Note 4 - Earnings per Share

3 Months Ended

Mar. 31, 2013

Earnings Per Share [Text Block]

4. Earnings per Share

Basic earnings per share exclude dilution and is computed by dividing net income available to common stockholders by the weighted-average number of common shares outstanding for the period.  Diluted earnings per share reflects the potential dilution that could occur if securities or other contracts to issue common stock were exercised or converted into common stock and resulted in the issuance of common stock that then shared in earnings.  Potential dilution is excluded from computation of diluted per-share amounts when a net loss from operations exists.

Outstanding stock options with anti-dilutive effect were not included in the computation of diluted earnings per share.   The following table sets forth earnings per common share calculations:

	Three months ended March 31,
(Dollars in thousands, except share and per share data)	2013			2012
Net income attributable to Cathay General Bancorp	$	28,847		$	28,913
Dividends on preferred stock and noncash charge from repayment		(5,184	)		(4,117	)
Net income available to common stockholders	$	23,663		$	24,796
Weighted-average shares:
Basic weighted-average number of common shares outstanding		78,795,564			78,678,645
Dilutive effect of weighted-average outstanding common share equivalents
Stock options		19,577			11,487
Diluted weighted-average number of common shares outstanding		78,815,141			78,690,132
Average stock options and warrants with anti-dilutive effect		5,630,813			6,227,224
Earnings per common share:
Basic	$	0.30		$	0.32
Diluted	$	0.30		$	0.32