Company: BOH
Filing Date: 2025-10-28
Form Type: 10-Q
Source: 0000046195-25-000037
Chunk: 197

Company: BANK OF HAWAII CORP
Filing Date: 2025-10-28
Form: 10-Q
Item: Part I, Item 8
Chunk 197
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 of non-accrual loans and leases and foreclosed real estate. Changes in the level of non-accrual loans and leases typically are caused by loans and leases that reach a specified past due status, offset by reductions for loans and leases that are charged-off, written down, paid down, sold, transferred to foreclosed real estate, or are no longer classified as non-accrual because they have returned to accrual status.

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Non-accrual loans and leases as of September 30, 2025 were $16.7 million, an increase of $0.1 million or 1% from December 31, 2024 primarily due to increases in home equity and residential mortgage partially offset by a decline in commercial and industrial. Residential mortgage non-accrual loans increased by $0.6 million or 11% from December 31, 2024. As of September 30, 2025, our residential mortgage non-accrual loans were comprised of 18 loans with a weighted average current loan-to-value ratio of 73.3%. Home equity non-accrual loans increased by $0.6 million or 13% from December 31, 2024. As of September 30, 2025, our home equity non-accrual loans were comprised of 54 loans with a weighted average current loan-to-value ratio of 52.2%. Commercial and industrial non-accrual loans decreased by $1.1 million or 24% from December 31, 2024, primarily due to the partial charge-off of a significant loan.

Foreclosed real estate represents property acquired as the result of borrower defaults on loans. Foreclosed real estate is recorded at fair value, less estimated selling costs, at the time of foreclosure. On an ongoing basis, properties are appraised as required by market conditions and applicable regulations. Foreclosed real estate was $0.1 million as of September 30, 2025 compared to $2.7 million as of December 31, 2024. The decrease was due to the sale of foreclosed properties during the nine months ended September 30, 2025.

Loans and Leases Past Due 90 Days or More and Still Accruing Interest

Loans and leases past due 90 days or more and still accruing interest were $11.3 million as of September 30, 2025, a $3.0 million or 37% increase from December