UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D. C. 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)	 	July 23, 2010	 	
 
BANK OF HAWAII CORPORATION
(Exact name of registrant as specified in its charter)
 
Delaware	 	1-6887	 	99-0148992	
(State of Incorporation)	 	(Commission	 	(IRS Employer	
 	 	File Number)	 	Identification No.)	
 
130 Merchant Street, Honolulu, Hawaii	 	96813	
(Address of principal executive offices)	 	(Zip Code)	
 
(Registrant’s telephone number, including area code)  (888) 643-3888
 
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 following provisions (see General Instruction A.2. below):
 
¨   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 2.02.             Results of Operations and Financial Condition.
 
On July 26, 2010, Bank of Hawaii Corporation (the “Company”) announced its results of operations for the quarter ended June 30, 2010.  The public announcement was made by means of a press release, the text of which is furnished as Exhibit 99.1 hereto and incorporated herein by reference.
 
Item 5.02.             Departure of Directors or Certain Officers; Election of Directors; Appointment of Certain Officers; Compensatory Arrangements of Certain Officers.
 
Management Transition
 
As previously reported in a Current Report on Form 8-K filed on April 19, 2010, the Company had undertaken a leadership transition process that would result in President Peter S. Ho succeeding Allan R. Landon as Chairman and Chief Executive Officer.  On July 26, 2010, Bank of Hawaii Corporation announced that the transition will occur effective 12:00 noon on July 30, 2010, on which date Mr. Landon will retire from service in all capacities with the Company and its subsidiaries.  The public announcement was made by means of a press release, the text of which is filed as Exhibit 99.2 hereto and is incorporated herein by reference.  As Mr. Ho is a current named executive officer of the Company, the information relating to him required by Item 5.02(b) of Form 8-K has been previously reported except as described below.
 
Executive Compensation
 
Peter S. Ho.  Mr. Ho’s annual base salary as Chairman, President, and Chief Executive Officer of the Company will be $750,000.  He has received a supplemental award under the Company’s Executive Incentive Plan (“EIP”) so that his bonus opportunity with respect to the third and fourth quarters of 2010 is comparable to that received by Mr. Landon in his capacity as Chief Executive Officer.  The Company’s Human Resources and Compensation Committee has adopted an amendment to the EIP filed herewith as Exhibit 10.1 and incorporated herein by reference to accommodate a partial year performance period and to clarify the Committee’s authority with respect to final awards under the EIP in cases of termination of employment due to retirement, death, or disability.  As previously reported in a Current Report on Form 8-K filed on April 28, 2010, the Human Resources and Compensation Committee authorized a 15,000 share restricted stock award to be granted to Mr. Ho at such time as he is appointed Chief Executive Officer of the Company.  That award will become effective upon the transition with Mr. Landon.
 
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Retirement Agreement with Mr. Landon
 
The Board of Directors, upon the recommendation and approval of the Human Resources and Compensation Committee, has authorized the Company to enter into an agreement with Mr. Landon that provides for payments to him of $435,000 as a prorated final award for 2010 under the EIP, a recognition payment of $1,125,000, and a payment of $100,000 to help defray his moving and other relocation expenses associated with the relocation of his principal residence to the mainland, subject to his agreement to noncompetition and nonsolicitation covenants as set out in the letter agreement dated July 23, 2010 between the Company and Mr. Landon.  The foregoing description of the letter agreement with Mr. Landon is qualified in its entirety by reference to the copy of the letter agreement, which is filed as Exhibit 10.2 hereto and incorporated herein by reference.
 
Item 9.01.             Financial Statements and Exhibits.
 
(d)          Exhibits
 
Exhibit No.
 
10.1        Amendment 2010-1 to Executive Incentive Plan.  Filed herewith.
 
10.2        Letter agreement dated July 23, 2010 between Bank of Hawaii Corporation and Allan R. Landon.  Filed herewith.
 
99.1        July 26, 2010 Press Release: Bank of Hawaii Corporation Second Quarter 2010 Financial Results.  Any internet addresses provided in this release are for informational purposes only and are not intended to be hyperlinks.  Furnished herewith.
 
99.2        July 26, 2010 Press Release: Peter Ho to Assume Chairman and CEO Role at Bank of Hawaii Corporation.  Filed herewith.
 
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.

Date: July 26, 2010	BANK OF HAWAII CORPORATION	

 	By	/s/ MARK A. ROSSI	
 	 	Mark A. Rossi	
 	 	Vice Chairman and Corporate Secretary	
 
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Exhibit 10.1
 
AMENDMENT 2010-1 TO THE
BANK OF HAWAII CORPORATION EXECUTIVE INCENTIVE PLAN
 
The Bank of Hawaii Corporation Executive Incentive Plan is hereby amended as follows:
 
1.  Section 2.12 is amended to read in its entirety as follows:
 
2.12        “Net Income” shall mean BOHC’s consolidated net income before taxes for the Performance Period, as reported in the annual report to shareholders (or as otherwise reported to BOHC’s shareholders, or if not reported to BOHC’s shareholders, as reported in BOHC’s monthly financial reports), adjusted as described in this Section.  The Committee may, in its sole discretion, provide in the terms of an Award for BOHC’s reported net income to be adjusted for one or more of the following in determining Net Income:
 
(a)          Expenses associated with this Plan;
 
(b)          Any extraordinary or unusual gain or loss transaction;
 
(c)          Securities gains or losses; and
 
(d)          Dividends on preferred shares.
 
2.  Section 2.15 is amended to read in its entirety as follows:
 
2.15        “Performance Period”, with respect to any Award, shall mean BOHC’s fiscal year, or such other period as the Committee may specify.
 
3.  Section 7.1 is amended to read in its entirety as follows:
 
7.1          Termination of Employment Due to Death, Disability, or Retirement.
 
(a)  Non-Incentive Pool Awards.  If a Participant who separates from service because of death, Disability, or Retirement had been granted a Contingent Award (other than a Contingent Award covered by Section 7.1(b)) for the Performance Period during which such death, Disability, or Retirement occurs (a “Termination Year Award”), the Committee in its sole discretion shall determine whether the Participant is entitled to the payout of any Final Award with respect to the Termination Year Award and, if so, the manner in which the Final Award amount will be prorated and the time at which any such payment shall be made.
 
(b)  Incentive Pool Awards.  If a Participant who separates from service because of death, Disability, or Retirement had been granted a Contingent Award for the Performance Period during which such death, Disability, or Retirement occurs equal to a percentage of an Incentive Pool established pursuant to Section 5.2 hereof based on

 
BOHC’s Net Income for such Performance Period, then the Participant shall be paid within 60 days after the Termination Measurement Date (as hereinafter defined) a Final Award calculated in accordance with the terms of the Contingent Award but based on BOHC’s Net Income during the portion of the Performance Period ending on the Termination Measurement Date.  Notwithstanding the foregoing, the Committee may, in its sole discretion, reduce or eliminate the amount of any such Final Award under this Section 7.1(b) and in exercising such discretion may take into account the extent to which the Participant’s separation from service may have occurred prior to the Termination Measurement Date.  “Termination Measurement Date” means the later of (i) the end of the calendar month immediately preceding the Participant’s separation from service (or the second immediately preceding calendar month in the case of a separation from service that occurs prior to the fifteenth day of the calendar month of such separation from service) or (ii) the first month-end date that would result in the Contingent Award being granted as of a date that satisfies Treasury Regulation Section 1.162-27(e)(2)(i).  No payment of a Final Award pursuant to this Section 7.1(b) shall be made prior to the Committee’s certification of Net Income during the portion of the Performance Period ending on the Termination Measurement Date.
 
(c)  Alternative Terms.  The terms of a Contingent Award may provide alternative terms for the treatment of the Award in the event of death, Disability, or Retirement, in which case such alternative terms shall apply in lieu of those set forth in this Section 7.1.

 

Exhibit 10.2
 
BANK OF HAWAII CORPORATION
130 Merchant Street
Honolulu, Hawaii  96813
 
July 23, 2010
 
Mr. Allan R. Landon
Chairman and Chief Executive Officer
Bank of Hawaii Corporation
130 Merchant Street
Honolulu, Hawaii  96813
 
Dear Al:
 
The Board of Directors has asked me to accept on its behalf your decision to retire as Chairman and Chief Executive Officer and to resign from the Board and your other positions at Bank of Hawaii Corporation and its affiliates (collectively, the Company) effective at 12:00 noon HST on July 30, 2010.  We unanimously agree that it has been an honor and a privilege to work with someone of your business acumen, leadership skills and unquestioned integrity.
 
The Board has reviewed carefully your record of accomplishment during your period of service, your positions of increasing responsibility since you came to the Company in 2000 and your many accomplishments as Chief Executive Officer as well as corporate and your individual performance for the first half of the year.  I am pleased to tell you that, following that review, the Board, with the recommendation and approval of its compensation committee, has decided to take the following actions:
 
1.  In light of the Company’s financial performance for the first half of 2010 and your accomplishments during that period, you will receive $435,000 as your pro rated final award for 2010 under the Executive Incentive Plan (“EIP”) in addition to your salary and vested benefits.
 
2.  In consideration of your extraordinary achievements, your requests to limit your compensation in recent years and your agreement to the non-competition and other covenants set out below, you will receive an additional payment of $1,125,000 and a further payment of $100,000 to help defray your moving and other expenses associated with the relocation of your principal residence to the mainland.
 
3.  You will be entitled to receive these payments as soon as practicable on or after August 2, 2010.  They will be provided less all applicable withholdings.  The payment described in Section 1 will count as compensation for purposes of any other Company compensation or benefit plans, programs or arrangements to the same extent as EIP payments made by the Company in respect of full year performance.  The payments described in Section 2 will not count as compensation for purposes of any other Company compensation or benefit plan, program or arrangement.

 
Your services for the Company have been unique, you have had access to our most sensitive and confidential information, you have made extensive connections and played a valuable role in the community, and you, in very significant ways, have been the public face of the Company during your tenure as Chief Executive Officer.  As a matter of proper stewardship, then, the Board asks that you sign this letter agreeing during the first twelve months after your retirement, to neither, directly or indirectly:
 
(a) become involved as an employee, director or consultant with any commercial bank or savings institution headquartered in the state of Hawaii (or parent or affiliate of any such bank or savings institution if you have responsibility for operations in Hawaii),
 
(b) solicit business of the same or similar type being carried on by the Company from any person or entity known by you to be a customer of the Company, whether or not you had personal contact with such person or entity by reason of your employment with the Company, or
 
(c) whether for yourself or any other person or entity, solicit, employ, or otherwise engage as an employee, independent contractor, or otherwise, any employee of the Company or induce or attempt to induce any employee of the Company to terminate his or her employment with the Company.
 
Al, let me reiterate the Board’s deep appreciation for your extraordinary dedication and service to the Company.  You truly have represented the values and mission of our organization.  We wish you and Sue all the best as you enter this next stage of your lives and we look forward to remaining in touch over the years ahead.
 
 	 	Sincerely yours,	

 	 	Mary G. F. Bitterman,	
 	 	Lead Independent Director	
 	 	On behalf of Bank of Hawaii Corporation	
 	 	 	
Agreed and accepted	 	 	
as of the date first above written	 	 	

Allan R. Landon	 	 	
 
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Exhibit 99.1

Bank of Hawaii Corporation Second Quarter 2010 Financial Results
 
·                 Diluted Earnings Per Share $0.96
·                 Net Income for the Quarter $46.6 Million
·                 Board of Directors Declares Dividend of $0.45 Per Share
·                 Company Announces Plans to Resume Share Repurchase Program
 
FOR IMMEDIATE RELEASE
 
HONOLULU, HI (July 26, 2010) — Bank of Hawaii Corporation (NYSE: BOH) today reported diluted earnings per share of $0.96 for the second quarter of 2010, which was up 48 percent from diluted earnings per share of $0.65 in the same quarter last year.  Net income for the second quarter of 2010 was $46.6 million compared to net income of $52.7 million in the first quarter of 2010, and up from $31.0 million in the second quarter of 2009.  Second quarter 2010 results include a provision for credit losses of $15.9 million, down from $20.7 million in the first quarter of 2010, and down from $28.7 million in the second quarter of 2009.  Noninterest income in the second quarter of 2010 included net gains of $15.0 million on sales of investment securities compared with $20.0 million in the first quarter of 2010.
 
Average deposits continued to be strong during the second quarter of 2010, holding stable at $9.4 billion.  Total shareholders’ equity exceeded $1.0 billion at the end of the quarter.  The allowance for loan and lease losses increased to $147.4 million during the second quarter of 2010 and represents 2.71 percent of outstanding loans and leases.
 
“The second quarter was another strong quarter for Bank of Hawaii,” said Allan R. Landon, Chairman, and CEO.  “Our profitability remained solid and the Hawaii economy continues to show signs of gradual improvement.  While we have added $1.0 million to our allowance for loan and lease losses this quarter, economic and risk indicators suggest that further increases to the allowance may not be necessary.  We are also planning to resume our share repurchase program during the third quarter in an orderly and disciplined manner.”
 
The return on average assets for the second quarter of 2010 was 1.48 percent, down from 1.73 percent in the previous quarter, and up from 1.06 percent during the same quarter last year.  The return on average equity for the second quarter of 2010 was 19.01 percent compared to 22.54 percent for the first quarter of 2010 and 14.49 percent in the second quarter of 2009.
 
- more -

 

 
For the six months ended June 30, 2010, net income was $99.3 million, up $32.3 million compared to net income of $67.0 million for the same period last year.  Diluted earnings per share were $2.05 for the first half of 2010, up from $1.40 for the first half of 2009.  The year-to-date return on average assets was 1.60 percent, up from 1.18 percent for the same period in 2009.  The year-to-date return on average equity was 20.73 percent, up from 16.13 percent for the six months ended June 30, 2009.  The efficiency ratio for the first half of 2010 was 47.59 percent compared with 53.78 percent for the same period last year.
 
Results for the first six months of 2010 included $35.0 million in net gains on investment securities, net interest recoveries of $2.8 million, and a gain of $1.2 million on the sale of leased equipment partially offset by an accrual of $3.3 million for employee cash grants for the purchase of Company stock.  Results for the first six months of 2009 included gains of $13.7 million from the disposition of leased equipment and the sale of the Company’s retail insurance brokerage business.  Gains in the first half of 2009 were partially offset by expenses for legal contingencies, an industry-wide FDIC assessment, and early debt retirement.  Details of these items are included in Table 2.
 
Financial Highlights
 
Net interest income, on a taxable equivalent basis, for the second quarter of 2010 was $104.2 million, down $3.7 million from net interest income of $107.9 million in the first quarter of 2010 and up $1.0 million from net interest income of $103.2 million in the second quarter of 2009.  Results for the first quarter of 2010 include the previously mentioned net interest recoveries of $2.8 million.  Analyses of the changes in net interest income are included in Tables 7a, 7b, and 7c.
 
The net interest margin was 3.51 percent for the second quarter of 2010, a 21 basis point decrease from 3.72 percent in the first quarter of 2010 and a 22 basis point decrease from 3.73 percent in the second quarter of 2009.  Adjusted for the net interest recoveries, the net interest margin in the first quarter of 2010 was 3.62 percent.
 
Results for the second quarter of 2010 included a provision for credit losses of $15.9 million compared with $20.7 million in the first quarter of 2010 and $28.7 million in the second quarter of 2009.  The provision for credit losses exceeded net charge-offs of $14.9 million by $1.0 million in the second quarter of 2010.  The provision for credit losses exceeded net charge-offs of $18.0 million by $2.7 million in the first quarter of 2010 and exceeded net charge-offs of $25.7 million by $3.0 million in the second quarter of 2009.
 
Noninterest income was $68.9 million for the second quarter of 2010, a decrease of $2.9 million compared to noninterest income of $71.8 million in the first quarter of 2010, and an increase of $9.0 million compared to noninterest income of $59.8 million in the second quarter of 2009.  Noninterest income in the second quarter of 2010 included the previously mentioned net securities gains of $15.0 million and $1.2 million on the sale of leased equipment.  Noninterest income in the first quarter of 2010 included net securities gains of $20.0 million.  Results for the second quarter of 2009 included a gain of $2.8 million related to the disposition of leased equipment and $0.9 million on the sale of the Company’s retail insurance brokerage business.
 
Noninterest expense was $85.9 million in the second quarter of 2010, up $4.2 million from noninterest expense of $81.7 million in the first quarter of 2010, and down $3.7 million from noninterest expense of $89.6 million in the same quarter last year.  Noninterest expense in the
 
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second quarter of 2010 included $3.3 million for the previously mentioned employee cash grants.  Noninterest expense in the second quarter of 2009 included a $5.7 million industry-wide FDIC assessment.  An analysis of salary and benefit expenses is included in Table 8.
 
The efficiency ratio for the second quarter of 2010 was 49.72 percent, compared with 45.54 percent in the first quarter of 2010 and 55.07 percent in the second quarter of 2009.  Adjusted for the income and expense items previously discussed, the efficiency ratio for the second quarter of 2010 was 52.77 percent compared with 52.18 percent in the first quarter of 2010 and 52.71 percent in the second quarter of 2009.  A summary of these items is included in Table 2.
 
The effective tax rate for the second quarter of 2010 was 34.37 percent compared to 31.53 percent in the previous quarter and 30.18 percent during the same quarter last year.  The lower effective tax rate in the first quarter of 2010 was primarily due to the expected utilization of capital losses on the sale of a low-income housing investment.  The lower effective tax rate in the second quarter of 2009 was primarily due to accounting for the termination of a leveraged lease that resulted in a $1.6 million income tax benefit.
 
The Company’s business segments are defined as Retail Banking, Commercial Banking, Investment Services, and Treasury & Other.  Results are determined based on the Company’s internal financial management reporting process and organizational structure.  Selected financial information for the business segments is included in Table 12a and 12b.
 
Asset Quality
 
Overall credit quality continued to reflect a slowly improving economy during the second quarter of 2010.  Non-performing assets remain at elevated levels primarily due to the lengthy resolution process on residential mortgages.  Non-performing assets were $43.2 million at June 30, 2010, up from $41.6 million at March 31, 2010, and up from $39.1 million at June 30, 2009.  As a percentage of total loans and leases, including loans held for sale and foreclosed real estate, non-performing assets were 0.79 percent at June 30, 2010.
 
Accruing loans and leases past due 90 days or more were $12.9 million at June 30, 2010, down from $16.0 million at March 31, 2010, and up from $9.6 million at June 30, 2009.  There were no commercial loans past due 90 days or more at June 30, 2010.  More information on non-performing assets and accruing loans and leases past due 90 days or more is presented in Table 10.
 
Net charge-offs during the second quarter of 2010 were $14.9 million or 1.09 percent annualized of total average loans and leases, down from $18.0 million or 1.28 percent annualized in the first quarter of 2010, and $25.7 million or 1.65 percent annualized in the second quarter last year.  Net charge-offs for the six months ended June 30, 2010 were $33.0 million, or 1.19 percent annualized of total average loans and leases, down from $39.7 million, or 1.26 percent annualized of total average loans and leases for the same period last year.
 
The allowance for loan and lease losses increased to $147.4 million at June 30, 2010, up from $146.4 million at March 31, 2010 and $137.4 million at June 30, 2009.  The ratio of the allowance for loan and lease losses to total loans and leases was 2.71 percent at June 30, 2010.  The reserve for unfunded commitments at June 30, 2010 remained unchanged at $5.4 million.  Details of charge-offs, recoveries, and the components of the reserve for credit losses are summarized in Table 11.
 
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Other Financial Highlights
 
Total assets were $12.86 billion at June 30, 2010, higher than total assets of $12.44 billion at March 31, 2010, and up from $12.19 billion at June 30, 2009.  Average total assets were $12.60 billion during the second quarter of 2010, higher than average assets of $12.38 billion during the previous quarter, and up from $11.75 billion during the second quarter last year.  The increase in total assets is largely due to growth in investment securities, partially offset by a decline in loan balances due to lower demand and tighter underwriting standards.  Wholesale funding with government entities increased $0.6 billion during the second quarter.
 
Total deposits were $9.32 billion at June 30, 2010, compared with total deposits of $9.49 billion at March 31, 2010 and $9.02 billion at June 30, 2009.  The decrease in deposits compared with the previous quarter was primarily due to a reduction in commercial savings and public deposits.  Average total deposits of $9.39 billion during the second quarter were level with average deposits during the previous quarter, and up from $9.22 billion during the same quarter last year.
 
As a result of strong deposit levels and weak loan demand, the investment securities portfolio increased to $6.13 billion at June 30, 2010, up from $5.61 billion at March 31, 2010, and up from $4.50 billion at June 30, 2009.
 
Total shareholders’ equity was $1.01 billion at June 30, 2010, up $73.6 million from $939.4 million at March 31, 2010, and up from $845.9 million at June 30, 2009.  No shares were repurchased during the second quarter of 2010.  The Company intends to resume share repurchases during the third quarter of 2010.  Remaining buyback authority under the share repurchase program was $85.4 million at June 30, 2010.
 
At June 30, 2010, the Tier 1 leverage ratio was 7.09 percent, up from 6.97 percent at March 31, 2010, and up from 6.64 percent at June 30, 2009.  At June 30, 2010, the ratio of tangible common equity to risk weighted assets increased to 18.57 percent, up from 16.75 percent at March 31, 2010, and up from 13.02 percent at June 30, 2009.
 
The Company’s Board of Directors has declared a quarterly cash dividend of $0.45 per share on the Company’s outstanding shares.  The dividend will be payable on September 15, 2010 to shareholders of record at the close of business on August 31, 2010.
 
Hawaii Economy
 
Hawaii’s economy was slightly improved during the second quarter of 2010.  Visitor arrivals have improved and spending appears to be stable.  Job growth remains weak across most business sectors and unemployment, although significantly better than the national average, is expected to remain elevated.  The State’s seasonally adjusted unemployment rate of 6.3 percent at the end of June 2010 was the sixth lowest in the country and compared with a national rate of 9.5 percent.  Home sales volume statewide continues to improve and prices on Oahu have stabilized, although sales prices on the neighbor islands continue to lag.  Private construction activity remains low; however, increased activity is anticipated due to Federal and State stimulus plans.  More information on Hawaii economic trends is presented in Table 14.
 
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Conference Call Information
 
The Company will review its second quarter 2010 financial results today at 8:00 a.m. Hawaii Time (2:00 p.m. Eastern Time).  The conference call will be accessible via teleconference and via the Investor Relations link of Bank of Hawaii Corporation’s web site, www.boh.com. Conference call participants in the United States should dial 866-831-6291.  International participants should dial 617-213-8860.  Use the pass code “Bank of Hawaii” to access the call.  A replay of the call will be available for one week beginning Monday, July 26, 2010 by calling 888-286-8010 in the United States or 617-801-6888 internationally and entering the pass code number 70182558 when prompted.  A replay will also be available via the Investor Relations link of the Company’s web site.
 
Forward-Looking Statements
 
This news release, and other statements made by the Company in connection with it may contain “forward-looking statements”, such as forecasts of our financial results and condition, expectations for our operations and business prospects, and our assumptions used in those forecasts and expectations.  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, 2009, which was filed with the U.S. Securities and Exchange Commission.  We have not committed to update forward-looking statements to reflect later events or circumstances.
 
Bank of Hawaii Corporation is a regional financial services company serving businesses, consumers and governments in Hawaii, American Samoa and the West Pacific.  The Company’s principal subsidiary, Bank of Hawaii, was founded in 1897 and is the largest independent financial institution in Hawaii.  For more information about Bank of Hawaii Corporation, see the Company’s web site, www.boh.com.
 
# # # #
 
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Bank of Hawaii Corporation and Subsidiaries	 	 	
Financial Highlights	 	Table 1	
 
 	 	Three Months Ended	 	Six Months Ended	 	
 	 	June 30,	 	March 31,	 	June 30,	 	June 30,	 	
(dollars in thousands, except per share amounts)	 	2010	 	2010	 	2009	 	2010	 	2009	 	
For the Period:	 	 	 	 	 	 	 	 	 	 	 	
Operating Results	 	 	 	 	 	 	 	 	 	 	 	
Net Interest Income	 	$	103,928	 	$	107,653	 	$	102,851	 	$	211,581	 	$	199,913	 	
Provision for Credit Losses	 	15,939	 	20,711	 	28,690	 	36,650	 	53,577	 	
Total Noninterest Income	 	68,874	 	71,782	 	59,832	 	140,656	 	130,197	 	
Total Noninterest Expense	 	85,918	 	81,706	 	89,584	 	167,624	 	177,517	 	
Net Income	 	46,564	 	52,736	 	31,006	 	99,300	 	67,046	 	
Basic Earnings Per Share	 	0.97	 	1.10	 	0.65	 	2.07	 	1.41	 	
Diluted Earnings Per Share	 	0.96	 	1.09	 	0.65	 	2.05	 	1.40	 	
Dividends Declared Per Share	 	0.45	 	0.45	 	0.45	 	0.90	 	0.90	 	
 	 	 	 	 	 	 	 	 	 	 	 	
Performance Ratios	 	 	 	 	 	 	 	 	 	 	 	
Return on Average Assets	 	1.48	%	1.73	%	1.06	%	1.60	%	1.18	%	
Return on Average Shareholders’ Equity	 	19.01	 	22.54	 	14.49	 	20.73	 	16.13	 	
Efficiency Ratio1	 	49.72	 	45.54	 	55.07	 	47.59	 	53.78	 	
Operating Leverage2	 	(11.10	)	1.99	 	(8.04	)	20.98	 	(14.62	)	
Net Interest Margin3	 	3.51	 	3.72	 	3.73	 	3.61	 	3.75	 	
Dividend Payout Ratio4	 	46.39	 	40.91	 	69.23	 	43.48	 	63.83	 	
Average Shareholders’ Equity to Average Assets	 	7.79	 	7.67	 	7.30	 	7.73	 	7.34	 	
 	 	 	 	 	 	 	 	 	 	 	 	
Average Balances	 	 	 	 	 	 	 	 	 	 	 	
Average Loans and Leases	 	$	5,522,423	 	$	5,686,923	 	$	6,258,403	 	$	5,604,218	 	$	6,351,938	 	
Average Assets	 	12,603,233	 	12,377,785	 	11,753,580	 	12,491,132	 	11,426,766	 	
Average Deposits	 	9,387,621	 	9,390,615	 	9,222,130	 	9,389,110	 	8,988,053	 	
Average Shareholders’ Equity	 	982,233	 	949,073	 	858,139	 	965,745	 	838,288	 	
 	 	 	 	 	 	 	 	 	 	 	 	
Market Price Per Share of Common Stock	 	 	 	 	 	 	 	 	 	 	 	
Closing	 	$	48.35	 	$	44.95	 	$	35.83	 	$	48.35	 	$	35.83	 	
High	 	54.10	 	50.42	 	41.42	 	54.10	 	45.24	 	
Low	 	45.00	 	41.60	 	31.35	 	41.60	 	25.33	 	
 
 	 	June 30,	 	March 31,	 	December 31,	 	June 30,	 	
 	 	2010	 	2010	 	2009	 	2009	 	
As of Period End:	 	 	 	 	 	 	 	 	 	
Balance Sheet Totals	 	 	 	 	 	 	 	 	 	
Loans and Leases	 	$	5,440,911	 	$	5,610,081	 	$	5,759,785	 	$	6,149,911	 	
Total Assets	 	12,855,845	 	12,435,670	 	12,414,827	 	12,194,695	 	
Total Deposits	 	9,324,659	 	9,494,084	 	9,409,676	 	9,019,661	 	
Long-Term Debt	 	40,300	 	90,309	 	90,317	 	91,432	 	
Total Shareholders’ Equity	 	1,013,011	 	939,372	 	895,973	 	845,885	 	
 	 	 	 	 	 	 	 	 	 	
Asset Quality	 	 	 	 	 	 	 	 	 	
Allowance for Loan and Lease Losses	 	$	147,358	 	$	146,358	 	$	143,658	 	$	137,416	 	
Non-Performing Assets5	 	43,241	 	41,624	 	48,331	 	39,054	 	
 	 	 	 	 	 	 	 	 	 	
Financial Ratios	 	 	 	 	 	 	 	 	 	
Allowance to Loans and Leases Outstanding	 	2.71	%	2.61	%	2.49	%	2.23	%	
Tier 1 Capital Ratio6	 	16.92	 	15.93	 	14.84	 	12.52	 	
Total Capital Ratio7	 	18.19	 	17.20	 	16.11	 	13.78	 	
Leverage Ratio8	 	7.09	 	6.97	 	6.76	 	6.64	 	
Tangible Common Equity to Total Assets9	 	7.63	 	7.30	 	6.96	 	6.65	 	
Tangible Common Equity to Risk-Weighted Assets9	 	18.57	 	16.75	 	15.45	 	13.02	 	
 	 	 	 	 	 	 	 	 	 	
Non-Financial Data	 	 	 	 	 	 	 	 	 	
Full-Time Equivalent Employees	 	2,427	 	2,400	 	2,418	 	2,533	 	
Branches and Offices	 	83	 	83	 	83	 	85	 	
ATMs	 	487	 	483	 	485	 	486	 	

1	Efficiency ratio is defined as noninterest expense divided by total revenue (net interest income and total noninterest income).	
2	Operating leverage is defined as the percentage change in income before the provision for credit losses and the provision for income taxes. Measures are presented on a linked quarter basis.	
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 share divided by basic earnings per share.	
5	Excluded from non-performing assets are contractually binding non-accrual loans held for sale of $4.2 million and $5.2 million as of December 31, 2009 and June 30, 2009, respectively.	
6	Tier 1 Capital Ratio as of December 31, 2009 and June 30, 2009 was revised from 14.88% and 12.56%, respectively.	
7	Total Capital Ratio as of December 31, 2009 and June 30, 2009 was revised from 16.15% and 13.82%, respectively.	
8	Leverage Ratio as of December 31, 2009 and June 30, 2009 was revised from 6.78% and 6.66%, respectively.	
9	Tangible common equity, a non-GAAP financial measure, is defined by the Company as shareholders’ equity minus goodwill and intangible assets.  Intangible assets are included as a component of other assets in the Consolidated Statements of Condition.	

 
Bank of Hawaii Corporation and Subsidiaries	 	 	
Net Significant Income (Expense) Items	 	Table 2	
 
 	 	Three Months Ended	 	Six Months Ended	 	
 	 	June 30,	 	March 31,	 	June 30,	 	June 30,	 	
(dollars in thousands)	 	2010	 	2010	 	2009	 	2010	 	2009	 	
Cash Basis Interest Recoveries	 	$	—	 	$	2,832	 	$	—	 	$	2,832	 	$	—	 	
Investment Securities Gains, Net	 	14,951	 	20,021	 	—	 	34,972	 	—	 	
Gain on Disposal of Leased Equipment	 	1,189	 	—	 	2,782	 	1,189	 	12,818	 	
Gain on Sale of Insurance Subsidiary	 	—	 	—	 	852	 	—	 	852	 	
Increase in Allowance for Loan and Lease Losses	 	(1,000	)	(2,700	)	(3,000	)	(3,700	)	(13,918	)	
Cash Grants for the Purchase of Company Stock	 	(3,250	)	—	 	—	 	(3,250	)	—	 	
FDIC Special Assessment	 	—	 	—	 	(5,744	)	—	 	(5,744	)	
Legal Contingencies	 	—	 	—	 	—	 	—	 	(1,500	)	
Market Premium on Repurchased Long-Term Privately Placed Debt	 	—	 	—	 	—	 	—	 	(875	)	
Significant Income (Expense) Items Before the Provision (Benefit) for Income Taxes	 	11,890	 	20,153	 	(5,110	)	32,043	 	(8,367	)	
Income Taxes Impact Related to Lease Transactions	 	462	 	—	 	(286	)	462	 	3,586	 	
Income Tax Impact	 	3,745	 	7,054	 	(2,762	)	10,799	 	(7,414	)	
Net Significant Income (Expense) Items	 	$	7,683	 	$	13,099	 	$	(2,062	)	$	20,782	 	$	(4,539	)	

 
Bank of Hawaii Corporation and Subsidiaries	 	 	
Consolidated Statements of Income	 	Table 3	
 
 	 	Three Months Ended	 	Six Months Ended	 	
 	 	June 30,	 	March 31,	 	June 30,	 	June 30,	 	
(dollars in thousands, except per share amounts)	 	2010	 	2010	 	2009	 	2010	 	2009	 	
Interest Income	 	 	 	 	 	 	 	 	 	 	 	
Interest and Fees on Loans and Leases	 	$	71,997	 	$	77,271	 	$	83,342	 	$	149,268	 	$	169,934	 	
Income on Investment Securities	 	 	 	 	 	 	 	 	 	 	 	
Trading	 	—	 	—	 	—	 	—	 	594	 	
Available-for-Sale	 	44,989	 	43,841	 	38,155	 	88,830	 	70,456	 	
Held-to-Maturity	 	1,700	 	1,863	 	2,369	 	3,563	 	4,936	 	
Deposits	 	3	 	13	 	5	 	16	 	15	 	
Funds Sold	 	396	 	309	 	526	 	705	 	1,103	 	
Other	 	277	 	277	 	276	 	554	 	552	 	
Total Interest Income	 	119,362	 	123,574	 	124,673	 	242,936	 	247,590	 	
Interest Expense	 	 	 	 	 	 	 	 	 	 	 	
Deposits	 	7,930	 	8,307	 	14,481	 	16,237	 	31,506	 	
Securities Sold Under Agreements to Repurchase	 	6,472	 	6,429	 	6,477	 	12,901	 	13,129	 	
Funds Purchased	 	6	 	7	 	5	 	13	 	10	 	
Long-Term Debt	 	1,026	 	1,178	 	859	 	2,204	 	3,032	 	
Total Interest Expense	 	15,434	 	15,921	 	21,822	 	31,355	 	47,677	 	
Net Interest Income	 	103,928	 	107,653	 	102,851	 	211,581	 	199,913	 	
Provision for Credit Losses	 	15,939	 	20,711	 	28,690	 	36,650	 	53,577	 	
Net Interest Income After Provision for Credit Losses	 	87,989	 	86,942	 	74,161	 	174,931	 	146,336	 	
Noninterest Income	 	 	 	 	 	 	 	 	 	 	 	
Trust and Asset Management	 	11,457	 	11,708	 	11,881	 	23,165	 	23,513	 	
Mortgage Banking	 	3,752	 	3,464	 	5,443	 	7,216	 	14,121	 	
Service Charges on Deposit Accounts	 	14,856	 	13,814	 	12,910	 	28,670	 	26,296	 	
Fees, Exchange, and Other Service Charges	 	15,806	 	14,504	 	15,410	 	30,310	 	30,386	 	
Investment Securities Gains, Net	 	14,951	 	20,021	 	12	 	34,972	 	68	 	
Insurance	 	2,291	 	2,715	 	4,744	 	5,006	 	10,385	 	
Other	 	5,761	 	5,556	 	9,432	 	11,317	 	25,428	 	
Total Noninterest Income	 	68,874	 	71,782	 	59,832	 	140,656	 	130,197	 	
Noninterest Expense	 	 	 	 	 	 	 	 	 	 	 	
Salaries and Benefits	 	47,500	 	44,564	 	44,180	 	92,064	 	91,208	 	
Net Occupancy	 	10,154	 	10,144	 	10,008	 	20,298	 	20,336	 	
Net Equipment	 	4,366	 	4,558	 	4,502	 	8,924	 	8,818	 	
Professional Fees	 	2,091	 	1,992	 	4,005	 	4,083	 	6,554	 	
FDIC Insurance	 	3,107	 	3,100	 	8,987	 	6,207	 	10,801	 	
Other	 	18,700	 	17,348	 	17,902	 	36,048	 	39,800	 	
Total Noninterest Expense	 	85,918	 	81,706	 	89,584	 	167,624	 	177,517	 	
Income Before Provision for Income Taxes	 	70,945	 	77,018	 	44,409	 	147,963	 	99,016	 	
Provision for Income Taxes	 	24,381	 	24,282	 	13,403	 	48,663	 	31,970	 	
Net Income	 	$	46,564	 	$	52,736	 	$	31,006	 	$	99,300	 	$	67,046	 	
Basic Earnings Per Share	 	$	0.97	 	$	1.10	 	$	0.65	 	$	2.07	 	$	1.41	 	
Diluted Earnings Per Share	 	$	0.96	 	$	1.09	 	$	0.65	 	$	2.05	 	$	1.40	 	
Dividends Declared Per Share	 	$	0.45	 	$	0.45	 	$	0.45	 	$	0.90	 	$	0.90	 	
Basic Weighted Average Shares	 	48,080,485	 	47,914,412	 	47,682,604	 	47,997,996	 	47,624,521	 	
Diluted Weighted Average Shares	 	48,415,602	 	48,289,427	 	47,948,531	 	48,352,082	 	47,876,509	 	

 
Bank of Hawaii Corporation and Subsidiaries	 	 	
Consolidated Statements of Condition	 	Table 4	
 
 	 	June 30,	 	March 31,	 	December 31,	 	June 30,	 	
(dollars in thousands)	 	2010	 	2010	 	2009	 	2009	 	
Assets	 	 	 	 	 	 	 	 	 	
Interest-Bearing Deposits	 	$	4,062	 	$	4,910	 	$	8,755	 	$	4,537	 	
Funds Sold	 	355,891	 	269,410	 	291,546	 	656,000	 	
Investment Securities	 	 	 	 	 	 	 	 	 	
Available-for-Sale	 	5,980,759	 	5,447,239	 	5,330,834	 	4,292,911	 	
Held-to-Maturity (Fair Value of $161,441; $173,646; $186,668, and $214,484)	 	153,190	 	167,099	 	181,018	 	209,807	 	
Loans Held for Sale	 	13,179	 	11,143	 	16,544	 	40,994	 	
Loans and Leases	 	5,440,911	 	5,610,081	 	5,759,785	 	6,149,911	 	
Allowance for Loan and Lease Losses	 	(147,358	)	(146,358	)	(143,658	)	(137,416	)	
Net Loans and Leases	 	5,293,553	 	5,463,723	 	5,616,127	 	6,012,495	 	
Total Earning Assets	 	11,800,634	 	11,363,524	 	11,444,824	 	11,216,744	 	
Cash and Noninterest-Bearing Deposits	 	343,514	 	355,398	 	254,766	 	294,022	 	
Premises and Equipment	 	108,394	 	110,310	 	110,976	 	112,681	 	
Customers’ Acceptances	 	412	 	677	 	1,386	 	2,084	 	
Accrued Interest Receivable	 	41,420	 	42,180	 	45,334	 	43,042	 	
Foreclosed Real Estate	 	3,192	 	3,192	 	3,132	 	438	 	
Mortgage Servicing Rights	 	25,646	 	26,082	 	25,970	 	24,731	 	
Goodwill	 	31,517	 	31,517	 	31,517	 	34,959	 	
Other Assets	 	501,116	 	502,790	 	496,922	 	465,994	 	
Total Assets	 	$	12,855,845	 	$	12,435,670	 	$	12,414,827	 	$	12,194,695	 	
 	 	 	 	 	 	 	 	 	 	
Liabilities	 	 	 	 	 	 	 	 	 	
Deposits	 	 	 	 	 	 	 	 	 	
Noninterest-Bearing Demand	 	$	2,214,803	 	$	2,194,280	 	$	2,252,083	 	$	2,109,270	 	
Interest-Bearing Demand	 	1,615,464	 	1,669,586	 	1,609,413	 	1,589,300	 	
Savings	 	4,423,473	 	4,515,597	 	4,405,969	 	4,054,039	 	
Time	 	1,070,919	 	1,114,621	 	1,142,211	 	1,267,052	 	
Total Deposits	 	9,324,659	 	9,494,084	 	9,409,676	 	9,019,661	 	
Funds Purchased	 	9,832	 	8,888	 	8,888	 	8,670	 	
Short-Term Borrowings	 	7,000	 	7,317	 	6,900	 	10,000	 	
Securities Sold Under Agreements to Repurchase	 	2,081,393	 	1,529,047	 	1,618,717	 	1,799,794	 	
Long-Term Debt	 	40,300	 	90,309	 	90,317	 	91,432	 	
Banker’s Acceptances	 	412	 	677	 	1,386	 	2,084	 	
Retirement Benefits Payable	 	35,669	 	36,895	 	37,435	 	54,286	 	
Accrued Interest Payable	 	5,078	 	7,766	 	7,026	 	7,765	 	
Taxes Payable and Deferred Taxes	 	228,660	 	224,112	 	229,140	 	226,936	 	
Other Liabilities	 	109,831	 	97,203	 	109,369	 	128,182	 	
Total Liabilities	 	11,842,834	 	11,496,298	 	11,518,854	 	11,348,810	 	
Shareholders’ Equity	 	 	 	 	 	 	 	 	 	
Common Stock ($.01 par value; authorized 500,000,000 shares; issued / outstanding: June 30, 2010 - 57,100,287 / 48,264,157; March 31, 2010 - 57,027,543 / 48,040,830; December 31, 2009 - 57,028,239 / 48,018,943; and June 30, 2009 - 57,028,940 / 47,881,083)	 	570	 	570	 	569	 	569	 	
Capital Surplus	 	497,082	 	494,653	 	494,318	 	491,784	 	
Accumulated Other Comprehensive Income (Loss)	 	61,220	 	18,063	 	6,925	 	(1,870	)	
Retained Earnings	 	895,565	 	874,305	 	843,521	 	811,121	 	
Treasury Stock, at Cost (Shares: June 30, 2010 - 8,836,130; March 31, 2010 - 8,986,713; December 31, 2009 - 9,009,296; and June 30, 2009 - 9,147,857)	 	(441,426	)	(448,219	)	(449,360	)	(455,719	)	
Total Shareholders’ Equity	 	1,013,011	 	939,372	 	895,973	 	845,885	 	
Total Liabilities and Shareholders’ Equity	 	$	12,855,845	 	$	12,435,670	 	$	12,414,827	 	$	12,194,695	 	

 
Bank of Hawaii Corporation and Subsidiaries	 	 	
Consolidated Statements of Shareholders’ Equity	 	Table 5	
 
 	 	 	 	 	 	 	 	Accum.	 	 	 	 	 	 	 	
 	 	 	 	 	 	 	 	Other	 	 	 	 	 	 	 	
 	 	 	 	 	 	 	 	Comprehensive	 	 	 	 	 	 	 	
 	 	 	 	Common	 	Capital	 	Income	 	Retained	 	Treasury	 	Comprehensive	 	
(dollars in thousands)	 	Total	 	Stock	 	Surplus	 	(Loss)	 	Earnings	 	Stock	 	Income	 	
Balance as of December 31, 2009	 	$	895,973	 	$	569	 	$	494,318	 	$	6,925	 	$	843,521	 	$	(449,360	)	 	 	
Comprehensive Income:	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
Net Income	 	99,300	 	—	 	—	 	—	 	99,300	 	—	 	$	99,300	 	
Other Comprehensive Income, Net of Tax:	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
Change in Unrealized Gains and Losses on Investment Securities Available-for-Sale	 	53,534	 	—	 	—	 	53,534	 	—	 	—	 	53,534	 	
Amortization of Net Losses Related to Defined Benefit Plans	 	761	 	—	 	—	 	761	 	—	 	—	 	761	 	
Total Comprehensive Income	 	 	 	 	 	 	 	 	 	 	 	 	 	$	153,595	 	
Share-Based Compensation	 	1,545	 	—	 	1,545	 	—	 	—	 	—	 	 	 	
Common Stock Issued under Purchase and Equity Compensation Plans and Related Tax Benefits (312,707 shares)	 	8,532	 	1	 	1,219	 	—	 	(3,902	)	11,214	 	 	 	
Common Stock Repurchased (67,493 shares)	 	(3,280	)	—	 	—	 	—	 	—	 	(3,280	)	 	 	
Cash Dividends Paid	 	(43,354	)	—	 	—	 	—	 	(43,354	)	—	 	 	 	
Balance as of June 30, 2010	 	$	1,013,011	 	$	570	 	$	497,082	 	$	61,220	 	$	895,565	 	$	(441,426	)	 	 	
 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
Balance as of December 31, 2008	 	$	790,704	 	$	568	 	$	492,515	 	$	(28,888	)	$	787,924	 	$	(461,415	)	 	 	
Comprehensive Income:	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
Net Income	 	67,046	 	—	 	—	 	—	 	67,046	 	—	 	$	67,046	 	
Other Comprehensive Income, Net of Tax:	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
Change in Unrealized Gains and Losses on Investment Securities Available-for-Sale	 	26,302	 	—	 	—	 	26,302	 	—	 	—	 	26,302	 	
Amortization of Net Losses Related to Defined Benefit Plans	 	716	 	—	 	—	 	716	 	—	 	—	 	716	 	
Total Comprehensive Income	 	 	 	 	 	 	 	 	 	 	 	 	 	$	94,064	 	
Share-Based Compensation	 	944	 	—	 	944	 	—	 	—	 	—	 	 	 	
Common Stock Issued under Purchase and Equity Compensation Plans and Related Tax Benefits (152,582 shares)	 	4,087	 	1	 	(1,675	)	—	 	(791	)	6,552	 	 	 	
Common Stock Repurchased (24,870 shares)	 	(856	)	—	 	—	 	—	 	—	 	(856	)	 	 	
Cash Dividends Paid	 	(43,058	)	—	 	—	 	—	 	(43,058	)	—	 	 	 	
Balance as of June 30, 2009	 	$	845,885	 	$	569	 	$	491,784	 	$	(1,870	)	$	811,121	 	$	(455,719	)	 	 	

 
Bank of Hawaii Corporation and Subsidiaries	 	 	
Average Balances and Interest Rates - Taxable Equivalent Basis	 	Table 6a	
 
 	 	Three Months Ended	 	Three Months Ended	 	Three Months Ended	 	
 	 	June 30, 2010	 	March 31, 2010	 	June 30, 2009	 	
 	 	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	 	$	5.3	 	$	—	 	0.17	%	$	5.8	 	$	—	 	0.92	%	$	5.2	 	$	—	 	0.36	%	
Funds Sold	 	586.8	 	0.4	 	0.27	 	463.1	 	0.3	 	0.27	 	833.2	 	0.5	 	0.25	 	
Investment Securities	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
Available-for-Sale	 	5,531.2	 	45.2	 	3.27	 	5,241.0	 	44.1	 	3.37	 	3,662.1	 	38.5	 	4.21	 	
Held-to-Maturity	 	160.2	 	1.7	 	4.25	 	174.1	 	1.9	 	4.28	 	219.9	 	2.4	 	4.31	 	
Loans Held for Sale	 	8.5	 	0.1	 	4.46	 	8.8	 	0.5	 	23.80	 	24.1	 	0.2	 	4.21	 	
Loans and Leases1	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
Commercial and Industrial	 	765.5	 	7.9	 	4.12	 	788.5	 	10.2	 	5.25	 	984.1	 	9.9	 	4.02	 	
Commercial Mortgage	 	826.2	 	10.5	 	5.10	 	838.0	 	10.5	 	5.09	 	763.8	 	9.9	 	5.22	 	
Construction	 	100.3	 	1.3	 	5.28	 	108.0	 	1.3	 	4.99	 	144.5	 	1.5	 	4.03	 	
Commercial Lease Financing	 	400.8	 	3.0	 	2.95	 	407.4	 	3.4	 	3.33	 	450.2	 	3.5	 	3.13	 	
Residential Mortgage	 	2,109.1	 	29.9	 	5.66	 	2,160.6	 	30.9	 	5.73	 	2,359.0	 	34.6	 	5.88	 	
Home Equity	 	875.8	 	10.9	 	5.01	 	909.4	 	11.3	 	5.02	 	999.3	 	12.6	 	5.07	 	
Automobile	 	249.4	 	4.7	 	7.63	 	272.6	 	5.2	 	7.73	 	325.5	 	6.5	 	7.96	 	
Other2	 	195.3	 	3.7	 	7.63	 	202.4	 	3.9	 	7.76	 	232.0	 	4.6	 	7.89	 	
Total Loans and Leases	 	5,522.4	 	71.9	 	5.22	 	5,686.9	 	76.7	 	5.44	 	6,258.4	 	83.1	 	5.32	 	
Other	 	79.8	 	0.3	 	1.39	 	79.8	 	0.3	 	1.39	 	79.7	 	0.3	 	1.39	 	
Total Earning Assets3	 	11,894.2	 	119.6	 	4.03	 	11,659.5	 	123.8	 	4.27	 	11,082.6	 	125.0	 	4.52	 	
Cash and Noninterest-Bearing Deposits	 	221.0	 	 	 	 	 	229.8	 	 	 	 	 	203.9	 	 	 	 	 	
Other Assets	 	488.0	 	 	 	 	 	488.5	 	 	 	 	 	467.1	 	 	 	 	 	
Total Assets	 	$	12,603.2	 	 	 	 	 	$	12,377.8	 	 	 	 	 	$	11,753.6	 	 	 	 	 	
 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
Interest-Bearing Liabilities	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
Interest-Bearing Deposits	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
Demand	 	$	1,659.8	 	0.3	 	0.06	 	$	1,662.0	 	0.3	 	0.07	 	$	1,907.7	 	0.3	 	0.07	 	
Savings	 	4,477.8	 	4.2	 	0.38	 	4,434.2	 	4.4	 	0.40	 	4,036.9	 	7.8	 	0.77	 	
Time	 	1,093.0	 	3.4	 	1.24	 	1,136.5	 	3.6	 	1.29	 	1,330.6	 	6.4	 	1.92	 	
Total Interest-Bearing Deposits	 	7,230.6	 	7.9	 	0.44	 	7,232.7	 	8.3	 	0.47	 	7,275.2	 	14.5	 	0.80	 	
Short-Term Borrowings	 	17.7	 	—	 	0.13	 	28.7	 	—	 	0.10	 	16.4	 	—	 	0.12	 	
Securities Sold Under Agreements to Repurchase	 	1,785.2	 	6.5	 	1.44	 	1,531.7	 	6.4	 	1.68	 	1,168.2	 	6.5	 	2.20	 	
Long-Term Debt	 	74.4	 	1.0	 	5.52	 	90.3	 	1.2	 	5.25	 	71.1	 	0.8	 	4.84	 	
Total Interest-Bearing Liabilities	 	9,107.9	 	15.4	 	0.68	 	8,883.4	 	15.9	 	0.72	 	8,530.9	 	21.8	 	1.02	 	
Net Interest Income	 	 	 	$	104.2	 	 	 	 	 	$	107.9	 	 	 	 	 	$	103.2	 	 	 	
Interest Rate Spread	 	 	 	 	 	3.35	%	 	 	 	 	3.55	%	 	 	 	 	3.50	%	
Net Interest Margin	 	 	 	 	 	3.51	%	 	 	 	 	3.72	%	 	 	 	 	3.73	%	
Noninterest-Bearing Demand Deposits	 	2,157.0	 	 	 	 	 	2,157.9	 	 	 	 	 	1,946.9	 	 	 	 	 	
Other Liabilities	 	356.1	 	 	 	 	 	387.4	 	 	 	 	 	417.7	 	 	 	 	 	
Shareholders’ Equity	 	982.2	 	 	 	 	 	949.1	 	 	 	 	 	858.1	 	 	 	 	 	
Total Liabilities and Shareholders’ Equity	 	$	12,603.2	 	 	 	 	 	$	12,377.8	 	 	 	 	 	$	11,753.6	 	 	 	 	 	

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 35%, of $237,000, $239,000, and $331,000 for the three months ended June 30, 2010, March 31, 2010, and June 30, 2009, respectively.	

 
Bank of Hawaii Corporation and Subsidiaries	 	 	
Average Balances and Interest Rates - Taxable Equivalent Basis	 	Table 6b	
 
 	 	Six Months Ended	 	Six Months Ended	 	
 	 	June 30, 2010	 	June 30, 2009	 	
 	 	Average	 	Income/	 	Yield/	 	Average	 	Income/	 	Yield/	 	
(dollars in millions)	 	Balance	 	Expense	 	Rate	 	Balance	 	Expense	 	Rate	 	
Earning Assets	 	 	 	 	 	 	 	 	 	 	 	 	 	
Interest-Bearing Deposits	 	$	5.6	 	$	—	 	0.56	%	$	5.0	 	$	—	 	0.59	%	
Funds Sold	 	525.2	 	0.7	 	0.27	 	872.8	 	1.1	 	0.25	 	
Investment Securities	 	 	 	 	 	 	 	 	 	 	 	 	 	
Trading	 	—	 	—	 	—	 	24.3	 	0.6	 	4.90	 	
Available-for-Sale	 	5,386.9	 	89.3	 	3.32	 	3,148.3	 	71.0	 	4.51	 	
Held-to-Maturity	 	167.1	 	3.6	 	4.26	 	227.4	 	4.9	 	4.34	 	
Loans Held for Sale	 	8.7	 	0.6	 	14.27	 	23.0	 	0.5	 	4.30	 	
Loans and Leases1	 	 	 	 	 	 	 	 	 	 	 	 	 	
Commercial and Industrial	 	776.9	 	18.1	 	4.69	 	1,007.6	 	20.3	 	4.06	 	
Commercial Mortgage	 	832.1	 	21.0	 	5.10	 	747.3	 	19.5	 	5.27	 	
Construction	 	104.1	 	2.7	 	5.13	 	149.3	 	3.1	 	4.12	 	
Commercial Lease Financing	 	404.1	 	6.3	 	3.14	 	456.5	 	7.2	 	3.14	 	
Residential Mortgage	 	2,134.7	 	60.8	 	5.70	 	2,398.0	 	71.0	 	5.92	 	
Home Equity	 	892.5	 	22.2	 	5.01	 	1,013.9	 	25.6	 	5.10	 	
Automobile	 	260.9	 	9.9	 	7.68	 	340.8	 	13.4	 	7.95	 	
Other2	 	198.9	 	7.6	 	7.70	 	238.5	 	9.3	 	7.88	 	
Total Loans and Leases	 	5,604.2	 	148.6	 	5.33	 	6,351.9	 	169.4	 	5.36	 	
Other	 	79.8	 	0.6	 	1.39	 	79.7	 	0.6	 	1.39	 	
Total Earning Assets3	 	11,777.5	 	243.4	 	4.15	 	10,732.4	 	248.1	 	4.64	 	
Cash and Noninterest-Bearing Deposits	 	225.4	 	 	 	 	 	223.6	 	 	 	 	 	
Other Assets	 	488.2	 	 	 	 	 	470.8	 	 	 	 	 	
Total Assets	 	$	12,491.1	 	 	 	 	 	$	11,426.8	 	 	 	 	 	
 	 	 	 	 	 	 	 	 	 	 	 	 	 	
Interest-Bearing Liabilities	 	 	 	 	 	 	 	 	 	 	 	 	 	
Interest-Bearing Deposits	 	 	 	 	 	 	 	 	 	 	 	 	 	
Demand	 	$	1,660.8	 	0.5	 	0.07	 	$	1,898.2	 	0.6	 	0.07	 	
Savings	 	4,456.1	 	8.7	 	0.39	 	3,786.4	 	16.0	 	0.85	 	
Time	 	1,114.7	 	7.0	 	1.27	 	1,415.2	 	14.9	 	2.12	 	
Total Interest-Bearing Deposits	 	7,231.6	 	16.2	 	0.45	 	7,099.8	 	31.5	 	0.89	 	
Short-Term Borrowings	 	23.2	 	—	 	0.11	 	17.6	 	—	 	0.11	 	
Securities Sold Under Agreements to Repurchase	 	1,659.2	 	12.9	 	1.55	 	1,052.4	 	13.1	 	2.48	 	
Long-Term Debt	 	82.3	 	2.2	 	5.37	 	109.4	 	3.0	 	5.56	 	
Total Interest-Bearing Liabilities	 	8,996.3	 	31.3	 	0.70	 	8,279.2	 	47.6	 	1.16	 	
Net Interest Income	 	 	 	$	212.1	 	 	 	 	 	$	200.5	 	 	 	
Interest Rate Spread	 	 	 	 	 	3.45	%	 	 	 	 	3.48	%	
Net Interest Margin	 	 	 	 	 	3.61	%	 	 	 	 	3.75	%	
Noninterest-Bearing Demand Deposits	 	2,157.5	 	 	 	 	 	1,888.3	 	 	 	 	 	
Other Liabilities	 	371.6	 	 	 	 	 	421.0	 	 	 	 	 	
Shareholders’ Equity	 	965.7	 	 	 	 	 	838.3	 	 	 	 	 	
Total Liabilities and Shareholders’ Equity	 	$	12,491.1	 	 	 	 	 	$	11,426.8	 	 	 	 	 	

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 35%, of $476,000 and $557,000 for the six months ended June 30, 2010 and 2009, respectively.	

 
Bank of Hawaii Corporation and Subsidiaries	 	 	
Analysis of Change in Net Interest Income - Taxable Equivalent Basis	 	Table 7a	
 
 	 	Three Months Ended June 30, 2010	 	
 	 	Compared to March 31, 2010	 	
(dollars in millions)	 	Volume1	 	Rate1	 	Time1	 	Total	 	
Change in Interest Income:	 	 	 	 	 	 	 	 	 	
Funds Sold	 	$	0.1	 	$	—	 	$	—	 	$	0.1	 	
Investment Securities	 	 	 	 	 	 	 	 	 	
Available-for-Sale	 	2.3	 	(1.3	)	0.1	 	1.1	 	
Held-to-Maturity	 	(0.2	)	—	 	—	 	(0.2	)	
Loans Held for Sale	 	—	 	(0.4	)	—	 	(0.4	)	
Loans and Leases	 	 	 	 	 	 	 	 	 	
Commercial and Industrial	 	(0.3	)	(2.1	)	0.1	 	(2.3	)	
Commercial Mortgage	 	(0.1	)	—	 	0.1	 	—	 	
Construction	 	(0.1	)	0.1	 	—	 	—	 	
Commercial Lease Financing	 	—	 	(0.4	)	—	 	(0.4	)	
Residential Mortgage	 	(0.6	)	(0.4	)	—	 	(1.0	)	
Home Equity	 	(0.5	)	—	 	0.1	 	(0.4	)	
Automobile	 	(0.5	)	(0.1	)	0.1	 	(0.5	)	
Other2	 	(0.1	)	(0.1	)	—	 	(0.2	)	
Total Loans and Leases	 	(2.2	)	(3.0	)	0.4	 	(4.8	)	
Total Change in Interest Income	 	—	 	(4.7	)	0.5	 	(4.2	)	
 	 	 	 	 	 	 	 	 	 	
Change in Interest Expense:	 	 	 	 	 	 	 	 	 	
Interest-Bearing Deposits	 	 	 	 	 	 	 	 	 	
Savings	 	—	 	(0.3	)	0.1	 	(0.2	)	
Time	 	(0.1	)	(0.1	)	—	 	(0.2	)	
Total Interest-Bearing Deposits	 	(0.1	)	(0.4	)	0.1	 	(0.4	)	
Securities Sold Under Agreements to Repurchase	 	1.0	 	(1.0	)	0.1	 	0.1	 	
Long-Term Debt	 	(0.2	)	—	 	—	 	(0.2	)	
Total Change in Interest Expense	 	0.7	 	(1.4	)	0.2	 	(0.5	)	
 	 	 	 	 	 	 	 	 	 	
Change in Net Interest Income	 	$	(0.7	)	$	(3.3	)	$	0.3	 	$	(3.7	)	

1	The changes for each category of interest income and expense are allocated between the portion of changes attributable to the variance in volume, rate, and time for that category.	
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 7b	
 
 	 	Three Months Ended June 30, 2010	 	
 	 	Compared to June 30, 2009	 	
(dollars in millions)	 	Volume1	 	Rate1	 	Total	 	
Change in Interest Income:	 	 	 	 	 	 	 	
Funds Sold	 	$	(0.2	)	$	0.1	 	$	(0.1	)	
Investment Securities	 	 	 	 	 	 	 	
Available-for-Sale	 	16.6	 	(9.9	)	6.7	 	
Held-to-Maturity	 	(0.6	)	(0.1	)	(0.7	)	
Loans Held for Sale	 	(0.2	)	0.1	 	(0.1	)	
Loans and Leases	 	 	 	 	 	 	 	
Commercial and Industrial	 	(2.2	)	0.2	 	(2.0	)	
Commercial Mortgage	 	0.8	 	(0.2	)	0.6	 	
Construction	 	(0.5	)	0.3	 	(0.2	)	
Commercial Lease Financing	 	(0.3	)	(0.2	)	(0.5	)	
Residential Mortgage	 	(3.5	)	(1.2	)	(4.7	)	
Home Equity	 	(1.5	)	(0.2	)	(1.7	)	
Automobile	 	(1.6	)	(0.2	)	(1.8	)	
Other2	 	(0.7	)	(0.2	)	(0.9	)	
Total Loans and Leases	 	(9.5	)	(1.7	)	(11.2	)	
Total Change in Interest Income	 	6.1	 	(11.5	)	(5.4	)	
 	 	 	 	 	 	 	 	
Change in Interest Expense:	 	 	 	 	 	 	 	
Interest-Bearing Deposits	 	 	 	 	 	 	 	
Savings	 	0.7	 	(4.3	)	(3.6	)	
Time	 	(1.0	)	(2.0	)	(3.0	)	
Total Interest-Bearing Deposits	 	(0.3	)	(6.3	)	(6.6	)	
Securities Sold Under Agreements to Repurchase	 	2.7	 	(2.7	)	—	 	
Long-Term Debt	 	0.1	 	0.1	 	0.2	 	
Total Change in Interest Expense	 	2.5	 	(8.9	)	(6.4	)	
 	 	 	 	 	 	 	 	
Change in Net Interest Income	 	$	3.6	 	$	(2.6	)	$	1.0	 	

1	The changes for each category of interest income and expense are allocated between the portion of changes attributable to the variance in volume and rate for that category.	
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 7c	
 
 	 	Six Months Ended June 30, 2010	 	
 	 	Compared to June 30, 2009	 	
(dollars in millions)	 	Volume1	 	Rate1	 	Total	 	
Change in Interest Income:	 	 	 	 	 	 	 	
Funds Sold	 	$	(0.5	)	$	0.1	 	$	(0.4	)	
Investment Securities	 	 	 	 	 	 	 	
Trading	 	(0.3	)	(0.3	)	(0.6	)	
Available-for-Sale	 	40.6	 	(22.3	)	18.3	 	
Held-to-Maturity	 	(1.3	)	—	 	(1.3	)	
Loans Held for Sale	 	(0.5	)	0.6	 	0.1	 	
Loans and Leases	 	 	 	 	 	 	 	
Commercial and Industrial	 	(5.1	)	2.9	 	(2.2	)	
Commercial Mortgage	 	2.2	 	(0.7	)	1.5	 	
Construction	 	(1.0	)	0.6	 	(0.4	)	
Commercial Lease Financing	 	(0.9	)	—	 	(0.9	)	
Residential Mortgage	 	(7.6	)	(2.6	)	(10.2	)	
Home Equity	 	(3.0	)	(0.4	)	(3.4	)	
Automobile	 	(3.0	)	(0.5	)	(3.5	)	
Other2	 	(1.5	)	(0.2	)	(1.7	)	
Total Loans and Leases	 	(19.9	)	(0.9	)	(20.8	)	
Total Change in Interest Income	 	18.1	 	(22.8	)	(4.7	)	
 	 	 	 	 	 	 	 	
Change in Interest Expense:	 	 	 	 	 	 	 	
Interest-Bearing Deposits	 	 	 	 	 	 	 	
Demand	 	(0.1	)	—	 	(0.1	)	
Savings	 	2.4	 	(9.7	)	(7.3	)	
Time	 	(2.7	)	(5.2	)	(7.9	)	
Total Interest-Bearing Deposits	 	(0.4	)	(14.9	)	(15.3	)	
Securities Sold Under Agreements to Repurchase	 	5.8	 	(6.0	)	(0.2	)	
Long-Term Debt	 	(0.7	)	(0.1	)	(0.8	)	
Total Change in Interest Expense	 	4.7	 	(21.0	)	(16.3	)	
 	 	 	 	 	 	 	 	
Change in Net Interest Income	 	$	13.4	 	$	(1.8	)	$	11.6	 	

1	The changes for each category of interest income and expense are allocated between the portion of changes attributable to the variance in volume and rate for that category.	
2	Comprised of other consumer revolving credit, installment, and consumer lease financing.	

 
Bank of Hawaii Corporation and Subsidiaries	 	 	
Salaries and Benefits	 	Table 8	
 
 	 	Three Months Ended	 	Six Months Ended	 	
 	 	June 30,	 	March 31,	 	June 30,	 	June 30,	 	
(dollars in thousands)	 	2010	 	2010	 	2009	 	2010	 	2009	 	
Salaries	 	$	29,942	 	$	29,143	 	$	30,732	 	$	59,085	 	$	60,577	 	
Incentive Compensation	 	3,447	 	3,446	 	3,407	 	6,893	 	6,699	 	
Share-Based Compensation and Cash Grants for the Purchase of Company Stock	 	3,984	 	556	 	604	 	4,540	 	1,391	 	
Commission Expense	 	1,259	 	1,346	 	1,750	 	2,605	 	4,005	 	
Retirement and Other Benefits	 	3,857	 	4,109	 	3,804	 	7,966	 	8,423	 	
Payroll Taxes	 	2,331	 	3,433	 	2,344	 	5,764	 	5,844	 	
Medical, Dental, and Life Insurance	 	2,481	 	2,480	 	1,236	 	4,961	 	3,900	 	
Separation Expense	 	199	 	51	 	303	 	250	 	369	 	
Total Salaries and Benefits	 	$	47,500	 	$	44,564	 	$	44,180	 	$	92,064	 	$	91,208	 	

 
Bank of Hawaii Corporation and Subsidiaries	 	 	
Loan and Lease Portfolio Balances	 	Table 9	
 
 	 	June 30,	 	March 31,	 	December 31,	 	September 30,	 	June 30,	 	
(dollars in thousands)	 	2010	 	2010	 	2009	 	2009	 	2009	 	
Commercial	 	 	 	 	 	 	 	 	 	 	 	
Commercial and Industrial	 	$	758,851	 	$	782,298	 	$	795,167	 	$	845,056	 	$	932,444	 	
Commercial Mortgage	 	816,165	 	834,086	 	841,431	 	777,498	 	788,226	 	
Construction	 	88,823	 	104,349	 	108,395	 	137,414	 	140,455	 	
Lease Financing	 	399,744	 	398,939	 	412,933	 	458,696	 	468,030	 	
Total Commercial	 	2,063,583	 	2,119,672	 	2,157,926	 	2,218,664	 	2,329,155	 	
Consumer	 	 	 	 	 	 	 	 	 	 	 	
Residential Mortgage	 	2,087,380	 	2,138,094	 	2,190,677	 	2,246,729	 	2,309,971	 	
Home Equity	 	861,196	 	892,109	 	921,571	 	952,076	 	977,632	 	
Automobile	 	238,671	 	260,472	 	283,937	 	299,657	 	309,877	 	
Other1	 	190,081	 	199,734	 	205,674	 	214,232	 	223,276	 	
Total Consumer	 	3,377,328	 	3,490,409	 	3,601,859	 	3,712,694	 	3,820,756	 	
Total Loans and Leases	 	$	5,440,911	 	$	5,610,081	 	$	5,759,785	 	$	5,931,358	 	$	6,149,911	 	
 	 	 	 	 	 	 	 	 	 	 	 	
Higher Risk Loans Outstanding	 	 	 	 	 	 	 	 	 	 	 	
 	 	 	 	 	 	 	 	 	 	 	 	
 	 	June 30,	 	March 31,	 	December 31,	 	September 30,	 	June 30,	 	
(dollars in thousands)	 	2010	 	2010	 	2009	 	2009	 	2009	 	
Residential Home Building2	 	$	18,993	 	$	29,475	 	$	31,067	 	$	38,592	 	$	22,850	 	
Residential Land Loans3	 	30,262	 	33,514	 	37,873	 	43,128	 	47,871	 	
Home Equity Loans4	 	25,055	 	24,595	 	28,076	 	24,339	 	21,832	 	
Air Transportation5	 	39,165	 	39,743	 	50,426	 	60,996	 	62,148	 	

1	Comprised of other revolving credit, installment, and lease financing.	
2	Residential home building loans were $41.4 million as of June 30, 2010. Higher risk loans within this segment are defined as those loans with a well-defined weakness or weaknesses that jeopardizes the orderly repayment of the loan.	
3	We consider all of our residential land loans, which are consumer loans secured by unimproved lots, to be of higher risk due to the volatility in the value of the underlying collateral.	
4	Higher risk home equity loans are defined as those loans originated in 2005 or later, with current monitoring credit scores below 600, and with original loan-to-value ratios greater than 70%.	
5	We consider all of our air transportation leases to be of higher risk due to the weak financial profile of the industry.	
 
Deposits
 
 	 	June 30,	 	March 31,	 	December 31,	 	September 30,	 	June 30,	 	
(dollars in thousands)	 	2010	 	20106	 	20096	 	20096	 	20096	 	
Consumer	 	$	4,925,579	 	$	4,940,576	 	$	4,926,567	 	$	4,776,626	 	$	4,747,612	 	
Commercial	 	4,036,679	 	4,126,287	 	4,115,286	 	4,002,619	 	3,829,035	 	
Public and Other	 	362,401	 	427,221	 	367,823	 	470,855	 	443,014	 	
Total Deposits	 	$	9,324,659	 	$	9,494,084	 	$	9,409,676	 	$	9,250,100	 	$	9,019,661	 	

6 Certain prior period information has been reclassified to conform to current presentation.

 
Bank of Hawaii Corporation and Subsidiaries	 	 	
Non-Performing Assets and Accruing Loans and Leases Past Due 90 Days or More	 	Table 10	
 
 	 	June 30,	 	March 31,	 	December 31,	 	September 30,	 	June 30,	 	
(dollars in thousands)	 	2010	 	2010	 	2009	 	2009	 	2009	 	
Non-Performing Assets1	 	 	 	 	 	 	 	 	 	 	 	
Non-Accrual Loans and Leases	 	 	 	 	 	 	 	 	 	 	 	
Commercial	 	 	 	 	 	 	 	 	 	 	 	
Commercial and Industrial	 	$	741	 	$	3,342	 	$	6,646	 	$	9,924	 	$	10,511	 	
Commercial Mortgage	 	3,476	 	1,662	 	1,167	 	1,193	 	1,219	 	
Construction	 	5,640	 	7,297	 	8,154	 	15,534	 	6,548	 	
Lease Financing	 	63	 	73	 	631	 	690	 	956	 	
Total Commercial	 	9,920	 	12,374	 	16,598	 	27,341	 	19,234	 	
Consumer	 	 	 	 	 	 	 	 	 	 	 	
Residential Mortgage	 	27,491	 	23,214	 	19,893	 	16,718	 	16,265	 	
Home Equity	 	2,638	 	2,844	 	5,153	 	3,726	 	2,567	 	
Other 2	 	—	 	—	 	550	 	550	 	550	 	
Total Consumer	 	30,129	 	26,058	 	25,596	 	20,994	 	19,382	 	
Total Non-Accrual Loans and Leases	 	40,049	 	38,432	 	42,194	 	48,335	 	38,616	 	
Non-Accrual Loans Held for Sale	 	—	 	—	 	3,005	 	—	 	—	 	
Foreclosed Real Estate	 	3,192	 	3,192	 	3,132	 	201	 	438	 	
Total Non-Performing Assets	 	$	43,241	 	$	41,624	 	$	48,331	 	$	48,536	 	$	39,054	 	
 	 	 	 	 	 	 	 	 	 	 	 	
Accruing Loans and Leases Past Due 90 Days or More	 	 	 	 	 	 	 	 	 	 	 	
Commercial	 	 	 	 	 	 	 	 	 	 	 	
Commercial and Industrial	 	$	—	 	$	2,192	 	$	623	 	$	137	 	$	13	 	
Construction	 	—	 	2,170	 	—	 	3,005	 	—	 	
Lease Financing	 	—	 	—	 	120	 	—	 	—	 	
Total Commercial	 	—	 	4,362	 	743	 	3,142	 	13	 	
Consumer	 	 	 	 	 	 	 	 	 	 	 	
Residential Mortgage	 	9,019	 	8,136	 	8,979	 	5,951	 	4,657	 	
Home Equity	 	2,256	 	1,608	 	2,210	 	1,698	 	2,879	 	
Automobile	 	464	 	571	 	875	 	749	 	769	 	
Other 2	 	1,161	 	1,345	 	886	 	739	 	1,270	 	
Total Consumer	 	12,900	 	11,660	 	12,950	 	9,137	 	9,575	 	
Total Accruing Loans and Leases Past Due 90 Days or More	 	$	12,900	 	$	16,022	 	$	13,693	 	$	12,279	 	$	9,588	 	
 	 	 	 	 	 	 	 	 	 	 	 	
Total Loans and Leases	 	$	5,440,911	 	$	5,610,081	 	$	5,759,785	 	$	5,931,358	 	$	6,149,911	 	
 	 	 	 	 	 	 	 	 	 	 	 	
Ratio of Non-Accrual Loans and Leases to Total Loans and Leases	 	0.74	%	0.69	%	0.73	%	0.81	%	0.63	%	
 	 	 	 	 	 	 	 	 	 	 	 	
Ratio of Non-Performing Assets to Total Loans and Leases, Loans Held for Sale, and Foreclosed Real Estate	 	0.79	%	0.74	%	0.84	%	0.82	%	0.63	%	
 	 	 	 	 	 	 	 	 	 	 	 	
Ratio of Commercial Non-Performing Assets to Total Commercial Loans and Leases, Commercial Loans Held for Sale, and Commercial Foreclosed Real Estate	 	0.62	%	0.72	%	1.03	%	1.23	%	0.82	%	
 	 	 	 	 	 	 	 	 	 	 	 	
Ratio of Consumer Non-Performing Assets to Total Consumer Loans and Leases and Consumer Foreclosed Real Estate	 	0.90	%	0.76	%	0.72	%	0.57	%	0.52	%	
 	 	 	 	 	 	 	 	 	 	 	 	
Ratio of Non-Performing Assets and Accruing Loans and Leases Past Due 90 Days or More to Total Loans and Leases, Loans Held for Sale, and Foreclosed Real Estate	 	1.03	%	1.02	%	1.07	%	1.02	%	0.79	%	
 	 	 	 	 	 	 	 	 	 	 	 	
Quarter to Quarter Changes in Non-Performing Assets 1	 	 	 	 	 	 	 	 	 	 	 	
Balance at Beginning of Quarter	 	$	41,624	 	$	48,331	 	$	48,536	 	$	39,054	 	$	40,329	 	
Additions	 	10,761	 	9,533	 	14,874	 	22,856	 	22,459	 	
Reductions	 	 	 	 	 	 	 	 	 	 	 	
Payments	 	(4,414	)	(5,689	)	(4,128	)	(6,899	)	(15,593	)	
Return to Accrual Status	 	—	 	(3,505	)	(1,818	)	(3,373	)	(230	)	
Sales of Foreclosed Real Estate	 	—	 	—	 	(38	)	(237	)	—	 	
Charge-offs/Write-downs	 	(4,730	)	(7,046	)	(9,095	)	(2,865	)	(7,911	)	
Total Reductions	 	(9,144	)	(16,240	)	(15,079	)	(13,374	)	(23,734	)	
Balance at End of Quarter	 	$	43,241	 	$	41,624	 	$	48,331	 	$	48,536	 	$	39,054	 	

1	Excluded from non-performing assets were contractually binding non-accrual loans held for sale of $4.2 million, $7.7 million, and $5.2 million as of December 31, 2009, September 30, 2009, and June 30, 2009, respectively.	
2	Comprised of other revolving credit, installment, and lease financing.	

 
Bank of Hawaii Corporation and Subsidiaries	 	 	
Reserve for Credit Losses	 	Table 11	
 
 	 	Three Months Ended	 	Six Months Ended	 	
 	 	June 30,	 	March 31,	 	June 30,	 	June 30,	 	
(dollars in thousands)	 	2010	 	2010	 	2009	 	2010	 	2009	 	
Balance at Beginning of Period	 	$	151,777	 	$	149,077	 	$	139,835	 	$	149,077	 	$	128,667	 	
Loans and Leases Charged-Off	 	 	 	 	 	 	 	 	 	 	 	
Commercial	 	 	 	 	 	 	 	 	 	 	 	
Commercial and Industrial	 	(3,056	)	(3,906	)	(12,249	)	(6,962	)	(18,713	)	
Commercial Mortgage	 	(1,000	)	(303	)	—	 	(1,303	)	—	 	
Construction	 	(1,417	)	(857	)	—	 	(2,274	)	—	 	
Lease Financing	 	(107	)	(190	)	(4,473	)	(297	)	(4,493	)	
Consumer	 	 	 	 	 	 	 	 	 	 	 	
Residential Mortgage	 	(4,377	)	(3,255	)	(1,814	)	(7,632	)	(2,641	)	
Home Equity	 	(2,886	)	(7,436	)	(3,303	)	(10,322	)	(5,619	)	
Automobile	 	(1,752	)	(2,027	)	(2,121	)	(3,779	)	(5,103	)	
Other1	 	(2,530	)	(2,822	)	(3,643	)	(5,352	)	(7,220	)	
Total Loans and Leases Charged-Off	 	(17,125	)	(20,796	)	(27,603	)	(37,921	)	(43,789	)	
Recoveries on Loans and Leases Previously Charged-Off	 	 	 	 	 	 	 	 	 	 	 	
Commercial	 	 	 	 	 	 	 	 	 	 	 	
Commercial and Industrial	 	367	 	858	 	228	 	1,225	 	770	 	
Commercial Mortgage	 	—	 	24	 	—	 	24	 	—	 	
Lease Financing	 	11	 	1	 	30	 	12	 	32	 	
Consumer	 	 	 	 	 	 	 	 	 	 	 	
Residential Mortgage	 	236	 	422	 	126	 	658	 	271	 	
Home Equity	 	197	 	100	 	76	 	297	 	172	 	
Automobile	 	826	 	753	 	735	 	1,579	 	1,462	 	
Other1	 	549	 	627	 	718	 	1,176	 	1,423	 	
Total Recoveries on Loans and Leases Previously Charged-Off	 	2,186	 	2,785	 	1,913	 	4,971	 	4,130	 	
Net Loans and Leases Charged-Off	 	(14,939	)	(18,011	)	(25,690	)	(32,950	)	(39,659	)	
Provision for Credit Losses	 	15,939	 	20,711	 	28,690	 	36,650	 	53,577	 	
Provision for Unfunded Commitments	 	—	 	—	 	—	 	—	 	250	 	
Balance at End of Period2	 	$	152,777	 	$	151,777	 	$	142,835	 	$	152,777	 	$	142,835	 	
 	 	 	 	 	 	 	 	 	 	 	 	
Components	 	 	 	 	 	 	 	 	 	 	 	
Allowance for Loan and Lease Losses	 	$	147,358	 	$	146,358	 	$	137,416	 	$	147,358	 	$	137,416	 	
Reserve for Unfunded Commitments	 	5,419	 	5,419	 	5,419	 	5,419	 	5,419	 	
Total Reserve for Credit Losses	 	$	152,777	 	$	151,777	 	$	142,835	 	$	152,777	 	$	142,835	 	
 	 	 	 	 	 	 	 	 	 	 	 	
Average Loans and Leases Outstanding	 	$	5,522,423	 	$	5,686,923	 	$	6,258,403	 	$	5,604,218	 	$	6,351,938	 	
 	 	 	 	 	 	 	 	 	 	 	 	
Ratio of Net Loans and Leases Charged-Off to Average Loans and Leases Outstanding (annualized)	 	1.09	%	1.28	%	1.65	%	1.19	%	1.26	%	
Ratio of Allowance for Loan and Lease Losses to Loans and Leases Outstanding	 	2.71	%	2.61	%	2.23	%	2.71	%	2.23	%	

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.	

 
Bank of Hawaii Corporation and Subsidiaries	 	 	
Business Segments Selected Financial Information	 	Table 12a	
 
 	 	Retail	 	Commercial	 	Investment	 	Treasury	 	Consolidated	 	
(dollars in thousands)	 	Banking	 	Banking	 	Services	 	and Other	 	Total	 	
Three Months Ended June 30, 2010	 	 	 	 	 	 	 	 	 	 	 	
Net Interest Income	 	$	48,253	 	$	36,336	 	$	4,215	 	$	15,124	 	$	103,928	 	
Provision for Credit Losses	 	9,871	 	6,206	 	(127	)	(11	)	15,939	 	
Net Interest Income After Provision for Credit Losses	 	38,382	 	30,130	 	4,342	 	15,135	 	87,989	 	
Noninterest Income	 	25,806	 	11,697	 	14,310	 	17,061	 	68,874	 	
Noninterest Expense	 	(43,436	)	(24,977	)	(15,553	)	(1,952	)	(85,918	)	
Income Before Provision for Income Taxes	 	20,752	 	16,850	 	3,099	 	30,244	 	70,945	 	
Provision for Income Taxes	 	(7,678	)	(5,866	)	(1,147	)	(9,690	)	(24,381	)	
Net Income	 	13,074	 	10,984	 	1,952	 	20,554	 	46,564	 	
Total Assets as of June 30, 2010	 	$	3,155,472	 	$	2,328,378	 	$	312,676	 	$	7,059,319	 	$	12,855,845	 	
 	 	 	 	 	 	 	 	 	 	 	 	
Three Months Ended June 30, 20091	 	 	 	 	 	 	 	 	 	 	 	
Net Interest Income	 	$	55,843	 	$	41,425	 	$	4,326	 	$	1,257	 	$	102,851	 	
Provision for Credit Losses	 	12,753	 	15,192	 	746	 	(1	)	28,690	 	
Net Interest Income After Provision for Credit Losses	 	43,090	 	26,233	 	3,580	 	1,258	 	74,161	 	
Noninterest Income	 	25,252	 	16,538	 	14,615	 	3,427	 	59,832	 	
Noninterest Expense	 	(43,937	)	(27,596	)	(15,797	)	(2,254	)	(89,584	)	
Income Before Provision for Income Taxes	 	24,405	 	15,175	 	2,398	 	2,431	 	44,409	 	
Provision for Income Taxes	 	(9,047	)	(5,436	)	(887	)	1,967	 	(13,403	)	
Net Income	 	15,358	 	9,739	 	1,511	 	4,398	 	31,006	 	
Total Assets as of June 30, 20091	 	$	3,554,288	 	$	2,659,944	 	$	267,546	 	$	5,712,917	 	$	12,194,695	 	

1 Certain prior period information has been reclassified to conform to current presentation.

 
Bank of Hawaii Corporation and Subsidiaries	 	 	
Business Segments Selected Financial Information	 	Table 12b	
 
 	 	Retail	 	Commercial	 	Investment	 	Treasury	 	Consolidated	 	
(dollars in thousands)	 	Banking	 	Banking	 	Services	 	and Other	 	Total	 	
Six Months Ended June 30, 2010	 	 	 	 	 	 	 	 	 	 	 	
Net Interest Income	 	$	97,565	 	$	77,485	 	$	8,538	 	$	27,993	 	$	211,581	 	
Provision for Credit Losses	 	25,227	 	11,347	 	88	 	(12	)	36,650	 	
Net Interest Income After Provision for Credit Losses	 	72,338	 	66,138	 	8,450	 	28,005	 	174,931	 	
Noninterest Income	 	49,273	 	21,715	 	29,337	 	40,331	 	140,656	 	
Noninterest Expense	 	(85,769	)	(48,839	)	(29,598	)	(3,418	)	(167,624	)	
Income Before Provision for Income Taxes	 	35,842	 	39,014	 	8,189	 	64,918	 	147,963	 	
Provision for Income Taxes	 	(13,261	)	(13,874	)	(3,031	)	(18,497	)	(48,663	)	
Net Income	 	22,581	 	25,140	 	5,158	 	46,421	 	99,300	 	
Total Assets as of June 30, 2010	 	$	3,155,472	 	$	2,328,378	 	$	312,676	 	$	7,059,319	 	$	12,855,845	 	
 	 	 	 	 	 	 	 	 	 	 	 	
Six Months Ended June 30, 20091	 	 	 	 	 	 	 	 	 	 	 	
Net Interest Income (Loss)	 	$	111,093	 	$	81,166	 	$	8,318	 	$	(664	)	$	199,913	 	
Provision for Credit Losses	 	29,322	 	22,950	 	1,550	 	(245	)	53,577	 	
Net Interest Income (Loss) After Provision for Credit Losses	 	81,771	 	58,216	 	6,768	 	(419	)	146,336	 	
Noninterest Income	 	53,666	 	40,364	 	29,060	 	7,107	 	130,197	 	
Noninterest Expense	 	(87,786	)	(53,381	)	(32,357	)	(3,993	)	(177,517	)	
Income Before Provision for Income Taxes	 	47,651	 	45,199	 	3,471	 	2,695	 	99,016	 	
Provision for Income Taxes	 	(17,651	)	(16,522	)	(1,282	)	3,485	 	(31,970	)	
Net Income	 	30,000	 	28,677	 	2,189	 	6,180	 	67,046	 	
Total Assets as of June 30, 20091	 	$	3,554,288	 	$	2,659,944	 	$	267,546	 	$	5,712,917	 	$	12,194,695	 	

1 Certain prior period information has been reclassified to conform to current presentation.

 
Bank of Hawaii Corporation and Subsidiaries	 	 	
Selected Quarterly Financial Data	 	Table 13	
 
 	 	Three Months Ended	 	
 	 	June 30,	 	March 31,	 	December 31,	 	September 30,	 	June 30,	 	
(dollars in thousands, except per share amounts)	 	2010	 	2010	 	2009	 	2009	 	2009	 	
Quarterly Operating Results	 	 	 	 	 	 	 	 	 	 	 	
Interest Income	 	 	 	 	 	 	 	 	 	 	 	
Interest and Fees on Loans and Leases	 	$	71,997	 	$	77,271	 	$	77,457	 	$	79,530	 	$	83,342	 	
Income on Investment Securities	 	 	 	 	 	 	 	 	 	 	 	
Available-for-Sale	 	44,989	 	43,841	 	41,369	 	46,419	 	38,155	 	
Held-to-Maturity	 	1,700	 	1,863	 	2,018	 	2,179	 	2,369	 	
Deposits	 	3	 	13	 	2	 	3	 	5	 	
Funds Sold	 	396	 	309	 	353	 	320	 	526	 	
Other	 	277	 	277	 	277	 	277	 	276	 	
Total Interest Income	 	119,362	 	123,574	 	121,476	 	128,728	 	124,673	 	
Interest Expense	 	 	 	 	 	 	 	 	 	 	 	
Deposits	 	7,930	 	8,307	 	10,317	 	12,235	 	14,481	 	
Securities Sold Under Agreements to Repurchase	 	6,472	 	6,429	 	6,411	 	6,394	 	6,477	 	
Funds Purchased	 	6	 	7	 	7	 	5	 	5	 	
Long-Term Debt	 	1,026	 	1,178	 	1,207	 	1,207	 	859	 	
Total Interest Expense	 	15,434	 	15,921	 	17,942	 	19,841	 	21,822	 	
Net Interest Income	 	103,928	 	107,653	 	103,534	 	108,887	 	102,851	 	
Provision for Credit Losses	 	15,939	 	20,711	 	26,801	 	27,500	 	28,690	 	
Net Interest Income After Provision for Credit Losses	 	87,989	 	86,942	 	76,733	 	81,387	 	74,161	 	
Noninterest Income	 	 	 	 	 	 	 	 	 	 	 	
Trust and Asset Management	 	11,457	 	11,708	 	11,746	 	10,915	 	11,881	 	
Mortgage Banking	 	3,752	 	3,464	 	4,218	 	4,656	 	5,443	 	
Service Charges on Deposit Accounts	 	14,856	 	13,814	 	14,160	 	14,014	 	12,910	 	
Fees, Exchange, and Other Service Charges	 	15,806	 	14,504	 	14,935	 	14,801	 	15,410	 	
Investment Securities Gains (Losses), Net	 	14,951	 	20,021	 	25,707	 	(5	)	12	 	
Insurance	 	2,291	 	2,715	 	2,326	 	7,304	 	4,744	 	
Other	 	5,761	 	5,556	 	7,719	 	5,115	 	9,432	 	
Total Noninterest Income	 	68,874	 	71,782	 	80,811	 	56,800	 	59,832	 	
Noninterest Expense	 	 	 	 	 	 	 	 	 	 	 	
Salaries and Benefits	 	47,500	 	44,564	 	50,973	 	46,387	 	44,180	 	
Net Occupancy	 	10,154	 	10,144	 	10,367	 	10,350	 	10,008	 	
Net Equipment	 	4,366	 	4,558	 	4,393	 	4,502	 	4,502	 	
Professional Fees	 	2,091	 	1,992	 	3,243	 	2,642	 	4,005	 	
FDIC Insurance	 	3,107	 	3,100	 	3,251	 	3,290	 	8,987	 	
Other	 	18,700	 	17,348	 	16,293	 	16,816	 	17,902	 	
Total Noninterest Expense	 	85,918	 	81,706	 	88,520	 	83,987	 	89,584	 	
Income Before Provision for Income Taxes	 	70,945	 	77,018	 	69,024	 	54,200	 	44,409	 	
Provision for Income Taxes	 	24,381	 	24,282	 	28,508	 	17,729	 	13,403	 	
Net Income	 	$	46,564	 	$	52,736	 	$	40,516	 	$	36,471	 	$	31,006	 	
 	 	 	 	 	 	 	 	 	 	 	 	
Basic Earnings Per Share	 	$	0.97	 	$	1.10	 	$	0.85	 	$	0.76	 	$	0.65	 	
Diluted Earnings Per Share	 	$	0.96	 	$	1.09	 	$	0.84	 	$	0.76	 	$	0.65	 	
 	 	 	 	 	 	 	 	 	 	 	 	
Balance Sheet Totals	 	 	 	 	 	 	 	 	 	 	 	
Loans and Leases	 	$	5,440,911	 	$	5,610,081	 	$	5,759,785	 	$	5,931,358	 	$	6,149,911	 	
Total Assets	 	12,855,845	 	12,435,670	 	12,414,827	 	12,208,025	 	12,194,695	 	
Total Deposits	 	9,324,659	 	9,494,084	 	9,409,676	 	9,250,100	 	9,019,661	 	
Total Shareholders’ Equity	 	1,013,011	 	939,372	 	895,973	 	902,799	 	845,885	 	
 	 	 	 	 	 	 	 	 	 	 	 	
Performance Ratios	 	 	 	 	 	 	 	 	 	 	 	
Return on Average Assets	 	1.48	%	1.73	%	1.31	%	1.21	%	1.06	%	
Return on Average Shareholders’ Equity	 	19.01	 	22.54	 	16.91	 	16.44	 	14.49	 	
Efficiency Ratio1	 	49.72	 	45.54	 	48.02	 	50.69	 	55.07	 	
Net Interest Margin2	 	3.51	 	3.72	 	3.57	 	3.85	 	3.73	 	

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

 
Bank of Hawaii Corporation and Subsidiaries	 	 	
Hawaii Economic Trends	 	Table 14	
 
 	 	Five Months Ended	 	Year Ended	 	
($ in millions; jobs in thousands)	 	May 31, 2010	 	December 31, 2009	 	December 31, 2008	 	
Hawaii Economic Trends	 	 	 	 	 	 	 	 	 	 	 	 	 	
State General Fund Revenues1	 	$	1,959.7	 	24.3	%	$	4,018.2	 	(12.8	)%	$	4,608.6	 	(1.6	)%	
General Excise and Use Tax Revenue 1	 	$	1,009.6	 	7.7	 	$	2,296.3	 	(10.6	)%	$	2,567.8	 	(2.1	)%	
Jobs, seasonally adjusted2	 	592.5	 	0.1	 	586.1	 	(3.2	)	605.6	 	(3.5	)	
 
 	 	June 30,	 	December 31,	 	September 30,	 	June 30,	 	December 31,	 	
(annual percentage, except 2009 and 2010)	 	2010	 	2009	 	2009	 	2009	 	2008	 	2007	 	
Unemployment3	 	 	 	 	 	 	 	 	 	 	 	 	 	
Statewide, seasonally adjusted	 	6.3	%	6.8	%	7.0	%	7.0	%	5.6	%	3.0	%	
 	 	 	 	 	 	 	 	 	 	 	 	 	 	
Oahu	 	5.8	 	5.3	 	6.3	 	6.6	 	3.5	 	2.5	 	
Island of Hawaii	 	10.4	 	9.6	 	10.8	 	10.9	 	5.5	 	3.3	 	
Maui	 	8.5	 	8.8	 	9.7	 	9.4	 	4.5	 	2.8	 	
Kauai	 	9.1	 	8.9	 	9.6	 	10.5	 	4.4	 	2.5	 	
 
 	 	June 30,	 	December 31,	 	September 30,	 	December 31,	 	
(percentage change, except months of inventory)	 	2010	 	2009	 	2009	 	2008	 	2007	 	
Housing Trends (Single Family Oahu)4	 	 	 	 	 	 	 	 	 	 	 	
Median Home Price	 	0.9	%	(7.9	)%	(8.0	)%	(3.0	)%	2.1	%	
Home Sales Volume (units)	 	8.4	%	(5.7	)%	(16.2	)%	(24.4	)	(10.2	)%	
Months of Inventory	 	6.2	 	4.2	 	5.3	 	8.9	 	6.0	 	
 
 	 	Monthly Visitor Arrivals,	 	Percentage Change	 	
(in thousands)	 	Seasonally Adjusted	 	from Previous Month	 	
Tourism2	 	 	 	 	 	
 	 	 	 	 	 	
April 30, 2010	 	560.8	 	(0.7	)%	
March 31, 2010	 	564.8	 	2.0	 	
February 28, 2010	 	553.9	 	0.5	 	
January 31, 2010	 	551.4	 	3.0	 	
December 31, 2009	 	535.2	 	0.5	 	
November 30, 2009	 	532.7	 	(0.8	)	
October 31, 2009	 	537.2	 	(2.2	)	
September 30, 2009	 	549.1	 	2.8	 	
August 31, 2009	 	534.3	 	3.2	 	
July 31, 2009	 	517.6	 	2.5	 	
June 30, 2009	 	504.8	 	(9.0	)	
May 31, 2009	 	554.4	 	(0.1	)	
April 30, 2009	 	555.0	 	8.9	 	
March 31, 2009	 	509.5	 	(7.3	)	
February 28, 2009	 	549.4	 	1.7	 	
January 31, 2009	 	540.0	 	4.4	 	

1 Source:  Hawaii Department of Business, Economic Development & Tourism.
2 Source:  University of Hawaii Economic Research Organization.
3 Source:  University of Hawaii Economic Research Organization, State of Hawaii Department of Labor and Industrial Relations.
4 Source:  Honolulu Board of REALTORS.
  Note:  Certain prior period seasonally adjusted information has been revised.

Exhibit 99.2

 
Peter Ho to Assume Chairman and CEO Role
At Bank of Hawaii Corporation
Effective following the retirement of Allan R. Landon
 
HONOLULU, HAWAII(July, 26, 2010) — Bank of Hawaii Corporation’s Board of Directors announced today that Peter S. Ho, president and chief banking officer, has been elected to serve as chairman, president and CEO following the retirement of Allan R. Landon, 62, on July 30, 2010. Landon had announced his intention to retire this year at the company’s quarterly earnings conference call on April 19, 2010.
 
Ho, 45, and a native of Honolulu, Hawaii, began his banking career in New York City and joined Bank of Hawaii in 1993. In 1999, he was promoted to senior vice president in charge of corporate banking. In 2001, he was promoted to executive vice president responsible for corporate banking and commercial real estate lending. Two years later he was promoted to group executive vice president in charge of the bank’s Hawaii Commercial Banking Group and became a member of the bank’s Managing Committee. In 2004, he was promoted to vice chairman responsible for the bank’s Investment Services Group and in 2006 added the title of chief banking officer. He was promoted to president in 2008.
 
He earned his bachelor of science degree in business administration and MBA from the University of Southern California.
 
Ho is chairman of the APEC 2011 Hawaii Host Committee. He also serves on the boards of the Hawaii Chapter of the American Red Cross and University of Hawaii-Ahahui Koa Anuenue and on the board of trustees of McInerny Foundation and Strong Foundation.  He was a 1998 Pacific Century Fellow and was named 2003 Pacific Business News Young Business Person of the Year.
 
- more -

 

 
Landon, who joined the bank in 2000 as executive vice president for Risk Management, subsequently served as chief financial officer and chief operating officer and became chairman and CEO on Sept. 1, 2004.
 
Under Landon’s leadership, Bank of Hawaii delivered solid results and received multiple accolades for its financial performance, including being named in December 2009 by  Forbes Magazine  as “America’s Best Bank.”
 
“We are proud that Peter is going to lead Bank of Hawaii,” said Landon. “He will do a great job. Peter has everything the bank is looking for in a leader. He has solid banking experience, is committed to our community and is a respected leader. We have a great management team in place and it’s time for the next generation.”
 
Landon continued, “On a personal note, I want to thank our directors and employees for the opportunity to lead Bank of Hawaii. I have enjoyed Hawaii immensely and have the highest regard and aloha for everyone here. It has been a pleasure.”
 
Ho said, “I’ve been fortunate to work with Al for the past decade, and directly for him for more than six years. ‘Perform well and repeat regularly’ is a term Al coined early in his term as CEO. As part of his leadership team, I know we have tried our best to live up to that. Moving forward, our customers can expect our continued focus on service, convenience and innovation.”
 
Mary Bitterman, lead independent director, said, “The board of directors takes great pride in Peter Ho’s promotion to chairman and CEO. Peter has been a key executive at the bank since his return home to Hawaii in 1993, and he has benefited greatly from the excellent mentorship that Al Landon has provided him.”
 
Bitterman continued, “Board members are eager to work closely with him to further the bank’s commitment to value creation for our shareholders, service to our community, and opportunity for our employees. Peter is an outstanding leader and a perfect 21 st  century leader for Bank of Hawaii.”
 
She said, “Al’s strategic approach and steady hand have served the bank well. His tenure has been marked with high performance, unquestioned integrity and outstanding service to shareholders, customers, employees and community alike. We wish him and his wife Sue every happiness in the years ahead.”
 
Bank of Hawaii Corporation is a regional financial services company serving businesses, consumers and governments in Hawaii, American Samoa and the West Pacific.  The Company’s principal subsidiary, Bank of Hawaii, was founded in 1897 and is the largest independent financial institution in Hawaii.  For more information about Bank of Hawaii Corporation, see the Company’s web site, www.boh.com.
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