EAST WEST BANCORP INC

To supplement the Company’s unaudited interim Consolidated Financial Statements presented in accordance with U.S. GAAP, the Company uses certain non-GAAP measures of financial performance. Non-GAAP financial measures are not prepared in accordance with, or as an alternative to U.S. GAAP. Generally, a non-GAAP financial measure is a numerical measure of a company’s performance that either excludes or includes amounts, or is subject to adjustments that have such an effect, that are not normally excluded or included in the most directly comparable financial measure that is calculated and presented in accordance with U.S. GAAP. The non-GAAP financial measures discussed in this Form 10-Q are adjusted diluted EPS, return on average TCE, tangible book value per share and FTE efficiency ratio. Certain additional non-GAAP financial measures that are components of the foregoing non-GAAP financial measures are also set forth and reconciled in the table below. The Company believes these non-GAAP financial measures, when taken together with the corresponding U.S. GAAP financial measures, provide meaningful supplemental information regarding its performance, and allow comparability to prior periods. These non-GAAP financial measures may be different from non-GAAP financial measures used by other companies, limiting their usefulness for comparison purposes.

The following tables present the reconciliations of U.S. GAAP to non-GAAP financial measures for the periods presented:

Refer to footnotes on the following page.

(1)Represents the pre-tax FDIC charge recorded in Deposit insurance premiums and regulatory assessments on the Consolidated Statement of Income in the first half of 2024.

(2)Represents the pre-tax impairment related to an AFS debt security that was written-off in the first quarter of 2023.

(3)Represents the debt extinguishment cost on early prepayment of $300 million of repurchase agreements in the first quarter of 2023.

(4)Represents the pre-tax DC Solar recovery recorded in Amortization of tax credit and CRA investments on the Consolidated Statement of Income in the second and third quarters of 2024, as well as the first and second quarters of 2023.

(5)Applied statutory tax rate of 29.56% for the third quarter and first nine months of 2024 and 29.29% for the third quarter and first nine months of 2023.

(6)Includes core deposit intangibles and mortgage servicing assets. There were no core deposit intangibles in the 2024 periods presented.

(7)Annualized.

(8)FTE total revenue is reflected on an FTE basis (non-GAAP), which adjusts for the tax benefit of income on certain tax-exempt loans and debt securities.