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Section 1: 8-K (8-K)

Document




UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 8-K

CURRENT REPORT
Pursuant to Section 13 or 15(d) of The Securities Exchange Act of 1934

Date of Report (Date of earliest event reported): April 16, 2019

HOPE BANCORP, INC.
(Exact name of registrant as specified in its charter)
Delaware
000-50245
95-4849715
(State or other jurisdiction
(Commission File Number)
(IRS Employer Identification No.)
of incorporation)
 
 
3200 Wilshire Blvd, Suite 1400, Los Angeles, CA
90010
(Address of principal executive offices)
(Zip Code)

Registrant’s telephone number, including area code: (213) 639-1700.

(Former name or former address, if changed since last report.)

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions (see General Instruction A.2. below):
[ ] Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)
[ ] Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)
[ ] Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))
[ ] Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (§230.405 of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (§240.12b-2 of this chapter).

Emerging growth company [ ]

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. [ ]











Item 2.02 Results of Operations and Financial Condition.

On April 16, 2019, Hope Bancorp, Inc. (“HOPE” or the “Company”) issued a news release concerning its results of operations and financial condition for the first quarter ended and as of March 31, 2019. A copy of the April 16, 2019 press release is attached hereto as Exhibit 99.1.

Item 8.01 Other Events.
 
On April 16, 2019, the Company issued a news release announcing that its Board of Directors declared a quarterly cash dividend of $0.14 per common share. The cash dividend is payable on or about May 10, 2019 to all stockholders of record as of the close of business on April 26, 2019. A copy of the April 16, 2019 press release is attached hereto as Exhibit 99.2.

Item 7.01. Regulation FD Disclosure

The Company previously announced that it will host an investor conference call on Wednesday, April 17, 2019 at 9:30 a.m. Pacific Time / 12:30 p.m. Eastern Time to review financial results for its first quarter ended March 31, 2019. A presentation to accompany the conference call, which contains certain historical and forward-looking information relating to the Company (the “Presentation Materials”), has been made available at the Investor Relations section of Hope Bancorp’s website at www.ir-hopebancorp.com. A copy of the Presentation Materials is attached hereto as Exhibit 99.3.

The information included in this report pursuant to Item 2.02, Item 8.01 and Item 7.01 of Form 8-K (including Exhibit 99.1, Exhibit 99.2 and Exhibit 99.3) shall not be deemed to be “filed” for purposes of Section 18 of the Securities Exchange Act of 1934, as amended (the “Exchange Act”), or otherwise subject to the liabilities of that section, nor shall it be deemed to be incorporated by reference in any filing under the Securities Act of 1933 or the Exchange Act.


Item 9.01 Financial Statements and Exhibits

(d) Exhibits

Exhibit No.         Description of Exhibit

        
99.1
News release, dated April 16, 2019, concerning the results of operations and financial condition for the first quarter ended and as of March 31, 2019.
99.2
News release, dated April 16, 2019 announcing the declaration of a quarterly cash dividend.
99.3
Presentation Materials, dated April 17, 2019.















SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.

 
Hope Bancorp, Inc.
 
 
 
 
Date: April 17, 2019
/s/ Kevin S. Kim
 
Name: Kevin S. Kim
 
Title: President and Chief Executive Officer








EXHIBIT INDEX


Exhibit No.         Description of Exhibit


99.1
News release, dated April 16, 2019, concerning the results of operations and financial condition for the first quarter ended and as of March 31, 2019.
99.2
News release, dated April 16, 2019 announcing the declaration of a quarterly cash dividend.
99.3
Presentation Materials, dated April 17, 2019.






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Section 2: EX-99.1 (EXHIBIT 99.1)

Exhibit
397556930_hopebancorp5a03.jpg
News Release


HOPE BANCORP REPORTS 2019 FIRST QUARTER FINANCIAL RESULTS


LOS ANGELES - April 16, 2019 - Hope Bancorp, Inc. (the “Company”) (NASDAQ: HOPE), the holding company of Bank of Hope (the “Bank”), today reported unaudited financial results for the three months ended March 31, 2019. Net income for the 2019 first quarter totaled $42.8 million, or $0.34 per diluted common share. This compares with net income for the preceding 2018 fourth quarter of $44.4 million, or $0.35 per diluted common share and $51.2 million, or $0.38 per diluted common share, for the 2018 first quarter.

“First quarter results underscore our 2019 strategic priorities focused on driving profitable growth and protecting margins,” said Kevin S. Kim, President and Chief Executive Officer. “New loan production of $442 million reflects in part our more selective stance in the types of loans and rates that we are bringing on to the balance sheet. As a result, our average rate on new loan originations increased 30 basis points over the preceding fourth quarter, up from an increase of 25 basis points in the preceding quarter, and contributed to a 10 basis point increase in our average loan yield. This helped to mitigate the impact of the highly competitive and higher rate deposit environment, and our net interest margin compression moderated to 2 basis points for the quarter. Our commitment to managing our expense structure is also evident as we were able to maintain our noninterest expense to average assets ratio in line with the fourth quarter despite the normalized bonus accrual and seasonally higher first quarter payroll tax expenses. Overall, we remain confident that our strategic initiatives will deliver greater value to our stakeholders as we progress through the year and beyond,” said Kim.

Q1 2019 Highlights
2019 first quarter net income totaled $42.8 million, or $0.34 per diluted common share.
Net interest margin stabilized, declining 2 basis points to 3.39% and reflecting an improvement from 6 basis points of compression in the preceding quarter.
The average rate on loans receivable increased 10 basis points, reflecting an improvement over the 5 basis point increase in the fourth quarter of 2018.
The increase in the cost of interest bearing deposits moderated, up 18 basis points in the first quarter, versus 21 basis points in the preceding quarter.
An increase in nonaccrual and criticized loans was driven by downgrades of four credit relationships. The Company expects any potential loss exposure to be relatively small, given that the loans are well collateralized with properties in prime locations, secured by strong guarantors, or have strong parent company support .
Credit losses remained minimal with net charge offs of $462,000, versus $872,000 in the preceding quarter.
Noninterest expense to average assets was well contained at 1.85%, the same as in the 2018 fourth quarter.
Net loan-to-deposits (including HFS loans) as of March 31, 2019 improved to 97.6% from 99.0% as of December 31, 2018.
 



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2-2-2    NASDAQ: HOPE


Financial Highlights
(dollars in thousands, except per share data) (unaudited)
At or for the Three Months Ended
 
3/31/2019
 
12/31/2018
 
3/31/2018
Net income
$
42,758

 
$
44,449

 
$
51,232

Diluted earnings per share
$
0.34

 
$
0.35

 
$
0.38

Net interest income before provision for loan losses
$
119,608

 
$
121,893

 
$
120,068

Net interest margin
 
3.39
%
 
 
3.41
%
 
 
3.66
%
Noninterest income
$
11,422

 
$
11,614

 
$
19,850

Noninterest expense
$
70,833

 
$
70,189

 
$
68,453

Net loans receivable
$
11,959,787

 
$
12,005,558

 
$
11,206,022

Deposits
$
12,249,196

 
$
12,155,656

 
$
11,510,569

Nonaccrual loans (1) (2)
$
86,637

 
$
53,286

 
$
68,152

ALLL to loans receivable
 
0.78
%
 
 
0.77
%
 
 
0.77
%
ALLL to nonaccrual loans (1) (2)
 
108.75
%
 
 
173.70
%
 
 
126.86
%
ALLL to nonperforming assets (1) (2)
 
68.03
%
 
 
81.92
%
 
 
62.70
%
Provision for loan losses
$
3,000

 
$
2,800

 
$
2,500

Net charge offs
$
462

 
$
872

 
$
580

Return on average assets (“ROA”)
 
1.12
%
 
 
1.17
%
 
 
1.44
%
Return on average equity (“ROE”)
 
8.91
%
 
 
9.42
%
 
 
10.61
%
Noninterest expense / average assets
 
1.85
%
 
 
1.85
%
 
 
1.93
%
Efficiency ratio
 
54.06
%
 
 
52.57
%
 
 
48.92
%

(1) Excludes delinquent SBA loans that are guaranteed and currently in liquidation
(2) Excludes purchased credit-impaired loans

Operating Results for the 2019 First Quarter
 
Net Interest Income. Net interest income before provision for loan losses for the 2019 first quarter totaled $119.6 million, compared with $121.9 million in the 2018 fourth quarter and $120.1 million in the year-ago first quarter.

The net interest margin (net interest income divided by average interest earning assets) for the 2019 first quarter decreased 2 basis points to 3.39% from 3.41% in the preceding 2018 fourth quarter. This reflects the impact of higher deposit costs and larger balances of time deposits, partially offset by higher trending loan yields, higher accretion income and lower interest expense related to FHLB advances. Acquisition accounting adjustments, as detailed on page 3 of the financial tables, totaled $8.4 million for the 2019 first quarter and included $1.0 million of additional accretion income as a result of a payoff, compared with $6.6 million in the preceding fourth quarter.

The weighted average yield on loans for the 2019 first quarter was 5.31%, up 10 basis points from 5.21% in the preceding fourth quarter and up 27 basis points over 5.04% in the 2018 first quarter. The increases in the weighted average yield on loans largely reflects the benefits to the variable rate portion of the Company’s loan portfolio resulting from the increases in the fed funds rate in March, June, September and December 2018 of 25 basis points each.

The weighted average cost of deposits for the 2019 first quarter increased 17 basis points to 1.57% from 1.40% in the 2018 fourth quarter and was up 66 basis points from 0.91% in the year-ago first quarter. The increase in the weighted average cost of deposits reflects the highly competitive deposit market, as well as an increase in the higher-rate time deposit balances in the rising interest rate environment.


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3-3-3    NASDAQ: HOPE


Noninterest Income. Noninterest income for the 2019 first quarter totaled $11.4 million, compared with $11.6 million in the 2018 fourth quarter and $19.9 million in the 2018 first quarter. Noninterest income for the year-ago first quarter included $3.5 million of income recorded on certain equity investments held by the Company. The other variances in noninterest income largely reflect the net gains on sales of SBA and mortgage loans. As previously announced, the Company discontinued its practice of regularly selling SBA loans to the secondary market during the 2018 fourth quarter. Net gains on sales of SBA loans amounted to $0 for the 2019 first quarter, $447,000 for the 2018 fourth quarter, and $3.5 million for the year-ago first quarter. Net gains on sales of other loans, largely residential mortgage loans, amounted to $741,000 for the 2019 first quarter, $381,000 for the 2018 fourth quarter, and $1.2 million for the year-ago first quarter.

Noninterest Expense. Noninterest expense for the 2019 first quarter totaled $70.8 million, compared with $70.2 million in the preceding fourth quarter and $68.5 million in the 2018 first quarter. Noninterest expense as a percentage of average assets amounted to 1.85%, 1.85% and 1.93% for the 2019 first quarter, 2018 fourth quarter and 2018 first quarter, respectively.

Salaries and employee benefits expense totaled $40.4 million for the 2019 first quarter, compared with $36.6 million for the 2018 fourth quarter, reflecting normalized bonus accruals and the seasonally higher first quarter payroll tax expense. In the year-ago first quarter, salaries and employee benefits expense totaled $39.4 million.

Income Tax Provision. The effective tax rate for the 2019 first quarter was 25.2%, compared with 26.6% in the preceding 2018 fourth quarter and 25.7% in the 2018 first quarter.

Balance Sheet Summary
 
Loans receivable at March 31, 2019 totaled $12.05 billion, down slightly from $12.10 billion at December 31, 2018, but up 7% from $11.29 million at March 31, 2018.

New loan originations funded during the 2019 first quarter totaled $442.0 million and included SBA loan production of $48.0 million and residential mortgage loan originations of $64.3 million. This compares with 2018 fourth quarter originations of $667.3 million, including SBA loan production of $81.5 million and residential mortgage loan originations of $162.3 million. In the year-ago first quarter, new loan originations funded totaled $764.3 million, including SBA loan production of $78.2 million and residential mortgage loan originations of $179.2 million.

SBA 7(a) loan originations totaled $33.0 million for the 2019 first quarter, compared with $44.7 million for the fourth quarter of 2018 and $73.9 million for the year-ago first quarter. In accordance with the Company’s decision to retain SBA 7(a) loans in its portfolio, there were no sales to the secondary market during the 2019 first quarter, versus sales of $10.2 million during the 2018 fourth quarter and $48.6 million during the year-ago first quarter.

Sales of residential mortgage loans to the secondary market totaled $69.8 million in the 2019 first quarter and included $53.3 million of sales from the Company’s existing portfolio. This compares with sales of $11.8 million in the 2018 fourth quarter and $45.9 million in the 2018 first quarter.

Aggregate loan pay offs and pay downs in the 2019 first quarter totaled $364.0 million, compared with $431.6 million for the 2018 fourth quarter and $411.6 million in the year-ago first quarter.

Total deposits at March 31, 2019 amounted to $12.25 billion, up 1% from $12.16 billion at December 31, 2018 and up 6% from $11.51 billion at March 31, 2018.

With the adoption of the new lease accounting standard ASC 842 effective January 1, 2019, the Company now recognizes its lease liabilities and right-of-use lease assets on its balance sheet. The total balance of operating right-of-use assets included in other assets totaled $62.4 million and total operating lease liabilities included in other liabilities totaled $62.8 million at March 31, 2019. Prior to January 1, 2019, lease assets and liabilities were not recorded on the Company’s balance sheet.


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4-4-4    NASDAQ: HOPE


Credit Quality
 
The provision for loan and lease losses for the 2019 first quarter was $3.0 million, compared with $2.8 million for the immediately preceding 2018 fourth quarter and $2.5 million for the year-ago first quarter.

The Company defines nonperforming loans to include delinquent loans on nonaccrual status, delinquent loans past due 90 days or more on accrual status (excluding purchased credit-impaired loans) and accruing restructured loans. Nonaccrual loans totaled $86.6 million at March 31, 2019, compared with $53.3 million at December 31, 2018 and $68.2 million at March 31, 2018 and represented 0.72%, 0.44% and 0.60% of loans receivable, respectively. Accruing nonperforming loans totaled $387,000 at March 31, 2019, compared with $1.5 million at December 31, 2018 and $1.9 million at March 31, 2018.  Accruing restructured loans at March 31, 2019 totaled $45.2 million, compared with $50.4 million at December 31, 2018 and $59.6 million at March 31, 2018. Total nonperforming loans amounted to $132.2 million, or 1.10% of loans receivable, at March 31, 2019, compared with $105.2 million, or 0.87% of loans receivable, at December 31, 2018 and $129.6 million, or 1.15% of loans receivable, at March 31, 2018.

Other real estate owned declined to $6.3 million at March 31, 2019 from $7.8 million at December 31, 2018 and $8.3 million at March 31, 2018.
 
Following are the components of criticized loan balances as of March 31, 2019, December 31, 2018 and March 31, 2018:
(dollars in thousands) (unaudited)
3/31/2019
 
12/31/2018
 
3/31/2018
Special Mention (1)
$
205,373
 
$
163,089
 
$
196,082
Classified (1)
 
353,202
 
 
318,327
 
 
344,648
     Criticized
$
558,575
 
$
481,416
 
$
540,730

(1)
Balances include purchased loans which were marked to fair value on the date of acquisition.
 
The increases in nonaccrual loans and total criticized loans in the 2019 first quarter were primarily driven by four unrelated credit relationships. The Company expects any potential loss exposure to be relatively small given that the loans are well collateralized with properties in prime locations or secured by strong guarantors.

During the 2019 first quarter, the Company recorded net charge offs of $462,000, or 0.02% of average loans receivable on an annualized basis. This compares with net charge offs of $872,000, or 0.03% of average loans receivable on an annualized basis, for the 2018 fourth quarter. In the 2018 first quarter, the Company recorded net charge offs of $580,000, or 0.02% of average loans receivable on an annualized basis.

The ALLL at March 31, 2019 was $94.2 million, or 0.78% of loans receivable (excluding loans held for sale), compared with $92.6 million, or 0.77% of loans receivable (excluding loans held for sale), at December 31, 2018 and $86.5 million, or 0.77% of loans receivable (excluding loans held for sale), at March 31, 2018. The coverage ratio of the ALLL to nonperforming loans (excluding purchased credit-impaired loans) was 71.25% at March 31, 2019, 87.96% at December 31, 2018 and 66.69% at March 31, 2018.
 
Impaired loans (defined as loans for which it is probable that not all principal and interest payments due will be collected in accordance with the contractual terms) totaled $132.1 million at March 31, 2019, compared with $104.0 million at December 31, 2018 and $128.1 million at March 31, 2018.


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5-5-5    NASDAQ: HOPE


Capital
 
At March 31, 2019, the Company and the Bank continued to exceed all regulatory capital requirements to be classified as a “well-capitalized” financial institution, as summarized in the following table:
(unaudited)
3/31/2019
 
12/31/2018
 
3/31/2018
 
Minimum Guideline for “Well-Capitalized” Bank
Common Equity Tier 1 Capital
11.60%
 
11.44%
 
12.35%
 
6.50%
Tier 1 Leverage Ratio
10.66%
 
10.55%
 
11.61%
 
5.00%
Tier 1 Risk-based Ratio
12.36%
 
12.21%
 
13.15%
 
8.00%
Total Risk-based Ratio
13.10%
 
12.94%
 
13.86%
 
10.00%


Tangible common equity per share and as a percentage of tangible assets are summarized in the following table:
(unaudited)
3/31/2019
 
12/31/2018
 
3/31/2018
Tangible common equity per share (1)
$11.59
 
$11.25
 
$10.81
Tangible common equity to tangible assets (2)
9.84%
 
9.61%
 
10.44%

(1) 
Tangible common equity represents common equity less goodwill and net other intangible assets. Tangible common equity per share represents tangible common equity divided by the number of shares issued and outstanding. Both tangible common equity and tangible common equity per share are non-GAAP financial measures. A reconciliation of the Company’s total stockholders’ equity to tangible common equity is provided in the accompanying financial information on Table Page 6.
(2) 
Tangible assets represent total assets less goodwill and net other intangible assets. Tangible common equity to tangible assets is the ratio of tangible common equity over tangible assets. Tangible common equity to tangible assets is a non-GAAP financial measure. A reconciliation of the Company’s total assets to tangible assets is provided in the accompanying financial information on Table Page 6.

Management reviews tangible common equity to tangible assets ratio in evaluating the Company’s and the Bank’s capital levels and has included these figures and tangible common equity per share figures in response to market participant interest in tangible common equity as a measure of capital. A reconciliation of the GAAP to non-GAAP financial measures is provided in the accompanying financial information.

Investor Conference Call

The Company previously announced that it will host an investor conference call on Wednesday, April 17, 2019 at 9:30 a.m. Pacific Time / 12:30 p.m. Eastern Time to review financial results for its first quarter ended March 31, 2019. Investors and analysts are invited to access the conference call by dialing 866-235-9917 (domestic) or 412-902-4103 (international), and asking for the “Hope Bancorp Call.” A presentation to accompany the earnings call will be available at the Investor Relations section of Hope Bancorp’s website at www.ir-hopebancorp.com. Other interested parties are invited to listen to a live webcast of the call available at the Investor Relations section of Hope Bancorp’s website. After the live webcast, a replay will remain available in the Investor Relations section of Hope Bancorp’s website for one year. A telephonic replay of the call will be available at 877-344-7529 (domestic) or 412-317-0088 (international) for one week through April 24, 2019, replay access code 10130148.


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About Hope Bancorp, Inc.

Hope Bancorp, Inc. is the holding company of Bank of Hope, the first and only super regional Korean-American bank in the United States with $15.4 billion in total assets as of March 31, 2019. Headquartered in Los Angeles and serving a multi-ethnic population of customers across the nation, Bank of Hope operates 63 full-service branches in California, Washington, Texas, Illinois, New York, New Jersey, Virginia, Georgia and Alabama. The Bank also operates SBA loan production offices in Seattle, Denver, Dallas, Atlanta, Portland, Oregon, New York City, Northern California and Houston; commercial loan production offices in Northern California and Seattle; residential mortgage loan production offices in Southern California; and a representative office in Seoul, Korea. Bank of Hope specializes in core business banking products for small and medium-sized businesses, with an emphasis in commercial real estate and commercial lending, SBA lending and international trade financing. Bank of Hope is a California-chartered bank, and its deposits are insured by the FDIC to the extent provided by law. Bank of Hope is an Equal Opportunity Lender. For additional information, please go to bankofhope.com. By including the foregoing website address link, the Company does not intend to and shall not be deemed to incorporate by reference any material contained or accessible therein.

Forward-Looking Statements

Some statements in this press release may constitute forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. These forward-looking statements relate to, among other things, expectations regarding the business environment in which we operate, projections of future performance, perceived opportunities in the market and statements regarding our business strategies, objectives and vision. Forward-looking statements include, but are not limited to, statements preceded by, followed by or that include the words “will,” “believes,” “expects,” “anticipates,” “intends,” “plans,” “estimates” or similar expressions. With respect to any such forward-looking statements, the Company claims the protection provided for in the Private Securities Litigation Reform Act of 1995. These statements involve risks and uncertainties. The Company’s actual results, performance or achievements may differ significantly from the results, performance or achievements expressed or implied in any forward-looking statements. The risks and uncertainties include, but are not limited to: possible deterioration in economic conditions in our areas of operation; interest rate risk associated with volatile interest rates and related asset-liability matching risk; liquidity risks; risk of significant non-earning assets, and net credit losses that could occur, particularly in times of weak economic conditions or times of rising interest rates; and regulatory risks associated with current and future regulations. For additional information concerning these and other risk factors, see the Company’s most recent Annual Report on Form 10-K and Quarterly Report on Form 10-Q. The Company does not undertake, and specifically disclaims any obligation, to update any forward-looking statements to reflect the occurrence of events or circumstances after the date of such statements except as required by law.

Contacts:
Alex Ko
EVP & Chief Financial Officer
213-427-6560


Angie Yang
SVP, Director of Investor Relations &
Corporate Communications
213-251-2219




# # #
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Hope Bancorp, Inc.
Selected Financial Data
Unaudited (dollars in thousands, except share data)


Assets:
3/31/2019
 
12/31/2018
 
% change
 
3/31/2018
 
% change
Cash and due from banks
$
612,884

 
$
459,606

 
33
 %
 
$
612,353

 
 %
Securities available for sale, at fair value
1,818,343

 
1,846,265

 
(2
)%
 
1,699,315

 
7
 %
Federal Home Loan Bank (“FHLB”) stock and other investments
102,594

 
104,705

 
(2
)%
 
107,906

 
(5
)%
Loans held for sale, at the lower of cost or fair value
921

 
25,128

 
(96
)%
 
33,689

 
(97
)%
Loans receivable
12,054,004

 
12,098,115

 
 %
 
11,292,483

 
7
 %
Allowance for loan losses
(94,217
)
 
(92,557
)
 
(2
)%
 
(86,461
)
 
(9
)%
  Net loans receivable
11,959,787

 
12,005,558

 
 %
 
11,206,022

 
7
 %
Accrued interest receivable
34,831

 
32,225

 
8
 %
 
29,154

 
19
 %
Premises and equipment, net
53,218

 
53,794

 
(1
)%
 
56,564

 
(6
)%
Bank owned life insurance
75,586

 
75,219

 
 %
 
75,302

 
 %
Goodwill
464,450

 
464,450

 
 %
 
464,450

 
 %
Servicing assets
21,407

 
23,132

 
(7
)%
 
24,866

 
(14
)%
Other intangible assets, net
13,504

 
14,061

 
(4
)%
 
15,907

 
(15
)%
Other assets
241,144

 
201,809

 
19
 %
 
181,598

 
33
 %
  Total assets
$
15,398,669

 
$
15,305,952

 
1
 %
 
$
14,507,126

 
6
 %
 
 
 
 
 
 
 
 
 
 
Liabilities:
 
 
 
 
 
 
 
 
 
Deposits
$
12,249,196

 
$
12,155,656

 
1
 %
 
$
11,510,569

 
6
 %
FHLB advances
720,000

 
821,280

 
(12
)%
 
862,346

 
(17
)%
Convertible notes, net
195,754

 
194,543

 
1
 %
 

 
100
 %
Subordinated debentures
102,201

 
101,929

 
 %
 
101,117

 
1
 %
Accrued interest payable
37,511

 
31,374

 
20
 %
 
19,614

 
91
 %
Other liabilities
147,796

 
97,959

 
51
 %
 
68,147

 
117
 %
  Total liabilities
$
13,452,458

 
$
13,402,741

 
 %
 
$
12,561,793

 
7
 %
 
 
 
 
 
 
 
 
 
 
Stockholders’ Equity:
 
 
 
 
 
 
 
 
 
Common stock, $0.001 par value
$
136

 
$
136

 
 %
 
$
136

 
 %
Capital surplus
1,424,029

 
1,423,405

 
 %
 
1,405,806

 
1
 %
Retained earnings
687,404

 
662,375

 
4
 %
 
578,031

 
19
 %
Treasury stock, at cost
(150,000
)
 
(150,000
)
 
 %
 

 
100
 %
Accumulated other comprehensive loss, net
(15,358
)
 
(32,705
)
 
53
 %
 
(38,640
)
 
60
 %
  Total stockholders’ equity
1,946,211

 
1,903,211

 
2
 %
 
1,945,333

 
 %
  Total liabilities and stockholders’ equity
$
15,398,669

 
$
15,305,952

 
1
 %
 
$
14,507,126

 
6
 %
 
 
 
 
 
 
 
 
 
 
Common stock shares - authorized
150,000,000

 
150,000,000

 
 
 
150,000,000

 
 
Common stock shares - outstanding
126,635,584

 
126,639,912

 
 
 
135,516,119

 
 
Treasury stock shares
9,002,453

 
9,002,453

 
 
 

 
 

Table Page 1

Hope Bancorp, Inc.
Selected Financial Data
Unaudited (dollars in thousands, except share and per share data)


 
Three Months Ended
 
3/31/2019
 
12/31/2018
 
% change
 
3/31/2018
 
% change
Interest income:
 
 
 
 
 
 
 
 
 
  Interest and fees on loans
$
158,136

 
$
156,606

 
1
 %
 
$
137,943

 
15
 %
  Interest on securities
12,319

 
12,385

 
(1
)%
 
10,101

 
22
 %
  Interest on federal funds sold and other investments
2,675

 
3,035

 
(12
)%
 
2,366

 
13
 %
    Total interest income
173,130

 
172,026

 
1
 %
 
150,410

 
15
 %
 
 
 
 
 
 
 
 
 
 
Interest expense:
 
 
 
 
 
 
 
 
 
  Interest on deposits
46,847

 
42,477

 
10
 %
 
24,849

 
89
 %
  Interest on other borrowings and convertible notes
6,675

 
7,656

 
(13
)%
 
5,493

 
22
 %
    Total interest expense
53,522

 
50,133

 
7
 %
 
30,342

 
76
 %
 
 
 
 
 
 
 
 
 
 
Net interest income before provision for loan losses
119,608

 
121,893

 
(2
)%
 
120,068

 
 %
Provision for loan losses
3,000

 
2,800

 
7
 %
 
2,500

 
20
 %
Net interest income after provision for loan losses
116,608

 
119,093

 
(2
)%
 
117,568

 
(1
)%
 
 
 
 
 
 
 
 
 
 
Noninterest income:
 
 
 
 
 
 
 
 
 
  Service fees on deposit accounts
4,317

 
4,568

 
(5
)%
 
4,801

 
(10
)%
  Net gains on sales of SBA loans

 
447

 
(100
)%
 
3,450

 
(100
)%
  Net gains on sales of other loans
741

 
381

 
94
 %
 
1,196

 
(38
)%
  Other income and fees
6,364

 
6,218

 
2
 %
 
10,403

 
(39
)%
    Total noninterest income
11,422

 
11,614

 
(2
)%
 
19,850

 
(42
)%
 
 
 
 
 
 
 
 
 
 
Noninterest expense:
 
 
 
 
 
 
 
 
 
  Salaries and employee benefits
40,429

 
36,594

 
10
 %
 
39,385

 
3
 %
  Occupancy
7,677

 
7,877

 
(3
)%
 
7,239

 
6
 %
  Furniture and equipment
3,446

 
3,448

 
 %
 
3,721

 
(7
)%
  Advertising and marketing
2,062

 
2,392

 
(14
)%
 
2,299

 
(10
)%
  Data processing and communications
2,956

 
3,650

 
(19
)%
 
3,495

 
(15
)%
  Professional fees
5,380

 
4,756

 
13
 %
 
3,106

 
73
 %
  FDIC assessment
1,551

 
1,406

 
10
 %
 
1,767

 
(12
)%
  Credit related expenses
678

 
507

 
34
 %
 
772

 
(12
)%
  Other real estate owned (“OREO”) expense, net
(152
)
 
302

 
N/A

 
(104
)
 
46
 %
  Branch restructuring costs

 
1,674

 
(100
)%
 

 
 %
  Other
6,806

 
7,583

 
(10
)%
 
6,773

 
 %
    Total noninterest expense
70,833

 
70,189

 
1
 %
 
68,453

 
3
 %
Income before income taxes
57,197

 
60,518

 
(5
)%
 
68,965

 
(17
)%
Income tax provision
14,439

 
16,069

 
(10
)%
 
17,733

 
(19
)%
Net income
$
42,758

 
$
44,449

 
(4
)%
 
$
51,232

 
(17
)%
 
 
 
 
 
 
 
 
 
 
Earnings Per Common Share:
 
 
 
 
 
 
 
 
 
  Basic
$
0.34

 
$
0.35

 

 
$
0.38

 
 
  Diluted
$
0.34

 
$
0.35

 

 
$
0.38

 
 
 
 
 
 
 
 
 
 
 
 
Average Shares Outstanding:
 
 
 
 
 
 
 
 
 
  Basic
126,640,464

 
128,115,170

 
 
 
135,518,705

 
 
  Diluted
126,819,672

 
128,261,998

 
 
 
135,815,262

 
 

Table Page 2

Hope Bancorp, Inc.
Selected Financial Data
Unaudited (dollars in thousands)

 
For the Three Months Ended
(Annualized)
Profitability measures:
3/31/2019
 
12/31/2018
 
3/31/2018
  ROA
1.12
%
 
1.17
%
 
1.44
%
  ROE
8.91
%
 
9.42
%
 
10.61
%
  Return on average tangible equity 1
11.86
%
 
12.62
%
 
14.13
%
  Net interest margin
3.39
%
 
3.41
%
 
3.66
%
  Efficiency ratio
54.06
%
 
52.57
%
 
48.92
%
  Noninterest expense / average assets
1.85
%
 
1.85
%
 
1.93
%
 
 
 
 
 
 
1 Average tangible equity is calculated by subtracting average goodwill and average core deposit intangible assets from average stockholders’ equity. This is a non-GAAP measure that we believe
     provides investors with information that is useful in understanding our financial performance and position.
 
 
 
 
 
 
 
 
 
 
 
 
 
Three Months Ended
Pre-tax acquisition accounting adjustments and merger-related expenses:
3/31/2019
 
12/31/2018
 
3/31/2018
Accretion on purchased non-impaired loans
$
2,166

 
$
2,360

 
$
3,197

Accretion on purchased credit-impaired loans
5,833

 
4,867

 
5,772

Amortization of premium on low income housing tax credits
(76
)
 
(84
)
 
(84
)
Amortization of premium on acquired FHLB borrowings
1,280

 
357

 
347

Accretion of discount on acquired subordinated debt
(273
)
 
(272
)
 
(264
)
Amortization of premium on acquired time deposits and savings

 

 
1

Amortization of core deposit intangibles
(557
)
 
(615
)
 
(615
)
     Total acquisition accounting adjustments
8,373

 
6,613

 
8,354

Merger-related expenses

 

 
7

          Total
$
8,373

 
$
6,613

 
$
8,361

 
 
 
 
 
 


Table Page 3

Hope Bancorp, Inc.
Selected Financial Data
Unaudited (dollars in thousands)

 
Three Months Ended
 
3/31/2019
 
12/31/2018
 
3/31/2018
 
 
 
Interest
 
Annualized
 
 
 
Interest
 
Annualized
 
 
 
Interest
 
Annualized
 
Average
 
Income/
 
Average
 
Average
 
Income/
 
Average
 
Average
 
Income/
 
 Average
 
Balance
 
Expense
 
Yield/Cost
 
Balance
 
Expense
 
Yield/Cost
 
Balance
 
Expense
 
 Yield/Cost
INTEREST EARNING ASSETS:
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
    Loans, including loans held for sale
$
12,088,169

 
$
158,136

 
5.31
%
 
$
11,935,109

 
$
156,606

 
5.21
%
 
$
11,095,864

 
$
137,943

 
5.04
%
    Securities available for sale
1,827,612

 
12,319

 
2.73
%
 
1,835,218

 
12,385

 
2.68
%
 
1,673,122

 
10,101

 
2.45
%
    FHLB stock and other investments
405,660

 
2,675

 
2.68
%
 
431,901

 
3,035

 
2.79
%
 
517,572

 
2,366

 
1.85
%
Total interest earning assets
$
14,321,441

 
$
173,130

 
4.90
%
 
$
14,202,228

 
$
172,026

 
4.81
%
 
$
13,286,558

 
$
150,410

 
4.59
%
 
 
 
 
   
 
 
 
 
 
   
 
 
 
 
 
 
 
INTEREST BEARING LIABILITIES:
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
  Deposits:
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
    Demand, interest bearing
$
3,042,524

 
$
12,987

 
1.73
%
 
$
3,127,598

 
$
12,425

 
1.58
%
 
$
3,402,760

 
$
8,864

 
1.06
%
    Savings
223,531

 
565

 
1.03
%
 
225,746

 
537

 
0.94
%
 
236,216

 
424

 
0.73
%
    Time deposits
5,936,842

 
33,295

 
2.27
%
 
5,626,355

 
29,515

 
2.08
%
 
4,525,813

 
15,561

 
1.39
%
    Total interest bearing deposits
9,202,897

 
46,847

 
2.06
%
 
8,979,699

 
42,477

 
1.88
%
 
8,164,789

 
24,849

 
1.23
%
    FHLB advances
810,857

 
2,614

 
1.31
%
 
824,995

 
3,674

 
1.77
%
 
974,071

 
4,069

 
1.69
%
    Convertible debt
194,969

 
2,298

 
4.71
%
 
193,749

 
2,299

 
4.64
%
 

 

 
%
    Subordinated debentures
98,126

 
1,763

 
7.19
%
 
97,856

 
1,683

 
6.73
%
 
97,049

 
1,424

 
5.87
%
Total interest bearing liabilities
10,306,849

 
$
53,522

 
2.11
%
 
10,096,299

 
$
50,133

 
1.97
%
 
9,235,909

 
$
30,342

 
1.33
%
Noninterest bearing demand deposits
2,886,746

 
 
 
 
 
3,018,672

 
 
 
 
 
2,941,577

 
 
 
 
Total funding liabilities/cost of funds
$
13,193,595

 
 
 
1.65
%
 
$
13,114,971

 
 
 
1.52
%
 
$
12,177,486

 
 
 
1.01
%
Net interest income/net interest spread
 
 
$
119,608

 
2.79
%
 
 
 
$
121,893

 
2.84
%
 
 
 
$
120,068

 
3.26
%
Net interest margin
 
 
 
 
3.39
%
 
 
 
 
 
3.41
%
 
 
 
 
 
3.66
%
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Cost of deposits:
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
    Noninterest bearing demand deposits
$
2,886,746

 
$

 
%
 
$
3,018,672

 
$

 
%
 
$
2,941,577

 
$

 
%
    Interest bearing deposits
9,202,897

 
46,847

 
2.06
%
 
8,979,699

 
42,477

 
1.88
%
 
8,164,789

 
24,849

 
1.23
%
Total deposits
$
12,089,643

 
$
46,847

 
1.57
%
 
$
11,998,371

 
$
42,477

 
1.40
%
 
$
11,106,366

 
$
24,849

 
0.91
%

 
 
 
 
 
 
 
 
 
 
 
 

Table Page 4

Hope Bancorp, Inc.
Selected Financial Data
Unaudited (dollars in thousands)

 
 Three Months Ended
AVERAGE BALANCES:
3/31/2019
 
12/31/2018
 
% change
 
3/31/2018
 
% change
Loans receivable, including loans held for sale
$
12,088,169

 
$
11,935,109

 
1
 %
 
$
11,095,864

 
9
 %
Investments
2,233,272

 
2,267,119

 
(1
)%
 
2,190,694

 
2
 %
Interest earning assets
14,321,441

 
14,202,228

 
1
 %
 
13,286,558

 
8
 %
Total assets
15,290,338

 
15,152,946

 
1
 %
 
14,214,250

 
8
 %
 
 
 
 
 
 
 
 
 
 
Interest bearing deposits
9,202,897

 
8,979,699

 
2
 %
 
8,164,789

 
13
 %
Interest bearing liabilities
10,306,849

 
10,096,299

 
2
 %
 
9,235,909

 
12
 %
Noninterest bearing demand deposits
2,886,746

 
3,018,672

 
(4
)%
 
2,941,577

 
(2
)%
Stockholders’ equity
1,920,492

 
1,888,053

 
2
 %
 
1,931,290

 
(1
)%
Net interest earning assets
4,014,592

 
4,105,929

 
(2
)%
 
4,050,649

 
(1
)%
 
 
 
 
 
 
 
 
 
 
LOAN PORTFOLIO COMPOSITION:
3/31/2019
 
12/31/2018
 
% change
 
3/31/2018
 
% change
Commercial loans
$
2,330,697

 
$
2,324,820

 
 %
 
$
2,007,686

 
16
 %
Real estate loans
8,715,834

 
8,721,600

 
 %
 
8,529,153

 
2
 %
Consumer and other loans
1,007,067

 
1,051,486

 
(4
)%
 
755,621

 
33
 %
    Loans outstanding
12,053,598

 
12,097,906

 
 %
 
11,292,460

 
7
 %
Unamortized deferred loan fees - net of costs
406

 
209

 
94
 %
 
23

 
1,665
 %
    Loans, net of deferred loan fees and costs
12,054,004

 
12,098,115

 
 %
 
11,292,483

 
7
 %
Allowance for loan losses
(94,217
)
 
(92,557
)
 
2
 %
 
(86,461
)
 
9
 %
    Loan receivable, net
$
11,959,787

 
$
12,005,558

 
 %
 
$
11,206,022

 
7
 %
 
 
 
 
 
 
 
 
 
 
REAL ESTATE LOANS BY PROPERTY TYPE:
3/31/2019
 
12/31/2018
 
% change
 
3/31/2018
 
% change
Retail buildings
$
2,345,411

 
$
2,379,589

 
(1
)%
 
$
2,342,086

 
 %
Hotels/motels
1,692,193

 
1,694,696

 
 %
 
1,637,416

 
3
 %
Gas stations/car washes
964,706

 
980,619

 
(2
)%
 
978,454

 
(1
)%
Mixed-use facilities
746,288

 
698,779

 
7
 %
 
651,473

 
15
 %
Warehouses
951,141

 
966,413

 
(2
)%
 
934,389

 
2
 %
Multifamily
460,514

 
453,555

 
2
 %
 
445,930

 
3
 %
Other
1,555,581

 
1,547,949

 
 %
 
1,539,405

 
1
 %
Total
$
8,715,834

 
$
8,721,600

 
 %
 
$
8,529,153

 
2
 %
 
 
 
 
 
 
 
 
 
 
DEPOSIT COMPOSITION
3/31/2019
 
12/31/2018
 
% change
 
3/31/2018
 
% change
  Noninterest bearing demand deposits
$
2,948,751

 
$
3,022,633

 
(2
)%
 
$
3,048,181

 
(3
)%
  Money market and other
3,086,920

 
3,036,653

 
2
 %
 
3,454,660

 
(11
)%
  Saving deposits
223,562

 
225,746

 
(1
)%
 
233,014

 
(4
)%
  Time deposits
5,989,963

 
5,870,624

 
2
 %
 
4,774,714

 
25
 %
    Total deposit balances
$
12,249,196

 
$
12,155,656

 
1
 %
 
$
11,510,569

 
6
 %
 
 
 
 
 
 
 
 
 
 
DEPOSIT COMPOSITION (%)
3/31/2019
 
12/31/2018
 
 
 
3/31/2018
 
 
  Noninterest bearing demand deposits
24.1
%
 
24.9
%
 
 
 
26.5
%
 
 
  Money market and other
25.2
%
 
25.0
%
 
 
 
30.0
%
 
 
  Saving deposits
1.8
%
 
1.8
%
 
 
 
2.0
%
 
 
  Time deposits
48.9
%
 
48.3
%
 
 
 
41.5
%
 
 
    Total deposit balances
100.0
%
 
100.0
%
 
 
 
100.0
%
 
 

Table Page 5

Hope Bancorp, Inc.
Selected Financial Data
Unaudited (dollars in thousands, except share and per share data)


 
 
 
 
 
 
 
 
 
 
CAPITAL RATIOS:
3/31/2019
 
12/31/2018
 
3/31/2018
 
 
 
 
  Total stockholders’ equity
$
1,946,211

 
$
1,903,211

 
$
1,945,333

 
 
 
 
  Common Equity Tier 1 ratio
11.60
%
 
11.44
%
 
12.35
%
 
 
 
 
  Tier 1 risk-based capital ratio
12.36
%
 
12.21
%
 
13.15
%
 
 
 
 
  Total risk-based capital ratio
13.10
%
 
12.94
%
 
13.86
%
 
 
 
 
  Tier 1 leverage ratio
10.66
%
 
10.55
%
 
11.61
%
 
 
 
 
  Total risk weighted assets
$
12,813,576

 
$
12,748,658

 
$
12,172,708

 
 
 
 
  Book value per common share
$
15.37

 
$
15.03

 
$
14.35

 
 
 
 
  Tangible common equity to tangible assets 1
9.84
%
 
9.61
%
 
10.44
%
 
 
 
 
  Tangible common equity per share 1
$
11.59

 
$
11.25

 
$
10.81

 
 
 
 
 
 
 
 
 
 
 
 
 
 
1 Tangible common equity to tangible assets is a non-GAAP financial measure that represents common equity less goodwill and core deposit intangible assets, net divided by total assets less goodwill and core deposit intangible assets, net. Management reviews tangible common equity to tangible assets in evaluating the Company’s capital levels and has included this ratio in response to market participant interest in tangible common equity as a measure of capital.
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Reconciliation of GAAP financial measures to non-GAAP financial measures:
 
 
 
 
 
Three Months Ended
 
 
 
 
 
3/31/2019
 
12/31/2018
 
3/31/2018
 
 
 
 
TANGIBLE COMMON EQUITY
 
 
 
 
 
 
 
 
 
Total stockholders’ equity
$
1,946,211

 
$
1,903,211

 
$
1,945,333

 
 
 
 
Less: Goodwill and core deposit intangible assets, net
(477,954
)
 
(478,511
)
 
(480,357
)
 
 
 
 
Tangible common equity
$
1,468,257

 
$
1,424,700

 
$
1,464,976

 
 
 
 
 
 
 
 
 
 
 
 
 
 
Total assets
$
15,398,669

 
$
15,305,952

 
$
14,507,126

 
 
 
 
Less: Goodwill and core deposit intangible assets, net
(477,954
)
 
(478,511
)
 
(480,357
)
 
 
 
 
Tangible assets
$
14,920,715

 
$
14,827,441

 
$
14,026,769

 
 
 
 
 
 
 
 
 
 
 
 
 
 
Common shares outstanding
126,635,584

 
126,639,912

 
135,516,119

 
 
 
 
 
 
 
 
 
 
 
 
 
 
  Tangible common equity to tangible assets
9.84
%
 
9.61
%
 
10.44
%
 
 
 
 
  Tangible common equity per share
$
11.59

 
$
11.25

 
$
10.81

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 

Table Page 6

Hope Bancorp, Inc.
Selected Financial Data
Unaudited (dollars in thousands, except share and per share data)


 
 
 
 
 
 
 
 
 
 
 
Three Months Ended
ALLOWANCE FOR LOAN LOSSES CHANGES:
3/31/2019
 
12/31/2018
 
9/30/2018
 
6/30/2018
 
3/31/2018
Balance at beginning of period
$
92,557

 
$
90,629

 
$
89,881

 
$
86,461

 
$
84,541

Provision for loan losses
2,122

 
2,800

 
7,300

 
2,300

 
2,500

Recoveries
1,292

 
805

 
315

 
2,383

 
488

Charge offs
(1,754
)
 
(1,677
)
 
(6,867
)
 
(1,263
)
 
(1,068
)
Balance at end of period
$
94,217

 
$
92,557

 
$
90,629

 
$
89,881

 
$
86,461

Net charge offs (recoveries)/average loans receivable (annualized)
0.02
%
 
0.03
%
 
0.22
%
 
(0.04
)%
 
0.02
%
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Three Months Ended
ALLOWANCE FOR LOAN LOSSES COMPOSITION:
3/31/2019
 
12/31/2018
 
9/30/2018
 
6/30/2018
 
3/31/2018
Legacy loans 1
$
80,953

 
$
78,259

 
$
75,364

 
$
76,048

 
$
72,065

Purchased non-impaired loans 2
2,948

 
2,135

 
2,411

 
2,467

 
2,581

Purchased credit-impaired loans 2
10,316

 
12,163

 
12,854

 
11,366

 
11,815

Total allowance for loan losses
$
94,217

 
$
92,557

 
$
90,629

 
$
89,881

 
$
86,461

 
 
 
 
 
 
 
 
 
 
1   Legacy loans include loans originated by the Bank’s predecessor banks, loans originated by Bank of Hope and loans that were acquired that have been refinanced as new loans.
2   Purchased loans were marked to fair value at acquisition date, and the allowance for loan losses reflects provisions for credit deterioration since the acquisition date.
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Three Months Ended
NET CHARGED OFF (RECOVERED) LOANS BY TYPE:
3/31/2019
 
12/31/2018
 
9/30/2018
 
6/30/2018
 
3/31/2018
Real estate loans
$
(1,067
)
 
$
123

 
$
6,004

 
$
(390
)
 
$
(37
)
Commercial loans
1,250

 
436

 
230

 
(949
)
 
291

Consumer loans
279

 
313

 
318

 
219

 
326

   Total net charge offs (recoveries)
$
462

 
$
872

 
$
6,552

 
$
(1,120
)
 
$
580

 
 
 
 
 
 
 
 
 
 


Table Page 7

Hope Bancorp, Inc.
Selected Financial Data
Unaudited (dollars in thousands)

NONPERFORMING ASSETS
3/31/2019
 
12/31/2018
 
9/30/2018
 
6/30/2018
 
3/31/2018
Loans on nonaccrual status 3
$
86,637

 
$
53,286

 
$
56,299

 
$
68,226

 
$
68,152

Delinquent loans 90 days or more on accrual status 4
387

 
1,529

 
401

 
3,030

 
1,894

Accruing troubled debt restructured loans
45,204

 
50,410

 
52,521

 
49,219

 
59,596

Total nonperforming loans
132,228

 
105,225

 
109,221

 
120,475

 
129,642

Other real estate owned
6,258

 
7,754

 
8,981

 
8,656

 
8,261

Total nonperforming assets
$
138,486

 
$
112,979

 
$
118,202

 
$
129,131

 
$
137,903

Nonperforming assets/total assets
0.90
%
 
0.74
%
 
0.78
%
 
0.87
%
 
0.95
%
Nonperforming assets/loans receivable & OREO
1.15
%
 
0.93
%
 
0.99
%
 
1.11
%
 
1.22
%
Nonperforming assets/total capital
7.12
%
 
5.94
%
 
6.21
%
 
6.78
%
 
7.09
%
Nonperforming loans/loans receivable
1.10
%
 
0.87
%
 
0.92
%
 
1.03
%
 
1.15
%
Nonaccrual loans/loans receivable
0.72
%
 
0.44
%
 
0.47