Company: BOH
Filing Date: 2025-07-28
Form Type: 10-Q
Source: 0001628280-25-036240
Chunk: 152

Company: BANK OF HAWAII CORP
Filing Date: 2025-07-28
Form: 10-Q
Item: Part I, Item 8
Chunk 152
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Conversion Rate Swap AgreementsInvestment Securities Gains (Losses), Net15 — (563)— Total$2,028 $6,205 $3,132 $12,277 The following amounts were recorded on the unaudited consolidated statements of condition related to the cumulative basis adjustment for fair value hedges as of June 30, 2025 and December 31, 2024:Line Item in the Unaudited Consolidated Statements of ConditionCarrying Amount of the Hedged AssetsCumulative Amount of Fair Value Hedging Adjustment Included In the Carrying Amount of the Hedged Assets(dollars in thousands)June 30, 2025December 31, 2024June 30, 2025December 31, 2024Investment Securities, Available-for-Sale 1$1,207,091 $999,594 $7,091 $(406)Loans and Leases 21,604,459 1,292,670 4,459 (7,330)1These amounts were included in the fair value of closed portfolios of investment securities, AFS used to designate hedging relationships in which the hedged item is the stated amount of assets in the closed portfolios anticipated to be outstanding for the designated hedge period. As of June 30, 2025 and December 31, 2024, the fair value of the closed portfolios used in these hedging relationships was $1.6 billion and $1.7 billion, respectively.2These amounts were included in the amortized cost basis of closed portfolios of loans used to designate hedging relationships in which the hedged item is the stated amount of assets in the closed portfolios anticipated to be outstanding for the designated hedge period. As of June 30, 2025 and December 31, 2024, the amortized cost basis of the closed portfolios used in these hedging relationships was $2.9 billion and $3.0 billion, respectively.Derivatives Not Designated as Hedging InstrumentsInterest Rate Lock Commitments/Forward CommitmentsThe Company enters into interest rate lock commitments (“IRLCs”) for residential mortgage loans which commit us to lend funds to a potential borrower at a specific interest rate and within a specified period of time. IRLCs that relate to the origination of mortgage loans that will be held for sale are considered derivative financial instruments under applicable accounting guidance. Outstanding IRLCs expose the Company to the risk that the price of the