BANK OF HAWAII CORP - FORM 8-K - EX-99.1 - EXHIBIT 99.1 BOH 4Q2016 ER 01.23.17

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Bank of Hawaii Corporation 2016 Financial Results

•2016 Earnings Reaches Record of $4.23 Per Diluted Share

•2016 Net Income $181.5 Million

•Diluted Earnings Per Share $1.02 for the Fourth Quarter of 2016

•Net Income $43.5 Million for the Fourth Quarter of 2016

•Board of Directors Increases Dividend to $0.50 Per Share

FOR IMMEDIATE RELEASE

HONOLULU, HI (January 23, 2017) -- Bank of Hawaii Corporation (NYSE: BOH) today reported diluted earnings per share of $4.23 for the full year of 2016, up 14.3 percent from diluted earnings per share of $3.70 in 2015. Net income for the year was $181.5 million, up $20.8 million or 12.9 percent from net income of $160.7 million in the previous year. The return on average assets for the full year of 2016 was 1.15 percent compared with 1.06 percent in 2015. The return on average equity for the full year of 2016 was 15.79 percent compared with 14.82 percent in 2015.

The Company’s Board of Directors declared a quarterly cash dividend of $0.50 per share on the Company’s outstanding shares, an increase of $0.02 per share from the $0.48 per share dividend declared in the prior quarter. The dividend will be payable on March 14, 2017 to shareholders of record at the close of business on February 28, 2017.

“Bank of Hawaii finished 2016 with solid financial performance," said Peter Ho, Chairman, President and CEO. “During the year our loan balances continued to grow and reached $8.9 billion at December 31, 2016. Deposit growth also remained strong during the year, increasing to a record level of $14.3 billion at December 31, 2016. Our net interest margin remained stable due to the positive remixing of our balance sheet and our asset quality, capital and liquidity all remain strong.”

Diluted earnings per share were $1.02 for the fourth quarter of 2016, unchanged from $1.02 in the third quarter of 2016 and up from $0.99 in the fourth quarter of 2015. Net income for the fourth quarter of 2016 was $43.5 million, up slightly from the previous quarter and up from $42.8 million in the same quarter last year. The return on average assets for the fourth quarter of 2016 was 1.07 percent, compared with 1.09 percent in the third quarter of 2016 and 1.11 percent in the fourth quarter last year. The return on average equity for the fourth quarter of 2016 was 14.90 percent compared with 14.89 percent in the third quarter of 2016 and 15.41 percent in the fourth quarter last year.

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Bank of Hawaii Corporation 2016 Financial Results Page 2

Financial Highlights

Net interest income, on a taxable-equivalent basis, for the full year of 2016 was $429.6 million, an increase of $23.6 million from net interest income of $406.0 million in 2015. Net interest income, on a taxable-equivalent basis, for the fourth quarter of 2016 was $110.1 million, an increase of $3.2 million compared with $106.9 million in the third quarter of 2016 and up $5.4 million compared with $104.7 million in the fourth quarter last year. Analyses of changes in net interest income are included in Tables 8a, 8b and 8c.

The net interest margin for the full year of 2016 was 2.83 percent, an increase of 2 basis points from the net interest margin of 2.81 percent in 2015. The net interest margin was 2.83 percent in the fourth quarter of 2016, an increase of 3 basis points from the third quarter of 2016 and a decrease of 2 basis points from the fourth quarter last year.

The provision for credit losses for the full year of 2016 was $4.8 million compared with a provision for credit losses of $1.0 million in 2015. The increase was due to the significant growth in loans and leases during the year which was partially offset by continued strong credit metrics. Results for the fourth quarter of 2016 included a provision for credit losses of $3.3 million compared with $2.5 million in the previous quarter and $1.0 million in the same quarter last year.

Noninterest income for the full year of 2016 was $197.3 million compared with noninterest income of $186.2 million in 2015. The increase was primarily the result of higher mortgage banking income and increased gains on the sales of leased assets. Mortgage banking income totaled $19.9 million in 2016 compared with $11.6 million in 2015. Net gains on sales of leased assets were $2.3 million in 2016 compared with a net loss of $0.6 million in 2015. Noninterest income was $46.5 million in the fourth quarter of 2016 compared with $48.1 million in the third quarter of 2016 and $44.8 million in the fourth quarter of 2015.

Noninterest expense for the full year of 2016 was $350.6 million compared with noninterest expense of $348.1 million in 2015. Noninterest expense in 2016 included net gains of $3.7 million on the disposition of real estate and severance expenses of $0.9 million. Noninterest expense in 2015 included an impairment charge of $9.5 million, $3.3 million in severance and $1.6 million for the rollout of chip-enabled debit cards partially offset by net gains of $5.9 million on the disposition of real estate. Adjusted for these items, the increase from the previous year was primarily driven by higher compensation related to business growth and stock price performance and expenses related to strategic initiatives. Noninterest expense was $89.6 million in the fourth quarter of 2016 compared with $87.5 million in the third quarter of 2016 and $85.7 million in the fourth quarter of 2015. Noninterest expense in the fourth quarter of 2016 included expenses of $1.3 million in compensation related to the increase in the stock price during the quarter partially offset by a net gain of $1.0 million on the sale of a branch building. There were no significant noninterest expenses in the third quarter of 2016. Noninterest expense in the fourth quarter of 2015 included net gains of $3.9 million related to the disposal of two branch buildings partially offset by expenses of $1.3 million for the roll-out of chip-enabled debit cards and severance expenses of $0.5 million. An analysis of noninterest expenses related to salaries and benefits is included in Table 9.

The efficiency ratio for the full year of 2016 was 57.01 percent compared with 59.99 percent during the full year of 2015. The efficiency ratio for the fourth quarter of 2016 was 58.33 percent compared with 57.58 percent in the previous quarter and 58.55 percent in the same quarter last year.

The effective tax rate for the full year of 2016 was 30.10 percent compared with 30.49 percent for the full year of 2015. The effective tax rate for the fourth quarter of 2016 was 28.38 percent compared with 29.84 percent in the previous quarter and 28.23 percent in the same quarter last year.

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Bank of Hawaii Corporation 2016 Financial Results Page 3

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

Asset Quality

The Company’s overall asset quality continued to remain strong during the fourth quarter of 2016. Total non-performing assets were $19.8 million at December 31, 2016 compared with $18.7 million at September 30, 2016 and $28.8 million at December 31, 2015. Non-performing assets as a percentage of total loans and leases and foreclosed real estate were 0.22 percent at December 31, 2016 compared with 0.21 percent at September 30, 2016 and 0.37 percent at December 31, 2015.

Accruing loans and leases past due 90 days or more were $7.1 million at December 31, 2016 compared with $5.6 million at September 30, 2016 and $7.6 million at December 31, 2015. Restructured loans and leases not included in non-accrual loans or accruing loans past due 90 days or more were $52.2 million at December 31, 2016 compared with $52.1 million at September 30, 2016 and $49.4 million at December 31, 2015. More information on non-performing assets and accruing loans and leases past due 90 days or more is presented in Table 11.

Net charge-offs for the full year of 2016 were $3.4 million or 0.04 percent of total average loans and leases compared with net charge-offs of $6.8 million or 0.09 percent of total average loans and leases in 2015. Net charge-offs during the fourth quarter of 2016 were $3.0 million or 0.14 percent annualized of total average loans and leases outstanding and were comprised of charge-offs of $5.0 million partially offset by recoveries of $1.9 million. Net charge-offs during the third quarter of 2016 were $2.4 million or 0.11 percent annualized of total average loans and leases outstanding and were comprised of charge-offs of $4.9 million and recoveries of $2.5 million. Net charge-offs during the fourth quarter of 2015 were $2.2 million or 0.11 percent annualized of total average loans and leases outstanding and were comprised of charge-offs of $4.5 million and recoveries of $2.3 million.

The allowance for loan and lease losses was $104.3 million at December 31, 2016, up from $104.0 million at September 30, 2016 and $102.9 million at December 31, 2015. The ratio of the allowance for loan and lease losses to total loans and leases outstanding was 1.17 percent at December 31, 2016, a decrease of 3 basis points from September 30, 2016 and down 14 basis points from December 31, 2015. The decrease in the ratio of the allowance for loan and lease losses to total loans and leases outstanding is due to the strong loan growth and is commensurate with the Company’s strong asset quality and the Hawaii economy. The total reserve for unfunded commitments at December 31, 2016 was unchanged from the prior quarter and remained at $6.6 million. 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 increased to $16.5 billion at December 31, 2016, up from $16.0 billion at September 30, 2016 and $15.5 billion at December 31, 2015. Average total assets were $16.2 billion during the fourth quarter of 2016, up from $15.9 billion during the third quarter of 2016 and $15.3 billion during the fourth quarter of 2015.

The investment portfolio was $6.0 billion at December 31, 2016, down slightly from September 30, 2016 and down from $6.2 billion at December 31, 2015. The investment portfolio remains largely comprised of securities issued by U. S. government agencies and includes $3.8 billion in securities held to maturity and $2.2 billion in securities available for sale.

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Bank of Hawaii Corporation 2016 Financial Results Page 4

Total loans and leases increased to $8.9 billion at December 31, 2016, up 2.9 percent from $8.7 billion at September 30, 2016 and up 13.6 percent from $7.9 billion at December 31, 2015. The commercial portfolio increased to $3.6 billion at the end of the fourth quarter of 2016, up 3.7 percent from $3.5 billion at the end of the third quarter of 2016 and up 14.7 percent from $3.2 billion at the end of the fourth quarter last year. Consumer loans increased to $5.3 billion at December 31, 2016, up 2.5 percent from $5.2 billion at the end of the third quarter of 2016 and up 12.8 percent from $4.7 billion at the end of the fourth quarter last year. Average total loans and leases were $8.8 billion during the fourth quarter of 2016, up from $8.5 billion during the previous quarter and $7.8 billion during the same quarter last year. Loan and lease portfolio balances are summarized in Table 10.

Total deposits increased to $14.3 billion at December 31, 2016, up 3.7 percent from $13.8 billion at September 30, 2016 and up 8.1 percent from $13.3 billion at December 31, 2015. Commercial deposits increased to $6.1 billion at the end of the fourth quarter of 2016, up 6.2 percent from $5.8 billion at the end of the third quarter of 2016 and up 11.0 percent from $5.5 billion at the end of the fourth quarter last year. Consumer deposits increased to $7.0 billion at December 31, 2016, up 3.2 percent from $6.8 billion at the end of the third quarter of 2016 and up 8.6 percent from $6.4 billion at the end of the fourth quarter last year. Other deposits declined slightly to $1.2 billion at December 31, 2016 compared with $1.3 billion at September 30, 2016 and $1.3 billion at December 31, 2015 due to a reduction in public funds. Average total deposits were $14.0 billion in the fourth quarter of 2016, up from $13.7 in the previous quarter and up from $13.0 billion during the same quarter last year. Deposit balances are summarized in Tables 7a, 7b, and 10.

During the fourth quarter of 2016, the Company repurchased 134.0 thousand shares of common stock at a total cost of $10.4 million under its share repurchase program. The average cost was $77.83 per share repurchased. From the beginning of the share repurchase program initiated during July 2001 through December 31, 2016, the Company has repurchased 53.6 million shares and returned over $2.0 billion to shareholders at an average cost of $37.84 per share. Remaining buyback authority under the share repurchase program was $65.0 million at December 31, 2016. From January 3 through January 20, 2017 the Company repurchased an additional 19.5 thousand shares of common stock at an average cost of $88.24 per share repurchased.

Total shareholders’ equity was $1.16 billion at December 31, 2016, down slightly from September 30, 2016 and up from $1.12 billion at December 31, 2015. The Tier 1 Capital Ratio was 13.24 percent at December 31, 2016 compared with 13.40 percent at September 30, 2016 and 13.97 percent at December 31, 2015. The Tier 1 Leverage Ratio at December 31, 2016 was 7.21 percent compared with 7.25 percent at September 30, 2016 and 7.26 percent at December 31, 2015.

Hawaii Economy

General economic conditions in Hawaii remained healthy during 2016, led by a strong tourism industry, relatively low unemployment, rising real estate prices, and an active construction industry. For the first eleven months of 2016 total visitor arrivals increased by 3.0 percent and visitor spending increased by 4.1 percent compared to the same period in 2015. The statewide seasonally-adjusted unemployment rate remains low and declined to 2.9 percent in December 2016 compared to 4.7 percent nationally. Real estate prices on Oahu continue to reach new records.

The volume of single-family home sales on Oahu during the year increased 6.5 percent and the volume of condominium sales on Oahu increased 8.4 percent compared with 2015. The median price of single-family homes on Oahu increased 5.0 percent and the median price of condominiums on Oahu increased 8.3 percent compared with sales during 2015. As of December 31, 2016, months of inventory of single-family homes and condominiums on Oahu declined to 2.5 months and 2.6 months, respectively. More information on current Hawaii economic trends is presented in Table 15.

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Bank of Hawaii Corporation 2016 Financial Results Page 5

Conference Call Information

The Company will review its 2016 financial results today at 8:00 a.m. Hawaii Time (1:00 p.m. Eastern 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 (877) 783-7534 in the United States and 1 (530) 379-4714 for international callers. Use the pass code “Bank of Hawaii” to access the call. A replay will be available for one week beginning approximately 11:00 a.m. Hawaii Time on Monday, January 23, 2017. The replay number is 1 (855) 859-2056 in the United States and 1 (404) 537-3406 from international locations. Enter the pass code 47958760 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, 2015, which was filed with the U.S. Securities and Exchange Commission. We do not promise to update forward-looking statements to reflect later events or circumstances.

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

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Bank of Hawaii Corporation and Subsidiaries
Financial Highlights													Table 1
	Three Months Ended									Year Ended
	December 31,			September 30,			December 31,			December 31,
(dollars in thousands, except per share amounts)	2016			2016			2015			2016			2015
For the Period:
Operating Results
Net Interest Income	$	107,093		$	103,912		$	101,644		$	417,579		$	394,087
Provision for Credit Losses	3,250			2,500			1,000			4,750			1,000
Total Noninterest Income	46,503			48,114			44,766			197,343			186,219
Total Noninterest Expense	89,589			87,532			85,727			350,578			348,104
Net Income	43,513			43,493			42,832			181,461			160,704
Basic Earnings Per Share	1.03			1.02			1.00			4.26			3.72
Diluted Earnings Per Share	1.02			1.02			0.99			4.23			3.70
Dividends Declared Per Share	0.48			0.48			0.45			1.89			1.80

Performance Ratios
Return on Average Assets	1.07		%	1.09		%	1.11		%	1.15		%	1.06		%
Return on Average Shareholders' Equity	14.90			14.89			15.41			15.79			14.82
Efficiency Ratio ¹	58.33			57.58			58.55			57.01			59.99
Net Interest Margin ²	2.83			2.80			2.85			2.83			2.81
Dividend Payout Ratio³	46.60			47.06			45.00			44.37			48.39
Average Shareholders' Equity to Average Assets	7.17			7.30			7.19			7.26			7.16

Average Balances
Average Loans and Leases	$	8,813,755		$	8,483,588		$	7,785,346		$	8,362,210		$	7,423,572
Average Assets	16,212,940			15,906,760			15,335,574			15,825,381			15,136,494
Average Deposits	13,997,318			13,687,186			13,038,637			13,619,476			12,925,235
Average Shareholders' Equity	1,161,967			1,161,655			1,102,548			1,149,335			1,084,059

Per Share of Common Stock
Book Value	$	27.24		$	27.24		$	25.79		$	27.24		$	25.79
Tangible Book Value	26.50			26.50			25.06			26.50			25.06
Market Value
Closing	88.69			72.62			62.90			88.69			62.90
High	89.72			73.44			70.07			89.72			70.07
Low	71.73			65.19			60.55			54.55			53.90

							December 31,			September 30,			December 31,
							2016			2016			2015
As of Period End:
Balance Sheet Totals
Loans and Leases							$	8,949,785		$	8,694,097		$	7,878,985
Total Assets							16,492,367			16,014,643			15,455,016
Total Deposits							14,320,240			13,808,365			13,251,103
Other Debt							267,938			267,954			245,786
Total Shareholders' Equity							1,161,537			1,163,859			1,116,260

Asset Quality
Non-Performing Assets							$	19,761		$	18,672		$	28,801
Allowance for Loan and Lease Losses							104,273			104,033			102,880
Allowance to Loans and Leases Outstanding							1.17		%	1.20		%	1.31		%

Capital Ratios
Common Equity Tier 1 Capital Ratio							13.24		%	13.40		%	13.97		%
Tier 1 Capital Ratio							13.24			13.40			13.97
Total Capital Ratio							14.49			14.65			15.22
Tier 1 Leverage Ratio							7.21			7.25			7.26
Total Shareholders' Equity to Total Assets							7.04			7.27			7.22
Tangible Common Equity to Tangible Assets ⁴							6.86			7.08			7.03
Tangible Common Equity to Risk-Weighted Assets⁴							12.81			13.18			13.62

Non-Financial Data
Full-Time Equivalent Employees							2,122			2,125			2,164
Branches							69			70			70
ATMs							449			450			456

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
		December 31,			September 30,			December 31,
(dollars in thousands)		2016			2016			2015
Total Shareholders' Equity		$	1,161,537		$	1,163,859		$	1,116,260
Less:	Goodwill	31,517			31,517			31,517
Tangible Common Equity		$	1,130,020		$	1,132,342		$	1,084,743

Total Assets		$	16,492,367		$	16,014,643		$	15,455,016
Less:	Goodwill	31,517			31,517			31,517
Tangible Assets		$	16,460,850		$	15,983,126		$	15,423,499

Risk-Weighted Assets, determined in accordance
	with prescribed regulatory requirements¹	$	8,823,485		$	8,591,440		$	7,962,484

Total Shareholders' Equity to Total Assets		7.04		%	7.27		%	7.22		%
Tangible Common Equity to Tangible Assets (Non-GAAP)		6.86		%	7.08		%	7.03		%

Tier 1 Capital Ratio		13.24		%	13.40		%	13.97		%
Tangible Common Equity to Risk-Weighted Assets (Non-GAAP)		12.81		%	13.18		%	13.62		%



Bank of Hawaii Corporation and Subsidiaries
Consolidated Statements of Income												Table 3
	Three Months Ended									Year Ended
	December 31,			September 30,			December 31,			December 31,
(dollars in thousands, except per share amounts)	2016			2016			2015			2016		2015
Interest Income
Interest and Fees on Loans and Leases	$	86,532		$	83,489		$	78,122		$	333,239	$	298,522
Income on Investment Securities
Available-for-Sale	10,244			10,313			10,829			41,892		41,492
Held-to-Maturity	19,213			19,315			21,722			79,087		89,650
Deposits	2			1			1			9		8
Funds Sold	795			695			315			2,861		1,133
Other	281			166			381			812		1,305
Total Interest Income	117,067			113,979			111,370			457,900		432,110
Interest Expense
Deposits	3,448			3,232			2,443			12,647		9,626
Securities Sold Under Agreements to Repurchase	5,406			5,713			6,246			23,406		25,364
Funds Purchased	3			3			3			12		12
Other Debt	1,117			1,119			1,034			4,256		3,021
Total Interest Expense	9,974			10,067			9,726			40,321		38,023
Net Interest Income	107,093			103,912			101,644			417,579		394,087
Provision for Credit Losses	3,250			2,500			1,000			4,750		1,000
Net Interest Income After Provision for Credit Losses	103,843			101,412			100,644			412,829		393,087
Noninterest Income
Trust and Asset Management	11,232			11,008			11,243			46,203		47,685
Mortgage Banking	6,256			6,362			3,130			19,895		11,583
Service Charges on Deposit Accounts	8,537			8,524			8,663			33,654		34,072
Fees, Exchange, and Other Service Charges	13,731			14,023			13,764			55,176		53,353
Investment Securities Gains (Losses), Net	(337		)	(328		)	(181		)	10,203		10,160
Annuity and Insurance	1,457			1,653			2,014			7,017		7,664
Bank-Owned Life Insurance	1,551			1,911			1,608			6,561		7,039
Other	4,076			4,961			4,525			18,634		14,663
Total Noninterest Income	46,503			48,114			44,766			197,343		186,219
Noninterest Expense
Salaries and Benefits	50,622			49,725			47,997			201,150		191,963
Net Occupancy	7,581			8,510			4,876			30,252		30,217
Net Equipment	5,191			4,913			5,244			20,578		20,162
Data Processing	3,665			3,620			5,106			15,208		16,472
Professional Fees	2,990			2,396			2,803			10,072		9,660
FDIC Insurance	2,015			2,104			2,322			8,615		8,669
Other	17,525			16,264			17,379			64,703		70,961
Total Noninterest Expense	89,589			87,532			85,727			350,578		348,104
Income Before Provision for Income Taxes	60,757			61,994			59,683			259,594		231,202
Provision for Income Taxes	17,244			18,501			16,851			78,133		70,498
Net Income	$	43,513		$	43,493		$	42,832		$	181,461	$	160,704
Basic Earnings Per Share	$	1.03		$	1.02		$	1.00		$	4.26	$	3.72
Diluted Earnings Per Share	$	1.02		$	1.02		$	0.99		$	4.23	$	3.70
Dividends Declared Per Share	$	0.48		$	0.48		$	0.45		$	1.89	$	1.80
Basic Weighted Average Shares	42,386,480			42,543,122			43,003,191			42,644,100		43,217,818
Diluted Weighted Average Shares	42,672,470			42,778,346			43,275,377			42,879,783		43,454,877



Bank of Hawaii Corporation and Subsidiaries
Consolidated Statements of Comprehensive Income														Table 4
		Three Months Ended									Year Ended
		December 31,			September 30,			December 31,			December 31,
(dollars in thousands)		2016			2016			2015			2016			2015
Net Income		$	43,513		$	43,493		$	42,832		$	181,461		$	160,704
Other Comprehensive Income (Loss), Net of Tax:
	Net Unrealized Gains (Losses) on Investment Securities	(18,641		)	(5,528		)	(6,860		)	(10,318		)	(2,125		)
	Defined Benefit Plans	(453		)	140			4,595			(31		)	5,254
Total Other Comprehensive Income (Loss)		(19,094		)	(5,388		)	(2,265		)	(10,349		)	3,129
Comprehensive Income		$	24,419		$	38,105		$	40,567		$	171,112		$	163,833



Bank of Hawaii Corporation and Subsidiaries
Consolidated Statements of Condition							Table 5
	December 31,			September 30,			December 31,
(dollars in thousands)	2016			2016			2015
Assets
Interest-Bearing Deposits in Other Banks	$	3,187		$	4,181		$	4,130
Funds Sold	707,343			506,604			592,892
Investment Securities
Available-for-Sale	2,186,041			2,213,482			2,256,818
Held-to-Maturity (Fair Value of $3,827,527; $3,893,542; and $4,006,412)	3,832,997			3,815,915			3,982,736
Loans Held for Sale	62,499			68,066			4,808
Loans and Leases	8,949,785			8,694,097			7,878,985
Allowance for Loan and Lease Losses	(104,273		)	(104,033		)	(102,880		)
Net Loans and Leases	8,845,512			8,590,064			7,776,105
Total Earning Assets	15,637,579			15,198,312			14,617,489
Cash and Due from Banks	169,077			127,326			158,699
Premises and Equipment, Net	113,505			110,288			111,199
Accrued Interest Receivable	46,444			46,925			44,719
Foreclosed Real Estate	1,686			1,747			824
Mortgage Servicing Rights	23,663			20,991			23,002
Goodwill	31,517			31,517			31,517
Bank-Owned Life Insurance	274,188			272,637			268,175
Other Assets	194,708			204,900			199,392
Total Assets	$	16,492,367		$	16,014,643		$	15,455,016

Liabilities
Deposits
Noninterest-Bearing Demand	$	4,772,727		$	4,437,963		$	4,286,331
Interest-Bearing Demand	2,934,107			2,777,095			2,761,930
Savings	5,395,699			5,306,880			5,025,191
Time	1,217,707			1,286,427			1,177,651
Total Deposits	14,320,240			13,808,365			13,251,103
Funds Purchased	9,616			9,616			7,333
Securities Sold Under Agreements to Repurchase	523,378			551,683			628,857
Other Debt	267,938			267,954			245,786
Retirement Benefits Payable	48,451			47,522			47,374
Accrued Interest Payable	5,334			6,115			5,032
Taxes Payable and Deferred Taxes	21,674			24,922			17,737
Other Liabilities	134,199			134,607			135,534
Total Liabilities	15,330,830			14,850,784			14,338,756
Shareholders' Equity
Common Stock ($.01 par value; authorized 500,000,000 shares;
issued / outstanding: December 31, 2016 - 57,856,672 / 42,635,978;
September 30, 2016 - 57,854,843 / 42,733,513;
and December 31, 2015 - 57,749,071 / 43,282,153)	576			576			575
Capital Surplus	551,628			549,064			542,041
Accumulated Other Comprehensive Loss	(33,906		)	(14,812		)	(23,557		)
Retained Earnings	1,415,440			1,393,231			1,316,260
Treasury Stock, at Cost (Shares: December 31, 2016 - 15,220,694;
September 30, 2016 - 15,121,330; and December 31, 2015 - 14,466,918)	(772,201		)	(764,200		)	(719,059		)
Total Shareholders' Equity	1,161,537			1,163,859			1,116,260
Total Liabilities and Shareholders' Equity	$	16,492,367		$	16,014,643		$	15,455,016



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, 2014		43,724,208		$	574	$	531,932	$	(26,686	)	$	1,234,801		$	(685,535	)	$	1,055,086
Net Income		—		—		—		—			160,704			—			160,704
Other Comprehensive Income		—		—		—		3,129			—			—			3,129
Share-Based Compensation		—		—		7,689		—			—			—			7,689
Common Stock Issued under Purchase and Equity
	Compensation Plans and Related Tax Benefits	401,904		1		2,420		—			(878		)	19,457			21,000
Common Stock Repurchased		(843,959	)	—		—		—			—			(52,981		)	(52,981		)
Cash Dividends Declared ($1.80 per share)		—		—		—		—			(78,367		)	—			(78,367		)
Balance as of December 31, 2015		43,282,153		$	575	$	542,041	$	(23,557	)	$	1,316,260		$	(719,059	)	$	1,116,260
Net Income		—		—		—		—			181,461			—			181,461
Other Comprehensive Loss		—		—		—		(10,349		)	—			—			(10,349		)
Share-Based Compensation		—		—		6,786		—			—			—			6,786
Common Stock Issued under Purchase and Equity
	Compensation Plans and Related Tax Benefits	259,985		1		2,801		—			(1,124		)	8,665			10,343
Common Stock Repurchased		(906,160	)	—		—		—			—			(61,807		)	(61,807		)
Cash Dividends Declared ($1.89 per share)		—		—		—		—			(81,157		)	—			(81,157		)
Balance as of December 31, 2016		42,635,978		$	576	$	551,628	$	(33,906	)	$	1,415,440		$	(772,201	)	$	1,161,537



Bank of Hawaii Corporation and Subsidiaries
Average Balances and Interest Rates - Taxable-Equivalent Basis																Table 7a
		Three Months Ended						Three Months Ended						Three Months Ended
		December 31, 2016						September 30, 2016						December 31, 2015
		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		$	4.0	$	—	0.10	%	$	4.1	$	—	0.19	%	$	3.8	$	—	0.10	%
Funds Sold		622.8		0.8		0.50		585.9		0.7		0.46		466.3		0.3		0.26
Investment Securities
	Available-for-Sale
	Taxable	1,533.8		6.7		1.76		1,574.9		6.8		1.72		1,573.3		7.1		1.81
	Non-Taxable	668.7		5.4		3.21		687.1		5.4		3.16		718.5		5.7		3.18
	Held-to-Maturity
	Taxable	3,579.1		17.7		1.97		3,563.8		17.8		1.99		3,827.9		20.2		2.10
	Non-Taxable	242.7		2.4		3.89		243.7		2.4		3.90		246.6		2.4		3.92
Total Investment Securities		6,024.3		32.2		2.13		6,069.5		32.4		2.13		6,366.3		35.4		2.22
Loans Held for Sale		39.1		0.3		3.61		57.7		0.5		3.52		7.1		0.1		4.26
Loans and Leases ¹
	Commercial and Industrial	1,223.6		10.0		3.25		1,192.0		9.8		3.26		1,155.2		9.4		3.22
	Commercial Mortgage	1,833.8		17.0		3.68		1,730.2		15.4		3.55		1,653.9		15.5		3.71
	Construction	276.0		3.0		4.36		239.4		2.6		4.38		140.9		1.7		4.90
	Commercial Lease Financing	204.0		1.1		2.17		195.1		1.2		2.38		204.2		1.8		3.46
	Residential Mortgage	3,139.4		30.6		3.90		3,082.9		30.4		3.94		2,895.3		29.2		4.04
	Home Equity	1,317.1		11.7		3.54		1,254.4		11.3		3.59		1,027.4		9.3		3.61
	Automobile	446.0		5.8		5.14		426.2		5.5		5.15		373.7		4.9		5.19
	Other ²	373.9		7.3		7.76		363.4		7.0		7.69		334.7		6.4		7.57
Total Loans and Leases		8,813.8		86.5		3.91		8,483.6		83.2		3.91		7,785.3		78.2		4.00
Other		40.1		0.3		2.80		39.9		0.1		1.66		41.1		0.4		3.71
Total Earning Assets ³		15,544.1		120.1		3.08		15,240.7		116.9		3.06		14,669.9		114.4		3.11
Cash and Due from Banks		131.5						133.2						126.2
Other Assets		537.3						532.9						539.5
Total Assets		$	16,212.9					$	15,906.8					$	15,335.6

Interest-Bearing Liabilities
Interest-Bearing Deposits
	Demand	$	2,760.5	0.3		0.04		$	2,770.2	0.2		0.03		$	2,653.2	0.2		0.03
	Savings	5,339.5		1.2		0.09		5,208.3		1.1		0.09		5,028.8		1.1		0.09
	Time	1,322.7		2.0		0.60		1,272.6		1.9		0.59		1,178.2		1.1		0.38
Total Interest-Bearing Deposits		9,422.7		3.5		0.15		9,251.1		3.2		0.14		8,860.2		2.4		0.11
Short-Term Borrowings		9.6		—		0.15		8.7		—		0.13		8.1		—		0.14
Securities Sold Under Agreements to Repurchase		533.7		5.4		3.96		556.5		5.7		4.02		630.5		6.3		3.88
Other Debt		267.9		1.1		1.66		268.0		1.1		1.66		306.4		1.0		1.34
Total Interest-Bearing Liabilities		10,233.9		10.0		0.38		10,084.3		10.0		0.39		9,805.2		9.7		0.39
Net Interest Income				$	110.1					$	106.9					$	104.7
	Interest Rate Spread					2.70	%					2.67	%					2.72	%
	Net Interest Margin					2.83	%					2.80	%					2.85	%
Noninterest-Bearing Demand Deposits		4,574.6						4,436.1						4,178.4
Other Liabilities		242.4						224.7						249.5
Shareholders' Equity		1,162.0						1,161.7						1,102.5
Total Liabilities and Shareholders' Equity		$	16,212.9					$	15,906.8					$	15,335.6


¹ Non-performing loans and leases are included in the respective average loan and lease balances. Income, if any, on such loans and leases is recognized on a cash basis.
² Comprised of other consumer revolving credit, installment, and consumer lease financing.
³ Interest income includes taxable-equivalent basis adjustments, based upon a federal statutory tax rate of 35%, of $3,034,000, $2,967,000, and $3,016,000 for the three months
	ended December 31, 2016, September 30, 2016, and December 31, 2015, respectively.



Bank of Hawaii Corporation and Subsidiaries
Average Balances and Interest Rates - Taxable-Equivalent Basis												Table 7b
		Year Ended						Year Ended
		December 31, 2016						December 31, 2015
		Average		Income/		Yield/		Average		Income/		Yield/
(dollars in millions)		Balance		Expense		Rate		Balance		Expense		Rate
Earning Assets
Interest-Bearing Deposits in Other Banks		$	4.1	$	—	0.22	%	$	3.4	$	—	0.22	%
Funds Sold		595.9		2.8		0.48		483.1		1.1		0.23
Investment Securities
	Available-for-Sale
	Taxable	1,579.1		27.7		1.75		1,554.2		26.6		1.71
	Non-Taxable	690.6		21.9		3.17		721.7		22.9		3.18
	Held-to-Maturity
	Taxable	3,615.2		72.9		2.02		3,981.2		83.3		2.09
	Non-Taxable	244.1		9.5		3.90		247.8		9.8		3.93
Total Investment Securities		6,129.0		132.0		2.15		6,504.9		142.6		2.19
Loans Held for Sale		32.3		1.2		3.59		8.7		0.3		3.83
Loans and Leases ¹
	Commercial and Industrial	1,179.9		40.3		3.42		1,152.3		36.6		3.18
	Commercial Mortgage	1,735.2		64.5		3.72		1,543.5		58.5		3.79
	Construction	224.2		10.0		4.43		123.9		5.9		4.79
	Commercial Lease Financing	198.6		4.8		2.40		217.8		7.5		3.46
	Residential Mortgage	3,037.0		120.6		3.97		2,774.7		113.9		4.10
	Home Equity	1,211.9		43.7		3.61		944.0		34.2		3.63
	Automobile	416.8		21.5		5.16		352.3		18.4		5.21
	Other ²	358.6		27.7		7.72		315.1		23.7		7.51
Total Loans and Leases		8,362.2		333.1		3.98		7,423.6		298.7		4.02
Other		39.2		0.8		2.07		49.0		1.3		2.67
Total Earning Assets ³		15,162.7		469.9		3.10		14,472.7		444.0		3.07
Cash and Due from Banks		129.0						130.0
Other Assets		533.7						533.8
Total Assets		$	15,825.4					$	15,136.5

Interest-Bearing Liabilities
Interest-Bearing Deposits
	Demand	$	2,757.6	0.9		0.03		$	2,616.4	0.8		0.03
	Savings	5,217.9		4.6		0.09		5,015.6		4.4		0.09
	Time	1,254.9		7.1		0.57		1,252.9		4.4		0.35
Total Interest-Bearing Deposits		9,230.4		12.6		0.14		8,884.9		9.6		0.11
Short-Term Borrowings		8.4		—		0.15		8.4		—		0.15
Securities Sold Under Agreements to Repurchase		569.8		23.4		4.11		655.9		25.4		3.87
Other Debt		248.8		4.3		1.71		219.7		3.0		1.37
Total Interest-Bearing Liabilities		10,057.4		40.3		0.40		9,768.9		38.0		0.39
Net Interest Income				$	429.6					$	406.0
	Interest Rate Spread					2.70	%					2.68	%
	Net Interest Margin					2.83	%					2.81	%
Noninterest-Bearing Demand Deposits		4,389.1						4,040.3
Other Liabilities		229.6						243.2
Shareholders' Equity		1,149.3						1,084.1
Total Liabilities and Shareholders' Equity		$	15,825.4					$	15,136.5


¹ Non-performing loans and leases are included in the respective average loan and lease balances. Income, if any, on such loans and leases is recognized on a cash basis.
² Comprised of other consumer revolving credit, installment, and consumer lease financing.
3 Interest income includes taxable-equivalent basis adjustments, based upon a federal statutory tax rate of 35%, of $11,991,000 and $11,937,000 for the year
	ended December 31, 2016 and December 31,2015, respectively.



Bank of Hawaii Corporation and Subsidiaries
Analysis of Change in Net Interest Income - Taxable-Equivalent Basis							Table 8a
	Three Months Ended December 31, 2016
	Compared to September 30, 2016
(dollars in millions)	Volume ¹			Rate ¹			Total
Change in Interest Income:
Funds Sold	$	—		$	0.1		$	0.1
Investment Securities
Available-for-Sale
Taxable	(0.2		)	0.1			(0.1		)
Non-Taxable	(0.1		)	0.1			—
Held-to-Maturity
Taxable	0.1			(0.2		)	(0.1		)
Total Investment Securities	(0.2		)	—			(0.2		)
Loans Held for Sale	(0.2		)	—			(0.2		)
Loans and Leases
Commercial and Industrial	0.2			—			0.2
Commercial Mortgage	1.0			0.6			1.6
Construction	0.4			—			0.4
Commercial Lease Financing	—			(0.1		)	(0.1		)
Residential Mortgage	0.5			(0.3		)	0.2
Home Equity	0.6			(0.2		)	0.4
Automobile	0.3			—			0.3
Other ²	0.2			0.1			0.3
Total Loans and Leases	3.2			0.1			3.3
Other	0.1			0.1			0.2
Total Change in Interest Income	2.9			0.3			3.2

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

Change in Net Interest Income	$	2.9		$	0.3		$	3.2


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



Bank of Hawaii Corporation and Subsidiaries
Analysis of Change in Net Interest Income - Taxable-Equivalent Basis							Table 8b
	Three Months Ended December 31, 2016
	Compared to December 31, 2015
(dollars in millions)	Volume ¹			Rate¹			Total
Change in Interest Income:
Funds Sold	$	0.1		$	0.4		$	0.5
Investment Securities
Available-for-Sale
Taxable	(0.2		)	(0.2		)	(0.4		)
Non-Taxable	(0.4		)	0.1			(0.3		)
Held-to-Maturity
Taxable	(1.3		)	(1.2		)	(2.5		)
Total Investment Securities	(1.9		)	(1.3		)	(3.2		)
Loans Held for Sale	0.3			(0.1		)	0.2
Loans and Leases
Commercial and Industrial	0.5			0.1			0.6
Commercial Mortgage	1.6			(0.1		)	1.5
Construction	1.5			(0.2		)	1.3
Commercial Lease Financing	—			(0.7		)	(0.7		)
Residential Mortgage	2.4			(1.0		)	1.4
Home Equity	2.6			(0.2		)	2.4
Automobile	1.0			(0.1		)	0.9
Other ²	0.7			0.2			0.9
Total Loans and Leases	10.3			(2.0		)	8.3
Other	—			(0.1		)	(0.1		)
Total Change in Interest Income	8.8			(3.1		)	5.7

Change in Interest Expense:
Interest-Bearing Deposits
Demand	—			0.1			0.1
Savings	0.1			—			0.1
Time	0.2			0.7			0.9
Total Interest-Bearing Deposits	0.3			0.8			1.1
Securities Sold Under Agreements to Repurchase	(1.0		)	0.1			(0.9		)
Other Debt	(0.1		)	0.2			0.1
Total Change in Interest Expense	(0.8		)	1.1			0.3

Change in Net Interest Income	$	9.6		$	(4.2	)	$	5.4


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
Analysis of Change in Net Interest Income - Taxable-Equivalent Basis							Table 8c
	Year Ended December 31, 2016
	Compared to December 31, 2015
(dollars in millions)	Volume ¹			Rate ¹			Total
Change in Interest Income:
Funds Sold	$	0.3		$	1.4		$	1.7
Investment Securities
Available-for-Sale
Taxable	0.4			0.7			1.1
Non-Taxable	(1.0		)	—			(1.0		)
Held-to-Maturity
Taxable	(7.4		)	(3.0		)	(10.4		)
Non-Taxable	(0.2		)	(0.1		)	(0.3		)
Total Investment Securities	(8.2		)	(2.4		)	(10.6		)
Loans Held for Sale	0.9			—			0.9
Loans and Leases
Commercial and Industrial	0.9			2.8			3.7
Commercial Mortgage	7.1			(1.1		)	6.0
Construction	4.6			(0.5		)	4.1
Commercial Lease Financing	(0.6		)	(2.1		)	(2.7		)
Residential Mortgage	10.5			(3.8		)	6.7
Home Equity	9.7			(0.2		)	9.5
Automobile	3.3			(0.2		)	3.1
Other ²	3.3			0.7			4.0
Total Loans and Leases	38.8			(4.4		)	34.4
Other	(0.2		)	(0.3		)	(0.5		)
Total Change in Interest Income	31.6			(5.7		)	25.9

Change in Interest Expense:
Interest-Bearing Deposits
Demand	—			0.1			0.1
Savings	0.2			—			0.2
Time	—			2.7			2.7
Total Interest-Bearing Deposits	0.2			2.8			3.0
Securities Sold Under Agreements to Repurchase	(3.5		)	1.5			(2.0		)
Other Debt	0.5			0.8			1.3
Total Change in Interest Expense	(2.8		)	5.1			2.3

Change in Net Interest Income	$	34.4		$	(10.8	)	$	23.6


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						Year Ended
	December 31,		September 30,		December 31,		December 31,
(dollars in thousands)	2016		2016		2015		2016		2015
Salaries	$	29,382	$	29,401	$	29,356	$	116,721	$	114,389
Incentive Compensation	5,784		5,743		4,971		23,409		18,667
Share-Based Compensation	4,126		2,968		2,678		12,150		10,390
Commission Expense	1,955		2,051		1,375		7,514		6,533
Retirement and Other Benefits	4,350		3,866		4,056		17,262		16,968
Payroll Taxes	2,044		2,224		2,032		10,133		10,095
Medical, Dental, and Life Insurance	2,908		3,366		3,077		13,038		11,580
Separation Expense	73		106		452		923		3,341
Total Salaries and Benefits	$	50,622	$	49,725	$	47,997	$	201,150	$	191,963



Bank of Hawaii Corporation and Subsidiaries
Loan and Lease Portfolio Balances										Table 10
		December 31,		September 30,		June 30,		March 31,		December 31,
(dollars in thousands)		2016		2016		2016		2016		2015
Commercial
	Commercial and Industrial	$	1,249,791	$	1,217,849	$	1,174,879	$	1,180,341	$	1,115,168
	Commercial Mortgage	1,889,551		1,807,190		1,712,271		1,687,199		1,677,147
	Construction	270,018		263,079		226,062		192,909		156,660
	Lease Financing	208,332		201,436		192,630		195,804		204,877
Total Commercial		3,617,692		3,489,554		3,305,842		3,256,253		3,153,852
Consumer
	Residential Mortgage	3,163,073		3,098,936		3,032,981		2,929,388		2,925,605
	Home Equity	1,334,163		1,295,993		1,213,154		1,131,796		1,069,400
	Automobile	454,333		437,659		417,017		399,825		381,735
	Other ¹	380,524		371,955		362,475		348,348		348,393
Total Consumer		5,332,093		5,204,543		5,025,627		4,809,357		4,725,133
Total Loans and Leases		$	8,949,785	$	8,694,097	$	8,331,469	$	8,065,610	$	7,878,985


Deposits
		December 31,		September 30,		June 30,		March 31,		December 31,
(dollars in thousands)		2016		2016		2016		2016		2015
Consumer		$	6,997,482	$	6,781,371	$	6,618,164	$	6,568,651	$	6,445,510
Commercial		6,110,189		5,751,184		5,697,490		5,678,987		5,502,739
Public and Other		1,212,569		1,275,810		1,328,153		1,241,254		1,302,854
Total Deposits		$	14,320,240	$	13,808,365	$	13,643,807	$	13,488,892	$	13,251,103


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
			December 31,			September 30,			June 30,			March 31,			December 31,
(dollars in thousands)			2016			2016			2016			2016			2015
Non-Performing Assets
Non-Accrual Loans and Leases
	Commercial
		Commercial and Industrial	$	151		$	201		$	269		$	666		$	5,829
		Commercial Mortgage	997			1,023			1,194			3,401			3,469
	Total Commercial		1,148			1,224			1,463			4,067			9,298
	Consumer
		Residential Mortgage	13,780			12,735			9,979			13,719			14,598
		Home Equity	3,147			2,966			3,110			2,501			4,081
	Total Consumer		16,927			15,701			13,089			16,220			18,679
Total Non-Accrual Loans and Leases			18,075			16,925			14,552			20,287			27,977
Foreclosed Real Estate			1,686			1,747			1,728			1,728			824
Total Non-Performing Assets			$	19,761		$	18,672		$	16,280		$	22,015		$	28,801

Accruing Loans and Leases Past Due 90 Days or More
Consumer
	Residential Mortgage		$	3,127		$	2,583		$	5,640		$	4,219		$	4,453
	Home Equity		1,457			1,210			1,128			2,096			1,710
	Automobile		894			578			464			524			315
	Other ¹		1,592			1,273			1,518			1,099			1,096
Total Consumer			7,070			5,644			8,750			7,938			7,574
Total Accruing Loans and Leases Past Due 90 Days or More			$	7,070		$	5,644		$	8,750		$	7,938		$	7,574
Restructured Loans on Accrual Status
and Not Past Due 90 Days or More			$	52,208		$	52,095		$	52,173		$	50,707		$	49,430
Total Loans and Leases			$	8,949,785		$	8,694,097		$	8,331,469		$	8,065,610		$	7,878,985

Ratio of Non-Accrual Loans and Leases to Total Loans and Leases			0.20		%	0.19		%	0.17		%	0.25		%	0.36		%

Ratio of Non-Performing Assets to Total Loans and Leases
	and Foreclosed Real Estate		0.22		%	0.21		%	0.20		%	0.27		%	0.37		%

Ratio of Commercial Non-Performing Assets to Total Commercial Loans
	and Leases and Commercial Foreclosed Real Estate		0.03		%	0.04		%	0.04		%	0.12		%	0.29		%

Ratio of Consumer Non-Performing Assets to Total Consumer Loans
	and Leases and Consumer Foreclosed Real Estate		0.35		%	0.34		%	0.29		%	0.37		%	0.41		%

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		0.30		%	0.28		%	0.30		%	0.37		%	0.46		%

Quarter to Quarter Changes in Non-Performing Assets
Balance at Beginning of Quarter			$	18,672		$	16,280		$	22,015		$	28,801		$	29,545
Additions			2,142			3,730			1,300			4,002			2,353
Reductions
	Payments		(252		)	(501		)	(3,401		)	(6,012		)	(2,473		)
	Return to Accrual Status		(653		)	(701		)	(3,560		)	(4,272		)	(24		)
	Sales of Foreclosed Real Estate		(61		)	—			—			(248		)	(458		)
	Charge-offs/Write-downs		(87		)	(136		)	(74		)	(256		)	(142		)
Total Reductions			(1,053		)	(1,338		)	(7,035		)	(10,788		)	(3,097		)
Balance at End of Quarter			$	19,761		$	18,672		$	16,280		$	22,015		$	28,801


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									Year Ended
			December 31,			September 30,			December 31,			December 31,
(dollars in thousands)			2016			2016			2015			2016			2015
Balance at Beginning of Period			$	110,605		$	110,504		$	110,110		$	108,952		$	114,575
Loans and Leases Charged-Off
	Commercial
		Commercial and Industrial	(195		)	(209		)	(304		)	(865		)	(954		)
	Consumer
		Residential Mortgage	(335		)	(104		)	—			(723		)	(613		)
		Home Equity	(256		)	(222		)	(269		)	(1,104		)	(1,330		)
		Automobile	(1,720		)	(1,703		)	(1,719		)	(6,355		)	(5,860		)
		Other ¹	(2,445		)	(2,678		)	(2,170		)	(9,462		)	(7,682		)
Total Loans and Leases Charged-Off			(4,951		)	(4,916		)	(4,462		)	(18,509		)	(16,439		)
Recoveries on Loans and Leases Previously Charged-Off
	Commercial
		Commercial and Industrial	506			282			420			8,058			1,948
		Commercial Mortgage	11			14			18			53			61
		Construction	—			—			8			23			32
		Lease Financing	1			—			1			3			132
	Consumer
		Residential Mortgage	154			517			577			1,151			1,297
		Home Equity	323			618			349			1,776			2,489
		Automobile	459			615			519			2,207			1,917
		Other ¹	487			471			412			1,881			1,755
Total Recoveries on Loans and Leases Previously Charged-Off			1,941			2,517			2,304			15,152			9,631
Net Loans and Leases Charged-Off			(3,010		)	(2,399		)	(2,158		)	(3,357		)	(6,808		)
Provision for Credit Losses			3,250			2,500			1,000			4,750			1,000
Provision for Unfunded Commitments			—			—			—			500			185
Balance at End of Period ²			$	110,845		$	110,605		$	108,952		$	110,845		$	108,952

Components
Allowance for Loan and Lease Losses			$	104,273		$	104,033		$	102,880		$	104,273		$	102,880
Reserve for Unfunded Commitments			6,572			6,572			6,072			6,572			6,072
Total Reserve for Credit Losses			$	110,845		$	110,605		$	108,952		$	110,845		$	108,952

Average Loans and Leases Outstanding			$	8,813,755		$	8,483,588		$	7,785,346		$	8,362,210		$	7,423,572

Ratio of Net Loans and Leases Charged-Off to
	Average Loans and Leases Outstanding (annualized)		0.14		%	0.11		%	0.11		%	0.04		%	0.09		%
Ratio of Allowance for Loan and Lease Losses to Loans and Leases Outstanding			1.17		%	1.20		%	1.31		%	1.17		%	1.31		%


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 13a
	Retail			Commercial			Investment			Treasury			Consolidated
(dollars in thousands)	Banking			Banking			Services			and Other			Total
Three Months Ended December 31, 2016
Net Interest Income	$	63,169		$	40,968		$	6,196		$	(3,240	)	$	107,093
Provision for Credit Losses	3,285			(270		)	(5		)	240			3,250
Net Interest Income After Provision for Credit Losses	59,884			41,238			6,201			(3,480		)	103,843
Noninterest Income	24,460			5,952			13,764			2,327			46,503
Noninterest Expense	(52,998		)	(17,926		)	(14,996		)	(3,669		)	(89,589		)
Income Before Provision for Income Taxes	31,346			29,264			4,969			(4,822		)	60,757
Provision for Income Taxes	(11,109		)	(10,330		)	(1,839		)	6,034			(17,244		)
Net Income	$	20,237		$	18,934		$	3,130		$	1,212		$	43,513
Total Assets as of December 31, 2016	$	5,342,078		$	3,565,912		$	280,410		$	7,303,967		$	16,492,367


Three Months Ended December 31, 2015 ¹
Net Interest Income	$	51,628		$	36,652		$	5,341		$	8,023		$	101,644
Provision for Credit Losses	2,373			(209		)	(7		)	(1,157		)	1,000
Net Interest Income After Provision for Credit Losses	49,255			36,861			5,348			9,180			100,644
Noninterest Income	21,268			5,774			14,065			3,659			44,766
Noninterest Expense	(50,111		)	(17,261		)	(14,659		)	(3,696		)	(85,727		)
Income Before Provision for Income Taxes	20,412			25,374			4,754			9,143			59,683
Provision for Income Taxes	(7,233		)	(8,985		)	(1,759		)	1,126			(16,851		)
Net Income	$	13,179		$	16,389		$	2,995		$	10,269		$	42,832
Total Assets as of December 31, 2015 ¹	$	4,680,888		$	3,099,175		$	274,469		$	7,400,484		$	15,455,016


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



Bank of Hawaii Corporation and Subsidiaries
Business Segments Selected Financial Information													Table 13b
	Retail			Commercial			Investment			Treasury			Consolidated
(dollars in thousands)	Banking			Banking			Services			and Other			Total
Year Ended December 31, 2016
Net Interest Income	$	242,967		$	156,080		$	24,714		$	(6,182	)	$	417,579
Provision for Credit Losses	10,700			(7,322		)	(23		)	1,395			4,750
Net Interest Income After Provision for Credit Losses	232,267			163,402			24,737			(7,577		)	412,829
Noninterest Income	91,824			26,967			57,396			21,156			197,343
Noninterest Expense	(208,389		)	(70,405		)	(59,782		)	(12,002		)	(350,578		)
Income Before Provision for Income Taxes	115,702			119,964			22,351			1,577			259,594
Provision for Income Taxes	(41,067		)	(42,667		)	(8,270		)	13,871			(78,133		)
Net Income	$	74,635		$	77,297		$	14,081		$	15,448		$	181,461
Total Assets as of December 31, 2016	$	5,342,078		$	3,565,912		$	280,410		$	7,303,967		$	16,492,367


Year Ended December 31, 2015 ¹
Net Interest Income	$	202,259		$	143,944		$	18,494		$	29,390		$	394,087
Provision for Credit Losses	8,033			(1,165		)	(43		)	(5,825		)	1,000
Net Interest Income After Provision for Credit Losses	194,226			145,109			18,537			35,215			393,087
Noninterest Income	82,391			22,191			58,835			22,802			186,219
Noninterest Expense	(199,572		)	(77,500		)	(57,852		)	(13,180		)	(348,104		)
Income Before Provision for Income Taxes	77,045			89,800			19,520			44,837			231,202
Provision for Income Taxes	(27,330		)	(31,375		)	(7,222		)	(4,571		)	(70,498		)
Net Income	$	49,715		$	58,425		$	12,298		$	40,266		$	160,704
Total Assets as of December 31, 2015 ¹	$	4,680,888		$	3,099,175		$	274,469		$	7,400,484		$	15,455,016


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



Bank of Hawaii Corporation and Subsidiaries
Selected Quarterly Financial Data																	Table 14
	Three Months Ended
	December 31,				September 30,				June 30,				March 31,				December 31,
(dollars in thousands, except per share amounts)	2016				2016				2016				2016				2015
Quarterly Operating Results
Interest Income
Interest and Fees on Loans and Leases	$	86,532			$	83,489			$	82,323			$	80,895			$	78,122
Income on Investment Securities
Available-for-Sale	10,244				10,313				10,521				10,814				10,829
Held-to-Maturity	19,213				19,315				20,168				20,391				21,722
Deposits	2				1				2				4				1
Funds Sold	795				695				618				753				315
Other	281				166				153				212				381
Total Interest Income	117,067				113,979				113,785				113,069				111,370
Interest Expense
Deposits	3,448				3,232				3,081				2,886				2,443
Securities Sold Under Agreements to Repurchase	5,406				5,713				6,134				6,153				6,246
Funds Purchased	3				3				3				3				3
Other Debt	1,117				1,119				1,017				1,003				1,034
Total Interest Expense	9,974				10,067				10,235				10,045				9,726
Net Interest Income	107,093				103,912				103,550				103,024				101,644
Provision for Credit Losses	3,250				2,500				1,000				(2,000		)		1,000
Net Interest Income After Provision for Credit Losses	103,843				101,412				102,550				105,024				100,644
Noninterest Income
Trust and Asset Management	11,232				11,008				12,707				11,256				11,243
Mortgage Banking	6,256				6,362				4,088				3,189				3,130
Service Charges on Deposit Accounts	8,537				8,524				8,150				8,443				8,663
Fees, Exchange, and Other Service Charges	13,731				14,023				13,978				13,444				13,764
Investment Securities Gains (Losses), Net	(337		)		(328		)		(312		)		11,180				(181		)
Annuity and Insurance	1,457				1,653				2,006				1,901				2,014
Bank-Owned Life Insurance	1,551				1,911				1,551				1,548				1,608
Other	4,076				4,961				4,351				5,246				4,525
Total Noninterest Income	46,503				48,114				46,519				56,207				44,766
Noninterest Expense
Salaries and Benefits	50,622				49,725				50,289				50,514				47,997
Net Occupancy	7,581				8,510				7,158				7,003				4,876
Net Equipment	5,191				4,913				5,065				5,409				5,244
Data Processing	3,665				3,620				3,972				3,951				5,106
Professional Fees	2,990				2,396				2,047				2,639				2,803
FDIC Insurance	2,015				2,104				2,144				2,352				2,322
Other	17,525				16,264				15,396				15,518				17,379
Total Noninterest Expense	89,589				87,532				86,071				87,386				85,727
Income Before Provision for Income Taxes	60,757				61,994				62,998				73,845				59,683
Provision for Income Taxes	17,244				18,501				18,753				23,635				16,851
Net Income	$	43,513			$	43,493			$	44,245			$	50,210			$	42,832

Basic Earnings Per Share	$	1.03			$	1.02			$	1.04			$	1.17			$	1.00
Diluted Earnings Per Share	$	1.02			$	1.02			$	1.03			$	1.16			$	0.99

Balance Sheet Totals
Loans and Leases	$	8,949,785			$	8,694,097			$	8,331,469			$	8,065,610			$	7,878,985
Total Assets	16,492,367				16,014,643				15,860,901				15,654,695				15,455,016
Total Deposits	14,320,240				13,808,365				13,643,807				13,488,892				13,251,103
Total Shareholders' Equity	1,161,537				1,163,859				1,157,219				1,138,753				1,116,260

Performance Ratios
Return on Average Assets	1.07			%	1.09			%	1.14			%	1.30			%	1.11			%
Return on Average Shareholders' Equity	14.90				14.89				15.56				17.88				15.41
Efficiency Ratio ¹	58.33				57.58				57.35				54.88				58.55
Net Interest Margin ²	2.83				2.80				2.85				2.86				2.85


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



Bank of Hawaii Corporation and Subsidiaries
Hawaii Economic Trends													Table 15
	Eleven Months Ended				Year Ended
($ in millions; jobs in thousands)	November 30, 2016				December 31, 2015					December 31, 2014
Hawaii Economic Trends
State General Fund Revenues ¹	$	5,706.4	3.8	%	$	5,998.6		8.4	%	$	5,535.7			1.6		%
General Excise and Use Tax Revenue ¹	$	2,960.6	2.6	%	$	3,141.5		5.4	%	$	2,979.8			2.5		%
Jobs ²	676.2				658.8					643.7

								December 31,		December 31,
(spot rates)								2016		2015				2014
Unemployment ³
Statewide, seasonally adjusted								2.9	%	3.2			%	4.0		%

Oahu								2.4		2.7				3.5
Island of Hawaii								3.1		3.7				4.7
Maui								2.7		3.1				3.8
Kauai								2.8		3.5				4.3

					December 31,
(percentage change, except months of inventory)					2016			2015		2014				2013
Housing Trends (Single Family Oahu) ⁴
Median Home Price					5.0		%	3.7	%	3.8			%	4.8		%
Home Sales Volume (units)					6.5		%	5.2	%	(0.8		)	%	4.6		%
Months of Inventory					2.5			2.6		2.6				2.7

					Monthly Visitor Arrivals,					Percentage Change
(in thousands)					Not Seasonally Adjusted					from Previous Year
Tourism ⁵
November 30, 2016								696.9						4.7
October 31, 2016								717.5						4.3
September 30, 2016								666.6						3.0
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
December 31, 2015								794.2						3.7
November 30, 2015								665.9						4.4
October 31, 2015								687.7						4.0
September 30, 2015								647.2						3.9
August 31, 2015								757.5						3.1
July 31, 2015								818.5						5.9
June 30, 2015								767.9						6.0
May 31, 2015								709.7						9.3
April 30, 2015								677.8						2.3
March 31, 2015								780.1						7.0
February 28, 2015								661.7						2.3
January 31, 2015								678.9						(0.6	)
December 31, 2014								766.0						6.3
November 30, 2014								638.0						2.2
October 31, 2014								661.0						3.2
September 30, 2014								623.1						4.2
August 31, 2014								734.7						(1.9	)
July 31, 2014								772.8						2.0
June 30, 2014								724.5						1.1
May 31, 2014								649.1						1.8
April 30, 2014								662.6						(0.7	)
March 31, 2014								728.8						(5.2	)
February 28, 2014								646.8						(4.3	)
January 31, 2014								682.6						0.1

¹ Source: Hawaii Department of Business, Economic Development & Tourism
² Source: U. S. Bureau of Labor
³ Source: Hawaii Department of Labor and Industrial Relations, County jobs data not seasonally adjusted.
⁴ Source: Honolulu Board of REALTORS
⁵ Source: Hawaii Tourism Authority
Note: Certain prior period seasonally adjusted information has been revised.

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