Bank of Hawaii Corporation Third Quarter 2021 Financial Results

By: Bank of Hawaii Corporation via Business Wire

October 25, 2021 at 06:45 AM EDT

Diluted Earnings Per Common Share $1.52
Net Income $62.1 Million
Board of Directors Declares Dividend of $0.70 Per Share

Bank of Hawaii Corporation (NYSE: BOH) today reported diluted earnings per common share of $1.52 for the third quarter of 2021, compared with diluted earnings per common share of $1.68 in the previous quarter and $0.95 in the same quarter last year. Net income for the third quarter of 2021 was $62.1 million, down 8.1% from the second quarter of 2021 and up 64.0% from the third quarter of 2020.

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“Bank of Hawaii’s operating results were solid in the third quarter of 2021," said Peter Ho, Chairman, President, and CEO. “Core consumer and commercial loan and deposit growth was strong in the quarter. Credit quality in the quarter remained good.”

Financial Highlights

The return on average assets for the third quarter of 2021 was 1.07% compared with 1.23% in the previous quarter and 0.76% in the same quarter last year.

The return on average common equity for the third quarter of 2021 was 17.08% compared with 19.61% in the previous quarter and 11.01% in the same quarter last year.

Net interest income for the third quarter of 2021 was $126.8 million, an increase of 2.7% from the second quarter of 2021 and an increase of 2.1% from the third quarter of 2020. Net interest margin was 2.32% in the third quarter of 2021, a decrease of 5 basis points from the previous quarter and 35 basis points from the same quarter last year.
- The decrease in the net interest margin from prior year is largely due to higher levels of liquidity from continued strong deposit growth and lower interest rates, partially offset by higher fees from Paycheck Protection Program (“PPP”) loans, deployment of excess liquidity and core loan growth.

The provision for credit losses for the third quarter of 2021 was a net benefit of $10.4 million compared with a net benefit of $16.1 million in the previous quarter and net expense of $28.6 million in the same quarter last year.

Noninterest income was $41.4 million in the third quarter of 2021, a decrease of 6.9% from the second quarter of 2021 and a decrease of 0.9% from the third quarter of 2020.
- One-time items in the second quarter of 2021 included a gain of $3.7 million related to the sale of investment securities.

Noninterest expense was $96.5 million in the third quarter of 2021, flat to the second quarter of 2021 and an increase of 7.3% from the third quarter of 2020.
- One-time significant items in the third quarter of 2021 included a gain of $6.3 million related to the sale of property partially offset by $3.8 million of fees related to the early termination of repurchase agreements and $1.2 million in severance.
- One-time significant items in the second quarter of 2021 included fees related to the early termination of FHLB advances and repurchase agreements of $3.2 million offset by a gain on the sale of property of $3.1 million.
- One-time significant items in the third quarter of 2020 included a gain of $1.9 million related to the sale of a branch building partially offset by $1.8 million in severance.

The efficiency ratio during the third quarter of 2021 was 57.38% compared with 57.47% in the previous quarter and 54.22% during the same quarter last year.
- The increase in the efficiency ratio from prior year is driven by an increase in noninterest expense.

The effective tax rate for the third quarter of 2021 was 24.40% compared with 22.84% in the previous quarter and 20.09% during the same quarter last year.
- The increase from same quarter prior year is primarily due to higher pretax book income compared to relatively stable tax adjustments and the delayed impact of the TCJA on the deductibility of deferred executive compensation.

Asset Quality

The Company’s overall asset quality continued to remain stable during the third quarter of 2021.

Total non-performing assets were $20.6 million at September 30, 2021, up $1.6 million from June 30, 2021 and $2.0 million from September 30, 2020. Non-performing assets as percentage of total loans and leases and foreclosed real estate were 0.17% at the end of the quarter of 2021, up 1 basis point from the end of the prior quarter and the end of the same quarter last year.

Net loan and lease charge-offs during the third quarter of 2021 were $1.2 million or 0.04% annualized of total average loans and leases outstanding.
- Net loan and lease charge-offs for the third quarter of 2021 were comprised of charge-offs of $3.4 million partially offset by recoveries of $2.3 million.
- Compared to the prior quarter, net loan and lease charge-offs were flat.
- Compared to the third quarter of 2020, net loan and lease charge-offs increased by $2.7 million or 9 basis points annualized on total average loans and leases outstanding.

The allowance for credit losses on loans and leases was $167.9 million at September 30, 2021, a decrease of $12.5 million from June 30, 2021 and $35.6 million from September 30, 2020. The ratio of the allowance for credit losses to total loans and leases outstanding was 1.39% at the end of the quarter, down 11 basis points from the end of the prior quarter and 34 basis points from the end of the same quarter last year.

Balance Sheet

Total assets increased to a new record of $23.0 billion at September 30, 2021, an increase of 1.3% from June 30, 2021 and 14.2% from September 30, 2020.

The investment securities portfolio was $9.3 billion at September 30, 2021, up 9.2% from June 30, 2021 and 44.8% from September 30, 2020 due to growth in deposits that continued to outpace loan growth.
- The investment portfolio remains largely comprised of securities issued by U.S. government agencies and U.S. government-sponsored enterprises.

Total loans and leases were $12.1 billion at September 30, 2021, an increase of 0.3% from June 30, 2021 and 2.4% from September 30, 2020.
- Total loans excluding PPP loans were $11.8 billion at September 30, 2021, an increase of 2.4% from June 30, 2021 and an increase of 4.8% from September 30, 2020.

Total deposits were $20.5 billion at September 30, 2021, an increase of 1.6% from June 30, 2021 and an increase of 15.5% from September 30, 2020.

The Company early terminated $100.0 million of repurchase agreements in the third quarter of 2021.

Capital and Dividends

The Tier 1 Capital Ratio was 13.47% at September 30, 2021 compared with 13.87% at June 30, 2021 and 12.09% at September 30, 2020.
- The increase from the same quarter in the prior year was driven by the issuance of preferred stock in the second quarter of 2021.

The Tier 1 Leverage Ratio was 7.10% at September 30, 2021 compared with 7.31% at June 30, 2021 and 6.81% at September 30, 2020.
- The increase from the same quarter in the prior year was driven by the issuance of $180 million of Fixed Rate Non-Cumulative Perpetual Preferred Stock, Series A in the second quarter of 2021.

The Company repurchased 241.3 thousand shares of common stock at a total cost of $20.0 million under its share repurchase program in the third quarter of 2021 at an average cost of $82.89 per share repurchased.
- Total remaining buyback authority under the share repurchase program was $93.1 million at September 30, 2021.

The Company’s Board of Directors declared a quarterly cash dividend of $0.70 per share on the Company’s outstanding common shares. The dividend will be payable on December 14, 2021 to shareholders of record at the close of business on November 30, 2021.

On October 5, 2021, the Board of Directors declared the quarterly dividend payment of $10.94 per share, equivalent to $0.2735 per depositary share, on its Fixed Rate Non-Cumulative Perpetual Preferred Stock, Series A. The depositary shares representing the Series A Preferred Stock are traded on the NYSE under the symbol “BOH.PRA.” The dividend will be payable on November 1, 2021 to shareholders of record of the preferred stock at the close of business on October 18, 2021.

Conference Call Information

The Company will review its third quarter financial results today at 8:00 a.m. Hawaii Time (2:00 p.m. Eastern Time). The live call, including a slide presentation, will be accessible on the investor relations link of Bank of Hawaii Corporation's website, www.boh.com.

The webcast link is https://edge.media-server.com/mmc/p/3r3nw6ad
The toll-free number for the teleconference is 1 (844) 543-5235 in the United States and Canada and 1 (703) 318-2209 for other international callers. Use the pass code “Bank of Hawaii” to access the call.
A replay of the conference call will be available for one week beginning approximately 11:00 a.m. Hawaii Time on Monday, October 25, 2021. The replay number is 1 (855) 859-2056 in the United States and Canada and 1 (404) 537-3406 from other international locations. Enter the conference ID 6897518 when prompted. In addition, the replay will be available on the Company's website, www.boh.com.

Forward-Looking Statements

This news release, and other statements made by the Company in connection with it may contain "forward-looking statements" (as defined in the Private Securities Litigation Reform Act of 1995) that involve risks and uncertainties that could cause results to be materially different from expectations. Forecasts of our financial results and condition, expectations for our operations and business prospects, and our assumptions used in those forecasts and expectations are examples of certain of these forward-looking statements. Do not unduly rely on forward-looking statements. Actual results might differ significantly from our forecasts and expectations because of a variety of factors. More information about these factors is contained in Bank of Hawaii Corporation's Annual Report on Form 10-K for the year ended December 31, 2020 and its Form 10-Q for the fiscal quarters ended March 31, 2021 and June 30, 2021, which were filed with the U.S. Securities and Exchange Commission. These forward-looking statements are not guarantees of future performance and speak only as of the date made, and, except as required by law, the Company undertakes no obligation to update or revise any forward-looking statements to reflect subsequent events, new information or future circumstances.

Bank of Hawaii Corporation is an independent regional financial services company serving businesses, consumers, and governments in Hawaii and the West Pacific. The Company's principal subsidiary, Bank of Hawaii, was founded in 1897. For more information about Bank of Hawaii Corporation, see the Company’s web site, www.boh.com.


	Bank of Hawaii Corporation and Subsidiaries
	Financial Highlights														Table 1
		Three Months Ended									Nine Months Ended
			September 30,			June 30,			September 30,		September 30,
	(dollars in thousands, except per share amounts)		2021			2021			2020			2021			2020
	For the Period:
	Operating Results
	Net Interest Income	$	126,819		$	123,514		$	124,166		$	370,902		$	376,823
	Provision for Credit Losses ¹		(10,400	)		(16,100	)		28,600			(40,800	)		102,600
	Total Noninterest Income		41,378			44,431			41,734			128,779			139,151
	Total Noninterest Expense		96,519			96,527			89,949			291,911			275,153
	Net Income		62,053			67,533			37,840			189,535			111,490
	Basic Earnings Per Common Share		1.53			1.69			0.95			4.73			2.81
	Diluted Earnings Per Common Share		1.52			1.68			0.95			4.70			2.80
	Dividends Declared Per Common Share		0.70			0.67			0.67			2.04			2.01

	Performance Ratios
	Return on Average Assets		1.07	%		1.23	%		0.76	%		1.15	%		0.78	%
	Return on Average Shareholders' Equity		15.41			19.17			11.01			17.31			11.08
	Return on Average Common Equity ⁸		17.08			19.61			11.01			18.10			11.08
	Efficiency Ratio ²		57.38			57.47			54.22			58.42			53.33
	Net Interest Margin ³		2.32			2.37			2.67			2.37			2.82
	Dividend Payout Ratio ⁴		45.75			39.64			70.53			42.95			71.53
	Average Shareholders' Equity to Average Assets		6.95			6.40			6.93			6.63			7.06

	Average Balances
	Average Loans and Leases	$	11,958,321		$	12,096,308		$	11,739,785		$	12,002,426		$	11,510,222
	Average Assets		22,993,036			22,073,569			19,741,139			22,079,174			19,053,626
	Average Deposits		20,473,777			19,698,285			17,270,206			19,619,053			16,591,640
	Average Shareholders' Equity		1,598,076			1,412,924			1,367,756			1,463,566			1,344,402

	Per Share of Common Stock
	Book Value	$	35.30		$	34.80		$	33.99		$	35.30		$	33.99
	Tangible Book Value ⁸		34.38			33.91			33.21			34.38			33.21
	Market Value
	Closing		82.17			84.22			50.52			82.17			50.52
	High		87.12			95.95			61.94			99.10			95.53
	Low		75.68			81.23			48.77			75.65			46.70

						September 30,			June 30,			December 31,			September 30,
						2021			2021			2020			2020
	As of Period End:
	Balance Sheet Totals
	Loans and Leases				$	12,072,750		$	12,041,378		$	11,940,020		$	11,793,608
	Total Assets					22,965,383			22,672,183			20,603,651			20,109,489
	Total Deposits					20,493,678			20,169,709			18,211,621			17,738,883
	Other Debt					10,414			10,437			60,481			60,502
	Total Shareholders' Equity					1,597,109			1,583,531			1,374,507			1,361,739

	Asset Quality
	Non-Performing Assets				$	20,620		$	18,974		$	18,481		$	18,626
	Allowance for Credit Losses - Loans and Leases					167,920			180,385			216,252			203,496
	Allowance to Loans and Leases Outstanding ⁵					1.39	%		1.50	%		1.81	%		1.73	%

	Capital Ratios ⁶
	Common Equity Tier 1 Capital Ratio					12.02	%		12.36	%		12.06	%		12.09	%
	Tier 1 Capital Ratio					13.47			13.87			12.06			12.09
	Total Capital Ratio					14.72			15.13			13.31			13.35
	Tier 1 Leverage Ratio					7.10			7.31			6.71			6.81
	Total Shareholders' Equity to Total Assets					6.95			6.98			6.67			6.77
	Tangible Common Equity to Tangible Assets^{7, 8}					6.04			6.06			6.53			6.63
	Tangible Common Equity to Risk-Weighted Assets^7,8					11.46			11.81			11.89			12.02

	Non-Financial Data
	Full-Time Equivalent Employees					2,049			2,085			2,022			2,038
	Branches					54			54			65			67
	ATMs					303			312			357			358

¹	Provision for Credit Losses for 2021 includes Provision for Unfunded Commitments and Accrued Interest Receivable, 2020 represents only Provisions for Loans and Leases.
²	Efficiency ratio is defined as noninterest expense divided by total revenue (net interest income and total noninterest income).
³	Net interest margin is defined as net interest income, on a taxable-equivalent basis, as a percentage of average earning assets.
⁴	Dividend payout ratio is defined as dividends declared per common share divided by basic earnings per common share.
⁵	The numerator comprises the Allowance for Credit Losses - Loans and Leases.
⁶	Regulatory capital ratios as of September 30, 2021 are preliminary.
⁷	Tangible common equity to tangible assets and tangible common equity to risk-weighted assets are Non-GAAP financial measures. Tangible common equity is defined by the Company as common shareholders' equity minus goodwill and intangible assets. Intangible assets are included as a component of other assets in the Consolidated Statements of Condition. See Table 2 “Reconciliation of Non-GAAP Financial Measures."
⁸	Return on Average Common Equity was revised from 19.60% for the three months ended June 30, 2021, Tangible Common Equity to Tangible Asset was revised from 6.08% for the three months ended June 30, 2021, Tangible Common Equity to Risk-Weighted Assets was revised from 11.85% for the three months ended June 30, 2021, and Tangible Book Value was revised from $34.02 for the three months ended June 30, 2021.


Bank of Hawaii Corporation and Subsidiaries
Reconciliation of Non-GAAP Financial Measures												Table 2
			September 30,			June 30,			December 31,			September 30,
(dollars in thousands)			2021			2021			2020			2020

Total Shareholders' Equity		$	1,597,109		$	1,583,531		$	1,374,507		$	1,361,739
Less:	Preferred Stock		180,000			180,000			-			-
	Goodwill		31,517			31,517			31,517			31,517
Tangible Common Equity		$	1,385,592		$	1,372,014		$	1,342,990		$	1,330,222

Total Assets		$	22,965,383		$	22,672,183		$	20,603,651		$	20,109,489
Less:	Goodwill		31,517			31,517			31,517			31,517
Tangible Assets		$	22,933,866		$	22,640,666		$	20,572,134		$	20,077,972

Risk-Weighted Assets, determined in accordance with prescribed regulatory requirements		$	12,093,010		$	11,614,522		$	11,295,077		$	11,068,888

Total Shareholders' Equity to Total Assets			6.95	%		6.98	%		6.67	%		6.77	%
Tangible Common Equity to Tangible Assets (Non-GAAP)			6.04	%		6.06	%		6.53	%		6.63	%

Tier 1 Capital Ratio			13.47	%		13.87	%		12.06	%		12.09	%
Tangible Common Equity to Risk-Weighted Assets (Non-GAAP)			11.46	%		11.81	%		11.89	%		12.02	%

Note: Risk-Weighted Assets and Regulatory capital ratios as of September 30, 2021 are preliminary.


Bank of Hawaii Corporation and Subsidiaries
Consolidated Statements of Income													Table 3
	Three Months Ended									Nine Months Ended
	September 30,			June 30,			September 30,			September 30,
(dollars in thousands, except per share amounts)	2021			2021			2020			2021			2020
Interest Income
Interest and Fees on Loans and Leases	$	100,570		$	100,894		$	103,189		$	300,763		$	319,027
Income on Investment Securities
Available-for-Sale		16,396			16,467			14,558			48,700			45,845
Held-to-Maturity		16,754			13,576			15,967			43,630			51,942
Deposits		2			-			3			9			13
Funds Sold		382			260			149			779			787
Other		159			182			151			526			494
Total Interest Income		134,263			131,379			134,017			394,407			418,108
Interest Expense
Deposits		3,837			4,152			5,891			12,318			28,105
Securities Sold Under Agreements to Repurchase		3,423			3,470			3,622			10,426			11,667
Funds Purchased		-			-			-			1			90
Short-Term Borrowings		-			-			1			-			62
Other Debt		184			243			337			760			1,361
Total Interest Expense		7,444			7,865			9,851			23,505			41,285
Net Interest Income		126,819			123,514			124,166			370,902			376,823
Provision for Credit Losses		(10,400	)		(16,100	)		28,600			(40,800	)		102,600
Net Interest Income After Provision for Credit Losses		137,219			139,614			95,566			411,702			274,223
Noninterest Income
Trust and Asset Management		11,415			11,682			10,752			34,375			32,217
Mortgage Banking		3,136			3,058			4,047			12,056			11,020
Service Charges on Deposit Accounts		6,510			6,065			6,027			18,703			18,575
Fees, Exchange, and Other Service Charges		13,604			13,807			12,296			41,018			34,913
Investment Securities Gains (Losses), Net		(1,259	)		2,423			(1,121	)		(39	)		11,125
Annuity and Insurance		735			911			881			2,348			2,692
Bank-Owned Life Insurance		1,897			2,063			1,806			5,877			5,035
Other		5,340			4,422			7,046			14,441			23,574
Total Noninterest Income		41,378			44,431			41,734			128,779			139,151
Noninterest Expense
Salaries and Benefits		56,447			56,161			51,951			168,859			157,129
Net Occupancy		3,079			5,047			7,281			17,216			24,997
Net Equipment		8,924			8,796			9,223			26,598			25,874
Data Processing		4,722			4,557			4,691			15,601			13,895
Professional Fees		2,948			3,114			2,743			9,468			9,012
FDIC Insurance		1,594			1,669			1,282			4,917			4,296
Other		18,805			17,183			12,778			49,252			39,950
Total Noninterest Expense		96,519			96,527			89,949			291,911			275,153
Income Before Provision for Income Taxes		82,078			87,518			47,351			248,570			138,221
Provision for Income Taxes		20,025			19,985			9,511			59,035			26,731
Net Income	$	62,053		$	67,533		$	37,840		$	189,535		$	111,490
Preferred Stock Dividends		1,006			-			-			1,006			-
Net Income Available to Common Shareholders	$	61,047		$	67,533		$	37,840		$	188,529		$	111,490
Basic Earnings Per Common Share	$	1.53		$	1.69		$	0.95		$	4.73		$	2.81
Diluted Earnings Per Common Share	$	1.52		$	1.68		$	0.95		$	4.70		$	2.80
Dividends Declared Per Common Share	$	0.70		$	0.67		$	0.67		$	2.04		$	2.01
Basic Weighted Average Common Shares		39,881,437			39,902,583			39,745,120			39,870,450			39,710,252
Diluted Weighted Average Common Shares		40,080,919			40,122,905			39,869,135			40,088,899			39,872,406


Bank of Hawaii Corporation and Subsidiaries
Consolidated Statements of Comprehensive Income										Table 4
	Three Months Ended									Nine Months Ended
	September 30,			June 30,			September 30,			September 30,
(dollars in thousands)	2021			2021			2020			2021			2020
Net Income	$	62,053		$	67,533		$	37,840		$	189,535		$	111,490
Other Comprehensive Income (Loss), Net of Tax:
Net Unrealized Gains (Losses) on Investment Securities		(7,541	)		(123	)		(4,900	)		(57,714	)		44,389
Defined Benefit Plans		441			442			374			1,324			1,122
Other Comprehensive Income (Loss)		(7,100	)		319			(4,526	)		(56,390	)		45,511
Comprehensive Income	$	54,953		$	67,852		$	33,314		$	133,145		$	157,001


Bank of Hawaii Corporation and Subsidiaries
Consolidated Statements of Condition										Table 5
		September 30,			June 30,			December 31,			September 30,
(dollars in thousands)		2021			2021			2020			2020
Assets
Interest-Bearing Deposits in Other Banks	$	2,188		$	2,584		$	1,646		$	4,233
Funds Sold		422,063			909,730			333,022			736,524
Investment Securities
Available-for-Sale		4,353,520			4,522,941			3,791,689			3,190,313
Held-to-Maturity (Fair Value of $4,895,763; $3,965,117; $3,348,693; and $3,288,668)		4,899,880			3,947,613			3,262,727			3,198,830
Loans Held for Sale		21,965			47,490			82,565			-
Loans and Leases		12,072,750			12,041,378			11,940,020			11,793,608
Allowance for Credit Losses		(167,920	)		(180,385	)		(216,252	)		(203,496	)
Net Loans and Leases		11,904,830			11,860,993			11,723,768			11,590,112
Total Earning Assets		21,604,446			21,291,351			19,195,417			18,720,012
Cash and Due from Banks		231,711			269,153			279,420			260,167
Premises and Equipment, Net		199,144			198,508			199,695			199,021
Operating Lease Right-of-Use Assets		97,007			97,264			99,542			96,200
Accrued Interest Receivable		46,751			47,046			49,303			57,370
Foreclosed Real Estate		2,332			2,332			2,332			2,332
Mortgage Servicing Rights		22,099			21,473			19,652			21,887
Goodwill		31,517			31,517			31,517			31,517
Bank-Owned Life Insurance		293,230			292,805			291,480			291,231
Other Assets		437,146			420,734			435,293			429,752
Total Assets	$	22,965,383		$	22,672,183		$	20,603,651		$	20,109,489

Liabilities
Deposits
Noninterest-Bearing Demand	$	7,111,693		$	6,570,232		$	5,749,612		$	5,428,567
Interest-Bearing Demand		4,768,725			4,498,825			4,040,733			3,824,448
Savings		7,540,345			7,704,575			6,759,213			6,763,891
Time		1,072,915			1,396,077			1,662,063			1,721,977
Total Deposits		20,493,678			20,169,709			18,211,621			17,738,883
Securities Sold Under Agreements to Repurchase		450,490			550,490			600,590			602,106
Other Debt		10,414			10,437			60,481			60,502
Operating Lease Liabilities		104,452			105,380			107,412			103,869
Retirement Benefits Payable		49,802			50,260			51,197			43,505
Accrued Interest Payable		3,415			3,879			5,117			6,613
Taxes Payable and Deferred Taxes		9,815			11,844			2,463			12,124
Other Liabilities		246,208			186,653			190,263			180,148
Total Liabilities		21,368,274			21,088,652			19,229,144			18,747,750
Shareholders' Equity
Preferred Stock ($.01 par value; authorized 180,000 shares; issued and outstanding: September 30, 2021 and June 30, 2021 - 180,000 shares)		180,000			180,000			-			-
Common Stock ($.01 par value; authorized 500,000,000 shares; issued / outstanding: September 30, 2021 - 58,559,089 / 40,305,801; June 30, 2021 - 58,557,754 / 40,465,482; December 31, 2020 - 58,285,624 / 40,119,312; and September 30, 2020 - 58,248,690 / 40,060,675)		580			580			580			580
Capital Surplus		598,341			594,261			591,360			588,632
Accumulated Other Comprehensive Income (Loss)		(48,568	)		(41,468	)		7,822			14,399
Retained Earnings		1,916,861			1,884,431			1,811,979			1,797,763
Treasury Stock, at Cost (Shares: September 30, 2021 - 18,253,288; June 30, 2021 - 18,092,272; December 31, 2020 - 18,166,312; and September 30, 2020 - 18,188,015)		(1,050,105	)		(1,034,273	)		(1,037,234	)		(1,039,635	)
Total Shareholders' Equity		1,597,109			1,583,531			1,374,507			1,361,739
Total Liabilities and Shareholders' Equity	$	22,965,383		$	22,672,183		$	20,603,651		$	20,109,489


Bank of Hawaii Corporation and Subsidiaries
Consolidated Statements of Shareholders' Equity																				Table 6
											Accum.
											Other
											Compre-
	Preferred			Common							hensive
	Shares	Preferred		Shares		Common		Capital			Income			Retained			Treasury
(dollars in thousands)	Outstanding	Stock		Outstanding		Stock		Surplus			(Loss)			Earnings			Stock			Total
Balance as of December 31, 2020	-	$	-	40,119,312		$	580	$	591,360		$	7,822		$	1,811,979		$	(1,037,234	)	$	1,374,507
Net Income	-		-	-			-		-			-			189,535			-			189,535
Other Comprehensive Loss	-		-	-			-		-			(56,390	)		-			-			(56,390	)
Share-Based Compensation	-		-	-			-		9,658			-			-			-			9,658
Preferred Stock Issued, Net	180,000		180,000	-			-		(4,513	)		-			-			-			175,487
Common Stock Issued under Purchase and Equity Compensation Plans	-		-	466,265			-		1,836			-			(1,218	)		10,541			11,159
Common Stock Repurchased	-		-	(279,776	)		-		-			-			-			(23,412	)		(23,412	)
Cash Dividends Declared Common Stock ($2.04 per share)	-		-	-			-		-			-			(82,429	)		-			(82,429	)
Cash Dividends Declared Preferred Stock	-		-	-			-		-			-			(1,006	)		-			(1,006	)
Balance as of September 30, 2021	180,000	$	180,000	40,305,801		$	580	$	598,341		$	(48,568	)	$	1,916,861		$	(1,050,105	)	$	1,597,109

Balance as of December 31, 2019	-	$	-	40,039,695		$	579	$	582,566		$	(31,112	)	$	1,761,415		$	(1,026,616	)	$	1,286,832
Net Income	-		-	-			-		-			-			111,490			-			111,490
Other Comprehensive Income	-		-	-			-		-			45,511			-			-			45,511
Cumulative Change in Accounting Principle	-		-	-			-		-			-			3,632			-			3,632
Share-Based Compensation	-		-	-			-		5,347			-			-			-			5,347
Common Stock Issued under Purchase and Equity Compensation Plans	-		-	222,682			1		719			-			1,762			4,878			7,360
Common Stock Repurchased	-		-	(201,702	)		-		-			-			-			(17,897	)		(17,897	)
Cash Dividends Declared Common Stock ($2.01 per share)	-		-	-			-		-			-			(80,536	)		-			(80,536	)
Balance as of September 30, 2020	-	$	-	40,060,675		$	580	$	588,632		$	14,399		$	1,797,763		$	(1,039,635	)	$	1,361,739

	Bank of Hawaii Corporation and Subsidiaries
	Average Balances and Interest Rates - Taxable-Equivalent Basis															Table 7a
		Three Months Ended						Three Months Ended						Three Months Ended
		September 30, 2021						June 30, 2021						September 30, 2020
		Average		Income/		Yield/		Average		Income/		Yield/		Average		Income/		Yield/
	(dollars in millions)	Balance		Expense		Rate		Balance		Expense		Rate		Balance		Expense		Rate
	Earning Assets
	Interest-Bearing Deposits in Other Banks	$	3.2	$	-	0.23	%	$	2.2	$	-	0.04	%	$	2.6	$	-	0.45	%
	Funds Sold		999.5		0.4	0.15			946.2		0.3	0.11			584.2		0.1	0.10
	Investment Securities
	Available-for-Sale
	Taxable		4,454.9		16.3	1.46			4,290.8		16.3	1.53			2,918.6		14.3	1.96
	Non-Taxable		10.1		0.1	4.34			12.3		0.1	4.27			25.8		0.3	4.22
	Held-to-Maturity
	Taxable		4,294.6		16.5	1.53			3,496.2		13.4	1.53			3,257.7		15.7	1.93
	Non-Taxable		64.8		0.4	2.37			41.5		0.3	2.53			54.1		0.4	2.66
	Total Investment Securities		8,824.4		33.3	1.51			7,840.8		30.1	1.54			6,256.2		30.7	1.96
	Loans Held for Sale		24.6		0.2	2.80			25.7		0.2	2.86			15.9		0.1	3.24
	Loans and Leases ¹
	Commercial and Industrial		1,644.8		17.0	4.09			1,934.5		16.8	3.49			1,917.0		14.1	2.93
	Commercial Mortgage		2,952.7		21.9	2.94			2,883.5		21.3	2.96			2,722.3		21.7	3.18
	Construction		289.9		2.5	3.38			285.6		2.6	3.66			234.0		2.1	3.60
	Commercial Lease Financing		109.3		0.4	1.58			105.7		0.4	1.54			110.7		0.5	1.82
	Residential Mortgage		4,253.2		34.8	3.27			4,234.3		35.6	3.35			3,988.7		36.7	3.68
	Home Equity		1,621.4		12.2	2.97			1,573.4		12.1	3.09			1,625.2		14.1	3.45
	Automobile		718.7		6.2	3.41			710.4		6.1	3.45			708.3		6.4	3.59
	Other ²		368.3		5.7	6.16			368.9		6.0	6.53			433.6		7.6	6.96
	Total Loans and Leases		11,958.3		100.7	3.35			12,096.3		100.9	3.34			11,739.8		103.2	3.50
	Other		31.5		0.2	2.02			32.3		0.2	2.26			33.3		0.2	1.81
	Total Earning Assets ³		21,841.5		134.8	2.45			20,943.5		131.7	2.52			18,632.0		134.3	2.88
	Cash and Due from Banks		252.2						256.1						234.3
	Other Assets		899.3						874.0						874.8
	Total Assets	$	22,993.0					$	22,073.6					$	19,741.1

	Interest-Bearing Liabilities
	Interest-Bearing Deposits
	Demand	$	4,707.1		0.7	0.06		$	4,452.4		0.7	0.07		$	3,465.5		0.4	0.04
	Savings		7,687.0		1.8	0.09			7,533.0		1.8	0.09			6,886.0		1.7	0.10
	Time		1,267.0		1.4	0.44			1,418.4		1.7	0.47			1,568.3		3.8	0.97
	Total Interest-Bearing Deposits		13,661.1		3.9	0.11			13,403.8		4.2	0.12			11,919.8		5.9	0.20
	Securities Sold Under Agreements to Repurchase		547.8		3.4	2.45			570.3		3.5	2.41			602.9		3.6	2.35
	Other Debt		10.4		0.2	7.04			30.2		0.2	3.22			60.5		0.3	2.22
	Total Interest-Bearing Liabilities		14,219.3		7.5	0.21			14,004.3		7.9	0.22			12,583.2		9.8	0.31
	Net Interest Income			$	127.3					$	123.8					$	124.5
	Interest Rate Spread					2.24	%					2.30	%					2.57	%
	Net Interest Margin					2.32	%					2.37	%					2.67	%
	Noninterest-Bearing Demand Deposits		6,812.7						6,294.5						5,350.4
	Other Liabilities		362.9						361.9						439.7
	Shareholders' Equity		1,598.1						1,412.9						1,367.8
	Total Liabilities and Shareholders' Equity	$	22,993.0					$	22,073.6					$	19,741.1

¹	Non-performing loans and leases are included in the respective average loan and lease balances. Income, if any, on such loans and leases is recognized on a cash basis.
²	Comprised of other consumer revolving credit, installment, and consumer lease financing.
³	Interest income includes taxable-equivalent basis adjustments, based upon a federal statutory tax rate of 21%, of $315,000, $269,000, and $295,000 for the three months ended September 30, 2021, June 30, 2021, and September 30, 2020, respectively.


	Bank of Hawaii Corporation and Subsidiaries
	Average Balances and Interest Rates - Taxable-Equivalent Basis									Table 7b
		Nine Months Ended						Nine Months Ended
		September 30, 2021						September 30, 2020
		Average		Income/		Yield/		Average		Income/		Yield/
	(dollars in millions)	Balance		Expense		Rate		Balance		Expense		Rate
	Earning Assets
	Interest-Bearing Deposits in Other Banks	$	2.9	$	-	0.44	%	$	2.2	$	-	0.76	%
	Funds Sold		833.7		0.8	0.12			428.3		0.8	0.24
	Investment Securities
	Available-for-Sale
	Taxable		4,252.9		48.4	1.52			2,745.7		45.1	2.19
	Non-Taxable		11.5		0.4	4.29			30.1		1.0	4.37
	Held-to-Maturity
	Taxable		3,728.9		42.9	1.53			3,084.4		51.0	2.21
	Non-Taxable		48.2		0.9	2.46			54.4		1.1	2.66
	Total Investment Securities		8,041.5		92.6	1.54			5,914.6		98.2	2.21
	Loans Held for Sale		25.5		0.5	2.81			20.8		0.5	3.35
	Loans and Leases ¹
	Commercial and Industrial		1,826.9		48.1	3.52			1,763.9		45.2	3.43
	Commercial Mortgage		2,894.5		64.5	2.98			2,631.9		69.2	3.51
	Construction		280.0		7.3	3.51			234.3		7.1	4.04
	Commercial Lease Financing		107.1		1.2	1.52			111.0		1.6	1.88
	Residential Mortgage		4,211.8		106.2	3.36			3,941.3		109.5	3.70
	Home Equity		1,596.4		36.9	3.09			1,656.8		43.6	3.51
	Automobile		712.5		18.4	3.46			710.2		19.0	3.57
	Other ²		373.2		18.1	6.48			460.8		23.9	6.93
	Total Loans and Leases		12,002.4		300.7	3.35			11,510.2		319.1	3.70
	Other		32.4		0.5	2.17			33.9		0.5	1.95
	Total Earning Assets ³		20,938.4		395.1	2.52			17,910.0		419.1	3.12
	Cash and Due from Banks		259.6						271.7
	Other Assets		881.2						871.9
	Total Assets	$	22,079.2					$	19,053.6

	Interest-Bearing Liabilities
	Interest-Bearing Deposits
	Demand	$	4,450.6		2.0	0.06		$	3,268.1		1.9	0.08
	Savings		7,414.6		5.0	0.09			6,693.9		11.0	0.22
	Time		1,437.1		5.3	0.49			1,712.2		15.2	1.19
	Total Interest-Bearing Deposits		13,302.3		12.3	0.12			11,674.2		28.1	0.32
	Short-Term Borrowings		0.8		-	0.09			38.3		0.2	0.52
	Securities Sold Under Agreements to Repurchase		572.7		10.4	2.40			603.4		11.6	2.54
	Other Debt		33.5		0.8	3.03			62.6		1.4	2.90
	Total Interest-Bearing Liabilities		13,909.3		23.5	0.22			12,378.5		41.3	0.44
	Net Interest Income			$	371.6					$	377.8
	Interest Rate Spread					2.30	%					2.68	%
	Net Interest Margin					2.37	%					2.82	%
	Noninterest-Bearing Demand Deposits		6,316.8						4,917.4
	Other Liabilities		389.5						413.3
	Shareholders' Equity		1,463.6						1,344.4
	Total Liabilities and Shareholders' Equity	$	22,079.2					$	19,053.6

¹	Non-performing loans and leases are included in the respective average loan and lease balances. Income, if any, on such loans and leases is recognized on a cash basis.
²	Comprised of other consumer revolving credit, installment, and consumer lease financing.
³	Interest income includes taxable-equivalent basis adjustments, based upon a federal statutory tax rate of 21%, of $836,000 and $1,010,000 for the nine months ended September 30, 2021 and September 30, 2020, respectively.


	Bank of Hawaii Corporation and Subsidiaries
	Analysis of Change in Net Interest Income - Taxable-Equivalent Basis							Table 8a
		Three Months Ended September 30, 2021
		Compared to June 30, 2021
	(dollars in millions)	Volume ¹			Rate ¹			Total
	Change in Interest Income:
	Funds Sold	$	-		$	0.1		$	0.1
	Investment Securities
	Available-for-Sale
	Taxable		0.6			(0.6	)		-
	Held-to-Maturity
	Taxable		3.1			-			3.1
	Non-Taxable		0.1			-			0.1
	Total Investment Securities		3.8			(0.6	)		3.2
	Loans and Leases
	Commercial and Industrial		(4.0	)		4.2			0.2
	Commercial Mortgage		0.7			(0.1	)		0.6
	Construction		0.1			(0.2	)		(0.1	)
	Commercial Lease Financing		0.1			(0.1	)		-
	Residential Mortgage		0.2			(1.0	)		(0.8	)
	Home Equity		0.5			(0.4	)		0.1
	Automobile		0.1			-			0.1
	Other ²		-			(0.3	)		(0.3	)
	Total Loans and Leases		(2.3	)		2.1			(0.2	)
	Total Change in Interest Income		1.5			1.6			3.1

	Change in Interest Expense:
	Interest-Bearing Deposits
	Demand		0.1			(0.1	)		-
	Time		(0.2	)		(0.1	)		(0.3	)
	Total Interest-Bearing Deposits		(0.1	)		(0.2	)		(0.3	)
	Securities Sold Under Agreements to Repurchase		(0.1	)		-			(0.1	)
	Other Debt		(0.2	)		0.2			-
	Total Change in Interest Expense		(0.4	)		-			(0.4	)

	Change in Net Interest Income	$	1.9		$	1.6		$	3.5

¹	The change in interest income and expense not solely due to changes in volume or rate has been allocated on a pro-rata basis to the volume and rate columns.
²	Comprised of other consumer revolving credit, installment, and consumer lease financing.


	Bank of Hawaii Corporation and Subsidiaries
	Analysis of Change in Net Interest Income - Taxable-Equivalent Basis							Table 8b
		Three Months Ended September 30, 2021
		Compared to September 30, 2020
	(dollars in millions)	Volume ¹			Rate ¹			Total
	Change in Interest Income:
	Funds Sold	$	0.2		$	0.1		$	0.3
	Investment Securities
	Available-for-Sale
	Taxable		6.3			(4.3	)		2.0
	Non-Taxable		(0.2	)		-			(0.2	)
	Held-to-Maturity
	Taxable		4.4			(3.6	)		0.8
	Non-Taxable		0.1			(0.1	)		-
	Total Investment Securities		10.6			(8.0	)		2.6
	Loans Held for Sale		0.1			-			0.1
	Loans and Leases
	Commercial and Industrial		(2.1	)		5.0			2.9
	Commercial Mortgage		1.8			(1.6	)		0.2
	Construction		0.5			(0.1	)		0.4
	Commercial Lease Financing		-			(0.1	)		(0.1	)
	Residential Mortgage		2.3			(4.2	)		(1.9	)
	Home Equity		-			(1.9	)		(1.9	)
	Automobile		0.1			(0.3	)		(0.2	)
	Other ²		(1.1	)		(0.8	)		(1.9	)
	Total Loans and Leases		1.5			(4.0	)		(2.5	)
	Total Change in Interest Income		12.4			(11.9	)		0.5

	Change in Interest Expense:
	Interest-Bearing Deposits
	Demand		0.2			0.1			0.3
	Savings		0.2			(0.1	)		0.1
	Time		(0.6	)		(1.8	)		(2.4	)
	Total Interest-Bearing Deposits		(0.2	)		(1.8	)		(2.0	)
	Securities Sold Under Agreements to Repurchase		(0.3	)		0.1			(0.2	)
	Other Debt		(0.4	)		0.3			(0.1	)
	Total Change in Interest Expense		(0.9	)		(1.4	)		(2.3	)

	Change in Net Interest Income	$	13.3		$	(10.5	)	$	2.8

¹	The change in interest income and expense not solely due to changes in volume or rate has been allocated on a pro-rata basis to the volume and rate columns.
²	Comprised of other consumer revolving credit, installment, and consumer lease financing.


	Bank of Hawaii Corporation and Subsidiaries
	Analysis of Change in Net Interest Income - Taxable-Equivalent Basis							Table 8c
		Nine Months Ended September 30, 2021
		Compared to September 30, 2020
	(dollars in millions)	Volume ¹			Rate ¹			Total
	Change in Interest Income:
	Funds Sold	$	0.5		$	(0.5	)	$	-
	Investment Securities
	Available-for-Sale
	Taxable		19.9			(16.6	)		3.3
	Non-Taxable		(0.6	)		-			(0.6	)
	Held-to-Maturity
	Taxable		9.4			(17.5	)		(8.1	)
	Non-Taxable		(0.1	)		(0.1	)		(0.2	)
	Total Investment Securities		28.6			(34.2	)		(5.6	)
	Loans Held for Sale		0.1			(0.1	)		-
	Loans and Leases
	Commercial and Industrial		6.4			(3.5	)		2.9
	Commercial Mortgage		6.5			(11.2	)		(4.7	)
	Construction		1.2			(1.0	)		0.2
	Commercial Lease Financing		(0.1	)		(0.3	)		(0.4	)
	Residential Mortgage		7.2			(10.5	)		(3.3	)
	Home Equity		(1.5	)		(5.2	)		(6.7	)
	Automobile		-			(0.6	)		(0.6	)
	Other ²		(4.3	)		(1.5	)		(5.8	)
	Total Loans and Leases		15.4			(33.8	)		(18.4	)
	Total Change in Interest Income		44.6			(68.6	)		(24.0	)

	Change in Interest Expense:
	Interest-Bearing Deposits
	Demand		0.6			(0.5	)		0.1
	Savings		1.1			(7.1	)		(6.0	)
	Time		(2.1	)		(7.8	)		(9.9	)
	Total Interest-Bearing Deposits		(0.4	)		(15.4	)		(15.8	)
	Short-Term Borrowings		(0.1	)		(0.1	)		(0.2	)
	Securities Sold Under Agreements to Repurchase		(0.6	)		(0.6	)		(1.2	)
	Other Debt		(0.7	)		0.1			(0.6	)
	Total Change in Interest Expense		(1.8	)		(16.0	)		(17.8	)

	Change in Net Interest Income	$	46.4		$	(52.6	)	$	(6.2	)

¹	The change in interest income and expense not solely due to changes in volume or rate has been allocated on a pro-rata basis to the volume and rate columns.
²	Comprised of other consumer revolving credit, installment, and consumer lease financing.


Bank of Hawaii Corporation and Subsidiaries
Salaries and Benefits							Table 9
	Three Months Ended						Nine Months Ended
	September 30,		June 30,		September 30,		September 30,
(dollars in thousands)		2021		2021		2020		2021		2020
Salaries	$	34,676	$	33,413	$	34,046	$	99,658	$	100,271
Incentive Compensation		4,677		5,172		2,683		15,763		6,069
Share-Based Compensation		3,335		3,174		1,442		9,093		4,754
Commission Expense		1,772		2,599		1,800		6,807		4,821
Retirement and Other Benefits		4,746		5,289		4,164		15,552		13,316
Payroll Taxes		2,825		3,026		2,624		9,819		9,949
Medical, Dental, and Life Insurance		3,222		3,204		3,422		8,850		11,394
Separation Expense		1,194		284		1,770		3,317		6,555
Total Salaries and Benefits	$	56,447	$	56,161	$	51,951	$	168,859	$	157,129


	Bank of Hawaii Corporation and Subsidiaries
	Loan and Lease Portfolio Balances									Table 10
		September 30,		June 30,		March 31,		December 31,		September 30,
	(dollars in thousands)		2021		2021		2021		2020		2020
	Commercial
	Commercial and Industrial	$	1,325,446	$	1,257,305	$	1,288,496	$	1,357,610	$	1,376,843
	PPP ¹		268,480		513,513		725,485		517,683		531,639
	Commercial Mortgage		2,994,520		2,944,435		2,859,246		2,854,829		2,745,611
	Construction		296,052		277,393		281,164		259,798		250,943
	Lease Financing		107,526		110,500		104,980		110,766		111,831
	Total Commercial		4,992,024		5,103,146		5,259,371		5,100,686		5,016,867
	Consumer
	Residential Mortgage		4,272,540		4,264,180		4,216,976		4,130,513		4,044,228
	Home Equity		1,680,229		1,594,781		1,577,500		1,604,538		1,605,486
	Automobile		727,234		714,729		710,407		708,800		709,937
	Other ²		400,723		364,542		376,449		395,483		417,090
	Total Consumer		7,080,726		6,938,232		6,881,332		6,839,334		6,776,741
	Total Loans and Leases	$	12,072,750	$	12,041,378	$	12,140,703	$	11,940,020	$	11,793,608


	Deposits
		September 30,		June 30,		March 31,		December 31,		September 30,
	(dollars in thousands)		2021		2021		2021		2020		2020
	Consumer	$	10,150,199	$	9,848,285	$	9,746,713	$	9,347,725	$	8,903,808
	Commercial		8,767,733		8,675,909		8,241,102		7,302,832		7,159,531
	Public and Other		1,575,746		1,645,515		1,568,836		1,561,064		1,675,544
	Total Deposits	$	20,493,678	$	20,169,709	$	19,556,651	$	18,211,621	$	17,738,883

¹	The PPP amounts presented, which are reported net of deferred costs and fees, were previously included as a component of the Commercial and Industrial loan class.
²	Comprised of other revolving credit, installment, and lease financing.


Bank of Hawaii Corporation and Subsidiaries
Non-Performing Assets and Accruing Loans and Leases Past Due 90 Days or More													Table 11
	September 30,			June 30,			March 31,			December 31,			September 30,
(dollars in thousands)	2021			2021			2021			2020			2020
Non-Performing Assets
Non-Accrual Loans and Leases
Commercial
Commercial and Industrial	$	209		$	258		$	293		$	441		$	475
Commercial Mortgage		8,309			8,413			8,503			8,527			8,615
Total Commercial		8,518			8,671			8,796			8,968			9,090
Consumer
Residential Mortgage		4,348			2,437			1,804			3,223			3,543
Home Equity		5,422			5,534			4,951			3,958			3,661
Total Consumer		9,770			7,971			6,755			7,181			7,204
Total Non-Accrual Loans and Leases		18,288			16,642			15,551			16,149			16,294
Foreclosed Real Estate		2,332			2,332			2,332			2,332			2,332
Total Non-Performing Assets	$	20,620		$	18,974		$	17,883		$	18,481		$	18,626

Accruing Loans and Leases Past Due 90 Days or More
Commercial
Commercial and Industrial	$	-		$	-		$	9		$	-		$	-
Total Commercial		-			-			9			-			-
Consumer
Residential Mortgage	$	4,776		$	4,069		$	4,069		$	5,274		$	6,607
Home Equity		2,946			4,498			4,906			3,187			2,571
Automobile		395			277			604			925			156
Other¹		593			434			828			1,160			258
Total Consumer		8,710			9,278			10,407			10,546			9,592
Total Accruing Loans and Leases Past Due 90 Days or More	$	8,710		$	9,278		$	10,416		$	10,546		$	9,592
Restructured Loans on Accrual Status and Not Past Due 90 Days or More	$	62,787		$	74,926		$	74,216		$	68,065		$	58,650
Total Loans and Leases	$	12,072,750		$	12,041,378		$	12,140,703		$	11,940,020		$	11,793,608

Ratio of Non-Accrual Loans and Leases to Total Loans and Leases		0.15	%		0.14	%		0.13	%		0.14	%		0.14	%

Ratio of Non-Performing Assets to Total Loans and Leases and Foreclosed Real Estate		0.17	%		0.16	%		0.15	%		0.15	%		0.16	%

Ratio of Commercial Non-Performing Assets to Total Commercial Loans and Leases and Commercial Foreclosed Real Estate		0.17	%		0.17	%		0.17	%		0.18	%		0.18	%

Ratio of Consumer Non-Performing Assets to Total Consumer Loans and Leases and Consumer Foreclosed Real Estate		0.17	%		0.15	%		0.13	%		0.14	%		0.14	%

Ratio of Non-Performing Assets and Accruing Loans and Leases Past Due 90 Days or More to Total Loans and Leases and Foreclosed Real Estate		0.24	%		0.23	%		0.23	%		0.24	%		0.24	%

Quarter to Quarter Changes in Non-Performing Assets
Balance at Beginning of Quarter	$	18,974		$	17,883		$	18,481		$	18,626		$	22,701
Additions		3,171			2,229			2,992			434			938
Reductions
Payments		(889	)		(722	)		(2,481	)		(490	)		(3,729	)
Return to Accrual Status		(606	)		(416	)		(1,014	)		-			(1,035	)
Sales of Foreclosed Real Estate		-			-			-			-			(175	)
Charge-offs/Write-downs		(30	)		-			(95	)		(89	)		(74	)
Total Reductions		(1,525	)		(1,138	)		(3,590	)		(579	)		(5,013	)
Balance at End of Quarter	$	20,620		$	18,974		$	17,883		$	18,481		$	18,626

¹Comprised of other revolving credit, installment, and lease financing.


	Bank of Hawaii Corporation and Subsidiaries
	Reserve for Credit Losses													Table 12
		Three Months Ended									Nine Months Ended
		September 30,			June 30,			September 30,			September 30,
	(dollars in thousands)	2021			2021			2020			2021			2020
	Balance at Beginning of Period	$	186,371		$	203,779		$	175,958		$	221,303			116,849

	CECL Adoption (Day 1) Impact		-			-			-			-			(5,072	)

	Loans and Leases Charged-Off
	Commercial
	Commercial and Industrial		(196	)		(456	)		(171	)		(900	)		(1,520	)
	Consumer
	Residential Mortgage		(197	)		(115	)		-			(316	)		(84	)
	Home Equity		(289	)		(107	)		(43	)		(412	)		(316	)
	Automobile		(576	)		(1,209	)		(489	)		(3,894	)		(6,103	)
	Other ¹		(2,187	)		(2,422	)		(1,644	)		(8,523	)		(9,784	)
	Total Loans and Leases Charged-Off		(3,445	)		(4,309	)		(2,347	)		(14,045	)		(17,807	)
	Recoveries on Loans and Leases Previously Charged-Off
	Commercial
	Commercial and Industrial		118			144			231			374			2,044
	Commercial Mortgage		-			-			-			-			40
	Consumer
	Residential Mortgage		173			481			414			1,609			795
	Home Equity		216			527			727			1,276			2,024
	Automobile		943			1,172			1,313			3,034			2,865
	Other ¹		802			801			1,119			2,459			2,645
	Total Recoveries on Loans and Leases Previously Charged-Off		2,252			3,125			3,804			8,752			10,413
	Net Recovered (Charged-Off) - Loans and Leases		(1,193	)		(1,184	)		1,457			(5,293	)		(7,394	)
	Net Charged-Off - Accrued Interest Receivable		(70	)		(124	)		-			(502	)
	Provision for Credit Losses:
	Loans and Leases		(11,272	)		(16,774	)		28,600			(43,039	)		102,600
	Accrued Interest Receivable		(703	)		(828	)		-			(1,531	)		-
	Unfunded Commitments		1,575			1,502			(202	)		3,770			(1,170	)
	Balance at End of Period ²	$	174,708		$	186,371		$	205,813		$	174,708		$	205,813

	Components
	Allowance for Credit Losses - Loans and Leases	$	167,920			180,385			203,496		$	167,920			203,496
	Allowance for Credit Losses - Accrued Interest Receivable		667			1,440			-			667			-
	Reserve for Unfunded Commitments		6,121			4,546			2,317			6,121			2,317
	Total Reserve for Credit Losses	$	174,708		$	186,371		$	205,813		$	174,708		$	205,813

	Average Loans and Leases Outstanding	$	11,958,321		$	12,096,308		$	11,739,785		$	12,002,426		$	11,510,222

	Ratio of Net Loans and Leases Charged-Off (Recovered) to
	Average Loans and Leases Outstanding (annualized)		0.04	%		0.04	%		(0.05	%)		0.06	%		0.09	%
	Ratio of Allowance for Credit Losses to Loans and Leases Outstanding ³		1.39	%		1.50	%		1.73	%		1.39	%		1.73	%

¹	Comprised of other revolving credit, installment, and lease financing.
²	Included in this analysis is activity related to the Company's reserve for unfunded commitments, which is separately recorded in other liabilities in the Consolidated Statements of Condition.
³	The numerator comprises the Allowance for Credit Losses - Loans and Leases.


Bank of Hawaii Corporation and Subsidiaries
Business Segments Selected Financial Information										Table 13a
	Consumer			Commercial			Treasury			Consolidated
(dollars in thousands)	Banking			Banking			and Other			Total
Three Months Ended September 30, 2021
Net Interest Income	$	72,062		$	50,088		$	4,669		$	126,819
Provision for Credit Losses		1,235			(42	)		(11,593	)		(10,400	)
Net Interest Income After Provision for Credit Losses		70,827			50,130			16,262			137,219
Noninterest Income		32,046			7,906			1,426			41,378
Noninterest Expense		(71,377	)		(15,924	)		(9,218	)		(96,519	)
Income Before Income Taxes		31,496			42,112			8,470			82,078
Provision for Income Taxes		(8,001	)		(10,373	)		(1,651	)		(20,025	)
Net Income	$	23,495		$	31,739		$	6,819		$	62,053
Total Assets as of September 30, 2021	$	7,530,513		$	5,087,831		$	10,347,039		$	22,965,383

Three Months Ended September 30, 2020
Net Interest Income	$	73,868		$	47,797		$	2,501		$	124,166
Provision for Credit Losses		(1,372	)		(85	)		30,057			28,600
Net Interest Income (Loss) After Provision for Credit Losses		75,240			47,882			(27,556	)		95,566
Noninterest Income		31,776			7,672			2,286			41,734
Noninterest Expense		(69,408	)		(15,430	)		(5,111	)		(89,949	)
Income (Loss) Before Income Taxes		37,608			40,124			(30,381	)		47,351
Provision for Income Taxes		(9,627	)		(9,784	)		9,900			(9,511	)
Net Income (Loss)	$	27,981		$	30,340		$	(20,481	)	$	37,840
Total Assets as of September 30, 2020	$	7,383,822		$	5,027,836		$	7,697,831		$	20,109,489


Bank of Hawaii Corporation and Subsidiaries
Business Segments Selected Financial Information										Table 13b
	Consumer			Commercial			Treasury			Consolidated
(dollars in thousands)	Banking			Banking			and Other			Total
Nine Months Ended September 30, 2021
Net Interest Income	$	212,991		$	146,269		$	11,642		$	370,902
Provision for Credit Losses		5,088			205			(46,093	)		(40,800	)
Net Interest Income After Provision for Credit Losses		207,903			146,064			57,735			411,702
Noninterest Income		98,344			22,339			8,096			128,779
Noninterest Expense		(222,426	)		(47,343	)		(22,142	)		(291,911	)
Income Before Income Taxes		83,821			121,060			43,689			248,570
Provision for Income Taxes		(20,840	)		(29,634	)		(8,561	)		(59,035	)
Net Income	$	62,981		$	91,426		$	35,128		$	189,535
Total Assets as of September 30, 2021	$	7,530,513		$	5,087,831		$	10,347,039		$	22,965,383

Nine Months Ended September 30, 2020
Net Interest Income	$	221,003		$	144,253		$	11,567		$	376,823
Provision for Credit Losses		8,215			(819	)		95,204			102,600
Net Interest Income (Loss) After Provision for Credit Losses		212,788			145,072			(83,637	)		274,223
Noninterest Income		93,309			26,483			19,359			139,151
Noninterest Expense		(210,744	)		(47,552	)		(16,857	)		(275,153	)
Income (Loss) Before Income Taxes		95,353			124,003			(81,135	)		138,221
Provision for Income Taxes		(24,235	)		(30,278	)		27,782			(26,731	)
Net Income (Loss)	$	71,118		$	93,725		$	(53,353	)	$	111,490
Total Assets as of September 30, 2020	$	7,383,822		$	5,027,836		$	7,697,831		$	20,109,489


	Bank of Hawaii Corporation and Subsidiaries
	Selected Quarterly Financial Data													Table 14
		Three Months Ended
		September 30,			June 30,			March 31,			December 31,			September 30,
	(dollars in thousands, except per share amounts)	2021			2021			2021				2020			2020
	Quarterly Operating Results
	Interest Income
	Interest and Fees on Loans and Leases	$	100,570		$	100,894		$	99,299		$	98,471		$	103,189
	Income on Investment Securities
	Available-for-Sale		16,396			16,467			15,837			15,449			14,558
	Held-to-Maturity		16,754			13,576			13,300			14,113			15,967
	Deposits		2			-			7			1			3
	Funds Sold		382			260			137			115			149
	Other		159			182			185			167			151
	Total Interest Income		134,263			131,379			128,765			128,316			134,017
	Interest Expense
	Deposits		3,837			4,152			4,329			4,861			5,891
	Securities Sold Under Agreements to Repurchase		3,423			3,470			3,533			3,614			3,622
	Funds Purchased		-			-			1			5			-
	Short-Term Borrowings		-			-			-			-			1
	Other Debt		184			243			333			337			337
	Total Interest Expense		7,444			7,865			8,196			8,817			9,851
	Net Interest Income		126,819			123,514			120,569			119,499			124,166
	Provision for Credit Losses		(10,400)			(16,100)			(14,300)			15,200			28,600
	Net Interest Income After Provision for Credit Losses		137,219			139,614			134,869			104,299			95,566
	Noninterest Income
	Trust and Asset Management		11,415			11,682			11,278			11,239			10,752
	Mortgage Banking		3,136			3,058			5,862			6,851			4,047
	Service Charges on Deposit Accounts		6,510			6,065			6,128			6,335			6,027
	Fees, Exchange, and Other Service Charges		13,604			13,807			13,607			12,143			12,296
	Investment Securities Gains (Losses), Net		(1,259)			2,423			(1,203)			(1,193)			(1,121)
	Annuity and Insurance		735			911			702			670			881
	Bank-Owned Life Insurance		1,897			2,063			1,917			2,353			1,806
	Other		5,340			4,422			4,679			6,860			7,046
	Total Noninterest Income		41,378			44,431			42,970			45,258			41,734
	Noninterest Expense
	Salaries and Benefits		56,447			56,161			56,251			50,200			51,951
	Net Occupancy		3,079			5,047			9,090			14,536			7,281
	Net Equipment		8,924			8,796			8,878			9,574			9,223
	Data Processing		4,722			4,557			6,322			4,604			4,691
	Professional Fees		2,948			3,114			3,406			3,174			2,743
	FDIC Insurance		1,594			1,669			1,654			1,484			1,282
	Other		18,805			17,183			13,264			15,082			12,778
	Total Noninterest Expense		96,519			96,527			98,865			98,654			89,949
	Income Before Provision for Income Taxes		82,078			87,518			78,974			50,903			47,351
	Provision for Income Taxes		20,025			19,985			19,025			8,589			9,511
	Net Income	$	62,053		$	67,533		$	59,949		$	42,314		$	37,840
	Preferred Stock Dividends		1,006			-			-			-			-
	Net Income Available to Common Shareholders	$	61,047		$	67,533		$	59,949		$	42,314		$	37,840

	Basic Earnings Per Common Share	$	1.53		$	1.69		$	1.51		$	1.06		$	0.95
	Diluted Earnings Per Common Share	$	1.52		$	1.68		$	1.50		$	1.06		$	0.95

	Balance Sheet Totals
	Loans and Leases	$	12,072,750		$	12,041,378		$	12,140,703		$	11,940,020		$	11,793,608
	Total Assets		22,965,383			22,672,183			21,947,271			20,603,651			20,109,489
	Total Deposits		20,493,678			20,169,709			19,556,651			18,211,621			17,738,883
	Total Shareholders' Equity		1,597,109			1,583,531			1,360,221			1,374,507			1,361,739

	Performance Ratios
	Return on Average Assets		1.07	%		1.23	%		1.15	%		0.83	%		0.76	%
	Return on Average Shareholders' Equity		15.41			19.17			17.65			12.26			11.01
	Return on Average Common Equity		17.08			19.61			17.65			12.26			11.01
	Efficiency Ratio ¹		57.38			57.47			60.45			59.88			54.22
	Net Interest Margin ²		2.32			2.37			2.43			2.48			2.67

¹	Efficiency ratio is defined as noninterest expense divided by total revenue (net interest income and noninterest income).
²	Net interest margin is defined as net interest income, on a taxable-equivalent basis, as a percentage of average earning assets.


Bank of Hawaii Corporation and Subsidiaries
Hawaii Economic Trends													Table 15
	Eight Months Ended				Year Ended
($ in millions; jobs in thousands)	August 31, 2021				December 31, 2020					December 31, 2019
Hawaii Economic Trends
State General Fund Revenues¹	$	5,325.4	21.2	%	$	6,415.1		(12.3)	%	$	7,316.5		5.5	%
General Excise and Use Tax Revenue¹	$	2,367.9	11.6	%	$	3,038.8		(15.6)	%	$	3,602.2		5.1	%
Jobs ²		601.8				588.2					659.7

								August 31,		December 31,
(spot rates)								2021		2020			2019
Unemployment, seasonally adjusted³
Statewide								7.0	%		10.3	%	2.1	%

Oahu								6.0			9.3		2.0
Island of Hawaii								6.6			10.1		2.5
Maui								8.5			14.3		2.0
Kauai								8.9			13.9		2.1

					September 30,			December 31,
(percentage change, except months of inventory)					2021			2020		2019			2018
Housing Trends (Single Family Oahu) ⁴
Median Home Price						20.2	%	5.2	%		(0.1)	%	4.6	%
Home Sales Volume (units)						24.2	%	2.3	%		3.9	%	(7.7)	%
Months of Inventory						1.2		1.4			2.5		2.8

					Monthly Visitor Arrivals,					Percentage Change
(in thousands)					Not Seasonally Adjusted					from Previous Year
Tourism ⁵
August 31, 2021								722.4					3,133.1
July 31, 2021								879.6					3,798.4
June 30, 2021								791.1					4,534.7
May 31, 2021								629.7					6,807.4
April 30, 2021								484.1					10,506.3
March 31, 2021								439.8					1.1
February 28, 2021								235.3					(71.6)
January 31, 2021								172.0					(80.1)
December 31, 2020								235.8					(75.2)
November 30, 2020								183.8					(77.3)
October 31, 2020								76.6					(90.4)
September 30, 2020								18.9					(97.4)
August 31, 2020								22.3					(97.6)
July 31, 2020								22.6					(97.7)
June 30, 2020								17.1					(98.2)
May 31, 2020								9.1					(98.9)
April 30, 2020								4.6					(99.5)
March 31, 2020								434.9					(53.7)
February 29, 2020								828.1					5.8
January 31, 2020								862.6					5.1
December 31, 2019								952.4					5.8
November 30, 2019								809.1					3.9
October 31, 2019								796.2					4.3
September 30, 2019								738.2					3.1
August 31, 2019								926.4					9.6
July 31, 2019								995.2					5.9
June 30, 2019								951.6					6.1
May 31, 2019								841.4					4.6
April 30, 2019								856.3					6.6
March 31, 2019								939.1					3.9
February 28, 2019								782.7					0.5
January 31, 2019								820.6					3.0

¹Source: Hawaii Department of Business, Economic Development & Tourism
²Source: U. S. Bureau of Labor Statistics
³Source: UHERO
⁴Source: Honolulu Board of REALTORS
⁵Source: Hawaii Tourism Authority

View source version on businesswire.com: https://www.businesswire.com/news/home/20211025005224/en/

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Bank of Hawaii Corporation Third Quarter 2021 Financial Results

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