Compensation Determinations for Named Executive Officers.

On December 20, 2012, the Compensation Committee (the "Committee") of the Board of Directors of Cathay General Bancorp (the "Company") increased the base salaries for the Company's named executive officers for the period commencing on January 1, 2013, and ending on December 31, 2013 (or such earlier date as the Committee may determine in its discretion). The additional base salary amount for this period for each of these named executive officers is set forth in the table below. A previous increase approved on June 6, 2012, to the base salaries of these named executive officers is scheduled to end on December 31, 2012. Each of these named executive officer's additional base salary amount will be paid in equal installments over the applicable period set forth below in accordance with the Company's normal payroll procedures.

The Committee determined that the applicable portion per pay period of the additional base salary amount (less applicable tax withholdings and deductions) will be paid in fully vested and non-forfeitable shares of Company common stock to be granted pursuant to the terms of the Company's 2005 Incentive Plan, as amended, on each payroll date ending during the applicable period, starting with the pay period that will commence on January 1, 2013. The number of shares to be granted each pay period shall equal the additional base salary amount payable for each pay period (less applicable tax withholdings and deductions), divided by the closing price of a share of Company common stock as reported on Nasdaq on the grant date (or, if the Nasdaq is closed on the grant date, by the Nasdaq closing price on the immediately preceding date on which the Nasdaq is open).

Each of the named executive officers may not sell or otherwise transfer the stock they receive in payment of the additional base salary amount for the period during which the Company has an obligation arising from financial assistance outstanding under the U.S. Treasury's Troubled Asset Relief Program (disregarding any warrants to purchase common stock of the Company that the U.S. Treasury may hold), except upon his death or permanent disability. The Committee may, in its sole discretion and without the executive's consent, at any time, terminate, suspend, or modify the obligation to pay the additional base salary amounts and grant stock awards in respect thereof.

                                                           Additional Base Salary
                                                           Amount for the Period
                                      Current Annual Base   of January 1, 2013,
                                      Salary in effect as   through December 31,
Officer                                 of April 1, 2012            2013
Dunson K. Cheng, Chairman of the                $1,000,000             $1,060,000
Board, President and Chief Executive
Officer of the Company and Cathay
Bank
Peter Wu, Executive Vice Chairman of              $463,000               $420,000
the Board and Chief Operating Officer
of the Company and Cathay Bank
Anthony M. Tang, Executive Vice                   $334,200            $231,428.57
President of the Company and Senior
Executive Vice President and Chief
Lending Officer of Cathay Bank
Heng W. Chen, Executive Vice                      $335,400            $231,428.57
President, Chief Financial Officer,
and Treasurer of the Company and
Executive Vice President and Chief
Financial Officer of Cathay Bank
Irwin Wong, Executive Vice President              $264,800            $162,857.14
and Chief Risk Officer of Cathay Bank

The Form of Stock Award Agreement furnished herewith as Exhibit 10 sets forth additional information about the grant terms.