Una actualización para nuestros valiosos clientes

Dear Cathay Bank Client,

This past weekend, banking regulators seized First Republic Bank and sold it to JPMorgan Chase. 

In light of this recent turn of events, we want to assure you that with more than 60 years of sound, prudent operations, Cathay Bank is in a strong financial position and that your deposits with us are secure. Cathay Bank’s deposit base is much more granular and is well-diversified in consumer and- small-medium businesses. 96% of our deposit accounts have less than $250,000 in balance and are well within the FDIC insured limit.

This diversification reduces our exposure to any one client or industry. It helps ensure that Cathay Bank is well positioned to serve you even as economic conditions change. This prudent approach has served us well for over 60 years and is a core part of our plan to help our clients for the next 60 years and beyond.

Cathay Bank has a strong balance sheet, ample access to cash, reliable access to capital, and a disciplined approach to managing risk.

• Strong Financial Footing: Cathay Bank achieved a net income of $96.0 million for the first quarter ending on March 31, 2023. Our strong performance underpins our ability to access capital and better positions Cathay Bank to serve clients.
• Robust and Expanding Balance Sheet: Cathay Bank’s deposits increased by $143.6 million, or 3.1% annualized, to $18.6 billion in the first quarter of 2023.
• Prudently Managed Securities Portfolio: Cathay Bank does not have any securities in the “held to maturity” status, and unrealized losses in the Bank’s securities portfolio have already been reflected in our book value. 
• We’re #8 on S&P Global Market Intelligence’s Annual U.S. Bank Rankings: Cathay General Bancorp (CATY), the holding company of Cathay Bank, is ranked #8 on the 2022 S&P Global Market Intelligence ranking of U.S. public banks by financial performance.

You can continue to bank with us knowing your money is safe. We thank you for trusting us for your banking needs, and we look forward to continuing to serve as your Bank of choice. Please do not hesitate to reach out to your usual Cathay Bank representative if there is anything we can do to assist you.

Thank you.

Chang M. Liu

President & Chief Executive Officer