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Wilshire Bancorp Reports Net Income of $18.6 Million or $0.24 Per Share for First Quarter 2015

LOS ANGELES, April 20, 2015 (GLOBE NEWSWIRE) -- Wilshire Bancorp, Inc. (Nasdaq:WIBC) (the "Company"), the holding company for Wilshire Bank (the "Bank"), today reported net income of $18.6 million, or $0.24 per diluted common share, for the quarter ended March 31, 2015. This compares to net income of $13.1 million, or $0.17 per diluted common share, for the same period of the prior year, and net income of $16.1 million, or $0.20 per diluted common share, for the fourth quarter of 2014.

Jae Whan (J.W.) Yoo, President and CEO of Wilshire Bancorp, said, "Our first quarter performance was driven by strong, well-diversified loan production, stable expense levels and solid credit quality. We had $398 million in loan originations in the quarter, with strong contributions coming from our commercial real estate, commercial, SBA, and warehouse lending businesses. We also had strong deposit inflows that resulted in non-interest bearing demand deposits increasing by $82 million during the quarter, with more than half of the increase coming from new deposit relationships.

"During the first quarter, we made excellent progress on two key strategic initiatives: building our residential mortgage lending business with the origination platform we acquired from Bank of Manhattan and expanding our ability to develop commercial banking relationships in the Southeastern United States with the opening of a new branch in LaGrange, Georgia. We believe these initiatives will increase our production of residential mortgage and commercial and industrial loans, and help us build a stronger and more diversified franchise," said Mr. Yoo.

Q1 2015 Summary

  • Net income totaled $18.6 million, or $0.24 per diluted common share, for the first quarter of 2015
  • Total net revenue of $51.8 million for the first quarter of 2015, an increase of 12.3% from the first quarter of 2014
  • Return on average assets of 1.75% and return on average equity of 14.89% for the first quarter of 2015
  • Net interest margin of 3.69% for the first quarter of 2015, a decrease from 4.00% for the fourth quarter of 2014
  • Loans receivable (net of deferred fees and costs) totaled $3.51 billion at March 31, 2015, an increase of 22% from $2.87 billion at March 31, 2014
  • Demand deposits totaled $997.8 million at March 31, 2015, an increase of 9% from $915.4 million at December 31, 2014
  • Total deposits were $3.64 billion at March 31, 2015, an increase of 24% from $2.92 billion at March 31, 2014
  • Continued stability in asset quality resulted in no provision for losses on loans and loan commitments for the first quarter of 2015
  • Acquired Bank of Manhattan's Mortgage Lending Division during the first quarter of 2015

STATEMENT OF OPERATIONS

Net interest income before provision for losses on loans and loan commitments totaled $36.5 million for the first quarter of 2015, an increase of 3.7% from $35.2 million for the first quarter of 2014, and a decrease of 2.6% from $37.5 million for the fourth quarter of 2014. The decrease from the prior quarter is primarily attributable to a decline in net interest margin. Discount accretion income from loans acquired from Saehan Bancorp and BankAsiana totaled $2.0 million for the first quarter of 2015, compared to $2.4 million for the fourth quarter of 2014.

Net interest margin was 3.69% for the first quarter of 2015, compared to 4.00% for the fourth quarter of 2014, and 4.22% for the first quarter of 2014. Loan yields were 4.78% for the first quarter of 2015, compared with 5.09% for the fourth quarter of 2014, and 5.15% for the first quarter of 2014. Compared to the fourth quarter of 2014, the decrease in net interest margin and loan yield is attributable to a decline in discount accretion income on acquired loans, an increase in lower-yielding warehouse lines of credit, and a reduction in average loan yields as rates on new loan originations are lower than the rates on loans that are maturing or being paid down.

During the first quarter of 2015, the Company had a number of investment securities that matured or were called during the quarter which resulted in a significant increase in lower yielding average fed funds sold and other balances. Although these funds will be deployed back into higher yielding investments and loans, the increase in fed funds sold and other balances during the first quarter of 2015 was another contributing factor to the decline in on our net interest margin compared to the previous quarters.

The total cost of deposits was 0.58% for the first quarter of 2015, unchanged from the fourth quarter of 2014 and was 0.51% for the first quarter of 2014. Compared to the first quarter of 2014, the increase in the cost of deposits for the first quarter of 2015 was primarily due to an increase in rates paid on time deposit accounts.

Non-Interest Income

Total non-interest income was $15.3 million for the first quarter of 2015, compared to $11.0 million for the first quarter of 2014, and $9.9 million for the fourth quarter of 2014.

The Company recognized $6.8 million in net gain on sales of loans during the first quarter of 2015, which consisted of a $4.3 million gain on the sale of a non-accrual loan, $2.2 million of gains on sales of Small Business Administration ("SBA") loans, and $261,000 of gains on sales of residential mortgage loans. Net gain on sale of loans for the fourth quarter of 2014 was $3.5 million and consisted primarily of gains from the sale of SBA loans. During the first quarter of 2015, the Company sold $24.0 million in SBA loans, compared with $35.5 million sold during the fourth quarter of 2014.

Other non-interest income totaled $5.4 million for the first quarter of 2015, compared to $3.5 million for the first quarter of 2014, and $3.3 million for the fourth quarter of 2014. Other non-interest income in the first quarter of 2015 was positively impacted by a $1.6 million increase in the fair value of servicing assets and a $495,000 fair-value adjustment on mortgage banking derivatives.

Non-Interest Expense

Total non-interest expense was $22.9 million for the first quarter of 2015, compared with $26.3 million for the first quarter of 2014, and $23.5 million for the fourth quarter of 2014. The decrease in non-interest expense from the prior quarter was primarily due to a decline in other non-interest expenses.

Total salaries and employee benefits expense was $12.7 million for the first quarter of 2015, compared with $12.7 million for the first quarter of 2014, and $12.4 million for the fourth quarter of 2014.

Other non-interest expense for the first quarter of 2015 totaled $5.8 million, compared to $6.0 million for the first quarter of 2014, and $6.7 million for the fourth quarter of 2014. The decrease in other non-interest expense from the fourth quarter of 2014 was attributable to a reduction in SBA referral fees, OREO expenses, and consulting fees.

The Company's operating efficiency ratio was 44.3% for the first quarter of 2015, compared with 56.9% for the first quarter of 2014, and 49.5% for the fourth quarter of 2014.

BALANCE SHEET

Total loans receivable (net of deferred fees and costs) were $3.51 billion at March 31, 2015, compared to $3.31 billion at December 31, 2014. The increase in loans during the first quarter of 2015 was primarily driven by growth in real estate secured and commercial & industrial loans, particularly an increase in warehouse lines of credit.

The following table shows total loans receivable, loans held-for-sale, and total loans by loan type:

Quarter Ended
(Dollars In Thousands) (Unaudited) March 31, 2015 December 31, 2014 September 30, 2014 June 30, 2014 March 31, 2014
Construction $ 26,117 $ 21,248 $ 40,062 $ 43,292 $ 42,124
Real Estate Secured 2,701,800 2,655,251 2,593,242 2,481,801 2,395,487
Commercial & Industrial 769,438 610,762 515,831 431,758 417,956
Consumer 15,465 21,036 12,810 13,044 16,072
Total Loans Receivable * 3,512,820 3,308,297 3,161,945 2,969,895 2,871,639
Held-For-Sale Loans 10,204 11,783 16,236 6,207 27,791
Total Loans * $ 3,523,024 $ 3,320,080 $ 3,178,181 $ 2,976,102 $ 2,899,430
* Total loans receivable and total loans are net of deferred fees and costs as shown in the consolidated balance sheet presentation

The following table shows quarterly loan originations:

Quarter Ended
(Dollars In Thousands) (Unaudited) March 31, 2015 December 31, 2014 September 30, 2014 June 30, 2014 March 31, 2014
Real Estate Secured $ 138,145 35% $ 184,477 56% $ 191,272 48% $ 170,042 60% $ 96,266 49%
Commercial & Industrial 59,837 15% 73,194 22% 89,166 22% 31,058 11% 36,619 18%
Consumer 1,640 0% 3,385 1% 6,560 2% 1,580 1% 632 0%
SBA 31,718 8% 34,747 11% 41,373 10% 37,004 13% 35,305 18%
Residential Mortgage 11,357 3% 8,632 4% 20,791 5% 9,325 3% 19,063 10%
Warehouse Lines of Credit* 155,000 39% 23,000 6% 50,000 13% 33,000 12% 10,000 5%
Total Loan Originations $ 397,697 100% $ 327,435 100% $ 399,162 100% $ 282,009 100% $ 197,885 100%
* Warehouse lines of credit are reported as commercial and industrial loans on the consolidated balance sheet.

Originations for the first quarter of 2015 totaled $397.7 million, compared to $327.4 million for the fourth quarter of 2014, and $197.9 million for the first quarter of 2014.

Total SBA loans held-for-sale at the end of the first quarter of 2015 were $7.7 million, compared to $11.1 million at the end of the previous quarter. The decision to retain or sell SBA loans is made on a quarter-to-quarter basis, depending on prevailing pricing in the secondary market and the Company's liquidity needs.

Total deposits were $3.64 billion at March 31, 2015, compared with $3.40 billion at December 31, 2014. The increase in total deposits was primarily attributable to growth in non-interest bearing demand deposits and money market deposits.

CREDIT QUALITY

During the first quarter of 2015, the Company continued to experience general stability in asset quality and a low level of charge-offs. As a result, the Company determined that no provision for losses on loans and loan commitments was required for the first quarter of 2015. The allowance for loan losses totaled $48.2 million, or 1.37% of gross loans (excluding loans held-for-sale), at March 31, 2015, compared to $48.6 million, or 1.47% of gross loans (excluding loans held-for-sale), at December 31, 2014. Acquired loans, included in the allowance coverage ratios, were recorded at fair value and the remaining discount on these loans was approximately $19.9 million at March 31, 2015. The coverage ratio of the allowance for loan losses to non-performing assets was 120.63% at March 31, 2015, compared with 107.6% at December 31, 2014.

Non-Performing Loans

At March 31, 2015, total non-performing loans were $32.5 million, or 0.92% of total gross loans, compared to $37.3 million, or 1.12% of total gross loans, at December 31, 2014.

The following table shows total non-performing loans by loan type:

NON-PERFORMING LOANS Quarter Ended
(Dollars In Thousands) (Unaudited) Mar 31, 2015 Dec 31, 2014 Sep 30, 2014 Jun 30, 2014 Mar 31, 2014
(Net of SBA Guaranty Portions)
Real Estate Secured $ 25,329 $ 29,547 $ 37,205 $ 35,585 $ 35,988
Commercial & Industrial 7,193 7,718 7,699 6,769 7,121
Consumer -- -- 1 4 --
Total Non-Performing Loans $ 32,522 $ 37,265 $ 44,905 $ 42,358 $ 43,109

Net Charge-offs/Recoveries

During the first quarter of 2015, the Company had total gross charge-offs of $1.3 million and recoveries of $870,000, which resulted in total net charge-offs of $454,000 for the first quarter of 2015, compared to net charge-offs of $4.5 million for the fourth quarter of 2014.

Gross charge-offs and recoveries by loan type are reflected in the tables below:

GROSS LOAN CHARGE-OFFS Quarter Ended
(Dollars In Thousands) (Unaudited) Mar 31, 2015 Dec 31, 2014 Sep 30, 2014 Jun 30, 2014 Mar 31, 2014
Real Estate Secured $ 325 $ 5,461 $ 1,161 $ 782 $ 672
Commercial & Industrial 999 852 614 1,021 964
Consumer -- -- -- -- 1
Total Loan Charge-Offs $ 1,324 $ 6,313 $ 1,775 $ 1,803 $ 1,637
LOAN RECOVERIES Quarter Ended
(Dollars In Thousands) (Unaudited) Mar 31, 2015 Dec 31, 2014 Sep 30, 2014 Jun 30, 2014 Mar 31, 2014
Real Estate Secured $ 193 $ 199 $ 1,688 $ 586 $ 1,028
Commercial & Industrial 667 1,620 534 408 510
Consumer 10 2 -- 14 --
Total Loan Recoveries $ 870 $ 1,821 $ 2,222 $ 1,008 $ 1,538

Other measures of credit quality are shown in the following tables:

DELINQUENT LOANS - By Days Past Due Quarter Ended
(Dollars In Thousands) (Unaudited) Mar 31, 2015 Dec 31, 2014 Sep 30, 2014 Jun 30, 2014 Mar 31, 2014
(Net of SBA Guaranty Portions)
30 - 59 Days Past Due $ 7,375 $ 5,165 $ 4,137 $ 4,556 $ 5,756
60 - 89 Days Past Due 421 1,820 4,002 2,992 1,526
90 Days, and still accruing -- -- -- -- --
Total Delinquent Loans $ 7,796 $ 6,985 $ 8,139 $ 7,548 $ 7,282
TROUBLED DEBT RESTRUCTURED LOANS ("TDR") Quarter Ended
(Dollars In Thousands) (Unaudited) Mar 31, 2015 Dec 31, 2014 Sep 30, 2014 Jun 30, 2014 Mar 31, 2014
(Net of SBA Guaranty Portions)
Real Estate Secured $ 28,612 $ 25,096 $ 31,313 $ 33,349 $ 34,565
Commercial & Industrial 11,682 12,014 11,425 5,542 5,563
Total TDR Loans $ 40,294 $ 37,110 $ 42,738 $ 38,891 $ 40,128
LOAN CLASSIFICATIONS Quarter Ended
(Dollars In Thousands) (Unaudited) Mar 31, 2015 Dec 31, 2014 Sep 30, 2014 Jun 30, 2014 Mar 31, 2014
(Net of SBA Guaranty Portions)
Special Mention $ 81,049 $ 76,906 $ 62,929 $ 88,382 $ 101,627
Substandard 89,402 82,305 94,854 110,462 127,996
Doubtful 9,822 11,952 15,291 18,040 19,931
Total Criticized and Classified Loans $ 180,273 $ 171,163 $ 173,074 $ 216,884 $ 249,554
Total Classified Loans $ 99,224 $ 94,257 $ 110,145 $ 128,502 $ 147,927

CAPITAL RATIOS

As of March 31, 2015, all of the Company's capital ratios remain in excess of "well capitalized" regulatory requirements as shown in the following table:

(Dollars In Thousands, Except Per Share Info) March 31, 2015 Well Capitalized
Regulatory Requirements
Total Excess Above Well
Capitalized Requirements
Tier 1 Leverage Capital Ratio 11.86% 5.00% $ 286,364
Tier 1 Common Equity Risk-Based Capital Ratio 11.58% 6.50% 187,824
Tier 1 Risk-Based Capital Ratio 13.38% 8.00% 199,216
Total Risk-Based Capital Ratio 14.64% 10.00% 171,532
Tangible Common Equity To Tangible Assets * 10.00% N/A N/A
Tangible Common Equity Per Common Share * $ 5.54 N/A N/A
* "Tangible Common Equity" and "Tangible Assets" are Non-GAAP measures of financial performance. Please refer to the "Reconciliation of GAAP Financial Measures to Non-GAAP Financial Measures" table at the end of this press release for a reconciliation of Tangible Common Equity to Shareholders' Equity and Tangible Assets to Total Assets.

CONFERENCE CALL

Management will host its quarterly conference call on April 21, 2015, at 11:00 a.m. PT (2:00 p.m. ET). Investment professionals are invited to participate in the call by dialing 866-318-8618 (domestic) or 617-399-5137 (international) and providing passcode number 89927477.

ABOUT WILSHIRE BANCORP

Headquartered in Los Angeles, Wilshire Bancorp is the parent company of Wilshire Bank, which operates 34 branch offices in California, Texas, Georgia, New Jersey and New York, and 4 loan production offices in Atlanta, GA, Aurora, CO, Newark, CA, and Federal Way, WA, and is an SBA preferred lender nationwide. Wilshire Bank is a community bank with a focus on commercial real estate lending and general commercial banking, with its primary market encompassing the multi-ethnic populations of the Los Angeles metropolitan area. For more information, please go to www.wilshirebank.com.

FORWARD-LOOKING STATEMENTS

Statements concerning future performance, events, or any other guidance on future periods constitute forward-looking statements that are subject to a number of risks and uncertainties that might cause actual results to differ materially from stated expectations. Undue reliance should not be placed on forward-looking statements, as they are subject to risks and uncertainties, including but not limited to the risk factors set forth in our most recent Annual Report on Form 10-K and our other reports filed with or furnished to the Securities and Exchange Commission. Specific factors that could cause future results to differ materially from historical performance and these forward-looking statements include, but are not limited to: (1) loan production and sales, (2) credit quality, (3) the ability to expand net interest margin, (4) the ability to continue to attract low-cost deposits, (5) success of expansion efforts, (6) competition in the marketplace, (7) political developments, war or other hostilities, (8) changes in the interest rate environment, (9) the ability of our borrowers to repay their loans, (10) the ability to maintain capital requirements and adequate sources of liquidity, (11) effects of or changes in accounting policies, (12) legislative or regulatory changes or actions, (13) the ability to attract and retain key personnel, (14) the ability to receive dividends from our subsidiaries, (15) the ability to secure confidential information through the use of computer systems and telecommunications networks, (16) weakening in the economy, specifically the real estate market, either nationally or in the states in which we do business, (17) the integration of our acquired businesses, and (18) general economic conditions. The information in this press release speaks only as of the date of this release and Wilshire Bancorp specifically disclaims any duty to update the information in this press release, expect as required by applicable law. Additional information on these and other factors that could affect financial results are included in filings by Wilshire Bancorp with the Securities and Exchange Commission.

CONSOLIDATED BALANCE SHEET
(Dollars In Thousands) (Unaudited) March 31, December 31, Three Months March 31, Twelve Months
2015 2014 % Change 2014 % Change
ASSETS:
Cash and due from banks $ 353,438 $ 233,699 51% $ 160,999 120%
Federal funds sold and other cash equivalents 164 254 -35% 7,301 -98%
Total Cash and Cash Equivalents 353,602 233,953 51% 168,300 110%
Deposits held in other financial institutions 8,000 8,000 0% 21,006 -62%
Investment securities available for sale 329,343 388,367 -15% 342,438 -4%
Investment securities held to maturity 25 26 -4% 32 -22%
Total Investment Securities 329,368 388,393 -15% 342,470 -4%
Total Loans Held-For-Sale 10,204 11,783 -13% 27,791 -63%
Real estate construction 26,117 21,248 23% 42,124 -38%
Residential real estate 171,117 183,665 -7% 169,810 1%
Commercial real estate 2,530,683 2,471,586 2% 2,225,677 14%
Commercial and industrial 769,438 610,762 26% 417,956 84%
Consumer 15,465 21,036 -26% 16,072 -4%
Total loans receivable, net of deferred fees and costs 3,512,820 3,308,297 6% 2,871,639 22%
Allowance for loan losses (48,170) (48,624) -1% (53,464) -10%
Loans Receivable, Net of Allowance for Loan Losses 3,464,650 3,259,673 6% 2,818,175 23%
Accrued interest receivable 8,581 8,792 -2% 8,293 3%
Due from customers on acceptances 6,472 5,611 15% 889 628%
Other real estate owned 7,411 7,922 -6% 8,969 -17%
Premises and equipment 14,058 13,881 1% 13,313 6%
Federal home loan bank (FHLB) stock, at cost 16,539 16,539 0% 15,983 3%
Cash surrender value of life insurance 23,470 23,330 1% 22,661 4%
Investment in affordable housing partnerships 43,134 44,077 -2% 42,459 2%
Deferred income taxes 16,646 22,271 -25% 34,391 -52%
Servicing assets 19,813 18,031 10% 17,536 13%
Goodwill 67,473 67,473 0% 67,528 0%
FDIC indemnification asset -- -- 0% 2,169 -100%
Other assets 23,857 25,740 -7% 22,533 6%
TOTAL ASSETS $ 4,413,278 $ 4,155,469 6% $ 3,634,466 21%
LIABILITIES AND SHAREHOLDERS' EQUITY:
Non-interest bearing demand deposits $ 997,803 $ 915,413 9% $ 869,598 15%
Savings and interest checking 161,234 160,717 0% 156,587 3%
Money market deposits 886,092 765,892 16% 799,299 11%
Time deposits in denomination of $100,000 or more 1,322,743 1,291,844 2% 860,697 54%
Other time deposits 267,294 267,393 0% 237,028 13%
Total Deposits 3,635,166 3,401,259 7% 2,923,209 24%
FHLB borrowings 150,000 150,000 0% 150,292 0%
Acceptance outstanding 6,472 5,611 15% 889 628%
Junior subordinated debentures 71,837 71,779 0% 71,610 0%
Accrued interest payable 2,406 2,228 8% 2,462 -2%
Other liabilities 41,818 35,181 19% 34,429 21%
Total Liabilities 3,907,699 3,666,058 7% 3,182,891 23%
Common stock 232,207 232,001 0% 230,979 1%
Retained earnings 267,660 252,957 6% 218,806 22%
Accumulated other comprehensive income 5,712 4,453 28% 1,790 219%
Total Shareholders' Equity 505,579 489,411 3% 451,575 12%
TOTAL LIABILITIES AND SHAREHOLDERS' EQUITY $ 4,413,278 $ 4,155,469 6% $ 3,634,466 21%
CONSOLIDATED STATEMENT OF OPERATIONS
(Dollars In Thousands, Except Per Share Data) (Unaudited)
Quarter Ended Three Mths Quarter Ended Twelve Mths
March 31, 2015 December 31, 2014 % Change March 31, 2014 % Change
INTEREST INCOME
Interest and fees on loans $ 40,088 $ 40,709 -2% $ 37,101 8%
Interest on investment securities 1,968 2,053 -4% 2,101 -6%
Interest on federal funds sold and others 192 155 24% 151 27%
Total Interest Income 42,248 42,917 -2% 39,353 7%
INTEREST EXPENSE
Deposits 5,097 4,783 7% 3,676 39%
FHLB advances and other borrowings 660 667 -1% 504 31%
Total Interest Expense 5,757 5,450 6% 4,180 38%
Net interest income before provision for losses on loans and loan commitments 36,491 37,467 -3% 35,173 4%
Provision for losses on loans and loan commitments -- -- 0% -- 0%
Net interest income after provision for losses on loans and loan commitments 36,491 37,467 -3% 35,173 4%
NONINTEREST INCOME
Service charges on deposits 3,107 3,105 0% 3,146 -1%
Gain on sales of loans, net 6,806 3,528 93% 4,329 57%
Gain on sale/call of investment securities -- -- 0% -- 0%
Other 5,354 3,280 63% 3,511 52%
Total Noninterest Income 15,267 9,913 54% 10,986 39%
NONINTEREST EXPENSES
Salaries and employee benefits 12,665 12,359 2% 12,655 0%
Occupancy and equipment 3,373 3,385 0% 3,309 2%
Data processing 1,042 1,030 1% 963 8%
Merger related costs -- -- 0% 3,364 -100%
Other 5,829 6,694 -13% 5,966 -2%
Total Noninterest Expenses 22,909 23,468 -2% 26,257 -13%
Income before income taxes 28,849 23,912 21% 19,902 45%
Income taxes provision 10,230 7,809 31% 6,789 51%
NET INCOME $ 18,619 $ 16,103 16% $ 13,113 42%
PER COMMON SHARE INFORMATION:
Basic income per common share $ 0.24 $ 0.21 16% $ 0.17 42%
Diluted income per common share $ 0.24 $ 0.20 16% $ 0.17 42%
WEIGHTED-AVERAGE COMMON SHARES OUTSTANDING:
Basic 78,326,505 78,315,686 78,115,779
Diluted 78,655,365 78,628,965 78,496,106
SUMMARY OF FINANCIAL DATA
(Dollars In Thousands, Except Per Share Data) (Unaudited)
Quarter Ended
AVERAGE BALANCES March 31, 2015 December 31, 2014 March 31, 2014
Average Assets $ 4,255,625 $ 4,049,930 $ 3,631,268
Average Equity 500,097 485,482 447,188
Average Net Loans 3,352,433 3,200,538 2,881,650
Average Deposits 3,490,282 3,292,557 2,878,950
Average Time Deposits of $100,000 or more 1,297,961 1,211,738 874,039
Average FHLB & Other Borrowings 150,655 150,000 193,413
Average Interest Earning Assets 3,976,435 3,764,271 3,346,954
Quarter Ended
PROFITABILITY March 31, 2015 December 31, 2014 March 31, 2014
Annualized Return on Average Assets 1.75% 1.59% 1.44%
Annualized Return on Average Equity 14.89% 13.27% 11.73%
Efficiency Ratio 44.26% 49.53% 56.88%
Annualized Operating Expense/Average Assets 2.15% 2.32% 2.89%
Annualized Net Interest Margin 3.69% 4.00% 4.22%
As Of
March 31, 2015 December 31, 2014 March 31, 2014
DEPOSIT COMPOSITION Percent of Total Rate Percent of Total Rate Percent of Total Rate
Noninterest Bearing Demand Deposits 27.4% 0.00% 26.9% 0.00% 29.7% 0.00%
Savings & Interest Checking 4.4% 1.31% 4.7% 1.33% 5.4% 1.28%
Money Market Deposits 24.4% 0.67% 22.5% 0.71% 27.3% 0.66%
Time Deposits of $100,000 or More 36.4% 0.80% 38.0% 0.79% 29.4% 0.68%
Other Time Deposits 7.4% 0.86% 7.9% 0.84% 8.1% 0.67%
Total Deposits 100.0% 0.58% 100.0% 0.58% 100.0% 0.51%
As Of
CAPITAL RATIOS March 31, 2015 December 31, 2014 March 31, 2014
Tier 1 Leverage Ratio 11.86% 12.11% 12.50%
Tier 1 Common Equity Risk-Based Capital Ratio 11.58% 12.09% 12.60%
Tier 1 Risk-Based Capital Ratio 13.38% 14.13% 14.92%
Total Risk-Based Capital Ratio 14.64% 15.38% 16.17%
Total Shareholders' Equity $ 505,579 $ 489,411 $ 451,575
Book Value Per Common Share $ 6.45 $ 6.25 $ 5.77
Tangible Common Equity Per Common Share * $ 5.54 $ 5.33 $ 4.84
Tangible Common Equity to Tangible Assets ** 10.00% 10.23% 10.64%
* Tangible common equity excludes goodwill, other intangible assets
** Tangible assets excludes goodwill and intangible assets
ALLOWANCE FOR LOAN LOSSES
(Dollars In Thousands) (Unaudited)
Quarter Ended
March 31, 2015 December 31, 2014 September 30, 2014 June 30, 2014 March 31, 2014
Balance at Beginning of Period $ 48,624 $ 53,116 $ 52,669 $ 53,464 $ 53,563
Provision for Losses on Loans -- -- -- -- --
Recoveries on Loans Previously Charged-off 870 1,821 2,222 1,008 1,538
Gross Loan Charge-offs (1,324) (6,313) (1,775) (1,803) (1,637)
Balance at End of Period $ 48,170 $ 48,624 $ 53,116 $ 52,669 $ 53,464
Net Loan Charge-offs/Average Net Loans 0.01% 0.14% -0.01% 0.03% 0.00%
Charge-offs/Average Total Loans 0.04% 0.20% 0.06% 0.06% 0.06%
Allowance for Loan Losses/Gross Loans* 1.37% 1.47% 1.67% 1.77% 1.86%
Allowance for Loan Losses/Non-accrual Loans 148.12% 130.48% 118.29% 124.34% 124.02%
Allowance for Loan Losses/Non-performing Loans 148.12% 130.48% 118.29% 124.34% 124.02%
Allowance for Loan Losses/Non-performing Assets 120,63% 107.61% 103.20% 107.41% 102.66%
Allowance for Loan Losses/Classified Loans 48.55% 51.59% 48.22% 34.01% 34.01%
* Excluding held-for-sale loans
NON-PERFORMING ASSETS
(Dollars In Thousands, Net of SBA Guaranty) Quarter Ended
(Unaudited) March 31, 2015 December 31, 2014 September 30, 2014 June 30, 2014 March 31, 2014
Non-accrual Loans $ 32,522 $ 37,265 $ 44,905 $ 42,358 $ 43,109
Loans 90 days or more past due and still accruing -- -- -- -- --
Total Non-performing Loans 32,522 37,265 44,905 42,358 43,109
Total OREO 7,411 7,922 6,565 6,676 8,969
Total Non-performing Assets $ 39,933 $ 45,187 $ 51,470 $ 49,034 $ 52,078
Total Non-performing Loans/Gross Loans 0.92% 1.12% 1.41% 1.42% 1.48%
Total Non-performing Assets/Total Assets 0.90% 1.09% 1.31% 1.33% 1.43%
ALLOWANCE FOR OFF-BALANCE SHEET ITEMS
(Dollars In Thousands) (Unaudited)
Quarter Ended
March 31, 2015 December 31, 2014 March 31, 2014
Balance at beginning of period $ 1,023 $ 1,023 $ 1,023
Provision for losses on off-balance sheet items -- -- --
Balance at end of period $ 1,023 $ 1,023 $ 1,023
WILSHIRE BANCORP, INC. AND SUBSIDIARIES
AVERAGE BALANCES, AVERAGE YIELDS EARNED AND AVERAGE RATES PAID
(Dollars In Thousands) (Unaudited)
For the Quarter Ended
March 31, 2015 December 31, 2014 March 31, 2014
Average Interest Average Average Interest Average Average Interest Average
Balance Income/ Yield/ Balance Income/ Yield/ Balance Income/ Yield/
INTEREST EARNING ASSETS Expense Rate Expense Rate Expense Rate
LOANS:
Real Estate Loans $ 2,732,436 $ 32,565 4.77% $ 2,666,855 $ 33,339 5.00% $ 2,447,610 $ 31,008 5.07%
Commercial Loans 616,848 6,282 4.07% 530,293 5,717 4.31% 430,076 4,919 4.58%
Consumer Loans 13,141 116 3.53% 13,162 129 3.92% 11,873 118 3.98%
Total Gross Loans 3,362,425 38,963 4.64% 3,210,310 39,185 4.88% 2,889,559 36,045 4.99%
Deferred Fees and Costs \ Loan Fees (9,992) 1,125 (9,772) 1,524 (7,909) 1,056
Total Loans * 3,352,433 40,088 4.78% 3,200,538 40,709 5.09% 2,881,650 37,101 5.15%
INVESTMENT SECURITIES AND
OTHER INTEREST-EARNING ASSETS:
Investment Securities** 359,302 1,968 2.38% 366,229 2,053 2.43% 349,701 2,101 2.60%
Deposits Held In Other Institutions 8,000 32 1.60% 8,402 34 1.62% 21,019 69 1.31%
Federal Funds Sold & Others 256,700 160 0.25% 189,102 121 0.26% 94,584 82 0.35%
Total Investment Securities and
Other Earning Assets 624,002 2,160 1.49% 563,733 2,208 1.69% 465,304 2,252 2.09%
TOTAL INTEREST-EARNING ASSETS $ 3,976,435 $ 42,248 4.27% $ 3,764,271 $ 42,917 4.58% $ 3,346,954 $ 39,353 4.72%
Total Non-Interest Earning Assets 279,190 285,659 284,314
TOTAL ASSETS $ 4,255,625 $ 4,049,930 $ 3,631,268
INTEREST BEARING LIABILITIES
INTEREST-BEARING DEPOSITS:
Money Market $ 844,576 $ 1,406 0.67% $ 748,031 $ 1,320 0.71% $ 784,219 $ 1,301 0.66%
NOW 29,230 17 0.23% 31,364 17 0.22% 32,019 15 0.19%
Savings 129,239 502 1.55% 127,610 510 1.60% 120,908 476 1.58%
Time Deposits of $100,000 or More 1,297,961 2,603 0.80% 1,211,738 2,387 0.79% 874,039 1,485 0.68%
Other Time Deposits 265,626 569 0.86% 262,777 549 0.84% 236,826 399 0.67%
Total Interest Bearing Deposits 2,566,632 5,097 0.79% 2,381,520 4,783 0.80% 2,048,011 3,676 0.72%
BORROWINGS:
FHLB Advances and Other Borrowings 150,655 232 0.62% 150,000 235 0.63% 193,413 74 0.15%
Junior Subordinated Debentures 71,799 428 2.38% 71,742 432 2.41% 71,573 430 2.40%
Total Borrowings 222,454 660 1.19% 221,742 667 1.20% 264,986 504 0.76%
TOTAL INTEREST BEARING LIABILITIES $ 2,789,086 $ 5,757 0.83% $ 2,603,262 $ 5,450 0.84% $ 2,312,997 $ 4,180 0.72%
Non-Interest Bearing Deposits 923,650 911,037 830,939
Other Liabilities 42,792 50,149 40,144
Shareholders' Equity 500,097 485,482 447,188
TOTAL LIABILITIES AND EQUITY $ 4,255,625 $ 4,049,930 $ 3,631,268
NET INTEREST INCOME $ 36,491 $ 37,467 $ 35,173
.
NET INTEREST SPREAD 3.44% 3.74% 4.00%
NET INTEREST MARGIN 3.69% 4.00% 4.22%
* Allowance for loan losses excluded from average total loans and earning assets
** Tax equivalent ratios for investment securities
RECONCILIATION OF GAAP FINANCIAL MEASURES TO NON-GAAP FINANCIAL MEASURES:
TANGIBLE COMMON EQUITY AND TANGIBLE ASSETS *
(Dollars In Thousands, Except Share Data) (Unaudited)
Quarter Ended
March 31, 2015 December 31, 2014 March 31, 2014
Total shareholders' equity $ 505,579 $ 489,411 $ 451,575
Goodwill and other intangible assets, net (71,385) (71,628) (72,480)
Tangible common equity $ 434,194 $ 417,783 $ 379,095
Total assets $ 4,413,278 $ 4,155,469 $ 3,634,466
Goodwill and other intangible assets, net (71,385) (71,628) (72,480)
Tangible assets $ 4,341,893 $ 4,083,841 $ 3,561,986
Common shares outstanding 78,329,458 78,322,462 78,247,026
* Tangible Common Equity, Tangible Assets, and Net Interest Margin and Loan Yields Excluding The Effect of Acquisition Accounting Adjustments are Non-GAAP financial measures. Management believes that presentation of non-GAAP financial information included in this press release are meaningful and useful in understanding the business metrics of the Company's operations. We provide non-GAAP financial information for informational purposes and to enhance an understanding of the Company's GAAP consolidated financial statements. Readers should consider this non-GAAP information in addition to, but not instead or as superior to, the Company's financial statements in accordance with GAAP. Non-GAAP financial information presented by us may be determined or calculated differently by other companies, limiting the usefulness of non-GAAP measures for comparative purposes.

CONTACT: Alex Ko, EVP & CFO, (213) 427-6560 www.wilshirebank.comSource:Wilshire Bancorp, Inc.