Hanmi Earns $9.5 Million in Second Quarter of 2013 with Pretax Income Up 78% Year-Over-Year and Net Interest Margin Increasing

Hanmi Earns $9.5 Million in Second Quarter of 2013 with Pretax Income Up 78%
Year-Over-Year and Net Interest Margin Increasing to 4.10%

LOS ANGELES, July 23, 2013 (GLOBE NEWSWIRE) -- Hanmi Financial Corporation
(Nasdaq:HAFC), the holding company for Hanmi Bank (the "Bank"), today reported
that pretax earnings improved 3.7% in the second quarter of 2013 and 78.4% for
the year, reflecting solid loan growth, increasing core deposits, improving
operating efficiencies and expanding net interest margin. With provisioning at
the full statutory tax rate, net income was $9.5 million, or $0.30 per diluted
share, for the second quarter of 2013, compared to $10.1 million, or $0.32 per
diluted share, for the first quarter of 2013. In the second quarter of 2012,
following a net tax benefit of $47.2 million resulting from the reversal of a
$53.1 million deferred tax asset ("DTA") valuation allowance, Hanmi earned
$55.8 million, or $1.77 per diluted share. In the second quarter of 2013,
pretax income increased 78.4% to $15.3 million from $8.6 million in the second
quarter of 2012, and was up 3.7% from $14.8 million in the first quarter of
2013. Tangible book value increased 13.2% to $12.47 per share at June 30,
2013, compared to $11.02 at June 30, 2012.

In the first six months of 2013, net income was $19.6 million, or $0.62 per
diluted share, compared to $63.1 million, or $2.00 per diluted share, in the
first six months of 2012, which included the $47.2 million net tax benefit
from the DTA valuation allowance reversal in the second quarter of 2012.
Pretax income increased 88.1% to $30.1 million in the first six months of 2013
from $16.0 million in the first six months of 2012.

"Our net interest margin jumped 24 basis points to 4.10% from the first
quarter of 2013, reflecting on-going investment of funds into higher yielding
loans and cost savings from the redemption of $80 million of trust preferred
securities," said C. G. Kum, President and Chief Executive Officer. "As our
organic growth initiatives continue to succeed in expanding our loan portfolio
and putting our capital to work into more productive assets, we anticipate our
profitability will remain strong. We are also excited about our expansion
efforts in the state of Texas, where our new loan production office will
officially open in early August."

"In the second quarter of 2013, provision for income taxes was up by 24.3%,
resulting in an effective tax rate of 38%. We currently project our annual
effective tax rate will be between 38 to 39%. The provision for income taxes
in the first quarter of 2013 was reduced by a discrete deferred tax item,"
said Mark Yoon, Senior Vice President and Chief Financial Officer. "In
addition, the sizable benefit generated from the DTA reversal had a
significant impact on earnings in the second quarter of 2012."

Second Quarter Results                                          
(In thousands, except per share data)                           
                                                               
                                       As ofor for the Three Months Ended
                                       June 30,     March 31,    June 30,
                                       2013         2013         2012
                                                               
Net income                              $9,519     $10,110    $55,775
Net income per diluted common share     $0.30      $0.32      $1.77
                                                               
Total assets                            $2,773,414 $2,792,423 $2,846,652
Loans receivable, net                   $2,128,208 $2,061,156 $1,878,367
Total deposits                          $2,361,913 $2,333,012 $2,385,107
                                                               
Return on average assets                1.37%        1.45%        8.24%
Return on average stockholders' equity  9.70%        10.71%       74.63%
Net interest margin                     4.10%        3.86%        3.84%
Efficiency ratio                        56.55%       56.44%       61.07%
                                                               
Tangible common equity to tangible      14.22%       13.89%       12.20%
assets
Tangible common equity per common share $12.47     $12.28     $11.02

Financial Highlights (at or for the period ended June 30, 2013)

  *Net income for the second quarter of 2013 was $9.5 million, or $0.30 per
    diluted share, compared to $10.1 million, or $0.32 per diluted share, for
    the first quarter of 2013.
  *Net interest margin ("NIM") increased to 4.10% in the second quarter of
    2013, up 24 basis points from 3.86% in the first quarter of 2013 and up 26
    basis points from 3.84% in the second quarter of 2012. Yields on earning
    assets improved 16 basis points to 4.59%, while the cost of
    interest-bearing liabilities continued to improve by 11 basis points to
    0.78% during the second quarter of 2013.
  *New loan production for the second quarter of 2013 totaled $163.8 million,
    consisting of $119.5 million of commercial real estate loans, $31.2
    million of Small Business Administration ("SBA") loans, $11.9 million of
    commercial term and lines of credit loans, and $1.2 million of consumer
    loans.
  *Asset quality improved during the second quarter of 2013, with
    non-performing assets ("NPAs") declining to 1.04% of total assets.Net
    charge offs also continued to improve, totaling $1.6 million, or 0.30% of
    average gross loans on an annualized basis.
  *The redemption of the remaining $50 million in trust preferred securities
    ("TPS") in April 2013 resulted in an interest cost reduction of $510,000
    in the second quarter of 2013.
  *Tangible common equity ratio was 14.22% and tangible book value was $12.47
    per share at June 30, 2013, up 13.2% from $11.02 at June 30, 2012.

Results of Operations

Net interest income, before provision for credit losses, increased 6.1% to
$27.2 million for the second quarter of 2013, from $25.6 million for the first
quarter of 2013, and was up 7.9% from $25.2 million for the second quarter of
2012.Interest and dividend income increased 3.3% from the first quarter of
2013 and 1.4% from the second quarter of 2012, while interest expense
decreased 14.9% and 32.7% from the first quarter of 2013 and the second
quarter of 2012, respectively.Year to date, net interest income before
provision for credit losses improved 6.1% to $52.8 million compared to $49.7
million for the first six months of 2012.

NIM in the second quarter of 2013 was 4.10%, up from 3.86% in the first
quarter of 2013 and 3.84% in the second quarter a year ago.For the first six
months of 2013, NIM increased to 3.98% from 3.77% for the first six months of
2012."The redemption of TPS, coupled with solid loan growth and significantly
reduced low yielding cash and cash equivalents, boosted NIM this quarter.
Once the full impact of the $80 million TPS redemption is realized starting
from the third quarter of 2013, the expected annual savings will be $2.5
million," said Yoon.The following table details the asset yields, liability
costs, spread and margin.

                                Three Months Ended        Six Months Ended
                                June 30, March 31, June 30, June 30, June 30,
                                2013     2013      2012     2013     2012
                                                                 
Total interest-earning assets    4.59%    4.43%     4.57%    4.51%    4.57%
Total interest-bearing liability 0.78%    0.89%     1.12%    0.83%    1.21%
Net interest spread              3.81%    3.54%     3.45%    3.68%    3.36%
Net interest margin              4.10%    3.86%     3.84%    3.98%    3.77%

With steadily improving asset quality, Hanmi has not taken a provision for
credit losses in the past four quarters.In the second quarter of 2012, Hanmi
recorded a $4.0 million provision, bringing its provision for the first six
months of 2012 to $6.0 million.Total net charge-offs in the second quarter of
2013 were $1.6 million, down from $2.3 million in the first quarter of 2013
and from $13.4 million in the second quarter of 2012. Allowance for loan
losses ("ALLL") decreased slightly to $59.9 million, or 2.74% of gross loans,
and 214.03% of NPAs, at June 30, 2013.

Net interest income after provision for credit losses increased 6.1% to $27.2
million in the second quarter of 2013, compared to $25.6 million in the first
quarter of 2013, and was up 28.3% from $21.2 million in the second quarter of
2012.For the first six months of 2013, net interest income after the
provision for credit losses increased 20.7% to $52.8 million compared to $43.7
million for the first six months of 2012.

Non-interest income in the second quarter of 2013 was $8.2 million, compared
to $8.4 million in the first quarter of 2013. The modest decline in the second
quarter of 2013 reflects lower gains from selling SBA loans and higher losses
from selling non-performing loans ("NPLs"), partially offset by higher
insurance commissions and gains recognized from selling securities.For the
first six months of 2013, non-interest income increased 52.5% to $16.5 million
from $10.8 million for the first six months of 2012, reflecting a significant
reduction in losses from selling NPLs, partially offset by lower gains from
selling SBA loans and investment securities.

Non-interest expense in the second quarter of 2013 was $20.0 million, compared
to $19.2 million in the first quarter of 2013, and $19.8 million in the second
quarter of 2012.For the first six months of 2013, non-interest expense was
$39.1 million, compared to $38.5 million for the first six months of
2012."Compensation and occupancy remain the largest components of operating
expense, and both line items together with recurring expenditures are stable
for the year and the quarter, due to the cost control initiatives put in place
in the past few years," said Yoon.Yoon added that "deposit insurance premiums
and regulatory assessments were down for the year, due to lower premium and
assessment rates as a result of overall improvement in our financial
condition.Second quarter expenses are estimated to be the quarterly run rate
for the remainder of 2013. Professional fees remained elevated in the second
quarter of 2013, due to legal expenses incurred in defending lawsuits in the
ordinary course of business, as well as professional and legal expenses
related to strategic reviews. We expect our costs for professional advisors
will be moderate in the second half of the year."

Balance Sheet

Assets totaled $2.77 billion at June 30, 2013, down from $2.79 billion at
March 31, 2013 and $2.85 billion at June 30, 2012."While total assets are
relatively stable, the mix of assets and liabilities continues to improve with
cash and cash equivalents down 46% in the second quarter of 2013 and 74%
year-over-year.One of our strategic focuses to increase franchise value
continues to enhance our deposit mix by increasing demand deposits with
relationship-based lending," said Kum.

In the second quarter of 2013, the Bank produced 223 new loans totaling $163.8
million, of which $31.2 million were SBA loans, $119.5 million were commercial
real estate loans including $43.9 million of owner-occupied property loans,
$11.9 million were commercial and industrial loans, and $1.2 million were
consumer loans. Overall loan production was up 12.6% from the second quarter
of 2012, and down 8.3% from the first quarter of 2013.The decreased loan
production over the first quarter of 2013 was primarily attributable to a loan
production initiative promoting portfolio diversification."We remain bullish
on our loan growth prospects for the rest of the year, as we have a solid
pipeline of prospective loans. And as indicated earlier, we are expecting
Texas to begin contributing to SBA loan production in the second half of the
year," said Kum.

Loans receivable, excluding loans held for sale, increased 3.3% in the second
quarter of 2013 and 13.3% year-over-year to $2.13 billion at June 30, 2013, up
from $2.06 billion at March 31, 2013 and $1.88 billion at June 30, 2012. Loans
held for sale totaled $2.6 million at June 30, 2013, compared to $6.0 million
at March 31, 2013 and $5.1 million at June 30, 2012. Average gross loans, net
of deferred loan fees, increased to $2.17 billion for the second quarter of
2013, up from $2.07 billion for the first quarter of 2013 and $2.00 billion
for the second quarter of 2012.

Average deposits for the second quarter of 2013 were $2.37 billion, up
slightly from $2.35 billion for the first quarter of 2013 and $2.31 billion
for the second quarter of 2012.The overall mix of funding continued to
improve with time deposits declining and low- and no-cost transaction account
balances increasing.The deposit mix for the past year is detailed in the
table below.

                                      June 30, March 31, June 30,
                                      2013      2013      2012
                                                        
Demand-noninterest-bearing             31.1%     30.5%     28.5%
Savings                                4.9%      4.9%      4.8%
Money market checking and NOW accounts 24.4%     24.8%     23.4%
Time deposits of $100,000 or more      23.9%     23.9%     28.7%
Other time deposits                    15.7%     15.9%     14.6%
Total deposits                         100.0%    100.0%    100.0%

At June 30, 2013, total stockholders' equity was $395.4 million. Tangible
common stockholders' equity was $394.1 million at June 30, 2013, or 14.22% of
tangible assets, compared to $347.0 million, or 12.20% of tangible assets, at
June 30, 2012.Tangible book value per share was $12.47 at June 30, 2013, up
from $12.28 at March 31, 2013, and $11.02 at June 30, 2012.

Asset Quality

NPLs, excluding loans held for sale, decreased 15.0% to $28.0 million at June
30, 2013, compared to $32.9 million at March 31, 2013 and decreased 38.0% from
$45.1 million at June 30, 2012. Troubled debt restructurings ("TDRs"), totaled
$29.0 million at June 30, 2013, down from $31.7 million at March 31, 2013 and
$35.8 million at June 30, 2012. Of these TDRs, $14.1 million were included in
NPLs. Six loans totaling $2.6 million were classified as held for sale and
recorded at the lower of cost or fair value at June 30, 2013. The following
table shows NPLs in each category:

                           June 30, 2013    March 31, 2013   June 30, 2012
                                    % of            % of            % of
                                      Total            Total            Total
                           Amount  NPLs   Amount  NPLs   Amount  NPLs
                                          (In thousands)          
Real estate loans:                                                 
Commercial property                                                
Retail                      $--     0.0%   $950    2.9%   $1,203  2.7%
Land                        1,612    5.8%   1,687    5.1%   2,112    4.7%
Other                       --       0.0%   --       0.0%   936      2.1%
Construction                --       0.0%   --       0.0%   7,930    17.5%
Residential property        1,620    5.8%   1,638    5.0%   1,298    2.9%
Commercial & industrial                                            
loans:
Commercial term loans                                              
Unsecured                   6,209    22.2%  7,253    22.1%  6,953    15.4%
Secured by real estate      5,389    19.3%  6,353    19.3%  5,826    12.9%
Commercial lines of credit  1,052    3.8%   1,505    4.6%   1,585    3.5%
SBA                         10,596   37.9%  11,852   36.0%  15,720   34.8%
Consumer loans              1,497    5.4%   1,655    5.0%   1,580    3.5%
Total non-performing loans  $27,975 100.0% $32,893 100.0% $45,143 100.0%

"With the economic recovery beginning to gain momentum, our asset quality is
continuing to improve.We were further able to reduce the number of problem
loan sales this year.Second quarter NPL sales totaled $4.4 million, bringing
total loans sales for the first half of 2013 to $5.9 million," said J.H. Son,
Executive Vice President and Chief Credit Officer. "Losses associated with our
loan sales strategy were just $557,000 in the first half of 2013, compared to
$7.7 million in the first half of 2012."Classified loans were $89.6 million,
or 4.1% of gross loans, at June 30, 2013, down from $95.1 million, or 4.5%, at
March 31, 2013 and from $142.7 million, or 7.32%, at June 30, 2012.

Delinquent loans that are less than 90 days past due and still accruing
interest decreased to $2.6 million at June 30, 2013, or 0.12% of gross loans,
compared to $4.7 million, or 0.24% of gross loans, at June 30, 2012.At June
30, 2013, ALLL was $59.9 million, or 2.74% of gross loans and 214.03% of NPLs,
compared to 3.69% and 159.26%, respectively, at June 30, 2012.For the second
quarter of 2013, net charge-offs were $1.6 million, compared to $2.3 million
for the first quarter of 2013 and $13.4 million for the second quarter of
2012. 

Conference Call

Management will host a conference call today, July 23, 2013, at 1:30 p.m.
Pacific Time (4:30 p.m. ET) to discuss these results. This call will also be
broadcast live via the internet. Investment professionals and all current and
prospective stockholders are invited to access the live call by dialing
1-480-629-9645 before 1:30 p.m. Pacific Time, using access code HANMI. To
listen to the call online, either live or archived, visit the Investor
Relations page of Hanmi's website at www.hanmi.com.

About Hanmi Financial Corporation

Headquartered in Los Angeles, Hanmi Bank, a wholly-owned subsidiary of Hanmi
Financial Corporation, provides services to the multi-ethnic communities of
California, with 27 full-service offices in Los Angeles, Orange, San
Bernardino, San Francisco, Santa Clara and San Diego counties, and loan
production offices in Texas and Washington State. Hanmi Bank specializes in
commercial, SBA and trade finance lending, and is a recognized community
leader. Hanmi Bank's mission is to provide a full range of quality products
and premier services to its customers and to maximize stockholder value.

Forward-Looking Statements

This press release contains forward-looking statements, which are included in
accordance with the "safe harbor" provisions of the Private Securities
Litigation Reform Act of 1995. In some cases, you can identify forward-looking
statements by terminology such as "may," "will," "should," "could," "expects,"
"plans," "intends," "anticipates," "believes," "estimates," "predicts,"
"potential," or "continue," or the negative of such terms and other comparable
terminology. Although we believe that the expectations reflected in the
forward-looking statements are reasonable, we cannot guarantee future results,
levels of activity, performance or achievements. All statements other than
statements of historical fact are "forward–looking statements" for purposes of
federal and state securities laws, including, but not limited to, statements
about anticipated future operating and financial performance, financial
position and liquidity, business strategies, regulatory and competitive
outlook, investment and expenditure plans, capital and financing needs and
availability, plans and objectives of management for future operations,
developments regarding our capital plans, strategic alternatives for a
possible business combination, merger or sale transaction and other similar
forecasts and statements of expectation and statements of assumption
underlying any of the foregoing. These statements involve known and unknown
risks, uncertainties and other factors that may cause our actual results,
levels of activity, performance or achievements to differ from those expressed
or implied by the forward-looking statement. These factors include the
following: failure to maintain adequate levels of capital and liquidity to
support our operations; the effect of regulatory orders we have entered into
and potential future supervisory action against us or Hanmi Bank; general
economic and business conditions internationally, nationally and in those
areas in which we operate; volatility and deterioration in the credit and
equity markets; changes in consumer spending, borrowing and savings habits;
availability of capital from private and government sources; demographic
changes; competition for loans and deposits and failure to attract or retain
loans and deposits; fluctuations in interest rates and a decline in the level
of our interest rate spread; risks of natural disasters related to our real
estate portfolio; risks associated with Small Business Administration loans;
failure to attract or retain key employees; changes in governmental
regulation, including, but not limited to, any increase in FDIC insurance
premiums; ability of Hanmi Bank to make distributions to Hanmi Financial,
which is restricted by certain factors, including Hanmi Bank's retained
earnings, net income, prior distributions made, and certain other financial
tests; ability to identify a suitable strategic partner or to consummate a
strategic transaction; adequacy of our allowance for loan losses; credit
quality and the effect of credit quality on our provision for credit losses
and allowance for loan losses; changes in the financial performance and/or
condition of our borrowers and the ability of our borrowers to perform under
the terms of their loans and other terms of credit agreements; our ability to
control expenses; and changes in securities markets. In addition, we set forth
certain risks in our reports filed with the U.S. Securities and Exchange
Commission ("SEC"), including, in Item 1A of our Form 10-K for the year ended
December 31, 2012, our quarterly reports on Form 10-Q, and current and
periodic reports that we will file with the SEC hereafter, which could cause
actual results to differ from those projected. We undertake no obligation to
update such forward-looking statements except as required by law.

Hanmi Financial Corporation and Subsidiaries
Consolidated Balance Sheets(Unaudited)
(In thousands)
                                                                 
                   June 30,     March 31,    Percentage June 30,     Percentage
                   2013         2013         Change     2012         Change
Assets                                                            
Cash and due from   $72,429    $69,642    4.0%       $73,645    -1.7%
banks
Interest-bearing
deposits in other   5,431       75,657      -92.8%     197,760     -97.3%
banks
Federal funds sold  --          --          0.0%       33,000      -100.0%
Cash and cash       77,860      145,299     -46.4%     304,405     -74.4%
equivalents
Restricted cash     --          --          0.0%       3,819       -100.0%
Term federal funds  --          --          0.0%       110,000     -100.0%
sold
Securities
available for sale, 400,815     419,903     -4.5%      319,154     25.6%
at fair value
Securities held to
maturity, at        --          --          0.0%       53,130      -100.0%
amortized cost
Loans held for
sale, at the lower  2,553       6,043       -57.8%     5,138       -50.3%
of cost or fair
value
Loans receivable,
net of allowance    2,128,208    2,061,156   3.3%       1,878,367   13.3%
for loan losses
Accrued interest    7,441       7,526       -1.1%      7,168       3.8%
receivable
Premises and        14,463      14,792      -2.2%      15,912      -9.1%
equipment, net
Other real estate   900         900         0.0%       1,071       -16.0%
owned, net
Customers'
liability on        1,372       2,170       -36.8%     1,443       -4.9%
acceptances
Servicing assets    6,383       6,004       6.3%       5,003       27.6%
Other intangible    1,253       1,294       -3.2%      1,417       -11.6%
assets, net
Investment in
federal home loan   14,197      16,014      -11.3%     20,687      -31.4%
bank stock, at cost
Investment in
federal reserve     13,200      12,222      8.0%       10,261      28.6%
bank stock, at cost
Income tax asset    63,783      57,084      11.7%      61,435      3.8%
Bank-owned life     29,517      29,284      0.8%       28,581      3.3%
insurance
Prepaid expenses    2,572       2,676       -3.9%      2,726       -5.6%
Other assets        8,897       10,056      -11.5%     16,935      -47.5%
Total assets        $ 2,773,414  $2,792,423 -0.7%      $2,846,652 -2.6%
                                                                 
Liabilities and
Stockholders'                                                     
Equity
Liabilities:                                                      
Deposits:                                                         
Noninterest-bearing $736,470   $709,650   3.8%       $679,085   8.5%
Interest-bearing    1,625,443   1,623,362   0.1%       1,706,022   -4.7%
Total deposits      2,361,913   2,333,012   1.2%       2,385,107   -1.0%
Accrued interest    2,570       3,192       -19.5%     14,882      -82.7%
payable
Bank's liability on 1,372       2,170       -36.8%     1,443       -4.9%
acceptances
Federal home loan   2,743       2,840       -3.4%      3,122       -12.1%
bank advances
Junior subordinated --          51,478      -100.0%    82,406      -100.0%
debentures
Accrued expenses
and other           9,420       10,626      -11.3%     11,236      -16.2%
liabilities
Total liabilities   2,378,018   2,403,318   -1.1%      2,498,196   -4.8%
                                                                 
Stockholders'                                                     
equity:
Common stock        257         257         0.0%       257         0.0%
Additional paid-in  551,286     551,064     0.0%       549,797     0.3%
capital
Unearned            (33)        (44)        -25.0%     (116)       -71.6%
compensation
Accumulated other
comprehensive       1,634       5,095       -67.9%     3,154       -48.2%
income
Accumulated deficit (87,890)    (97,409)    -9.8%      (134,778)   -34.8%
Less treasury stock (69,858)    (69,858)    0.0%       (69,858)    0.0%
Total stockholders' 395,396     389,105     1.6%       348,456     13.5%
equity
Total liabilities
and stockholders'   $2,773,414 $2,792,423 -0.7%      $2,846,652 -2.6%
equity

                                                               
                                                               
                                                               
Hanmi Financial Corporation and Subsidiaries
Consolidated Statements of Operations(Unaudited)
(In thousands, except per share data)
                                                               
                    Three Months Ended
                    June 30,    March 31,   Percentage June 30,    Percentage
                    2013        2013        Change     2012        Change
Interest and                                                    
Dividend Income:
Interest and fees on $27,839   $26,799   3.9%       $27,241   2.2%
loans
Taxable interest on
investment           2,100      2,116      -0.8%      2,190      -4.1%
securities
Tax-exempt interest
on investment        73         95         -23.2%     99         -26.3%
securities
Interest on term     --         --         0.0%       168        -100.0%
federal funds sold
Interest on federal  --         6          -100.0%    31         -100.0%
funds sold
Interest on
interest-bearing     24         88         -72.7%     59         -59.3%
deposits in other
banks
Dividends on federal 196        183        7.1%       148        32.4%
reserve bank stock
Dividends on federal 147        108        36.1%      29         406.9%
home loan bank stock
Total interest and   30,379     29,395     3.3%       29,965     1.4%
dividend income
Interest Expense:                                               
Interest on deposits 3,100      3,159      -1.9%      3,953      -21.6%
Interest on federal
home loan bank       41         38         7.9%       43         -4.7%
advances
Interest on junior
subordinated         84         594        -85.9%     797        -89.5%
debentures
Total interest       3,225      3,791      -14.9%     4,793      -32.7%
expense
Net interest income
before provision for 27,154     25,604     6.1%       25,172     7.9%
credit losses
Provision for credit --         --         0.0%       4,000      -100.0%
losses
Net interest income
after provision for  27,154     25,604     6.1%       21,172     28.3%
credit losses
Non-Interest Income:                                            
Service charges on   2,884      3,048      -5.4%      2,936      -1.8%
deposit accounts
Insurance            1,418      1,213      16.9%      1,294      9.6%
commissions
Trade finance &
other service        1,152      1,172      -1.7%      1,159      -0.6%
charges and fees
Bank-owned life      233        230        1.3%       238        -2.1%
insurance income
Gain on sales of SBA
loans guaranteed     2,378      2,692      -11.7%     5,473      -56.6%
portion
Net loss on sales of (460)      (97)       374.2%     (5,326)    -91.4%
other loans
Net gain on sales of
investment           303        9          3266.7%    1,381      -78.1%
securities
Other-than-temporary
impairment loss on   --         --         0.0%       (116)      -100.0%
investment
securities
Other operating      242        90         168.9%     150        61.3%
income
Total non-interest   8,150      8,357      -2.5%      7,189      13.4%
income
Non-Interest                                                    
Expense:
Salaries and         9,415      9,351      0.7%       9,449      -0.4%
employee benefits
Occupancy and        2,555      2,556      0.0%       2,621      -2.5%
equipment
Deposit insurance
premiums and         517        234        120.9%     1,498      -65.5%
regulatory
assessments
Data processing      1,142      1,170      -2.4%      1,298      -12.0%
Other real estate    (20)       32         -162.5%    69         -129.0%
owned expense
Professional fees    2,365      2,156      9.7%       1,089      117.2%
Directors and
officers liability   219        220        -0.5%      295        -25.8%
insurance
Supplies and         630        495        27.3%      576        9.4%
communications
Advertising and      1,005      672        49.6%      1,009      -0.4%
promotion
Loan-related expense 91         146        -37.7%     88         3.4%
Amortization of
other intangible     41         41         0.0%       45         -8.9%
assets
Other operating      2,004      2,094      -4.3%      1,726      16.1%
expenses
Total non-interest   19,964     19,167     4.2%       19,763     1.0%
expense
Income before
provision for income 15,340     14,794     3.7%       8,598      78.4%
taxes
Provision (benefit)  5,821      4,684      24.3%      (47,177)   -112.3%
for income taxes
Net income           $9,519    $10,110   -5.8%      $55,775   -82.9%
                                                               
Earnings per share:                                             
Basic                $0.30     $0.32               $1.77     
Diluted              $0.30     $0.32               $1.77     
Weighted-average                                                
shares outstanding:
Basic                31,590,760 31,538,980           31,475,610 
Diluted              31,655,988 31,626,667           31,499,803 
Common shares        31,604,837 31,588,767           31,489,201 
outstanding

                                                                 
                                                                 
                                                                 
Hanmi Financial Corporation and Subsidiaries
Consolidated Statements of Operations, Continued (Unaudited)
(In thousands, except per share data)
                                                                 
                                           Six Months Ended
                                           June 30,    June 30,    Percentage
                                           2013        2012        Change
Interest and Dividend Income:                                     
Interest and fees on loans                  $54,638   $54,783   -0.3%
Taxable interest on investment securities   4,216      4,288      -1.7%
Tax-exempt interest on investment           168        201        -16.4%
securities
Interest on term federal funds sold         --         493        -100.0%
Interest on federal funds sold              6          33         -81.8%
Interest on interest-bearing deposits in    112        127        -11.8%
other banks
Dividends on federal reserve bank stock     379        276        37.3%
Dividends on federal home loan bank stock   255        58         339.7%
Total Interest and Dividend Income          59,774     60,259     -0.8%
Interest Expense:                                                 
Interest on deposits                        6,259      8,872      -29.5%
Interest on federal home loan bank advances 79         86         -8.1%
Interest on junior subordinated debentures  678        1,596      -57.5%
Total interest expense                      7,016      10,554     -33.5%
Net interest income before provision for    52,758     49,705     6.1%
credit losses
Provision for credit losses                 --         6,000      -100.0%
Net interest income after provision for     52,758     43,705     20.7%
credit losses
Non-Interest Income:                                              
Service charges on deposit accounts         5,932      6,104      -2.8%
Insurance commissions                       2,631      2,530      4.0%
Trade finance & other service charges and   2,324      2,269      2.4%
fees
Bank-owned life insurance income            463        637        -27.3%
Gain on sales of SBA loans guaranteed       5,070      5,473      -7.4%
portion
Net loss on sales of other loans            (557)      (7,719)    -92.8%
Net gain on sales of investment securities  312        1,382      -77.4%
Other-than-temporary impairment loss on     --         (116)      -100.0%
investment securities
Other operating income                      332        262        26.7%
Total non-interest income                   16,507     10,822     52.5%
Non-Interest Expense:                                             
Salaries and employee benefits              18,766     18,559     1.1%
Occupancy and equipment                     5,111      5,216      -2.0%
Deposit insurance premiums and regulatory   751        2,899      -74.1%
assessments
Data processing                             2,312      2,551      -9.4%
Other real estate owned expense             12         25         -52.0%
Professional fees                           4,521      1,838      146.0%
Directors and officers liability insurance  439        592        -25.8%
Supplies and communications                 1,125      1,134      -0.8%
Advertising and promotion                   1,677      1,610      4.2%
Loan-related expense                        237        288        -17.7%
Amortization of other intangible assets     82         116        -29.3%
Other operating expenses                    4,098      3,681      11.3%
Total non-interest expense                  39,131     38,509     1.6%
Income before provision for income taxes    30,134     16,018     88.1%
Provision (benefit) for income taxes        10,505     (47,098)   -122.3%
Net income                                  $19,629   $63,116   -68.9%
                                                                 
Earnings per share:                                               
Basic                                       $0.62     $2.01     
Diluted                                     $0.62     $2.00     
Weighted-average shares outstanding:                              
Basic                                       31,565,013 31,473,065 
Diluted                                     31,633,535 31,489,943 
Common shares outstanding                   31,604,837 31,489,201 

                                                               
                                                               
                                                               
Hanmi Financial Corporation and Subsidiaries
Selected Financial Data(Unaudited)
(In thousands)
                                                               
                                       As of or for the Three Months Ended
                                       June 30,     March 31,    June 30,
                                       2013         2013         2012
Average balances:                                               
Average gross loans, net of deferred    $2,165,741 $2,073,514 $2,003,475
loan fees ^(1)
Average investment securities           423,562     443,073     417,202
Average interest-earning assets         2,657,629   2,693,424   2,642,428
Average total assets                    2,793,505   2,829,927   2,723,432
Average deposits                        2,365,887   2,348,799   2,308,193
Average borrowings                      19,154      79,110      86,509
Average interest-bearing liabilities    1,663,951   1,727,272   1,720,781
Average stockholders' equity            393,741     383,003     300,578
Average tangible equity                 392,461     381,682     299,154
                                                               
Performance ratios:                                             
Return on average assets ^ (2)          1.37%        1.45%        8.24%
Return on average stockholders' equity  9.70%        10.71%       74.63%
^(2)
Return on average tangible equity ^(2)  9.73%        10.74%       74.99%
Efficiency ratio                        56.55%       56.44%       61.07%
Net interest spread ^(2), (3)           3.81%        3.54%        3.45%
Net interest margin ^ (2), (3)          4.10%        3.86%        3.84%
                                                               
Allowance for loan losses:                                      
Balance at beginning of period          $61,191    $63,305    $81,052
Provision charged to operating expense  308         196         4,233
Charge-offs, net of recoveries          (1,623)     (2,310)     (13,392)
Balance at end of period                $59,876    $61,191    $71,893
                                                               
Asset quality ratios:                                           
Net loan charge-offs to average gross   0.30%        0.45%        2.67%
loans ^(2)
Allowance for loan losses to gross      2.74%        2.88%        3.69%
loans
Allowance for loan losses to            214.03%      186.03%      159.26%
non-performing loans
Non-performing assets to total assets   1.04%        1.21%        1.62%
Non-performing loans to gross loans     1.28%        1.55%        2.32%
Non-performing assets to allowance for  48.22%       55.23%       64.28%
loan losses
                                                               
Allowance for off-balance sheet items:                          
Balance at beginning of period          $1,628     $1,824     $2,581
Provision charged to operating expense  (308)       (196)       (233)
Balance at end of period                $1,320     $1,628     $2,348
                                                               
Non-performing assets:                                          
Non-accrual loans                       $27,975    $32,893    $45,143
Loans 90 days or more past due and      --          --          --
still accruing
Non-performing loans                    27,975      32,893      45,143
Other real estate owned, net            900         900         1,071
Non-performing assets                   28,875      33,793      46,214
Non-performing loans in loans held for  2,553       2,306       3,489
sale
Non-performing assets (including loans  $31,428    $36,099    $49,703
held for sale)
                                                               
Delinquent loans (30 to 89 days past    $2,565     $6,440     $4,707
due and still accruing)
                                                               
Delinquent loans to gross loans         0.12%        0.30%        0.24%
                                                               
(1) Included loans held for sale
(2) Annualized
(3) Amounts calculated on a fully taxable equivalent basis using the current
statutory federal tax rate

                                                               
                                                               
                                                               
Hanmi Financial Corporation and Subsidiaries
Selected Financial Data, Continued (Unaudited)
(In thousands)
                                                               
                                       As of or for the Three Months Ended
                                       June 30,     March 31,    June 30,
                                       2013         2013         2012
Loan portfolio:                                                 
Real estate loans                       $887,782   $831,019   $732,059
Residential loans                       88,654      94,735      107,757
Commercial and industrial loans         1,175,573   1,160,752   1,070,469
Consumer loans                          35,380      35,180      39,339
Gross loans                             2,187,389   2,121,686   1,949,624
Deferred loan fees                      695         661         636
Gross loans, net of deferred loan fees  2,188,084   2,122,347   1,950,260
Allowance for loan losses               (59,876)    (61,191)    (71,893)
Loans receivable, net                   2,128,208   2,061,156   1,878,367
Loans held for sale, at the lower of    2,553       6,043       5,138
cost or fair value
Total loans receivable, net             $2,130,761 $2,067,199 $1,883,505
                                                               
Loan mix:                                                       
Real estate loans                       40.6%        39.1%        37.5%
Residential loans                       4.1%         4.5%         5.5%
Commercial and industrial loans         53.7%        54.7%        54.9%
Consumer loans                          1.6%         1.7%         2.1%
Total loans                             100.0%       100.0%       100.0%
                                                               
Deposit portfolio:                                              
Demand-noninterest-bearing              $736,470   $709,650   $679,085
Savings                                 115,318     115,186     113,707
Money market checking and NOW accounts  575,471     579,192     557,711
Time deposits of $100,000 or more       564,079     557,180     684,053
Other time deposits                     370,575     371,804     350,551
Total deposits                          $2,361,913 $2,333,012 $2,385,107
                                                               
Deposit mix:                                                    
Demand-noninterest-bearing              31.1%        30.5%        28.5%
Savings                                 4.9%         4.9%         4.8%
Money market checking and NOW accounts  24.4%        24.8%        23.4%
Time deposits of $100,000 or more       23.9%        23.9%        28.7%
Other time deposits                     15.7%        15.9%        14.6%
Total deposits                          100.0%       100.0%       100.0%
                                                               
Capital ratios:                                                 
Hanmi Financial                                                 
Total risk-based capital ratio          16.52%       19.45%       20.02%
Tier 1 risk-based capital ratio         15.25%       18.17%       18.74%
Tier 1 leverage capital ratio           12.90%       14.68%       14.70%
Tangible equity to tangible assets      14.22%       13.89%       12.20%
ratio
Hanmi Bank                                                      
Total risk-based capital ratio          16.39%       18.69%       19.06%
Tier 1 risk-based capital ratio         15.12%       17.42%       17.79%
Tier 1 leverage capital ratio           12.76%       14.07%       13.95%
Tangible equity to tangible assets      13.66%       15.10%       14.34%
ratio

                                                                                                
                                                                                                
                                                                                                
Hanmi Financial Corporation and Subsidiaries
Average Balance, Average Yield Earned and Average Rate Paid(Unaudited)
(In thousands)
                                                                                                
                   Three Months Ended
                   June 30, 2013                  March 31, 2013                 June 30, 2012
                               Interest  Average             Interest  Average             Interest  Average
                   Average      Income /  Yield / Average      Income /  Yield / Average      Income /  Yield /
                   Balance      Expense   Rate    Balance      Expense   Rate    Balance      Expense   Rate
Assets                                                                                           
Interest-earning                                                                                 
assets:
Gross loans, net of $2,165,741 $27,839 5.16%   $2,073,514 $26,799 5.24%   $2,003,475 $27,241 5.47%
deferred loan fees
Municipal           46,102      454      3.94%   46,111      454      3.94%   44,867      442      3.94%
securities-taxable
Municipal
securities-tax      10,707      112      4.20%   12,803      146      4.57%   13,011      152      4.68%
exempt
Obligations of
other U.S.          93,432      432      1.85%   88,982      422      1.90%   77,390      380      1.96%
government agencies
Other debt          273,321     1,214    1.78%   295,177     1,240    1.68%   281,934     1,368    1.94%
securities
Equity securities   28,729      343      4.78%   30,336      291      3.84%   31,107      176      2.26%
Federal funds sold  341         --       0.00%   5,963       6        0.41%   29,844      31       0.42%
Term federal funds  --          --       0.00%   --          --       0.00%   70,384      168      0.95%
sold
Interest-bearing
deposits in other   39,256      24       0.25%   140,538     88       0.25%   90,416      59       0.26%
banks
Total
interest-earning    2,657,629   30,418   4.59%   2,693,424   29,446   4.43%   2,642,428   30,017   4.57%
assets
                                                                                                
Noninterest-earning                                                                              
assets:
Cash and cash       66,643                      66,166                      71,162               
equivalents
Allowance for loan  (61,026)                    (62,639)                    (79,089)             
losses
Other assets        130,259                     132,976                     88,931               
Total
noninterest-earning 135,876                     136,503                     81,004               
assets
                                                                                                
Total assets        $2,793,505                 $2,829,927                 $2,723,432          
                                                                                                
Liabilities and
Stockholders'                                                                                    
Equity
Interest-bearing                                                                                 
liabilities:
Deposits:                                                                                        
Savings             $115,685   $466    1.62%   $114,182   $458    1.63%   $111,685   $586    2.11%
Money market
checking and NOW    591,317     769      0.52%   567,977     720      0.51%   514,662     769      0.60%
accounts
Time deposits of    565,927     1,057    0.75%   595,205     1,175    0.80%   659,176     1,763    1.08%
$100,000 or more
Other time deposits 371,868     808      0.87%   370,798     806      0.88%   348,749     835      0.96%
FHLB advances       9,188       41       1.79%   2,890       38       5.33%   4,103       43       4.22%
Junior subordinated 9,966       84       3.38%   76,220      594      3.16%   82,406      797      3.89%
debentures
Total
interest-bearing    1,663,951   3,225    0.78%   1,727,272   3,791    0.89%   1,720,781   4,793    1.12%
liabilities
                                                                                                
Noninterest-bearing                                                                              
liabilities:
Demand deposits     721,090                     700,637                     673,921              
Other liabilities   14,723                      19,015                      28,152               
Total
noninterest-bearing 735,813                     719,652                     702,073              
liabilities
                                                                                                
Total liabilities   2,399,764                   2,446,924                   2,422,854            
Stockholders'       393,741                     383,003                     300,578              
equity
                                                                                                
Total liabilities
and stockholders'   $2,793,505                 $2,829,927                 $2,723,432          
equity
                                                                                                
Net interest income             $27,193                    $25,655                    $25,224 
                                                                                                
Cost of deposits                         0.53%                        0.55%                        0.69%
Net interest spread                      3.81%                        3.54%                        3.45%
Net interest margin                      4.10%                        3.86%                        3.84%

                                                                    
                                                                    
                                                                    
Hanmi Financial Corporation and Subsidiaries
Average Balance, Average Yield Earned and Average Rate Paid, Continued
(Unaudited)
(In thousands)
                                                                    
                   Six Months Ended
                   June 30, 2013                  June 30, 2012
                               Interest  Average             Interest  Average
                   Average      Income /  Yield / Average      Income /  Yield /
                   Balance      Expense   Rate    Balance      Expense   Rate
Assets                                                               
Interest-earning                                                     
assets:
Gross loans, net of $2,119,881 $54,638 5.20%   $1,994,273 $54,783 5.52%
deferred loan fees
Municipal           46,106      908      3.94%   44,427      888      4.00%
securities-taxable
Municipal
securities-tax      11,749      258      4.40%   13,147      310      4.72%
exempt
Obligations of
other U.S.          91,219      854      1.87%   75,418      705      1.87%
government agencies
Other debt          284,189     2,454    1.73%   287,743     2,696    1.87%
securities
Equity securities   29,528      634      4.29%   31,789      333      2.10%
Federal funds sold  3,136       6        0.39%   15,847      33       0.37%
Term federal funds  --          --       0.00%   98,434      493      0.94%
sold
Interest-bearing
deposits in other   89,617      112      0.25%   98,007      127      0.26%
banks
Total
interest-earning    2,675,425   59,864   4.51%   2,659,085   60,368   4.57%
assets
                                                                    
Noninterest-earning                                                  
assets:
Cash and cash       66,406                      70,204               
equivalents
Allowance for loan  (61,828)                    (83,557)             
losses
Other assets        131,611                     86,753               
Total
noninterest-earning 136,189                     73,400               
assets
                                                                    
Total assets        $2,811,614                 $2,732,485          
                                                                    
Liabilities and
Stockholders'                                                        
Equity
Interest-bearing                                                     
liabilities:
Deposits:                                                            
Savings             $114,937   $924    1.62%   $108,681   $1,159  2.14%
Money market
checking and NOW    579,711     1,489    0.52%   490,163     1,454    0.60%
accounts
Time deposits of    580,485     2,232    0.78%   720,869     4,511    1.26%
$100,000 or more
Other time deposits 371,336     1,614    0.88%   343,195     1,747    1.02%
FHLB advances       6,056       79       2.63%   3,681       86       4.64%
Other Borrowings    --          --       0.00%   --          1        0.00%
Junior subordinated 42,881      678      3.19%   82,406      1,596    3.89%
debentures
Total
interest-bearing    1,695,406   7,016    0.83%   1,748,995   10,554   1.21%
liabilities
                                                                    
Noninterest-bearing                                                  
liabilities:
Demand deposits     710,920                     659,825              
Other liabilities   16,886                      29,573               
Total
noninterest-bearing 727,806                     689,398              
liabilities
                                                                    
Total liabilities   2,423,212                   2,438,393            
Stockholders'       388,402                     294,092              
equity
                                                                    
Total liabilities
and stockholders'   $2,811,614                 $2,732,485          
equity
                                                                    
Net interest income             $52,848                    $49,814 
                                                                    
Cost of deposits                         0.54%                        0.77%
Net interest spread                      3.68%                        3.36%
Net interest margin                      3.98%                        3.77%

Non-GAAP Financial Measures

Tangible Common Equity to Tangible Assets Ratio

Tangible common equity to tangible assets ratio is supplemental financial
information determined by a method other than in accordance with U.S.
generally accepted accounting principles ("GAAP"). This non-GAAP measure is
used by management in the analysis of Hanmi Financial and Hanmi Bank's capital
strength. Tangible equity is calculated by subtracting goodwill and other
intangible assets from total stockholders' equity. Banking and financial
institution regulators also exclude goodwill and other intangible assets from
total stockholders' equity when assessing the capital adequacy of a financial
institution. Management believes the presentation of this financial measure
excluding the impact of these items provides useful supplemental information
that is essential to a proper understanding of the capital strength of Hanmi
Financial and Hanmi Bank. This disclosure should not be viewed as a
substitution for results determined in accordance with GAAP, nor is it
necessarily comparable to non-GAAP performance measures that may be presented
by other companies.

The following table reconciles this non-GAAP performance measure to the GAAP
performance measure for the periods indicated:

Tangible Common Equity to Tangible Assets Ratio(Unaudited)
(In thousands, except per share data)
                                                               
                                       June 30,     March 31,    June 30,
Hanmi Financial Corporation             2013         2013         2012
Total assets                            $ 2,773,414 $ 2,792,423 $ 2,846,652
Less other intangible assets            (1,253)     (1,294)     (1,417)
Tangible assets                         $ 2,772,161 $ 2,791,129 $ 2,845,235
                                                               
Total stockholders' equity              $395,396   $389,105   $348,456
Less other intangible assets            (1,253)     (1,294)     (1,417)
Tangible stockholders' equity           $394,143   $387,811   $347,039
                                                               
Total stockholders' equity to total     14.26%       13.93%       12.24%
assets
Tangible common equity to tangible      14.22%       13.89%       12.20%
assets
                                                               
Common shares outstanding               31,604,837  31,588,767  31,489,201
Tangible common equity per common share $12.47     $12.28     $11.02
                                                               
Hanmi Bank                                                      
Total assets                            $ 2,768,581 $ 2,786,691 $ 2,841,441
Less other intangible assets            --          --          --
Tangible assets                         $ 2,768,581 $ 2,786,691 $ 2,841,441
                                                               
Total stockholders' equity              $378,116   $420,755   $407,407
Less other intangible assets            --          --          --
Tangible stockholders' equity           $378,116   $420,755   $407,407
                                                               
Total stockholders' equity to total     13.66%       15.10%       14.34%
assets
Tangible common equity to tangible      13.66%       15.10%       14.34%
assets

CONTACT: Hanmi Financial Corporation
         Shick (Mark) Yoon
         SVP & Chief Financial Officer
         Direct Phone: 213-427-5636
        
         Christina Lee
         FVP, Senior Strategy Officer
         Direct Phone:  213-427-5631
 
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