Hanmi Financial Corporation Annual report pursuant to Section 13 and 15(d)

Off-Balance Sheet Commitments (Tables)

12 Months Ended

Dec. 31, 2020

The following table shows the distribution of undisbursed loan commitments as of the dates indicated:

	December 31,
	2020		2019
	(in thousands)
Commitments to extend credit	$	453,900	$	371,287
Standby letters of credit		47,169		31,372
Commercial letters of credit		54,547		11,133
Total undisbursed loan commitments	$	555,616	$	413,792

Activity in the allowance for credit losses related to off-balance sheet items was as follows for the periods indicated:

	As of and for the Year Ended December 31,
	2020			2019		2018
	(in thousands)
Balance at beginning of period	$	2,397		$	1,439	$	1,296
Adjustment related to adoption of ASU 2016-13		(335	)		—		—
Adjusted balance	$	2,062			1,439		1,296
Provision expense for credit losses		730			958		143
Balance at end of period	$	2,792		$	2,397	$	1,439