EAST WEST BANCORP INC

The Company maintains a strong capital base to support its anticipated asset growth, operating needs, and credit risk exposures, and to ensure that the Company and the Bank are in compliance with all regulatory capital guidelines. The Company engages in regular capital planning processes on at least an annual basis to optimize the use of available capital and to appropriately plan for future capital needs, allocating capital to existing and future business activities. Furthermore, the Company conducts capital stress tests as part of its capital planning process. The stress tests enable the Company to assess the impact of adverse changes in the economy and interest rates on its capital base.

The Company’s stockholders’ equity increased $100 million or 1% from $8.9 billion as of December 31, 2025 to $9.0 billion as of March 31, 2026. The increase was primarily due to $358 million of net income, partially offset by $123 million from open-market common stock repurchases and tax withheld in the form of stock repurchases on vested restricted stock units, $111 million of cash dividends declared and $43 million of other comprehensive loss. For other factors that contributed to the changes in stockholders’ equity, refer to Item 1. Consolidated Financial Statements — Consolidated Statement of Changes in Stockholders’ Equity in this Form 10-Q.

On January 22, 2025, the Company’s Board of Directors authorized the repurchase of up to $300 million of East West common stock, which will remain valid through December 31, 2026. The Company repurchased $99 million and $85 million of its common stock during the first quarters of 2026 and 2025, respectively. As of March 31, 2026, $117 million of the share repurchase authorization remained available.

The Company paid a cash dividend of $0.80 and $0.60 per share during the first quarters of 2026 and 2025, respectively. In April 2026, the Company’s Board of Directors declared a second quarter 2026 cash dividend of $0.80 per share. The dividend is payable on May 18, 2026, to stockholders of record as of May 4, 2026.