Quarterlytics / Financial Services / Banks - Regional / Hope Bancorp, Inc.

Hope Bancorp, Inc.

hope · NASDAQ Financial Services
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Ticker hope
Exchange NASDAQ
Sector Financial Services
Industry Banks - Regional
Employees 1227
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FY2018 Annual Report · Hope Bancorp, Inc.
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2018 Annual Report

The first and only super regional 
Korean-American
bank in the United States

Company Profile

Hope  Bancorp,  Inc.  is  the  holding  company  of  Bank  of  Hope,  one  of  the  leading 

Asian-American  banks  in  the  United  States.  Headquartered  in  Los  Angeles  and  with 

$15.31 billion in total assets as of December 31, 2018, Bank of Hope serves a multi-ethnic 

population  of  customers  across  the  nation  with  full-service  branches  in  California, 

Washington, Texas,  Illinois,  New York,  New  Jersey, Virginia  and  Alabama. The  Bank  also 

operates SBA loan production offices in Seattle, Houston, Denver, Dallas, Atlanta, Portland, 

Oregon,  Virginia,  New  York  City  and  Northern  California;  commercial  loan  production 

offices in Northern California and Seattle; residential mortgage loan production offices in 

California; and a representative office in Seoul, Korea. 

Building  on  the  Bank’s  expertise  in  small  business  lending,  commercial  real  estate 

lending, C&I lending and international trade finance, Bank of Hope is today a diversified 

financial institution with an expanded offering of commercial and consumer products and 

services, including residential mortgage and warehouse lending, credit cards, equipment 

lease financing and foreign currency, among others.   

Having grown alongside the Bank’s customers fostering growth within its communities, 

Bank  of  Hope  understands  its  markets  well  and  is  committed  to  help  its  customers 

achieve their financial goals.

We are committed to improving the value 

of our services as BANKERS, 

providing comprehensive 

financial solutions as EXPERTS, 

and being good NEIGHBORS that foster 

growth for our customers

and communities.

2018 ANNUAL REPORT  /  1

Message to Stockholders

Investments to Sustain 
the Long-Term Growth of 
Bank of Hope

Dear Valued Stockholders, Customers and Employees:

2018  was  a  year  of  significant  investments  to  support  the 

longer-term  growth  of  our  organization  as  a  regional  bank. 

Investments in our infrastructure. Investments in our processes 

and  workflow.  Investments  in  our  people  and  capabilities. 

Notwithstanding  these  investments  on  a  backdrop  of  a 

challenging business environment, we sucessfully completed 

the  year  with  numerous  achievments  and  solid  financial 

performance.

We  made  progress  throughout  the  year  with  a  corporate 

transformation  plan  designed  to  enhance  the  diversification 

of our revenue streams and improve the overall work flow by 

providing  greater  operational  efficiencies  in  the  lending 

process.  With  our  frontline  focusing  on  the  specialized 

needs  of  our  commercial  business  banking  customers  and 

branch-based  consumer  customers,  we  have 

improved 

our  overall  services  and  relationships  to  strengthen  our 

relevance to their financial needs. 

With  $15  billion  in  total  assets,  we  also  recognized  the 

n  Scott Yoon-Suk Whang  Chairman of the Board

greater  capabilities  and  depth  of  experience  we  must  have 

as  a  regional  bank.  And  with  the  enhanced  posture  of 

We  also  successfully  executed  on  a  capital  management 

our  organization,  we  successfully  recruited  experienced 

strategy 

that  provided  attractive 

terms  and  financial 

bankers 

from 

larger  mainstream  banks,  strengthening 

flexibility,  as  well  as  an  opportunity  to  consummate  a 

our  capabilities 

in  many  areas, 

including 

information 

meaningful  share  buyback  in  connection  with  the  issuance. 

technology, 

internal  audit,  risk,  commercial 

lending  and 

We  raised  $217.5  million  dollars  through  a  convertible  note 

treasury management, among others. 

offering,  of  which  $100  million  was  allocated  to  a  stock 

We  believe  these  investments  create  greater  opportunities 

capital  at  the  bank  level,  positioning  us  to  successfully 

that  will 

lead  to  stronger  and  more  profitable  growth 

execute  on  our  growth 

strategies  while  effectively 

for Bank of Hope for the long term.

managing our loan concentrations.

repurchase  program.  The  remainder  was  utilized  to  build 

202018 ANNUAL REPORT  /  2

Creating Greater 
Opportunities
Leading to More Profitable Growth 

    n  Kevin S. Kim  
President &  Chief Executive Officer

2018 ANNUAL REPORT  /  3

Message to Stockholders

One of the leading Asian-American banks 
in the United States 

All-in-all,  including  an  additional  $50  million  stock  buyback 

Looking  forward  into  2019,  we  are  committed  to  improving 

program completed during the fourth quarter, we repurchased 

our  services  to  our  customers,  our  relationships  within  our 

$150  million  of  our  stock,  or  9,002,453  shares,  in  2018, 

communities,  our  communications  with  our 

investment 

enhancing  stockholder  value  by  reducing  the  total  number 

community,  our  partnership  with  our  regulators  and  our 

of shares outstanding at year-end by 6.6%.  

relevance to our employees. We believe the investments and 

initiatives  that  we  are  currently  undertaking  strengthen  our 

After  these  share  repurchases  during  2018,  the  Company 

competitive  position  and  will  lead  to  enhanced  operational 

continued  to  maintain  robust  capital 

levels  with  total 

efficiencies and financial performance for years to come.

risk-based  capital  at  12.94%, 

leverage  ratio  at  10.55%, 

and  common  equity  tier  1  capital  at  11.44%  at  year-end.  

Bank  of  Hope  is  well  positioned  as  one  of  the  leading 

Asian-American  banks  in  the  country  with  solid  presence  in 

Throughout the year, we carefully managed our cost structure 

all of the top targeted geographic markets. The future of our 

meaningful  asset  quality  improvement  and  delivered  record 

national presence to be a top performer for our stockholders, 

levels of earnings. 

customers, staff and communities. We are confident and look 

forward to delivering greater returns for all of our stakeholders.

Net  income  for  2018  totaled  $189.6  million,  or  $1.44  per 

diluted  common  share,  compared  with  $139.4  million,  or 

On  behalf  of  the  entire  Board  of  Directors,  we  express  our 

$1.03  per  diluted  common  share  in  2017.    The  return  on 

deepest  appreciation  to  our  employees  for  their  tireless 

average  assets  for  2018  improved  to  1.29%,  and  the  return 

efforts  and  dedication,  our  customers 

for 

their 

loyal 

on  average  stockholders’  equity 

increased 

to  9.92%.

patronage,  our  regulators  for  their  collaborative  guidance 

and  our  stockholders  for  their  ongoing  trust  and  support. 

As of December 31, 2018, total assets increased 8% over 2017 

to  $15.31  billion,  loans  receivable  increased  9%  to  $12.10 

billion  and  total  deposits  increased  12%  to  $12.16  billion. 

Sincerely,

Given 

the  solid  financial  performance 

for 

the  year 

notwithstanding 

the  considerable 

investments 

in  our 

organization,  our  Board  of  Directors  increased  the  quarterly 

dividend  to  our  stockholders  for  the  sixth  consecutive  year 

to $0.14 per common share.  

Scott Yoon-Suk Whang
Chairman of the Board

Kevin S. Kim 
President & Chief Executive Officer

and  drove  down  our  core  noninterest  expenses  to  average 

organization  is  strong  as  we  continue  to  progress  toward 

assets,  generated  record  loan  origination  volumes,  achieved 

our  Vision  to  build  upon  our  Korean-American  heritage  and 

Financial 
Highlights

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2014         2015        2016        2017          2018 

2014         2015        2016        2017          2018 

2014         2015        2016        2017          2018 

Total Assets

Loans Receivable

Total Deposits

The strong financial performance of 
Bank of Hope has garnered numerous accolades 

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2014         2015        2016        2017          2018 

2014         2015        2016        2017          2018 

2014         2015        2016        2017          2018 

Net Income

Stockholders’ Equity

Total Risk-based
Capital Ratio

2018 ANNUAL REPORT  /  4

2018 ANNUAL REPORT  /  5

 
 
 
 
 
 
 
 
 
 
Selected Financial Data

Selected Financial Data

(dollars in thousands, except share and per share data) 

2018 

  2017 

2016 

2015 

2014 

(dollars in thousands) 

2018 

  2017 

2016 

2015 

2014 

As of and For the Years Ended December 31,

As of and For the Years Ended December 31,

Income Statement Data 

Interest income 

Interest expense 

Net interest income  

Provision for loan losses 

$       650,172 

$       572,104 

$      421,934  

$     313,660  

$     302,657 

         162,245 

          90,724 

         58,579  

        40,618 

        36,060 

       487,927 

        481,380 

       363,355  

      273,042  

      266,597 

          14,900 

          17,360 

           9,000  

           8,000  

        12,638 

Net interest income after provision for loan losses 

       473,027 

        464,020 

       354,355  

      265,042  

      253,959  

Noninterest income 

Noninterest expense 

         60,180 

          66,415 

         51,819  

         43,691  

        44,187 

        277,726 

        266,601 

       214,975  

      153,384  

      151,624 

Income before income tax provision   

      255,481 

        263,834 

       191,199  

      155,349  

      146,522  

Income tax provision   

Net income   

Per Common Share Data 
Earnings _ basic 
Earnings _ diluted 

        65,892 

        124,389 

         77,452  

         63,091 

        57,907 

$      189,589 

$       139,445 

$      113,747  

$        92,258  

$       88,615  

$              1.44 

  $              1.03 

  $               1.10  

$            1.16  

$            1.11  

$              1.44 

$              1.03 

$              1.10  

$            1.16  

$            1.11 

Book value (period end, excluding warrants) 

$            15.03 

$            14.23 

$            13.72  

$          11.79 

$          11.10 

Cash dividends declared per common share 

$              0.54 

$              0.50 

$              0.45  

$            0.42  

$            0.35 

Number of common shares outstanding (period end) 

 126,639,912 

 135,511,891 

 135,240,079 

 79,566,356  

 79,503,552  

Balance Sheet Data—At Period End 

Assets 

$  15,305,952 

$  14,206,717 

$  13,441,422 

$   7,912,648  

$  7,140,330 

Securities available for sale   

$    1,846,265 

$    1,720,257 

$    1,556,740  

$  1,010,556  

$     792,523 

Loans receivable, net of unearned loan fees and discounts  

   (excludes loans held for sale) 

$  12,098,115 

$  11,102,575 

$  10,543,332  

$  6,248,341  

$  5,565,192 

Deposits 

$  12,155,656 

$  10,846,609 

$  10,642,035  

$  6,340,976  

$  5,693,452 

Federal Home Loan Bank advances    

$       821,280 

 $     1,227,593 

$       754,290  

$       530,591  

$     480,975

Subordinated debentures 

Convertible notes, net 

Stockholders’ equity 

Average Balance Sheet Data 

Assets 

$       101,929 

$       100,853 

$         99,808  

$         42,327  

$       42,158 

$       194,543 

$                   - 

$                   -  

$                  -  

$                  - 

$    1,903,211 

$    1,928,255 

$    1,855,473  

$     938,095  

$     882,773 

$ 14,749,166 

$ 13,648,963 

$  10,342,063  

$  7,389,530  

$  6,830,244  

Securities available for sale 

$    1,772,080 

$    1,679,468 

$    1,276,068  

$     871,010  

$     713,775 

Gross loans, including loans held for sale 

$ 11,547,022 

$ 10,642,349 

$    8,121,897  

$  5,846,658  

$  5,355,243

Deposits 

Stockholders’ equity 

$ 11,628,177 

$ 10,751,886 

$    8,232,984  

$  5,879,704  

$  5,439,920  

$    1,910,224 

$    1,907,746 

$    1,342,954  

$     912,609  

$     848,443 

Complete financial information is contained in the Company’s Form 10-K attached herewith in electronic form and incorporated by reference as part of 

Hope Bancorp’s 2018 Annual Report.

Selected Performance Ratios 

Return on average assets (1) 

Return on average stockholders’ equity (2) 

Average stockholders’ equity to average assets 

Dividend payout ratio (3) 

Net interest spread (4) 

Net interest margin (5) 

Yield on interest earning assets 

(6) 

Cost of interest bearing liabilities (7) 

Efficiency ratio 

(8) 

Regulatory Capital Ratios 

Hope Bancorp:  

    Common Equity Tier 1 

    Leverage 

    Tier 1 risk-based 

    Total risk-based 

Bank of Hope:

    Common Equity Tier 1 

    Leverage 

    Tier 1 risk-based 

    Total risk-based 

Asset Quality Data 

Nonaccrual loans 

1.29% 

9.92% 

12.95% 

37.58% 

3.04% 

3.53% 

4.71% 

1.67% 

1.02% 

7.31% 

13.98% 

48.54% 

3.46% 

3.80% 

4.51% 

1.05% 

1.10% 

8.47% 

12.99% 

40.86% 

3.49% 

3.75% 

4.36% 

0.87% 

1.25%  

10.11% 

12.35%  

36.21%  

3.62% 

3.88%  

4.46%  

0.84%  

1.30%  

10.44% 

12.42%

31.53% 

3.88% 

4.13% 

4.68% 

0.80% 

50.67% 

48.67% 

51.78% 

48.43% 

48.79% 

11.44%  

10.55% 

12.21% 

12.94% 

13.63% 

11.76% 

13.63% 

14.36% 

12.30%  

11.54% 

13.11% 

13.82% 

12.95% 

11.40% 

12.95% 

13.66% 

12.10%  

11.49% 

12.92% 

13.64% 

12.75%  

11.33% 

12.75% 

13.46% 

12.08%  

11.53% 

12.67%  

13.80%  

12.56%  

11.43% 

12.56%  

13.69%  

12.96% 

11.62% 

13.64% 

14.80%  

13.44% 

11.45% 

13.44% 

14.61% 

$       53,286 

$       46,775 

$       40,074  

$       40,801 

$       46,353 

Loans 90 days or more past due and still accruing (9) 

          1,529 

             407 

             305  

             375  

             361 

Restructured loans (accruing) 

    Total nonperforming loans  

Other real estate owned 

    Total nonperforming assets 

        50,410 

        67,250 

        48,874  

       47,984  

        57,128 

      105,225 

      114,432 

        89,253  

        89,160  

      103,842 

           7,754 

        10,787 

        21,990  

        21,035  

        21,938 

$     112,979 

$     125,219 

$     111,243  

$     110,195  

$     125,780  

Asset Quality Ratios 

Nonaccrual loans to loans receivable 

Nonperforming loans to loans receivable 

Nonperforming assets to total assets 

Non-performing assets to loans receivable and OREO 

Allowance for loan losses to loans receivable 

Allowance for loan losses to nonaccrual loans 

Allowance for loan losses to nonperforming loans 

Allowance for loan losses to nonperforming assets 

Net charge-offs (recoveries) to average gross loans 

0.44% 

0.87% 

0.74% 

0.93% 

0.77% 

0.42% 

1.03% 

0.88% 

1.13% 

0.76% 

0.38% 

0.85% 

0.83%  

1.05% 

0.75% 

0.65%  

1.43%  

1.39%  

1.76%  

1.22%  

0.83%   

1.87% 

1.76% 

2.25%  

1.22% 

173.70% 

180.74% 

197.99% 

187.27%  

146.18% 

87.96% 

81.92% 

0.06% 

73.88% 

67.51% 

0.11% 

88.90% 

71.32% 

 0.07% 

85.70%  

69.34%  

(0.01)%  

65.25%  

53.87%  

0.23%  

(1) Net income divided by the average assets 
(2) Net income divided by the average stockholders’ equity 
(3) Dividends per share divided by earnings per share
(4) Difference between the average yield earned on interest earning assets and the average rate paid on interest bearing liabilities 
(5) Net interest income expressed as a percentage of average interest earning assets 
(6) Interest income divided by the average interest earning assets 
(7) Interest expense divided by the average interest bearing liabilities 
(8) Noninterest expense divided by the sum of net interest income plus noninterest income 
(9) Excludes acquired credit impaired loans totaling $14.1 million, $18.1 million, $19.6 million, $12.2 million and $30.4 million as of December 31, 2018, 2017, 2016, 2015, and 2014, respectively

2018 ANNUAL REPORT  /  6

2018 ANNUAL REPORT  /  7

 
 
 
 
 
 
 
 
 
  
  
  
  
  
 
 
 
 
 
 
 
  
  
  
  
  
 
 
 
 
 
 
  
  
 
 
 
 
 
 
  
  
  
  
  
 
 
 
 
 
  
  
  
  
 
 
 
 
 
 
 
  
  
  
  
  
 
  
  
  
  
 
  
  
  
  
  
  
 
  
  
  
  
  
  
  
  
  
    Left to right:
q Kyu S. Kim 
    Senior Executive Vice President &
     Eastern Regional President
q Peter Koh 
    Executive Vice President &
     Chief Credit Officer
q Kevin S. Kim 
    President & Chief Executive Officer
q Alex Ko 
    Executive Vice President &
     Chief Financial Officer
q David P. Malone 
    Senior Executive Vice President &
     Chief Operating Officer

Bankers. Experts. Neighbors.

Bankers. Experts. Neighbors.

Our Commitment:  
To provide comprehensive financial solutions 
as EXPERTS.

Beyond  our 

initial  core  strengths 

in 

international  trade 

finance,  SBA  and  commercial  real  estate  lending,  Bank  of 

Hope  has  become  a  diversified  financial  institution  with 

a  comprehensive  offering  of  products  and  services 

in 

commercial 

lending, 

asset-based 

lending, 

residential 

mortgages,  treasury  management  services,  credit  cards,

equipment  lease  financing,  foreign  currency  and  wealth 

management.

Products  and  services  alone,  however,  are  not  sufficient 

to  build 

a 

strong  financial 

institution.  With  our 

specialized  knowledge  of  industry  trends  and  a  strong 

Asset-Based Lending

Commercial Lending

Residential Mortgage

WealthCredit Card
FinanceLending
SBA Lending
SBA Lending
Equipment Lease Financing
Wealth Management
CRE Lending
Foreign Currency
Finance
Wealth
Mortgage Warehouse Lending
Treasury Management Solutions

Int’l Trade Finance

Our Commitment:  
To improve the value of our service as BANKERS.

Our  Mission  is  to  be  the  first  choice  partner  for  our  target 

platform  for  our  customers  to  partner  with  to  reach  their 

corporate, middle market and small businesses by providing 

financial goals.  

a  comprehensive  set  of  business  products  and  services, 

while  being  the  premier  bank  for  the  target  consumers  in 

The value of our service as the banker of choice is underscored 

the communities we serve nationwide.

by the higher levels of originations in 2018. For the full year, 

pulse  on 

the  competitive  environment 

in  our  core 

increased  42%  year-over-year,  and  residential  mortgage 

communities,  our  bankers  have  the  expertise  and  are 

originations  increased  67%  over  2017,  underscoring  the 

well  equipped  to  provide  the  appropriate  value-added 

enhanced  platforms  and  expertise 

in  these  two  areas 

products  and  services  based  on  our  customer’s  specific 

of our business.

needs and risk profile. 

12th Largest SBA 
 Lender in the Nation

With  a  superior  competitive  position,  marked  by  unrivaled 

leadership  and  expertise  among  our  niche  peers  and 

unparalleled  opportunity  to  cross-sell  a  comprehensive 

offering  of  products  and  services,  Bank  of  Hope  has  a 

tremendous  opportunity 

to 

establish  deeper 

and 

Bank  of  Hope  funded  a  record  $3.01  billion  in  new  loans  to 

As  a  testament  to  our  expertise,  Bank  of  Hope  has  long 

stronger  relationships  with  our  existing  customer  base. 

It takes a good team of people to deliver on sound strategies, 

support  the  growth  of  its  customers,  representing  a  16% 

and  Bank  of  Hope  has  assembled  the  deepest  bench  of 

increase  over  2017  production  volumes.  This  production 

bankers  in  our  community  with  significantly  broader  depth 

contributed  to  a  more  diversified  mix  of  loans  at  year-end 

of  experience  and  specialized  skill  sets.  Together  with  our 

and  was  achieved  through  new  business  wins  from  both 

been  established  as  one  of  the  top  SBA  lenders  in  the 

Coupled with our greater stature in the banking community, 

nation over the last 20 years. The strong performance of this 

Bank  of  Hope  is  also  well  positioned  to  expand  into  newer 

business  unit  resulted  in  Bank  of  Hope  being  ranked  12th 

markets  and  provide  banking  services 

to  a  broader 

increased scale and lending limits, strong capital position and 

the  mainstream  and  core  customer  base,  as  well  as  new 

in  the  nation  in  terms  of  lending  volume  for  the  SBA’s  2018 

and  larger  customer  base,  contributing  to  the  ongoing 

greater resources, Bank of Hope is proving to be a formidable 

relationships  with  higher  profile,  middle  market  businesses.

fiscal  year.  Moreover,  2018  commercial  lending  volumes 

diversification of our loan and deposit portfolios. 

2018 ANNUAL REPORT  /  8

2018 ANNUAL REPORT  /  9

Bankers. Experts. Neighbors.

Our Commitment:  
To be good NEIGHBORS that foster growth for our 
customers and communities.

As a community-based bank, Bank of Hope is committed to being a model corporate citizen
and supporting its communities through various forms of investments and contributions. 

Since the establishment of the Hope Scholarship Foundation 

in  2001,  Bank  of  Hope  has  supported  the  youth  in  its 

communities  through  $2.0  million  in  contributions  to  the 

Hope  Scholarship  Foundation. 

In  partnership  with  the 

Asian  &  Pacific  Island  American  Scholarship  Fund  (APIASF), 

scholarships  were  awarded  to  52  students  in  2018.  The 

students  were  selected  based  on  their  demonstration  of 

strong  academic  performance,  leadership  capabilities  and 

a  need  for  financial  assistance  as  they  were  preparing  to 

enroll  in  the  2018-2019  academic  year  of  college.  A  widely 

Bank  of  Hope  also  continued  to  partner  with  United  Way 

of  Greater  Los  Angeles  to  support  their  community  work 

focused  on  education,  housing,  health  and  financial  stability 

for  our  most  vulnerable  neighbors, 

including  students, 

low-income  families,  veterans  and  the  homeless.  Through 

an  annual  United  Way  Workplace  Giving  Campaign,  our 

employees  have  the  opportunity  to  make  a  direct  impact 

in 

the  communities 

in  which 

they  work  and 

live. 

Employee  pledges  in  2018  totaled  approximately  $40,000, 

and  underscoring  Bank  of  Hope’s  commitment  to  the 

community, a 100% corporate match was provided for every 

employee donation.

Through 

various 

community 

reinvestment 

activities 

throughout  the  year, 

including  the  Volunteer 

Income 

Tax  Assistance  (VITA)  program  and  Junior  Achievement 

praised annual event, the program has been one of the most 

especially  the  Founders  Cup  tournament,  which  honors 

events,  among  others,  our  employees  served  nearly 

fulfilling  ways  that  we  have  been  able  to  give  back  to  our 

the  13  visionary  women  who  saw  a  need  and  established 

1,200  CRA-qualified  hours  in  2018,  which  represented  a 

customers  and 

the  greater  communities  which 

the 

the  LPGA  in  1950.  Like  the  LPGA,  Bank  of  Hope  was 

25%  increase  above  the  prior  year  and  exemplified  Bank 

Bank serves.

founded  by  visionaries  to  serve  the  financial  needs  of 

of  Hope’s  commitment  to  supporting 

its  communities.

a  growing 

immigrant  population,  and  today 

it 

is  the 

For  the  third  consecutive  year,  Bank  of  Hope  served  as  title 

representative  bank  of  the  Korean-American  community. 

These  activities  exemplify  Bank  of  Hope’s  core  values, 

sponsor  to  the  LPGA  Founders  Cup.  As  one  of  the  leading 

We  are  especially  proud  of  the  fact  that  the  Founders 

which  we  believe  are  particularly  important  in  building 

Asian-American  banks  in  the  United  States,  Bank  of  Hope 

Cup  tournament  proceeds  are  donated  to  support  the 

and  sustaining  a  strong  culture  of  high  performance  and 

shares  many  similarities  and  values  with  the  LPGA,  and 

LPGA-USGA Girls Golf program. 

collaboration.  And  the  acronym  –  IT  FITS  –  was  developed 

to reinforce the communication of these values.

Corporate Social Responsibility Highlights

CORE VALUES

IT FITS

I 

T 

F 

I 

T 

S

Integrity

Maintaining the highest standards of honesty and ethical 
behavior in our day-to-day interactions with others

Transparency

Being open and forthright in all of our business 
practices and communications

Fairness

Acting without bias in all of our business decisions

Initiative

Willingness to independently take action to resolve 
a problem, complete a task, or develop an innovative 
response to a business challenge

Teamwork

Working with our colleagues to achieve our common 
goals, recognizing that as a team we can achieve far 
more than any of us can as individuals

Satisfaction

Deliver high levels of satisfaction to our key stakeholders 
(customers, shareholders, employees, community) 
by meeting and exceeding their expectations

* IT FITS is a registered trademark of Bank of Hope

1 OUT OF 2
1 out of 2 Bank of Hope 
branches located in 
low-to-moderate income areas

1200 HOURS
Nearly 1200 hours 
of  CRA-reportable 
volunteer hours in 2018

$3.0 BILLION
$3.0 billion 
of loans 
funded in 2018

$500 MILLION
$500 million of CRA-reportable 
small business 
lending in 2018

$10 MILLION
$10 million of donations 
and sponsorships 
over last 10 years

$2.0 MILLION
$2.0 million of contributions 
to the Hope Scholarship 
Foundation since 2001

2018 ANNUAL REPORT  /  10

2018 ANNUAL REPORT  /  11

Scott Yoon-Suk Whang
Chairman of the Board
Founder and Chief Executive Officer
Orange Circle Studios

Kevin S. Kim
President & Chief Executive Officer
Hope Bancorp, Inc. and Bank of Hope

Steven S. Koh
Honorary Chairman
Chairman
Pacific Steel Corporation

Chung Hyun Lee 
Former President
NuArt International, Inc.

Jin Chul Jhung
Chairman & President
Royal Imex, Inc.

Donald D. Byun
Former President
Jay Dee, Inc.

John R. Taylor
Former Senior Audit Partner
KPMG LLP

Steven J. Didion
General Partner and Portfolio 
Manager
JCSD Partners, LP

Daisy Y. Ha
Attorney

David P. Malone
Executive Vice President & Chief 
Operating Officer
Bank of Hope

Dale S. Zuehls, PhD
Principal
Zuehls, Legaspi & Company

William J. Lewis
Former Executive Vice President & 
Chief Credit Officer
East West Bank

Jinho Doo
Chief Executive Officer
Key Capital Management, LLC

James D. Hwang
Former Chief Executive Officer
Cal Net Tech

Board of Directors

Hope Bancorp, Inc. and Bank of Hope

Hope  Bancorp’s  executive  management  team  is  supported  by  a  distinguished  group  of  leaders  and 

corporate  professionals  from  various  market  sectors  and  industry  groups.    The  expertise  of  our  Directors 

includes accounting, auditing and financial reporting, commercial banking, investment banking, investment 

management, 

legal,  corporate  management,  strategic  planning,  business  acquisitions,  marketing, 

international operations, technology, retail and small to middle-market business operations.

2018 ANNUAL REPORT  /  12

2018 ANNUAL REPORT  /  13

Location Information

  Southern California
  Branches

  Koreatown

City Center 
3435 Wilshire Blvd, Suite 150
Los Angeles, CA  90010 
T (213) 427-2222

Olympic-Hoover 
2222 W Olympic Blvd 
Los Angeles, CA  90006
T (213) 386-2222

Olympic-Vermont  
2727 W Olympic Blvd, Suite 104
Los Angeles, CA  90006
T (213) 235-3100

Olympic-Western  
3267 W Olympic Blvd 
Los Angeles, CA  90006
T (213) 388-2222

Western-Beverly  
253 N Western Ave 
Los Angeles, CA  90004
T (213) 381-2222 

Western-9th  
841 S Western Ave 
Los Angeles, CA  90005
T (213) 387-7070

Wilshire  
3200 Wilshire Blvd
Los Angeles, CA  90010
T (213) 427-1000

Wilshire-Harvard 
3600 Wilshire Blvd, Suite 100-A
Los Angeles, CA  90010
T (213) 351-5980

Wilshire-Manhattan 
3832 Wilshire Blvd 
Los Angeles, CA  90010
T (213) 427-7711

  Downtown LA

Broadway  
1205 S Broadway 
Los Angeles, CA  90015 
T (213) 746-2222 

Fashion Town  
1300 S San Pedro St #200
Los Angeles, CA  90015
T (213) 746-3200

Maple  
401 E 11th St #211
Los Angeles, CA  90015
T (213) 763-1800

San Pedro Mart  
1100 S San Pedro St, Unit L21 
Los Angeles, CA  90015
T (213) 745-5550

Wall1 
1122 S Wall St 
Los Angeles, CA  90015
T (213) 763-1122

  Huntington Park

Huntington Park 
6350 Pacific Blvd 
Huntington Park, CA  90255
T (323) 584-5950

  South Bay

Gardena  
1655 W Redondo Beach Blvd
Gardena, CA  90247
T (310) 327-2222

Torrance 
2424 Sepulveda Blvd, Suite A
Torrance, CA  90501
T (310) 328-5555

  Fullerton/Cerritos

Cerritos  
17500 Carmenita Rd 
Cerritos, CA  90703 
T (562) 926-2520

Fullerton  
5300 Beach Blvd, Unit 101 
Buena Park, CA  90621
T (714) 690-1400 

Fullerton-Beach
5307 Beach Blvd 
Buena Park, CA  90621
T (714) 994-5000

La Palma 
4875 La Palma Ave 
La Palma, CA  90623
T (562) 468-0900

  Garden Grove/Irvine

Garden Grove  
9580 Garden Grove Blvd Suite 100 
Garden Grove, CA  92844
T (714) 891-2222

Irvine-Culver  
14429 Culver Dr 
Irvine, CA  92604
T (949) 777-3777

  Rowland Heights/
  Diamond Bar/Inland Empire

Diamond Bar   
2809 S Diamond Bar Blvd 
Diamond Bar, CA  91765
T (909) 718-2000

Inland  
1040 S Mt. Vernon Ave, Suite A
Colton, CA  92324
T (909) 370-2222

Rowland Heights-Colima 
10911 Colima Rd
Walnut, CA 91789
T (909) 979-8020

Rowland Heights-Nogales  
1709 S Nogales St, Suite 100
Rowland Heights, CA  91748
T (626) 581-4020

  Valley

La Crescenta  
3231 Foothill Blvd, Suite 205
La Crescenta, CA  91214
T (818) 551-0700

North Northridge 
10147 Reseda Blvd 
Northridge, CA  91324
T (818) 534-3333 

South Northridge 
8401 Reseda Blvd 
Northridge, CA  91324
T (818) 773-6133

  San Diego

San Diego 
4428 Convoy St, Suite #A-200 
San Diego, CA  92111
T (858) 874-3333

  Commercial Loan Centers

Los Angeles Regional Office 
3731 Wilshire Blvd, 3rd Floor
Los Angeles, CA  90010
T (213) 639-1700

Buena Park Office 
5254 Beach Blvd
Buena Park, CA  90621
T (562) 345-3102

Broadway Office
1205 S Broadway
Los Angeles, CA  90015
T (213) 763-7899

Gardena Office
1655 W Redondo Beach Blvd
Gardena, CA  90247
T (310) 327-2222

Olympic-Hoover Office 
2222 W Olympic Blvd, 2nd Floor
Los Angeles, CA  90006
T (213) 386-2222 

Olympic-Vermont Office 
2727 W Olympic Blvd, Suite 104
Los Angeles, CA  90006
T (213) 235-3100
T (213) 235-3113 

Wilshire Office 
3200 Wilshire Blvd
Los Angeles, CA  90010
T (213) 365-3303

  SBA Department

3200 Wilshire Blvd, 7th Floor
Los Angeles, CA  90010
T (877) 627-2722

  Mortgage Banking Division

3200 Wilshire Blvd, 4th Floor
Los Angeles, CA  90010
T (866) 972-2265 

Gardena/Torrance LPO 
1655 W Redondo Beach Blvd
Gardena, CA  90247
T (310) 327-2222

Newport Beach LPO 
24 Corporate Plaza, Suite 180
Newport Beach, CA 92660
T (949) 999-7900

South Bay LPO 
2447 Pacific Coast Hwy, Suite 101
Hermosa Beach, CA  90254
T (866) 972-2265

  Syndicated Lending Group

3200 Wilshire Blvd, 10th Floor
Los Angeles, CA  90010
T (213) 427-6321

  Credit Card Department

3200 Wilshire Blvd, 14th Floor
Los Angeles, CA  90010
T (213) 355-2850

  Commercial Equipment Lease
   Financing Department

3731 Wilshire Blvd, 3rd Floor
Los Angeles, CA  90010
T (213) 805-8230

  Investment Services

Olympic-Western Office 
3267 W Olympic Blvd 
Los Angeles, CA  90006
T (213) 201-3600

  Northern California
  Branches

Oakland 
1939 Harrison St, Suite 110
Oakland, CA  94612
T (510) 302-0505

Silicon Valley 
1102 E El Camino Real 
Sunnyvale, CA  94087
T (408) 557-2000

  Premier Banking Group

  Commercial Loan Centers

Olympic-Western Office 
3267 W Olympic Blvd, 2nd Floor
Los Angeles, CA  90006
T (213) 235-3113

NCA Region Loan Center
47102 Mission Falls Ct, Suite 100
Fremont, CA  94539
T (510) 550-8000

   Premier Commercial Banking
   Division

  SBA Loan Production Offices

Manhattan Office
16 W 32nd St
New York, NY  10001
T (212) 279-2790

  New Jersey
  Branches

Edison1  
1757 Lincoln Hwy
Edison, NJ  08817
T (732) 839-0640

Fort Lee
172 Main St
Fort Lee, NJ  07024
T (201) 585-7707

Palisades Park 
303 Broad Ave
Palisades Park, NJ  07650
T (201) 582-1100

  Commercial Loan Centers

Eastern Region Loan Center-
New Jersey
211 Broad Ave
Palisades Park, NJ  07650
T (201) 720-3900

  Virginia
  Branches

Annandale 
7410 Little River Tpke
Annandale, VA  22003
T (203) 354-4310

Centreville 
13890 Braddock Rd
Centreville, VA  20121
T (571) 321-6272

  Alabama
  Branches

Montgomery 
1605 Eastern Blvd
Montgomery, AL  36117
T (334) 277-4118

Annandale LPO
7535 Little River Tpke Suite 120-A
Annandale, VA  22003
T (877) 627-2722

Atlanta LPO
3575 Koger Blvd, #380
Duluth, GA  30096
T (678) 380-0774

Dallas LPO 
2727 Lyndon B Johnson Fwy Suite 110
Dallas, TX  75234
T (469) 522-4955

Denver LPO
2851 S Parker Rd, Suite 1120
Aurora, CO  80014
T (720) 535-5060

Houston LPO
10000 Harwin Dr
Houston, TX  77036
T (281) 407-3353

New York  LPO
162-05 Crocheron Ave
Flushing, NY  11358
T (718) 412-9055

Northern California LPO
1939 Harrison St, Suite 190
Oakland, CA  94612
T (510) 899-6803

Portland LPO
111 SW 5th Ave, Suite 3160
Portland, OR  97204
T (503) 360-9193

Seattle LPO
400 112th Ave NE, Suite 150
Bellevue, WA  98004
T (425) 921-1098

  Korea

Seoul Representative Office
20F Glass Tower
534 Teheran-ro 
Gangnam-gu, Seoul, Korea 06181
T +82 (2) 3439-9120

1  Friday, June 21, 2019 will be the last day 
    this branch will be open for business at
    the current location.

  Washington
  Branches

Federal Way 
31827-B Pacific Hwy S 
Federal Way, WA  98003
T (253) 941-9200

Lynnwood
17410 Hwy 99, Suite 120 
Lynnwood, WA  98037
T (425) 743-7777

Lynnwood Market 
3301 184th St SW, Suite 125
Lynnwood, WA  98037
T (425) 776-5111

Tacoma
8608 S Tacoma Way 
Lakewood, WA  98499
T (253) 984-7900

  Commercial Loan Centers

PNW Region Loan Center
3500 188th St SW, Suite 234
Lynnwood, WA  98037
T (425) 921-1261

  Texas
  Branches

Dallas 
2237 Royal Ln
Dallas, TX  75229
T (972) 919-9999

Fort Worth 
7553 Boulevard 26
North Richland Hills, TX  76180
T (817) 514-4600 

Houston 
10000 Harwin Dr
Houston, TX  77036
T (713) 774-0411

Houston-Spring
13890 Blalock Rd
Houston, TX 77055
T (281) 407-3355

  Commercial Loan Centers

South Central Region Loan 
Center
2237 Royal Ln
Dallas, TX  75229
T (972) 919-9999

  Illinois
  Branches

Arlington Heights 
83 West Golf Rd
Arlington Heights, IL  60005
T (847) 398-7700

Glenview  
1645 N Milwaukee Ave 
Glenview, IL 60025
T (855) 329-2226

Niles 
8504-A W Golf Rd
Niles, IL  60714 
T (847) 965-7373

Niles Market 
801 Civic Center Dr, Suite 155
Niles, IL 60714 
T (847) 965-2402

Skokie 
5526 Touhy Ave
Skokie, IL 60077
T (773) 736-1300

  Commercial Loan Centers

MW Region Loan Center
8504-A W Golf Rd
Niles, IL 60714 
T (847) 965-7373

  New York
  Branches

Bayside  
209-07 Northern Blvd 
Bayside, NY  11361
T (718) 428-1606

Flushing-150th 
150-24 Northern Blvd, Suite G4
Flushing, NY  11354
T (347) 625-2800

Flushing-Crocheron 
162-05 Crocheron Ave
Flushing, NY  11358
T (718) 888-0020

Flushing-Union 
138-02 Northern Blvd
Flushing, NY  11354
T (718) 886-6611

Great Neck  
485 Great Neck Rd
Great Neck, NY  11021
T (516) 466-4160

Manhattan  
16 W 32nd St
New York, NY  10001
T (212) 279-2790

Woodside 
50-15 Roosevelt Ave
Woodside, NY  11377
T (718) 335-2000 

  Commercial Loan Centers

Regional Headquarters, 
Eastern Region
16 W 32nd St
New York, NY  10001
T (212) 279-2790

Eastern Region Loan Center-
Manhattan
308 Fifth Ave 
New York, NY  10001
T (212) 279-2790

2018 ANNUAL REPORT  /  14

2018 ANNUAL REPORT  /  15

 
 
 
   
   
Corporate Information

Hope Bancorp, Inc. and Bank of Hope 
Board of Directors 

Executive Officers

Independent Auditors

Scott Yoon-Suk Whang
Chairman of the Board
Founder and Chief Executive Officer
Orange Circle Studios

Kevin S. Kim
President & Chief Executive Officer
Hope Bancorp, Inc. and Bank of Hope

Steven S. Koh
Honorary Chairman
Chairman
Pacific Steel Corporation

Donald D. Byun
Former President
Jay Dee, Inc.

Steven J. Didion
General Partner and Portfolio Manager
JCSD Partners, LP

Jinho Doo
Chief Executive Officer
Key Capital Management, LLC

Daisy Y. Ha
Attorney

James U. Hwang
Former Chief Executive Officer
Cal Net Technology Group

Jin Chul Jhung
Chairman & President
Royal Imex, Inc.

Chung Hyun Lee
Former President
NuArt International, Inc.

David P. Malone
Senior Executive Vice President &   
Chief Operating Officer
Bank of Hope

William J. Lewis
Former Executive Vice President & 
Chief Credit Officer
East West Bank

John R. Taylor
Former Senior Audit Partner
KPMG LLP

Dale S. Zuehls, PhD
Principal
Zuehls, Legaspi & Company

Crowe LLP
Los Angeles, California

SEC Counsel

Sheppard, Mullin, Richter & Hampton LLP
Los Angeles, California

Transfer Agent and Registrar

If you have questions about stock 
certificates, or if you need to transfer 
shares or change the name in which 
they are registered, please contact:

Computershare Trust Company, N.A.
250 Royall St
Canton, MA  02021
T (877) 272-7494
www.computershare.com/investor

Securities Listing

Hope Bancorp, Inc.’s common stock 
is traded on the NASDAQ Global Select 
Market under the symbol HOPE.

Investor Relations

Angie Yang
Senior Vice President, Director of Investor 
Relations & Corporate Communications
T (213) 251-2219
angie.yang@bankofhope.com

Offer of 10-K Report

Shareholders may obtain without charge 
copies of Hope Bancorp’s 2018 Annual 
Report to the  Securities and Exchange 
Commission on Form 10-K by sending 
a request to investor@bankofhope.com. 

Annual Meeting of Shareholders

The Annual Meeting of Stockholders will 
be held at 10:30 a.m. Pacific Time on 
Thursday, May 23, 2019, at the Oxford 
Palace Hotel, 745 South Oxford Avenue, 
Los Angeles, California 90005.

Corporate Headquarters

3200 Wilshire Blvd, 14th Floor
Los Angeles, CA 90010
T (213) 639-1700

Kevin S. Kim
President & Chief Executive Officer
Hope Bancorp, Inc. and Bank of Hope

David P.  Malone
Senior Executive Vice President, 
Chief Operating Officer
Bank of Hope

Kyu S. Kim 
Senior Executive Vice President, 
Eastern Regional President
Bank of Hope 

Alex Ko 
Executive Vice President, 
Chief Financial Officer
Hope Bancorp, Inc. and Bank of Hope

Peter Koh 
Executive Vice President,
Chief Credit Officer
Bank of Hope

Karen Craigmile 
Executive Vice President, 
Chief Internal Auditor
Bank of Hope

Daniel H. Kim 
Executive Vice President,
Chief Strategy Officer
Bank of Hope

David W. Kim 
Executive Vice President, 
Chief Retail Banking Officer
Bank of Hope

Jason K. Kim
Executive Vice President, 
Chief Commercial Banking Officer
Bank of Hope

Young K. Lee
Executive Vice President, 
Chief Human Resource Officer
Bank of Hope

Janette Mah 
Executive Vice President, 
Chief Mortgage Banking Officer
Bank of Hope

Richard Marshall 
Executive Vice President, 
Credit Administration
Bank of Hope

Lisa K. Pai
Executive Vice President, General Counsel
Hope Bancorp, Inc. and Bank of Hope

David Song
Executive Vice President, 
Chief Business Banking Officer
Bank of Hope

Thomas Stenger
Executive Vice President, Chief Risk Officer
Bank of Hope

Hung Van
Executive Vice President, 
Chief Information Officer
Bank of Hope

HOPE 2018 Form 10-K
To request printed copies of the Company’s 
2018 Form 10-K, please send an email to
investor@bankofhope.com.

2018 ANNUAL REPORT  /  16

                                                                                     The Hope Bancorp 2018 Annual Report has not been reviewed, or confirmed for accuracy or relevance, by the Federal Deposit Insurance Corporation.