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 $347 million or 4% from $8.9 billion as of December 31, 2025 to $9.2 billion as of June 30, 2026. The increase was primarily due to $721 million of net income, partially offset by $223 million of cash dividends declared, $124 million from open-market common stock repurchases and tax withheld in the form of stock repurchases on vested restricted stock units, and $68 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. For the three months ended June 30, 2026, there were no stock repurchases. For thesix months ended June 30, 2026, the Company repurchased $99 million of its common stock. In comparison, the Company repurchased$3 million and$88 million of common stock for the three and six months ended June 30, 2025, respectively. As of June 30, 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 second quarters of 2026 and 2025, respectively. In July 2026, the Company’s Board of Directors declared a third quarter 2026 cash dividend of $0.80 per share. The dividend is payable on August 17, 2026, to stockholders of record as of August 3, 2026.