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Bank of Hawaii Corporation 2002 Financial Results
  • 2002 Net Income $121.2 Million, Up 3% From 2001

  • 2002 Diluted Earnings Per Share Increase to $1.70, Up 16% From 2001

  • Board of Directors Declares Dividend of $0.19 Per Share

HONOLULU--(BUSINESS WIRE)--Jan. 27, 2003-- Bank of Hawaii Corporation (NYSE:BOH) today reported diluted earnings per share for 2002 of $1.70, compared to diluted earnings per share of $1.46 in 2001. Net income for the year was $121.2 million, up $3.4 million from $117.8 million reported in the previous year. The return on average assets in 2002 was 1.22 percent, up 31.2 percent compared to 0.93 percent in 2001. The return on average equity was 10.24 percent, an increase of 16.9 percent from 8.76 percent in 2001. "We are pleased with several aspects of Bank of Hawaii's results for 2002," said Michael E. O'Neill, Chairman and CEO. "Our people are much more focused on our key markets in Hawaii, Guam and American Samoa. Our credit quality has improved, our margin has strengthened, our share repurchase program has returned $530 million to shareholders and our technology conversion program is on schedule. Importantly, our customer and employee satisfaction measures have strengthened and our banking businesses are poised for growth in 2003. We remain optimistic that we can continue to improve our efficiency and benefit from an improved economy this year."

Diluted earnings per share for the fourth quarter of 2002 were $0.44, up $0.10 or 29.4 percent from $0.34 per diluted share for the same period last year. Net income in the fourth quarter was $28.9 million, up 9.9 percent from net income of $26.3 million in the fourth quarter last year. The presence of non-core items and the effect of business divestitures in 2001 continue to have a significant impact on the comparability with prior year results. Included in the fourth quarter of 2002 were charges of $7.0 million related to the information technology systems replacement project and $0.4 million in net restructuring expenses from the closure of four branches in the West Pacific that were partially offset by a reversal of reserves related to the divestiture program. Earnings for the fourth quarter of 2001 included gains on divestitures and restructuring items that increased net income by $6.4 million, or $0.08 per diluted share. Supplemental information has been provided in Table 11 that summarizes the continuing business operating results for the last eight quarters.

Financial Highlights

Net interest income for the fourth quarter of 2002 on a fully taxable equivalent basis was $90.2 million, down $2.0 million from the third quarter of 2002 primarily due to decreased interest rates. Net interest income was down $16.0 million from the fourth quarter of 2001 primarily due to lower average earning assets related to the divestitures and the managed reduction of loans in an effort to reduce credit risk.

The net interest margin was 4.05 percent for the fourth quarter of 2002, a 2 basis point increase from 4.03 percent in the previous quarter and a 12 basis point increase from 3.93 percent in the same quarter last year. The net interest margin improvement was largely due to lengthening the maturities of some short-term investments, reductions in short-term borrowings and time deposits, as well as debt repurchases, which lowered the Company's cost of funds.

Given continued improvements in Bank of Hawaii Corporation's credit quality, the Company did not recognize a provision for loan and lease losses during the fourth quarter of 2002. This resulted in a $11.6 million reduction in the allowance for loan and lease losses, which equaled the amount of net charge-offs for the quarter. The Company did not recognize a provision for loan and lease losses during the third quarter of 2002. The provision for loan and lease losses was $14.5 million in the fourth quarter of 2001.

Non-interest income was $51.1 million for the quarter, an increase of $3.7 million, or 7.8 percent, from non-interest income of $47.4 million in the third quarter of 2002. Non-interest income of $79.0 million for the fourth quarter of 2001 included $28.7 million in net gains on sales of the Company's South Pacific operations that were partially offset by write-downs on venture investments. Excluding these items, non-interest income increased $0.9 million, or 1.7 percent from the same quarter last year.

Non-interest expense for the fourth quarter of 2002 was $97.5 million, including the previously mentioned $7.4 million in information technology system replacement and restructuring costs. Excluding these items, non-interest expense increased by $4.5 million, or 5.3 percent, to $90.0 million compared to $85.5 million in the previous quarter. The increase was largely the result of severance expenses, damage from Typhoon Pongsona in Guam and professional fees accrued at year-end. Non-interest expense of $140.0 million for the fourth quarter of 2001 included restructuring and other related costs of $18.5 million. Excluding these items, non-interest expenses declined $31.5 million, or 25.9 percent, from the same quarter last year and were largely due to savings associated with the divested businesses.

The efficiency ratio was 65.0 percent for the full year of 2002. Excluding the systems replacement project costs and non-recurring items, the efficiency ratio was 62.2 percent compared to the continuing business efficiency ratio of 63.4 percent last year. The Company anticipates that the efficiency ratio excluding systems replacement costs will be approximately 58.0 percent by the end of 2003.

The effective tax rate of 35.4 percent for 2002 is a decrease from the prior year as the effective tax rate in 2001 reflected the impact of divestitures and foreign taxes. The unusually low effective tax rate for the fourth quarter of 2001 was due to the impact of foreign tax and other credits recognized in the quarter as well as adjustments in the effective tax rate for the full year of 2001.

Asset Quality

Bank of Hawaii Corporation's credit quality improved during the fourth quarter of 2002 as measured by reductions in non-performing assets and continued improvement in the Company's internal credit risk ratings.

Non-performing assets were $54.4 million at the end of the fourth quarter of 2002, a decrease of $8.9 million, or 14.1 percent, from non-performing assets of $63.3 million at the end of the third quarter. Compared to the same period last year, non-performing assets declined $25.3 million, or 31.7 percent. At December 31, 2002 the ratio of non-performing assets to total loans plus foreclosed assets and non-performing loans held for sale was 1.01 percent, down from 1.20 percent at September 30, 2002 and down from 1.40 percent at December 31, 2001.

Non-accrual loans were $45.0 million at December 31, 2002, a reduction of $0.7 million from $45.7 million at September 30, 2002 and down $15.8 million, or 26.0 percent, from $60.8 million at December 31, 2001. Non-accrual loans as a percentage of total loans were 0.84 percent at December 31, 2002, down from 0.87 percent at the end of the previous quarter and down from 1.07 percent at December 31, 2001.

Net charge-offs for the fourth quarter of 2002 were $11.6 million, or 0.88 percent, of total average loans (annualized). Charge-offs of $15.0 million, which includes an $8.8 million write-off of an aircraft lease, were partially offset by recoveries of $3.4 million. Net charge-offs of $27.7 million for the full year of 2002 were 0.51 percent of total average loans (annualized), a significant improvement from net charge-offs of $121.4 million, or 1.57 percent in the prior year.

The allowance for loan and lease losses was $142.9 million at December 31, 2002, a decrease of $11.6 million compared with September 30, 2002 and a decrease of $16.1 million from December 31, 2001. The ratio of the allowance for loan and lease losses to total loans was 2.67 percent at December 31, 2002 compared with 2.94 percent at the end of the third quarter and 2.81 percent at the end of the same quarter last year.

The concentration of credit exposure to selected industries and the amount of the Company's syndicated exposure are summarized in Table 6.

Other Financial Highlights

Total assets were $9.5 billion at the end of December 31, 2002, down from $10.6 billion at December 31, 2001 and down slightly from $9.7 billion at the end of September 30, 2002. The most significant decrease compared to the previous year was commercial loans as the Company made strategic risk reductions in the portfolio. Compared to September 30, 2002, total assets decreased $186 million from $9.7 billion largely due to reductions in short-term investments as excess liquidity was utilized for share repurchase and debt reduction during the quarter.

Total deposits at December 31, 2002 were $6.9 billion, up $242 million from December 31, 2001 and up $293 million from the end of September 30, 2002. Quarterly deposit levels are summarized in Table 9. Strong growth in demand and savings deposits more than offset managed decreases in time and foreign deposits. The Company continues to manage down higher cost funds, including time deposits, purchased funds and long-term debt.

During the fourth quarter of 2002, Bank of Hawaii Corporation repurchased 3.3 million shares of common stock at a total cost of $94.1 million. The average cost per share was $28.90 during the quarter. At December 31, 2002, the Company had repurchased a total of 20.1 million shares under its previously announced share repurchase programs. Through December 31, 2002, a total of $527.9 million had been returned to the shareholder at an average cost of $26.21 per share. An additional program to repurchase up to $230 million of common stock was announced on December 13, 2002. This new authorization, combined with the Company's previously announced authorizations of $570 million, brings the total repurchase authority to $800 million. Through January 24, 2003, the Company repurchased an additional 1.4 million shares of common stock at a cost of $30.29 per share. Remaining buyback authority was $230.4 million at January 24, 2003.

The Company's capital and liquidity remains exceptionally strong. At December 31, 2002 the Tier 1 leverage ratio was 10.34 percent compared to 11.20 percent at December 31, 2001 and 11.07 percent at September 30, 2002.

The Company's Board of Directors declared a quarterly cash dividend of $0.19 per share on the Company's outstanding shares. The dividend will be payable on March 14, 2003 to shareholders of record at the close of business on February 24, 2003.

Information Technology Systems Replacement Project

Bank of Hawaii Corporation signed an agreement with Metavante Corporation in July 2002 to serve as the Company's primary technology systems provider. The seven-year outsourcing arrangement is on schedule to be operational in the third quarter of 2003 and is expected to provide annual cost savings of over $17 million compared to current expense levels. In connection with this decision, the Company estimates that it will recognize transition charges of approximately $35 million over the five-quarter conversion period that began in the third quarter of 2002. During the fourth quarter, $7.0 million in transition costs were incurred, bringing the total cost to $13.6 million in 2002. System conversion costs are estimated to be approximately $7.7 million in the first quarter of 2003. Additional details on this project may be found in Table 10.

Economic Outlook

The current macroeconomic forecast for Hawaii in 2003 is real economic growth of 3.1 percent after modest inflation of 1.8 percent with 2.0 percent job growth, part of which is still recovery from 9/11. Tourism growth for 2003 is forecast at 4.7 percent for domestic travel markets and at 4.8 percent for international travelers. Construction and real estate investment will continue to drive the economy forward in 2003, despite lingering geopolitical risks. For more economic information, visit the Company's web site http://www.boh.com/econ/.

Earnings Outlook

Bank of Hawaii Corporation updates its earnings guidance to $131 million in net income for the full year of 2003. Net income is expected to increase in the second half of 2003 after completion of the systems conversion project. Based on current conditions, the Company does not expect to record a provision for loan losses in 2003. However, the actual amount of the provision for loan losses will depend on determinations of credit risk that will be made near the end of each quarter. Earnings per share and return on equity projections continue to be dependent upon the terms and timing of share repurchases.

Conference Call Information

The Company will review its 2002 financial results today at 8:00 a.m. Hawaii Time (1:00 p.m. Eastern Time). The presentation will be accessible via teleconference and via the investor relations link of Bank of Hawaii Corporation's web site, www.boh.com. The conference call number is 800/915-4836 in the U.S. or 973/317-5319 for international callers. A replay will be available for one week beginning at 10:00 a.m. Hawaii Time (3:00 p.m. Eastern Time) on Monday, January 27, 2003 by calling 800/428-6051 in the U.S or 973/709-2089 for international and entering the number 273137 when prompted. A replay of the presentation will be also available on the Company's web site.

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.

This news release contains forward-looking statements concerning the expected efficiency ratio, expected level of loan loss provisioning, anticipated costs and annual savings of our technology systems replacement project, and anticipated revenues and expenses in 2003 and beyond. We believe the assumptions underlying our forward-looking statements are reasonable. However, any of the assumptions could prove to be inaccurate and actual results may differ materially from those projected for a variety of reasons including, but not limited to: the Hawaii economy may not continue at the pace we anticipate; our refocused emphasis on our Hawaii market may not achieve the customer and revenue gains we anticipate; our credit markets may deteriorate and our credit quality may fall short of our goals; we may not achieve the expense reductions we expect; we may not be able to maintain our net interest margin; we may not be able to implement our proposed equity repurchases in the amount or at the times planned; the economics or timing, or both, of our technology outsourcing project may not result in the expected benefits; unanticipated difficulties or delays in the conversion of our data processing to outsourcing may result in the reduction or delay of anticipated cost savings or increased cost of conversion; the technology outsourcing project may not be able to achieve the projected reductions in staffing; we may encounter unanticipated difficulties or costs in exiting existing data processing agreements with third parties; the required level of reserves for loan and lease losses may increase or decrease due to changes in our credit quality or risk profile; there may be economic volatility in the markets we serve; and there may be changes in business and economic conditions, competition, fiscal and monetary policies or legislation. We do not undertake any obligation to update any forward-looking statements to reflect later events or circumstances.

Bank of Hawaii Corporation
 and Subsidiaries Highlights  (Unaudited)                     Table 1
(dollars in thousands  except per share amounts)     
----------------------------------------------------------------------
                            Three Months Ended           Year Ended
                               December 31              December 31

Earnings Highlights and
 Performance Ratios            2002     2001        2002         2001
--------------------------- ----------------- ------------------------

Net Income                  $28,908  $26,320    $121,180     $117,795
Basic Earnings Per Share       0.45     0.35        1.75         1.49
Diluted Earnings Per Share     0.44     0.34        1.70         1.46
Cash Dividends               12,193   13,152      50,635       56,567
Return on Average Assets       1.20%    0.90%       1.22%        0.93%
Return on Average Equity      10.72%    8.14%      10.24%        8.76%
Net Interest Margin            4.05%    3.93%       3.99%        3.91%
Efficiency Ratio              68.97%   75.61%      65.04%       65.40%
Continuing Business
 Efficiency Ratio (1)         63.70%   71.99%      62.24%       63.36%


----------------------------------------------------------------------

Statement of Condition Highlights                     December 31
 and Performance Ratios                             2002         2001
------------------------------------          ------------------------

Total Assets                                  $9,516,418  $10,632,400
Net Loans                                      5,216,151    5,498,143
Total Deposits                                 6,920,161    6,678,220
Total Shareholders' Equity                     1,015,759    1,247,012

Book Value Per Common Share                       $16.12       $17.03
Allowance / Loans Outstanding                       2.67%        2.81%
Average Equity / Average Assets                    11.88%       10.59%
Employees (FTE)                                    2,891        3,175
Branches and offices                                  93           97

Market Price Per Share of Common
 Stock for the Quarter Ended:
                                     Closing      $30.39       $25.89
                                     High         $31.05       $26.40
                                     Low          $25.40       $19.32


(1) Excludes the effects of the businesses that were divested in 2001,
restructuring costs, non-core transactions and costs associated with
the information technology system replacement project. Goodwill
amortization expense is excluded from 2001.


Bank of Hawaii Corporation and Subsidiaries
Consolidated Statements of Income (Unaudited)                  Table 2
(dollars in thousands except per share amounts) 
----------------------------------------------------------------------
                              Three Months Ended         Year Ended
                                 December 31            December 31
                               2002       2001       2002       2001
----------------------------------------------------------------------
Interest Income
   Interest and Fees on
    Loan and Leases          $85,945   $123,716   $366,366   $619,447
   Income on Investment
    Securities - Held to
    Maturity                   4,658      6,401     19,597     33,521
   Income on Investment
    Securities - Available
    for Sale                  22,552     29,338    101,438    137,320
   Deposits                    3,578      7,858     20,020     27,596
   Funds Sold and Security
    Resale Agreements            834        803      3,503      5,034
   Other                       1,312      1,396      5,614      5,344
----------------------------------------------------------------------
Total Interest Income        118,879    169,512    516,538    828,262
Interest Expense
   Deposits                   17,657     35,158     84,348    217,305
   Security Repurchase
    Agreements                 4,585     14,716     30,173     77,764
   Funds Purchased               255        365      1,030     10,099
   Short-Term Borrowings         217      1,549      1,489      9,562
   Long-Term Debt              5,947     11,624     29,267     53,854
----------------------------------------------------------------------
Total Interest Expense        28,661     63,412    146,307    368,584
----------------------------------------------------------------------
Net Interest Income           90,218    106,100    370,231    459,678
Provision for Loan and
 Lease Losses                      -     14,541     11,616     74,339
----------------------------------------------------------------------
Net Interest Income After
 Provision for Loan and
 Lease Losses                 90,218     91,559    358,615    385,339
Non-Interest Income
   Trust and Asset
    Management                13,085     14,883     55,733     59,924
   Mortgage Banking            5,152        (58)    20,452     20,133
   Service Charges on
    Deposit Accounts           8,326      9,058     32,617     38,467
   Fees, Exchange, and
    Other Service Charges     12,963     16,997     51,594     77,833
   Gains on Sales of
    Banking Operations,
    Net of Venture
    Investment Losses              -     28,746          -    173,426
   Investment Securities
    Gains                        612         68        615     32,982
   Insurance                   3,640      2,559     13,118     11,592
   Other                       7,331      6,735     25,792     34,393
----------------------------------------------------------------------
Total Non-Interest Income     51,109     78,988    199,921    448,750
Non-Interest Expense
   Salaries                   38,462     48,099    153,527    195,863
   Pensions and Other
    Employee Benefits          6,272     10,860     33,036     44,930
   Net Occupancy Expense      10,638     10,897     39,149     46,344
   Net Equipment Expense      11,077     14,467     41,253     53,395
   Goodwill Amortization           -      2,426          -     13,342
   Restructuring and Other
    Related Costs                385     18,464      2,364    104,794
   Information Technology
    Systems Replacement
    Project                    7,052          -     13,628          -
   Other                      23,581     34,736     87,878    135,462
----------------------------------------------------------------------
Total Non-Interest Expense    97,467    139,949    370,835    594,130
----------------------------------------------------------------------
Income Before Income Taxes    43,860     30,598    187,701    239,959
Provision for Income Taxes    14,952      4,278     66,521    122,164
----------------------------------------------------------------------
Net Income                   $28,908    $26,320   $121,180   $117,795
======================================================================
Basic Earnings Per Share       $0.45      $0.35      $1.75      $1.49
Diluted Earnings Per Share     $0.44      $0.34      $1.70      $1.46
Dividends Per Share            $0.19      $0.18      $0.73      $0.72
Basic Weighted Average
 Shares                   64,154,477 75,165,102 69,385,745 78,977,011
Diluted Weighted Average
 Shares                   66,378,208 76,835,941 71,447,333 80,577,763
======================================================================


Bank of Hawaii Corporation and Subsidiaries
Consolidated Statements of Condition                           Table 3
 (Unaudited)
----------------------------------------------------------------------
                                               December 31 December 31
(dollars in thousands)                               2002        2001
----------------------------------------------------------------------
Assets
Interest-Bearing Deposits                        $549,978  $1,101,974
Investment Securities - Held to Maturity
   (Market Value of $236,016 and $407,838)        229,720     396,216
Investment Securities - Available for Sale      2,287,201   2,001,420
Funds Sold                                        195,000     115,000
Loans Held for Sale                                40,118     456,709
Loans                                           5,359,004   5,657,122
   Allowance for Loan and Lease Losses           (142,853)   (158,979)
----------------------------------------------------------------------
     Net Loans                                  5,216,151   5,498,143
----------------------------------------------------------------------
Total Earning Assets                            8,518,168   9,569,462
Cash and Non-Interest Bearing Deposits            374,352     408,807
Premises and Equipment                            176,969     196,171
Customers' Acceptance Liability                     2,680         593
Accrued Interest Receivable                        36,722      42,687
Foreclosed Real Estate                              9,434      17,174
Mortgage Servicing Rights                          28,820      27,291
Goodwill                                           36,216      36,216
Other Assets                                      333,057     333,999
----------------------------------------------------------------------
Total Assets                                   $9,516,418 $10,632,400
======================================================================
Liabilities
Domestic Deposits
   Non-Interest Bearing Demand                 $1,719,633  $1,552,947
   Interest Bearing Demand                      1,169,128     956,179
   Savings                                      2,535,219   1,937,663
   Time                                         1,461,780   1,927,778
Foreign Deposits
   Time Due to Banks                                1,130     230,249
   Other Savings and Time                          33,271      73,404
----------------------------------------------------------------------
Total Deposits                                  6,920,161   6,678,220
Securities Sold Under Agreements to Repurchase    735,621   1,643,444
Funds Purchased                                    64,467      55,800
Current Maturities of Long-Term Debt              114,781     120,645
Short-Term Borrowings                              33,420     114,247
Banker's Acceptances Outstanding                    2,680         593
Retirement Benefits Payable                        61,385      36,175
Accrued Interest Payable                           13,731      29,762
Taxes Payable                                     196,813     138,366
Other Liabilities                                  82,596      98,401
Long-Term Debt                                    275,004     469,735
----------------------------------------------------------------------
Total Liabilities                               8,500,659   9,385,388
Shareholders' Equity
Common Stock ($.01 par value); authorized
 500,000,000 shares;   issued / outstanding:
  December 2002 -  81,294,730 / 63,015,442;
   December 2001 - 81,377,241 / 73,218,326            806         806
Capital Surplus                                   372,192     367,672
Accumulated Other Comprehensive Income             11,659      22,761
Retained Earnings                               1,115,910   1,055,424
Deferred Stock Grants                              (1,424)     (7,637)
Treasury Stock, at Cost (Shares:December 2002
 - 18,279,288;   December 2001 - 8,158,915)      (483,384)   (192,014)
----------------------------------------------------------------------
Total Shareholders' Equity                      1,015,759   1,247,012
----------------------------------------------------------------------
Total Liabilities and Shareholders' Equity     $9,516,418 $10,632,400
======================================================================


Bank of Hawaii Corporation and Subsidiaries
Consolidated Statements of Shareholders' Equity (Unaudited)  Table 4
----------------------------------------------------------------------

                                                             Accum.
                                                             Other
                                                             Compre-
                                       Common   Capital      hensive
(dollars in thousands)      Total      Stock    Surplus      Income
----------------------------------------------------------------------

Balance at Dec.
 31, 2001               $1,247,012  $    806 $  367,672     $ 22,761
Comprehensive Income
 Net Income                121,180      --         --           --
 Other Comprehensive
  Income, Net of Tax
  Unrealized Gain
   on Investment
   Securities                4,237      --         --          4,237
  Foreign Currency
   Translation
   Adjustment                 (582)     --         --           (582)
  Pension Liability
   Adjustments             (14,757)     --         --        (14,757)

Total Comprehensive
  Income         


Common Stock Issued
 43,449 Profit
  Sharing Plan               1,240      --          288         --
 1,581,876 Stock
  Option Plan               32,279      --        5,352         --
 101,796 Dividend
  Reinvestment Plan          2,893      --          656         --
 4,792 Directors'
  Restricted
  Shares and
  Deferred
  Compensation Plan             20      --          141         --
 (91,600)Employees'
  Restricted Shares          5,089      --       (1,917)        --
Treasury Stock
 Purchased
 11,838,800 shares        (332,217)     --         --           --
Cash Dividends Paid        (50,635)     --         --           --
----------------------------------------------------------------------
Balance at
 Dec. 31, 2002          $1,015,759  $    806 $  372,192    $ 11,659
======================================================================

Balance at
 Dec. 31, 2000          $1,301,356  $    806 $  346,045  $   (25,079)
Comprehensive Income
 Net Income                117,795      --         --           --
 Other Comprehensive
  Income, Net of Tax
 Unrealized Gain on
  Investment
  Securities                20,733      --         --         20,733
 Foreign Currency
  Translation
  Adjustment                27,266      --         --         27,266
 Pension Liability
  Adjustments                 (159)     --         --           (159)

Total Comprehensive
  Income    

Common Stock Issued
 59,586 Profit
  Sharing Plan               1,402      --          261         --
 916,817 Stock
  Option Plan               21,314      --        1,054         --
 120,397 Dividend
  Reinvestment Plan          2,819      --          495         --
 5,487 Directors'
  Restricted Shares
  and  Deferred
  Compensation Plan            336      --          121         --
 727,800 Employees'
  Restricted Shares          5,105      --       18,397         --
 65,146 Hawaii
  Insurance Network          1,299      --        1,299         --
Treasury Stock
  Purchased
  8,300,900 shares        (195,687)     --         --           --
Cash Dividends Paid        (56,567)     --         --           --
----------------------------------------------------------------------
Balance at
 Dec. 31, 2001          $1,247,012  $    806 $  367,672     $ 22,761
======================================================================

Bank of Hawaii Corporation and Subsidiaries
Consolidated Statements of Shareholders' Equity (Unaudited)  Table 4
----------------------------------------------------------------------

                                                             Accum.
                                                             Other
                                                             Compre-
                                       Common   Capital      hensive
(dollars in thousands)      Total      Stock    Surplus      Income
----------------------------------------------------------------------
Balance at Dec.
 31, 2001               $ 1,055,424 $ (7,637) $(192,014)
Comprehensive Income
 Net Income                 121,180     --         --     $   121,180
 Other Comprehensive
  Income, Net of Tax
  Unrealized Gain
   on Investment
   Securities                 --        --         --           4,237
  Foreign Currency
   Translation
   Adjustment                 --        --         --            (582)
  Pension Liability
   Adjustments                --        --         --         (14,757)
                                                          ----------- 
Total Comprehensive
  Income                                                  $   110,078
                                                          =========== 
Common Stock Issued
 43,449 Profit
  Sharing Plan               --         --         952
 1,581,876 Stock
  Option Plan               (10,057)    (793)   37,777
 101,796 Dividend
  Reinvestment Plan              (2)    --       2,239
 4,792 Directors'
  Restricted
  Shares and
  Deferred
  Compensation Plan          --         --        (121)
 (91,600)Employees'
  Restricted Shares          --        7,006
Treasury Stock
 Purchased
 11,838,800 shares           --         --    (332,217)
Cash Dividends Paid         (50,635)    --        --
----------------------------------------------------------------------
Balance at
 Dec. 31, 2002          $ 1,115,910 $ (1,424)$(483,384)
======================================================================

Balance at
 Dec. 31, 2000          $   996,791 $   --   $ (17,207)
Comprehensive Income
 Net Income                 117,795     --        --      $   117,795
 Other Comprehensive
  Income, Net of Tax
 Unrealized Gain on
  Investment
  Securities                 --         --        --           20,733
 Foreign Currency
  Translation
  Adjustment                 --         --        --           27,266
 Pension Liability
  Adjustments                --         --        --             (159)
                                                          -----------
Total Comprehensive
  Income                                                  $   165,635
                                                          ===========

Common Stock Issued
 59,586 Profit
  Sharing Plan               --          --      1,141
 916,817 Stock
  Option Plan                (2,591)   5,655    17,196
 120,397 Dividend
  Reinvestment Plan              (4)     --      2,328
 5,487 Directors'
  Restricted Shares
  and  Deferred
  Compensation Plan          --          --        215
 727,800 Employees'
  Restricted Shares          --      (13,292)       --
 65,146 Hawaii
  Insurance Network          --          --         --
Treasury Stock
  Purchased
  8,300,900 shares           --          --   (195,687)
Cash Dividends Paid         (56,567)     --         --
----------------------------------------------------------------------
Balance at
 Dec. 31, 2001          $ 1,055,424 $ (7,637)$(192,014)
======================================================================


Bank of Hawaii Corporation and Subsidiaries
Consolidated Average Balances and Interest Rates -
Taxable Equivalent Basis (Unaudited)                           Table 5
----------------------------------------------------------------------
(dollars in millions)

                     Three Months Ended       Three Months Ended (1)
                     December 31, 2002          December 31, 2001
                 Average   Income/   Yield/   Average  Income/  Yield/
                 Balance   Expense    Rate    Balance  Expense   Rate 
----------------------------------------------------------------------
Earning Assets
Interest
 Bearing
 Deposits       $  796.6  $   3.6     1.78% $ 1,236.2  $  7.9   2.52%
Funds Sold         234.5      0.8     1.42      150.5     0.8   2.09
Investment
 Securities
 - Held-To
   -Maturity       253.8      4.7     7.38      431.5     6.5   5.97
 - Available
   for Sale      2,273.3     22.6     3.97    2,037.5    29.3   5.75
Loans Held
 For Sale           38.9      0.6     5.88      304.7     5.1   6.64
 Net Loans
  and Lease
  Financing
 Domestic
 - Commercial
 and Industrial    867.7     11.4     5.20    1,281.9    18.9   5.87
 - Construction    131.5      1.8     5.30      175.6     2.5   5.58
 - Mortgage      2,823.2     48.4     6.85    3,089.4    57.3   7.42
 - Installment     875.5     17.4     7.91      724.8    18.0   9.85
 - Lease
   Financing       498.5      6.3     5.03      484.8     7.3   5.95
----------------------------------------------------------------------
Total
 Domestic Loans  5,196.4     85.3     6.54    5,756.5   104.0   7.19
Foreign             14.0   --                   777.0    14.6   7.48
----------------------------------------------------------------------
Total Loans      5,210.4     85.3     6.52    6,533.5   118.6   7.23
Other               78.7      1.3     6.62       86.2     1.4   6.42
----------------------------------------------------------------------
Total Earning
 Assets          8,886.2    118.9     5.33   10,780.1   169.6   6.26
Cash and
 Non-interest
 Bearing
 Deposits          305.2                        354.9
Other Assets       363.4                        480.7
                --------                    ---------
Total Assets    $9,554.8                    $11,615.7
                ========                    =========
Interest
 Bearing
 Liabilities
Domestic
 Deposits
- Demand        $1,099.9      1.1     0.38  $   755.5     1.0   0.53
- Savings        2,468.2      6.4     1.03    1,977.5     8.7   1.74
- Timed          1,501.1     10.1     2.66    2,048.2    19.7   3.81
----------------------------------------------------------------------
Total
 Domestic
 Deposits        5,069.2     17.6     1.37    4,781.2    29.4   2.44
Foreign
 Deposits
- Time Due
  to Banks           2.9      --       --       365.5     2.1   2.26
- Other Time
 and Savings        39.4      0.1     1.38      445.9     3.7   3.31
----------------------------------------------------------------------
Total Foreign
 Deposits           42.3      0.1     1.29      811.4     5.8   2.84
----------------------------------------------------------------------
Total Interest
 Bearing
 Deposits        5,111.5     17.7     1.37    5,592.6    35.2   2.49
Short-Term
 Borrowings      1,053.5      5.1     1.90    1,942.5    16.6   3.40
Long-Term Debt     389.9      5.9     6.05      678.9    11.6   6.79
----------------------------------------------------------------------
Total Interest
 Bearing
 Liabilities     6,554.9     28.7     1.73    8,214.0    63.4   3.06
----------------------------------------------------------------------
Net Interest
  Income                  $  90.2                     $ 106.2
 Interest
  Rate Spread                         3.60%                     3.20%
 Net Interest
  Margin                              4.05%                     3.93%
Non-Interest
 Bearing
 Demand
 Deposits
- Domestic       1,601.0                      1,401.3
- Foreign           --                          328.0
                --------                    ---------
Total Non-Int
 Bearing
 Demand
 Deposits        1,601.0                      1,729.3
Other
 Liabilities       329.3                        390.3
Shareholders'
 Equity          1,069.6                      1,282.1
                --------                    ---------
Total
 Liabilities
 and
 Shareholders'
 Equity         $9,554.8                    $11,615.7
                ========                    =========


Bank of Hawaii Corporation and Subsidiaries
Consolidated Average Balances and Interest Rates -
Taxable Equivalent Basis (Unaudited)                           Table 5
----------------------------------------------------------------------
(dollars in millions)

                         Year Ended                Year Ended (1)
                     December 31, 2002           December 31, 2001
                  Average   Income/  Yield/  Average   Income/  Yield/
                  Balance   Expense  Rate    Balance   Expense  Rate
----------------------------------------------------------------------
Earning Assets
Interest
 Bearing
 Deposits        $  1,100.0 $ 20.0   1.82%  $   733.4 $   27.6   3.76%
Funds Sold            213.8    3.5   1.64       136.8      5.0   3.63
Investment
 Securities
 - Held-To
   -Maturity        311.7     19.9   6.38       525.6     33.8   6.42
 - Available
   for Sale       2,028.9    101.4   5.00     2,242.3    137.3   6.12
Loans Held
 For Sale           120.2      8.0   6.65       312.2     21.4   6.86
 Net Loans
  and Lease
  Financing
 Domestic
 - Commercial
 and Industrial   1,010.0     52.4   5.18     1,761.6    129.7   7.36
 - Construction     151.5      8.3   5.45       240.5     18.5   7.71
 - Mortgage       2,933.1    204.3   6.97     3,369.5    258.0   7.66
 - Installment      804.2     67.4   8.38       809.1     90.0  11.12
 - Lease
   Financing        498.4     25.8   5.17       525.6     29.3   5.57
----------------------------------------------------------------------
Total
 Domestic Loans   5,397.2    358.2   6.64     6,706.3    525.5   7.84
Foreign              14.1      0.2   1.55     1,026.4     72.5   7.07
----------------------------------------------------------------------
Total Loans       5,411.3    358.4   6.62     7,732.7    598.0   7.73
Other                91.5      5.6   6.14        79.6      5.4   6.72
----------------------------------------------------------------------
Total Earning
 Assets           9,277.4    516.8   5.57    11,762.6    828.5   7.04
Cash and
 Non-interest
 Bearing
 Deposits          313.2                        376.6
Other Assets       370.6                        554.5
                --------                    ---------
Total Assets    $9,961.2                    $12,693.7
                ========                    =========
Interest
 Bearing
 Liabilities
Domestic
 Deposits
- Demand        $1,003.8       4.1   0.41   $   827.5      8.6   1.04
- Savings        2,263.4      29.5   1.30     1,847.2     42.0   2.27
- Timed          1,679.7      49.1   2.92     2,506.7    129.6   5.17
----------------------------------------------------------------------
Total
 Domestic
 Deposits        4,946.9      82.7   1.67     5,181.4    180.2   3.48
Foreign
 Deposits
- Time Due
  to Banks          41.7       0.7   1.87       351.3     14.5   4.13
- Other Time
 and Savings        55.0       0.9   1.63       648.2     22.6   3.49
----------------------------------------------------------------------
Total Foreign
 Deposits           96.7       1.6   1.73       999.5     37.1   3.71
----------------------------------------------------------------------
Total Interest
 Bearing
 Deposits        5,043.6      84.3   1.67     6,180.9    217.3   3.52
Short-Term
 Borrowings      1,390.2      32.7   2.35     2,105.6     97.4   4.63
Long-Term Debt     471.3      29.3   6.21       800.5     53.9   6.73
----------------------------------------------------------------------
Total Interest
 Bearing
 Liabilities     6,905.1     146.3   2.12     9,087.0    368.6   4.06
----------------------------------------------------------------------
Net Interest
  Income                    $370.5                   $   459.9
 Interest
  Rate Spread                        3.45%                      2.98%
 Net Interest
  Margin                             3.99%                      3.91%
Non-Interest
 Bearing
 Demand
 Deposits
- Domestic       1,556.3                     1,539.8
- Foreign          --                          346.0
                --------                   ---------
Total Non-Int
 Bearing
 Demand
 Deposits        1,556.3                     1,885.8
Other
 Liabilities       316.3                       376.8
Shareholders'
 Equity          1,183.5                     1,344.1
                --------                   ---------
Total
 Liabilities
 and
 Shareholders'
 Equity         $9,961.2                   $12,693.7
                ========                   =========

(1) Adjusted to reflect the reclassification of certain average
balances.


Bank of Hawaii Corporation and Subsidiaries
Loan Portfolio Balances (Unaudited)                            Table 6
 (dollars in millions) 
----------------------------------------------------------------------
                          Dec. 31  Sept. 30  June 30  March 31 Dec. 31
                           2002       2002     2002     2002     2001
----------------------------------------------------------------------
Domestic
 Commercial
  Commercial and
  Industrial (1)         $875.0     $863.3   $993.4 $1,114.9 $1,169.8
  Mortgage -
  Commercial (1)          591.1      616.5    562.5    617.6    640.7
  Construction            127.5      146.3    148.6    161.4    169.6
  Lease Financing         427.3      433.6    432.7    436.1    423.9
----------------------------------------------------------------------
 Total Commercial       2,020.9    2,059.7  2,137.2  2,330.0  2,404.0
 Consumer
  Mortgage -
   Residential          2,131.4    2,259.8  2,361.2  2,409.4  2,424.0
  Home Equity             614.0      419.2    404.2    369.8    329.9
  Other Consumer          493.3      421.6    403.2    389.5    399.8
  Lease Financing          34.5       36.5     37.3     37.9     38.9
----------------------------------------------------------------------
 Total Consumer         3,273.2    3,137.1  3,205.9  3,206.6  3,192.6
----------------------------------------------------------------------
Total Domestic          5,294.1    5,196.8  5,343.1  5,536.6  5,596.6
----------------------------------------------------------------------
Foreign                    64.9       62.5     66.1     65.0     60.5
----------------------------------------------------------------------
Total Loans            $5,359.0   $5,259.3 $5,409.2 $5,601.6 $5,657.1
======================================================================

(1) $42.3 million in loans were reclassified to mortgage-commercial
 from commercial and industrial during the third quarter of 2002.

Selected Concentrations of Credit Exposure (Unaudited)
(dollars in millions) 
----------------------------------------------------------------------
                           December 31,          Sep. 30, Dec. 31,
                               2002                2002     2001
                       Outstand    Unused    Total    Total    Total
                         -ing   Commitments Exposure Exposure Exposure
----------------------------------------------------------------------
Air Transportation (1)
 Regional Passenger
  Carriers                $47.1      $10.2    $57.3    $57.2    $60.4
 United States Based
  Passenger Carriers       39.6          -     39.6     48.3     50.5
 International Based
  Passenger Carriers       32.1          -     32.1     32.2     32.5
 Cargo Carriers            15.0          -     15.0     15.0     14.9
----------------------------------------------------------------------
Total Air
 Transportation          $133.8      $10.2   $144.0   $152.7   $158.3
======================================================================
Lodging National Hotel
  Companies               $23.3      $78.7   $102.0   $104.7   $123.9
 Hawaii Hotels            103.4       31.9    135.3    134.6    129.4
 West Pacific Hotels       44.6          -     44.6     46.9     60.0
----------------------------------------------------------------------
Total Lodging            $171.3     $110.6   $281.9   $286.2   $313.3
======================================================================
Telecommunication
Companies                  $0.9      $25.7    $26.6    $31.1   $112.7
======================================================================
Syndicated Exposure      $309.1     $693.0 $1,002.1 $1,075.8 $1,520.4
======================================================================
    (1) Includes leases on 29 aircraft to 12 carriers. The largest
carrier exposure is $30.3 million on 7 aircraft, including a 737-700
and 6 commuter aircraft. The largest aircraft exposure is $15.0 on an
MD11 aircraft outfitted for cargo. Excluding 18 commuter aircraft, the
average outstanding per aircraft is $9.1 million.


Bank of Hawaii Corporation and Subsidiaries
Consolidated Non-Performing Assets and Accruing Loans Past     Table 7
 Due 90 Days or More  (Unaudited)
----------------------------------------------------------------------
                            Dec. 31 Sept. 30  June 30 March 31 Dec. 31
(dollars in millions)        2002     2002     2002     2002     2001
----------------------------------------------------------------------
Non-Performing Assets
Non-Accrual Loans
 Commercial Commercial
  and Industrial             $5.9     $6.4    $14.4    $27.4    $18.9
 Mortgage - Commercial       20.3     18.1     25.3     15.1     16.3
   Construction               0.5      0.9      0.7      1.0      9.3
   Lease Financing            4.1      5.7      6.9      4.4      0.8
----------------------------------------------------------------------
Total Commerical             30.8     31.1     47.3     47.9     45.3
 Consumer Mortgage -
  Residential                13.9     14.3     14.2     15.3     15.3
  Home Equity                 0.3      0.2      0.1      0.4      0.1
  Other Consumer                -      0.1        -      0.1      0.1
----------------------------------------------------------------------
         Total Consumer      14.2     14.6     14.3     15.8     15.5
----------------------------------------------------------------------
Total Non-Accrual Loans      45.0     45.7     61.6     63.7     60.8
----------------------------------------------------------------------

Non-Accrual Loans Held
 For Sale                       -        -        -      7.8      1.7

Foreclosed Real Estate        9.4     17.6     17.2     19.2     17.2

----------------------------------------------------------------------
Total Non-Performing
 Assets                     $54.4    $63.3    $78.8    $90.7    $79.7
======================================================================

Accruing Loans Past Due
 90 Days or More
 Commercial Commercial
 and Industrial              $0.2       $-       $-     $0.2     $0.1
  Mortgage -  Commercial      0.3        -        -      1.2        -
 Lease Financing                -        -      0.1      0.1        -
----------------------------------------------------------------------
 Total Commerical             0.5        -      0.1      1.5      0.1
  Consumer Mortgage -
  Residential                 0.6      1.4      0.9      2.1      3.7
  Home Equity                   -        -        -        -      0.1
  Other Consumer              0.7      0.3      0.5      0.7      0.9
  Lease Financing               -        -        -        -      0.1
----------------------------------------------------------------------
         Total Consumer       1.3      1.7      1.4      2.8      4.8
----------------------------------------------------------------------
Total Accruing and Past
 Due                         $1.8     $1.7     $1.5     $4.3     $4.9
======================================================================

Total Loans              $5,359.0 $5,259.3 $5,409.2 $5,601.6 $5,657.1
======================================================================

Ratio of Non-Accrual
 Loans to Total Loans        0.84%    0.87%    1.14%    1.14%    1.07%
----------------------------------------------------------------------

Ratio of Non-Performing Assets to
 Total Loans, Foreclosed
Real Estate and Non-
 Performing Loans Held
 for Sale                    1.01%    1.20%    1.45%    1.61%    1.40%
----------------------------------------------------------------------

Ratio of Non-Performing Assets and
 Accruing Loans
Past Due 90 Days or More
 to Total Loans              1.05%    1.24%    1.48%    1.70%    1.50%
----------------------------------------------------------------------

Quarter to Quarter Changes in Non-
 Performing Assets
Balance at Beginning of
 Quarter                    $63.3    $78.8    $90.7    $79.7   $106.4
  Additions                  12.0      7.0     20.5     36.4     43.8
  Reductions Payments
   and Sales of Loans        (6.9)    (8.5)   (20.6)   (12.9)   (40.9)
  Return to Accrual          (1.9)    (9.1)    (6.2)    (6.3)    (3.6)
  Sales of Foreclosed
    Assets                   (9.4)    (1.4)    (3.5)    (0.9)   (21.9)
  Charge-offs                (2.7)    (3.5)    (2.1)    (5.3)    (4.1)
----------------------------------------------------------------------
         Total Reductions   (20.9)   (22.5)   (32.4)   (25.4)   (70.5)

----------------------------------------------------------------------
Balance at End of Quarter   $54.4    $63.3    $78.8    $90.7    $79.7
======================================================================

Bank of Hawaii Corporation and Subsidiaries
Consolidated Allowance for Loan and Lease Losses (Unaudited)   Table 8
 (dollars in millions)
----------------------------------------------------------------------
                             Three Months Ended        Year Ended
                         Dec. 31  Sept. 30 Dec. 31      Dec. 31
                          2002     2002     2001      2002     2001
----------------------------------------------------------------------

Balance at Beginning of
 Period                   $154.5   $159.0   $182.5    $159.0   $246.2
  Loans Charged-Off
   Commercial Commercial
   & Industrial             (2.0)    (0.9)    (9.7)    (13.0)   (97.7)
  Mortgage-  Commercial        -     (2.5)    (3.3)     (2.9)   (19.4)
   Construction                -        -        -      (0.5)       -
   Lease Financing          (9.6)    (0.1)    (0.2)     (9.9)    (0.7)
  Consumer Mortgage-
   Residential              (0.4)    (0.6)    (3.2)     (3.5)    (8.9)
   Home Equity              (0.1)       -     (0.2)     (0.2)    (0.6)
   Other Consumer           (2.8)    (3.0)    (5.1)    (12.5)   (19.2)
   Lease Financing          (0.1)    (0.1)    (0.2)     (0.3)    (0.5)
        Foreign                -        -     (4.0)        -    (22.0)
----------------------------------------------------------------------
       Total Charge-Offs   (15.0)    (7.2)   (25.9)    (42.8)  (169.0)
Recoveries on Loans
 Previously Charged-Off
  Commercial
   Commercial &
   Industrial                1.4      0.7      1.4       4.7      9.2
 Mortgage-Commercial         0.1        -      0.8       2.1      3.2
  Construction               0.2        -        -       0.2        -
  Lease Financing              -        -        -         -      0.3
 Consumer Mortgage-
  Residential                0.3      0.1      0.3       1.1      1.0
  Home Equity                  -        -        -       0.1      0.1
  Other Consumer             1.3      1.5      2.4       6.1      8.1
  Lease Financing            0.1        -        -       0.1      0.1
        Foreign                -      0.4      6.5       0.7     25.6
----------------------------------------------------------------------
       Total Recoveries      3.4      2.7     11.4      15.1     47.6
----------------------------------------------------------------------
Net Loan Charge-Offs       (11.6)    (4.5)   (14.5)    (27.7)  (121.4)
Provision for Loan and
 Lease Losses                  -        -     14.5      11.6     74.3
Allowance Related to
 Disposition                   -        -    (23.7)        -    (40.2)
Foreign Currency
 Translation                   -        -      0.2         -      0.1
----------------------------------------------------------------------
Balance at End of Period  $142.9   $154.5   $159.0    $142.9   $159.0
======================================================================

Average Loans
 Outstanding            $5,210.4 $5,350.0 $6,533.5  $5,411.3 $7,732.7
======================================================================

Ratio of Net Charge-Offs
 to Average Loans
 Outstanding
 (annualized)               0.88%    0.33%    0.88%     0.51%    1.57%
Ratio of Allowance to
 Loans Outstanding          2.67%    2.94%    2.81%     2.67%    2.81%

Bank of Hawaii Corporation and Subsidiaries
Deposits (Unaudited) 
(dollars in millions)                                          Table 9
----------------------------------------------------------------------
                           Dec. 31 Sept. 30  June 30  March 31 Dec. 31
                             2002     2002     2002     2002     2001
----------------------------------------------------------------------
Domestic
  Non-Interest
   Bearing Demand        $1,719.6 $1,593.8 $1,466.1 $1,593.0 $1,552.9
  Interest Bearing
   Demand                 1,169.2  1,042.9    986.5    933.8    956.2
  Savings                 2,535.2  2,403.2  2,292.4  2,089.2  1,937.7
  Time                    1,461.8  1,549.7  1,652.8  1,807.0  1,927.8
----------------------------------------------------------------------
Total Domestic            6,885.8  6,589.6  6,397.8  6,423.0  6,374.6
Foreign                      34.4     38.1     58.2    120.8    303.6
----------------------------------------------------------------------
Total Deposits           $6,920.2 $6,627.7 $6,456.0 $6,543.8 $6,678.2
======================================================================



Bank of Hawaii Corporation and Subsidiaries
Information Technology Systems                                   Table
 Replacement Project (Unaudited)                                    10
(dollars in millions)  
----------------------------------------------------------------------
                          Pro-     Employee   Acceler-  Other 
                        fessional  Termina-    ated     Associ-
                          Fees      tion     Deprecia-  ated 
                                   Benefits    tion     Costs(1) Total
----------------------------------------------------------------------

Costs Incurred
Three Months Ended: 
 September 30, 2002     $1.9        $1.0         $3.2      $0.5  $6.6
 December 31,  2002      3.2         0.2          2.2       1.4   7.0
----------------------------------------------------------------------
Year Ended
 December 31,
 2002                   $5.1        $1.2         $5.4      $1.9 $13.6
======================================================================

Total Expected
 Project Costs         $12.7        $6.6         $9.2      $7.0 $35.5
======================================================================
(1) Includes contract termination, equipment, excise
 tax, and other costs.


Bank of Hawaii Corporation and Subsidiaries
Quarterly Summary of Selected Consolidated
 Financial Data (Unaudited)                                   Table 11
----------------------------------------------------------------------
(dollars in millions except per share amounts)

                               Dec. 31  Sep. 30  Jun. 30   Mar. 31  
                                2002      2002     2002      2002   
----------------------------------------------------------------------
Balance Sheet Totals
Total Assets                   $9,516.4 $9,702.7 $9,824.1 $10,245.0 
Net Loans                       5,216.2  5,104.9  5,250.2   5,442.6 
Total Deposits                  6,920.2  6,627.7  6,456.0   6,543.8 
Total Shareholders' Equity      1,015.8  1,100.7  1,191.1   1,265.9 

Quarterly Operating Results
Net Interest Income               $90.2    $92.2    $92.9     $94.9 
Provision for Loan and
 Lease Losses                         -        -      3.3       8.3 
Non-Interest Income                51.1     47.4     48.2      53.2 
Gain on Sales of Banking
 Operations, Net of
 Venture Investment Losses            -        -        -         - 
Non-Interest Expense               90.1     85.5     89.6      89.6 
Restructuring and Other
 Related Costs                      0.4        -        -       2.0 
Information Technology
 System Replacement
 Project                            7.0      6.6        -         - 
Net Income                         28.9     30.2     31.0      31.1 

Basic Earnings Per Share          $0.45    $0.44    $0.43     $0.42 
Diluted Earnings Per Share        $0.44    $0.43    $0.42     $0.41 

Return on Average Assets           1.20%    1.22%    1.23%     1.21%
Return on Average Equity          10.72%   10.40%    9.94%     9.97%
Efficiency Ratio                  68.97%   65.99%   63.51%    61.86%

Continuing Business
 Operating Results( 1)
Net Interest Income               $90.2    $92.2    $92.9     $94.9 
Provision for Loan
 and Lease Losses                     -        -      3.3       8.3 
Non-Interest Income                51.1     47.4     48.2      53.3 
Non-Interest Expense               90.0     85.5     89.6      89.7 
Net Income                         33.8     34.4     31.0      32.3 

Diluted Earnings Per Share        $0.51    $0.49    $0.42     $0.43 

Return on Average Equity          12.54%   11.84%    9.94%    10.37%
Efficiency Ratio                  63.70%   61.28%   63.51%    60.53%



Bank of Hawaii Corporation and Subsidiaries
Quarterly Summary of Selected Consolidated
 Financial Data (Unaudited)                                   Table 11
----------------------------------------------------------------------
(dollars in millions except per share amounts)

                               Dec. 31   Sep. 30   Jun. 30   Mar. 31  
                                 2001      2001      2001      2001   
----------------------------------------------------------------------
Balance Sheet Totals          
Total Assets                  $10,632.4 $11,947.4 $12,791.6 $13,743.7 
Net Loans                       5,498.1   6,586.8   7,454.1   8,257.8 
Total Deposits                  6,678.2   7,403.0   8,144.6   8,848.6 
Total Shareholders' Equity      1,247.0   1,371.1   1,395.7   1,371.9 

Quarterly Operating Results                                           
Net Interest Income              $106.1    $111.7    $116.7    $125.2 
Provision for Loan and                                                
 Lease Losses                      14.5       0.9       6.4      52.5 
Non-Interest Income                50.3      64.8      72.5      87.8 
Gain on Sales of Banking                                              
 Operations, Net of                                                   
 Venture Investment Losses         28.7      47.8      24.8      72.1 
Non-Interest Expense              121.4     118.8     121.7     127.4 
Restructuring and Other                                               
 Related Costs                     18.5       3.0      38.9      44.4 
Information Technology                                                
 System Replacement                                                   
 Project                              -         -         -         - 
Net Income                         26.3      31.1      26.7      33.7 

Basic Earnings Per Share          $0.35     $0.39     $0.33     $0.42 
Diluted Earnings Per Share        $0.34     $0.37     $0.32     $0.42 

Return on Average Assets           0.90%     1.00%     0.83%     0.99%
Return on Average Equity           8.14%     8.88%     7.69%    10.42%
Efficiency Ratio                  75.61%    54.31%    75.07%    60.24%

Continuing Business                                                   
 Operating Results(1)                                                 
Net Interest Income               $93.8     $91.0     $87.8     $92.2 
Provision for Loan                                                    
 and Lease Losses                  16.6       6.4       2.6      12.1 
Non-Interest Income                42.9      53.0      54.2      54.0 
Non-Interest Expense               98.4      87.6      88.6      85.8 
Net Income                         21.3      31.4      32.6      28.3 

Diluted Earnings Per Share        $0.28     $0.38     $0.39     $0.35 

Return on Average Equity           6.59%     8.96%     9.37%     8.76%
Efficiency Ratio                  71.99%    60.83%    62.40%    58.71%

(1) Excludes the effects of the businesses that were divested in
2001, restructuring, non-core transactions and costs associated with
the information technology system replacement project. 2001 Quarterly
information has been reclassified to conform to December 31, 2001
presentation and excludes goodwill amortization.

CONTACT:
Bank of Hawaii
Stafford Kiguchi, 808/537-8580 (Media)
pager: 877/849-5423
skiguchi@boh.com
or
Cindy Wyrick, 808/537-8430 (Investor/Analyst)
cwyrick@boh.com