8-K

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

WASHINGTON, DC 20549

FORM 8-K

CURRENT REPORT

PURSUANT TO SECTION 13 OR 15(d) OF THE

SECURITIES EXCHANGE ACT OF 1934

Date of Report (Date of Earliest Event Reported)

August 3, 2005

CENTER FINANCIAL CORPORATION

(Exact Name of Registrant as Specified in its Charter)

California	000-50050	52-2380548
(State or other jurisdiction of incorporation or organization)	(Commission File No.)	(I.R.S. Employee Identification No.)

3435 Wilshire Boulevard, Suite 700, Los Angles, California 90010

(Address of Principal Executive Offices) (Zip Code)

(213) 251-2222

(Registrant’s Telephone Number including Area Code)

Not Applicable

(Former Name or Former Address, if Changed Since Last Report)

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the follow provisions:

¨ Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)

¨ Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)

¨ Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))

¨ Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

Item 4.02 Non-Reliance on Previously Issued Financial Statements or a Related Audit Report or Completed Interim Review.

On August 3, 2005, the Company’s Audit Committee concluded that the Company will be required to restate its previously issued financial statements as of and for the years ended December 31, 2004, 2003 and 2002 and certain quarters during those years, and that these financial statements should not be relied upon.

On August 4, 2005, the Company issued a press release regarding the restatements. A copy of the press release is attached as Exhibit 99.1 to this Current Report on Form 8-K and is incorporated herein by reference.

As previously reported, the restatements for the periods mentioned relate to the accounting for the Company’s interest rate swaps, which were acquired in late 2001. These swaps had been accounted for under FAS 133, “Accounting for Derivative Instruments and Hedging Activities,” on a basis known as the “short-cut method.” Management and the Audit Committee have concluded that this accounting treatment was inappropriate. With respect to the income statements for the various periods, the restatements are expected to result in changes to reported income and expense. However, the Company expects that there will be no material effect on either the statements of financial condition or cash flows for any of the periods involved.

The Company’s management and its Audit Committee have discussed with the Company’s independent auditor the matters disclosed in this filing.

Item 9.01	Financial Statements and Exhibits
Exhibit 99.1	News release dated August 4, 2005

SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the Registrant has duly caused this report to be signed on its behalf by the undersigned, hereunto duly authorized.

Dated: August 9, 2005	CENTER FINANCIAL CORPORATION
	By:	/s/ Patrick Hartman
		Patrick Hartman Chief Financial Officer (Principal Accounting Officer, and officer authorized to sign on behalf of registrant)

EXHIBIT INDEX

Exhibit No.	Description
99.1	News release dated August 4, 2005

EX-99.1

Exhibit 99.1

Center Financial to Report Record Second Quarter Results; Company Delays Conference Call and Issuance of Final Q2 Results Pending Adjustments to June 30, 2004 Financial Statements

LOS ANGELES, Aug 04, 2005 (BUSINESS WIRE) — Center Financial Corporation (Nasdaq:CLFC), the holding company of Center Bank, today said it is delaying the timing of its 2005 second quarter earnings news release and conference call, pending adjustments to the company’s previously reported June 30, 2004 financial statements to ensure compliance with hedge accounting principles generally accepted in the United States.

While the company believes that its interest rate swaps have been effective as hedges since their inception in 2001, management recently determined that the method of evaluating the effectiveness of the hedges used in 2002 through 2004 did not meet the technical requirements necessary to qualify for the hedge accounting treatment utilized during those periods. As a result, the company will be restating its results from 2002 through 2004 with respect to the reporting of gains and losses due to changes in the fair market values of its interest rate swaps. Notwithstanding that the restatement is expected to have a material effect on certain of the company’s results of operations during the 2002 through 2004 periods, it is not expected to affect the company’s financial condition for any of those periods.

Center Financial also said it expects to report the following results for the 2005 second quarter:

• Net income increased to $6.0 million, or $0.36 per diluted share

• Net loans rose to $1.1 billion

• Total deposits grew to $1.3 billion

• Total assets increased to $1.5 billion

• Return on average assets and return on average equity improved to 1.74% and 24.47%, respectively

• Efficiency ratio improved to 47.81%

• Revenues advanced to $26.8 million

• Net interest income before provision for loan losses increased to $15.6 million

• Noninterest income rose to $5.0 million

About Center Financial Corporation

Center Financial Corporation is the holding company of Center Bank, a community bank offering a full range of financial services for diverse ethnic

and small business customers. Founded in 1986 and specializing in commercial and SBA loans and trade finance products, Center Bank has grown to be one of the nation’s largest financial institutions focusing on the Korean-American community, with total assets of $1.5 billion at June 30, 2005. Headquartered in Los Angeles, Center Bank operates 25 branch and loan production offices across the nation. Of the company’s 16 full-service branches, 14 are located throughout Southern California, along with one branch each in Chicago and Seattle. Center Bank’s nine loan production offices are strategically located in Phoenix, Seattle, Denver, Washington D.C., Las Vegas, Atlanta, Honolulu, Houston and Dallas. Center Bank is a California state-chartered institution and member of the FDIC. For additional information on Center Bank, visit the company’s Web site at www.centerbank.com.

This release may contain forward-looking statements, which are included in accordance with the “safe harbor” provisions of the Private Securities Litigation Reform Act of 1995 and accordingly, the cautionary statements contained in Center Financial Corp’s Annual Report on Form 10-K for the fiscal year ended Dec. 31, 2004 (See Business, and Management’s Discussion and Analysis), and other filings with the Securities and Exchange Commission are incorporated herein by reference. These factors include, but are not limited to: the company’s ability to complete the restatement and file its results for the 2005 second quarter and comparable periods by August 9, 2005. Actual results and performance in future periods may be materially different from any future results or performance suggested by the forward-looking statements in this release. Such forward-looking statements speak only as of the date of this release. Center Financial expressly disclaims any obligation to update or revise any forward-looking statements found herein to reflect any changes in the company’s expectations of results or any change in events.