.20%
|
|
1,559,659
|
4.24%
|
|
|
|
|
Other borrowed funds
|
368,893
|
3.84%
|
|
899,950
|
4.47%
|
|
|
|
|
Long-term debt
|
171,136
|
2.84%
|
|
171,136
|
2.27%
|
|
|
|
|
Total interest-bearing
liabilities
|
8,146,059
|
1.77%
|
|
9,233,563
|
2.15%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Non-interest-bearing demand
deposits
|
977,246
|
|
|
891,919
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total deposits and other
borrowed funds
|
$
9,123,305
|
|
|
$ 10,125,482
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total average assets
|
$ 10,688,181
|
|
|
$ 11,624,391
|
|
|
|
|
|
Total average equity
|
$
1,477,736
|
|
|
$
1,424,708
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(1) Yields and interest earned
include net loan fees. Non-accrual loans are included in the
average balance.
|
|
|
|
|
(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%.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
SOURCE Cathay General Bancorp