East West Bancorp
Annual Report 2017

Plain-text annual report

2017 EAST WEST BANCORP ANNUAL REPORT w ($ in millions, except per share data) 2013 2014 2015 2016 2017 SUMMARY OF OPERATIONS Net interest income Net income Diluted earnings per share Dividends per share AT PERIOD END Total assets Total loans Total deposits Stockholders' equity FINANCIAL RATIOS Net interest margin Return on assets Return on equity $ $ $ $ $ $ $ $ 956 293 2.09 0.60 24,732 18,055 20,413 2,366 4.38% 1.24% 12.5% $ $ $ $ $ $ $ $ 1,041 346 2.41 0.72 28,744 21,776 24,009 2,856 4.03% 1.25% 12.7% $ $ $ $ $ $ $ $ 950 385 2.66 0.80 32,351 23,676 27,476 3,123 3.35% 1.27% 12.7% $ $ $ $ $ $ $ $ 1,033 432 2.97 0.80 34,789 25,526 29,891 3,428 3.30% 1.30% 13.1% $ $ $ $ $ $ $ $ 1,185 506 3.47 0.80 37,150 29,054 32,220 3,842 3.48% 1.41% 13.7% December 31, 2012 2013 2014 2015 2016 2017 EWBC KRX S&P 500 $100 $166 $188 $205 $256 $311 $100 $147 $150 $159 $221 $225 $100 $132 $151 $153 $171 $208 DECEMBER 31, 2017 2016 ($ in millions, except per share data) YEAR ENDED DECEMBER 31, 2017 2016 ($ in millions, except shares) ASSETS Cash and cash equivalents Interest-bearing deposits with banks Securities purchased under resale agreements ("resale agreements") Investment securities Loans held-for-sale Loans held-for-investment (net of allowance for loan losses of $287 million in 2017 and $261 million in 2016) Investments in qualified affordable housing partnerships, net Investments in tax credit and other investments, net Premises and equipment Goodwill Branch assets held-for-sale Other assets Total assets LIABILITIES Deposits: Noninterest-bearing Interest-bearing Total deposits Branch liability held-for-sale Short-term borrowings Federal Home Loan Bank ("FHLB") advances Securities sold under repurchase agreements ("repurchase agreements") Long-term debt Accrued expenses and other liabilities Total liabilities STOCKHOLDERS' EQUITY $ $ $ 2,175 398 1,050 3,090 0.085 28,689 163 225 121 469 91 679 37,150 10,887 20,728 31,615 605 — 324 50 172 543 33,308 $ $ $ 1,879 323 2,000 3,553 23 25,243 184 173 160 469 — 782 34,789 10,184 19,707 29,891 — 60 322 350 186 552 31,361 Common stock, $0.001 par value, 200,000,000 shares authorized; 165,214,770 and 164,604,072 shares issued in 2017 and 2016, respectively) Additional paid-in capital Retained earnings Treasury stock, at cost - 20,671,710 shares in 2017 and 20,436,621 shares in 2016 Accumulated other comprehensive loss, net of tax Total stockholders' equity 0.165 0.164 1,755 2,576 (452) (38) 3,842 1,727 2,188 (439) (48) 3,428 Total liabilities and stockholders' equity $ 37,150 $ 34,789 INTEREST AND DIVIDEND INCOME Loans receivable, including fees Investment securities Resale agreements Restricted equity securities Interest-bearing cash and deposits with banks Total interest and dividend income INTEREST EXPENSE Deposits Federal funds purchased and other short-term borrowings FHLB advances Repurchase agreements Long-term debt Total interest expense NET INTEREST INCOME BEFORE PROVISION FOR CREDIT LOSSES Provision for credit losses NET INTEREST INCOME AFTER PROVISION FOR CREDIT LOSSES NONINTEREST INCOME Branch fees Letters of credit fees and foreign exchange income Ancillary loan fees and other income Wealth management fees Derivative fees and other income Net gains on sales of loans Net gains on sales of available-for-sale investment securities Net gains on sales of fixed assets Net gain on sale of business Other fees and operating income Total noninterest income NONINTEREST EXPENSE Compensation and employee benefits Occupancy and equipment expense Deposit insurance premiums and regulatory assessments Legal expense Data processing Consulting expense Deposit related expense Computer software expense Other operating expense Amortization of tax credit and other investments Amortization of core deposit intangibles Total noninterest expense INCOME BEFORE INCOME TAXES Income tax expense NET INCOME EARNINGS PER SHARE Basic Diluted $ $ $ $ 1,198 59 32 3 33 1,325 116 1 8 9 5 140 1,185 46 1,139 42 43 23 15 18 9 8 77 4 19 258 335 65 24 1 1 12 15 10 18 77 88 7 662 735 229 506 3.50 3.47 $ $ $ $ 1,035 53 31 3 15 1,137 84 1 6 9 5 105 1,033 27 1,005 41 46 19 13 17 6 10 3 — 27 183 300 61 23 3 12 23 10 13 79 83 8 616 572 141 432 3.00 2.97 CORPORATE HEADQUARTERS 135 N. Los Robles Avenue Pasadena, CA 91101 626.768.6000 www.eastwestbank.com 

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