HONOLULU--(BUSINESS WIRE)--

Bank of Hawaii Corporation (NYSE: BOH) today reported diluted earnings per share of $1.28 for the first quarter of 2018, up from $1.01 in the previous quarter and up from $1.20 in the same quarter last year. Net income for the first quarter of 2018 was $54.0 million, an increase of $11.0 million compared with net income of $43.0 million in the fourth quarter of 2017 and up $2.8 million from net income of $51.2 million in the first quarter of 2017.

The Company’s Board of Directors declared a quarterly cash dividend of $0.60 per share on the Company’s outstanding shares, an increase of 15.4 percent from the cash dividend of $0.52 per share in the previous quarter. The dividend will be payable on June 14, 2018 to shareholders of record at the close of business on May 31, 2018.

"We were pleased with our financial performance during the first quarter of 2018," said Peter S. Ho, Chairman, President, and CEO. "Our balance sheet remained strong, our net interest margin expanded, asset quality continued its stable trend, and expenses were well controlled. We continue to make solid progress in transforming our branches to the new Branch of Tomorrow concept, with six locations now completed, the most recent being Pearlridge in January."

The return on average assets for the first quarter of 2018 was 1.29 percent, an increase from 1.00 percent during the previous quarter and 1.26 percent in the same quarter last year. The return on average equity for the first quarter of 2018 was 17.74 percent, up from 13.85 percent in the fourth quarter of 2017 and 17.63 percent in the first quarter of 2017. The efficiency ratio during the first quarter of 2018 was 57.91 percent compared with 57.49 percent in the previous quarter and 53.42 percent in the same quarter last year.

Financial Highlights

Net interest income, on a taxable-equivalent basis, for the first quarter of 2018 was $120.3 million, down $1.3 million from net interest income of $121.6 million in the fourth quarter of 2017 and up $7.4 million from net interest income of $112.9 million in the first quarter of 2017. The net interest margin was 3.00 percent for the first quarter of 2018, up 2 basis points compared with 2.98 percent in the previous quarter and up 11 basis points from 2.89 percent for the first quarter last year. The net interest margin in the first quarter of 2018 was negatively impacted by 4 basis points due to revisions in the tax-equivalent adjustment as a result of the Tax Cuts and Jobs Act. There was no impact on net interest income as a result of this revision. Net interest income, on a reported basis, for the first quarter of 2018 was $119.0 million, up $0.2 million from net interest income of $118.8 million in the fourth quarter of 2017 and up $9.1 million from net interest income of $108.9 million in the first quarter of 2017. Analyses of the changes in net interest income are included in Tables 8a and 8b.

Results for the first quarter of 2018 included a provision for credit losses of $4.1 million compared with a provision for credit losses of $4.3 million in the fourth quarter of 2017 and a provision for credit losses of $4.4 million in the first quarter of 2017.

Noninterest income was $44.0 million in the first quarter of 2018, an increase of $2.1 million compared with noninterest income of $41.9 million in the fourth quarter of 2017 and a decrease of $11.9 million compared with noninterest income of $55.9 million in the first quarter of 2017. Noninterest income in the first quarter of 2018 included $2.8 million resulting from a low-income housing investment sale and distribution. There were no significant items in noninterest income during the fourth quarter of 2017. Noninterest income in the first quarter of 2017 included a gain of $12.5 million resulting from the sale of 90,000 Visa Class B shares.

Noninterest expense was $94.4 million in the first quarter of 2018, an increase of $2.1 million compared with noninterest expense of $92.3 million in the fourth quarter of 2017 and an increase of $5.8 million from noninterest expense of $88.6 million in the same quarter last year. Noninterest expense in the first quarter of 2018 included seasonal payroll expenses of approximately $2.5 million, a legal reserve of $2.0 million, and severance expenses of $1.0 million. Noninterest expense in the fourth quarter of 2017 included one-time employee bonuses of $2.2 million. Noninterest expense in the first quarter of 2017 included seasonal payroll expenses of approximately $2.5 million. An analysis of noninterest expenses related to salaries and benefits is included in Table 9.

The effective tax rate for the first quarter of 2018 was 16.19 percent compared with an effective tax rate of 32.93 percent in the previous quarter and 29.72 percent during the same quarter last year. The provision for income taxes was $10.4 million in the first quarter of 2018, a decrease of $10.6 million or 50.5 percent compared with the fourth quarter of 2017 and a decrease of $11.2 million or 51.8 percent compared to the first quarter in 2017. The lower effective tax rate in the first quarter of 2018 was primarily due to the reduction in the federal corporate tax rate from 35 percent to 21 percent as a result of the Tax Cuts and Jobs Act. The tax rate during the first quarter of 2018 was also favorably impacted by a $2.0 million adjustment to the Company’s low-income housing investments. The effective tax rate for the fourth quarter of 2017 included a $3.6 million one-time unfavorable adjustment related to the tax reform bill. The first quarter of 2017 included tax benefits from the exercise of stock options and the vesting of restricted stock which were $1.1 million higher, when compared to the first quarter of 2018.

The Company’s business segments are defined as Retail Banking, Commercial Banking, Investment Services and Private Banking, and Treasury & Other. Results for the business segments are determined based on the Company’s internal financial management reporting process and organizational structure. Selected financial information is included in Table 13.

Asset Quality

The Company’s strong asset quality remained stable during the first quarter of 2018. Total non-performing assets decreased to $15.7 million at March 31, 2018, down from non-performing assets of $16.1 million at December 31, 2017 and $19.0 million at March 31, 2017. As a percentage of total loans and leases, including foreclosed real estate, non-performing assets were 0.16 percent at the end of the first quarter of 2018, unchanged from the end of the fourth quarter of 2017 and down from 0.21 percent at the end of the first quarter last year.

Accruing loans and leases past due 90 days or more were $8.2 million at March 31, 2018, compared with $7.1 million at December 31, 2017 and $5.9 million at March 31, 2017. Restructured loans not included in non-accrual loans or accruing loans past due 90 days or more were $56.7 million at March 31, 2018, up from $55.7 million at December 31, 2017 and $53.0 million at March 31, 2017. More information on non-performing assets and accruing loans and leases past due 90 days or more is presented in Table 11.

Net loans and leases charged off during the first quarter of 2018 were $3.5 million or 0.15 percent annualized of total average loans and leases outstanding. Loan and lease charge-offs of $6.0 million during the quarter were partially offset by recoveries of $2.5 million. Net charge-offs during the fourth quarter of 2017 were $3.8 million or 0.15 percent annualized of total average loans and leases outstanding and were comprised of $5.8 million in charge-offs partially offset by recoveries of $2.1 million. Net charge-offs during the first quarter of 2017 were $3.6 million or 0.16 percent annualized of total average loans and leases outstanding and were comprised of $5.7 million in charge-offs partially offset by recoveries of $2.1 million.

The allowance for loan and lease losses was $107.9 million at March 31, 2018, an increase from $107.3 million at December 31, 2017 and up from $105.1 million at March 31, 2017. The ratio of the allowance for loan and lease losses to total loans and leases outstanding was 1.09 percent at March 31, 2018 compared with 1.10 percent at December 31, 2017 and 1.15 percent at March 31, 2017. The reserve for unfunded commitments was $6.8 million at March 31, 2018, unchanged from December 31, 2017 and up from $6.6 million at March 31, 2017. Details of loan and lease charge-offs, recoveries, and the components of the total reserve for credit losses are summarized in Table 12.

Other Financial Highlights

Total assets were $17.14 billion at March 31, 2018, up from $17.09 billion at December 31, 2017 and $16.66 billion at March 31, 2017. Average total assets were $16.96 billion during the first quarter of 2018, a decrease from average total assets of $17.08 billion during the previous quarter and an increase from $16.43 billion during the same quarter last year.

The investment securities portfolio was $5.97 billion at March 31, 2018 compared with $6.16 billion at December 31, 2017 and $6.19 billion at March 31, 2017. The portfolio at March 31, 2018 remains largely comprised of securities issued by U. S. government agencies and includes $3.79 billion in securities held to maturity and $2.18 billion in securities available for sale.

Total loans and leases were $9.92 billion at March 31, 2018, up 1.2 percent from $9.80 billion at December 31, 2017 and up 8.8 percent from $9.11 billion at March 31, 2017. Average total loans and leases were $9.80 billion during the first quarter of 2018, up from $9.69 billion during the fourth quarter of 2017 and $9.02 billion during the same quarter last year.

The commercial loan portfolio was $3.79 billion at the end of the first quarter of 2018, up 0.7 percent from commercial loans of $3.77 billion at the end of the fourth quarter of 2017 and up 4.5 percent from $3.63 billion at the end of the same quarter last year. The consumer loan portfolio increased to $6.12 billion at the end of the first quarter of 2018, up 1.5 percent from consumer loans of $6.03 billion at the end of the fourth quarter of 2017 and up 11.7 percent from $5.48 billion at the end of the same quarter last year. Loan and lease portfolio balances are summarized in Table 10.

Total deposits increased to $14.96 billion at March 31, 2018 compared with total deposits of $14.88 billion at December 31, 2017 and $14.48 billion at March 31, 2017. Average total deposits were $14.72 billion during the first quarter of 2018 compared with $14.81 billion during the previous quarter and $14.22 billion during the same quarter last year.

Consumer deposits remained strong, increasing to $7.67 billion at the end of the first quarter of 2018, up 2.5 percent from consumer deposits of $7.48 billion the previous quarter and up 6.5 percent from $7.20 billion in the first quarter last year. Commercial deposits were $5.90 billion at the end of the first quarter of 2018, down 1.3 percent from commercial deposits of $5.97 billion during the previous quarter and down 2.6 percent from $6.05 billion in the first quarter last year. Other deposits, including public funds, were $1.39 billion at the end of the first quarter, down 2.7 percent from other deposits of $1.43 billion in the previous quarter and up 13.5 percent compared with $1.23 billion in the same quarter last year. Deposit balances are summarized in Tables 7 and 10.

Total shareholders’ equity increased to $1.24 billion at March 31, 2018 compared with total shareholder’s equity of $1.23 billion at December 31, 2017 and $1.19 billion at March 31, 2017. The Tier 1 Capital Ratio was 13.37 percent at March 31, 2018 compared with 13.24 percent at December 31, 2017 and 13.41 percent at March 31, 2017. The Tier 1 Leverage Ratio at March 31, 2018 was 7.46 percent compared with 7.26 percent at December 31, 2017 and 7.29 percent at March 31, 2017.

During the first quarter of 2018, the Company repurchased 165.5 thousand shares of common stock at a total cost of $13.9 million under its share repurchase program. The average cost was $84.23 per share repurchased. From the beginning of the share repurchase program initiated during July 2001 through March 31, 2018, the Company has repurchased 54.4 million shares and returned over $2.0 billion to shareholders at an average cost of $38.43 per share. Remaining buyback authority under the share repurchase program was $106.1 million at March 31, 2018. From April 1 through April 20, 2018 the Company repurchased an additional 60.0 thousand shares of common stock at an average cost of $82.75 per share.

Hawaii Economy

General economic conditions in Hawaii remained positive during the first quarter of 2018 due to continuation of the strong tourism market, active construction industry, low unemployment, and robust real estate market.

The statewide seasonally-adjusted unemployment rate remains very low at 2.1 percent in March 2018 compared to 4.1 percent nationally. For the first two months of 2018, total visitor arrivals increased 7.7 percent and visitor spending increased 8.5 percent compared to the same period in 2017. All four larger Hawaiian Islands recorded increases in both visitor spending and arrivals compared to last year. For the first quarter of 2018, single-family home sales on Oahu decreased 0.4 percent and condominium sales increased 0.7 percent compared with the same period last year. During the first quarter of 2018, the median sales price of a single-family home on Oahu increased 2.0 percent and the median sales price of a condominium on Oahu increased 9.0 percent compared with the same period last year. As of March 31, 2018, the inventory of single-family homes on Oahu was 2.1 months and the inventory of condominiums was 2.6 months. More information on current Hawaii economic trends is presented in Table 15.

Conference Call Information

The Company will review its first quarter financial results today at 2:00 p.m. Eastern Daylight Time (8:00 a.m. Hawaii Time). The call will be accessible via teleconference and via the investor relations link of Bank of Hawaii Corporation's website, www.boh.com. The toll-free number is 1 (844) 543-5235 in the United States and Canada and 1 (703) 318-2209 for other international callers. Use the pass code “Bank of Hawaii” to access the call. A replay will be available for one week beginning at approximately 11:00 a.m. Hawaii Time on Monday, April 23, 2018. The replay number is 1 (855) 859-2056 in the United States and Canada and 1 (404) 537-3406 from other international locations. Enter the pass code 5756239 when prompted. Participants can also dial 1 (800) 585-8367 to access the replay. In addition, a replay will be available on the Company's website, www.boh.com.

Forward-Looking Statements

This news release, and other statements made by the Company in connection with it may contain "forward-looking statements", 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, 2017, 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 an independent 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. For more information about Bank of Hawaii Corporation, see the Company’s web site, www.boh.com.

Bank of Hawaii Corporation and Subsidiaries
Financial Highlights								Table 1
		Three Months Ended
		March 31,			December 31,			March 31,
(dollars in thousands, except per share amounts)		2018			2017			2017
For the Period:
Operating Results
Net Interest Income		$	118,956		$	118,770		$	109,872
Provision for Credit Losses			4,125			4,250			4,400
Total Noninterest Income			44,035			41,855			55,916
Total Noninterest Expense			94,384			92,336			88,568
Net Income			54,040			42,953			51,176
Basic Earnings Per Share			1.29			1.02			1.21
Diluted Earnings Per Share			1.28			1.01			1.20
Dividends Declared Per Share			0.52			0.52			0.50
Performance Ratios
Return on Average Assets			1.29	%		1.00	%		1.26	%
Return on Average Shareholders' Equity			17.74			13.85			17.63
Efficiency Ratio 1			57.91			57.49			53.42
Net Interest Margin 2			3.00			2.98			2.89
Dividend Payout Ratio 3			40.31			50.98			41.32
Average Shareholders' Equity to Average Assets			7.29			7.20			7.16
Average Balances
Average Loans and Leases		$	9,803,753		$	9,688,710		$	9,020,351
Average Assets			16,957,430			17,084,596			16,434,606
Average Deposits			14,720,266			14,813,218			14,218,886
Average Shareholders' Equity			1,235,550			1,230,564			1,177,326
Per Share of Common Stock
Book Value		$	29.33		$	29.05		$	27.92
Tangible Book Value			28.59			28.31			27.18
Market Value
Closing			83.10			85.70			82.36
High			89.09			88.38			90.80
Low			78.40			77.71			77.03
		March 31,			December 31,			March 31,
		2018			2017			2017
As of Period End:
Balance Sheet Totals
Loans and Leases		$	9,916,628		$	9,796,947		$	9,113,809
Total Assets			17,136,030			17,089,052			16,664,215
Total Deposits			14,957,133			14,883,968			14,476,533
Other Debt			235,699			260,716			267,921
Total Shareholders' Equity			1,241,193			1,231,868			1,193,137
Asset Quality
Non-Performing Assets		$	15,736		$	16,120		$	19,003
Allowance for Loan and Lease Losses			107,938			107,346			105,064
Allowance to Loans and Leases Outstanding			1.09	%		1.10	%		1.15	%
Capital Ratios
Common Equity Tier 1 Capital Ratio			13.37	%		13.24	%		13.41	%
Tier 1 Capital Ratio			13.37			13.24			13.41
Total Capital Ratio			14.59			14.46			14.66
Tier 1 Leverage Ratio			7.46			7.26			7.29
Total Shareholders' Equity to Total Assets			7.24			7.21			7.16
Tangible Common Equity to Tangible Assets 4			7.07			7.04			6.98
Tangible Common Equity to Risk-Weighted Assets 4			12.80			12.84			13.04
Non-Financial Data
Full-Time Equivalent Employees			2,138			2,132			2,115
Branches			69			69			69
ATMs			377			387			441
1 Efficiency ratio is defined as noninterest expense divided by total revenue (net interest income and total noninterest income).
2 Net interest margin is defined as net interest income, on a taxable-equivalent basis, as a percentage of average earning assets.
3 Dividend payout ratio is defined as dividends declared per share divided by basic earnings per share.
4 Tangible common equity to tangible assets and tangible common equity to risk-weighted assets are Non-GAAP financial measures. See Table 2 “Reconciliation of Non-GAAP Financial Measures."

Bank of Hawaii Corporation and Subsidiaries
Reconciliation of Non-GAAP Financial Measures										Table 2
				March 31,			December 31,			March 31,
(dollars in thousands)				2018			2017			2017
Total Shareholders' Equity				$	1,241,193		$	1,231,868		$	1,193,137
Less: Goodwill					31,517			31,517			31,517
Tangible Common Equity				$	1,209,676		$	1,200,351		$	1,161,620
Total Assets				$	17,136,030		$	17,089,052		$	16,664,215
Less: Goodwill					31,517			31,517			31,517
Tangible Assets				$	17,104,513		$	17,057,535		$	16,632,698
Risk-Weighted Assets, determined in accordance with prescribed regulatory requirements				$	9,451,647		$	9,348,296		$	8,908,024
Total Shareholders' Equity to Total Assets					7.24%			7.21%			7.16%
Tangible Common Equity to Tangible Assets (Non-GAAP)					7.07%			7.04%			6.98%
Tier 1 Capital Ratio					13.37%			13.24%			13.41%
Tangible Common Equity to Risk-Weighted Assets (Non-GAAP)					12.80%			12.84%			13.04%

Bank of Hawaii Corporation and Subsidiaries
Consolidated Statements of Income										Table 3
		Three Months Ended
		March 31,				December 31,				March 31,
(dollars in thousands, except per share amounts)		2018				2017				2017
Interest Income
Interest and Fees on Loans and Leases		$	97,634			$	96,974			$	87,937
Income on Investment Securities
Available-for-Sale			12,141				11,866				11,084
Held-to-Maturity			21,296				21,782				19,706
Deposits			18				3				5
Funds Sold			757				717				890
Other			300				271				230
Total Interest Income			132,146				131,613				119,852
Interest Expense
Deposits			7,581				6,980				3,691
Securities Sold Under Agreements to Repurchase			4,564				4,664				5,185
Funds Purchased			53				81				3
Short-Term Borrowings			16				-				-
Other Debt			976				1,118				1,101
Total Interest Expense			13,190				12,843				9,980
Net Interest Income			118,956				118,770				109,872
Provision for Credit Losses			4,125				4,250				4,400
Net Interest Income After Provision for Credit Losses			114,831				114,520				105,472
Noninterest Income
Trust and Asset Management			11,181				11,105				11,479
Mortgage Banking			2,145				2,593				3,300
Service Charges on Deposit Accounts			7,129				8,053				8,325
Fees, Exchange, and Other Service Charges			14,333				13,784				13,332
Investment Securities Gains (Losses), Net			(666	)			(617	)			12,133
Annuity and Insurance			1,206				1,273				1,995
Bank-Owned Life Insurance			1,842				1,609				1,497
Other			6,865				4,055				3,855
Total Noninterest Income			44,035				41,855				55,916
Noninterest Expense
Salaries and Benefits			54,422				51,698				51,165
Net Occupancy			8,534				8,510				8,168
Net Equipment			5,527				5,454				5,501
Data Processing			3,891				4,310				3,410
Professional Fees			2,773				3,266				2,779
FDIC Insurance			2,157				2,253				2,209
Other			17,080				16,845				15,336
Total Noninterest Expense			94,384				92,336				88,568
Income Before Provision for Income Taxes			64,482				64,039				72,820
Provision for Income Taxes			10,442				21,086				21,644
Net Income		$	54,040			$	42,953			$	51,176
Basic Earnings Per Share		$	1.29			$	1.02			$	1.21
Diluted Earnings Per Share		$	1.28			$	1.01			$	1.20
Dividends Declared Per Share		$	0.52			$	0.52			$	0.50
Basic Weighted Average Shares			42,038,573				42,116,452				42,406,006
Diluted Weighted Average Shares			42,358,425				42,450,191				42,749,866
Note: Certain prior period information has been reclassified to conform to current presentation.

Bank of Hawaii Corporation and Subsidiaries
Consolidated Statements of Comprehensive Income											Table 4
			Three Months Ended
			March 31,				December 31,				March 31,
(dollars in thousands)			2018				2017				2017
Net Income			$	54,040			$	42,953			$	51,176
Other Comprehensive Income (Loss), Net of Tax:
	Net Unrealized Gains (Losses) on Investment Securities			(9,121	)			(10,430	)			4,894
	Defined Benefit Plans			216				738				146
Other Comprehensive Income (Loss)				(8,905	)			(9,692	)			5,040
Comprehensive Income			$	45,135			$	33,261			$	56,216

Bank of Hawaii Corporation and Subsidiaries
Consolidated Statements of Condition										Table 5
		March 31,				December 31,				March 31,
(dollars in thousands)		2018				2017				2017
Assets
Interest-Bearing Deposits in Other Banks		$	2,589			$	3,421			$	3,486
Funds Sold			387,766				181,413				620,065
Investment Securities
Available-for-Sale			2,184,187				2,232,979				2,341,570
Held-to-Maturity (Fair Value of $3,711,149; $3,894,121; and $3,848,609)			3,789,092				3,928,170				3,848,088
Loans Held for Sale			23,548				19,231				20,899
Loans and Leases			9,916,628				9,796,947				9,113,809
Allowance for Loan and Lease Losses			(107,938	)			(107,346	)			(105,064	)
Net Loans and Leases			9,808,690				9,689,601				9,008,745
Total Earning Assets			16,195,872				16,054,815				15,842,853
Cash and Due from Banks			174,871				263,017				119,972
Premises and Equipment, Net			137,201				130,926				114,865
Accrued Interest Receivable			52,941				50,485				48,654
Foreclosed Real Estate			2,768				1,040				2,529
Mortgage Servicing Rights			24,493				24,622				24,291
Goodwill			31,517				31,517				31,517
Bank-Owned Life Insurance			280,537				280,034				275,685
Other Assets			235,830				252,596				203,849
Total Assets		$	17,136,030			$	17,089,052			$	16,664,215
Liabilities
Deposits
Noninterest-Bearing Demand		$	4,759,777			$	4,724,300			$	4,593,783
Interest-Bearing Demand			3,028,373				3,082,563				2,886,573
Savings			5,397,291				5,389,013				5,596,080
Time			1,771,692				1,688,092				1,400,097
Total Deposits			14,957,133				14,883,968				14,476,533
Funds Purchased			-				-				4,616
Securities Sold Under Agreements to Repurchase			505,293				505,293				505,292
Other Debt			235,699				260,716				267,921
Retirement Benefits Payable			37,046				37,312				48,436
Accrued Interest Payable			8,229				6,946				6,410
Taxes Payable and Deferred Taxes			29,557				24,009				42,046
Other Liabilities			121,880				138,940				119,824
Total Liabilities			15,894,837				15,857,184				15,471,078
Shareholders' Equity
Common Stock ($.01 par value; authorized 500,000,000 shares; issued / outstanding: March 31, 2018 - 58,051,646 / 42,314,414; December 31, 2017 - 57,959,074 / 42,401,443; and March 31, 2017 - 57,962,462 / 42,736,032)			577				576				576
Capital Surplus			563,598				561,161				553,898
Accumulated Other Comprehensive Loss			(51,097	)			(34,715	)			(28,866	)
Retained Earnings			1,551,900				1,512,218				1,444,495
Treasury Stock, at Cost (Shares: March 31, 2018 - 15,737,232; December 31, 2017 - 15,557,631; and March 31, 2017 - 15,226,430)			(823,785	)			(807,372	)			(776,966	)
Total Shareholders' Equity			1,241,193				1,231,868				1,193,137
Total Liabilities and Shareholders' Equity		$	17,136,030			$	17,089,052			$	16,664,215

Bank of Hawaii Corporation and Subsidiaries
Consolidated Statements of Shareholders' Equity																							Table 6
											Accum.
											Other
											Compre-
											hensive
		Common Shares			Common			Capital			Income				Retained				Treasury
(dollars in thousands)		Outstanding			Stock			Surplus			(Loss)				Earnings				Stock				Total
Balance as of December 31, 2017		42,401,443			$	576		$	561,161		$	(34,715	)		$	1,512,218			$	(807,372	)		$	1,231,868
Net Income		-				-			-			-				54,040				-				54,040
Other Comprehensive Loss		-				-			-			(8,905	)			-				-				(8,905	)
Reclassification of the Income Tax Effects of the Tax Cuts and Jobs Act from AOCI		-				-			-			(7,477	)			7,477				-				-
Share-Based Compensation		-				-			1,867			-				-				-				1,867
Common Stock Issued under Purchase and Equity Compensation Plans and Related Tax Benefits		121,299				1			570			-				252				1,128				1,951
Common Stock Repurchased		(208,328	)			-			-			-				-				(17,541	)			(17,541	)
Cash Dividends Declared ($0.52 per share)		-				-			-			-				(22,087	)			-				(22,087	)
Balance as of March 31, 2018		42,314,414			$	577		$	563,598		$	(51,097	)		$	1,551,900			$	(823,785	)		$	1,241,193
Balance as of December 31, 2016		42,635,978			$	576		$	551,628		$	(33,906	)		$	1,415,440			$	(772,201	)		$	1,161,537
Net Income		-				-			-			-				51,176				-				51,176
Other Comprehensive Income		-				-			-			5,040				-				-				5,040
Share-Based Compensation		-				-			1,735			-				-				-				1,735
Common Stock Issued under Purchase and Equity Compensation Plans and Related Tax Benefits		235,803				-			535			-				(702	)			6,744				6,577
Common Stock Repurchased		(135,749	)			-			-			-				-				(11,509	)			(11,509	)
Cash Dividends Declared ($0.50 per share)		-				-			-			-				(21,419	)			-				(21,419	)
Balance as of March 31, 2017		42,736,032			$	576		$	553,898		$	(28,866	)		$	1,444,495			$	(776,966	)		$	1,193,137

Bank of Hawaii Corporation and Subsidiaries
Average Balances and Interest Rates - Taxable-Equivalent Basis																											Table 7
			Three Months Ended									Three Months Ended									Three Months Ended
			March 31, 2018									December 31, 2017									March 31, 2017
			Average			Income/			Yield/			Average			Income/			Yield/			Average			Income/			Yield/
(dollars in millions)			Balance			Expense			Rate			Balance			Expense			Rate			Balance			Expense			Rate
Earning Assets
Interest-Bearing Deposits in Other Banks			$	3.0		$	-		2.34	%		$	3.2		$	-		0.46	%		$	3.3		$	-		0.57	%
Funds Sold				204.7			0.8		1.48				221.0			0.7		1.27				544.1			0.9		0.65
Investment Securities
	Available-for-Sale
	Taxable			1,595.1			8.9		2.23				1,669.7			8.5		2.05				1,625.4			7.5		1.87
	Non-Taxable			604.7			4.1		2.74				619.0			5.1		3.29				660.7			5.4		3.26
	Held-to-Maturity
	Taxable			3,631.2			19.8		2.18				3,775.6			20.3		2.15				3,589.8			18.2		2.03
	Non-Taxable			238.0			1.9		3.18				239.0			2.3		3.87				241.8			2.4		3.89
Total Investment Securities				6,069.0			34.7		2.29				6,303.3			36.2		2.30				6,117.7			33.5		2.19
Loans Held for Sale				14.1			0.1		3.76				15.9			0.2		4.02				30.4			0.3		3.99
Loans and Leases 1
	Commercial and Industrial			1,280.9			11.8		3.73				1,284.5			11.7		3.62				1,263.7			10.5		3.38
	Commercial Mortgage			2,096.4			20.6		3.99				2,063.2			20.2		3.89				1,881.5			17.5		3.76
	Construction			189.4			2.1		4.45				213.8			2.6		4.78				259.1			2.9		4.54
	Commercial Lease Financing			179.6			1.0		2.21				202.6			1.3		2.56				208.7			1.1		2.18
	Residential Mortgage			3,478.2			33.3		3.83				3,420.0			32.6		3.81				3,201.7			30.9		3.86
	Home Equity			1,595.4			14.6		3.70				1,552.4			14.3		3.65				1,367.4			12.0		3.56
	Automobile			541.5			5.6		4.19				516.3			5.8		4.43				461.7			5.8		5.04
	Other 2			442.4			8.6		7.91				435.9			8.5		7.80				376.6			7.3		7.89
Total Loans and Leases				9,803.8			97.6		4.02				9,688.7			97.0		3.98				9,020.4			88.0		3.94
Other				40.7			0.3		2.95				40.6			0.3		2.67				40.1			0.2		2.30
Total Earning Assets 3				16,135.3			133.5		3.33				16,272.7			134.4		3.29				15,756.0			122.9		3.14
Cash and Due from Banks				228.6									229.5									132.2
Other Assets				593.5									582.4									546.4
Total Assets			$	16,957.4								$	17,084.6								$	16,434.6
Interest-Bearing Liabilities
Interest-Bearing Deposits
	Demand		$	2,978.1			0.8		0.10			$	2,877.7			0.5		0.06			$	2,866.4			0.3		0.04
	Savings			5,366.3			2.1		0.16				5,396.9			1.9		0.14				5,406.2			1.3		0.09
	Time			1,713.5			4.7		1.11				1,767.9			4.6		1.03				1,313.7			2.1		0.65
Total Interest-Bearing Deposits				10,057.9			7.6		0.31				10,042.5			7.0		0.28				9,586.3			3.7		0.16
Short-Term Borrowings				19.1			0.1		1.45				25.0			0.1		1.27				9.5			-		0.15
Securities Sold Under Agreements to Repurchase				505.3			4.5		3.61				505.3			4.6		3.61				512.2			5.2		4.05
Other Debt				257.1			1.0		1.54				267.6			1.1		1.66				267.9			1.1		1.66
Total Interest-Bearing Liabilities				10,839.4			13.2		0.49				10,840.4			12.8		0.47				10,375.9			10.0		0.39
Net Interest Income						$	120.3								$	121.6								$	112.9
	Interest Rate Spread								2.84	%								2.82	%								2.75	%
	Net Interest Margin								3.00	%								2.98	%								2.89	%
Noninterest-Bearing Demand Deposits				4,662.4									4,770.7									4,632.6
Other Liabilities				220.0									242.9									248.8
Shareholders' Equity				1,235.6									1,230.6									1,177.3
Total Liabilities and Shareholders' Equity			$	16,957.4								$	17,084.6								$	16,434.6
1 Non-performing loans and leases are included in the respective average loan and lease balances. Income, if any, on such loans and leases is recognized on a cash basis.
2 Comprised of other consumer revolving credit, installment, and consumer lease financing.
3 Interest income includes taxable-equivalent basis adjustments, based upon a federal statutory tax rate of 21% for 2018 and 35% for 2017, of $1,344,000 for the three months ended March 31, 2018 and $2,808,000 and $3,061,000 for the three months ended December 31, 2017 and March 31, 2017, respectively.

Bank of Hawaii Corporation and Subsidiaries
Analysis of Change in Net Interest Income - Taxable-Equivalent Basis										Table 8a
		Three Months Ended March 31, 2018
		Compared to December 31, 2017
(dollars in millions)		Volume 1				Rate 1				Total
Change in Interest Income:
Funds Sold		$	-			$	0.1			$	0.1
Investment Securities
Available-for-Sale
Taxable			(0.4	)			0.8				0.4
Non-Taxable			(0.1	)			(0.9	)			(1.0	)
Held-to-Maturity
Taxable			(0.8	)			0.3				(0.5	)
Non-Taxable			-				(0.4	)			(0.4	)
Total Investment Securities			(1.3	)			(0.2	)			(1.5	)
Loans Held for Sale			(0.1	)			-				(0.1	)
Loans and Leases
Commercial and Industrial			-				0.1				0.1
Commercial Mortgage			0.1				0.3				0.4
Construction			(0.3	)			(0.2	)			(0.5	)
Commercial Lease Financing			(0.1	)			(0.2	)			(0.3	)
Residential Mortgage			0.5				0.2				0.7
Home Equity			0.2				0.1				0.3
Automobile			0.2				(0.4	)			(0.2	)
Other 2			-				0.1				0.1
Total Loans and Leases			0.6				-				0.6
Total Change in Interest Income			(0.8	)			(0.1	)			(0.9	)
Change in Interest Expense:
Interest-Bearing Deposits
Demand			-				0.3				0.3
Savings			-				0.2				0.2
Time			(0.2	)			0.3				0.1
Total Interest-Bearing Deposits			(0.2	)			0.8				0.6
Securities Sold Under Agreements to Repurchase			-				(0.1	)			(0.1	)
Other Debt			-				(0.1	)			(0.1	)
Total Change in Interest Expense			(0.2	)			0.6				0.4
Change in Net Interest Income		$	(0.6	)		$	(0.7	)		$	(1.3	)
1 The change in interest income and expense not solely due to changes in volume or rate has been allocated on a pro-rata basis to the volume and rate columns.
2 Comprised of other consumer revolving credit, installment, and consumer lease financing.

Bank of Hawaii Corporation and Subsidiaries
Analysis of Change in Net Interest Income - Taxable-Equivalent Basis										Table 8b
		Three Months Ended March 31, 2018
		Compared to March 31, 2017
(dollars in millions)		Volume 1				Rate 1				Total
Change in Interest Income:
Funds Sold		$	(0.8	)		$	0.7			$	(0.1	)
Investment Securities
Available-for-Sale
Taxable			-				1.4				1.4
Non-Taxable			(0.5	)			(0.8	)			(1.3	)
Held-to-Maturity
Taxable			0.2				1.4				1.6
Non-Taxable			-				(0.5	)			(0.5	)
Total Investment Securities			(0.3	)			1.5				1.2
Loans Held for Sale			(0.2	)			-				(0.2	)
Loans and Leases
Commercial and Industrial			0.2				1.1				1.3
Commercial Mortgage			2.0				1.1				3.1
Construction			(0.8	)			-				(0.8	)
Commercial Lease Financing			(0.1	)			-				(0.1	)
Residential Mortgage			2.6				(0.2	)			2.4
Home Equity			2.1				0.5				2.6
Automobile			0.9				(1.1	)			(0.2	)
Other 2			1.3				-				1.3
Total Loans and Leases			8.2				1.4				9.6
Other			-				0.1				0.1
Total Change in Interest Income			6.9				3.7				10.6
Change in Interest Expense:
Interest-Bearing Deposits
Demand			-				0.5				0.5
Savings			-				0.8				0.8
Time			0.8				1.8				2.6
Total Interest-Bearing Deposits			0.8				3.1				3.9
Short-Term Borrowings			-				0.1				0.1
Securities Sold Under Agreements to Repurchase			(0.1	)			(0.6	)			(0.7	)
Other Debt			-				(0.1	)			(0.1	)
Total Change in Interest Expense			0.7				2.5				3.2
Change in Net Interest Income		$	6.2			$	1.2			$	7.4
1 The change in interest income and expense not solely due to changes in volume or rate has been allocated on a pro-rata basis to the volume and rate columns.
2 Comprised of other consumer revolving credit, installment, and consumer lease financing.

Bank of Hawaii Corporation and Subsidiaries
Salaries and Benefits								Table 9
		Three Months Ended
		March 31,			December 31,			March 31,
(dollars in thousands)		2018			2017			2017
Salaries		$	32,704		$	31,132		$	29,425
Incentive Compensation			5,178			7,078			5,774
Share-Based Compensation			2,081			3,040			2,303
Commission Expense			954			1,427			1,836
Retirement and Other Benefits			4,841			4,178			4,604
Payroll Taxes			4,172			2,301			3,944
Medical, Dental, and Life Insurance			3,461			2,503			3,279
Separation Expense			1,031			39			-
Total Salaries and Benefits		$	54,422		$	51,698		$	51,165
Note: Certain prior period information has been reclassified to conform to current presentation.

Bank of Hawaii Corporation and Subsidiaries
Loan and Lease Portfolio Balances															Table 10
			March 31,			December 31,			September 30,			June 30,			March 31,
(dollars in thousands)			2018			2017			2017			2017			2017
Commercial
	Commercial and Industrial		$	1,329,096		$	1,279,347		$	1,252,238		$	1,241,953		$	1,250,006
	Commercial Mortgage			2,097,339			2,103,967			2,050,998			2,009,886			1,909,064
	Construction			186,530			202,253			232,487			248,030			262,660
	Lease Financing			179,771			180,931			204,240			205,043			208,765
Total Commercial				3,792,736			3,766,498			3,739,963			3,704,912			3,630,495
Consumer
	Residential Mortgage			3,505,239			3,466,773			3,366,634			3,317,179			3,224,206
	Home Equity			1,601,698			1,585,455			1,528,353			1,473,123			1,411,489
	Automobile			558,468			528,474			506,102			484,092			468,078
	Other 1			458,487			449,747			432,904			408,307			379,541
Total Consumer				6,123,892			6,030,449			5,833,993			5,682,701			5,483,314
Total Loans and Leases			$	9,916,628		$	9,796,947		$	9,573,956		$	9,387,613		$	9,113,809
Deposits
			March 31,			December 31,			September 30,			June 30,			March 31,
(dollars in thousands)			2018			2017			2017			2017			2017
Consumer			$	7,665,926		$	7,478,228		$	7,303,546		$	7,278,536		$	7,196,781
Commercial				5,897,194			5,973,763			6,091,800			5,903,639			6,051,721
Public and Other				1,394,013			1,431,977			1,652,814			1,602,474			1,228,031
Total Deposits			$	14,957,133		$	14,883,968		$	15,048,160		$	14,784,649		$	14,476,533
1 Comprised of other revolving credit, installment, and lease financing.

Bank of Hawaii Corporation and Subsidiaries
Non-Performing Assets and Accruing Loans and Leases Past Due 90 Days or More																				Table 11
				March 31,				December 31,				September 30,				June 31,				March 31,
(dollars in thousands)				2018				2017				2017				2017				2017
Non-Performing Assets
Non-Accrual Loans and Leases
	Commercial
		Commercial and Industrial		$	986			$	448			$	901			$	175			$	228
		Commercial Mortgage			1,367				1,398				1,425				1,460				973
	Total Commercial				2,353				1,846				2,326				1,635				1,201
	Consumer
		Residential Mortgage			6,725				9,243				9,188				9,337				11,756
		Home Equity			3,890				3,991				4,128				3,405				3,517
	Total Consumer				10,615				13,234				13,316				12,742				15,273
Total Non-Accrual Loans and Leases					12,968				15,080				15,642				14,377				16,474
Foreclosed Real Estate					2,768				1,040				1,393				1,991				2,529
Total Non-Performing Assets				$	15,736			$	16,120			$	17,035			$	16,368			$	19,003
Accruing Loans and Leases Past Due 90 Days or More
Commercial
	Commercial and Industrial			$	-			$	-			$	5			$	-			$	-
Total Commercial					-				-				5				-				-
Consumer
	Residential Mortgage			$	2,927			$	2,703			$	2,933			$	2,269			$	2,313
	Home Equity				3,013				1,624				1,392				2,343				1,133
	Automobile				333				886				806				539				673
	Other 1				1,895				1,934				1,528				1,859				1,738
Total Consumer					8,168				7,147				6,659				7,010				5,857
Total Accruing Loans and Leases Past Due 90 Days or More				$	8,168			$	7,147			$	6,664			$	7,010			$	5,857
Restructured Loans on Accrual Status and Not Past Due 90 Days or More				$	56,743			$	55,672			$	55,038			$	53,158			$	52,965
Total Loans and Leases				$	9,916,628			$	9,796,947			$	9,573,956			$	9,387,613			$	9,113,809
Ratio of Non-Accrual Loans and Leases to Total Loans and Leases					0.13	%			0.15	%			0.16	%			0.15	%			0.18	%
Ratio of Non-Performing Assets to Total Loans and Leases and Foreclosed Real Estate					0.16	%			0.16	%			0.18	%			0.17	%			0.21	%
Ratio of Commercial Non-Performing Assets to Total Commercial Loans and Leases and Commercial Foreclosed Real Estate					0.06	%			0.05	%			0.06	%			0.04	%			0.03	%
Ratio of Consumer Non-Performing Assets to Total Consumer Loans and Leases and Consumer Foreclosed Real Estate					0.22	%			0.24	%			0.25	%			0.26	%			0.32	%
Ratio of Non-Performing Assets and Accruing Loans and Leases Past Due 90 Days or More to Total Loans and Leases and Foreclosed Real Estate					0.24	%			0.24	%			0.25	%			0.25	%			0.27	%
Quarter to Quarter Changes in Non-Performing Assets
Balance at Beginning of Quarter				$	16,120			$	17,035			$	16,368			$	19,003			$	19,761
Additions					2,332				2,109				2,212				1,572				1,221
Reductions
	Payments				(1,251	)			(368	)			(199	)			(497	)			(1,017	)
	Return to Accrual Status				(1,270	)			(1,779	)			(305	)			(1,370	)			(645	)
	Sales of Foreclosed Real Estate				-				(353	)			(951	)			(1,883	)			-
	Charge-offs/Write-downs				(195	)			(524	)			(90	)			(457	)			(317	)
Total Reductions					(2,716	)			(3,024	)			(1,545	)			(4,207	)			(1,979	)
Balance at End of Quarter				$	15,736			$	16,120			$	17,035			$	16,368			$	19,003
1 Comprised of other revolving credit, installment, and lease financing.

Bank of Hawaii Corporation and Subsidiaries
Reserve for Credit Losses													Table 12
				Three Months Ended
				March 31,				December 31,					March 31,
(dollars in thousands)				2018				2017					2017
Balance at Beginning of Period				$	114,168			$	113,703				$	110,845
Loans and Leases Charged-Off
	Commercial
		Commercial and Industrial			(206	)			(499	)				(174	)
	Consumer
		Residential Mortgage			(97	)			(4	)				(183	)
		Home Equity			(91	)			(221	)				(363	)
		Automobile			(2,254	)			(2,014	)				(2,290	)
		Other 1			(3,340	)			(3,108	)				(2,694	)
Total Loans and Leases Charged-Off					(5,988	)			(5,846	)				(5,704	)
Recoveries on Loans and Leases Previously Charged-Off
	Commercial
		Commercial and Industrial			328				284					336
		Lease Financing			-				1					-
	Consumer
		Residential Mortgage			220				182					104
		Home Equity			625				498					508
		Automobile			599				576					620
		Other 1			683				520					527
Total Recoveries on Loans and Leases Previously Charged-Off					2,455				2,061					2,095
Net Loans and Leases Charged-Off					(3,533	)			(3,785	)				(3,609	)
Provision for Credit Losses					4,125				4,250					4,400
Provision for Unfunded Commitments					-				-					-
Balance at End of Period 2				$	114,760			$	114,168				$	111,636
Components
Allowance for Loan and Lease Losses				$	107,938			$	107,346				$	105,064
Reserve for Unfunded Commitments					6,822				6,822					6,572
Total Reserve for Credit Losses				$	114,760			$	114,168				$	111,636
Average Loans and Leases Outstanding				$	9,803,753			$	9,688,710				$	9,020,351
Ratio of Net Loans and Leases Charged-Off to Average Loans and Leases Outstanding (annualized)					0.15	%			0.15	%				0.16	%
Ratio of Allowance for Loan and Lease Losses to Loans and Leases Outstanding					1.09	%			1.10	%				1.15	%
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 13
										Investment
										Services and
		Retail				Commercial				Private				Treasury				Consolidated
(dollars in thousands)		Banking				Banking				Banking				and Other				Total
Three Months Ended March 31, 2018
Net Interest Income		$	64,397			$	42,898			$	9,887			$	1,774			$	118,956
Provision for Credit Losses			3,743				(151	)			(60	)			593				4,125
Net Interest Income After Provision for Credit Losses			60,654				43,049				9,947				1,181				114,831
Noninterest Income			19,253				5,642				13,670				5,470				44,035
Noninterest Expense			(54,599	)			(20,332	)			(16,207	)			(3,246	)			(94,384	)
Income Before Provision for Income Taxes			25,308				28,359				7,410				3,405				64,482
Provision for Income Taxes			(6,291	)			(6,824	)			(1,954	)			4,627				(10,442	)
Net Income		$	19,017			$	21,535			$	5,456			$	8,032			$	54,040
Total Assets as of March 31, 2018		$	6,041,271			$	3,771,678			$	332,454			$	6,990,627			$	17,136,030
Three Months Ended March 31, 2017
Net Interest Income		$	65,158			$	41,931			$	6,650			$	(3,867	)		$	109,872
Provision for Credit Losses			3,801				(188	)			(5	)			792				4,400
Net Interest Income After Provision for Credit Losses			61,357				42,119				6,655				(4,659	)			105,472
Noninterest Income			20,925				5,438				14,549				15,004				55,916
Noninterest Expense			(52,260	)			(18,355	)			(15,471	)			(2,482	)			(88,568	)
Income Before Provision for Income Taxes			30,022				29,202				5,733				7,863				72,820
Provision for Income Taxes			(10,673	)			(10,256	)			(2,121	)			1,406				(21,644	)
Net Income		$	19,349			$	18,946			$	3,612			$	9,269			$	51,176
Total Assets as of March 31, 2017		$	5,438,421			$	3,577,524			$	288,178			$	7,360,092			$	16,664,215

Bank of Hawaii Corporation and Subsidiaries
Selected Quarterly Financial Data																						Table 14
		Three Months Ended
		March 31,					December 31,					September 30,					June 30,					March 31,
(dollars in thousands, except per share amounts)		2018					2017					2017					2017					2017
Quarterly Operating Results
Interest Income
Interest and Fees on Loans and Leases		$	97,634				$	96,974				$	94,621				$	90,909				$	87,937
Income on Investment Securities
Available-for-Sale			12,141					11,866					11,987					11,835					11,084
Held-to-Maturity			21,296					21,782					20,334					19,918					19,706
Deposits			18					3					5					2					5
Funds Sold			757					717					1,579					696					890
Other			300					271					235					208					230
Total Interest Income			132,146					131,613					128,761					123,568					119,852
Interest Expense
Deposits			7,581					6,980					6,663					4,998					3,691
Securities Sold Under Agreements to Repurchase			4,564					4,664					4,664					5,079					5,185
Funds Purchased			53					81					-					39					3
Short-Term Borrowings			16					-					-					64					-
Other Debt			976					1,118					1,117					1,109					1,101
Total Interest Expense			13,190					12,843					12,444					11,289					9,980
Net Interest Income			118,956					118,770					116,317					112,279					109,872
Provision for Credit Losses			4,125					4,250					4,000					4,250					4,400
Net Interest Income After Provision for Credit Losses			114,831					114,520					112,317					108,029					105,472
Noninterest Income
Trust and Asset Management			11,181					11,105					11,050					11,796					11,479
Mortgage Banking			2,145					2,593					3,237					3,819					3,300
Service Charges on Deposit Accounts			7,129					8,053					8,188					8,009					8,325
Fees, Exchange, and Other Service Charges			14,333					13,784					13,764					13,965					13,332
Investment Securities Gains (Losses), Net			(666	)				(617	)				(566	)				(520	)				12,133
Annuity and Insurance			1,206					1,273					1,429					2,161					1,995
Bank-Owned Life Insurance			1,842					1,609					1,861					1,550					1,497
Other			6,865					4,055					3,447					4,456					3,855
Total Noninterest Income			44,035					41,855					42,410					45,236					55,916
Noninterest Expense
Salaries and Benefits			54,422					51,698					51,190					49,676					51,165
Net Occupancy			8,534					8,510					7,727					8,131					8,168
Net Equipment			5,527					5,454					5,417					5,706					5,501
Data Processing			3,891					4,310					3,882					3,881					3,410
Professional Fees			2,773					3,266					3,044					2,592					2,779
FDIC Insurance			2,157					2,253					2,107					2,097					2,209
Other			17,080					16,845					15,231					16,106					15,336
Total Noninterest Expense			94,384					92,336					88,598					88,189					88,568
Income Before Provision for Income Taxes			64,482					64,039					66,129					65,076					72,820
Provision for Income Taxes			10,442					21,086					20,248					20,414					21,644
Net Income		$	54,040				$	42,953				$	45,881				$	44,662				$	51,176
Basic Earnings Per Share		$	1.29				$	1.02				$	1.09				$	1.05				$	1.21
Diluted Earnings Per Share		$	1.28				$	1.01				$	1.08				$	1.05				$	1.20
Balance Sheet Totals
Loans and Leases		$	9,916,628				$	9,796,947				$	9,573,956				$	9,387,613				$	9,113,809
Total Assets			17,136,030					17,089,052					17,268,302					16,981,292					16,664,215
Total Deposits			14,957,133					14,883,968					15,048,160					14,784,649					14,476,533
Total Shareholders' Equity			1,241,193					1,231,868					1,227,893					1,213,757					1,193,137
Performance Ratios
Return on Average Assets			1.29		%			1.00		%			1.07		%			1.09		%			1.26	%
Return on Average Shareholders' Equity			17.74					13.85					14.89					14.87					17.63
Efficiency Ratio 1			57.91					57.49					55.82					55.99					53.42
Net Interest Margin 2			3.00					2.98					2.92					2.92					2.89
1 Efficiency ratio is defined as noninterest expense divided by total revenue (net interest income and noninterest income).
2 Net interest margin is defined as net interest income, on a taxable-equivalent basis, as a percentage of average earning assets.
Note: Certain prior period information has been reclassified to conform to current presentation.

Bank of Hawaii Corporation and Subsidiaries
Hawaii Economic Trends																										Table 15
		Two Months Ended							Year Ended
($ in millions; jobs in thousands)		February 28, 2018							December 31, 2017										December 31, 2016
Hawaii Economic Trends
State General Fund Revenues 1		$	1,233.5		10.4		%		$	6,485.5					4.3		%		$	6,215.4				3.6		%
General Excise and Use Tax Revenue 1		$	675.8		17.3		%		$	3,349.8					4.5		%		$	3,205.7				2.0		%
Jobs 2			669.4							668.2										669.4
															March 31,				December 31,
(spot rates)															2018				2017					2016
Unemployment 3
Statewide, seasonally adjusted															2.1		%			2.1		%		2.9		%
Oahu															1.8					1.7				2.4
Island of Hawaii															2.1					2.0				3.1
Maui															2.0					1.8				2.7
Kauai															1.7					1.7				2.8
									March 31,						December 31,
(percentage change, except months of inventory)									2018						2017				2016					2015
Housing Trends (Single Family Oahu) 4
Median Home Price										2.0			%		2.7		%			5.0		%		3.7		%
Home Sales Volume (units)										(0.4	)		%		6.3		%			6.5		%		5.2		%
Months of Inventory										2.1					2.1					2.5				2.6
									Monthly Visitor Arrivals,										Percentage Change
(in thousands)									Not Seasonally Adjusted										from Previous Year
Tourism 5
February 28, 2018															778.6									10.3
January 31, 2018															796.5									5.4
December 31, 2017															880.4									6.3
November 30, 2017															748.3									7.3
October 31, 2017															737.0									2.8
September 30, 2017															701.8									5.1
August 31, 2017															818.6									4.8
July 31, 2017															891.9									6.8
June 30, 2017															835.9									4.5
May 31, 2017															751.2									4.5
April 30, 2017															753.0									7.5
March 31, 2017															802.8									2.1
February 28, 2017															706.1									2.5
January 31, 2017															756.0									4.9
December 31, 2016															828.2									3.6
November 30, 2016															697.1									4.7
October 31, 2016															717.0									4.3
September 30, 2016															667.6									3.1
August 31, 2016															780.7									3.1
July 31, 2016															835.4									2.1
June 30, 2016															800.3									4.2
May 31, 2016															718.9									1.3
April 30, 2016															700.6									3.4
March 31, 2016															786.3									0.8
February 29, 2016															688.8									4.1
January 31, 2016															721.0									6.2
1 Source: Hawaii Department of Business, Economic Development & Tourism
2 Source: U. S. Bureau of Labor Statistics
3 Source: Hawaii Department of Labor and Industrial Relations, County jobs data as of February 28, 2018 and not seasonally adjusted.
4 Source: Honolulu Board of REALTORS
5 Source: Hawaii Tourism Authority
Note: Certain prior period information has been revised.

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