Far East National Bank Gets Capital Infusion

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Far East National Bank on Thursday said that it will receive a $235 million capital infusion from its Taiwan parent company, Bank SinoPac.

The injection strengthens the bank’s financial position and further enhances the bank’s capital ratios, which the Los Angeles bank said exceeds regulatory requirements for well-capitalized banks. The resulting ratios at the end of fiscal 2011 are estimated to be at 16.9 percent for Tier 1 capital and 18.2 percent for total risk-based capital.

“The capital infusion demonstrates our parent company’s unconditional commitment and strong support to Far East National Bank,” President David Wang said in a statement. “We are confident that this will put us in a better position to improve our asset quality as well as sustain our growth and services.”

Far East National Bank, which serves customers doing business the United States, Taiwan, China, Hong Kong, Macau and Vietnam, has 11 offices in California, a branch in Vietnam, and a representative office in Beijing.

The boards of Bank SinoPac and holding company SinoPac Holdings approved the transaction in April, but only received authorization from Taiwan banking regulators on July 15, Far East said.

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