East West Bancorp Reports Net Income for Third Quarter 2013 of $73.2 Million, up 3% from Prior Year and Earnings Per Share of

  East West Bancorp Reports Net Income for Third Quarter 2013 of $73.2
  Million, up 3% from Prior Year and Earnings Per Share of $0.53, up 10% from
  Prior Year

Business Wire

PASADENA, Calif. -- October 16, 2013

East West Bancorp, Inc. (“East West”) (Nasdaq: EWBC), parent company of East
West Bank, the financial bridge between the United States and Greater China,
today reported financial results for the third quarter of 2013. For the third
quarter of 2013, net income was $73.2 million or $0.53 per dilutive share.
East West increased third quarter net income by $2.0 million or 3% and
increased earnings per dilutive share by $0.05 or 10% from the prior year
period.

“East West is pleased to report solid earnings of $73.2 million or $0.53 per
share for the third quarter of 2013, an increase in earnings per share of 10%
from the prior year,” stated Dominic Ng, Chairman and Chief Executive Officer
of East West. “East West is focused on achieving a sustainable, superior
financial performance and we believe our financial results for the third
quarter of 2013 are reflective of this goal. Throughout the year and
continuing in the third quarter of 2013, East West has successfully grown
total assets, loans, deposits and fee income. Quarter to date, total loans
increased 6% or $946.7 million to a record $17.2 billion and total deposits
also increased 6% or $1.1 billion to a record $20.4 billion. Further, year to
date, fee income has increased 20% to $81.4 million.”

Ng continued, “With our solid financial results year to date, East West is on
track for another year of record earnings. As the financial bridge between
East and West, we continue to see opportunities to expand our market share,
grow our profitability, and deliver strong results for our shareholders year
after year.”

“Additionally, we were pleased to announce last month, that we signed a
definitive agreement to acquire MetroCorp Bancshares, Inc. (“MCBI”),
headquartered in Houston, Texas. MCBI has $1.6 billion in total assets and
operates 18 branches under its two subsidiary banks, MetroBank and Metro
United Bank. Both strategically and culturally, MCBI is a good fit with East
West and we are confident in our ability to execute a successful integration.
We are equally confident that this transaction will create greater value for
our shareholders as we expand our presence in California and significantly
increase our presence in Texas. Currently, we expect the acquisition of MCBI
to close in the first quarter of 2014 and be accretive to 2014 earnings,”
concluded Ng.

Quarterly Results Summary

  (Dollars in
 millions, except    Quarter Ended
  per share)
                         September 30,    June 30, 2013    September 30,
                         2013                                    2012
  Net income             $  73.16            $  74.02            $  71.11
  Net income
  available to           $  73.16            $  72.30            $  69.40
  common
  shareholders
  Earnings per           $  0.53             $  0.52             $  0.48
  share (diluted)
  Tangible book
  value per common       $  13.96            $  13.55            $  13.07
  share
                                                                 
  Return on                 1.22    %           1.29    %           1.30    %
  average assets
  Return on
  average common            12.65   %           12.59   %           12.43   %
  equity
                                                                 
  Net interest
  income, adjusted       $  192.36           $  192.17           $  196.29
  ^(1)
  Net interest
  margin, adjusted          3.44    %           3.62    %           3.95    %
  ^(1)
  Cost of deposits          0.30    %           0.33    %           0.41    %
  Efficiency ratio          43.84   %           40.40   %           42.20   %
                                                                 

Third Quarter 2013 Highlights

  *Strong Third Quarter Earnings – For the third quarter of 2013, net income
    was $73.2 million or $0.53 per dilutive share. Net income decreased 1% or
    $858 thousand from the second quarter of 2013 and grew 3% or $2.0 million
    from the third quarter of 2012. Earnings per dilutive share grew 2% or
    $0.01 from the second quarter of 2013 and 10% or $0.05 from the third
    quarter of 2012.
  *Strong Capital Levels – Capital levels  for East West remain high. As of
    September 30, 2013, East West’s Tier 1 risk-based capital and total
    risk-based ratios were 12.4% and 14.0%, respectively, compared to the well
    capitalized requirements of 6% and 10%, respectively.
  *Strong Loan Growth – Quarter to date, total loans receivable (including
    both covered and non-covered loans) grew 6% or $946.7 million to a record
    $17.2 billion as of September 30, 2013. This growth was due to an 8% or
    $1.1 billion increase in non-covered loans, partially offset by a decrease
    in loans covered under loss-share agreements of 6% or $145.8 million,
    quarter to date. In the third quarter, we experienced growth in all
    non-covered loan categories. In particular, we had strong growth in single
    family residential loans, commercial real estate loans, consumer loans and
    commercial and industrial loans.
  *Strong Deposit Growth – Total deposits increased to record levels,
    increasing 6% or $1.1 billion to a record $20.4 billion as of September
    30, 2013. During the third quarter, core deposits increased by 8% or $1.1
    billion to a record $14.4 billion. The strong growth in core deposits for
    the quarter was fueled by a 12% or $628.4 million increase in
    noninterest-bearing demand deposits to a record $5.8 billion as of
    September 30, 2013.
  *Cost of Deposits Down 3 bps from Q2 2013 and Down 11 bps from Q3 2012 –
    The cost of deposits improved to 0.30% for the third quarter of 2013, down
    from 0.33% in the second quarter of 2013 and 0.41% in the third quarter of
    2012. The cost of funds improved to 0.51% for the third quarter of 2013,
    down from 0.55% in the second quarter of 2013 and 0.67% in the third
    quarter of 2012.
  *Nonperforming Assets Down to 0.51% of Total Assets – Nonperforming assets
    decreased  to $124.1 million, or 0.51% of total assets at September 30,
    2013, a 7% or $9.4 million decrease from June 30, 2013 and a 14% or $20.0
    million decrease from September 30, 2012.

Management Guidance

The Company is providing guidance for the fourth quarter and full year of
2013. Management currently estimates that fully diluted earnings per share for
the full year of 2013 will range from $2.09 to $2.11, an increase of $0.20 to
$0.22 or 11% to 12% from $1.89 for the full year of 2012. This EPS guidance
assumes a full year adjusted net interest margin ranging from 3.51% to
3.53%^1. Further, this EPS guidance for the remainder of 2013 is based on a
stable  balance sheet, total loan growth of approximately $400 million,
(including both covered and non-covered loans), provision for loan losses of
approximately $3.5 million to $5.0 million, noninterest expense, adjusted for
FDIC reimbursements, of approximately $95.0 million to $100.0 million, and an
effective tax rate of 34%.

Management currently estimates that fully diluted earnings per share for the
fourth quarter of 2013 will range from $0.53 to $0.55, an increase of $0.04 to
$0.06 or 8% to 12% from $0.49 in the fourth quarter of 2012, based on the
assumptions stated above.

Balance Sheet Summary

At September 30, 2013, total assets increased 5% or $1.2 billion to $24.5
billion compared to $23.3 billion at June 30, 2013. Correspondingly, average
earning assets also increased during the third quarter, up 4% or $923.1
million to $22.2 billion compared to the prior quarter. The increases in both
total assets and in average earning assets during the third quarter were
primarily attributable to increases in average balances for non-covered loans.

Total loans receivable increased 6% or $946.7 million to $17.2 billion at
September 30, 2013, compared to $16.3 billion at June 30 2013. This quarter to
date increase in loans receivable stemmed from growth in the non-covered loan
portfolio, partially offset by a decrease in the covered loan portfolio. The
continued trend of growth in the non-covered loan portfolio was largely due to
increases in single family loans, commercial real estate loans, consumer loans
and commercial and industrial loans.

Covered Loans

Covered loans, net of discount, totaled $2.4 billion as of September 30, 2013,
a decrease of 6% or $145.8 million from June 30, 2013. The decrease in the
covered loan portfolio was primarily due to payoffs and paydown activity, as
well as charge-offs.

The covered loan portfolio is comprised of loans acquired from the
FDIC-assisted acquisitions of United Commercial Bank (UCB) and Washington
First International Bank (WFIB) which are covered under loss-share agreements
with the FDIC. During the third quarter of 2013, we recorded a net decrease in
the FDIC indemnification asset and receivable included in noninterest
(loss)/income of ($74.5) million, largely due to the continuing payoffs and
the continuing improved credit performance of the UCB portfolio as compared to
our original estimate. Under the loss-share agreements with the FDIC, East
West Bank is required to pay the FDIC a calculated amount if specific
thresholds of losses are not reached. Included in the net decrease in the FDIC
indemnification asset and receivable of ($74.5) million for the third quarter
of 2013 is an expense of $15.2 million for this liability due to the
continuing strong credit performance of the covered portfolios.

Deposits

At September 30, 2013, total deposits reached a record $20.4 billion, an
increase of 6% or $1.1 billion from $19.3 billion at June 30, 2013. In the
third quarter of 2013, we continued to execute our strategy to grow low-cost,
commercial deposits while reducing our reliance on time deposits. Core
deposits increased to a record $14.4 billion at September 30, 2013, an
increase of 8% or $1.1 billion from June 30, 2013. The increase in core
deposits during the third quarter of 2013 was largely driven by an increase in
noninterest-bearing demand deposits which increased by 12% or $628.4 million
to a record $5.8 billion as of September 30, 2013.

Third Quarter 2013 Operating Results

Net Interest Income

Net interest income, adjusted for the net impact of covered loan activity,
totaled $192.4 million for the third quarter of 2013, an increase of $189
thousand from $192.2 million for the second quarter of 2013. The core net
interest margin, considering the net impact of $61.9 million to the FDIC
indemnification asset due to covered loan activity and amortization of the
FDIC indemnification asset, totaled 3.44% for the third quarter of 2013. This
compares to a core net interest margin of 3.62% and 3.95%, considering the net
impact of $35.5 million and $25.6 million to the FDIC indemnification asset
due to covered loan activity and amortization of the FDIC indemnification
asset, for the second quarter of 2013 and third quarter of 2012,
respectively.^1

The compression in the core net interest margin compared to the prior quarter
was largely due to a decrease in the yield on the loan portfolio during the
third quarter. Although, the core net interest margin declined, the adjusted
net interest income expanded slightly from the second quarter to $192.4
million, due to the strong growth in balances of noncovered loans and
investment securities.

During the third quarter, the cost of funds decreased to 0.51%, a decrease of
4 basis points from the second quarter of 2013. Additionally, interest expense
for the third quarter of 2013 was $27.5 million, a decrease of $253 thousand
from the second quarter of 2013. The reduction in the cost of funds and
interest expense for the quarter is primarily due to the growth of lower cost,
core deposits. The Company increased core deposit balances by 8% or $1.1
billion, quarter over quarter. These actions resulted in a reduction in the
cost of deposits to 0.30% for the third quarter of 2013, a reduction of 3
basis points from 0.33% in the prior quarter.

Noninterest (Loss)/ Income & Expense

The Company reported a total noninterest loss for the third quarter of 2013 of
($41.4) million, compared to a noninterest loss of ($12.4) million in the
second quarter of 2013 and noninterest income of $2.8 million in the third
quarter of 2012. The increase in the noninterest loss in the current quarter
compared to both the prior quarter and prior year period is largely due to
changes in the net reduction of the FDIC indemnification asset and FDIC
receivable.

Branch fees, letter of credit and foreign exchange income, ancillary loan fees
and other operating income totaled $27.0 million in the third quarter of 2013,
a decrease of 11% or $3.3 million from $30.3 million in the second quarter of
2013 and an increase of 12% or $3.0 million from $24.0 million in the third
quarter of 2012. In addition, included in noninterest income for the third
quarter of 2013 were net gains of $3.9 million on sales of SBA loans and $1.1
million from the sale of available for sale investment securities. A summary
of fees and other operating income for the third quarter of 2013, compared to
the second quarter of 2013 and third quarter of 2012 is detailed below:

                                                        
                    Quarter Ended                                     %      
                                                                      Change
($ in               September        June 30,         September       (Yr/Yr)
thousands)          30, 2013         2013             30, 2012
                                                                      
  Branch fees       $  8,123         $  8,119         $  7,720        5      %
  Letters of
  credit fees
  and foreign          8,555            9,075            7,166        19     %
  exchange
  income
  Ancillary            2,125            2,634            1,817        17     %
  loan fees
  Other
  operating           8,210           10,504          7,326        12     %
  income
Total fees &
other               $  27,013        $  30,332        $  24,029       12     %
operating
income
                                                                      

Noninterest expense totaled $100.4 million for the third quarter of 2013, an
increase of 6% or $5.9 million from the second quarter of 2013 and a decrease
of $604 thousand from the third quarter of 2012.

Noninterest expense, excluding the impact of reimbursable amounts from the
FDIC on covered assets and prepayment penalties for FHLB advances, totaled
$97.8 million for the third quarter of 2013.^1 A summary of noninterest
expense for the third quarter of 2013, compared to the second quarter of 2013
and third quarter of 2012 is detailed below:

 ($ in thousands)         Quarter Ended
                              September 30,    June 30,      September
                              2013                2013             30, 2012
  Total noninterest           $   100,352         $  94,420        $  100,956
  expense
  Amounts to be
  reimbursed by the
  FDIC on covered                 2,558              2,910            3,005
  assets (80% of actual
  expense amount)
  Prepayment penalties
  for FHLB advances and          -                 -               42
  other borrowings
  Noninterest expense
  excluding
  reimbursable amounts
  and prepayment              $   97,794          $  91,510        $  97,909
  penalties for FHLB
  advances and other
  borrowings
                                                                   

Total noninterest expense for the third quarter, excluding the impact of
reimbursable amounts from the FDIC on covered assets and prepayment penalties
for FHLB advances, increased 7% or $6.3 million from the prior quarter to
$97.8 million for the third quarter of 2013. The increase in noninterest
expense, quarter over quarter, was primarily due to an increase in legal
expense which increased $3.5 million or 65% from the second quarter 2013,
resulting from the resolution of litigation, including covered assets.
Additionally, the Company recorded a net gain on sale of other real estate
owned assets of $1.2 million in the second quarter of 2013, compared to an
expense of $157 thousand in the third quarter of 2013.

The effective tax rate for the third quarter was 32.8% as compared to 33.8% in
the prior quarter. The effective tax rate is reduced from the statutory tax
rate primarily due to the utilization of tax credits related to affordable
housing investments.

Credit Quality

Non-covered Loans

The Company recorded provision for loan losses for non-covered loans of $4.5
million for the third quarter of 2013. This compares to a provision for loan
losses of $8.3 million and $13.3 million for the second quarter of 2013 and
third quarter of 2012. The decrease in the provision for loan losses for
non-covered loans compared to the prior quarter and prior year was largely due
to the reduction in net chargeoffs in the third quarter of 2013. Total net
charge-offs on non-covered loans totaled $334 thousand for the third quarter
of 2013, a decrease from net charge-offs of $4.0 million in the second quarter
of 2013.

Nonaccrual loans, excluding covered loans, totaled $103.9 million or 0.60% of
total loans at September 30, 2013, a decrease from both 0.69% of total loans
at June 30, 2013 and 0.72% of total loans at September 30, 2012. The
nonperforming assets to total assets ratio also decreased, down to 0.51% as of
September 30, 2013, compared to 0.57% as of June 30, 2013, and 0.66% as of
September 30, 2012.

The allowance for non-covered loan losses was $234.2 million or 1.60% of
non-covered loans receivable at September 30, 2013. This compares to an
allowance for non-covered loan losses of $233.5 million or 1.73% of
non-covered loans at June 30, 2013 and $223.6 million or 2.00% of non-covered
loans at September 30, 2012.

The allowance for unfunded commitments and letters of credit was $11.5 million
as of September 30, 2013. The Company recorded a provision for unfunded
commitments and letters of credit of $3.4 million for third quarter 2013 due
to an increase in unfunded commitments on new loans, including construction
loans. This compares to a reversal of provision for unfunded commitments and
letters of credit of $432 thousand and $1.5 million for the second quarter of
2013 and third quarter of 2012, respectively.

Covered Loans

During the third quarter of 2013, the Company recorded a reversal of provision
for loan losses of $964 thousand, on covered loans. As these loans are covered
under loss-sharing agreements with the FDIC, for any charge-offs, the Company
records income of 80% of the charge-off amount in noninterest income as a net
increase in the FDIC receivable, resulting in a net impact to earnings of 20%
of the charge-off amount.

Capital Strength

(Dollars in millions)                                   
                                                                 
                                                                  
                                                Well              Total Excess
                            September 30,       Capitalized       Above
                            2013                Regulatory        Well
                                                Requirement       Capitalized
                                                                  Requirement
                                                                  
Tier 1 leverage             8.7      %          5.00    %         $    873
capital ratio
Tier 1 risk-based           12.4     %          6.00    %              1,056
capital ratio
Total risk-based            14.0     %          10.00   %              654
capital ratio
Tangible equity to          8.0      %          N/A                    N/A
tangible assets ratio
Tangible equity to
risk weighted assets        11.6     %          N/A                    N/A
ratio
                                                                  

Our capital ratios remain very strong. As of September 30, 2013, our Tier 1
leverage capital ratio totaled 8.7%, our Tier 1 risk-based capital ratio
totaled 12.4% and our total risk-based capital ratio totaled 14.0%.

The Company is focused on active capital management and is committed to
maintaining strong capital levels that exceed regulatory requirements while
also supporting balance sheet growth and providing a strong return to our
shareholders.

Dividend Payout and Capital Actions

East West’s Board of Directors has declared fourth quarter dividends for the
common stock. The common stock cash dividend of $0.15 is payable on or about
November 15, 2013 to shareholders of record on October 31, 2013.

Conference Call

East West will host a conference call to discuss third quarter 2013 earnings
with the public on Thursday, October 17, 2013 at 8:30 a.m. PDT/11:30 a.m. EDT.
The public and investment community are invited to listen as management
discusses third quarter results and operating developments. The following
dial-in information is provided for participation in the conference call:
Calls within the US – (888) 317-6016; Calls within Canada – (855) 669-9657;
International calls – (412) 317-6016.A listen-only live broadcast of the call
also will be available on the investor relations page of the Company's website
at www.eastwestbank.com.

East West and MetroCorp Bancshares, Inc. Merger Announcement

On September18, 2013, East West and MetroCorp Bancshares,Inc. announced that
they had entered into a definitive agreement, dated as of September18, 2013,
pursuant to which MetroCorp will merge with and into the Company. Under the
terms of the definitive agreement, East West will acquire the outstanding
shares of MetroCorp for the lesser of $14.60 per share and 1.72 times the per
share tangible equity, as adjusted, for an aggregate purchase price of
approximately $273 million based on the 18,699,638 shares currently
outstanding. The shareholders of MetroCorp will receive two thirds of the
merger consideration in shares of East West common stock and the remainder in
cash. The exchange ratio for determining the number of shares of East West
common stock deliverable to shareholders of MetroCorp will be based on the
weighted average closing price of East West’s common stock over a 60 trading
day measurement period ending five days prior to the closing. The transaction,
which has been unanimously approved by the East West and MetroCorp Boards of
Directors, is expected to be completed during the first quarter of 2014,
although delays may occur. The transaction is subject to customary closing
conditions, including approval by MetroCorp shareholders and regulatory
approvals.

About East West

East West Bancorp is a publicly owned company with $24.5 billion in assets and
is traded on the Nasdaq Global Select Market under the symbol “EWBC”. The
Company’s wholly owned subsidiary, East West Bank, is one of the largest
independent banks headquartered in California. East West is a premier bank
focused exclusively on the United States and Greater China markets and
operates over 120 locations worldwide, including in the United States markets
of California, New York, Georgia, Massachusetts, Texas and Washington. In
Greater China, East West’s presence includes a full service branch in Hong
Kong and representative offices in Beijing, Shenzhen and Taipei.Through a
wholly-owned subsidiary bank, East West’s presence in Greater China also
includes full service branches in Shanghai and Shantou and a representative
office in Guangzhou. For more information on East West Bancorp, visit the
Company's website at www.eastwestbank.com.

Forward-Looking Statements

Certain matters set forth herein (including any exhibits hereto) constitute
forward-looking statements within the meaning of the Private Securities
Litigation Reform Act of 1995, including forward-looking statements relating
to the Company’s current business plans and expectations regarding future
operating results. These forward-looking statements are subject to risks and
uncertainties that could cause actual results, performance or achievements to
differ materially from those projected. These risks and uncertainties include,
but are not limited to, local, regional, national and international economic,
political or industry conditions and events and the impact they may have on us
and our customers; our ability to attract deposits and other sources of
liquidity; continued deterioration in values of real estate in California and
other states where our bank makes loans, both residential and commercial; our
ability to manage the loan portfolios acquired from FDIC-assisted acquisitions
within the limits of the loss protection provided by the FDIC; changes in the
financial performance and/or condition of our borrowers; changes in the level
of nonperforming assets, reserve requirements, and charge-offs; the effect of
changes in laws, regulations, and accounting standards, and related costs of
these changes; inflation, interest rate, securities market and monetary
fluctuations; changes in the competitive environment among financial and bank
holding companies and other financial service providers; changes in our
organization, management; the adequacy of our enterprise risk management
framework; the ability to manage our growth and the effect of acquisitions we
may make and the integration of acquired businesses and branching efforts; our
success at managing the risks involved in the foregoing items and other
factors set forth in the Company’s public reports including its Annual Report
on Form 10-K for the year ended December 31, 2012, and particularly the
discussion of risk factors within that document. Additional risks and
uncertainties relating to the proposed transaction with MetroCorp include, but
are not limited to: the ability to complete the proposed transaction,
including obtaining regulatory approvals and approvals by the stockholders of
MetroCorp; the length of time necessary to consummate the proposed
transaction; the ability to successfully integrate the two institutions and
achieve expected synergies and operating efficiencies on the expected
timeframe; unexpected costs relating to the proposed transaction; and the
potential impact on the institutions’ respective businesses as a result of
uncertainty surrounding the proposed transaction. If any of these risks or
uncertainties materializes or if any of the assumptions underlying such
forward-looking statements proves to be incorrect. East West’s results could
differ materially from those expressed in, implied or projected by such
forward-looking statements. East West assumes no obligation to update such
forward-looking statements.

Important Information About the Proposed Merger and Where to Find It

In connection with the referenced proposed transaction, East West intends to
file with the SEC a registration statement on Form S-4, which will include a
proxy statement/prospectus with respect to the proposed acquisition of
MetroCorp. The final proxy statement/prospectus will be mailed to the
shareholders of MetroCorp in advance of a special meeting of shareholders that
will be held to consider the proposed merger. INVESTORS AND SECURITY HOLDERS
OF METROCORP ARE URGED TO READ THE PROXY STATEMENT/PROSPECTUS REGARDING THE
PROPOSED MERGER CAREFULLY AND IN ITS ENTIRETY, INCLUDING ANY DOCUMENTS
PREVIOUSLY FILED WITH THE SEC AND INCORPORATED BY REFERENCE INTO THE PROXY
STATEMENT/PROSPECTUS, WHEN IT BECOMES AVAILABLE BECAUSE IT WILL CONTAIN
IMPORTANT INFORMATION REGARDING EAST WEST, METROCORP AND THE PROPOSED MERGER.
Investors will be able to obtain a free copy of the registration statement and
proxy statement/prospectus, as well as other filings containing information
about East West and MetroCorp (including but not limited to their Annual
Reports on Form 10-K, their proxy statements, their Current Reports on Form
8-K and their Quarterly Reports on Form 10-Q), without charge, at the SEC’s
website at http://www.sec.gov/. Investors may also obtain these documents,
without charge, from East West’s website at http://www.eastwestbank.com or by
contacting East West’s investor relations department at (626) 768-6000 or from
MetroCorp’s website at https://www.metrobank-na.com or by contacting
MetroCorp’s investor relations department at (713) 776-3876.

Participants in a Solicitation

MetroCorp and its directors, executive officers and other members of its
management and employees may be deemed to be participants in the solicitation
of proxies in respect of the proposed merger. Information about the directors
and executive officers of MetroCorp and their ownership of MetroCorp common
stock is set forth in the Proxy Statement for MetroCorp’s 2013 Annual Meeting
of Shareholders as previously filed with the SEC. Additional information
regarding the interests of such participants in the proposed transaction will
be included in the proxy statement/prospectus, when it becomes available.

^1 See reconciliation of the GAAP financial measure to the non-GAAP financial
measure in the tables attached.

EAST WEST BANCORP, INC.
CONDENSED CONSOLIDATED BALANCE SHEETS
(In thousands, except per share amounts)
(unaudited)
                                                       
                         September 30,        June 30, 2013       September
                         2013                                     30, 2012
Assets
  Cash and cash          $  1,322,383         $  1,050,214        $ 1,836,372
  equivalents
  Short-term                293,092              330,438            347,001
  investments
  Securities
  purchased under           1,300,000            1,450,000          1,100,000
  resale
  agreements
  Investment                2,892,761            2,667,172          2,237,848
  securities
  Loans
  receivable,
  excluding
  covered loans
  (net of
  allowance for
  loan
  losses of
  $234,236,                 14,602,971           13,509,241         11,074,255
  $233,480 and
  $223,637)
  Covered loans
  (net of
  allowance for
  loan losses of
  $8,665, $9,629
  and $5,877)              2,359,504           2,504,315         3,178,585
  Total loans               16,962,475           16,013,556         14,252,840
  receivable, net
  Federal Home
  Loan Bank and             123,638              134,250            165,825
  Federal Reserve
  Bank stock
  FDIC
  indemnification           145,034              219,942            368,473
  asset
  Other real
  estate owned,             20,184               21,433             40,007
  net
  Other real
  estate owned              26,940               29,836             27,613
  covered, net
  Premiums on
  deposits                  49,153               51,501             58,746
  acquired, net
  Goodwill                  337,438              337,438            337,438
  Other assets             1,020,169           1,002,626         1,041,002
  Total assets           $  24,493,267        $  23,308,406       $ 21,813,165
                                                                  
Liabilities and
Stockholders'
Equity
  Deposits               $  20,359,140        $  19,282,207       $ 17,666,427
  Federal Home
  Loan Bank                 314,557              314,022            363,119
  advances
  Securities sold
  under repurchase          995,000              995,000            995,000
  agreements
  Long-term debt            187,178              137,178            137,178
  Accrued expenses
  and other                325,516             322,048           333,232
  liabilities
  Total                     22,181,391           21,050,455         19,494,956
  liabilities
  Stockholders'            2,311,876           2,257,951         2,318,209
  equity
  Total
  liabilities and        $  24,493,267        $  23,308,406       $ 21,813,165
  stockholders'
  equity
  Book value per         $  16.78             $  16.40            $ 15.93
  common share
  Tangible book
  value per common       $  13.96             $  13.55            $ 13.07
  share
  Number of common
  shares at period          137,739              137,705            140,301
  end
                                                                  

EAST WEST BANCORP, INC.
TOTAL LOANS AND DEPOSIT DETAIL
(In thousands)
(unaudited)
                                                           
AS OF SEPTEMBER 30,
2013
                            Non-covered          Covered, net         Total loans
                                                 of discount          receivable
Loans receivable
  Real estate -             $ 3,000,923          $ 284,973            $ 3,285,896
  single family
  Real estate -               976,847              419,663              1,396,510
  multifamily
  Real estate -               4,160,369            941,204              5,101,573
  commercial
  Real estate - land          234,118              233,785              467,903
  and construction
  Commercial                  4,881,368            421,161              5,302,529
  Consumer                   1,377,438          67,383             1,444,821  
  Total loans
  receivable,                 14,631,063           2,368,169            16,999,232
  excluding loans
  held for sale
  Loans held for sale        232,309            —                  232,309    
  Total loans                 14,863,372           2,368,169            17,231,541
  receivable
Unearned fees,
premiums and                  (26,165    )         —                    (26,165    )
discounts
Allowance for loan           (234,236   )        (8,665     )        (242,901   )
losses
  Net loans                 $ 14,602,971         $ 2,359,504          $ 16,962,475
  receivable
                                                                      
                                                                      
                            September 30,        June 30, 2013        September 30,
                            2013                                      2012
Loans receivable
  Real estate -             $ 3,000,923          $ 2,575,975          $ 2,065,622
  single family
  Real estate -               976,847              929,867              911,781
  multifamily
  Real estate -               4,160,369            3,917,082            3,519,601
  commercial
  Real estate - land          234,118              233,302              250,872
  and construction
  Commercial                  4,881,368            4,709,675            3,732,785
  Consumer                   1,377,438          1,160,013          674,547    
  Total non-covered
  loans receivable,           14,631,063           13,525,914           11,155,208
  excluding loans
  held for sale
  Loans held for sale         232,309              245,026              157,869
  Covered loans, net         2,368,169          2,513,944          3,184,462  
  of discount
  Total loans                 17,231,541           16,284,884           14,497,539
  receivable
Unearned fees,
premiums and                  (26,165    )         (28,219    )         (15,185    )
discounts
Allowance for loan
losses on non-covered         (234,236   )         (233,480   )         (223,637   )
loans
Allowance for loan
losses on covered            (8,665     )        (9,629     )        (5,877     )
loans
  Net loans                 $ 16,962,475         $ 16,013,556         $ 14,252,840
  receivable
                                                                      
Deposits
  Noninterest-bearing       $ 5,757,341          $ 5,128,894          $ 4,118,502
  demand
  Interest-bearing            1,631,722            1,483,854            1,167,477
  checking
  Money market                5,403,677            5,172,192            4,785,447
  Savings                    1,656,045          1,544,935          1,298,431  
  Total core deposits         14,448,785           13,329,875           11,369,857
  Time deposits              5,910,355          5,952,332          6,296,570  
  Total deposits            $ 20,359,140         $ 19,282,207         $ 17,666,427
                                                                      

EAST WEST BANCORP, INC.
CONDENSED CONSOLIDATED STATEMENTS OF INCOME
(In thousands, except per share amounts)
(unaudited)
                                                       
                         Quarter Ended
                         
                         September 30,         June 30,           September
                         2013                  2013               30, 2012
                                                                  
  Interest and           $  281,706            $  255,353         $ 254,162
  dividend income
  Interest expense         (27,456   )          (27,709 )        (32,254  )
  Net interest
  income before             254,250               227,644           221,908
  provision for
  loan losses
  Provision for
  loan losses,              (4,535    )           (8,277  )         (13,321  )
  excluding
  covered loans
  Reversal of
  (provision for)          964                 (723    )        (5,179   )
  loan losses on
  covered loans
  Net interest
  income after              250,679               218,644           203,408
  provision for
  loan losses
  Noninterest               (41,421   )           (12,354 )         2,751
  (loss) income
  Noninterest              (100,352  )          (94,420 )        (100,956 )
  expense
  Income before
  provision for             108,906               111,870           105,203
  income taxes
  Provision for            35,749              37,855          34,093   
  income taxes
  Net income                73,157                74,015            71,110
  Preferred stock          —                   (1,714  )        (1,714   )
  dividend
  Net income
  available to           $  73,157             $  72,301          $ 69,396
  common
  stockholders
  Net income per         $  0.53               $  0.52            $ 0.49
  share, basic
  Net income per         $  0.53               $  0.52            $ 0.48
  share, diluted
  Shares used to
  compute per
  share net
  income:
  - Basic                   137,036               137,536           139,621
  - Diluted                 137,467               137,816           145,358
                                                                  
                                                                  
                         Quarter Ended
                         
                         September 30,         June 30,           September
                         2013                  2013               30, 2012
Noninterest (loss)
income:
  Branch fees            $  8,123              $  8,119           $ 7,720
  Decrease in FDIC
  indemnification           (74,456   )           (47,905 )         (26,757  )
  asset and FDIC
  receivable
  Net gain (loss)
  on sales of               3,945                 (354    )         5,346
  loans
  Letters of
  credit fees and           8,555                 9,075             7,166
  foreign exchange
  income
  Net gain on
  sales of                  1,084                 5,345             93
  investment
  securities
  Net gain on sale          993                   228               40
  of fixed assets
  Ancillary loan            2,125                 2,634             1,817
  fees
  Other operating          8,210               10,504          7,326    
  income
  Total
  noninterest            $  (41,421   )        $  (12,354 )       $ 2,751
  (loss) income:
                                                                  
Noninterest
expense:
  Compensation and
  employee               $  41,482             $  42,026          $ 40,509
  benefits
  Occupancy and
  equipment                 14,697                13,706            14,162
  expense
  Loan related              2,752                 3,573             4,011
  expenses
  Other real
  estate owned              157                   (1,188  )         2,683
  expense (gain on
  sale)
  Deposit
  insurance
  premiums and              4,191                 3,875             3,461
  regulatory
  assessments
  Prepayment
  penalties for
  FHLB advances             —                     —                 42
  and other
  borrowings
  Legal expense             9,001                 5,467             8,213
  Amortization of
  premiums on               2,347                 2,375             2,734
  deposits
  acquired
  Data processing           2,159                 2,200             2,313
  Consulting                1,264                 1,003             2,692
  expense
  Amortization of
  investments in
  affordable                4,693                 5,064             3,378
  housing
  partnerships
  Other operating          17,609              16,319          16,758   
  expense
  Total
  noninterest            $  100,352            $  94,420          $ 100,956
  expense
                                                                  

EAST WEST BANCORP, INC.
CONDENSED CONSOLIDATED STATEMENTS OF INCOME
(In thousands, except per share amounts)
(unaudited)
                                                    
                                   Year To Date
                                   
                                   September 30, 2013       September 30, 2012
                                                            
  Interest and dividend            $   775,482              $   774,574
  income
  Interest expense                    (84,297    )            (100,591   )
  Net interest income before           691,185                  673,983
  provision for loan losses
  Provision for loan losses,           (12,050    )             (46,395    )
  excluding covered loans
  Provision for loan losses           (4,848     )            (5,705     )
  on covered loans
  Net interest income after            674,287                  621,883
  provision for loan losses
  Noninterest (loss) income            (55,874    )             12,836
  Noninterest expense                 (291,127   )            (317,327   )
  Income before provision              327,286                  317,392
  for income taxes
  Provision for income taxes          108,023                107,642    
  Net income                           219,263                  209,750
  Preferred stock dividend            (3,428     )            (5,142     )
  Net income available to          $   215,835              $   204,608
  common stockholders
  Net income per share,            $   1.56                 $   1.42
  basic
  Net income per share,            $   1.56                 $   1.40
  diluted
  Shares used to compute per
  share net income:
  - Basic                              137,404                  142,348
  - Diluted                            140,199                  148,051
                                                            
                                                            
                                   Year To Date
                                   
                                   September 30, 2013       September 30, 2012
Noninterest (loss) income:
  Branch fees                      $   23,896               $   23,204
  Decrease in FDIC
  indemnification asset and            (154,260   )             (72,520    )
  FDIC receivable
  Net gain on sales of loans           3,685                    16,900
  Letters of credit fees and           25,028                   18,338
  foreign exchange income
  Net gain on sales of                 12,006                   647
  investment securities
  Net gain on sale of fixed            1,345                    113
  assets
  Impairment loss on                   —                        (99        )
  investment securities
  Ancillary loan fees                  6,811                    6,013
  Other operating income              25,615                 20,240     
  Total noninterest (loss)         $   (55,874    )         $   12,836
  income
                                                            
Noninterest expense:
  Compensation and employee        $   129,239              $   129,781
  benefits
  Occupancy and equipment              42,211                   40,737
  expense
  Loan related expenses                9,909                    12,667
  Other real estate owned              (2,015     )             18,034
  (gain on sale) expense
  Deposit insurance premiums           11,848                   10,776
  and regulatory assessments
  Prepayment penalties for
  FHLB advances and other              —                        3,699
  borrowings
  Legal expense                        18,912                   19,536
  Amortization of premiums             7,131                    8,445
  on deposits acquired
  Data processing                      6,796                    6,974
  Consulting expense                   2,721                    5,727
  Amortization of
  investments in affordable            14,040                   12,269
  housing partnerships
  Other operating expense             50,335                 48,682     
  Total noninterest expense        $   291,127              $   317,327
                                                            

EAST WEST BANCORP, INC.
SELECTED FINANCIAL INFORMATION
(In thousands)
(unaudited)
                                                           
  Average Balances          Quarter Ended
                            
                            September 30,        June 30, 2013        September 30,
                            2013                                      2012
Loans receivable
  Real estate -             $ 2,770,596          $ 2,444,883          $ 2,039,136
  single family
  Real estate -               958,955              924,552              902,367
  multifamily
  Real estate -               4,049,825            3,800,664            3,506,638
  commercial
  Real estate - land          237,084              224,509              284,294
  and construction
  Commercial                  4,804,096            4,478,848            3,574,563
  Consumer                   1,471,662          1,225,830          812,321    
  Total loans
  receivable,                 14,292,218           13,099,286           11,119,319
  excluding covered
  loans
  Covered loans              2,424,111          2,641,324          3,299,459  
  Total loans                 16,716,329           15,740,610           14,418,778
  receivable
Investment securities         2,759,586            2,582,899            2,084,165
Earning assets                22,212,521           21,289,420           19,774,467
Total assets                  23,881,108           22,994,664           21,686,220
                                                                      
Deposits
  Noninterest-bearing       $ 5,414,856          $ 4,882,823          $ 3,949,807
  demand
  Interest-bearing            1,564,649            1,440,538            1,090,227
  checking
  Money market                5,242,517            5,089,063            4,957,938
  Savings                    1,607,983          1,499,428          1,290,159  
  Total core deposits         13,830,005           12,911,852           11,288,131
  Time deposits              5,925,928          5,993,464          6,226,133  
  Total deposits              19,755,933           18,905,316           17,514,264
Interest-bearing              15,837,852           15,468,377           15,094,664
liabilities
Stockholders' equity          2,294,204            2,331,306            2,304,804
                                                                      
                                                                      
  Selected Ratios           Quarter Ended
                            
                            September 30,        June 30, 2013        September 30,
                            2013                                      2012
For The Period
  Return on average           1.22       %         1.29       %         1.30       %
  assets
  Return on average           12.65      %         12.59      %         12.43      %
  common equity
  Interest rate               4.34       %         4.09       %         4.26       %
  spread
  Net interest margin         4.54       %         4.29       %         4.46       %
  Yield on earning            5.03       %         4.81       %         5.11       %
  assets
  Cost of deposits            0.30       %         0.33       %         0.41       %
  Cost of funds               0.51       %         0.55       %         0.67       %
  Noninterest
  expense/average             1.55       %         1.52       %         1.74       %
  assets ^(1)
  Efficiency ratio            43.84      %         40.40      %         42.20      %
  ^(2)

 

       Excludes the amortization of intangibles, amortization of premiums on
^(1)  deposits acquired, amortization of investments in affordable housing
       partnerships and prepayment penalties for FHLB advances and other
       borrowings.
       Represents noninterest expense, excluding the amortization of
       intangibles, amortization of premiums on deposits acquired,
       amortization of investments in affordable housing partnerships and
^(2)   prepayment penalties for FHLB advances and other borrowings, divided by
       the aggregate of net interest income before provision for loan losses
       and noninterest income, excluding items that are non-recurring in
       nature.
       

EAST WEST BANCORP, INC.
SELECTED FINANCIAL INFORMATION
(In thousands)
(unaudited)
                                                    
  Average Balances                 Year To Date
                                   
                                   September 30, 2013       September 30, 2012
Loans receivable
  Real estate - single             $   2,492,078            $   1,969,929
  family
  Real estate - multifamily            926,470                  915,898
  Real estate - commercial             3,839,354                3,482,550
  Real estate - land and               235,808                  315,964
  construction
  Commercial                           4,498,693                3,345,493
  Consumer                            1,221,636              818,560     
  Total loans receivable,              13,214,039               10,848,394
  excluding covered loans
  Covered loans                       2,635,267              3,574,076   
  Total loans receivable               15,849,306               14,422,470
Investment securities                  2,658,900                2,509,911
Earning assets                         21,404,800               19,602,770
Total assets                           23,155,582               21,634,877
                                                            
Deposits
  Noninterest-bearing demand       $   4,929,233            $   3,740,901
  Interest-bearing checking            1,431,176                1,010,718
  Money market                         5,150,479                4,818,954
  Savings                             1,510,844              1,235,582   
  Total core deposits                  13,021,732               10,806,155
  Time deposits                       5,995,527              6,514,294   
  Total deposits                       19,017,259               17,320,449
Interest-bearing liabilities           15,550,970               15,176,330
Stockholders' equity                   2,333,623                2,305,485
                                                            
                                                            
  Selected Ratios                  Year To Date
                                   
                                   September 30, 2013       September 30, 2012
For The Period
  Return on average assets             1.27        %            1.30        %
  Return on average common             12.56       %            12.30       %
  equity
  Interest rate spread                 4.12        %            4.39        %
  Net interest margin                  4.32        %            4.59        %
  Yield on earning assets              4.84        %            5.28        %
  Cost of deposits                     0.34        %            0.44        %
  Cost of funds                        0.55        %            0.71        %
  Noninterest
  expense/average assets               1.56        %            1.81        %
  ^(1)
  Efficiency ratio ^(2)                42.49       %            42.64       %
                                                            

       Excludes the amortization of intangibles, amortization of premiums on
^(1)  deposits acquired, amortization of investments in affordable housing
       partnerships and prepayment penalties for FHLB advances and other
       borrowings.
       Represents noninterest expense, excluding the amortization of
       intangibles, amortization of premiums on deposits acquired,
       amortization of investments in affordable housing partnerships and
^(2)   prepayment penalties for FHLB advances and other borrowings, divided by
       the aggregate of net interest income before provision for loan losses
       and noninterest income, excluding items that are non-recurring in
       nature.
       

EAST WEST BANCORP, INC.
QUARTER TO DATE AVERAGE BALANCES, YIELDS AND RATES PAID
(In thousands)
(unaudited)
                                                                                               
                           Quarter Ended
                           September 30, 2013                                 September 30, 2012
                           Average                                            Average
                           Volume               Interest        Yield         Volume               Interest        Yield
                                                                ^(1)                                               ^(1)
                                                                                                                   
ASSETS
Interest-earning
assets:
  Due from banks and
  short-term               $ 1,199,507          $ 4,276         1.41  %       $ 1,586,995          $ 5,211         1.31  %
  investments
  Securities
  purchased under            1,408,152            5,168         1.46  %         1,515,761            5,530         1.45  %
  resale agreements
  Investment
  securities                 2,759,586            11,039        1.59  %         2,084,165            10,380        1.98  %
  available-for-sale
  Loans receivable           14,292,218           150,174       4.17  %         11,119,319           128,896       4.61  %
  Loans receivable -         2,424,111            108,931       17.83 %         3,299,459            103,299       12.46 %
  covered
  Federal Home Loan
  Bank and Federal          128,947            2,118         6.52  %        168,768            846           2.00  %
  Reserve Bank stock
  Total
  interest-earning          22,212,521         281,706       5.03  %        19,774,467         254,162       5.11  %
  assets
                                                                                                                   
Noninterest-earning
assets:
  Cash and cash              272,459                                            233,111
  equivalents
  Allowance for loan         (242,560   )                                       (229,474   )
  losses
  Other assets              1,638,688                                        1,908,116  
  Total assets             $ 23,881,108                                      $ 21,686,220 
                                                                                                                   
                                                                                                                   
LIABILITIES AND
STOCKHOLDERS' EQUITY
Interest-bearing
liabilities:
  Checking accounts        $ 1,564,649          $ 831           0.21  %       $ 1,090,227          $ 838           0.31  %
  Money market               5,242,517            3,604         0.27  %         4,957,938            4,437         0.36  %
  accounts
  Savings deposits           1,607,983            685           0.17  %         1,290,159            764           0.24  %
  Time deposits              5,925,928            9,979         0.67  %         6,226,133            12,163        0.78  %
  Federal funds
  purchased and              389                  —             —               9                    —             —
  other borrowings
  Federal Home Loan          314,207              1,049         1.32  %         362,966              1,468         1.61  %
  Bank advances
  Securities sold
  under repurchase           995,000              10,323        4.12  %         995,000              11,664        4.66  %
  agreements
  Long-term debt            187,179            985           2.09  %        172,232            920           2.13  %
  Total
  interest-bearing          15,837,852         27,456        0.69  %        15,094,664         32,254        0.85  %
  liabilities
                                                                                                                   
Noninterest-bearing
liabilities:
  Demand deposits            5,414,856                                          3,949,807
  Other liabilities          334,196                                            336,945
  Stockholders'             2,294,204                                        2,304,804  
  equity
  Total liabilities
  and stockholders'        $ 23,881,108                                      $ 21,686,220 
  equity
                                                                                                                   
Interest rate spread                                            4.34  %                                            4.26  %
                                                                                                                   
Net interest income
and net interest                                $ 254,250       4.54  %                            $ 221,908       4.46  %
margin
                                                                                                                   
Net interest income
and net interest                                $ 192,359       3.44  %                            $ 196,285       3.95  %
margin, adjusted
^(2)
                                                                                                                   

^(1)  Annualized.
       Amounts considering the net impact of covered loan activity and
^(2)   amortization of the FDIC indemnification asset of $61.9 million and
       $25.6 million for the three months ended September 30, 2013 and 2012,
       respectively.
       

EAST WEST BANCORP, INC.
YEAR TO DATE AVERAGE BALANCES, YIELDS AND RATES PAID
(In thousands)
(unaudited)
                                                                                               
                           Year To Date
                           September 30, 2013                                 September 30, 2012
                           Average                                            Average
                           Volume               Interest        Yield         Volume               Interest        Yield
                                                                ^(1)                                               ^(1)
                                                                                                                   
ASSETS
Interest-earning
assets:
  Due from banks and
  short-term               $ 1,217,909          $ 12,844        1.41  %       $ 1,380,753          $ 17,517        1.69  %
  investments
  Securities
  purchased under            1,537,729            16,132        1.40  %         1,113,963            14,602        1.75  %
  resale agreements
  Investment
  securities                 2,658,900            30,843        1.55  %         2,509,911            48,525        2.58  %
  available-for-sale
  Loans receivable           13,214,039           423,046       4.28  %         10,848,394           380,097       4.68  %
  Loans receivable -         2,635,267            287,508       14.59 %         3,574,076            311,173       11.63 %
  covered
  Federal Home Loan
  Bank and Federal          140,956            5,109         4.85  %        175,673            2,660         2.02  %
  Reserve Bank stock
  Total
  interest-earning          21,404,800         775,482       4.84  %        19,602,770         774,574       5.28  %
  assets
                                                                                                                   
Noninterest-earning
assets:
  Cash and cash              296,503                                            246,253
  equivalents
  Allowance for loan         (239,206   )                                       (226,267   )
  losses
  Other assets              1,693,485                                        2,012,121  
  Total assets             $ 23,155,582                                      $ 21,634,877 
                                                                                                                   
                                                                                                                   
LIABILITIES AND
STOCKHOLDERS' EQUITY
Interest-bearing
liabilities:
  Checking accounts        $ 1,431,176          $ 2,596         0.24  %       $ 1,010,718          $ 2,251         0.30  %
  Money market               5,150,479            11,315        0.29  %         4,818,954            12,681        0.35  %
  accounts
  Savings deposits           1,510,844            2,241         0.20  %         1,235,582            1,993         0.22  %
  Time deposits              5,995,527            31,539        0.70  %         6,514,294            40,618        0.83  %
  Federal funds
  purchased and              233                  —             —               2,972                2             0.11  %
  other borrowings
  Federal Home Loan          313,683              3,135         1.34  %         396,120              4,963         1.67  %
  Bank advances
  Securities sold
  under repurchase           995,000              31,069        4.17  %         998,924              34,977        4.68  %
  agreements
  Long-term debt            154,028            2,402         2.08  %        198,766            3,106         2.09  %
  Total
  interest-bearing          15,550,970         84,297        0.72  %        15,176,330         100,591       0.89  %
  liabilities
                                                                                                                   
Noninterest-bearing
liabilities:
  Demand deposits            4,929,233                                          3,740,901
  Other liabilities          341,756                                            412,161
  Stockholders'             2,333,623                                        2,305,485  
  equity
  Total liabilities
  and stockholders'        $ 23,155,582                                      $ 21,634,877 
  equity
                                                                                                                   
Interest rate spread                                            4.12  %                                            4.39  %
                                                                                                                   
Net interest income
and net interest                                $ 691,185       4.32  %                            $ 673,983       4.59  %
margin
                                                                                                                   
Net interest income
and net interest                                $ 569,149       3.56  %                            $ 595,147       4.06  %
margin, adjusted
^(2)
                                                                                                                   

^(1)  Annualized.
       Amounts considering the net impact of covered loan activity and
^(2)   amortization of the FDIC indemnification asset of $122.0 million and
       $78.8 million for the nine months ended September 30, 2013 and 2012,
       respectively.
       

EAST WEST BANCORP, INC.
QUARTERLY ALLOWANCE FOR LOAN LOSSES RECAP
(In thousands)
(unaudited)
                                                             
                                  Quarter Ended
                                   9/30/2013     6/30/2013     9/30/2012 
NON-COVERED LOANS
  Allowance for non-covered
  loans, beginning of             $ 233,480         $ 228,796         $ 219,454
  period
  Allowance for unfunded
  loan commitments and              (3,445    )       432               1,502
  letters of credit
  Provision for loan
  losses, excluding covered         4,535             8,277             13,321
  loans
                                                                      
  Net
  Charge-offs/(Recoveries):
  Real estate - single              (236      )       (177      )       1,595
  family
  Real estate - multifamily         199               424               1,101
  Real estate - commercial          127               (585      )       785
  Real estate - land and            177               287               1,796
  construction
  Commercial                        144               3,211             4,878
  Consumer                         (77       )    865           485       
  Total net charge-offs            334           4,025         10,640    
  Allowance for non-covered       $ 234,236      $ 233,480      $ 223,637   
  loans, end of period
                                                                      
COVERED LOANS
  Allowance for covered
  loans not accounted under       $ 7,100           $ 8,118           $ 7,173
  ASC 310-30, beginning of
  period ^(1)
  (Reversal of) provision
  for loan losses on
  covered loans not                 (772      )       186               5,179
  accounted under ASC
  310-30
                                                                      
  Net Charge-offs:
  Real estate - commercial          —                 22                —
  Real estate - land and            —                 358               1,509
  construction
  Commercial                        —                 823               4,966
  Consumer                         —             1             —         
  Total net charge-offs            —             1,204         6,475     
  Allowance for covered
  loans not accounted under       $ 6,328        $ 7,100        $ 5,877     
  ASC 310-30, end of period
  ^(1)
                                                                      
  Allowance for covered
  loans accounted under ASC       $ 2,529           $ 1,992           $ —
  310-30, beginning of
  period ^(2)
  (Reversal of) provision
  for loan losses on               (192      )    537           —         
  covered loans accounted
  under ASC 310-30
  Allowance for covered
  loans accounted under ASC       $ 2,337        $ 2,529        $ —         
  310-30, end of period of
  period ^(2)
  Total allowance for
  covered loans, end of           $ 8,665        $ 9,629        $ 5,877     
  period
UNFUNDED LOAN COMMITMENTS
AND LETTERS OF CREDIT:
  Allowance balance,              $ 8,289           $ 8,721           $ 12,504
  beginning of period
  Provision for (reversal
  of) unfunded loan                 3,445             (432      )       (1,502    )
  commitments and letters
  of credit
  Total charge-offs                (265      )    —             —         
  Allowance balance, end of       $ 11,469       $ 8,289        $ 11,002    
  period
  GRAND TOTAL, END OF             $ 254,370      $ 251,398      $ 240,516   
  PERIOD
                                                                      

       This allowance is related to drawdowns on commitments that were in
       existence as of the acquisition dates of WFIB and UCB and, therefore,
^(1)  are covered under the shared-loss agreements with the FDIC but are not
       accounted for under ASC 310-30. Allowance on these subsequent drawdowns
       is accounted for as part of the allowance for loan losses.
^(2)   This allowance is related to loans covered under the shared-loss
       agreements with the FDIC, accounted under ASC 310-30.
       

EAST WEST BANCORP, INC.
QUARTERLY CREDIT QUALITY ANALYSIS
(In thousands)
(unaudited)
                                                       
Non-Performing
Assets, Excluding
Covered Assets
                          9/30/2013         6/30/2013         9/30/2012 
Nonaccrual Loan
Type
Real estate -            $ 9,100             $ 7,210             $ 8,752
single family
Real estate -              29,121              30,226              23,034
multifamily
Real estate -              30,151              17,271              20,707
commercial
Real estate - land         10,945              11,201              29,717
and construction
Commercial                 22,790              45,327              18,143
Consumer                  1,775             796               3,739     
Total non-covered        $ 103,882           $ 112,031           $ 104,092
nonaccrual loans
Other real estate         20,184            21,433            40,007    
owned, net
Total
non-performing           $ 124,066          $ 133,464          $ 144,099   
assets, excluding
covered assets
                                                                 
                                                                 
Nonperforming
assets to total            0.51      %         0.57      %         0.66      %
assets ^(1)
Allowance for loan
losses on
non-covered loans
to total gross             1.60      %         1.73      %         2.00      %
non-covered loans
held for
investment at end
of period
Allowance for loan
losses on
non-covered loans
and unfunded loan
commitments to             1.68      %         1.79      %         2.10      %
total gross
non-covered loans
held for
investment at end
of period
Allowance on
non-covered loans
to non-covered             225.48    %         208.41    %         214.85    %
nonaccrual loans
at end of period
Nonaccrual loans
to total loans             0.60      %         0.69      %         0.72      %
^(2)
Net-chargeoffs on
non-covered loans
to average total           0.01      %         0.12      %         0.38      %
non-covered loans
^(3)
                                                                 

^(1)  Nonperforming assets excludes covered loans and covered REOs. Total
       assets includes covered assets.
^(2)   Nonaccrual loans excludes covered loans. Total loans includes covered
       loans.
^(3)   Annualized.
       

EAST WEST BANCORP, INC.
GAAP TO NON-GAAP RECONCILIATION
(In thousands)
(unaudited)
                              
The tangible common equity to risk weighted assets and tangible common equity
to tangible assets ratios are non-GAAP disclosures. The Company uses certain
non-GAAP financial measures to provide supplemental information regarding the
Company's performance to provide additional disclosure. As the use of tangible
common equity to tangible assets ratio is more prevalent in the banking
industry and with banking regulators and analysts, we have included the
tangible common equity to risk-weighted assets and tangible common equity to
tangible assets ratios.
                                        
                                        As of
                                        September 30, 2013
Stockholders' equity                    $          2,311,876
Less:
Goodwill and other intangible                     (389,172           )
assets
Tangible equity                         $          1,922,704          
                                        
Risk-weighted assets                              16,567,226         
                                        
Tangible equity to                                11.6               %
risk-weighted assets ratio
                                        
                                        As of
                                        September 30, 2013
Total assets                            $          24,493,267
Less:
Goodwill and other intangible                     (389,172           )
assets
Tangible assets                         $          24,104,095         
                                        
Tangible equity to tangible                        8.0                %
assets ratio
                                                                      

EAST WEST BANCORP, INC.
GAAP TO NON-GAAP RECONCILIATION
(In thousands)
(unaudited)
                                                           
Operating noninterest expense is a non-GAAP disclosure. The Company uses
certain non-GAAP financial measures to provide supplemental information
regarding the Company's performance to provide additional disclosure. These
are noninterest expense line items that are non-core in nature. Operating
noninterest expense excludes such non-core noninterest expense line items. The
Company believes that presenting operating noninterest expense provides more
clarity to the users of financial statements regarding the core noninterest
expense amounts.
                                                                 
                           Quarter Ended
                           September 30,       June 30, 2013     September 30,
                           2013                                  2012
    Total noninterest      $    100,352        $    94,420       $   100,956
    expense
    Amounts to be
    reimbursed by the
    FDIC on covered             2,558               2,910            3,005
    assets (80% of
    actual expense
    amount)
    Prepayment
    penalties for FHLB         -                  -               42
    advances and other
    borrowings
    Noninterest
    expense excluding
    reimbursable
    amounts and            $    97,794         $    91,510       $   97,909
    prepayment
    penalties for FHLB
    advances and other
    borrowings
                                                                 
                           Year To Date
                           September 30,       September 30,
                           2013                2012
    Total noninterest      $    291,127        $    317,327
    expense
    Amounts to be
    reimbursed by the
    FDIC on covered             5,407               17,810
    assets (80% of
    actual expense
    amount)
    Prepayment
   penalties for FHLB         -                 3,699       
    advances and other
    borrowings
    Noninterest
    expense excluding
    reimbursable
    amounts and            $    285,720        $    295,818
    prepayment
    penalties for FHLB
    advances and other
    borrowings
                                                                 

EAST WEST BANCORP, INC.
GAAP TO NON-GAAP RECONCILIATION
(In thousands)
(unaudited)
                                                              
The Company uses certain non-GAAP financial measures to provide supplemental
information regarding the Company's performance to provide additional
disclosure. The net interest income on covered loans includes amounts that are
non-core in nature. As such, the Company believes that presenting the net
interest income on covered loans considering such non-core items provides
additional clarity to the users of financial statements regarding the covered
loan yield, comparability to prior periods and the ongoing performance of the
Company.
                                                                   
                         Quarter Ended September 30, 2013
                         Average Volume       Interest           Yield ^(1)
Loans receivable -       $    2,424,111        $   108,931         17.83   %
covered
Less net impact of
covered loan
activity and
amortization of
the FDIC
indemnification                                   (61,891   )
asset
Covered loans
considering the net
impact of covered
loan activity and
amortization of the
FDIC indemnification                           $   47,040         7.70    %
asset
                                                                   
                         Quarter Ended September 30, 2012
                         Average Volume       Interest           Yield ^(1)
Loans receivable -       $    3,299,459        $   103,299         12.46   %
covered
Less net impact of
covered loan
activity and
amortization of
the FDIC
indemnification                                   (25,623   )
asset
Covered loans
considering the net
impact of covered
loan activity and
amortization of the
FDIC indemnification                           $   77,676         9.37    %
asset
                                                                   
^(1) Annualized.


EAST WEST BANCORP, INC.
GAAP TO NON-GAAP RECONCILIATION
(In thousands)
(unaudited)
                                                               
The Company uses certain non-GAAP financial measures to provide supplemental
information regarding the Company's performance to provide additional
disclosure. The net interest income on covered loans includes amounts that are
non-core in nature. As such, the Company believes that presenting the net
interest income on covered loans considering such non-core items provides
additional clarity to the users of financial statements regarding the covered
loan yield, comparability to prior periods and the ongoing performance of the
Company.
                                                                    
                         Year to Date September 30, 2013
                         Average Volume       Interest            Yield ^(1)
Loans receivable -       $    2,635,267        $   287,508          14.59   %
covered
Less net impact of
covered loan
activity and
amortization of
the FDIC
indemnification                                   (122,036   )
asset
Covered loans
considering the net      
impact of covered
loan activity and
amortization of the
FDIC indemnification                           $   165,472         8.40    %
asset
                                                                    
                         Year to Date September 30, 2012
                         Average Volume       Interest            Yield ^(1)
Loans receivable -       $    3,574,076        $   311,173          11.63   %
covered
Less net impact of
covered loan
activity and
amortization of
the FDIC
indemnification                                   (78,836    )
asset
Covered loans
considering the net
impact of covered
loan activity and
amortization of the
FDIC indemnification                           $   232,337         8.68    %
asset
                                                                    
^(1) Annualized.
                                                                    

EAST WEST BANCORP, INC.
GAAP TO NON-GAAP RECONCILIATION
(In thousands)
(unaudited)
                                                               
The Company uses certain non-GAAP financial measures to provide supplemental
information regarding the Company's performance to provide additional
disclosure. The net interest margin includes amounts that are non-core in
nature. As such, the Company believes that presenting the net interest income
and net interest margin considering such non-core items provides additional
clarity to the users of financial statements regarding the core net interest
income and net interest margin, comparability to prior periods and the ongoing
performance of the Company.
                                                                    
                          Quarter Ended September 30, 2013
                          Average Volume        Interest            Yield ^(1)
Total
interest-earning          $    22,212,521       $   281,706         5.03   %
assets
Net interest income
and net interest                                    254,250         4.54   %
margin
Less net impact of
covered loan activity
and amortization of
the FDIC                                           (61,891   )
indemnification asset
Net interest income
and net interest
margin, considering
the
net impact of covered
loan activity and
amortization of the
FDIC indemnification                            $   192,359        3.44   %
asset


                                                                    
                          Quarter Ended June 30, 2013
                          Average Volume        Interest            Yield ^(1)
Total
interest-earning          $    21,289,420       $   255,353         4.81   %
assets
Net interest income
and net interest                                    227,644         4.29   %
margin
Less net impact of
covered loan activity                                           
and amortization of
the FDIC                                           (35,474   )
indemnification asset
Net interest income
and net interest
margin, considering
the
net impact of covered
loan activity and
amortization of the
FDIC indemnification                            $   192,170        3.62   %
asset


                                                                    
                          Quarter Ended September 30, 2012
                          Average Volume        Interest            Yield ^(1)
Total
interest-earning          $    19,774,467       $   254,162         5.11   %
assets
Net interest income
and net interest                                    221,908         4.46   %
margin
Less net impact of
covered loan activity                                            
and amortization of
the FDIC                                           (25,623   )
indemnification asset
Net interest income
and net interest
margin, considering
the
net impact of covered
loan activity and
amortization of the
FDIC indemnification                            $   196,285        3.95   %
asset


                                                                    
^(1) Annualized.
                                                                    

EAST WEST BANCORP, INC.
GAAP TO NON-GAAP RECONCILIATION
(In thousands)
(unaudited)
                                                                 
The Company uses certain non-GAAP financial measures to provide supplemental
information regarding the Company's performance to provide additional
disclosure. The net interest margin includes amounts that are non-core in
nature. As such, the Company believes that presenting the net interest income
and net interest margin considering such non-core items provides additional
clarity to the users of financial statements regarding the core net interest
income and net interest margin, comparability to prior periods and the ongoing
performance of the Company.
                                                                      
                          Year to Date September 30, 2013
                          Average Volume        Interest              Yield
                                                                      ^(1)
Total
interest-earning          $    21,404,800       $   775,482           4.84  %
assets
Net interest income
and net interest                                    691,185           4.32  %
margin
Less net impact of
covered loan activity

and amortization of
the FDIC                                           (122,036   )
indemnification asset
Net interest income
and net interest
margin, considering
the
net impact of covered
loan activity and
amortization of the
FDIC indemnification                            $   569,149          3.56  %
asset


                                                                      
                          Year to Date September 30, 2012
                          Average Volume        Interest              Yield
                                                                      ^(1)
Total
interest-earning          $    19,602,770       $   774,574           5.28  %
assets
Net interest income
and net interest                                    673,983           4.59  %
margin
Less net impact of
covered loan activity

and amortization of
the FDIC                                           (78,836    )
indemnification asset
*Story too large*

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