Climate Change Data

Environmental Metrics

ESG Focus Areas

• Diversity and Inclusion
• Community Engagement
• Environmental Sustainability
• Governance
• Affordable Housing
• Small Business Lending

Environmental Achievements

• Saved 361 metric tons of carbon emissions through paperless transactions, recycling, and shredding.
• Saved 227,181 kWh of energy through paperless transactions and double-sided printing.
• Saved 1,842 trees through paper reduction initiatives.
• Saved 6,140 pounds of solid waste through recycling and paperless transactions.
• Saved 145,825 gallons of water through water-efficient fixtures.
• Provided $38 million in financing for solar projects.
• Provided $2.38 million loan for methane gas-to-electricity conversion.
• Provided $10 million line of credit for clean energy solutions.
• Invested $165 million in six solar energy projects since 2015.

Social Achievements

• 94% of workforce are people of color.
• 66% of team members are women.
• 11 of 12 board members are of minority descent.
• 25% of board seats are held by women.
• Invested $497 million in affordable housing projects.
• Approved 36 loans totaling $13.76 million under the Community Homebuyers Program.
• Approved 27 grants totaling $220,000 under the Down Payment Assistance Program.
• Provided $2.4 million in grants to 228 community organizations.
• Committed $1 million to combat anti-Asian violence.
• 160 employees volunteered over 1,500 hours.
• Offered financial literacy programs to youths and adults.

Governance Achievements

• Adopted Corporate Governance Guidelines.
• Established various board committees (Nomination and Governance, Risk, Audit, Compensation, Investment).

Climate Goals & Targets

Environmental Challenges

• Increasing environmental challenges.

Mitigation Strategies

• Implemented sustainability initiatives to reduce carbon footprint.
• Encouraged paperless transactions and online banking.
• Invested in renewable energy projects.
• Used LED lighting, installed solar power systems, and water-efficient fixtures.
• Installed electric vehicle charging stations.
• Encouraged ridesharing and public transportation.
• Adopted a hybrid work-from-home model.

Supply Chain Management

Supplier Audits: Not disclosed

Responsible Procurement

• Cathay Bank Vendor Diversity Program

Climate-Related Risks & Opportunities

Physical Risks

• Not disclosed

Transition Risks

• Not disclosed

Opportunities

• Not disclosed

Reporting Standards

Frameworks Used: Null

Certifications: Null

Third-party Assurance: Not disclosed

UN Sustainable Development Goals

• Not disclosed

Not disclosed

Sustainable Products & Innovation

• Not disclosed

Awards & Recognition

• Not disclosed

Environmental Metrics

ESG Focus Areas

• Environment
• Social
• Governance

Environmental Achievements

• Reduced energy consumption through LED lighting and solar power, saving 648,096 kilowatt hours.
• Conserved water through water-efficient fixtures, saving an estimated 600,000 gallons annually.
• Reduced waste through a secure shredding program, preventing 17,516 pounds of waste and averting 1,031 metric tons of carbon emissions.
• Invested $202 million in seven solar energy projects as of December 31, 2022.
• Encouraged paperless transactions and electronic statements, with 56% of online banking clients opting for electronic statements in 2022.

Social Achievements

• Invested $557 million in LIHTC projects for affordable housing as of December 31, 2022.
• Offered Community Checking accounts to unbanked and underbanked individuals, totaling $14,748 as of December 31, 2022.
• Provided at least 50% of small business loans (SBL) to businesses with gross annual revenue of $1 million or less or per-loan amount of less than $150,000. In 2022, 796 SBLs totaling $211 million were originated, with 36.4% in LMI geographies and 56.2% to businesses with gross annual revenues of $1 million or less.
• Originated 125 community development loans totaling $421.2 million in 2022.
• Offered mortgage lending solutions with greater underwriting flexibility and use of nontraditional credit history information. Approved 61 loans totaling $26.6 million and 51 DAP grants totaling $428,113 in 2022.
• Provided $2.4 million in grants to 228 community organizations in 2022.
• Supported financial literacy initiatives with approximately 7,680 attendees in 2022.
• Promoted diversity and inclusion in the workforce, with 94% minority and 64% female representation in the total workforce.
• Provided skill-training programs and supported internal career mobility, with 12% of the workforce promoted to higher or management positions in 2022.
• Implemented a Well-Being Program with a 75% participation rate as of December 31, 2022.

Governance Achievements

• Established a Nomination and Governance Committee to oversee ESG and sustainability-related matters.
• Implemented a robust cybersecurity program with oversight from the Board of Directors.
• Maintained a diverse Board of Directors with 92% minority and 25% female representation.
• Adopted a Code of Conduct addressing conflict of interest, protection of company and client information, personal conduct, compliance with laws and regulations, and other ethical considerations.
• Required annual training for all team members on anti-money laundering, anti-bribery and corruption, privacy, cybersecurity, and identity theft.

Climate Goals & Targets

Environmental Challenges

• Not disclosed

Mitigation Strategies

• Not disclosed

Supply Chain Management

Supplier Audits: Not disclosed

Responsible Procurement

• Cathay Bank Vendor Diversity Program

Climate-Related Risks & Opportunities

Physical Risks

• Not disclosed

Transition Risks

• Not disclosed

Opportunities

• Not disclosed

Reporting Standards

Frameworks Used: SASB

Certifications: Null

Third-party Assurance: Not disclosed

UN Sustainable Development Goals

• Not disclosed

Not disclosed

Sustainable Products & Innovation

• Not disclosed

Awards & Recognition

• U.S. Best-in-Class Employer for 2022 by Gallagher

Environmental Metrics

ESG Focus Areas

• Business ethics and compliance
• Information security
• Enterprise risk management
• Community development
• Diversity and inclusion
• Environmental sustainability

Environmental Achievements

• Reduced energy consumption by 35% annually through onsite solar power system at Corporate Center.
• Saved an estimated 600,000 gallons of water annually through water-efficient fixtures.
• 100% of shredded paper recycled.
• Invested $240 million in eight solar energy projects as of December 31, 2023.

Social Achievements

• Invested $595 million in LIHTC projects for affordable housing.
• Originated $433 million in community development loans, $239 million for affordable housing.
• Offered Community Checking accounts meeting Bank On National Account Standards.
• Provided $2.4 million in grants to 242 community organizations.
• Awarded $510,240 in down payment assistance grants to 51 households.
• 5% of total grant amount designated to support diversity education to combat anti-Asian violence.
• Team members volunteered 2,950 hours in community development.

Governance Achievements

• Implemented a clawback policy for executive compensation.
• Established robust AML/CFT/OFAC and FCPA Compliance Program.
• Annual training for all team members on ethics, compliance, and security.
• Independent reviews of information security and cybersecurity practices.

Climate Goals & Targets

Environmental Challenges

• Escalating global environmental challenges.
• Managing various risks inherent in banking operations.

Mitigation Strategies

• Integrated environmental initiatives throughout business operations.
• Comprehensive enterprise risk management program with three lines of defense.
• Incorporation of ESG considerations into risk management and credit analysis processes.

Supply Chain Management

Supplier Audits: Not disclosed

Responsible Procurement

• Cathay Bank Vendor Diversity Program

Climate-Related Risks & Opportunities

Physical Risks

• Not disclosed

Transition Risks

• Not disclosed

Opportunities

• Not disclosed

Reporting Standards

Frameworks Used: Sustainability Accounting Standards Board (SASB)

Certifications: Null

Third-party Assurance: Not disclosed

UN Sustainable Development Goals

• Not disclosed

Not disclosed

Sustainable Products & Innovation

• Community Checking accounts

Awards & Recognition

• Virgin Pulse 2023 Thrive Award
• U.S. Best-in-Class Employer by Gallagher