Exhibit 99.1
HANMI FINANCIAL CORPORATION REPORTS
NET INCOME OF $2.9 MILLION FOR FIRST QUARTER OF 2008
     LOS ANGELES — April 29, 2008 — Hanmi Financial Corporation (NASDAQ:HAFC), the holding company for Hanmi Bank, reported that for the three months ended March 31, 2008, it earned net income of $2.9 million, compared to a net loss of $100.0 million for the fourth quarter of 2007 and net income of $13.0 million for the comparable period a year ago. Earnings per share were $0.06 (diluted), compared to $0.26 (diluted) for the same period in 2007.
     “Our first-quarter results are indicative of an overall economic environment that, by most measures, has changed little in the last three months,” said Chung Hoon Youk, Chief Credit Officer and Interim Chief Executive Officer. “With that in mind, the single biggest factor affecting net income was a $17.8 million provision for credit losses. The provision —although lower than the prior quarter’s $20.7 million — reflects a persistently soft economy that is affecting some of our borrowers’ ability to honor their commitments.”
     “Contributing to the disappointing bottom-line performance was a compression in net interest margin — to 3.73 percent from 4.06 percent in the prior quarter — that continues to be driven by two factors in particular: intense competition among Korean-American banks, particularly in the pricing of deposits; and the Federal Reserve Bank’s further 200-basis-point cut in short-term interest rates during the quarter. Despite growing concerns about inflation, our outlook for the year remains cautious and does not assume any near-term tightening on the part of the Fed; that being the case, and given our balance sheet composition,” concluded Mr. Youk, “we expect that historically low short-term rates will continue to put pressure on margins.”
BALANCE SHEET SUMMARY
     In the first quarter of 2008, changes in our balance sheet growth were moderate. Total assets decreased by $42.7 million, or 1.1 percent, to $3.94 billion at March 31, 2008, compared to $3.98 billion at December 31, 2007. Gross loans increased by $19.3 million, or 0.6 percent, to $3.30 billion at March 31, 2008, compared to $3.28 billion at December 31, 2007. Total deposits increased by $26.1 million, or 0.9 percent, to $3.03 billion at March 31, 2008, compared to $3.00 billion at December 31, 2007. FHLB advances and other borrowings decreased by $71.6 million, or 14.7 percent, to $415.6 million at March 31, 2008, compared to $487.2 million at December 31, 2007.
NET INTEREST INCOME AND NET INTEREST MARGIN
     Net interest income was $34.2 million for the first quarter of 2008, compared to $37.6 million for the fourth quarter of 2007 and $38.0 million for the first quarter of 2007. The decrease in net interest income was mainly caused by compression in the net interest margin. Net interest margin for the first quarter of 2008 was 3.73 percent, compared to 4.06 percent for the fourth quarter of 2007 and 4.59 percent for the first quarter of 2007. Net interest margin has decreased due to the Federal Reserve Bank lowering short-term interest rates and intense competition for loans and deposits. The net reversal of $1.2 million of accrued interest on loans placed on non-accrual status further compressed our margin during the first quarter of 2008.

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     Average interest-earning assets increased by $20.2 million, or 0.6 percent, to $3.69 billion for the first quarter of 2008, compared to $3.67 billion for the fourth quarter of 2007, and increased by $339.4 million, or 10.1 percent, compared to $3.35 billion for the first quarter of 2007. Average gross loans increased by $18.9 million, or 0.6 percent, to $3.30 billion for the first quarter of 2008, compared to $3.28 billion for the fourth quarter of 2007, and increased by $420.5 million, or 14.6 percent, compared to $2.88 billion for the first quarter of 2007.
     The yield on average interest-earning assets was 7.08 percent for the first quarter of 2008, a decrease of 69 basis points compared to 7.77 percent for the fourth quarter of 2007, and a decrease of 115 basis points compared to 8.23 percent for the first quarter of 2007. The yield on the loan portfolio was 7.38 percent for the first quarter of 2008, a decrease of 77 basis points compared to 8.15 percent for the fourth quarter of 2007, and a decrease of 142 basis points compared to 8.80 percent for the first quarter of 2007.
     Average interest-bearing liabilities increased by $51.4 million, or 1.8 percent, to $2.90 billion for the first quarter of 2008, compared to $2.85 billion for the fourth quarter of 2007, and increased by $409.8 million, or 16.5 percent, compared to $2.49 billion for the first quarter of 2007. Average interest-bearing deposits decreased by $5.2 million, or 0.2 percent, to $2.34 billion for the first quarter of 2008, compared to $2.35 billion for the fourth quarter of 2007, and increased by $108.2 million, or 4.8 percent, compared to $2.24 billion for the first quarter of 2007. Average borrowings increased by $56.6 million, or 11.4 percent, to $553.1 million for the first quarter of 2008, compared to $496.5 million for the fourth quarter of 2007, and increased by $301.5 million, or 119.9 percent, compared to $251.6 billion for the first quarter of 2007.
     The cost of average interest-bearing liabilities was 4.27 percent for the first quarter of 2008, a decrease of 51 basis points compared to 4.78 percent for the fourth quarter of 2007, and a decrease of 62 basis points compared to 4.89 percent for the first quarter of 2007. The cost of average interest-bearing deposits was 4.26 percent for the first quarter of 2008, a decrease of 39 basis points compared to 4.65 percent for the fourth quarter of 2007, and a decrease of 49 basis points compared to 4.75 percent for the first quarter of 2007. The cost of average borrowings was 4.31 percent for the first quarter of 2008, a decrease of 108 basis points compared to 5.39 percent for the fourth quarter of 2007, and a decrease of 183 basis points compared to 6.14 percent for the first quarter of 2007.
ASSET QUALITY
     Starting in the fourth quarter of 2007, the Bank expanded its portfolio monitoring activities in an attempt to identify problematic loans. Given the deteriorating economy in which the Bank’s borrowers operate, and in light of the unusually high levels of loan delinquencies and defaults, we believe that early detection is a key factor in lowering the financial impact on the Bank.
     Net charge-offs were $7.3 million and $11.6 million for the first quarter of 2008 and the fourth quarter of 2007, respectively, significantly higher than $2.4 million for the first quarter of 2007. Non-performing loans were $88.7 million at March 31, 2008, compared to $54.8 million at December 31, 2007 and $19.5 million at March 31, 2007. The majority of the $33.9 million increase during the first quarter of 2008 was caused by one construction loan whose balance was approximately $28.0 million. Non-performing loans as a percentage of gross loans increased to 2.68 percent at March 31, 2008, compared to 1.66 percent at December 31, 2007 and 0.67 percent at March 31, 2007. Delinquent loans increased to $105.8 million at March 31, 2008, compared to $45.1 million at December 31, 2007 and $37.3 million at March 31, 2007.

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     As our borrowers are negatively affected by the downward economy, the provision for credit losses has risen to historically high levels — $20.7 million in the fourth quarter of 2007, and $17.8 million in the first quarter of 2008, compared with $6.1 million for the first quarter of 2007.
     The provision for credit losses, net of net charge-offs, increased the allowance for loan losses to $53.0 million, or 1.60 percent, of the gross loan portfolio, at March 31, 2008, compared to 1.33 percent and 1.08 percent at December 31, 2007 and March 31, 2007, respectively. We also have an allowance for off-balance sheet exposure, primarily unfunded loan commitments, of $2.9 million (recorded in other liabilities). As of March 31, 2008, the allowance for loan losses was 59.7 percent of non-performing loans, compared to 80.1 percent at December 31, 2007 and 161.6 percent at March 31, 2007. Based on management’s evaluation and analysis of portfolio credit quality and prevailing economic conditions, we believe these reserves are adequate for losses inherent in the loan portfolio and off-balance sheet exposure at March 31, 2008.
NON-INTEREST INCOME
     Non-interest income was $9.8 million for the first quarter of 2008, compared to $9.8 million and $10.0 million for the fourth quarter of 2007 and the first quarter of 2007, respectively. Overall increase in various fee income sources including gain on sales of securities of $618,000 for the first quarter of 2008 was offset by the decrease in gain on sales of loans. The gain on sales of loans decreased to $213,000 for the first quarter of 2008, compared to $1.8 million for the fourth quarter of 2007 and $1.4 million for the first quarter of 2007. The gains in the prior quarters were relatively high since they included $1.2 million of sales gain on unguaranteed SBA loans sold in the fourth quarter of 2007 and $867,000 sales gain on SBA loans originated prior to 2007 and sold in the first quarter of 2007 while there was no such sales in the first quarter of 2008.
NON-INTEREST EXPENSES
     Non-interest expenses decreased by $104.6 million, or 82.9 percent, to $21.6 million for the first quarter of 2008, compared to $126.2 million, which included a $102.9 million goodwill impairment charges, for the fourth quarter of 2007. As compared with $21.0 million for the first quarter of 2007, our non-interest expenses in the first quarter of 2008 increased by $619,000, or 3.0 percent, due mainly to the additional professional fees incurred in 2008 for credit, legal and valuation services.
     The efficiency ratio (non-interest expenses divided by the sum of net interest income before provision for credit losses and non-interest income) for the first quarter of 2008 was 49.11 percent, compared to 266.31 percent (49.22 percent excluding the goodwill impairment charge) for the fourth quarter of 2007 and 43.74 percent for the first quarter of 2007.
CAPITAL
     As of January 1, 2008, the beginning balance of retained earnings was adjusted downward by $2.2 million for the recognition of a liability, which was related to postretirement benefits covered by an endorsement split-dollar life insurance arrangement, upon the adoption of Emerging Issues Task Force Issue No. 06-04. In addition, we corrected the prior period financial statements for immaterial errors related to interest expense on deposits totaling $989,000. For the years ended December 31, 2007, 2006, 2005 and 2004, net income was adjusted downward by $428,000, $299,000, $242,000 and $20,000, respectively. For the three months ended December 31, 2007 and March 31, 2007, net income was adjusted downward by $57,000 and $63,000, respectively.

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     Our capital exceeds the levels defined as “well capitalized” by our regulators. Hanmi Bank’s capital ratios were as follows:
                         
    March 31,   December 31,   March 31,
    2008   2007   2007
Tier 1 Leverage Ratio
     8.74 %     8.47 %     10.18 %
Tier 1 Risk-Based Capital Ratio
     9.54 %     9.31 %     11.25 %
Total Risk-Based Capital Ratio
     10.79 %     10.58 %     12.30 %
ABOUT HANMI FINANCIAL CORPORATION
     Headquartered in Los Angeles, Hanmi Bank, a wholly owned subsidiary of Hanmi Financial Corporation, provides services to the multi-ethnic communities of California, with 25 full-service offices in Los Angeles County, Orange County, San Bernardino County, San Diego County, the San Francisco Bay area, and the Silicon Valley area in Santa Clara County, and eight loan production offices in California, Colorado, Georgia, Illinois, Texas, Virginia and Washington. Hanmi Bank specializes in commercial, SBA, trade finance and consumer lending, and is a recognized community leader. Hanmi Bank’s mission is to provide a full range of quality products and premier services to its customers and to maximize shareholder value. Additional information is available at www.hanmifinancial.com.
FORWARD-LOOKING STATEMENTS
     This release contains forward-looking statements, which are included in accordance with the “safe harbor” provisions of the Private Securities Litigation Reform Act of 1995. In some cases, you can identify forward-looking statements by terminology such as “may,” “will,” “should,” “could,” “expects,” “plans,” “intends,” “anticipates,” “believes,” “estimates,” “predicts,” “potential,” or “continue,” or the negative of such terms and other comparable terminology. Although we believe that the expectations reflected in the forward-looking statements are reasonable, we cannot guarantee future results, levels of activity, performance or achievements. These statements involve known and unknown risks, uncertainties and other factors that may cause our actual results, levels of activity, performance or achievements to differ from those expressed or implied by the forward-looking statement. These factors include the following: general economic and business conditions in those areas in which we operate; demographic changes; competition for loans and deposits; fluctuations in interest rates; risks of natural disasters related to our real estate portfolio; risks associated with SBA loans; changes in governmental regulation; ability to receive regulatory approval for Hanmi Bank to declare dividends to Hanmi Financial; credit quality and the effect of credit quality on our provision for credit losses and allowance for loan losses; the ability of borrowers to perform under the terms of their loans and other terms of credit agreements; our ability to successfully integrate acquisitions we may make; the availability of capital to fund the expansion of our business; and changes in securities markets. In addition, we set forth certain risks in our reports filed with the Securities and Exchange Commission, including our Annual Report on Form 10-K for the fiscal year ended December 31, 2007, which could cause actual results to differ from those projected. We undertake no obligation to update such forward-looking statements except as required by law.
CONTACT
       
 
Hanmi Financial Corporation
    
 
 
    
 
BRIAN E. CHO
  STEPHANIE YOON
 
Chief Financial Officer
  Investor Relations
 
(213) 368-3200
  (213) 427-5631

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HANMI FINANCIAL CORPORATION AND SUBSIDIARIES
CONDENSED CONSOLIDATED BALANCE SHEETS (UNAUDITED)
(Dollars in Thousands)
                                         
    March 31,     December 31,     %     March 31,     %  
    2008     2007     Change     2007     Change  
ASSETS
                                        
Cash and Due from Banks
   $ 101,306     $ 105,898       (4.3 )%   $ 93,174       8.7 %
Federal Funds Sold
     2,000       16,500       (87.9 )%     55,000       (96.4 )%
 
                              
Cash and Cash Equivalents
     103,306       122,398       (15.6 )%     148,174       (30.3 )%
 
                              
Investment Securities
     323,636       350,457       (7.7 )%     381,237       (15.1 )%
Loans:
                                        
Gross Loans, Net of Deferred Loan Fees
     3,304,039       3,284,708       0.6 %     2,917,187       13.3 %
Allowance for Loan Losses
     (52,986 )     (43,611 )     21.5 %     (31,527 )     68.1 %
 
                              
Loans Receivable, Net
     3,251,053       3,241,097       0.3 %     2,885,660       12.7 %
 
                              
Customers’ Liability on Acceptances
     7,119       5,387       32.2 %     10,974       (35.1 )%
Premises and Equipment, Net
     20,679       20,800       (0.6 )%     20,324       1.7 %
Accrued Interest Receivable
     15,417       17,411       (11.5 )%     16,739       (7.9 )%
Other Real Estate Owned
     —       287       (100.0 )%     —       —  
Deferred Income Taxes
     17,530       18,470       (5.1 )%     10,683       64.1 %
Servicing Assets
     4,220       4,336       (2.7 )%     4,528       (6.8 )%
Goodwill
     107,943       107,100       0.8 %     209,941       (48.6 )%
Other Intangible Assets
     6,384       6,908       (7.6 )%     8,619       (25.9 )%
Federal Reserve Bank and Federal Home Loan Bank Stock
     33,718       33,479       0.7 %     25,115       34.3 %
Bank-Owned Life Insurance
     24,760       24,525       1.0 %     23,822       3.9 %
Other Assets
     25,180       31,002       (18.8 )%     31,768       (20.7 )%
 
                              
TOTAL ASSETS
   $ 3,940,945     $ 3,983,657       (1.1 )%   $ 3,777,584       4.3 %
 
                              
 
                                        
LIABILITIES AND SHAREHOLDERS’ EQUITY
                                        
Liabilities:
                                        
Deposits:
                                        
Noninterest-Bearing
   $ 676,471     $ 680,282       (0.6 )%   $ 738,396       (8.4 )%
Interest-Bearing
     2,351,297       2,321,417       1.3 %     2,245,611       4.7 %
 
                              
Total Deposits
     3,027,768       3,001,699       0.9 %     2,984,007       1.5 %
Accrued Interest Payable
     17,857       21,828       (18.2 )%     22,379       (20.2 )%
Acceptances Outstanding
     7,119       5,387       32.2 %     10,974       (35.1 )%
FHLB Advances and Other Borrowings
     415,553       487,164       (14.7 )%     168,114       147.2 %
Junior Subordinated Debentures
     82,406       82,406       —       82,406       —  
Other Liabilities
     19,328       14,617       32.2 %     17,460       10.7 %
 
                              
Total Liabilities
     3,570,031       3,613,101       (1.2 )%     3,285,340       8.7 %
Shareholders’ Equity
     370,914       370,556       0.1 %     492,244       (24.6 )%
 
                              
TOTAL LIABILITIES AND SHAREHOLDERS’ EQUITY
   $ 3,940,945     $ 3,983,657       (1.1 )%   $ 3,777,584       4.3 %
 
                              

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HANMI FINANCIAL CORPORATION AND SUBSIDIARIES
CONSOLIDATED STATEMENTS OF OPERATIONS (UNAUDITED)
(Dollars in Thousands, Except Per Share Data)
                                         
    Three Months Ended  
    March 31,     December 31,     %     March 31,     %  
    2008     2007     Change     2007     Change  
INTEREST AND DIVIDEND INCOME:
                                        
Interest and Fees on Loans
   $ 60,598     $ 67,505       (10.2 )%   $ 62,561       (3.1 )%
Taxable Interest on Investments
     3,116       3,186       (2.2 )%     3,531       (11.8 )%
Tax-Exempt Interest on Investments
     759       765       (0.8 )%     764       (0.7 )%
Dividends on FHLB and FRB Stock
     414       358       15.6 %     369       12.2 %
Interest on Federal Funds Sold
     83       69       20.3 %     726       (88.6 )%
Interest on Term Federal Funds Sold
     —       —       —       5       (100.0 )%
 
                              
Total Interest Income
     64,970       71,883       (9.6 )%     67,956       (4.4 )%
 
                              
 
                                        
INTEREST EXPENSE:
                                        
Interest on Deposits
     24,847       27,544       (9.8 )%     26,189       (5.1 )%
Interest on FHLB Advances and Other Borrowings
     4,477       5,074       (11.8 )%     2,171       106.2 %
Interest on Junior Subordinated Debentures
     1,449       1,670       (13.2 )%     1,639       (11.6 )%
 
                              
Total Interest Expense
     30,773       34,288       (10.3 )%     29,999       2.6 %
 
                              
 
                                        
NET INTEREST INCOME BEFORE PROVISION FOR CREDIT LOSSES
     34,197       37,595       (9.0 )%     37,957       (9.9 )%
 
                                    
Provision for Credit Losses
     17,821       20,704       (13.9 )%     6,132       190.6 %
 
                              
NET INTEREST INCOME AFTER PROVISION FOR CREDIT LOSSES
     16,376       16,891       (3.0 )%     31,825       (48.5 )%
 
                              
NON-INTEREST INCOME:
                                        
Service Charges on Deposit Accounts
     4,717       4,672       1.0 %     4,488       5.1 %
Insurance Commissions
     1,315       1,419       (7.3 )%     1,125       16.9 %
Trade Finance Fees
     865       944       (8.4 )%     1,290       (32.9 )%
Remittance Fees
     505       546       (7.5 )%     471       7.2 %
Other Service Charges and Fees
     716       646       10.8 %     616       16.2 %
Bank-Owned Life Insurance Income
     240       240       —       230       4.3 %
Increase in Fair Value of Derivatives
     239       162       47.5 %     92       159.8 %
Other Income
     337       479       (29.6 )%     275       22.5 %
Gain on Sales of Loans
     213       1,767       (87.9 )%     1,400       (84.8 )%
Gain on Sales of Securities Available for Sale
     618       —       —       —       —  
Other-Than-Temporary Impairment Loss on Securities
     —       (1,074 )     (100.0 )%     —       —  
 
                              
Total Non-Interest Income
     9,765       9,801       (0.4 )%     9,987       (2.2 )%
 
                              
 
                                        
NON-INTEREST EXPENSES:
                                        
Salaries and Employee Benefits
     11,280       13,075       (13.7 )%     11,761       (4.1 )%
Occupancy and Equipment
     2,782       2,754       1.0 %     2,512       10.7 %
Data Processing
     1,534       1,622       (5.4 )%     1,563       (1.9 )%
Advertising and Promotion
     812       1,137       (28.6 )%     661       22.8 %
Supplies and Communications
     704       596       18.1 %     588       19.7 %
Professional Fees
     985       782       26.0 %     474       107.8 %
Amortization of Other Intangible Assets
     525       548       (4.2 )%     614       (14.5 )%
Other Operating Expenses
     2,966       2,816       5.3 %     2,796       6.1 %
Impairment Loss on Goodwill
     —       102,891       (100.0 )%     —       —  
 
                              
Total Non-Interest Expenses
     21,588       126,221       (82.9 )%     20,969       3.0 %
 
                              
INCOME (LOSS) BEFORE PROVISION FOR INCOME TAXES
     4,553       (99,529 )     (104.6 )%     20,843       (78.2 )%
Provision for Income Taxes
     1,632       514       217.5 %     7,851       (79.2 )%
 
                              
NET INCOME (LOSS)
   $ 2,921     $ (100,043 )     (102.9 )%   $ 12,992       (77.5 )%
 
                              
 
                                        
EARNINGS (LOSS) PER SHARE:
                                        
Basic
   $ 0.06     $ (2.15 )     (102.8 )%   $ 0.27       (77.8 )%
Diluted
   $ 0.06     $ (2.15 )     (102.8 )%   $ 0.26       (76.9 )%
 
                                        
WEIGHTED-AVERAGE SHARES OUTSTANDING:
                                        
Basic
     45,842,376       46,465,973               48,962,089          
Diluted
     45,918,143       46,465,973               49,500,312          
 
                                        
SHARES OUTSTANDING AT PERIOD-END
     45,905,549       45,860,941               48,825,537          

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HANMI FINANCIAL CORPORATION AND SUBSIDIARIES
SELECTED FINANCIAL DATA (UNAUDITED)
(Dollars in Thousands)
                                         
    Three Months Ended  
    March 31,     December 31,     %     March 31,     %  
    2008     2007     Change     2007     Change  
AVERAGE BALANCES:
                                        
Average Gross Loans, Net of Deferred Loan Fees
   $ 3,303,141     $ 3,284,222       0.6 %   $ 2,882,632       14.6 %
Average Investment Securities
     342,123       350,147       (2.3 )%     386,688       (11.5 )%
Average Interest-Earning Assets
     3,689,650       3,669,436       0.6 %     3,350,245       10.1 %
Average Total Assets
     3,965,369       4,053,801       (2.2 )%     3,740,936       6.0 %
Average Deposits
     2,995,315       3,029,804       (1.1 )%     2,945,386       1.7 %
Average Borrowings
     553,138       496,513       11.4 %     251,594       119.9 %
Average Interest-Bearing Liabilities
     2,897,209       2,845,775       1.8 %     2,487,429       16.5 %
Average Stockholders’ Equity
     377,365       485,934       (22.3 )%     495,832       (23.9 )%
Average Tangible Equity
     263,572       269,497       (2.2 )%     276,918       (4.8 )%
 
                                        
PERFORMANCE RATIOS:
                                        
Return on Average Assets
     0.30 %     (9.79 )%             1.41 %        
Return on Average Stockholders’ Equity
     3.11 %     (81.68 )%             10.63 %        
Return on Average Tangible Equity
     4.46 %     (147.28 )%             19.03 %        
Efficiency Ratio
     49.11 %     266.31 %             43.74 %        
Net Interest Margin
     3.73 %     4.06 %             4.59 %        
 
                                        
ALLOWANCE FOR LOAN LOSSES:
                                        
Balance at the Beginning of Period
   $ 43,611     $ 34,503       26.4 %   $ 27,557       58.3 %
Provision Charged to Operating Expense
     16,672       20,736       (19.6 )%     6,374       161.6 %
Charge-Offs, Net of Recoveries
     (7,297 )     (11,628 )     (37.2 )%     (2,404 )     203.5 %
 
                              
Balance at the End of Period
   $ 52,986     $ 43,611       21.5 %   $ 31,527       68.1 %
 
                              
 
                                        
Allowance for Loan Losses to Total Gross Loans
     1.60 %     1.33 %             1.08 %        
Allowance for Loan Losses to Total Non-Performing Loans
     59.72 %     80.05 %             161.55 %        
 
                                        
ALLOWANCE FOR OFF-BALANCE SHEET ITEMS:
                                        
Balance at the Beginning of Period
   $ 1,765     $ 1,797       (1.8 )%   $ 2,130       (17.1 )%
Provision Charged to Operating Expense
     1,149       (32 )     (3,690.6 )%     (242 )     1,425.0 %
 
                              
Balance at the End of Period
   $ 2,914     $ 1,765       65.1 %   $ 1,888       54.3 %
 
                              

- 7 -

 

HANMI FINANCIAL CORPORATION AND SUBSIDIARIES
SELECTED FINANCIAL DATA (UNAUDITED) (Continued)
(Dollars in Thousands)
                                         
    March 31,     December 31,     %     March 31,     %  
    2008     2007     Change     2007     Change  
NON-PERFORMING ASSETS:
                                        
Non-Accrual Loans
   $ 88,529     $ 54,252       63.2 %   $ 19,509       353.8 %
Loans 90 Days or More Past Due and Still Accruing
     191       227       (15.9 )%     6       3,083.3 %
 
                              
Total Non-Performing Loans
     88,720       54,479       62.9 %     19,515       354.6 %
Other Real Estate Owned
     —       287       (100.0 )%     —       —  
 
                              
Total Non-Performing Assets
   $ 88,720     $ 54,766       62.0 %   $ 19,515       354.6 %
 
                              
 
                                        
Total Non-Performing Loans/Total Gross Loans
     2.68 %     1.66 %             0.67 %        
Total Non-Performing Assets/Total Assets
     2.25 %     1.37 %             0.52 %        
Total Non-Performing Assets/Allowance for Loan Losses
     167.4 %     125.6 %             61.9 %        
 
                                        
DELINQUENT LOANS
   $ 105,842     $ 45,086       134.8 %   $ 37,280       183.9 %
 
                              
 
                                        
Delinquent Loans/Total Gross Loans
     3.20 %     1.37 %             1.28 %        
 
                                        
LOAN PORTFOLIO:
                                        
Real Estate Loans
   $ 1,092,121     $ 1,101,907       (0.9 )%   $ 1,061,890       2.8 %
Commercial and Industrial Loans
     2,123,741       2,094,719       1.4 %     1,758,801       20.7 %
Consumer Loans
     90,087       90,449       (0.4 )%     98,909       (8.9 )%
 
                              
Total Gross Loans
     3,305,949       3,287,075       0.6 %     2,919,600       13.2 %
Deferred Loan Fees
     (1,910 )     (2,367 )     (19.3 )%     (2,413 )     (20.8 )%
 
                              
Gross Loans, Net of Deferred Loan Fees
     3,304,039       3,284,708       0.6 %     2,917,187       13.3 %
Allowance for Loan Losses
     (52,986 )     (43,611 )     21.5 %     (31,527 )     68.1 %
 
                              
Loans Receivable, Net
   $ 3,251,053     $ 3,241,097       0.3 %   $ 2,885,660       12.7 %
 
                              
 
                                        
LOAN MIX:
                                        
Real Estate Loans
     33.0 %     33.5 %             36.4 %        
Commercial and Industrial Loans
     64.2 %     63.7 %             60.2 %        
Consumer Loans
     2.8 %     2.8 %             3.4 %        
 
                                  
Total Gross Loans
     100.0 %     100.0 %             100.0 %        
 
                                  
 
                                        
DEPOSIT PORTFOLIO:
                                        
Noninterest-Bearing
   $ 676,471     $ 680,282       (0.6 )%   $ 738,396       (8.4 )%
Savings
     92,189       93,099       (1.0 )%     101,526       (9.2 )%
Money Market Checking and NOW Accounts
     696,552       445,806       56.2 %     424,774       64.0 %
Time Deposits of $100,000 or More
     1,248,853       1,441,683       (13.4 )%     1,418,335       (11.9 )%
Other Time Deposits
     313,703       340,829       (8.0 )%     300,976       4.2 %
 
                              
Total Deposits
   $ 3,027,768     $ 3,001,699       0.9 %   $ 2,984,007       1.5 %
 
                              
 
                                        
DEPOSIT MIX:
                                        
Noninterest-Bearing
     22.3 %     22.7 %             24.7 %        
Savings
     3.0 %     3.1 %             3.4 %        
Money Market Checking and NOW Accounts
     23.0 %     14.9 %             14.2 %        
Time Deposits of $100,000 or More
     41.2 %     48.0 %             47.5 %        
Other Time Deposits
     10.5 %     11.3 %             10.2 %        
 
                                  
Total Deposits
     100.0 %     100.0 %             100.0 %        
 
                                  

- 8 -

 

HANMI FINANCIAL CORPORATION AND SUBSIDIARIES
AVERAGE BALANCES, AVERAGE YIELDS EARNED AND AVERAGE RATES PAID (UNAUDITED)
(Dollars in Thousands)
                                                                         
    Three Months Ended  
    March 31, 2008     December 31, 2007     March 31, 2007  
            Interest     Average             Interest     Average             Interest     Average  
    Average     Income/     Yield/     Average     Income/     Yield/     Average     Income/     Yield/  
    Balance     Expense     Rate     Balance     Expense     Rate     Balance     Expense     Rate  
INTEREST-EARNING ASSETS
                                                                        
Loans:
                                                                        
Real Estate Loans:
                                                                        
Commercial Property
   $ 790,350     $ 14,480       7.37 %   $ 787,721     $ 15,483       7.80 %   $ 752,673     $ 15,168       8.17 %
Construction
     217,609       2,893       5.35 %     235,851       5,471       9.20 %     212,370       4,937       9.43 %
Residential Property
     89,512       1,170       5.26 %     89,184       1,160       5.16 %     85,022       1,097       5.23 %
 
                                                      
Total Real Estate Loans
     1,097,471       18,543       6.80 %     1,112,756       22,114       7.88 %     1,050,065       21,202       8.19 %
Commercial and Industrial Loans
     2,117,501       40,125       7.62 %     2,081,945       43,658       8.32 %     1,736,530       38,769       9.05 %
Consumer Loans
     90,280       1,625       7.24 %     91,378       1,624       7.05 %     98,634       2,173       8.93 %
 
                                                      
Total Gross Loans
     3,305,252       60,293       7.34 %     3,286,079       67,396       8.14 %     2,885,229       62,144       8.74 %
Prepayment Penalty Income
     —       305       —       —       109       —               417       —  
Unearned Income on Loans, Net of Costs
     (2,111 )     —       —       (1,857 )     —       —       (2,597 )     —       —  
 
                                                      
Gross Loans, Net
     3,303,141       60,598       7.38 %     3,284,222       67,505       8.15 %     2,882,632       62,561       8.80 %
 
                                                      
 
                                                                        
Investment Securities:
                                                                        
Municipal Bonds
     71,879       759       4.22 %     72,097       765       4.24 %     72,396       764       4.22 %
U.S. Government Agency Securities
     109,860       1,245       4.53 %     110,194       1,188       4.31 %     118,267       1,256       4.25 %
Mortgage-Backed Securities
     97,088       1,176       4.85 %     97,566       1,190       4.88 %     118,899       1,404       4.72 %
Collateralized Mortgage Obligations
     49,932       534       4.28 %     52,883       570       4.31 %     64,208       697       4.34 %
Corporate Bonds
     9,509       109       4.59 %     12,709       154       4.85 %     7,869       90       4.57 %
Other Securities
     3,855       52       5.40 %     4,698       84       7.15 %     5,049       84       6.65 %
 
                                                      
Total Investment Securities
     342,123       3,875       4.53 %     350,147       3,951       4.51 %     386,688       4,295       4.44 %
 
                                                      
 
                                                                        
Other Interest-Earning Assets:
                                                                        
Equity Securities (FHLB and FRB Stock)
     33,490       414       4.94 %     29,149       358       4.91 %     25,008       369       5.90 %
Federal Funds Sold
     10,896       83       3.05 %     5,918       69       4.66 %     55,528       726       5.23 %
Term Federal Funds Sold
     —       —       —       —       —       —       389       5       5.14 %
 
                                                      
Total Other Interest-Earning Assets
     44,386       497       4.48 %     35,067       427       4.87 %     80,925       1,100       5.44 %
 
                                                      
 
                                                                        
TOTAL INTEREST-EARNING ASSETS
   $ 3,689,650     $ 64,970       7.08 %   $ 3,669,436     $ 71,883       7.77 %   $ 3,350,245     $ 67,956       8.23 %
 
                                                      
 
                                                                        
INTEREST-BEARING LIABILITIES
                                                                        
 
                                                                        
Interest-Bearing Deposits:
                                                                        
Savings
   $ 92,467     $ 527       2.29 %   $ 93,413     $ 474       2.01 %   $ 100,777     $ 461       1.86 %
Money Market Checking and NOW Accounts
     557,493       4,660       3.36 %     478,501       4,144       3.44 %     427,871       3,472       3.29 %
Time Deposits of $100,000 or More
     1,354,466       15,687       4.66 %     1,465,551       18,977       5.14 %     1,406,311       18,498       5.33 %
Other Time Deposits
     339,645       3,973       4.70 %     311,797       3,949       5.02 %     300,876       3,757       5.06 %
 
                                                      
Total Interest-Bearing Deposits
     2,344,071       24,847       4.26 %     2,349,262       27,544       4.65 %     2,235,835       26,188       4.75 %
 
                                                      
 
                                                                        
Borrowings:
                                                                        
FHLB Advances and Other Borrowings
     470,732       4,477       3.83 %     414,107       5,074       4.86 %     169,188       2,171       5.20 %
Junior Subordinated Debentures
     82,406       1,449       7.07 %     82,406       1,670       8.04 %     82,406       1,639       8.07 %
 
                                                      
Total Borrowings
     553,138       5,926       4.31 %     496,513       6,744       5.39 %     251,594       3,810       6.14 %
 
                                                      
 
                                                                        
TOTAL INTEREST-BEARING LIABILITIES
   $ 2,897,209     $ 30,773       4.27 %   $ 2,845,775     $ 34,288       4.78 %   $ 2,487,429     $ 29,998       4.89 %
 
                                                      
 
                                                                        
NET INTEREST INCOME
           $ 34,197                     $ 37,595                     $ 37,958          
 
                                                                  
 
                                                                        
NET INTEREST SPREAD
                     2.81 %                     2.99 %                     3.34 %
 
                                                                  
 
                                                                        
NET INTEREST MARGIN
                     3.73 %                     4.06 %                     4.59 %
 
                                                                  

- 9 -