##### Table of Contents



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UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

WASHINGTON, D.C. 20549



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FORM 10-Q

|           |  |                                                                                                           
|---------- |  | ----------------------------------------------------------------------------------------------------------
|(Mark One) | 
|          
|          
|          
|          
|x          |  | QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE
SECURITIES EXCHANGE ACT OF 1934 [FEE REQUIRED]    
|          
|           |  | For the quarterly period ended September 30, 2002                                                         
|          
|OR        
|          
|o          |  | TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE
SECURITIES EXCHANGE ACT OF 1934 [NO FEE REQUIRED]
|          
|           |  | For the transition period from ____________ to ____________                                               

Commission file number 0-7949



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BANCWEST CORPORATION

(Exact name of registrant as specified in its charter)




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|                         |                                     
|------------------------ | ------------------------------------
|Delaware                 | 99-0156159                          
|(State of incorporation) | (I.R.S. Employer
Identification No.)

|                                         |           
|---------------------------------------- | ----------
|999 Bishop Street, Honolulu, Hawaii      | 96813     
|(Address of principal executive offices) | (Zip Code)

Registrants telephone number, including area code: (808) 525-7000



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Securities registered pursuant to Section 12(b) of the Act:

None

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Securities registered pursuant to Section 12(g) of the Act:

None

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(Title of class)


Indicate by check mark whether the registrant (1) has filed all reports required to be filed by
Section 13 or l5(d) of the Securities Exchange Act of 1934 during the preceding 12 months
(or for such shorter period that the registrant was required to file such reports), and
(2) has been subject to such filing requirements for the past 90 days.
Yes  [   ]    No  [   ]

As of October 31, 2002, the number of outstanding shares of each of the issuers classes of
common stock (all of which were beneficially owned by BNP Paribas) was:

|                                           |  |                             
|------------------------------------------ |  | ----------------------------
|ClassClass A Common Stock, $0.01 Par Value |  | Outstanding85,759,123 Shares



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TABLE OF CONTENTS



|                                 |                                                                                               |                                                            |  |  |  |  |  | 
|-------------------------------- | --------------------------------------------------------------------------------------------- | ---------------------------------------------------------- |  |  |  |  |  | 
|PART I. FINANCIAL INFORMATION   
|                                 | Item 1. Financial Statements                                                                 
|                                 |                                                                                               | CONSOLIDATED BALANCE SHEETS                               
|                                 |                                                                                               | CONSOLIDATED STATEMENTS OF INCOME                         
|                                 |                                                                                               | CONSOLIDATED STATEMENTS OF CHANGES IN STOCKHOLDERS EQUITY
|                                 |                                                                                               | CONSOLIDATED STATEMENTS OF CASH FLOWS                     
|                                 |                                                                                               | NOTES TO CONSOLIDATED FINANCIAL STATEMENTS                
|                                 | Item 2. Managements Discussion and Analysis of Financial Condition and Results of Operations
|                                 |                                                                                               | CONSOLIDATED FINANCIAL HIGHLIGHTS                         
|                                 | Item 3. Quantitative and Qualitative Disclosures About Market Risk                           
|                                 | Item 4. Controls and Procedures                                                              
|PART II. OTHER INFORMATION      
|                                 | Item 6. Exhibits and Reports on Form 8-K                                                     
|SIGNATURES                      
|CERTIFICATION                   
|EXHIBIT INDEX                   
|Exhibit 12 to Form 10-Q, 9/30/02



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##### Table of Contents



|               |  |                                                                                                                  |  |        
|-------------- |  | ---------------------------------------------------------------------------------------------------------------- |  | -------
|               |  |                                                                                                                  |  | Page   
|               |  |                                                                                                                  |  |        
|PART I.        |  | FINANCIAL INFORMATION                                                                                            |  |        
|              
|Item 1.        |  | Financial Statements (Unaudited)                                                                                 |  |        
|              
|              
|              
|              
|               |  | Consolidated Balance Sheets at September 30, 2002, December 31, 2001 and
September 30, 2001                      |  | 2 - 3  
|              
|              
|              
|              
|               |  | Consolidated Statements of Income for the three and nine months ended
September 30, 2002 and 2001                |  | 4      
|              
|              
|              
|              
|               |  | Consolidated Statements of Changes in Stockholders Equity for the nine
months ended September 30, 2002 and 2001 |  | 5      
|              
|              
|              
|              
|               |  | Consolidated Statements of Cash Flows for the nine months ended
September 30, 2002 and 2001                      |  | 6      
|              
|              
|              
|              
|               |  | Notes to Consolidated Financial Statements                                                                       |  | 7 - 11 
|              
|Item 2.        |  | Managements Discussion and Analysis of Financial Condition
and Results of Operations                            |  | 12 - 30
|              
|Item 3.        |  | Quantitative and Qualitative Disclosures About Market Risk                                                       |  | 31 - 32
|              
|Item 4.        |  | Controls and Procedures                                                                                          |  | 32     
|              
|PART II.       |  | OTHER INFORMATION                                                                                                |  |        
|              
|Item 6.        |  | Exhibits and Reports on Form 8-K                                                                                 |  | 33     
|              
|SIGNATURES     |  | 34                                                                                                              
|              
|CERTIFICATIONS |  | 35 - 36                                                                                                         
|              
|EXHIBIT INDEX  |  | 37                                                                                                              

1



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##### Table of Contents












PART I. FINANCIAL INFORMATION

Item 1.    Financial
Statements
BancWest Corporation and SubsidiariesCONSOLIDATED BALANCE SHEETS(Unaudited)

|                                                                                      |                                  |                     |            |               |            |              |            |                |            |   |            |            |            | 
|------------------------------------------------------------------------------------- | -------------------------------- | ------------------- | ---------- | ------------- | ---------- | ------------ | ---------- | -------------- | ---------- | - | ---------- | ---------- | ---------- | 
|                                                                                      |                                  |                     |            | September 30, |            | December 31, |            | September 30, 
|                                                                                      |                                  |                     |            | 2002          |            | 2001         |            | 2001          
|                                                                                      |                                  |                     |            |               |            |              |            |               
|                                                                                      |                                  |                     |            |               |            |              |            | (in thousands) |            |   |            |           
|                                                                                     
|                                                                                     
|                                                                                     
|                                                                                     
|Assets                                                                                |                                  |                     |            |               |            |              |            |                |            |   |            |           
|Cash and due from banks                                                               |                                  | $                   | 1,308,653  |               |            | $            | 737,262    |                |            | $ | 851,996    |           
|Interest-bearing deposits in other banks                                              |                                  |                     | 272,082    |               |            |              | 109,935    |                |            |   | 102,518    |           
|Federal funds sold and securities purchased
under agreements to resell                |                                  |                     | 351,925    |               |            |              | 233,000    |                |            |   | 65,000     |           
|Investment securities:                                                                |                                  |                     |            |               |            |              |            |                |            |   |            |           
|                                                                                      | Held-to-maturity                 |                     |            |              |            |              |            |               |            |   |            | 92,535     |           
|                                                                                      | Available-for-sale               |                     |            | 3,748,472     |            |              |            | 2,542,173      |            |   |            | 2,299,659  |           
|Loans and leases:                                                                     |                                  |                     |            |               |            |              |            |                |            |   |            |           
|                                                                                      | Loans and leases                 |                     |            | 24,141,513    |            |              |            | 15,223,732     |            |   |            | 14,912,144 |           
|                                                                                      | Less allowance for credit losses |                     |            | 385,190       |            |              |            | 194,654        |            |   |            | 188,717    |           
|                                                                                      |                                  |                     |            |               |            |              |            |                |            |   |            |           
|Net loans and leases                                                                  |                                  |                     | 23,756,323 |               |            |              | 15,029,078 |                |            |   | 14,723,427 |           
|                                                                                      |                                  |                     |            |               |            |              |            |                |            |   |            |           
|Premises and equipment, net                                                           |                                  |                     | 394,800    |               |            |              | 273,035    |                |            |   | 286,034    |           
|Customers acceptance liability                                                       |                                  |                     | 28,200     |               |            |              | 1,498      |                |            |   | 1,301      |           
|Core deposit intangible, net                                                          |                                  |                     | 216,174    |               |            |              | 110,239    |                |            |   | 70,783     |           
|Goodwill, net                                                                         |                                  |                     | 3,383,877  |               |            |              | 2,061,805  |                |            |   | 665,952    |           
|Other real estate owned and repossessed
personal property                             |                                  |                     | 15,523     |               |            |              | 22,321     |                |            |   | 22,610     |           
|Other assets                                                                          |                                  |                     | 780,471    |               |            |              | 526,168    |                |            |   | 572,398    |           
|                                                                                      |                                  |                     |            |               |            |              |            |                |            |   |            |           
|Total assets                                                                          |                                  | $                   | 34,256,500 |               |            | $            | 21,646,514 |                |            | $ | 19,754,213 |           
|                                                                                      |                                  |                     |            |               |            |              |            |                |            |   |            |           
|Liabilities and Stockholders Equity                                                  |                                  |                     |            |               |            |              |            |                |            |   |            |           
|Deposits:                                                                             |                                  |                     |            |               |            |              |            |                |            |   |            |           
|                                                                                      | Domestic:                        |                     |            |               |            |              |            |                |            |   |            |            |           
|                                                                                      |                                  | Interest-bearing    |            | $             | 16,930,452 |              |            | $              | 11,453,882 |   |            | $          | 11,149,942 | 
|                                                                                      |                                  | Noninterest-bearing |            |               | 6,779,247  |              |            |                | 3,407,209  |   |            |            | 3,255,521  | 
|                                                                                      | Foreign                          |                     |            | 647,163       |            |              |            | 472,960        |            |   |            | 263,267    |           
|                                                                                      |                                  |                     |            |               |            |              |            |                |            |   |            |           
|Total deposits                                                                        |                                  |                     | 24,356,862 |               |            |              | 15,334,051 |                |            |   | 14,668,730 |           
|                                                                                      |                                  |                     |            |               |            |              |            |                |            |   |            |           
|Federal funds purchased and securities sold
under agreements to repurchase            |                                  |                     | 617,470    |               |            |              | 713,384    |                |            |   | 881,526    |           
|Other short-term borrowings                                                           |                                  |                     | 1,549,713  |               |            |              | 240,936    |                |            |   | 146,370    |           
|Acceptances outstanding                                                               |                                  |                     | 28,200     |               |            |              | 1,498      |                |            |   | 1,301      |           
|Other liabilities                                                                     |                                  |                     | 1,187,070  |               |            |              | 891,641    |                |            |   | 886,292    |           
|Long-term debt                                                                        |                                  |                     | 2,325,513  |               |            |              | 2,197,954  |                |            |   | 780,067    |           
|Guaranteed preferred beneficial interests
in Companys junior subordinated debentures |                                  |                     | 259,893    |               |            |              | 265,130    |                |            |   | 250,000    |           
|                                                                                      |                                  |                     |            |               |            |              |            |                |            |   |            |           
|Total liabilities                                                                     |                                  | $                   | 30,324,721 |               |            | $            | 19,644,594 |                |            | $ | 17,614,286 |           
|                                                                                      |                                  |                     |            |               |            |              |            |                |            |   |            |           

The accompanying notes are an integral part of these consolidated financial statements.

2



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BancWest Corporation and SubsidiariesCONSOLIDATED BALANCE SHEETS, Continued(Unaudited)

|                                           |                                                                                                                                   |                                                                                                                    |            |           |                                       |   |              |           |               |   |            |           |        |  | 
|------------------------------------------ | --------------------------------------------------------------------------------------------------------------------------------- | ------------------------------------------------------------------------------------------------------------------ | ---------- | --------- | ------------------------------------- | - | ------------ | --------- | ------------- | - | ---------- | --------- | ------ |  | 
|                                           |                                                                                                                                   |                                                                                                                    |            |           | September 30,                         |   | December 31, |           | September 30,
|                                           |                                                                                                                                   |                                                                                                                    |            |           | 2002                                  |   | 2001         |           | 2001         
|                                           |                                                                                                                                   |                                                                                                                    |            |           |                                       |   |              |           |              
|                                           |                                                                                                                                   |                                                                                                                    |            |           | (in thousands, except per share data)
|                                          
|                                          
|                                          
|                                          
|Stockholders equity:                      |                                                                                                                                   |                                                                                                                    |            |           |                                       |   |              |           |               |   |            |          
|                                           | Class A common stock, par value $.01 per share at September 30,
2002 and December 31, 2001 and $1 per share at September 30, 2001 |                                                                                                                    |            |           |                                       |   |              |           |               |   |            |           |       
|                                           |                                                                                                                                   | Authorized  150,000,000 shares at September 30, 2002,
December 31, 2001 and September 30, 2001                    |            |           |                                       |   |              |           |               |   |            |           |        | 
|                                           |                                                                                                                                   | Issued
 85,759,123 shares at September 30, 2002 and 56,074,874 shares at December 31, 2001 and September 30, 2001 |            | $         | 858                                   |   |              | $         | 561           |   |            | $         | 56,075 | 
|                                           | Common stock, par value $1 per share                                                                                              |                                                                                                                    |            |           |                                       |   |              |           |               |   |            |           |       
|                                           |                                                                                                                                   | Authorized  400,000,000 shares at September 30, 2001                                                              |            |           |                                       |   |              |           |               |   |            |           |        | 
|                                           |                                                                                                                                   | Issued  71,105,402 shares at September 30, 2001                                                                   |            |           |                                      |   |              |           |              |   |            |           | 71,105 | 
|                                           | Surplus                                                                                                                           |                                                                                                                    |            | 3,587,403 |                                       |   |              | 1,985,275 |               |   |            | 1,127,633 |       
|                                           | Retained earnings                                                                                                                 |                                                                                                                    |            | 267,355   |                                       |   |              | 8,302     |               |   |            | 890,577   |       
|                                           | Accumulated other comprehensive income, net                                                                                       |                                                                                                                    |            | 76,163    |                                       |   |              | 7,782     |               |   |            | 32,282    |       
|                                           | Treasury stock, at cost  2,347,943 shares at September 30, 2001                                                                  |                                                                                                                    |            |          |                                       |   |              |          |               |   |            | (37,745   | )     
|                                           |                                                                                                                                   |                                                                                                                    |            |           |                                       |   |              |           |               |   |            |          
|Total
stockholders equity                 |                                                                                                                                   |                                                                                                                    | 3,931,779  |           |                                       |   | 2,001,920    |           |               |   | 2,139,927  |          
|                                           |                                                                                                                                   |                                                                                                                    |            |           |                                       |   |              |           |               |   |            |          
|Total
liabilities and stockholders equity |                                                                                                                                   | $                                                                                                                  | 34,256,500 |           |                                       | $ | 21,646,514   |           |               | $ | 19,754,213 |          
|                                           |                                                                                                                                   |                                                                                                                    |            |           |                                       |   |              |           |               |   |            |          

The accompanying notes are an integral part of these consolidated financial statements.

3



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BancWest Corporation and Subsidiaries




CONSOLIDATED STATEMENTS OF INCOME(Unaudited)


|                                                                                        |                                                       |   |                    |         |                   |   |                |         |      |   |         |           |  |   |         |           | 
|--------------------------------------------------------------------------------------- | ----------------------------------------------------- | - | ------------------ | ------- | ----------------- | - | -------------- | ------- | ---- | - | ------- | --------- |  | - | ------- | --------- | 
|                                                                                        |                                                       |   | Three Months Ended |         | Nine Months Ended
|                                                                                        |                                                       |   | September 30,      |         | September 30,    
|                                                                                        |                                                       |   |                    |         |                  
|                                                                                        |                                                       |   | 2002               |         | 2001              |   | 2002           |         | 2001
|                                                                                        |                                                       |   |                    |         |                   |   |                |         |     
|                                                                                        |                                                       |   |                    |         |                   |   | (in thousands) |         |      |   |        
|                                                                                       
|                                                                                       
|                                                                                       
|                                                                                       
|Interest income                                                                         |                                                       |   |                    |         |                   |   |                |         |      |   |         |           |  |   |         |          
|Interest and fees on loans                                                              |                                                       | $ | 365,970            |         |                   | $ | 255,318        |         |      | $ | 992,207 |           |  | $ | 775,160 |          
|Lease financing income                                                                  |                                                       |   | 34,894             |         |                   |   | 37,623         |         |      |   | 107,860 |           |  |   | 109,591 |          
|Interest on investment securities:                                                      |                                                       |   |                    |         |                   |   |                |         |      |   |         |           |  |   |         |          
|                                                                                        | Taxable interest income                               |   |                    | 41,012  |                   |   |                | 35,087  |      |   |         | 114,973   |  |   |         | 101,838   | 
|                                                                                        | Exempt from Federal income taxes                      |   |                    | 126     |                   |   |                | 118     |      |   |         | 360       |  |   |         | 355       | 
|Other interest income                                                                   |                                                       |   | 2,546              |         |                   |   | 3,184          |         |      |   | 6,122   |           |  |   | 16,797  |          
|                                                                                        |                                                       |   |                    |         |                   |   |                |         |      |   |         |           |  |   |         |          
|                                                                                        | Total interest income                                 |   |                    | 444,548 |                   |   |                | 331,330 |      |   |         | 1,221,522 |  |   |         | 1,003,741 | 
|                                                                                        |                                                       |   |                    |         |                   |   |                |         |      |   |         |           |  |   |         |          
|Interest expense                                                                        |                                                       |   |                    |         |                   |   |                |         |      |   |         |           |  |   |         |          
|Deposits                                                                                |                                                       |   | 76,477             |         |                   |   | 92,405         |         |      |   | 218,884 |           |  |   | 318,687 |          
|Short-term borrowings                                                                   |                                                       |   | 10,430             |         |                   |   | 8,571          |         |      |   | 26,486  |           |  |   | 28,683  |          
|Long-term debt                                                                          |                                                       |   | 36,907             |         |                   |   | 18,953         |         |      |   | 109,044 |           |  |   | 56,909  |          
|                                                                                        |                                                       |   |                    |         |                   |   |                |         |      |   |         |           |  |   |         |          
|                                                                                        | Total interest expense                                |   |                    | 123,814 |                   |   |                | 119,929 |      |   |         | 354,414   |  |   |         | 404,279   | 
|                                                                                        |                                                       |   |                    |         |                   |   |                |         |      |   |         |           |  |   |         |          
|                                                                                        | Net interest income                                   |   |                    | 320,734 |                   |   |                | 211,401 |      |   |         | 867,108   |  |   |         | 599,462   | 
|Provision for credit losses                                                             |                                                       |   | 26,300             |         |                   |   | 15,950         |         |      |   | 69,209  |           |  |   | 74,300  |          
|                                                                                        |                                                       |   |                    |         |                   |   |                |         |      |   |         |           |  |   |         |          
|                                                                                        | Net interest income after
provision for credit losses |   |                    | 294,434 |                   |   |                | 195,451 |      |   |         | 797,899   |  |   |         | 525,162   | 
|                                                                                        |                                                       |   |                    |         |                   |   |                |         |      |   |         |           |  |   |         |          
|Noninterest income                                                                      |                                                       |   |                    |         |                   |   |                |         |      |   |         |           |  |   |         |          
|Service charges on deposit accounts                                                     |                                                       |   | 39,183             |         |                   |   | 22,575         |         |      |   | 101,718 |           |  |   | 65,584  |          
|Trust and investment services income                                                    |                                                       |   | 9,883              |         |                   |   | 7,780          |         |      |   | 28,275  |           |  |   | 24,990  |          
|Other service charges and fees                                                          |                                                       |   | 34,032             |         |                   |   | 19,983         |         |      |   | 89,442  |           |  |   | 58,555  |          
|Securities gains, net                                                                   |                                                       |   | 282                |         |                   |   | 1              |         |      |   | 966     |           |  |   | 61,237  |          
|Other                                                                                   |                                                       |   | 8,259              |         |                   |   | 10,822         |         |      |   | 22,291  |           |  |   | 29,090  |          
|                                                                                        |                                                       |   |                    |         |                   |   |                |         |      |   |         |           |  |   |         |          
|                                                                                        | Total noninterest income                              |   |                    | 91,639  |                   |   |                | 61,161  |      |   |         | 242,692   |  |   |         | 239,456   | 
|                                                                                        |                                                       |   |                    |         |                   |   |                |         |      |   |         |           |  |   |         |          
|Noninterest expense                                                                     |                                                       |   |                    |         |                   |   |                |         |      |   |         |           |  |   |         |          
|Salaries and wages                                                                      |                                                       |   | 89,486             |         |                   |   | 52,283         |         |      |   | 236,043 |           |  |   | 153,050 |          
|Employee benefits                                                                       |                                                       |   | 28,340             |         |                   |   | 18,086         |         |      |   | 87,497  |           |  |   | 54,903  |          
|Occupancy expense                                                                       |                                                       |   | 24,008             |         |                   |   | 16,676         |         |      |   | 63,117  |           |  |   | 49,917  |          
|Outside services                                                                        |                                                       |   | 17,472             |         |                   |   | 11,878         |         |      |   | 48,532  |           |  |   | 35,380  |          
|Intangible amortization                                                                 |                                                       |   | 5,763              |         |                   |   | 11,129         |         |      |   | 14,283  |           |  |   | 32,549  |          
|Equipment expense                                                                       |                                                       |   | 14,043             |         |                   |   | 7,638          |         |      |   | 36,252  |           |  |   | 22,728  |          
|Restructuring and integration costs                                                     |                                                       |   | 6,213              |         |                   |   |               |         |      |   | 14,966  |           |  |   | 3,935   |          
|Other                                                                                   |                                                       |   | 39,039             |         |                   |   | 30,994         |         |      |   | 111,592 |           |  |   | 94,026  |          
|                                                                                        |                                                       |   |                    |         |                   |   |                |         |      |   |         |           |  |   |         |          
|                                                                                        | Total noninterest expense                             |   |                    | 224,364 |                   |   |                | 148,684 |      |   |         | 612,282   |  |   |         | 446,488   | 
|                                                                                        |                                                       |   |                    |         |                   |   |                |         |      |   |         |           |  |   |         |          
|Income before income taxes                                                              |                                                       |   | 161,709            |         |                   |   | 107,928        |         |      |   | 428,309 |           |  |   | 318,130 |          
|Provision for income taxes                                                              |                                                       |   | 64,651             |         |                   |   | 44,279         |         |      |   | 169,256 |           |  |   | 126,793 |          
|                                                                                        |                                                       |   |                    |         |                   |   |                |         |      |   |         |           |  |   |         |          
|Net income                                                                              |                                                       | $ | 97,058             |         |                   | $ | 63,649         |         |      | $ | 259,053 |           |  | $ | 191,337 |          
|                                                                                        |                                                       |   |                    |         |                   |   |                |         |      |   |         |           |  |   |         |          
|                                                                                       
|The accompanying notes are an integral part of these consolidated financial statements.



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##### Table of Contents



BancWest Corporation and Subsidiaries




CONSOLIDATED STATEMENTS OF
CHANGES IN STOCKHOLDERS EQUITY(Unaudited)


|                                                      |                                                                                                                |   |         |   |        |   |         |   |          |   |                                       |   |               |   |          |         |       |   |             |        |  |   |         |   |  |   |           |         | 
|----------------------------------------------------- | -------------------------------------------------------------------------------------------------------------- | - | ------- | - | ------ | - | ------- | - | -------- | - | ------------------------------------- | - | ------------- | - | -------- | ------- | ----- | - | ----------- | ------ |  | - | ------- | - |  | - | --------- | ------- | 
|                                                      |                                                                                                                |   |         |   |        |   |         |   |          |   |                                       |   |               |   |          |         |       |   | Accumulated |        |  |   |         |   |  |   |          
|                                                      |                                                                                                                |   | Class A |   |        |   |         |   |          |   |                                       |   |               |   |          |         | Other |   |             |        |  |   |         |   | 
|                                                      |                                                                                                                |   | Common  |   | Common |   |         |   |          |   | Retained                              |   | Comprehensive |   | Treasury |         |       |   |            
|                                                      |                                                                                                                |   | Stock   |   | Stock  |   | Surplus |   | Earnings |   | Income, net                           |   | Stock         |   | Total   
|                                                      |                                                                                                                |   |         |   |        |   |         |   |          |   |                                       |   |               |   |         
|                                                      |                                                                                                                |   |         |   |        |   |         |   |          |   | (in thousands, except per share data) |   |               |   |         
|                                                     
|                                                     
|                                                     
|                                                     
|Balance, December 31, 2001                            |                                                                                                                | $ | 561     |   |        | $ |        |   |          | $ | 1,985,275                             |   |               | $ | 8,302    |         |       | $ | 7,782       |        |  | $ |        |   |  | $ | 2,001,920 |        
|Comprehensive income:                                 |                                                                                                                |   |         |   |        |   |         |   |          |   |                                       |   |               |   |          |         |       |   |             |        |  |   |         |   |  |   |           |        
|                                                      | Net income                                                                                                     |   |         |  |        |   |         |  |          |   |                                       |  |               |   |          | 259,053 |       |   |             |       |  |   |         |  |  |   |           | 259,053 | 
|                                                      | Unrealized valuation adjustment,
net of tax and reclassification
adjustment                                    |   |         |  |        |   |         |  |          |   |                                       |  |               |   |          |        |       |   |             | 38,384 |  |   |         |  |  |   |           | 38,384  | 
|                                                      | Change in fair value of cashflow type-hedge derivative
instruments, net of tax
and reclassification
adjustment |   |         |  |        |   |         |  |          |   |                                       |  |               |   |          |        |       |   |             | 29,997 |  |   |         |  |  |   |           | 29,997  | 
|                                                      |                                                                                                                |   |         |   |        |   |         |   |          |   |                                       |   |               |   |          |         |       |   |             |        |  |   |         |   |  |   |           |        
|                                                      | Comprehensive income                                                                                           |   |         |  |        |   |         |  |          |   |                                       |  |               |   |          |        |       |   |             | 68,381 |  |   |         |  |  |   |           | 68,381  | 
|                                                      |                                                                                                                |   |         |   |        |   |         |   |          |   |                                       |   |               |   |          |         |       |   |             |        |  |   |         |   |  |   |           |        
|Issuance of Class A common stock                      |                                                                                                                |   | 297     |   |        |   |        |   |          |   | 1,599,703                             |   |               |   |         |         |       |   |            |        |  |   |        |   |  |   | 1,600,000 |        
|Discounted Share Purchase Plan                        |                                                                                                                |   |        |   |        |   |        |   |          |   | 2,425                                 |   |               |   |         |         |       |   |            |        |  |   |        |   |  |   | 2,425     |        
|                                                      |                                                                                                                |   |         |   |        |   |         |   |          |   |                                       |   |               |   |          |         |       |   |             |        |  |   |         |   |  |   |           |        
|Balance, September 30, 2002                           |                                                                                                                | $ | 858     |   |        | $ |        |   |          | $ | 3,587,403                             |   |               | $ | 267,355  |         |       | $ | 76,163      |        |  | $ |        |   |  | $ | 3,931,779 |        
|                                                      |                                                                                                                |   |         |   |        |   |         |   |          |   |                                       |   |               |   |          |         |       |   |             |        |  |   |         |   |  |   |           |        
|Balance, December 31, 2000                            |                                                                                                                | $ | 56,075  |   |        | $ | 71,041  |   |          | $ | 1,125,652                             |   |               | $ | 770,350  |         |       | $ | 7,601       |        |  | $ | (41,226 | ) |  | $ | 1,989,493 |        
|Comprehensive income:                                 |                                                                                                                |   |         |   |        |   |         |   |          |   |                                       |   |               |   |          |         |       |   |             |        |  |   |         |   |  |   |           |        
|                                                      | Net income                                                                                                     |   |         |  |        |   |         |  |          |   |                                       |  |               |   |          | 191,337 |       |   |             |       |  |   |         |  |  |   |           | 191,337 | 
|                                                      | Unrealized valuation adjustment,
net of tax and reclassification
adjustment                                    |   |         |  |        |   |         |  |          |   |                                       |  |               |   |          |        |       |   |             | 24,681 |  |   |         |  |  |   |           | 24,681  | 
|                                                      |                                                                                                                |   |         |   |        |   |         |   |          |   |                                       |   |               |   |          |         |       |   |             |        |  |   |         |   |  |   |           |        
|                                                      | Comprehensive income                                                                                           |   |         |  |        |   |         |  |          |   |                                       |  |               |   |          | 191,337 |       |   |             | 24,681 |  |   |         |  |  |   |           | 216,018 | 
|                                                      |                                                                                                                |   |         |   |        |   |         |   |          |   |                                       |   |               |   |          |         |       |   |             |        |  |   |         |   |  |   |           |        
|Issuance of common stock                              |                                                                                                                |   |        |   |        |   | 64      |   |          |   | (95                                   | ) |               |   |         |         |       |   |            |        |  |   |        |   |  |   | (31       | )      
|Incentive Plan for Key Executives                     |                                                                                                                |   |        |   |        |   |        |   |          |   | 30                                    |   |               |   |         |         |       |   |            |        |  |   |        |   |  |   | 30        |        
|Issuance of treasury stock under
Stock Incentive Plan |                                                                                                                |   |        |   |        |   |        |   |          |   | 2,046                                 |   |               |   |         |         |       |   |            |        |  |   | 3,481   |   |  |   | 5,527     |        
|Cash dividends ($.57 per share)                       |                                                                                                                |   |        |   |        |   |        |   |          |   |                                      |   |               |   | (71,110  | )       |       |   |            |        |  |   |        |   |  |   | (71,110   | )      
|                                                      |                                                                                                                |   |         |   |        |   |         |   |          |   |                                       |   |               |   |          |         |       |   |             |        |  |   |         |   |  |   |           |        
|Balance, September 30, 2001                           |                                                                                                                | $ | 56,075  |   |        | $ | 71,105  |   |          | $ | 1,127,633                             |   |               | $ | 890,577  |         |       | $ | 32,282      |        |  | $ | (37,745 | ) |  | $ | 2,139,927 |        
|                                                      |                                                                                                                |   |         |   |        |   |         |   |          |   |                                       |   |               |   |          |         |       |   |             |        |  |   |         |   |  |   |           |        

The accompanying notes are an integral part of these consolidated financial statements.

5



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##### Table of Contents



BancWest Corporation and Subsidiaries




CONSOLIDATED STATEMENTS OF CASH FLOWS(Unaudited)


|                                                                         |                                                                                   |                                                                                                       |                                            |         |                                 |         |          |         |            |         |  
|------------------------------------------------------------------------ | --------------------------------------------------------------------------------- | ----------------------------------------------------------------------------------------------------- | ------------------------------------------ | ------- | ------------------------------- | ------- | -------- | ------- | ---------- | ------- | -
|                                                                         |                                                                                   |                                                                                                       |                                            |         | Nine Months Ended September 30,
|                                                                         |                                                                                   |                                                                                                       |                                            |         |                                
|                                                                         |                                                                                   |                                                                                                       |                                            |         | 2002                            |         | 2001    
|                                                                         |                                                                                   |                                                                                                       |                                            |         |                                 |         |         
|                                                                         |                                                                                   |                                                                                                       |                                            |         | (in thousands)                 
|                                                                        
|                                                                        
|                                                                        
|                                                                        
|Cash flows from operating activities:                                    |                                                                                   |                                                                                                       |                                            |         |                                 |         |          |        
|                                                                         | Net income                                                                        |                                                                                                       | $                                          | 259,053 |                                 |         | $        | 191,337 |           
|                                                                         | Adjustments to reconcile net income to net cash
provided by operating activities: |                                                                                                       |                                            |         |                                 |         |          |         |           
|                                                                         |                                                                                   |                                                                                                       | Provision for credit losses                |         |                                 | 69,209  |          |         |            | 74,300  |  
|                                                                         |                                                                                   |                                                                                                       | Depreciation and amortization              |         |                                 | 46,837  |          |         |            | 58,618  |  
|                                                                         |                                                                                   |                                                                                                       | Income taxes                               |         |                                 | 156,843 |          |         |            | 89,153  |  
|                                                                         |                                                                                   |                                                                                                       | Decrease (increase) in interest receivable |         |                                 | (45,483 | )        |         |            | 7,645   |  
|                                                                         |                                                                                   |                                                                                                       | Increase (decrease) in interest payable    |         |                                 | 28,658  |          |         |            | (42,857 | )
|                                                                         |                                                                                   |                                                                                                       | Increase in prepaid expenses               |         |                                 | (30,712 | )        |         |            | (6,595  | )
|                                                                         |                                                                                   |                                                                                                       | Restructuring and integration costs        |         |                                 | 14,966  |          |         |            | 3,935   |  
|                                                                         |                                                                                   |                                                                                                       | Other                                      |         |                                 | (17,326 | )        |         |            | (2,688  | )
|                                                                         |                                                                                   |                                                                                                       |                                            |         |                                 |         |          |        
|Net cash provided by operating activities                                |                                                                                   |                                                                                                       | 482,045                                    |         |                                 |         | 372,848  |        
|                                                                         |                                                                                   |                                                                                                       |                                            |         |                                 |         |          |        
|Cash flows from investing activities:                                    |                                                                                   |                                                                                                       |                                            |         |                                 |         |          |        
|                                                                         |                                                                                   | Net increase in interest-bearing deposits in other banks                                              |                                            |         | (162,147                        | )       |          |         | (96,546    | )      
|                                                                         |                                                                                   | Net decrease (increase) in Federal funds sold and
securities purchased under agreements to resell     |                                            |         | (82,925                         | )       |          |         | 467,100    |        
|                                                                         |                                                                                   | Proceeds from maturity of held-to-maturity
investment securities                                      |                                            |         |                                |         |          |         | 33,321     |        
|                                                                         |                                                                                   | Purchase of held-to-maturity investment securities                                                    |                                            |         |                                |         |          |         | (32,916    | )      
|                                                                         |                                                                                   | Proceeds from sale of available-for-sale investment securities                                        |                                            |         | 24,908                          |         |          |         |           |        
|                                                                         |                                                                                   | Proceeds from maturity of available-for-sale investment
securities                                    |                                            |         | 674,941                         |         |          |         | 1,175,871  |        
|                                                                         |                                                                                   | Purchase of available-for-sale investment securities                                                  |                                            |         | (1,319,598                      | )       |          |         | (1,475,902 | )      
|                                                                         |                                                                                   | Proceeds from sale of Concord stock                                                                   |                                            |         |                                |         |          |         | 45,359     |        
|                                                                         |                                                                                   | Purchase of bank owned life insurance                                                                 |                                            |         |                                |         |          |         | (107,459   | )      
|                                                                         |                                                                                   | Net increase in loans and leases to customers                                                         |                                            |         | (277,088                        | )       |          |         | (774,030   | )      
|                                                                         |                                                                                   | Net cash provided by (paid for) acquisitions                                                          |                                            |         | (1,793,000                      | )       |          |         | 632,965    |        
|                                                                         |                                                                                   | Purchase of premises and equipment                                                                    |                                            |         | (23,349                         | )       |          |         | (15,898    | )      
|                                                                         |                                                                                   | Other                                                                                                 |                                            |         | (345                            | )       |          |         | (1,256     | )      
|                                                                         |                                                                                   |                                                                                                       |                                            |         |                                 |         |          |        
|Net cash provided by (used) in investing activities                      |                                                                                   |                                                                                                       | (2,958,603                                 | )       |                                 |         | (149,391 | )      
|                                                                         |                                                                                   |                                                                                                       |                                            |         |                                 |         |          |        
|Cash flows from financing activities:                                    |                                                                                   |                                                                                                       |                                            |         |                                 |         |          |        
|                                                                         |                                                                                   | Net increase (decrease) in deposits                                                                   |                                            |         | 674,764                         |         |          |         | (685,948   | )      
|                                                                         |                                                                                   | Net increase (decrease) in Federal funds purchased and securities
sold under agreements to repurchase |                                            |         | (404,914                        | )       |          |         | 303,906    |        
|                                                                         |                                                                                   | Net increase in other short-term borrowings                                                           |                                            |         | 1,155,777                       |         |          |         | 54,922     |        
|                                                                         |                                                                                   | (Payments on) proceeds from long-term debt, net                                                       |                                            |         | 22,322                          |         |          |         | 147,644    |        
|                                                                         |                                                                                   | Cash dividends paid                                                                                   |                                            |         |                                |         |          |         | (71,110    | )      
|                                                                         |                                                                                   | Proceeds from issuance of Class A common stock                                                        |                                            |         | 1,600,000                       |         |          |         |           |        
|                                                                         |                                                                                   | Payments on exercise of common stock options                                                          |                                            |         |                                |         |          |         | (31        | )      
|                                                                         |                                                                                   | Proceeds from issuance of treasury stock                                                              |                                            |         |                                |         |          |         | 5,557      |        
|                                                                         |                                                                                   |                                                                                                       |                                            |         |                                 |         |          |        
|Net cash provided by (used in) financing activities                      |                                                                                   |                                                                                                       | 3,047,949                                  |         |                                 |         | (245,060 | )      
|                                                                         |                                                                                   |                                                                                                       |                                            |         |                                 |         |          |        
|Net increase (decrease) in cash and due from banks                       |                                                                                   |                                                                                                       | 571,391                                    |         |                                 |         | (21,603  | )      
|Cash and due from banks at beginning of period                           |                                                                                   |                                                                                                       | 737,262                                    |         |                                 |         | 873,599  |        
|                                                                         |                                                                                   |                                                                                                       |                                            |         |                                 |         |          |        
|Cash and due from banks at end of period                                 |                                                                                   | $                                                                                                     | 1,308,653                                  |         |                                 | $       | 851,996  |        
|                                                                         |                                                                                   |                                                                                                       |                                            |         |                                 |         |          |        
|Supplemental disclosures:                                                |                                                                                   |                                                                                                       |                                            |         |                                 |         |          |        
|                                                                         |                                                                                   | Interest paid                                                                                         |                                            | $       | 325,756                         |         |          | $       | 440,600    |        
|                                                                         |                                                                                   |                                                                                                       |                                            |         |                                 |         |          |        
|                                                                         |                                                                                   | Income taxes paid                                                                                     |                                            | $       | 12,413                          |         |          | $       | 37,640     |        
|                                                                         |                                                                                   |                                                                                                       |                                            |         |                                 |         |          |        
|Supplemental schedule of noncash investing
and financing activities:     |                                                                                   |                                                                                                       |                                            |         |                                 |         |          |        
|                                                                         |                                                                                   | Loans converted into other real estate owned and
repossessed personal property                        |                                            | $       | 13,131                          |         |          | $       | 7,467      |        
|                                                                         |                                                                                   |                                                                                                       |                                            |         |                                 |         |          |        
|                                                                         |                                                                                   | Loans made to facilitate the sale of other real estate owned                                          |                                            | $       | 7,765                           |         |          | $       | 3,838      |        
|                                                                         |                                                                                   |                                                                                                       |                                            |         |                                 |         |          |        
|In connection with acquisitions, the following
liabilities were assumed: |                                                                                   |                                                                                                       |                                            |         |                                 |         |          |        
|                                                                         |                                                                                   | Fair value of assets acquired                                                                         |                                            | $       | 10,959,000                      |         |          | $       | 14,682     |        
|                                                                         |                                                                                   | Cash (paid) received                                                                                  |                                            |         | (1,793,000                      | )       |          |         | 632,965    |        
|                                                                         |                                                                                   |                                                                                                       |                                            |         |                                 |         |          |        
|Liabilities assumed                                                      |                                                                                   | $                                                                                                     | 9,166,000                                  |         |                                 | $       | 647,647  |        
|                                                                         |                                                                                   |                                                                                                       |                                            |         |                                 |         |          |        

The accompanying notes are an integral part of these consolidated financial statements.

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##### Table of Contents



BancWest Corporation and Subsidiaries




NOTES TO CONSOLIDATED FINANCIAL STATEMENTS(Unaudited)


1.    Summary of Significant Accounting Policies

The accounting and reporting policies of BancWest Corporation and
Subsidiaries (BancWest, the Company or we/our) conform with generally
accepted accounting principles and practices within the banking industry. The
following is a summary of significant accounting policies:

Consolidation

The consolidated financial statements of the Company include the accounts
of BancWest Corporation (BWE) and its wholly-owned subsidiaries: Bank of the
West and its wholly-owned subsidiaries (Bank of the West); First Hawaiian
Bank and its wholly-owned subsidiaries (First Hawaiian); FHL Lease Holding
Company, Inc. and its wholly-owned subsidiary; First Hawaiian Capital I;
BancWest Capital I; and FHI International, Inc. All significant intercompany
balances and transactions have been eliminated in consolidation. In the
opinion of management, all adjustments (which included only normal recurring
adjustments) necessary for a fair presentation are reflected in the
Consolidated Financial Statements.

Reclassifications

The 2001 Consolidated Financial Statements were reclassified in certain
respects to conform to the 2002 presentation. Such reclassifications did not
have a material effect on the Consolidated Financial Statements.

2.    New Pronouncements

In September 2001, the Financial Accounting Standards Board (FASB)
issued Statement of Financial Accounting Standards (SFAS) No. 141, Business
Combinations. SFAS No. 141, which supersedes Accounting Principles Board
(APB) Opinion No. 16, Business Combinations, addresses financial accounting
and reporting for business combinations. All business combinations in the scope
of SFAS No. 141 are to be accounted for using the purchase method of
accounting. Also included in the provisions of SFAS No. 141 are new criteria
for identifying and recognizing intangible assets apart from goodwill and
additional disclosure requirements concerning the primary reasons for a
business combination and the allocation of the purchase price for the assets
acquired and liabilities assumed. The provisions of SFAS No. 141 apply to all
business combinations initiated after June 30, 2001, as well as to all business
combinations accounted for using the purchase method of accounting for which
the date of acquisition is July 1, 2001 or later. The Company adopted the
provisions of SFAS No. 141 concurrent with the acquisition of BancWest by BNP
Paribas (the BNP Paribas Merger). See further discussion in Note 3.

In July 2001, the FASB also issued SFAS No. 142, Goodwill and Other
Intangible Assets. SFAS No. 142, which supersedes APB Opinion No. 17,
Intangible Assets, addresses the accounting and reporting for goodwill and
other intangible assets acquired individually or with a group of other assets
(but not those acquired in a business combination) at and subsequent to
acquisition. Under the provisions of SFAS No. 142, goodwill and certain other
intangible assets which do not possess finite lives will no longer be amortized
into net income over an estimated life but rather will be tested at least
annually for impairment based on specific guidance provided in the new
standard. Intangible assets determined to have finite lives will continue to be
amortized over their estimated useful lives and also continue to be subject to
impairment testing. Application of the non-amortization provisions of this
statement was effective with the BNP Paribas Merger. The remaining provisions
of SFAS No. 142 were adopted by the Company effective January 1, 2002.
Goodwill and other indefinite lived intangible assets were subjected to a
transitional impairment test during the quarter ended March 31, 2002. As of
March 31, 2002, we had no impairment of our goodwill. Had we amortized the
goodwill arising from the BNP Paribas Merger, pre-tax amortization of goodwill
of approximately $77.3 million (assuming an amortization period of 20 years)
would have been recorded on the Companys consolidated financial statements in
the first nine months of 2002. In addition, the year-to-date pre-tax
amortization of goodwill related to the acquisition of United California Bank
(UCB) from March 15, 2002, which would have amounted to $35.8 million, was
not recorded.

The following table reflects consolidated net income adjusted as though
the adoption of SFAS Nos. 141 and 142 occurred as of the beginning of the three
and nine months periods ended September 30, 2002 and 2001:

|                                 |                       |  |                |         |  |  |   |         | 
|-------------------------------- | --------------------- |  | -------------- | ------- |  |  | - | ------- | 
|Three months ended September 30, | 2002                  |  | 2001          
|                                 |                       |  |               
|                                 |                       |  | (in thousands)
|                                
|                                
|                                
|                                
|Net Income:                      |                       |  |                |         |  |  |   |        
|                                 | As reported           |  | $              | 97,058  |  |  | $ | 63,649  | 
|                                 | Goodwill amortization |  |                |        |  |  |   | 7,354   | 
|                                 |                       |  |               
|                                 | As adjusted           |  | $              | 97,058  |  |  | $ | 71,003  | 
|                                 |                       |  |                |         |  |  |   |        
|                                
|Nine months ended September 30,  | 2002                  |  | 2001          
|                                 |                       |  |               
|                                 |                       |  | (in thousands)
|                                
|                                
|                                
|                                
|Net Income:                      |                       |  |                |         |  |  |   |        
|                                 | As reported           |  | $              | 259,053 |  |  | $ | 191,337 | 
|                                 | Goodwill amortization |  |                |        |  |  |   | 22,060  | 
|                                 |                       |  |               
|                                 | As adjusted           |  | $              | 259,053 |  |  | $ | 213,397 | 
|                                 |                       |  |                |         |  |  |   |        

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##### Table of Contents



BancWest Corporation and SubsidiariesNOTES TO CONSOLIDATED FINANCIAL STATEMENTS(Unaudited)

The estimated annual amortization expense for finite life intangible
assets, primarily core deposit intangibles arising from the BNP Paribas Merger
and the acquisition of UCB, is approximately $23 million (pre-tax) for each of
the years from 2003 to 2007.

Goodwill increased due to the acquisition of UCB on March 15, 2002. The
additional $1.3 billion of goodwill is reported in the Bank of the West
operating segment.

In October 2001, the FASB issued SFAS No. 144, Accounting for the
Impairment or Disposal of Long-Lived Assets. SFAS No. 144 supersedes SFAS No.
121, Accounting for the Impairment of Long-Lived Assets and for Long-Lived
Assets to Be Disposed Of. However, SFAS No. 144 retains the fundamental
provisions of SFAS No. 121 for the recognition and measurement of the
impairment of long-lived assets to be held and used and the measurement of
long-lived assets to be disposed of by sale. The scope of SFAS No. 144 excludes
goodwill and other non-amortizable intangible assets to be held and used as
well as goodwill associated with a reporting unit to be disposed of. The
provisions of SFAS No. 144 are effective for fiscal years beginning after
December 15, 2001. The adoption of SFAS No. 144 did not have a material effect
on the Companys Consolidated Financial Statements.

In September 2002, the FASB issued SFAS No. 146, Accounting for Costs
Associated with Exit or Disposal Activities. This Statement addresses
financial accounting and reporting for costs associated with exit or disposal
activities and nullifies Emerging Issues Task Force (EITF) Issue No. 94-3,
Liability Recognition for Certain Employee Termination Benefits and Other
Costs to Exit an Activity (including Certain Costs Incurred in a
Restructuring). The principal difference between SFAS No. 146 and EITF Issue
No. 94-3 relates to its requirements for recognition of a liability for a cost
associated with an exit or disposal activity. SFAS No. 146 requires that a
liability for a cost associated with an exit or disposal activity be recognized
when the liability is incurred. Under EITF Issue No. 94-3, a liability for an
exit cost as defined in EITF Issue No. 94-3 was recognized at the date of an
entitys commitment to an exit plan. The provisions of SFAS No. 146 are
effective for exit or disposal activities that are initiated after December 31,
2002, with early application encouraged. The adoption of SFAS No. 146 is not
expected to have a material effect on the Companys Consolidated Financial
Statements.

On July 1, 2002, the FASB issued an Exposure Draft (ED) of a proposed
interpretation entitled Consolidation of Certain Special-Purpose Entities, an
Interpretation of ARB 51. If issued in a final interpretation, the provisions
of the ED would establish new guidance on the accounting and reporting for the
consolidation of Special-Purpose Entities (SPEs). The primary objective of
the ED is to require that an entity that has a controlling financial interest
in an SPE consolidate the SPEs assets, liabilities and results of operations
in the entitys own financial statements. If issued as is, the provisions of
the ED may apply to the REFIRST, Inc. SPE that was created by a non-related
third party to construct, finance and hold title to our administrative
headquarters building (see our 2001 Annual Report on Form 10-K, page 35
Special Purpose Entities for additional information). The provisions of the
final interpretation would apply beginning April 1, 2003. We are in the
process of determining the financial impact of the adoption of this ED.
However, if the proposal is adopted in substantially the same form, we would
expect to record approximately $160 million of additional premises and
equipment and $190 million in debt on the Consolidated Balance Sheets. In
addition, we would record approximately $4 million in additional depreciation
expense annually.

In October 2002, the FASB issued SFAS No. 147, Acquisitions of Certain
Financial Institutions, an Amendment of FASB Statements No. 72 and 144 and FASB
Interpretation No. 9. SFAS No. 147 requires that entities account for the
acquisition of all or part of a financial institution in accordance with SFAS
No. 141, Business Combinations. As a result, these acquisitions are removed
from the scope of SFAS No. 72, Accounting for Certain Acquisitions of Banking
or Thrift Institutions and FASB Interpretation No. 9, Applying APB Opinions
No. 16 and 17 When a Savings and Loan Association or a Similar Institution is
Acquired in a Business Combination Accounted for by the Purchase Method. SFAS
No. 147 also amends SFAS No. 144, Accounting for the Impaired or Disposal of
Long-Lived Assets, to include in its scope certain customer-relationship
intangible assets of financial institutions. SFAS No. 147s provisions
relating to the method of accounting to be used for acquisitions of financial
institutions are effective for acquisitions for which the date of the
acquisition is on or after October 1, 2002. SFAS No. 147s provisions relating
to the impairment or disposal of long-term customer relationship intangible
assets of financial institutions is effective on October 1, 2002. The adoption
of SFAS No. 147 is not expected to have a material effect on the Companys
Consolidated Financial Statements.

3.    Mergers and Acquisitions

United California Bank Acquisition

On March 15, 2002, BancWest, a wholly-owned subsidiary of BNP Paribas,
completed its acquisition of all of the outstanding stock of UCB from UFJ Bank
Ltd. of Japan. On March 15, 2002, UCB had total assets of $10.1 billion, net
loans of $8.5 billion, total deposits of $8.3 billion and a total of 115
branches. The preceding amounts do not include final purchase price
adjustments. The purchase price of approximately $2.4 billion was paid in cash
and the transaction was accounted for as a purchase. BNP Paribas funded
BancWests acquisition of UCB by providing $1.6 billion of additional capital
to BancWest and by lending it $800 million. UCB was merged with and into Bank
of the West on April 1, 2002. UCB had a strong presence in Southern
California, complementing Bank of the Wests existing network in Northern
California, the Pacific Northwest,

8



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##### Table of Contents



BancWest Corporation and SubsidiariesNOTES TO CONSOLIDATED FINANCIAL STATEMENTS(Unaudited)

New Mexico and Nevada. We expect to achieve cost savings for the combined
company of approximately $75-$80 million per year beginning in 2003. These
anticipated cost savings primarily involve compensation and occupancy related
expenses. Branches of UCB were fully integrated into the Bank of the West
branch network system in the third quarter of 2002. Results of operations of
UCB are included in our Consolidated Financial Statements beginning on March
15, 2002.

BancWest estimates it will incur expenses associated with exiting certain
branches, operational centers and technology platforms of pre-merged Bank of
the West, as well as certain other conversion and restructuring expenses,
totaling approximately $15 million incurred during the first nine months of 2002. Exit costs associated with
UCB were considered as part of the purchase accounting for the acquisition.
BancWest has established a severance reserve of approximately $40.5 million to
cover approximately 600 employees throughout the organization whose positions
will be eliminated as a result of the acquisition. In addition to the
severance reserve, we recorded the following restructuring reserves: $34.5
million for losses on subleases, $8.0 million for contract cancellations, $1.3
million for relocation and other. In the nine months ended September 30, 2002,
we made the following adjustments to the reserves: $1.2 million increase for
severance, $7.0 million decrease for losses on subleases and $5.4 million
increase for contract cancellations. In addition, the reserves were reduced in
the first nine months of 2002 as follows: $11.1 million for severance
payments, $1.3 million for sublease loss amortization, $6.0 million for
contract cancellation payments and $.8 million for relocation payments. These
amounts are estimates and are subject to change as more information becomes
available.

The following unaudited pro forma financial information for the three and
nine months ended September 30, 2002 and 2001 assumes that the UCB acquisition
occurred as of January 1, 2001, after giving effect to certain adjustments.
The pro forma results have been prepared for comparative purposes only and are
not necessarily indicative of the results of operations which may occur in the
future or that would have occurred had the UCB acquisition been consummated on
the date indicated.

|                    |                                                                                  |                |         |      |  |   |         | 
|------------------- | -------------------------------------------------------------------------------- | -------------- | ------- | ---- |  | - | ------- | 
|                    | Pro Forma Financial Information for the
        three months ended September 30,
|                    |                                                                                 
|                    |                                                                                  | 2002           |         | 2001
|                    |                                                                                  |                |         |     
|                    |                                                                                  | (in thousands)
|                   
|                   
|                   
|                   
|Net Interest Income |                                                                                  | $              | 307,004 |      |  | $ | 317,277 | 
|Noninterest Income  |                                                                                  |                | 91,639  |      |  |   | 75,939  | 
|Noninterest Expense |                                                                                  |                | 221,385 |      |  |   | 257,766 | 
|Net Income          |                                                                                  |                | 90,758  |      |  |   | 73,207  | 
|                   
|                    | Pro Forma Financial Information for the
        nine months ended September 30, 
|                    |                                                                                 
|                    |                                                                                  | 2002           |         | 2001
|                    |                                                                                  |                |         |     
|                    |                                                                                  | (in thousands)
|                   
|                   
|                   
|                   
|Net Interest Income |                                                                                  | $              | 921,703 |      |  | $ | 918,501 | 
|Noninterest Income  |                                                                                  |                | 262,618 |      |  |   | 346,211 | 
|Noninterest Expense |                                                                                  |                | 680,649 |      |  |   | 737,973 | 
|Net Income          |                                                                                  |                | 254,966 |      |  |   | 264,629 | 

9



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##### Table of Contents



BancWest Corporation and
SubsidiariesNOTES TO CONSOLIDATED FINANCIAL STATEMENTS(Unaudited)

4.    Impaired Loans

The following table summarizes impaired loan information as of and for the
nine months ended September 30, 2002 and 2001 and as of and for the year ended
December 31, 2001:

|                                                                                         |  |               |         |              |  |                |         |  |  |   |         | 
|---------------------------------------------------------------------------------------- |  | ------------- | ------- | ------------ |  | -------------- | ------- |  |  | - | ------- | 
|                                                                                         |  | September 30, |         | December 31, |  | September 30, 
|                                                                                         |  | 2002          |         | 2001         |  | 2001          
|                                                                                         |  |               |         |              |  |               
|                                                                                         |  |               |         |              |  | (in thousands) |         |  |  |  
|Impaired loans with related allowance for credit
losses calculated under SFAS No. 114    |  | $             | 193,540 |              |  | $              | 89,273  |  |  | $ | 101,049 | 
|Impaired loans with no related allowance for credit
losses calculated under SFAS No. 114 |  |               | 45,320  |              |  |                | 8,253   |  |  |   | 11,133  | 
|                                                                                         |  |               |         |              |  |                |         |  |  |   |         | 
|Impaired loans                                                                           |  | $             | 238,860 |              |  | $              | 97,526  |  |  | $ | 112,182 | 
|                                                                                         |  |               |         |              |  |                |         |  |  |   |         | 
|Total allowance for credit losses on impaired loans                                      |  | $             | 52,866  |              |  | $              | 24,745  |  |  | $ | 25,772  | 
|Average impaired loans                                                                   |  |               | 143,794 |              |  |                | 118,497 |  |  |   | 123,718 | 
|Interest income recognized on impaired loans                                             |  |               | 2,058   |              |  |                | 2,462   |  |  |   | 1,535   | 

We consider loans to be impaired when it is probable that we will be
unable to collect all amounts due according to the contractual terms of the
loan agreement, including scheduled interest payments. For a loan that has
been restructured, the contractual terms of the loan agreement refer to the
terms of the original loan agreement. Not all impaired loans are necessarily
placed on nonaccrual status; for example, restructured loans performing under
restructured terms beyond a specific period may be classified as accruing, but
may still be deemed impaired. Impaired loans without a related allowance for
credit losses are generally collateralized by assets with fair values in excess
of the recorded investment in the loans. We generally apply interest payments
on impaired loans to reduce the outstanding principal amount of such loans.

5.    Derivative Financial Instruments

At September 30, 2002, we carried $600 million of interest rate swaps,
categorized as cash flow hedges, with a fair market value of $62.0 million. We
pay 3-month LIBOR on $600 million of these cash flow hedges and receive fixed
rates ranging from 5.64% to 5.87%. These interest rate swaps hedge LIBOR-based
commercial loans and were initiated to help offset a reduction in commercial
loan interest income resulting from a decrease in interest rates. The $600
million of interest rate swaps was entered into in 2001 and will mature in
2006. The net settlement on the $600 million of interest rate swaps has
increased commercial loan interest income by $12.0 million from
March 16, 2002
through September 30, 2002. We estimate net settlement gains, recorded as
commercial loan interest income, of $22.8 million over the next twelve months
resulting from these cash flow hedges.

In addition to the cash flow hedges described above, we have various
derivative instruments that hedge the fair value of a recognized asset or
liability or of an unrecognized firm commitment (fair value hedge). Any
portion of the changes in the fair value of derivatives designated as a hedge
that is deemed ineffective is recorded in current period earnings; this amount
was not material in 2002.

10



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BancWest Corporation and SubsidiariesNOTES TO CONSOLIDATED FINANCIAL STATEMENTS(Unaudited)

6.    Operating Segments

As of September 30, 2002, we had two reportable operating segments: Bank
of the West and First Hawaiian. The Bank of the West segment includes UCB from
March 15, 2002 and operates primarily in the continental United States. The
First Hawaiian segment operates primarily in the State of Hawaii.

The financial results of our operating segments are presented on an
accrual basis. There are no significant differences between the accounting
policies of the segments as compared to the Companys Consolidated Financial
Statements. We evaluate the performance of these segments and allocate
resources to them based on net interest income and net income. There are no
material intersegment revenues.

The tables below present information about our operating segments as of
and for the three and nine months ended September 30, 2002 and 2001,
respectively:

|                    |  |                                  |        |          |  |       |       |       |  |               |       |              |  |   |        |   |  |   |        | 
|------------------- |  | -------------------------------- | ------ | -------- |  | ----- | ----- | ----- |  | ------------- | ----- | ------------ |  | - | ------ | - |  | - | ------ | 
|                    |  | Three Months Ended September 30,
|                    |  |                                 
|                    |  | Bank of                          |        | First    |  |       |       |       |  | Reconciling   |       | Consolidated
|                    |  | the West                         |        | Hawaiian |  | Other |       | Items |  | Totals       
|                    |  |                                  |        |          |  |       |       |       |  |              
|                    |  |                                  |        |          |  |       |       |       |  | (in millions) |       |              |  |   |        |   |  |  
|                   
|                   
|                   
|                   
|2002                |  |                                  |        |          |  |       |       |       |  |               |       |              |  |   |        |   |  |   |        | 
|Net interest income |  | $                                | 272    |          |  | $     | 81    |       |  | $             | (32   | )            |  | $ |       |   |  | $ | 321    | 
|Net income          |  |                                  | 85     |          |  |       | 31    |       |  |               | (19   | )            |  |   |       |   |  |   | 97     | 
|Segment assets      |  |                                  | 25,769 |          |  |       | 8,934 |       |  |               | 7,572 |              |  |   | (8,018 | ) |  |   | 34,257 | 
|Goodwill            |  |                                  | 2,217  |          |  |       | 994   |       |  |               | 173   |              |  |   |       |   |  |   | 3,384  | 
|                   
|2001                |  |                                  |        |          |  |       |       |       |  |               |       |              |  |   |        |   |  |   |        | 
|Net interest income |  | $                                | 130    |          |  | $     | 85    |       |  | $             | (4    | )            |  | $ |       |   |  | $ | 211    | 
|Net income          |  |                                  | 35     |          |  |       | 30    |       |  |               | (1    | )            |  |   |       |   |  |   | 64     | 
|Segment assets      |  |                                  | 12,839 |          |  |       | 7,462 |       |  |               | 3,455 |              |  |   | (4,002 | ) |  |   | 19,754 | 
|Goodwill            |  |                                  | 598    |          |  |       | 68    |       |  |               |      |              |  |   |       |   |  |   | 666    | 
|                   
|                    |  | Nine Months Ended September 30, 
|                    |  |                                 
|                    |  | Bank of                          |        | First    |  |       |       |       |  | Reconciling   |       | Consolidated
|                    |  | the West                         |        | Hawaiian |  | Other |       | Items |  | Totals       
|                    |  |                                  |        |          |  |       |       |       |  |              
|                    |  |                                  |        |          |  |       |       |       |  | (in millions) |       |              |  |   |        |   |  |  
|                   
|                   
|                   
|                   
|2002                |  |                                  |        |          |  |       |       |       |  |               |       |              |  |   |        |   |  |   |        | 
|Net interest income |  | $                                | 712    |          |  | $     | 246   |       |  | $             | (91   | )            |  | $ |       |   |  | $ | 867    | 
|Net income          |  |                                  | 222    |          |  |       | 93    |       |  |               | (56   | )            |  |   |       |   |  |   | 259    | 
|Segment assets      |  |                                  | 25,769 |          |  |       | 8,934 |       |  |               | 7,572 |              |  |   | (8,018 | ) |  |   | 34,257 | 
|Goodwill            |  |                                  | 2,217  |          |  |       | 994   |       |  |               | 173   |              |  |   |       |   |  |   | 3,384  | 
|                   
|2001                |  |                                  |        |          |  |       |       |       |  |               |       |              |  |   |        |   |  |   |        | 
|Net interest income |  | $                                | 362    |          |  | $     | 248   |       |  | $             | (11   | )            |  | $ |       |   |  | $ | 599    | 
|Net income          |  |                                  | 104    |          |  |       | 94    |       |  |               | (7    | )            |  |   |       |   |  |   | 191    | 
|Segment assets      |  |                                  | 12,839 |          |  |       | 7,462 |       |  |               | 3,455 |              |  |   | (4,002 | ) |  |   | 19,754 | 
|Goodwill            |  |                                  | 598    |          |  |       | 68    |       |  |               |      |              |  |   |       |   |  |   | 666    | 

The reconciling items in the tables above are primarily intercompany eliminations.

11



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##### Table of Contents






Item 2.    Managements Discussion and Analysis of Financial Condition and Results
of Operations

FORWARD-LOOKING STATEMENTS

Certain matters contained in this filing are forward-looking statements
within the meaning of the Private Securities Litigation Reform Act of 1995. Our
forward-looking statements (such as those concerning our plans, expectations,
estimates, strategies, projections and goals) involve risks and uncertainties
that could cause actual results to differ materially from those discussed in
the statements. Readers should carefully consider those risks and uncertainties
in reading this report. Factors that could cause or contribute to such
differences include, but are not limited to: (1) global, national and local
economic and market conditions, specifically with respect to changes in the
United States economy; (2) the level and volatility of interest rates and
currency values; (3) government fiscal and monetary policies; (4) credit risks
inherent in the lending process; (5) loan and deposit demand in the geographic
regions where we conduct business; (6) the impact of intense competition in the
rapidly evolving banking and financial services business; (7) extensive federal
and state regulation of our business, including the effect of current and
pending legislation and regulations; (8) whether expected revenue enhancements
and cost savings are realized within expected time frames; (9) risks and
uncertainties regarding the UCB acquisition, such as the possibility of
customer or employee attrition and lower than expected revenues; (10) matters
relating to the integration of our business with that of past and future merger
partners, including the impact of combining these businesses on revenues,
expenses, deposit attrition, customer retention and financial performance; (11)
our reliance on third parties to provide certain critical services, including
data processing; (12) the proposal or adoption of changes in accounting
standards by the Financial Accounting Standards Board (FASB), the Securities
and Exchange Commission (SEC) or other standard setting bodies; (13)
technological changes; (14) other risks and uncertainties discussed in this
document or detailed from time to time in other SEC filings that we make; and
(15) managements ability to manage risks that result from these and other
factors. Our forward-looking statements are based on managements current views
about future events. Those statements speak only as of the date on which they
are made. We do not intend to update forward-looking statements, and, except as
required by law, we disclaim any obligation or undertaking to update or revise
any such statements to reflect any change in our expectations or any change in
events, conditions, circumstances or assumptions on which forward-looking
statements are based.

GAAP, OPERATING AND CASH EARNINGS

We analyze our performance on a net income basis determined in accordance with
generally accepted accounting principles (GAAP), as well as on an operating
basis before merger-related and integration costs and/or the effects of the
amortization of intangible assets. We refer to the results as operating and
cash earnings, respectively. Operating earnings, cash earnings and operating
cash earnings (the combination of the effect of adjustments for both cash and
operating results), as well as information calculated from them and related
discussions, are presented as supplementary information in this analysis to
enhance the readers understanding of, and highlight trends in, our core
financial results excluding the effects of discrete business acquisitions and
other transactions. We include these additional disclosures because this
information is both relevant and useful in understanding the performance of the
Company as management views it. Operating earnings and cash earnings should
not be viewed as a substitute for net income as determined in accordance with
GAAP. Merger-related and integration costs, amortization of intangible assets
and other items excluded from net income to derive operating and cash earnings
may be significant and may not be comparable to those of other companies.

12



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BancWest Corporation and Subsidiaries




CONSOLIDATED FINANCIAL HIGHLIGHTS(Unaudited)


|                                                                                |  |                    |         |                   |  |      |        |      |  |   |         |   |  |   |         |  
|------------------------------------------------------------------------------- |  | ------------------ | ------- | ----------------- |  | ---- | ------ | ---- |  | - | ------- | - |  | - | ------- | -
|                                                                                |  | Three Months Ended |         | Nine Months Ended
|                                                                                |  | September 30,      |         | September 30,    
|                                                                                |  |                    |         |                  
|(dollars in thousands)                                                          |  | 2002               |         | 2001              |  | 2002 |        | 2001
|                                                                                |  |                    |         |                   |  |      |        |     
|Earnings:                                                                       |  |                    |         |                   |  |      |        |      |  |   |         |   |  |   |         |  
|Net income                                                                      |  | $                  | 97,058  |                   |  | $    | 63,649 |      |  | $ | 259,053 |   |  | $ | 191,337 |  
|Selected Financial Ratios:                                                      |  |                    |         |                   |  |      |        |      |  |   |         |   |  |   |         |  
|Return on average total assets (ROA)                                            |  |                    | 1.13    | %                 |  |      | 1.29   | %    |  |   | 1.14    | % |  |   | 1.33    | %
|Return on average stockholders equity (ROE)                                    |  |                    | 9.94    |                   |  |      | 12.04  |      |  |   | 10.50   |   |  |   | 12.37   |  
|Net interest margin (taxable-equivalent basis)                                  |  |                    | 4.52    |                   |  |      | 4.83   |      |  |   | 4.58    |   |  |   | 4.69    |  
|Allowance for credit losses to total loans
and leases (at September 30)         |  |                    |         |                   |  |      | 1.60   |      |  |   | 1.27    |  
|Nonperforming assets to total assets (at
September 30)                          |  |                    |         |                   |  |      | .79    |      |  |   | .64     |  
|Allowance for credit losses to nonperforming
loans and leases (at September 30) |  |                    |         |                   |  |      | 1.52   | x    |  |   | 1.81    | x
|                                                                                |  |                    |         |                   |  |      |        |      |  |   |         |   |  |   |         |  
|Non-GAAP Information(1)                                                         |  |                    |         |                   |  |      |        |      |  |   |         |   |  |   |         |  
|Operating earnings(2)                                                           |  | $                  | 100,680 |                   |  | $    | 63,649 |      |  | $ | 267,883 |   |  | $ | 193,679 |  
|Cash earnings(3)                                                                |  |                    | 100,449 |                   |  |      | 72,969 |      |  |   | 267,520 |   |  |   | 218,918 |  
|Operating cash earnings(2),(3)                                                  |  |                    | 104,071 |                   |  |      | 72,969 |      |  |   | 276,350 |   |  |   | 221,260 |  
|Selected
Financial Ratios:                                                      |  |                    |         |                   |  |      |        |      |  |   |         |   |  |   |         |  
|Operating return on average total assets (ROA)(2)                               |  |                    | 1.18    | %                 |  |      | 1.29   | %    |  |   | 1.18    | % |  |   | 1.35    | %
|Return on average tangible assets(4)                                            |  |                    | 1.36    |                   |  |      | 1.54   |      |  |   | 1.36    |   |  |   | 1.60    |  
|Operating return on average stockholders equity
(ROE)(2)                       |  |                    | 10.36   |                   |  |      | 12.04  |      |  |   | 10.85   |   |  |   | 12.53   |  



---

|(1) |  | Information presented was not calculated under generally accepted
accounting principles (GAAP). Information is disclosed to improve
readers understanding of how management views the results of our
operations.
|--- |  | -------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
|   
|   
|   
|   
|(2) |  | Excluding after-tax restructuring and integration costs of $3,622,000 in
the third quarter of 2002, $8,830,000 for the nine months ended September
30, 2002 and $2,342,000 in the first quarter of 2001.           
|   
|   
|   
|   
|(3) |  | Excluding amortization of goodwill and core deposit intangible.                                                                                                                                                    
|   
|   
|   
|   
|(4) |  | Defined as operating cash earnings as a percentage of average total
assets minus average goodwill and core deposit intangible.                                                                                     

13



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##### Table of Contents



NET INCOME

The following table compares net income, operating earnings, cash earnings and
operating cash earnings for the three and nine months ended September 30, 2002
to the same periods in 2001:

|                                 |                  |                                      |  |                |         |      |  |          |         |     |  |  |      |  
|-------------------------------- | ---------------- | ------------------------------------ |  | -------------- | ------- | ---- |  | -------- | ------- | --- |  |  | ---- | -
|                                 |                  |                                      |  | 2002           |         | 2001 |  | % Change
|                                 |                  |                                      |  |                |         |      |  |         
|                                 |                  |                                      |  | (in thousands) |         |      |  |         
|                                
|                                
|                                
|                                
|Three months ended September 30, |                  |                                      |  |                |         |      |  |          |         |     |  | 
|                                 |                  | Net income                           |  | $              | 97,058  |      |  | $        | 63,649  |     |  |  | 52.5 | %
|                                 |                  |                                      |  |                |         |      |  |          |         |     |  |  |      |  
|                                 | Non-GAAP income: |                                      |  |                |         |      |  |          |         |     |  |  |     
|                                 |                  | Operating earnings(4)                |  |                | 100,680 |      |  |          | 63,649  |     |  |  | 58.2 |  
|                                 |                  | Cash earnings(1)                     |  |                | 100,449 |      |  |          | 72,969  |     |  |  | 37.7 |  
|                                 |                  | Operating cash earnings(1), (4)      |  |                | 104,071 |      |  |          | 72,969  |     |  |  | 42.6 |  
|                                
|                                
|                                
|                                
|                                
|                                
|                                
|                                
|                                
|                                
|                                
|                                
|                                
|                                
|                                
|                                
|Nine months ended September 30,  |                  |                                      |  |                |         |      |  |          |         |     |  | 
|                                 |                  | Net income                           |  | $              | 259,053 |      |  | $        | 191,337 |     |  |  | 35.4 | %
|                                 |                  |                                      |  |                |         |      |  |          |         |     |  |  |      |  
|                                 | Non-GAAP income: |                                      |  |                |         |      |  |          |         |     |  |  |     
|                                 |                  | Operating earnings(3), (4)           |  |                | 267,883 |      |  |          | 193,679 | (2) |  |  | 38.3 |  
|                                 |                  | Cash earnings(1)                     |  |                | 267,520 |      |  |          | 218,918 | (2) |  |  | 22.2 |  
|                                 |                  | Operating cash earnings(1), (3), (4) |  |                | 276,350 |      |  |          | 221,260 | (2) |  |  | 24.9 |  



---

|(1) |  | Excluding after-tax amortization of goodwill and core deposit intangibles.                                                                                                                                                                                                                                                                                                                                                                                                                                                                           
|--- |  | -----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
|   
|   
|   
|   
|(2) |  | Includes $14.9 million after-tax net effect of the Concord security gain, additional
provision for credit losses and other nonrecurring items. Excluding the after-tax
net effect of the gain, additional provision and other nonrecurring items, net
income and cash earnings for the nine months ended September 30, 2001 were $176.4
million and $204 million, respectively. Operating earnings and operating cash
earnings, excluding the net after-tax effect of the aforementioned items, were
$178.8 million and $206.3 million, respectively.
|   
|   
|   
|   
|(3) |  | Excluding after-tax restructuring and integration costs of $2.3 million related to
the Nevada and New Mexico branch acquisitions in the first quarter of 2001.                                                                                                                                                                                                                                                                                                                                                                                       
|   
|   
|   
|   
|(4) |  | Excluding after-tax restructuring and integration costs of $3.6 million in the third
quarter of 2002 and $8.8 million in the first nine months of 2002, related to the
United California Bank acquisition in March 2002.                                                                                                                                                                                                                                                                                                                             

Net income and cash earnings increased for the three months ended September 30,
2002 compared to the same period in 2001, primarily due to the increased
contribution from our Bank of the West operating segment, including the
operations of UCB for the entire quarter.

The increases in net income, operating earnings, cash earnings and operating
cash earnings for the first nine months of 2002 compared to the same period in
2001 was primarily due to the acquisition of UCB on March 15, 2002, partially
offset by the after-tax net effect of $14.9 million related to the Concord
security gain, additional provision for credit losses and other nonrecurring
items in 2001. The fact that we ceased amortizing goodwill in 2002 due to
changes to GAAP (see Note 2 to our Consolidated Financial Statements on pages 7
and 8) also contributed to the increase in net income and operating earnings.

14



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##### Table of Contents



NET INCOME, Continued

The table below shows the return on average total assets, the return on average
tangible assets and the return on average stockholders equity for the first
nine months of 2002 compared to the same period in 2001. The return on average
tangible assets is defined as operating cash earnings as a percentage of
average total tangible assets.

|                                                    |  |      |       |      |  |          |       |   |  |  |       |   
|--------------------------------------------------- |  | ---- | ----- | ---- |  | -------- | ----- | - |  |  | ----- | --
|                                                    |  | 2002 |       | 2001 |  | % Change
|                                                    |  |      |       |      |  |         
|Return on average total assets                      |  |      | 1.14  | %    |  |          | 1.33  | % |  |  | (14.3 | )%
|Return on average stockholders equity              |  |      | 10.50 |      |  |          | 12.37 |   |  |  | (15.1 | ) 
|                                                   
|Non-GAAP returns:                                   |  |      |       |      |  |          |       |   |  |  |       |   
|                                                   
|Operating
return on average total assets(1)         |  |      | 1.18  |      |  |          | 1.35  |   |  |  | (2.2  | ) 
|Return
on average tangible assets(1)                |  |      | 1.36  |      |  |          | 1.60  |   |  |  | (15.0 | ) 
|Operating
return on average stockholders equity(1) |  |      | 10.85 |      |  |          | 12.53 |   |  |  | (13.4 | ) 



---

|(1) |  | Ratios are computed excluding after-tax restructuring and integration costs related to the United California Bank
in March 2002 and the Nevada and New Mexico branch acquisitions in the first quarter of 2001, respectively.
|--- |  | -----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

The ratios for the first nine months of 2002 in the table above are lower
compared to the same period in 2001 due primarily to the following reasons: in
2002, higher interest expense on long-term debt and, in 2001, the $14.9 million
after-tax net effect of the gain on the sale of Concord Stock, additional
provision for credit losses and other nonrecurring items. The increase in
interest cost relates to the $1.550 billion in additional long-term debt that
resulted from the acquisition of our common stock held by the public in
December 2001 and an additional $800 million in interest cost from short-term
debt used to finance our acquisition of UCB in March 2002.

NET INTEREST INCOME

The following table compares net interest income on a taxable-equivalent basis
for the three and nine months ended September 30, 2002 to the same periods in
2001:

|                                 |                     |  |                |         |      |  |          |         |  |  |  |      |  
|-------------------------------- | ------------------- |  | -------------- | ------- | ---- |  | -------- | ------- |  |  |  | ---- | -
|                                 |                     |  | 2002           |         | 2001 |  | % Change
|                                 |                     |  |                |         |      |  |         
|                                 |                     |  | (in thousands) |         |      |  |         
|                                
|                                
|                                
|                                
|Three months ended September 30, |                     |  |                |         |      |  |          |         |  |  |  |     
|                                 | Net interest income |  | $              | 320,881 |      |  | $        | 211,490 |  |  |  | 51.7 | %
|Nine months ended September 30,  |                     |  |                |         |      |  |          |         |  |  |  |     
|                                 | Net interest income |  | $              | 867,622 |      |  | $        | 599,704 |  |  |  | 44.7 | %

The increase in net interest income for the three months ended September 30,
2002 over the same period in 2001 was primarily due to an increase in average
earning assets of 62.3%, or $10.8 billion, primarily due to the UCB
acquisition. Also, there was a 100-basis-point decrease (1% equals 100 basis
points) in the rate paid on funding sources, offset by a 131-basis-point
decline in the yield on average earning assets. In addition, lower cost of
funds resulted from higher average noninterest-bearing deposits, which
increased by $3.1 billion, or 98.3%, in the third quarter of 2002 over the same
period in 2001.

The increase in net interest income for the nine months ended September 30,
2002 over the same period in 2001 was primarily due to an increase in average
earning assets of 48.2%, or $8.2 billion, primarily due to the UCB acquisition.
Also, there was a 129-basis-point decline in the rate paid on funding sources,
offset by a 140-basis-point decline in the yield on average earning assets.
The lower cost of funds is also a result of higher average noninterest-bearing
deposits, which increased by $2.2 billion, or 72.4%, in the first nine months
of 2002 over the same period in 2001.

15



---



##### Table of Contents



NET INTEREST INCOME, Continued

The following table compares the net interest margin for the three and nine
months ended September 30, 2002 to the same periods in 2001:

|                                 |                                 |  |      |      |      |  |                |      |   |  |        |       |  
|-------------------------------- | ------------------------------- |  | ---- | ---- | ---- |  | -------------- | ---- | - |  | ------ | ----- | -
|                                 |                                 |  |      |      |      |  |                |      |   |  | Change
|                                 |                                 |  | 2002 |      | 2001 |  | (Basis Points)
|                                 |                                 |  |      |      |      |  |               
|Three months ended September 30, |                                 |  |      |      |      |  |                |      |   |  |        |      
|                                 | Yield on average earning assets |  |      | 6.26 | %    |  |                | 7.57 | % |  |        | (131  | )
|                                 | Rate paid on funding sources    |  |      | 1.74 |      |  |                | 2.74 |   |  |        | (100  | )
|                                 |                                 |  |      |      |      |  |                |      |   |  |        |      
|                                 | Net interest margin             |  |      | 4.52 |      |  |                | 4.83 |   |  |        | (31   | )
|                                
|                                
|                                
|                                
|                                
|                                
|                                
|                                
|                                
|                                
|                                
|                                
|                                
|                                
|                                
|                                
|Nine months ended September 30,  |                                 |  |      |      |      |  |                |      |   |  |        |      
|                                 | Yield on average earning assets |  |      | 6.45 | %    |  |                | 7.85 | % |  |        | (140  | )
|                                 | Rate paid on funding sources    |  |      | 1.87 |      |  |                | 3.16 |   |  |        | (129  | )
|                                 |                                 |  |      |      |      |  |                |      |   |  |        |      
|                                 | Net interest margin             |  |      | 4.58 |      |  |                | 4.69 |   |  |        | (  11 | )

In the three-month period ended September 30, 2002, as compared to the same
period in 2001, the net interest margin decreased by 31 basis points, primarily
due to the decline in the rate paid on funding sources of 100 basis points and
a decrease in the yield on average earning assets of 131 basis points. The
effects of the reduction of key interest rates by the Federal Reserve are
primarily responsible for the decline in rates.

The net interest margin for the first nine months of 2002 decreased 11 basis
points compared to the first nine months of 2001. The Federal Reserves
benchmark Federal Funds rate changed eleven times in the period from January
2001 through December 2001. For further discussions of the impact that the
changing interest environment has had on the rate paid on deposits, see page
21.

Our cost of funds was lowered by an increase in average noninterest-bearing
deposits in the three and nine months ended September 30, 2002 as compared to
the same periods in 2001. For the three months ended September 30, 2002, the
percentage of average noninterest-bearing deposits to total average deposits
increased to 26.4% over 22.0% for the comparable period of 2001. For the nine
months ended September 30, 2002, the percentage of average noninterest-bearing
deposits to total deposits increased to 22.0% compared to 21.5% for the
comparable period of 2001. In addition, our cost of funds for the three and
nine months ended September 30, 2002 were affected by an increase in short- and
long-term debt. The increase in short-term debt was primarily due to an
additional $800 million in debt that was used to finance our acquisition of UCB
on March 15, 2002. The increase in long-term debt was due to the additional
$1.550 billion in debt related to the acquisition of our publicly held common
stock in December 2001.

The following table compares average earning assets, average loans and leases
and average interest-bearing deposits and liabilities for the three and nine
months ended September 30, 2002 to the same periods in 2001:

|                                 |                                                   |  |                |            |      |  |          |            |  |  |  |      |  
|-------------------------------- | ------------------------------------------------- |  | -------------- | ---------- | ---- |  | -------- | ---------- |  |  |  | ---- | -
|                                 |                                                   |  | 2002           |            | 2001 |  | % Change
|                                 |                                                   |  |                |            |      |  |         
|                                 |                                                   |  | (in thousands) |            |      |  |         
|                                
|                                
|                                
|                                
|Three months ended September 30, |                                                   |  |                |            |      |  |          |            |  |  |  |     
|                                 | Average earning assets                            |  | $              | 28,186,197 |      |  | $        | 17,367,337 |  |  |  | 62.3 | %
|                                 | Average loans and leases                          |  |                | 24,071,061 |      |  |          | 14,716,138 |  |  |  | 63.6 |  
|                                 | Average interest-bearing
deposits and liabilities |  |                | 22,596,024 |      |  |          | 13,334,194 |  |  |  | 69.5 |  
|                                
|                                
|                                
|                                
|                                
|                                
|                                
|                                
|Nine months ended September 30,  |                                                   |  |                |            |      |  |          |            |  |  |  |     
|                                 | Average earning assets                            |  | $              | 25,320,765 |      |  | $        | 17,090,717 |  |  |  | 48.2 | %
|                                 | Average loans and leases                          |  |                | 21,740,743 |      |  |          | 14,423,028 |  |  |  | 50.7 |  
|                                 | Average interest-bearing
deposits and liabilities |  |                | 20,752,312 |      |  |          | 13,206,102 |  |  |  | 57.1 |  

The increase in average earning assets was primarily due to increases in
average loans and leases in our Bank of the West operating segments loan and
lease portfolio, especially from the UCB acquisition in the first quarter of
2002. Also contributing to the increase in average loans and leases were the
branch acquisitions in Guam and Saipan in the First Hawaiian Bank operating
segment in the fourth quarter of 2001.

The increase in average interest-bearing deposits and liabilities was due to
increases in interest-bearing deposits,
short-term borrowings and long-term debt. Expansion of our customer deposit
base, primarily from our Bank of the West operating segment and the UCB
acquisition, contributed to the increase.

16



---



##### Table of Contents



The following table sets forth consolidated average balance sheets, an analysis
of interest income/expense and average yield/rate for each major category of
interest-earning assets and interest-bearing liabilities for the periods
indicated on a taxable equivalent basis. The tax equivalent adjustment is made
for items exempt from Federal income taxes (assuming a 35% tax rate for 2002 and
2001) to make them comparable with taxable items before any income taxes are
applied.



|                |                                                                        |                      |   |                                  |            |          |   |          |         |         |  |          |      |        |   |            |            |          |   |         |         |  |  |      |      | 
|--------------- | ---------------------------------------------------------------------- | -------------------- | - | -------------------------------- | ---------- | -------- | - | -------- | ------- | ------- |  | -------- | ---- | ------ | - | ---------- | ---------- | -------- | - | ------- | ------- |  |  | ---- | ---- | 
|                |                                                                        |                      |   | Three Months Ended September 30,
|                |                                                                        |                      |   |                                 
|                |                                                                        |                      |   | 2002                             |            | 2001    
|                |                                                                        |                      |   |                                  |            |         
|                |                                                                        |                      |   |                                  |            |          |   | Interest |         |         |  |          |      |        |   |            |            | Interest |   |         |         | 
|                |                                                                        |                      |   | Average                          |            | Income/  |   | Yield/   |         | Average |  | Income/  |      | Yield/
|ASSETS          |                                                                        | Balance              |   | Expense                          |            | Rate (1) |   | Balance  |         | Expense |  | Rate (1)
|                |                                                                        |                      |   |                                  |            |          |   |          |         |         |  |         
|                |                                                                        |                      |   | (dollars in thousands)          
|Earning assets: |                                                                        |                      |   |                                  |            |          |   |          |         |         |  |          |      |        |   |            |            |          |   |         |         |  |  |     
|                | Interest-bearing deposits
in other banks                               |                      | $ | 173,466                          |            |          | $ | 822      |         |         |  | 1.88     | %    |        | $ | 169,667    |            |          | $ | 1,725   |         |  |  | 4.04 | %   
|                | Federal funds sold and
securities purchased
under agreements to
resell |                      |   | 392,523                          |            |          |   | 1,724    |         |         |  | 1.74     |      |        |   | 162,860    |            |          |   | 1,459   |         |  |  | 3.55 |     
|                | Investment securities (2)                                              |                      |   | 3,549,147                        |            |          |   | 41,240   |         |         |  | 4.61     |      |        |   | 2,318,672  |            |          |   | 35,294  |         |  |  | 6.04 |     
|                | Loans and leases (3),(4)                                               |                      |   | 24,071,061                       |            |          |   | 400,909  |         |         |  | 6.61     |      |        |   | 14,716,138 |            |          |   | 292,941 |         |  |  | 7.90 |     
|                |                                                                        |                      |   |                                  |            |          |   |          |         |         |  |          |      |        |   |            |            |          |   |         |         |  |  |     
|                |                                                                        | Total earning assets |   |                                  | 28,186,197 |          |   |          | 444,695 |         |  |          | 6.26 |        |   |            | 17,367,337 |          |   |         | 331,419 |  |  |      | 7.57 | 
|                |                                                                        |                      |   |                                  |            |          |   |          |         |         |  |          |      |        |   |            |            |          |   |         |         |  |  |     
|                | Nonearning assets                                                      |                      |   | 5,751,262                        |            |          |   |          |         |         |  |          |      |        |   | 2,133,788  |            |          |   |         |         |  |  |      |     
|                |                                                                        |                      |   |                                  |            |          |   |          |         |         |  |          |      |        |   |            |            |          |   |         |         |  |  |     
|                |                                                                        | Total assets         |   | $                                | 33,937,459 |          |   |          |         |         |  |          |      |        |   | $          | 19,501,125 |          |   |         |         |  |  |      |      | 
|                |                                                                        |                      |   |                                  |            |          |   |          |         |         |  |          |      |        |   |            |            |          |   |         |         |  |  |     

[Additional columns below]

[Continued from above table, first column(s) repeated]

|                |                                                                        |                      |   |                                 |            |          |   |           |           |         |  |          |      |        |   |            |            |          |   |         |           |  |  |      |      | 
|--------------- | ---------------------------------------------------------------------- | -------------------- | - | ------------------------------- | ---------- | -------- | - | --------- | --------- | ------- |  | -------- | ---- | ------ | - | ---------- | ---------- | -------- | - | ------- | --------- |  |  | ---- | ---- | 
|                |                                                                        |                      |   | Nine Months Ended September 30,
|                |                                                                        |                      |   |                                
|                |                                                                        |                      |   | 2002                            |            | 2001    
|                |                                                                        |                      |   |                                 |            |         
|                |                                                                        |                      |   |                                 |            |          |   | Interest  |           |         |  |          |      |        |   |            |            | Interest |   |         |           | 
|                |                                                                        |                      |   | Average                         |            | Income/  |   | Yield/    |           | Average |  | Income/  |      | Yield/
|ASSETS          |                                                                        | Balance              |   | Expense                         |            | Rate (1) |   | Balance   |           | Expense |  | Rate (1)
|                |                                                                        |                      |   |                                 |            |          |   |           |           |         |  |         
|                |                                                                        |                      |   | (dollars in thousands)         
|Earning assets: |                                                                        |                      |   |                                 |            |          |   |           |           |         |  |          |      |        |   |            |            |          |   |         |           |  |  |     
|                | Interest-bearing deposits
in other banks                               |                      | $ | 142,777                         |            |          | $ | 2,057     |           |         |  | 1.93     | %    |        | $ | 229,834    |            |          | $ | 8,662   |           |  |  | 5.04 | %   
|                | Federal funds sold and
securities purchased
under agreements to
resell |                      |   | 279,109                         |            |          |   | 3,650     |           |         |  | 1.75     |      |        |   | 228,572    |            |          |   | 8,135   |           |  |  | 4.76 |     
|                | Investment securities (2)                                              |                      |   | 3,158,136                       |            |          |   | 116,124   |           |         |  | 4.92     |      |        |   | 2,209,283  |            |          |   | 102,433 |           |  |  | 6.20 |     
|                | Loans and leases (3),(4)                                               |                      |   | 21,740,743                      |            |          |   | 1,100,205 |           |         |  | 6.77     |      |        |   | 14,423,028 |            |          |   | 884,753 |           |  |  | 8.20 |     
|                |                                                                        |                      |   |                                 |            |          |   |           |           |         |  |          |      |        |   |            |            |          |   |         |           |  |  |     
|                |                                                                        | Total earning assets |   |                                 | 25,320,765 |          |   |           | 1,222,036 |         |  |          | 6.45 |        |   |            | 17,090,717 |          |   |         | 1,003,983 |  |  |      | 7.85 | 
|                |                                                                        |                      |   |                                 |            |          |   |           |           |         |  |          |      |        |   |            |            |          |   |         |           |  |  |     
|                | Nonearning assets                                                      |                      |   | 5,093,710                       |            |          |   |           |           |         |  |          |      |        |   | 2,133,398  |            |          |   |         |           |  |  |      |     
|                |                                                                        |                      |   |                                 |            |          |   |           |           |         |  |          |      |        |   |            |            |          |   |         |           |  |  |     
|                |                                                                        | Total assets         |   | $                               | 30,414,475 |          |   |           |           |         |  |          |      |        |   | $          | 19,224,115 |          |   |         |           |  |  |      |      | 
|                |                                                                        |                      |   |                                 |            |          |   |           |           |         |  |          |      |        |   |            |            |          |   |         |           |  |  |     



---

|(1) |  | Annualized.                                                                                                                                                                                                                                      
|--- |  | -------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
|   
|   
|   
|   
|(2) |  | Average debt investment securities were computed based on historical
amortized cost, excluding the effects of SFAS No. 115 adjustments.                                                                                                          
|   
|   
|   
|   
|(3) |  | Nonaccruing loans and leases have been included in the computations of
average loan and lease balances.                                                                                                                                          
|   
|   
|   
|   
|(4) |  | Interest income for loans and leases included loan fees of $13,688 and
$39,380 for the three and nine months ended September 30, 2002,
respectively, and $9,457 and $28,157 for the three and nine months ended
September 30, 2001, respectively.

17



---



##### Table of Contents





|                                           |                                       |           |           |                                                        |  |                                  |            |         |  |          |         |          |   |      |           |           |  |         |            |          |  |       |         |      |   |      |      |  
|------------------------------------------ | ------------------------------------- | --------- | --------- | ------------------------------------------------------ |  | -------------------------------- | ---------- | ------- |  | -------- | ------- | -------- | - | ---- | --------- | --------- |  | ------- | ---------- | -------- |  | ----- | ------- | ---- | - | ---- | ---- | -
|                                           |                                       |           |           |                                                        |  | Three Months Ended September 30,
|                                           |                                       |           |           |                                                        |  |                                 
|                                           |                                       |           |           |                                                        |  | 2002                             |            | 2001   
|                                           |                                       |           |           |                                                        |  |                                  |            |        
|                                           |                                       |           |           |                                                        |  |                                  |            |         |  | Interest |         |          |   |      |           |           |  |         |            | Interest |  |       |         |     
|LIABILITIES AND                            |                                       | Average   |           | Income/                                                |  | Yield/                           |            | Average |  | Income/  |         | Yield/  
|STOCKHOLDER'S EQUITY                       |                                       | Balance   |           | Expense                                                |  | Rate (1)                         |            | Balance |  | Expense  |         | Rate (1)
|                                           |                                       |           |           |                                                        |  |                                  |            |         |  |          |         |         
|                                           |                                       |           |           |                                                        |  | (dollars in thousands)          
|Interest-bearing deposits
and liabilities: |                                       |           |           |                                                        |  |                                  |            |         |  |          |         |          |   |      |           |           |  |         |            |          |  |       |         |     
|                                           | Deposits:                             |           |           |                                                        |  |                                  |            |         |  |          |         |          |   |      |           |           |  |         |            |          |  |       |         |      |  
|                                           |                                       | Domestic: |           |                                                        |  |                                  |            |         |  |          |         |          |   |      |           |           |  |         |            |          |  |       |         |      |   |     
|                                           |                                       |           |           | Interest-bearing demand                                |  | $                                | 353,668    |         |  | $        | 267     |          |   |      | 0.30      | %         |  | $       | 317,809    |          |  | $     | 501     |      |   |      | 0.63 | %
|                                           |                                       |           |           | Savings                                                |  |                                  | 9,255,123  |         |  |          | 29,013  |          |   |      | 1.24      |           |  |         | 4,605,005  |          |  |       | 21,505  |      |   |      | 1.85 |  
|                                           |                                       |           |           | Time                                                   |  |                                  | 7,513,111  |         |  |          | 44,753  |          |   |      | 2.36      |           |  |         | 6,236,199  |          |  |       | 68,945  |      |   |      | 4.39 |  
|                                           |                                       |           | Foreign   |                                                        |  | 623,987                          |            |         |  | 2,444    |         |          |   | 1.55 |           |           |  | 194,846 |            |          |  | 1,454 |         |      |   | 2.96 |     
|                                           |                                       |           |           |                                                        |  |                                  |            |         |  |          |         |          |   |      |           |           |  |         |            |          |  |       |         |     
|                                           |                                       |           |           | Total interest-bearing
deposits                        |  |                                  | 17,745,889 |         |  |          | 76,477  |          |   |      | 1.71      |           |  |         | 11,353,859 |          |  |       | 92,405  |      |   |      | 3.23 |  
|                                           | Short-term borrowings                 |           |           | 2,356,097                                              |  |                                  |            | 10,430  |  |          |         | 1.76     |   |      |           | 951,671   |  |         |            | 8,571    |  |       |         | 3.57 |  
|                                           | Long-term debt and
capital securities |           |           | 2,494,038                                              |  |                                  |            | 36,907  |  |          |         | 5.87     |   |      |           | 1,028,664 |  |         |            | 18,953   |  |       |         | 7.31 |  
|                                           |                                       |           |           |                                                        |  |                                  |            |         |  |          |         |          |   |      |           |           |  |         |            |          |  |       |         |     
|                                           |                                       |           |           | Total interest-bearing
deposits and
liabilities        |  |                                  | 22,596,024 |         |  |          | 123,814 |          |   |      | 2.17      |           |  |         | 13,334,194 |          |  |       | 119,929 |      |   |      | 3.57 |  
|                                           |                                       |           |           |                                                        |  |                                  |            |         |  |          |         |          |   |      |           |           |  |         |            |          |  |       |         |     
|                                           | Interest rate spread                  |           |           |                                                        |  |                                  |            |         |  |          |         | 4.09     | % |      |           |           |  |         |            |          |  |       |         | 4.00 | %
|                                           |                                       |           |           |                                                        |  |                                  |            |         |  |          |         |          |   |      |           |           |  |         |            |          |  |       |         |     
|Noninterest-bearing
deposits               |                                       |           | 6,349,349 |                                                        |  |                                  |            |         |  |          |         |          |   |      | 3,202,541 |           |  |         |            |          |  |       |         |     
|Other liabilities                          |                                       |           | 1,137,526 |                                                        |  |                                  |            |         |  |          |         |          |   |      | 866,530   |           |  |         |            |          |  |       |         |     
|                                           |                                       |           |           |                                                        |  |                                  |            |         |  |          |         |          |   |      |           |           |  |         |            |          |  |       |         |     
|                                           |                                       |           |           | Total liabilities                                      |  |                                  | 30,082,899 |         |  |          |         |          |   |      |           |           |  |         | 17,403,265 |          |  |       |         |      |   |      |      |  
|Stockholders equity                       |                                       |           | 3,854,560 |                                                        |  |                                  |            |         |  |          |         |          |   |      | 2,097,860 |           |  |         |            |          |  |       |         |     
|                                           |                                       |           |           |                                                        |  |                                  |            |         |  |          |         |          |   |      |           |           |  |         |            |          |  |       |         |     
|                                           |                                       |           |           | Total liabilities and
stockholders equity             |  | $                                | 33,937,459 |         |  |          |         |          |   |      |           |           |  | $       | 19,501,125 |          |  |       |         |      |   |      |      |  
|                                           |                                       |           |           |                                                        |  |                                  |            |         |  |          |         |          |   |      |           |           |  |         |            |          |  |       |         |     
|                                           |                                       |           |           | Net interest income
and margin on total
earning assets |  |                                  |            |         |  |          | 320,881 |          |   |      | 4.52      | %         |  |         |            |          |  |       | 211,490 |      |   |      | 4.83 | %
|                                           |                                       |           |           |                                                        |  |                                  |            |         |  |          |         |          |   |      |           |           |  |         |            |          |  |       |         |     
|Tax equivalent adjustment                  |                                       |           |           |                                                        |  |                                  | 147        |         |  |          |         |          |   |      |           |           |  |         | 89         |          |  |       |         |     
|                                           |                                       |           |           |                                                        |  |                                  |            |         |  |          |         |          |   |      |           |           |  |         |            |          |  |       |         |     
|                                           |                                       |           |           | Net interest income                                    |  |                                  |            |         |  | $        | 320,734 |          |   |      |           |           |  |         |            |          |  | $     | 211,401 |      |   |      |      |  
|                                           |                                       |           |           |                                                        |  |                                  |            |         |  |          |         |          |   |      |           |           |  |         |            |          |  |       |         |     

[Additional columns below]

[Continued from above table, first column(s) repeated]

|                                           |                                       |           |           |                                                        |  |                                 |            |         |  |          |         |          |   |      |           |           |  |         |            |          |  |       |         |      |   |      |      |  
|------------------------------------------ | ------------------------------------- | --------- | --------- | ------------------------------------------------------ |  | ------------------------------- | ---------- | ------- |  | -------- | ------- | -------- | - | ---- | --------- | --------- |  | ------- | ---------- | -------- |  | ----- | ------- | ---- | - | ---- | ---- | -
|                                           |                                       |           |           |                                                        |  | Nine Months Ended September 30,
|                                           |                                       |           |           |                                                        |  |                                
|                                           |                                       |           |           |                                                        |  | 2002                            |            | 2001   
|                                           |                                       |           |           |                                                        |  |                                 |            |        
|                                           |                                       |           |           |                                                        |  |                                 |            |         |  | Interest |         |          |   |      |           |           |  |         |            | Interest |  |       |         |     
|LIABILITIES AND                            |                                       | Average   |           | Income/                                                |  | Yield/                          |            | Average |  | Income/  |         | Yield/  
|STOCKHOLDER'S EQUITY                       |                                       | Balance   |           | Expense                                                |  | Rate (1)                        |            | Balance |  | Expense  |         | Rate (1)
|                                           |                                       |           |           |                                                        |  |                                 |            |         |  |          |         |         
|                                           |                                       |           |           |                                                        |  | (dollars in thousands)         
|Interest-bearing deposits
and liabilities: |                                       |           |           |                                                        |  |                                 |            |         |  |          |         |          |   |      |           |           |  |         |            |          |  |       |         |     
|                                           | Deposits:                             |           |           |                                                        |  |                                 |            |         |  |          |         |          |   |      |           |           |  |         |            |          |  |       |         |      |  
|                                           |                                       | Domestic: |           |                                                        |  |                                 |            |         |  |          |         |          |   |      |           |           |  |         |            |          |  |       |         |      |   |     
|                                           |                                       |           |           | Interest-bearing demand                                |  | $                               | 357,969    |         |  | $        | 749     |          |   |      | 0.28      | %         |  | $       | 314,154    |          |  | $     | 1,638   |      |   |      | 0.70 | %
|                                           |                                       |           |           | Savings                                                |  |                                 | 8,108,901  |         |  |          | 73,248  |          |   |      | 1.21      |           |  |         | 4,496,959  |          |  |       | 70,392  |      |   |      | 2.09 |  
|                                           |                                       |           |           | Time                                                   |  |                                 | 7,280,520  |         |  |          | 137,799 |          |   |      | 2.53      |           |  |         | 6,304,724  |          |  |       | 241,409 |      |   |      | 5.12 |  
|                                           |                                       |           | Foreign   |                                                        |  | 568,272                         |            |         |  | 7,088    |         |          |   | 1.67 |           |           |  | 197,158 |            |          |  | 5,248 |         |      |   | 3.56 |     
|                                           |                                       |           |           |                                                        |  |                                 |            |         |  |          |         |          |   |      |           |           |  |         |            |          |  |       |         |     
|                                           |                                       |           |           | Total interest-bearing
deposits                        |  |                                 | 16,315,662 |         |  |          | 218,884 |          |   |      | 1.79      |           |  |         | 11,312,995 |          |  |       | 318,687 |      |   |      | 3.77 |  
|                                           | Short-term borrowings                 |           |           | 2,040,197                                              |  |                                 |            | 26,486  |  |          |         | 1.74     |   |      |           | 869,247   |  |         |            | 28,683   |  |       |         | 4.41 |  
|                                           | Long-term debt and
capital securities |           |           | 2,396,453                                              |  |                                 |            | 109,044 |  |          |         | 6.08     |   |      |           | 1,023,860 |  |         |            | 56,909   |  |       |         | 7.43 |  
|                                           |                                       |           |           |                                                        |  |                                 |            |         |  |          |         |          |   |      |           |           |  |         |            |          |  |       |         |     
|                                           |                                       |           |           | Total interest-bearing
deposits and
liabilities        |  |                                 | 20,752,312 |         |  |          | 354,414 |          |   |      | 2.28      |           |  |         | 13,206,102 |          |  |       | 404,279 |      |   |      | 4.09 |  
|                                           |                                       |           |           |                                                        |  |                                 |            |         |  |          |         |          |   |      |           |           |  |         |            |          |  |       |         |     
|                                           | Interest rate spread                  |           |           |                                                        |  |                                 |            |         |  |          |         | 4.17     | % |      |           |           |  |         |            |          |  |       |         | 3.76 | %
|                                           |                                       |           |           |                                                        |  |                                 |            |         |  |          |         |          |   |      |           |           |  |         |            |          |  |       |         |     
|Noninterest-bearing
deposits               |                                       |           | 5,348,024 |                                                        |  |                                 |            |         |  |          |         |          |   |      | 3,101,415 |           |  |         |            |          |  |       |         |     
|Other liabilities                          |                                       |           | 1,014,511 |                                                        |  |                                 |            |         |  |          |         |          |   |      | 849,366   |           |  |         |            |          |  |       |         |     
|                                           |                                       |           |           |                                                        |  |                                 |            |         |  |          |         |          |   |      |           |           |  |         |            |          |  |       |         |     
|                                           |                                       |           |           | Total liabilities                                      |  |                                 | 27,114,847 |         |  |          |         |          |   |      |           |           |  |         | 17,156,883 |          |  |       |         |      |   |      |      |  
|Stockholders equity                       |                                       |           | 3,299,628 |                                                        |  |                                 |            |         |  |          |         |          |   |      | 2,067,232 |           |  |         |            |          |  |       |         |     
|                                           |                                       |           |           |                                                        |  |                                 |            |         |  |          |         |          |   |      |           |           |  |         |            |          |  |       |         |     
|                                           |                                       |           |           | Total liabilities and
stockholders equity             |  | $                               | 30,414,475 |         |  |          |         |          |   |      |           |           |  | $       | 19,224,115 |          |  |       |         |      |   |      |      |  
|                                           |                                       |           |           |                                                        |  |                                 |            |         |  |          |         |          |   |      |           |           |  |         |            |          |  |       |         |     
|                                           |                                       |           |           | Net interest income
and margin on total
earning assets |  |                                 |            |         |  |          | 867,622 |          |   |      | 4.58      | %         |  |         |            |          |  |       | 599,704 |      |   |      | 4.69 | %
|                                           |                                       |           |           |                                                        |  |                                 |            |         |  |          |         |          |   |      |           |           |  |         |            |          |  |       |         |     
|Tax equivalent adjustment                  |                                       |           |           |                                                        |  |                                 | 514        |         |  |          |         |          |   |      |           |           |  |         | 242        |          |  |       |         |     
|                                           |                                       |           |           |                                                        |  |                                 |            |         |  |          |         |          |   |      |           |           |  |         |            |          |  |       |         |     
|                                           |                                       |           |           | Net interest income                                    |  |                                 |            |         |  | $        | 867,108 |          |   |      |           |           |  |         |            |          |  | $     | 599,462 |      |   |      |      |  
|                                           |                                       |           |           |                                                        |  |                                 |            |         |  |          |         |          |   |      |           |           |  |         |            |          |  |       |         |     



---

|(1) |  | Annualized.
|--- |  | -----------

18



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##### Table of Contents



INVESTMENT SECURITIES

Held-to-Maturity

There were no held-to-maturity investment securities at September 30, 2002 and
December 31, 2001. The following table presents the amortized cost, unrealized
gains and losses, and fair values of held-to-maturity investment securities as
of September 30, 2001:

|                  |  |                |        | 
|----------------- |  | -------------- | ------ | 
|                  |  | September 30, 
|                  |  | 2001          
|                  |  |               
|                  |  | (in thousands)
|                 
|                 
|                 
|                 
|Amortized cost    |  | $              | 92,535 | 
|Unrealized gains  |  |                | 2,575  | 
|Unrealized losses |  |                |       | 
|                  |  |                |        | 
|Fair value        |  | $              | 95,110 | 
|                  |  |                |        | 

Available-for-Sale

The following table presents the amortized cost, unrealized gains and losses,
and fair values of available-for-sale investment securities as of the dates
indicated:

|                  |  |               |           |              |  |                |           |   |  |   |           |  
|----------------- |  | ------------- | --------- | ------------ |  | -------------- | --------- | - |  | - | --------- | -
|                  |  | September 30, |           | December 31, |  | September 30, 
|                  |  | 2002          |           | 2001         |  | 2001          
|                  |  |               |           |              |  |               
|                  |  |               |           |              |  | (in thousands) |           |   |  |  
|                 
|                 
|                 
|                 
|Amortized cost    |  | $             | 3,671,394 |              |  | $              | 2,529,133 |   |  | $ | 2,241,681 |  
|Unrealized gains  |  |               | 79,265    |              |  |                | 23,672    |   |  |   | 58,272    |  
|Unrealized losses |  |               | (2,187    | )            |  |                | (10,632   | ) |  |   | (294      | )
|                  |  |               |           |              |  |                |           |   |  |   |           |  
|Fair value        |  | $             | 3,748,472 |              |  | $              | 2,542,173 |   |  | $ | 2,299,659 |  
|                  |  |               |           |              |  |                |           |   |  |   |           |  

Gross realized gains and losses on available-for-sale investment securities for
the nine months ended September 30, 2002 and 2001 were as follows:

|                      |  |                |       |      |  |   |        |  
|--------------------- |  | -------------- | ----- | ---- |  | - | ------ | -
|                      |  | 2002           |       | 2001
|                      |  |                |       |     
|                      |  | (in thousands)
|                     
|                     
|                     
|                     
|Realized gains        |  | $              | 1,124 |      |  | $ | 19,987 |  
|Realized losses       |  |                | (158  | )    |  |   | (51    | )
|                      |  |                |       |      |  |   |        |  
|Securities gains, net |  | $              | 966   |      |  | $ | 19,936 |  
|                      |  |                |       |      |  |   |        |  

Gains and losses realized on the sales of available-for-sale investment
securities are determined using the specific identification method. Realized
gains on the sale of investment securities for the nine months ended September
30, 2001 include $18.5 million in pre-tax gain on the sale of Concord stock in
the second quarter of 2001. This gain is in addition to the $41.3 million
pre-tax gain recognized upon recordation of the Concord stock as an
available-for-sale security. See section below, Concord Security Gain, for
more information.

Concord Security Gain

The $41.3 million pre-tax securities gain that was recognized in the first
quarter of 2001 relates to the merger between Star System, Inc. (Star) and
Concord EFS, Inc. (Concord) on February 1, 2001. All of the outstanding
shares of Star were exchanged for Concord shares in the merger. Prior to that
merger, BancWests shares of Star System, Inc., were reported on our
Consolidated Balance Sheet in other assets due to certain provisions of SFAS
No. 115, Accounting for Certain Investments in Debt and Equity Securities.

19



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##### Table of Contents



LOANS AND LEASES

The following table sets forth the loan and lease portfolio by major categories
and loan and lease mix at September 30, 2002, December 31, 2001 and September
30, 2001:

|                                       |              |                                     |           |                    |            |                   |      |                    |       |   |           |                        |            |   |      |      |       |   |           |           |            |  |      |      |       |  
|-------------------------------------- | ------------ | ----------------------------------- | --------- | ------------------ | ---------- | ----------------- | ---- | ------------------ | ----- | - | --------- | ---------------------- | ---------- | - | ---- | ---- | ----- | - | --------- | --------- | ---------- |  | ---- | ---- | ----- | -
|                                       |              |                                     |           | September 30, 2002 |            | December 31, 2001 |      | September 30, 2001
|                                       |              |                                     |           |                    |            |                   |      |                   
|                                       |              |                                     |           | Amount             |            | %                 |      | Amount             |       | % |           | Amount                 |            | %
|                                       |              |                                     |           |                    |            |                   |      |                    |       |   |           |                        |            |  
|                                       |              |                                     |           |                    |            |                   |      |                    |       |   |           | (dollars in thousands) |            |   |      |      |       |   |           |          
|                                      
|                                      
|                                      
|                                      
|Commercial, financial and
agricultural |              | $                                   | 4,764,805 |                    |            |                   | 19.8 | %                  |       | $ | 2,387,605 |                        |            |   | 15.7 | %    |       | $ | 2,442,545 |           |            |  | 16.4 | %   
|Real estate:                           |              |                                     |           |                    |            |                   |      |                    |       |   |           |                        |            |   |      |      |       |   |           |           |            |  |      |     
|                                       | Commercial   |                                     |           | 4,785,058          |            |                   |      | 19.8               |       |   |           | 2,957,194              |            |   |      | 19.4 |       |   |           | 2,857,111 |            |  |      | 19.1 |      
|                                       | Construction |                                     |           | 1,042,011          |            |                   |      | 4.3                |       |   |           | 464,462                |            |   |      | 3.1  |       |   |           | 416,368   |            |  |      | 2.8  |      
|                                       | Residential: |                                     |           |                    |            |                   |      |                    |       |   |           |                        |            |   |      |      |       |   |           |           |            |  |      |      |      
|                                       |              | Insured, guaranteed or
conventional |           |                    | 4,296,804  |                   |      |                    | 17.8  |   |           |                        | 1,831,824  |   |      |      | 12.0  |   |           |           | 1,771,280  |  |      |      | 11.9  |  
|                                       |              | Home equity credit lines            |           |                    | 718,143    |                   |      |                    | 3.0   |   |           |                        | 432,003    |   |      |      | 2.9   |   |           |           | 437,963    |  |      |      | 2.9   |  
|                                       |              |                                     |           |                    |            |                   |      |                    |       |   |           |                        |            |   |      |      |       |   |           |           |            |  |      |     
|                                       |              | Total real estate loans             |           |                    | 10,842,016 |                   |      |                    | 44.9  |   |           |                        | 5,685,483  |   |      |      | 37.4  |   |           |           | 5,482,722  |  |      |      | 36.7  |  
|                                       |              |                                     |           |                    |            |                   |      |                    |       |   |           |                        |            |   |      |      |       |   |           |           |            |  |      |     
|Consumer                               |              |                                     | 5,872,868 |                    |            |                   | 24.3 |                    |       |   | 4,471,897 |                        |            |   | 29.3 |      |       |   | 4,341,508 |           |            |  | 29.1 |     
|Lease financing                        |              |                                     | 2,272,232 |                    |            |                   | 9.4  |                    |       |   | 2,293,199 |                        |            |   | 15.1 |      |       |   | 2,290,689 |           |            |  | 15.4 |     
|Foreign                                |              |                                     | 389,592   |                    |            |                   | 1.6  |                    |       |   | 385,548   |                        |            |   | 2.5  |      |       |   | 354,680   |           |            |  | 2.4  |     
|                                       |              |                                     |           |                    |            |                   |      |                    |       |   |           |                        |            |   |      |      |       |   |           |           |            |  |      |     
|                                       |              | Total loans and leases              |           |                    | 24,141,513 |                   |      |                    | 100.0 | % |           |                        | 15,223,732 |   |      |      | 100.0 | % |           |           | 14,912,144 |  |      |      | 100.0 | %
|                                       |              |                                     |           |                    |            |                   |      |                    |       |   |           |                        |            |   |      |      |       |   |           |           |            |  |      |     
|Less allowance for credit losses       |              |                                     | 385,190   |                    |            |                   |      |                    |       |   | 194,654   |                        |            |   |      |      |       |   | 188,717   |           |            |  |      |     
|                                       |              |                                     |           |                    |            |                   |      |                    |       |   |           |                        |            |   |      |      |       |   |           |           |            |  |      |     
|                                       |              | Total net loans and leases          |           | $                  | 23,756,323 |                   |      |                    |       |   |           | $                      | 15,029,078 |   |      |      |       |   |           | $         | 14,723,427 |  |      |      |       |  
|                                       |              |                                     |           |                    |            |                   |      |                    |       |   |           |                        |            |   |      |      |       |   |           |           |            |  |      |     
|Total loans and leases to:             |              |                                     |           |                    |            |                   |      |                    |       |   |           |                        |            |   |      |      |       |   |           |           |            |  |      |     
|                                       |              | Total assets                        |           | $                  | 34,256,500 |                   |      |                    | 70.5  | % |           | $                      | 21,646,514 |   |      |      | 70.3  | % |           | $         | 19,754,213 |  |      |      | 75.5  | %
|                                       |              | Total earning assets                |           |                    | 28,128,801 |                   |      |                    | 85.8  | % |           |                        | 17,914,186 |   |      |      | 85.0  | % |           |           | 17,283,139 |  |      |      | 86.3  | %
|                                       |              | Total deposits                      |           |                    | 24,356,862 |                   |      |                    | 99.1  | % |           |                        | 15,334,051 |   |      |      | 99.3  | % |           |           | 14,668,730 |  |      |      | 101.7 | %

The loan and lease portfolio is the largest component of earning assets and
accounts for the greatest portion of total interest income. The increase in
loans and leases as of September 30, 2002, as compared to December 31, 2001,
was primarily due to the acquisition of UCB on March 15, 2002 and growth in our
Bank of the West operating segment. Our net loans and leases increased by
58.1% to $23.8 billion over December 31, 2001 and 61.4% over September 30,
2001.

Total commercial, financial and agricultural loans at September 30, 2002
increased by 99.6%, or $2.4 billion, over December 31, 2001 and 95.1%, or $2.3
billion, over September 30, 2001. The increase in this category was primarily
due to the UCB acquisition.

Total real estate-commercial loans at September 30, 2002 increased by 61.8%, or
$1.8 billion, over December 31, 2001 and 67.5%, or $1.9 billion, over September
30, 2001, primarily due to growth in our Bank of the West operating segment,
including loans acquired with UCB.

Total real estate-construction loans at September 30, 2002 increased by 124.3%,
or $577.5 million, over December 31, 2001 and 150.3%, or $625.6 million, over
September 30, 2001, primarily due to the UCB acquisition.

20



---



##### Table of Contents



LOANS AND LEASES, Continued

Total real estate-residential loans at September 30, 2002 increased by 121.5%,
or $2.8 billion, over December 31, 2001 and 127.0% over September 30, 2001,
primarily due to the UCB acquisition.

Total consumer loans at September 30, 2002 increased 31.3%, or $1.4 billion,
over December 31, 2001 and increased 35.3%, or $1.5 billion, over September 30,
2001. Consumer loans consist primarily of direct and indirect automobile,
recreational vehicle, marine, credit card and unsecured financing. The
increase in consumer loans at September 30, 2002 as compared to December 31,
2001 and September 30, 2001 was primarily a result of growth in our Bank of the
West operating segment and the acquisition of UCB.

The lease financing portfolio decreased by .9%, or $21.0 million, over December
31, 2001, and decreased .8%, or $18.5 million, over September 30, 2001
primarily due to maturing automobile leases and pay-offs in our Bank of the
West operating segment.

Our foreign loans are principally in Guam and Saipan. Foreign loans as of
September 30, 2002 increased $4.0 million, or 1.0%, over December 31, 2001 and
increased $34.9 million, or 9.8%, over September 30, 2001.

Loan concentrations are considered to exist when there are amounts loaned to
multiple borrowers engaged in similar activities, which would cause them to be
similarly impacted by economic or other conditions. At September 30, 2002, we
did not have a concentration of loans greater than 10% of total loans which is
not otherwise disclosed as a category of loans as shown in the table
on page 20.

DEPOSITS

Deposits are the largest component of our total liabilities and account for the
greatest portion of total interest expense. At September 30, 2002, total
deposits were $24.4 billion, an increase of 66.0% over September 30, 2001. The
increase was primarily due to the growth in our customer deposit base,
primarily in the Bank of the West operating segment, especially the UCB
acquisition, as well as various deposit product programs that we initiated.
Also contributing to the increase was First Hawaiians acquisition of United
Bank of Californias branches in Guam and Saipan.

The decrease in all of the rates paid on deposits reflects falling rates in
2001, caused primarily by actions of the Federal Reserves Open Market
Committee. During the 12-month period from October 1, 2001 to September 30,
2002, the benchmark federal funds rate decreased three times totaling 125 basis
points. The repricing characteristics of each type of deposit reflect the
changing interest rate environment at different speeds. Time deposits, which
generally reprice more slowly than other deposits, do not immediately reflect
changes in the interest rate environment, while money market and savings
deposits, which can be repriced more rapidly, are more reflective of the
decrease in the interest rate environment. The deposits in the foreign
category are a mixture of time, savings and other interest-bearing deposits;
therefore, its rate reflects both types of repricing characteristics.
Additional information on our average deposit balances and rates paid is
provided in the table on page 18.

21



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##### Table of Contents



NONPERFORMING ASSETS

Nonperforming assets at September 30, 2002, December 31, 2001 and September 30,
2001 are as follows:

|                                                                                                                              |                                                           |                                        |              |                                      |                                      |        |                        |         |              |        |               |         |        |        |        |         | 
|----------------------------------------------------------------------------------------------------------------------------- | --------------------------------------------------------- | -------------------------------------- | ------------ | ------------------------------------ | ------------------------------------ | ------ | ---------------------- | ------- | ------------ | ------ | ------------- | ------- | ------ | ------ | ------ | ------- | 
|                                                                                                                              |                                                           |                                        |              |                                      |                                      |        | September 30,          |         | December 31, |        | September 30,
|                                                                                                                              |                                                           |                                        |              |                                      |                                      |        | 2002                   |         | 2001         |        | 2001         
|                                                                                                                              |                                                           |                                        |              |                                      |                                      |        |                        |         |              |        |              
|                                                                                                                              |                                                           |                                        |              |                                      |                                      |        | (dollars in thousands)
|                                                                                                                             
|                                                                                                                             
|                                                                                                                             
|                                                                                                                             
|Nonperforming Assets:                                                                                                         |                                                           |                                        |              |                                      |                                      |        |                        |         |              |        |               |         |       
|                                                                                                                              | Nonaccrual:                                               |                                        |              |                                      |                                      |        |                        |         |              |        |               |         |       
|                                                                                                                              |                                                           | Commercial, financial and agricultural |              | $                                    | 176,769                              |        |                        | $       | 35,908       |        |               | $       | 44,026 |       
|                                                                                                                              |                                                           | Real estate:                           |              |                                      |                                      |        |                        |         |              |        |               |         |        |       
|                                                                                                                              |                                                           |                                        | Commercial   |                                      |                                      | 45,572 |                        |         |              | 27,568 |               |         |        | 22,602 |       
|                                                                                                                              |                                                           |                                        | Residential: |                                      |                                      |        |                        |         |              |        |               |         |        |        |       
|                                                                                                                              |                                                           |                                        |              | Insured, guaranteed, or conventional |                                      |        | 8,223                  |         |              |        | 9,003         |         |        |        | 10,412 |        
|                                                                                                                              |                                                           |                                        |              |                                      |                                      |        |                        |         |              |        |               |        
|                                                                                                                              |                                                           |                                        |              |                                      | Total real estate loans              |        |                        | 53,795  |              |        |               | 36,571  |        |        |        | 33,014  | 
|                                                                                                                              |                                                           |                                        |              |                                      |                                      |        |                        |         |              |        |               |        
|                                                                                                                              |                                                           | Consumer                               |              |                                      | 3,175                                |        |                        |         | 6,144        |        |               |         | 4,403  |       
|                                                                                                                              |                                                           | Lease financing                        |              |                                      | 8,937                                |        |                        |         | 9,570        |        |               |         | 12,955 |       
|                                                                                                                              |                                                           | Foreign                                |              |                                      | 9,069                                |        |                        |         | 4,074        |        |               |         | 4,932  |       
|                                                                                                                              |                                                           |                                        |              |                                      |                                      |        |                        |         |              |        |               |        
|                                                                                                                              |                                                           |                                        |              |                                      | Total nonaccrual loans and leases    |        |                        | 251,745 |              |        |               | 92,267  |        |        |        | 99,330  | 
|                                                                                                                              |                                                           |                                        |              |                                      |                                      |        |                        |         |              |        |               |        
|                                                                                                                              | Restructured:                                             |                                        |              |                                      |                                      |        |                        |         |              |        |               |         |       
|                                                                                                                              |                                                           | Commercial, financial and agricultural |              |                                      | 1,219                                |        |                        |         | 1,569        |        |               |         | 1,002  |       
|                                                                                                                              |                                                           | Real estate:                           |              |                                      |                                      |        |                        |         |              |        |               |         |        |       
|                                                                                                                              |                                                           |                                        | Commercial   |                                      |                                      | 1,148  |                        |         |              | 3,019  |               |         |        | 3,348  |       
|                                                                                                                              |                                                           |                                        | Residential: |                                      |                                      |        |                        |         |              |        |               |         |        |        |       
|                                                                                                                              |                                                           |                                        |              | Insured, guaranteed, or conventional |                                      |        |                       |         |              |        | 257           |         |        |        | 337    |        
|                                                                                                                              |                                                           |                                        |              |                                      |                                      |        |                        |         |              |        |               |        
|                                                                                                                              |                                                           |                                        |              |                                      | Total real estate loans              |        |                        | 1,148   |              |        |               | 3,276   |        |        |        | 3,685   | 
|                                                                                                                              |                                                           |                                        |              |                                      |                                      |        |                        |         |              |        |               |        
|                                                                                                                              |                                                           |                                        |              |                                      | Total restructured loans and leases  |        |                        | 2,367   |              |        |               | 4,845   |        |        |        | 4,687   | 
|                                                                                                                              |                                                           |                                        |              |                                      |                                      |        |                        |         |              |        |               |        
|                                                                                                                              |                                                           |                                        |              |                                      | Total nonperforming loans and leases |        |                        | 254,112 |              |        |               | 97,112  |        |        |        | 104,017 | 
|                                                                                                                              | Other real estate owned and repossessed personal property |                                        |              | 15,523                               |                                      |        |                        | 22,321  |              |        |               | 22,610  |       
|                                                                                                                              |                                                           |                                        |              |                                      |                                      |        |                        |         |              |        |               |        
|                                                                                                                              |                                                           |                                        |              |                                      | Total nonperforming assets           |        | $                      | 269,635 |              |        | $             | 119,433 |        |        | $      | 126,627 | 
|                                                                                                                              |                                                           |                                        |              |                                      |                                      |        |                        |         |              |        |               |        
|Past due loans and leases(1):                                                                                                 |                                                           |                                        |              |                                      |                                      |        |                        |         |              |        |               |        
|                                                                                                                              | Commercial, financial and agricultural                    |                                        | $            | 9,591                                |                                      |        | $                      | 11,134  |              |        | $             | 3,680   |       
|                                                                                                                              | Real estate:                                              |                                        |              |                                      |                                      |        |                        |         |              |        |               |         |       
|                                                                                                                              |                                                           |                                        | Commercial   |                                      |                                      | 8,142  |                        |         |              | 385    |               |         |        | 1,554  |       
|                                                                                                                              |                                                           |                                        | Construction |                                      |                                      |       |                        |         |              |       |               |         |        | 3,551  |       
|                                                                                                                              |                                                           |                                        | Residential: |                                      |                                      |        |                        |         |              |        |               |         |        |        |       
|                                                                                                                              |                                                           |                                        |              | Insured, guaranteed, or conventional |                                      |        | 3,263                  |         |              |        | 3,303         |         |        |        | 3,215  |        
|                                                                                                                              |                                                           |                                        |              | Home equity credit lines             |                                      |        | 685                    |         |              |        | 467           |         |        |        | 230    |        
|                                                                                                                              |                                                           |                                        |              |                                      |                                      |        |                        |         |              |        |               |        
|                                                                                                                              |                                                           |                                        |              |                                      | Total real estate loans              |        |                        | 12,090  |              |        |               | 4,155   |        |        |        | 8,550   | 
|                                                                                                                              |                                                           |                                        |              |                                      |                                      |        |                        |         |              |        |               |        
|                                                                                                                              | Consumer                                                  |                                        |              | 2,214                                |                                      |        |                        | 3,323   |              |        |               | 2,262   |       
|                                                                                                                              | Lease financing                                           |                                        |              | 113                                  |                                      |        |                        | 146     |              |        |               | 201     |       
|                                                                                                                              | Foreign                                                   |                                        |              | 3,176                                |                                      |        |                        | 2,023   |              |        |               | 1,084   |       
|                                                                                                                              |                                                           |                                        |              |                                      |                                      |        |                        |         |              |        |               |        
|                                                                                                                              |                                                           |                                        |              |                                      | Total past due loans and leases      |        | $                      | 27,184  |              |        | $             | 20,781  |        |        | $      | 15,777  | 
|                                                                                                                              |                                                           |                                        |              |                                      |                                      |        |                        |         |              |        |               |        
|Nonperforming assets to total loans and leases
and other real estate owned and repossessed
personal property (end of period): |                                                           |                                        |              |                                      |                                      |        |                        |         |              |        |               |        
|                                                                                                                              |                                                           | Excluding past due loans and leases    |              |                                      | 1.12                                 | %      |                        |         | .78          | %      |               |         | .85    | %     
|                                                                                                                              |                                                           | Including past due loans and leases    |              |                                      | 1.23                                 | %      |                        |         | .92          | %      |               |         | .95    | %     
|Nonperforming assets to total assets (end of period):                                                                         |                                                           |                                        |              |                                      |                                      |        |                        |         |              |        |               |        
|                                                                                                                              |                                                           | Excluding past due loans and leases    |              |                                      | .79                                  | %      |                        |         | .55          | %      |               |         | .64    | %     
|                                                                                                                              |                                                           | Including past due loans and leases    |              |                                      | .87                                  | %      |                        |         | .65          | %      |               |         | .72    | %     



---

|(1) |  | Represents loans and leases which are past due 90 days or more as to
principal and/or interest, are still accruing interest and are adequately
collateralized and in the process of collection.
|--- |  | -----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

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NONPERFORMING ASSETS, Continued

Nonperforming assets at September 30, 2002 were $269.6 million, or 1.12%, of
total loans and leases and other real estate owned and repossessed personal
property (OREO), compared to .85% at September 30, 2001. Nonperforming assets
at September 30, 2002 were .79% of total assets, compared to .64% at September
30, 2001.

Nonperforming assets at September 30, 2002 increased by $150.2 million, or
125.8%, from December 31, 2001. The increase in nonaccrual loans was
primarily due to higher nonaccrual commercial, financial and agricultural loans
and real estate-commercial loans resulting from our acquisition of UCB. In
addition, approximately $40 million of performing syndicated national credits
in our First Hawaiian operating segment were placed on nonaccrual status as a
result of a shared national credit review.

Nonperforming assets at September 30, 2002 increased by $143.0 million, or
112.9%, from September 30, 2001. The increase was primarily attributable to
increases in nonaccrual commercial, financial and agricultural loans and real
estate-commercial loans, which were partially offset by decreases in nonaccrual
consumer and lease financing loans. Foreign nonperforming assets increased at
September 30, 2002 by $5.0 million, or 122.6%, primarily due to loans in Guam.
However, our overall foreign loan portfolio, composed primarily of loans in
Guam and Saipan, represents a relatively small (1.6%) of our total loan
portfolio at September 30, 2002.

We generally place a loan or lease on nonaccrual status when we believe that
collection of principal or interest has become doubtful or when loans and
leases are 90 days past due as to principal or interest, unless they are well
secured and in the process of collection. We may make an exception to the
general 90-day-past-due rule when the fair value of the collateral exceeds our
recorded investment in the loan or when other factors indicate that the
borrower will shortly bring the loan current.

While the majority of consumer loans and leases are subject to our general
policies regarding nonaccrual loans, certain past-due consumer loans and leases
are not placed on nonaccrual status because they are charged off upon reaching
a predetermined delinquency status varying from 120 to 180 days, depending on
product type.

When we place a loan or lease on nonaccrual status, previously accrued and
uncollected interest is reversed against interest income of the current period.
When we receive a cash interest payment on a nonaccrual loan, we apply it as a
reduction of the principal balance when we have doubts about the ultimate
collection of the principal. Otherwise, we record such payments as income.

Nonaccrual loans and leases are generally returned to accrual status when they:
(1) become current as to principal and interest or (2) become both well
secured and in the process of collection.

Other than the loans listed, we were not aware of any significant potential
problem loans where possible credit problems of the borrower caused us to
seriously question the borrowers ability to repay the loan under existing
terms.

Loans past due 90 days or more and still accruing interest totaled $27.2
million at September 30, 2002, an increase of $11.4 million, or 72.3%, from
September 30, 2001. Loans past due 90 days or more and still accruing interest
increased by $6.4 million, or 30.8%, from December 31, 2001 to September 30,
2002. The increase at September 30, 2002 compared to September 30, 2001 was
primarily due to commercial, financial and agricultural, real estate-commercial
and foreign loans, partially offset by real estate-construction loans. The
increase at September 30, 2002 compared to December 31, 2001 was primarily due
to real estate-commercial and foreign loans, which was partially offset by
commercial, financial and agricultural and consumer loans. All of the loans
that are past due 90 days or more and still accruing interest are, in our
judgment, adequately collateralized and in the process of collection.

23



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##### Table of Contents



PROVISION AND ALLOWANCE FOR CREDIT LOSSES

The following table sets forth the activity in the allowance for credit losses
for the periods indicated:

|                                                                               |                                                        |                                                      |                                                             |         |                    |         |                   |         |                        |         |            |         |        |         |            |         |        |         |  
|------------------------------------------------------------------------------ | ------------------------------------------------------ | ---------------------------------------------------- | ----------------------------------------------------------- | ------- | ------------------ | ------- | ----------------- | ------- | ---------------------- | ------- | ---------- | ------- | ------ | ------- | ---------- | ------- | ------ | ------- | -
|                                                                               |                                                        |                                                      |                                                             |         | Three Months Ended |         | Nine Months Ended
|                                                                               |                                                        |                                                      |                                                             |         | September 30,      |         | September 30,    
|                                                                               |                                                        |                                                      |                                                             |         |                    |         |                  
|                                                                               |                                                        |                                                      |                                                             |         | 2002               |         | 2001              |         | 2002                   |         | 2001      
|                                                                               |                                                        |                                                      |                                                             |         |                    |         |                   |         |                        |         |           
|                                                                               |                                                        |                                                      |                                                             |         |                    |         |                   |         | (dollars in thousands) |         |            |         |       
|                                                                              
|                                                                              
|                                                                              
|                                                                              
|Loans and leases outstanding (end of period)                                   |                                                        | $                                                    | 24,141,513                                                  |         |                    | $       | 14,912,144        |         |                        | $       | 24,141,513 |         |        | $       | 14,912,144 |        
|                                                                               |                                                        |                                                      |                                                             |         |                    |         |                   |         |                        |         |            |         |        |         |            |        
|Average loans and leases outstanding                                           |                                                        | $                                                    | 24,071,061                                                  |         |                    | $       | 14,716,138        |         |                        | $       | 21,740,743 |         |        | $       | 14,423,028 |        
|                                                                               |                                                        |                                                      |                                                             |         |                    |         |                   |         |                        |         |            |         |        |         |            |        
|Allowance for credit losses:                                                   |                                                        |                                                      |                                                             |         |                    |         |                   |         |                        |         |            |         |        |         |            |        
|                                                                               | Balance at beginning of period                         |                                                      | $                                                           | 387,272 |                    |         | $                 | 191,698 |                        |         | $          | 194,654 |        |         | $          | 172,443 |       
|                                                                               |                                                        |                                                      |                                                             |         |                    |         |                   |         |                        |         |            |         |        |         |            |        
|                                                                               | Allowance of subsidiaries purchased                    |                                                      |                                                             |        |                    |         |                   |        |                        |         |            | 210,000 |        |         |            |        |       
|                                                                               | Loans and leases charged off:                          |                                                      |                                                             |         |                    |         |                   |         |                        |         |            |         |        |         |            |         |       
|                                                                               |                                                        | Commercial, financial and agricultural               |                                                             |         | 16,512             |         |                   |         | 4,964                  |         |            |         | 49,956 |         |            |         | 21,789 |        
|                                                                               |                                                        | Real estate:                                         |                                                             |         |                    |         |                   |         |                        |         |            |         |        |         |            |         |        |        
|                                                                               |                                                        |                                                      | Commercial                                                  |         |                    | 1,970   |                   |         |                        | 527     |            |         |        | 3,604   |            |         |        | 996     |  
|                                                                               |                                                        |                                                      | Construction                                                |         |                    |        |                   |         |                        |        |            |         |        |        |            |         |        |        |  
|                                                                               |                                                        |                                                      | Residential                                                 |         |                    | 241     |                   |         |                        | 1,021   |            |         |        | 950     |            |         |        | 2,555   |  
|                                                                               |                                                        | Consumer                                             |                                                             |         | 11,469             |         |                   |         | 11,261                 |         |            |         | 30,440 |         |            |         | 29,485 |        
|                                                                               |                                                        | Lease financing                                      |                                                             |         | 5,017              |         |                   |         | 3,940                  |         |            |         | 22,294 |         |            |         | 11,127 |        
|                                                                               |                                                        | Foreign                                              |                                                             |         | 647                |         |                   |         | 252                    |         |            |         | 1,515  |         |            |         | 1,127  |        
|                                                                               |                                                        |                                                      |                                                             |         |                    |         |                   |         |                        |         |            |         |        |         |            |        
|                                                                               |                                                        |                                                      | Total loans and leases charged off                          |         |                    | 35,856  |                   |         |                        | 21,965  |            |         |        | 108,759 |            |         |        | 67,079  |  
|                                                                               |                                                        |                                                      |                                                             |         |                    |         |                   |         |                        |         |            |         |        |         |            |        
|                                                                               | Recoveries on loans and leases previously
charged off: |                                                      |                                                             |         |                    |         |                   |         |                        |         |            |         |        |         |            |         |       
|                                                                               |                                                        | Commercial, financial and agricultural               |                                                             |         | 2,912              |         |                   |         | 211                    |         |            |         | 6,413  |         |            |         | 558    |        
|                                                                               |                                                        | Real estate:                                         |                                                             |         |                    |         |                   |         |                        |         |            |         |        |         |            |         |        |        
|                                                                               |                                                        |                                                      | Commercial                                                  |         |                    | 82      |                   |         |                        | 13      |            |         |        | 328     |            |         |        | 79      |  
|                                                                               |                                                        |                                                      | Construction                                                |         |                    | 17      |                   |         |                        | 88      |            |         |        | 271     |            |         |        | 285     |  
|                                                                               |                                                        |                                                      | Residential                                                 |         |                    | 122     |                   |         |                        | 53      |            |         |        | 538     |            |         |        | 439     |  
|                                                                               |                                                        | Consumer                                             |                                                             |         | 2,749              |         |                   |         | 1,783                  |         |            |         | 6,890  |         |            |         | 5,330  |        
|                                                                               |                                                        | Lease financing                                      |                                                             |         | 1,457              |         |                   |         | 773                    |         |            |         | 5,244  |         |            |         | 1,768  |        
|                                                                               |                                                        | Foreign                                              |                                                             |         | 135                |         |                   |         | 113                    |         |            |         | 402    |         |            |         | 594    |        
|                                                                               |                                                        |                                                      |                                                             |         |                    |         |                   |         |                        |         |            |         |        |         |            |        
|                                                                               |                                                        |                                                      | Total recoveries on loans and leases
previously charged off |         |                    | 7,474   |                   |         |                        | 3,034   |            |         |        | 20,086  |            |         |        | 9,053   |  
|                                                                               |                                                        |                                                      |                                                             |         |                    |         |                   |         |                        |         |            |         |        |         |            |        
|                                                                               |                                                        |                                                      | Net charge-offs                                             |         |                    | (28,382 | )                 |         |                        | (18,931 | )          |         |        | (88,673 | )          |         |        | (58,026 | )
|                                                                               |                                                        |                                                      |                                                             |         |                    |         |                   |         |                        |         |            |         |        |         |            |        
|                                                                               | Provision for credit losses                            |                                                      |                                                             | 26,300  |                    |         |                   | 15,950  |                        |         |            | 69,209  |        |         |            | 74,300  |       
|                                                                               |                                                        |                                                      |                                                             |         |                    |         |                   |         |                        |         |            |         |        |         |            |        
|                                                                               | Balance at end of period                               |                                                      | $                                                           | 385,190 |                    |         | $                 | 188,717 |                        |         | $          | 385,190 |        |         | $          | 188,717 |       
|                                                                               |                                                        |                                                      |                                                             |         |                    |         |                   |         |                        |         |            |         |        |         |            |        
|Net loans and leases charged off to average loans
and leases                   |                                                        |                                                      | .47                                                         | %(1)    |                    |         | .51               | %(1)    |                        |         | .55        | %(1)    |        |         | .54        | %(1)   
|Net loans and leases charged off to allowance for
credit losses                |                                                        |                                                      | 29.23                                                       | %(1)    |                    |         | 39.80             | %(1)    |                        |         | 30.78      | %(1)    |        |         | 41.11      | %(1)   
|Allowance for credit losses to total
loans and leases (end of period)          |                                                        |                                                      | 1.60                                                        | %       |                    |         | 1.27              | %       |                        |         | 1.60       | %       |        |         | 1.27       | %      
|Allowance for credit losses to nonperforming
loans and leases (end of period): |                                                        |                                                      |                                                             |         |                    |         |                   |         |                        |         |            |         |        |         |            |        
|                                                                               |                                                        | Excluding 90 days past due
accruing loans and leases |                                                             |         | 1.52               | x       |                   |         | 1.81                   | x       |            |         | 1.52   | x       |            |         | 1.81   | x      
|                                                                               |                                                        | Including 90 days past due
accruing loans and leases |                                                             |         | 1.37               | x       |                   |         | 1.58                   | x       |            |         | 1.37   | x       |            |         | 1.58   | x      



---

|(1) |  | Annualized.
|--- |  | -----------

24



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##### Table of Contents



PROVISION AND ALLOWANCE FOR CREDIT LOSSES, Continued

The provision for credit losses for the first nine months of 2002 was $69.2
million, a decrease of $5.1 million, or 6.9%, compared to the same period in
2001. The decrease in the provision for credit losses for the first nine
months of 2002 compared to the same period in 2001 primarily reflects the $32.8
million in additional provision for credit losses that we recorded in the first
nine months of 2001 in response to macroeconomic events, partially offset by
the higher provision in our Bank of the West operating segment due to its
larger loan portfolio, resulting primarily from its acquisition of UCB.

The provision for credit losses is based upon our judgment as to the adequacy
of the allowance for credit losses (the Allowance) to absorb probable losses
inherent in the portfolio as of the balance sheet date. The Company uses a
systematic methodology to determine the adequacy of the Allowance and related
provision for credit losses to be reported for financial statement purposes.
The determination of the adequacy of the Allowance is ultimately one of
judgment, which includes consideration of many factors, including, among other
things, the amount of problem and potential problem loans and leases, net
charge-off experience, changes in the composition of the loan and lease
portfolio by type and location of loans and leases and in overall loan and
lease risk profile and quality, general economic factors and the fair value of
collateral.

Our approach to managing exposure to credit risk involves an integrated program
of setting appropriate standards for credit underwriting and diversification,
monitoring trends that may affect the risk profile of the credit portfolio and
making appropriate adjustments to reflect changes in economic and financial
conditions that could affect the quality of the portfolio and loss probability.
The components of this integrated program include:



| |  |  | Setting Underwriting and Grading Standards.Our loan
grading system utilizes ten different principal risk categories
where 1 is no risk and 10 is loss. Risk parameters are
established so that the cost of credit risk is an integral part of
the pricing and evaluation of credit decisions and the setting of
portfolio targets.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            
| | - |  | ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
|
| |  |  | Diversification.We actively manage our credit portfolio
to avoid excessive concentration by obligor, risk grade, industry,
product and geographic location. As part of this process, we also
monitor changes in risk correlation among concentration
categories. In addition, we seek to reduce our exposure to
concentrations by actively participating portions of our
commercial and commercial real estate loans to other banks.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  
|
| |  |  | Risk Mitigation.Over the past few years, we have
reduced our exposure to higher-risk areas such as real
estate-construction (which accounted for only 4.3% of total loans
and leases at September 30, 2002), as well as Hawaiian commercial
real estate and agricultural loans.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                       
|
| |  |  | Restricted Participation in Syndicated National Credits.
In addition to providing backup commercial paper facilities
primarily to investment-grade companies, we participate in media
finance credits in the national market, one of our traditional
niches where we have experienced personnel and have developed a
special expertise over a long period of time. Recently, we began
a program to reduce our outstanding commitments and balances in
these types of credits. At September 30, 2002, the ratio of
nonperforming shared national credits and media finance loans to
total shared national credits and media finance loans outstanding
was 10.6%.                                                                                                                                                                                                                                                                                       
|
| |  |  | Emphasis on Consumer Lending.Consumer loans represent
our single largest category of loans and leases. We focus our
consumer lending activities on loan grades with what we believe
are predictable loss rates. As a result, we are able to use
formula-based approaches to calculate appropriate reserve levels
that reflect historical experience. We generally do not
participate in subprime lending activities. We also seek to
reduce our exposures where feasible by obtaining third-party
insurance or similar protections. For example, in our vehicle
lease portfolio (which represents approximately 64.1% of our lease
financing portfolio and 17.9% of our combined lease financing and
consumer loans at September 30, 2002), we obtain third-party
insurance for the estimated residual value of the leased vehicle.
To the extent that these policies include deductible values, we
set aside reserves to cover the uninsured portion.

25



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##### Table of Contents



PROVISION AND ALLOWANCE FOR CREDIT LOSSES, Continued

Charge-offs were $35.9 million for the three months ended September 30, 2002,
an increase of $13.9 million, or 63.2%, over the same period in 2001. The
increase was primarily due to charge-offs in commercial, financial and
agricultural loans, real estate-commercial and lease financing. Charge-offs
were $108.8 million for the first nine months of 2002, an increase of $41.7
million, or 62.1%, over the same period in 2001. The increase was primarily
due to charge-offs in commercial, financial and agricultural loans, real estate
commercial and lease financing in the first nine months of 2002. The higher
charge-offs resulted from the larger loan portfolio of our Bank of the West
operating segment, including the UCB acquisition for both periods.

For the three months ended September 30, 2002, recoveries increased by $4.4
million, or 146.3%, compared to the same period in 2001. The increase in
recoveries was primarily in commercial, financial and agricultural loans,
consumer and lease financing. For the first nine months of 2002, recoveries
increased by $11.0 million, or 121.9%, compared to the same period in 2001.
The increase in recoveries was primarily in commercial, financial and
agricultural loans and lease financing.

Net charge-offs for the three months ended September 30, 2002 were 0.47%
(annualized) compared to 0.51% (annualized) for the same period in 2001. Net
charge-offs for the first nine months of 2002 were 0.55% (annualized) compared
to 0.54% (annualized) for the same period in 2001.

The Allowance decreased to 1.52 times nonperforming loans and leases (excluding
90 days or more past due accruing loans and leases) at September 30, 2002 from
1.81 times at September 30, 2001. The decrease in the ratio is principally due
to an increase in nonperforming loans and leases, primarily in our Bank of the
West operating segment following the acquisition of UCB.

In our judgment, the Allowance was adequate to absorb losses inherent in the
loan and lease portfolio at September 30, 2002. However, changes in prevailing
economic conditions in our markets could result in changes in the level of
nonperforming assets and charge-offs in the future and, accordingly, changes in
the Allowance. We will continue to closely monitor economic developments and
make necessary adjustments to the Allowance accordingly.

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##### Table of Contents



NONINTEREST INCOME

The following table reflects the key components of the change in noninterest
income for the three and nine months ended September 30, 2002, as compared to
the same periods in 2001:

|                                 |                                      |                          |   |                |         |      |   |          |         |  |  |       |      |  
|-------------------------------- | ------------------------------------ | ------------------------ | - | -------------- | ------- | ---- | - | -------- | ------- |  |  | ----- | ---- | -
|                                 |                                      |                          |   | 2002           |         | 2001 |   | % Change
|                                 |                                      |                          |   |                |         |      |   |         
|                                 |                                      |                          |   | (in thousands) |         |      |   |         
|Three months ended September 30, |                                      |                          |   |                |         |      |   |          |         |  |  |      
|                                 | Service charges on deposit accounts  |                          | $ | 39,183         |         |      | $ | 22,575   |         |  |  | 73.6  | %   
|                                 | Trust and investment services income |                          |   | 9,883          |         |      |   | 7,780    |         |  |  | 27.0  |     
|                                 | Other service charges and fees       |                          |   | 34,032         |         |      |   | 19,983   |         |  |  | 70.3  |     
|                                 | Securities gains, net                |                          |   | 282            |         |      |   | 1        |         |  |  | N/M   |     
|                                 | Other                                |                          |   | 8,259          |         |      |   | 10,822   |         |  |  | (23.7 | )   
|                                 |                                      |                          |   |                |         |      |   |          |         |  |  |      
|                                 |                                      | Total noninterest income |   | $              | 91,639  |      |   | $        | 61,161  |  |  |       | 49.8 | %
|                                 |                                      |                          |   |                |         |      |   |          |         |  |  |      
|Nine months ended September 30,  |                                      |                          |   |                |         |      |   |          |         |  |  |      
|                                 | Service charges on deposit accounts  |                          | $ | 101,718        |         |      | $ | 65,584   |         |  |  | 55.1  | %   
|                                 | Trust and investment services income |                          |   | 28,275         |         |      |   | 24,990   |         |  |  | 13.1  |     
|                                 | Other service charges and fees       |                          |   | 89,442         |         |      |   | 58,555   |         |  |  | 52.7  |     
|                                 | Securities gains, net                |                          |   | 966            |         |      |   | 61,237   |         |  |  | N/M   |     
|                                 | Other                                |                          |   | 22,291         |         |      |   | 29,090   |         |  |  | (23.4 | )   
|                                 |                                      |                          |   |                |         |      |   |          |         |  |  |      
|                                 |                                      | Total noninterest income |   | $              | 242,692 |      |   | $        | 239,456 |  |  |       | 1.4  | %
|                                 |                                      |                          |   |                |         |      |   |          |         |  |  |      



---

| |  | N/M  Not Meaningful.
| |  | ---------------------

As the table above shows in detail, noninterest income increased by 49.8% for
the three months ended September 30, 2002 and increased 1.4% for the nine
months ended September 30, 2002 compared to the same periods in 2001.
Significant items include the following:



| |  |  | The Concord stock securities gain in 2001 of $59.8 million was primarily
responsible for the decrease in securities gains for the nine months
ended September 30, 2002 as compared to the same period in 2001.                                                                                                                                                                
| | - |  | ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
|
| |  |  | The increases in service charges on deposit accounts for the three and
nine months ended September 30, 2002, compared to the same periods in
2001, were primarily due to higher levels of deposits resulting from the
expansion of our customer deposit base predominantly in our Bank of the
West operating segment, especially the deposits from UCB.                       
|
| |  |  | The increase in trust and investment services income for the three and
nine months ended September 30, 2002, compared to the same periods in
2001, resulted primarily from our Bank of the West operating segment.                                                                                                                                                            
|
| |  |  | The increases in other service charges and fees for the three and nine
months ended September 30, 2002, compared to the same periods in 2001,
were primarily due to: (1) higher merchant services fees, due to higher
fee charges, increased volume and more merchant outlets; (2) higher bank
card and ATM convenience fee income; and (3) higher miscellaneous service
fees.
|
| |  |  | The decrease in other noninterest income for the nine months ended
September 30, 2002, as compared to the same period in 2001, was primarily
due to lower gains on the sale of OREO property in 2002 and gains on the
sale of securitized loans and a leveraged lease in 2001.                                                                                                

27



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##### Table of Contents



NONINTEREST EXPENSE

The following table reflects the key components of the change in noninterest
expense for the three and nine months ended September 30, 2002 as compared to
the same periods in 2001:

|                                 |                                     |                           |   |                |         |      |   |          |         |  |  |       |      |  
|-------------------------------- | ----------------------------------- | ------------------------- | - | -------------- | ------- | ---- | - | -------- | ------- |  |  | ----- | ---- | -
|                                 |                                     |                           |   | 2002           |         | 2001 |   | % Change
|                                 |                                     |                           |   |                |         |      |   |         
|                                 |                                     |                           |   | (in thousands) |         |      |   |         
|                                
|                                
|                                
|                                
|Three months ended September 30, |                                     |                           |   |                |         |      |   |          |         |  |  |      
|                                 | Salaries and wages                  |                           | $ | 89,486         |         |      | $ | 52,283   |         |  |  | 71.2  | %   
|                                 | Employee benefits                   |                           |   | 28,340         |         |      |   | 18,086   |         |  |  | 56.7  |     
|                                 | Occupancy expense                   |                           |   | 24,008         |         |      |   | 16,676   |         |  |  | 44.0  |     
|                                 | Outside services                    |                           |   | 17,472         |         |      |   | 11,878   |         |  |  | 47.1  |     
|                                 | Intangible amortization             |                           |   | 5,763          |         |      |   | 11,129   |         |  |  | (48.2 | )   
|                                 | Equipment expense                   |                           |   | 14,043         |         |      |   | 7,638    |         |  |  | 83.9  |     
|                                 | Stationery and supplies             |                           |   | 6,990          |         |      |   | 5,188    |         |  |  | 34.7  |     
|                                 | Advertising and promotion           |                           |   | 12,301         |         |      |   | 4,400    |         |  |  | 179.6 |     
|                                 | Restructuring and integration costs |                           |   | 6,213          |         |      |   |         |         |  |  |      |     
|                                 | Other                               |                           |   | 19,748         |         |      |   | 21,406   |         |  |  | (7.7  | )   
|                                 |                                     |                           |   |                |         |      |   |          |         |  |  |      
|                                 |                                     | Total noninterest expense |   | $              | 224,364 |      |   | $        | 148,684 |  |  |       | 50.9 | %
|                                 |                                     |                           |   |                |         |      |   |          |         |  |  |      
|Nine months ended September 30,  |                                     |                           |   |                |         |      |   |          |         |  |  |      
|                                 | Salaries and wages                  |                           | $ | 236,043        |         |      | $ | 153,050  |         |  |  | 54.2  | %   
|                                 | Employee benefits                   |                           |   | 87,497         |         |      |   | 54,903   |         |  |  | 59.4  |     
|                                 | Occupancy expense                   |                           |   | 63,117         |         |      |   | 49,917   |         |  |  | 26.4  |     
|                                 | Outside services                    |                           |   | 48,532         |         |      |   | 35,380   |         |  |  | 37.2  |     
|                                 | Intangible amortization             |                           |   | 14,283         |         |      |   | 32,549   |         |  |  | (56.1 | )   
|                                 | Equipment expense                   |                           |   | 36,252         |         |      |   | 22,728   |         |  |  | 59.5  |     
|                                 | Stationery and supplies             |                           |   | 20,017         |         |      |   | 14,881   |         |  |  | 34.5  |     
|                                 | Advertising and promotion           |                           |   | 24,978         |         |      |   | 12,690   |         |  |  | 96.8  |     
|                                 | Restructuring and integration costs |                           |   | 14,966         |         |      |   | 3,935    |         |  |  | 280.3 |     
|                                 | Other                               |                           |   | 66,597         |         |      |   | 66,455   |         |  |  | .2    |     
|                                 |                                     |                           |   |                |         |      |   |          |         |  |  |      
|                                 |                                     | Total noninterest expense |   | $              | 612,282 |      |   | $        | 446,488 |  |  |       | 37.1 | %
|                                 |                                     |                           |   |                |         |      |   |          |         |  |  |      

As the table above shows in detail, noninterest expense increased by 50.9% and
37.1% for the three and nine months ended September 30, 2002, respectively,
compared to the same periods in 2001. In addition to the factors noted below,
the increase in noninterest expense for the three and nine months ended
September 30, 2002, compared to the same periods in 2001, was primarily due to
the UCB acquisition. Factors causing the increase include the following:



| |  |  | The increases in salaries and wages and employee benefits reflect an
increased number of employees, primarily due to the UCB acquisition.
Also, the increase for the three and nine months ended September 30, 2002
included $4.4 million in costs related to participation in the BNPP
Discounted Share Purchase Plan in June 2002. Another factor that caused
the increase in total salaries and wages for the three and nine months
ended September 30, 2002 was lower net periodic pension benefit credits
in 2002.
| | - |  | -----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
|
| |  |  | The decrease in intangible amortization reflects the adoption of a new
accounting standard in 2002 that ceased the amortization of goodwill.                                                                                                                                                                                                                                                                                                                                                                           
|
| |  |  | Restructuring and integration costs relate to our acquisition of UCB in
2002 and the Nevada and New Mexico branches in 2001.                                                                                                                                                                                                                                                                                                                                                                                           

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##### Table of Contents



INCOME TAXES

Our effective income tax rates (exclusive of the tax equivalent adjustment) for
the three and nine months ended September 30, 2002 were 40.0% and 39.5%, as
compared to 41.0% and 39.9%, respectively, for the same periods in 2001.

LIQUIDITY MANAGEMENT

Liquidity refers to our ability to provide sufficient short- and long-term cash
flows to fund operations and to meet obligations and commitments, including
depositor withdrawals and debt service, on a timely basis at reasonable costs.
We achieve our liquidity objectives with both assets and liabilities.

We obtain short-term asset-based liquidity through our investment securities
portfolio and short-term investments which can be readily converted to cash.
These liquid assets consist of cash and due from banks, interest-bearing
deposits in other banks, federal funds sold, securities purchased under
agreements to resell and investment securities. Such assets represented 16.6%
of total assets at September 30, 2002 compared to 16.7% at December 31, 2001.

Intermediate- and longer-term asset liquidity is primarily provided by
regularly scheduled maturities and cash flows from our loans and investment
securities. Additional liquidity is available from certain assets that can be
sold or securitized, such as consumer and mortgage loans.

We obtain short-term liability-based liquidity primarily from deposits.
Average total deposits for the nine months ended September 30, 2002 increased
48.9% to $21.7 billion, over the year ended December 31, 2001, primarily due to
continued expansion of our customer base in the Western United States. Average
total deposits funded 71.2% of average total assets for the nine months ended
September 30, 2002 and 75% for the year ended December 31, 2001.

We also obtain short-term liquidity from ready access to regional and national
wholesale funding sources, including issuing our own commercial paper,
purchasing federal funds, selling securities under agreements to repurchase,
arranging lines of credit from other banks and obtaining credit facilities from
the Federal Home Loan Banks. Additional information on short-term borrowings
is provided in Note 10 to the Consolidated Financial Statements on pages 57 and
58 of our 2001 Annual Report on Form 10-K. Offshore deposits in the
international market provide another available source of funds.

Funds taken in the intermediate- and longer-term markets are structured to
avoid concentration of maturities and to reduce refinancing risk. We also
attempt to diversify the types of instruments issued to avoid undue reliance on
any one market.

Liquidity for the parent company is primarily provided by dividend and interest
income from its subsidiaries. Short-term cash requirements are met through
liquidation of short-term investments. Longer-term liquidity is provided by
access to the capital markets and the ability to obtain resources from BNP
Paribas.

NONAUDIT SERVICES PROVIDED BY AUDITORS

In the period from January 1 to November 8, 2002, our audit committee has
approved up to $2.3 million in fees related to non-audit services provided by
our independent public accountants, PricewaterhouseCoopers. These fees relate
primarily to the integration efforts of UCB with Bank of the West.

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##### Table of Contents



CAPITAL

Stockholders equity increased to $3.932 billion
at September 30, 2002 from $2.002 billion at
December 31, 2001, an increase of $1.929 billion, or
96.4%. Stockholders equity at September 30, 2002
increased as compared to September 30, 2001 by $1.792 billion, or
83.7%. The increases were primarily due to the issuance of additional
Class A common shares in connection with the UCB acquisition.

Capital adequacy regulations require the Companys depository institution
subsidiaries to maintain minimum amounts of Tier 1 Capital and Total Capital
and minimum ratios of Tier 1 Capital and Total Capital to risk-weighted assets,
respectively, and of Tier 1 Capital to average assets (leverage). These amounts
and ratios as of September 30, 2002 are set forth below:

|                                        |                  |  |        |           |                   |  |            |       |       |  |             |           |                   |  |  |      |   |  |                        |           |  |  |  |       |  
|--------------------------------------- | ---------------- |  | ------ | --------- | ----------------- |  | ---------- | ----- | ----- |  | ----------- | --------- | ----------------- |  |  | ---- | - |  | ---------------------- | --------- |  |  |  | ----- | -
|                                        |                  |  |        |           |                   |  |            |       |       |  |             |           |                   |  |  |      |   |  | To Be Well Capitalized
|                                        |                  |  |        |           |                   |  |            |       |       |  |             |           |                   |  |  |      |   |  | Under Prompt          
|                                        |                  |  |        |           |                   |  |            |       |       |  | For Capital |           | Corrective Action
|                                        |                  |  | Actual |           | Adequacy Purposes |  | Provisions
|                                        |                  |  |        |           |                   |  |           
|                                        |                  |  | Amount |           | Ratio             |  | Amount     |       | Ratio |  | Amount      |           | Ratio            
|                                        |                  |  |        |           |                   |  |            |       |       |  |             |           |                  
|(dollars in thousands)                  |                  |  |        |           |                   |  |            |       |       |  |             |           |                   |  |  |      |   |  |                        |           |  |  |  |      
|                                       
|                                       
|                                       
|                                       
|Tier 1 Capital to
Risk-Weighted
Assets: |                  |  |        |           |                   |  |            |       |       |  |             |           |                   |  |  |      |   |  |                        |           |  |  |  |      
|                                        | Bank of the West |  | $      | 2,072,200 |                   |  |            | 9.84  | %     |  | $           | 842,589   |                   |  |  | 4.00 | % |  | $                      | 1,263,883 |  |  |  | 6.00  | %
|                                        | First Hawaiian   |  |        | 705,546   |                   |  |            | 11.06 |       |  |             | 255,173   |                   |  |  | 4.00 |   |  |                        | 382,759   |  |  |  | 6.00  |  
|Total Capital to
Risk-Weighted
Assets:  |                  |  |        |           |                   |  |            |       |       |  |             |           |                   |  |  |      |   |  |                        |           |  |  |  |      
|                                        | Bank of the West |  | $      | 2,561,040 |                   |  |            | 12.16 | %     |  | $           | 1,685,178 |                   |  |  | 8.00 | % |  | $                      | 2,106,472 |  |  |  | 10.00 | %
|                                        | First Hawaiian   |  |        | 859,294   |                   |  |            | 13.47 |       |  |             | 510,346   |                   |  |  | 8.00 |   |  |                        | 637,932   |  |  |  | 10.00 |  
|Tier 1 Capital to
Average Assets:       |                  |  |        |           |                   |  |            |       |       |  |             |           |                   |  |  |      |   |  |                        |           |  |  |  |      
|                                        | Bank of the West |  | $      | 2,072,200 |                   |  |            | 8.94  | %     |  | $           | 926,897   |                   |  |  | 4.00 | % |  | $                      | 1,158,622 |  |  |  | 5.00  | %
|                                        | First Hawaiian   |  |        | 705,546   |                   |  |            | 9.08  |       |  |             | 310,697   |                   |  |  | 4.00 |   |  |                        | 388,372   |  |  |  | 5.00  |  

We elected to become a financial holding company concurrent with the BNP
Paribas Merger. Because of this election only our depository institution
subsidiaries are subject to various regulatory capital requirements
administered by the Federal banking agencies. If these subsidiaries fail to
meet minimum capital requirements, the Federal agencies can initiate certain
mandatory actions. Such regulatory actions could have a material effect on the
Companys financial statements.

Under capital adequacy guidelines and the regulatory framework for prompt
corrective action, our depository institution subsidiaries must each meet
specific capital guidelines that involve quantitative measures of their assets,
liabilities and certain off-balance-sheet items as calculated under regulatory
accounting practices. These capital amounts and classifications are also
subject to qualitative judgments by the regulators about components, risk
weightings and other factors.

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Item 3.    Quantitative and Qualitative Disclosures About Market Risk

INTEREST RATE RISK MEASUREMENT AND MANAGEMENT

The Companys net interest income is subject to interest rate risk to the
extent our interest-bearing liabilities (primarily deposits and borrowings)
mature or reprice on a different basis than our interest-earning assets
(primarily loans and leases and investment securities). When interest-bearing
liabilities mature or reprice more quickly than interest-earning assets during
a given period, an increase in interest rates could reduce net interest income.
Similarly, when interest-earning assets mature or reprice more quickly than
interest-bearing liabilities, a decrease in interest rates could have a
negative impact on net interest income. In addition, the impact of interest
rate swings may be exacerbated by factors such as our customers propensity to
manage their demand deposit balances more or less aggressively or to refinance
mortgage and other consumer loans depending on the interest rate environment.

The Asset/Liability Committees of the Company and its major subsidiaries are
responsible for managing interest rate risk. The Asset/Liability Committees
generally meet monthly or quarterly. The committees may recommend changes to a
particular subsidiarys interest rate profile to their respective Board of
Directors, should changes be necessary and depart significantly from
established policies. Other than commitments to purchase and sell foreign
currencies and mortgage-backed securities and certain interest rates swaps and
options, interest rate derivatives are not entered into for trading purposes.

We also enter into customer accommodation interest rate swaps and foreign
exchange spot and forward contracts to offset either the customers
counter-position or our foreign currency denominated deposits. These contracts
basically offset each other and they do not expose us to material losses
resulting from interest rate or foreign currency fluctuations.

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##### Table of Contents



INTEREST RATE RISK MEASUREMENT AND MANAGEMENT, Continued

The Company models its net interest income in order to quantify its exposure to
changes in interest rates. Generally, the size of the balance sheet is held
relatively constant and then subjected to interest rate shocks up and down in
100 basis-point increments. Each account-level item is repriced according to
its respective contractual characteristics, including any imbedded options
which might exist (e.g. periodic interest rate caps or floors or loans and
leases which permit the borrower to prepay the principal balance of the loan or
lease prior to maturity without penalty). Derivative financial instruments
such as interest rate swaps, swaptions, caps or floors are included as part of
the modeling process. For each interest rate shock scenario, net interest
income over a 12-month horizon is compared against the results of a scenario in
which no interest rate change occurs (flat rate scenario) to determine the
level of interest rate risk at that time.

The projected impact of 100 basis-point incremental increases and decreases in
interest rates on the Companys consolidated net interest income over the 12
months beginning October 1 and January 1, 2002 is shown below:

|                      |  |      |         |     |  |     |         |      |  |     |         |   |  |   |         |   |  |   |         |   
|--------------------- |  | ---- | ------- | --- |  | --- | ------- | ---- |  | --- | ------- | - |  | - | ------- | - |  | - | ------- | --
|(dollars in millions) |  | + 3% |         | +2% |  | +1% |         | Flat |  | -1%
|                      |  |      |         |     |  |     |         |      |  |    
|October 1, 2002       |  |      |         |     |  |     |         |      |  |     |         |   |  |   |         |   |  |   |         |   
|Net Interest Income   |  | $    | 1,331.4 |     |  | $   | 1,318.9 |      |  | $   | 1,300.9 |   |  | $ | 1,279.1 |   |  | $ | 1,251.3 |   
|Difference from flat  |  | $    | 51.7    |     |  | $   | 39.2    |      |  | $   | 21.1    |   |  | $ |        |   |  | $ | (28.4   | ) 
|% variance            |  |      | 4.0     | %   |  |     | 3.1     | %    |  |     | 1.7     | % |  |   |        | % |  |   | (2.2    | )%
|                      |  |      |         |     |  |     |         |      |  |     |         |   |  |   |         |   |  |   |         |   
|January 1, 2002       |  |      |         |     |  |     |         |      |  |     |         |   |  |   |         |   |  |   |         |   
|Net Interest Income   |  | $    | 850.5   |     |  | $   | 855.5   |      |  | $   | 859.0   |   |  | $ | 857.9   |   |  | $ | 855.4   |   
|Difference from flat  |  | $    | (7.4    | )   |  | $   | (2.4    | )    |  | $   | 1.1     |   |  | $ |        |   |  | $ | (2.5    | ) 
|% variance            |  |      | (0.9    | )%  |  |     | 0.3     | %    |  |     | 0.1     | % |  |   |        | % |  |   | (0.3    | )%
|                      |  |      |         |     |  |     |         |      |  |     |         |   |  |   |         |   |  |   |         |   

The changes in the models are due to differences in interest rate environments
which include the absolute level of interest rates, the shape of the yield
curve and spreads between benchmark rates.

SIGNIFICANT ASSUMPTIONS UTILIZED AND INHERENT LIMITATIONS

The net interest income changes for each interest rate scenario presented above
include assumptions based on accelerating or decelerating mortgage and
installment loan prepayments in declining or rising scenarios, respectively,
and adjusting deposit levels and mix in the different interest rate scenarios.
The magnitude of changes to both areas in turn are based upon analyses of
customers historic behavior in differing rate environments. However, these
analyses may differ from actual future customer behavior. For example, actual
prepayments may differ from current assumptions as prepayments are affected by
many variables which cannot be predicted with certainty (e.g. prepayments of
mortgages may differ on fixed and adjustable loans depending upon current
interest rates, expectations of future interest rates, availability of
refinancing, economic benefit to borrower, financial viability of borrower,
etc.).

As with any model for analyzing interest rate risk, certain limitations are
inherent in the method of analysis presented above. For example, the actual
impact on net interest income due to certain interest rate shocks may differ
from those projections presented should market conditions vary from assumptions
used in the analysis. Furthermore, the analysis does not consider the effects
of a changed level of overall economic activity that could exist in certain
interest rate environments. Moreover, the method of analysis used does not
take into account the actions that management might take to respond to changes
in interest rates because of inherent difficulties in determining the
likelihood or impact of any such response.




Item 4.    Controls and Procedures

Within the 90 days prior to the date of this report, the Company carried out an
evaluation, under the supervision and with the participation of the Companys
management, including the Companys chairman and chief executive officer and
its chief financial officer, of the effectiveness of the design and operation
of the Companys disclosure controls and procedures pursuant to Exchange Act
Rule 13a-14. Based upon that evaluation, its chairman and chief executive
officer and its chief financial officer concluded that the Companys disclosure
controls and procedures are effective in timely alerting them to material
information relating to the Company (including its consolidated subsidiaries)
required to be included in the Companys periodic SEC filings.

There were no significant changes in the Companys internal controls or in
other factors that could significantly affect these controls subsequent to the
date of their most recent evaluation.

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PART II.    OTHER INFORMATION




Item 6.    Exhibits and Reports on Form 8-K

|         |  |                     |  |                                           
|-------- |  | ------------------- |  | ------------------------------------------
|Exhibits |  |                     |  |                                           
|        
|(a)      |  | Exhibit 12          |  | Statement regarding computation of ratios.
|        
|(b)      |  | Reports on Form 8-K |  | None.                                     

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SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the
registrant has duly caused this report to be signed on its behalf by the
undersigned, thereunto duly authorized.

|                        |    |                                                                                                                                 | 
|----------------------- | -- | ------------------------------------------------------------------------------------------------------------------------------- | 
|                        |    | BANCWEST CORPORATION
                  (Registrant)                                                                            
|                       
|Date: November 14, 2002 | By | /s/     Douglas C. GrigsbyDouglas C. Grigsby
Executive Vice President and Chief Financial Officer
(principal financial officer)

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CERTIFICATION

I, Walter A. Dods, Jr., certify that:

1.    I have reviewed this quarterly report on Form 10-Q of BancWest
Corporation;

2.    Based on my knowledge, this quarterly report does not contain any
untrue statement of a material fact or omit to state a material fact necessary
to make the statements made, in light of the circumstances under which such
statements were made, not misleading with respect to the period covered by this
quarterly report;

3.    Based on my knowledge, the financial statements, and other financial
information included in this quarterly report, fairly present in all material
respects the financial condition, results of operations and cash flows of the
registrant as of, and for, the periods presented in this quarterly report;

4.    The registrants other certifying officers and I are responsible for
establishing and maintaining disclosure controls and procedures (as defined in
Exchange Act Rules 13a-14 and 15d-14) for the registrant and have:

| |                                                                                                                                                                                                                                                                                                    
| | ---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
| | a)  Designed such disclosure controls and procedures to ensure that
material information relating to the registrant, including its
consolidated subsidiaries, is made known to us by others within those
entities, particularly during the period in which this quarterly report
is being prepared;

| |                                                                                                                                                                                                  
| | -------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
| | b)  Evaluated the effectiveness of the registrants disclosure
controls and procedures as of a date within 90 days prior to the filing
date of this quarterly report (the Evaluation Date); and

| |                                                                                                                                                                            
| | ---------------------------------------------------------------------------------------------------------------------------------------------------------------------------
| | c)  Presented in this quarterly report our conclusions about the
effectiveness of the disclosure controls and procedures based on our
evaluation as of the Evaluation Date;

5.    The registrants other certifying officers and I have disclosed, based
on our most recent evaluation, to the registrants auditors and the audit
committee of the registrants board of directors (or persons performing the
equivalent functions):

| |                                                                                                                                                                                                                                                                                                   
| | --------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
| | a)  All significant deficiencies in the design or operation of
internal controls which could adversely affect the registrants ability
to record, process, summarize and report financial data and have
identified for the registrants auditors any material weaknesses in
internal controls; and

| |                                                                                                                                                           
| | ----------------------------------------------------------------------------------------------------------------------------------------------------------
| | b)  Any fraud, whether or not material, that involves management or
other employees who have a significant role in the registrants internal
controls; and

6.    The registrants other certifying officers and I have indicated in this
quarterly report whether there were significant changes in internal controls or
in other factors that could significantly affect internal controls subsequent
to the date of our most recent evaluation, including any corrective actions
with regard to significant deficiencies and material weaknesses.

|                                                                                                 | 
|------------------------------------------------------------------------------------------------ | 
|/s/     Walter A. Dods, Jr.Name: Walter A. Dods, Jr.
Title: Chairman and Chief Executive Officer

Date: November 14, 2002

35



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##### Table of Contents



I, Douglas C. Grigsby, certify that:

1.    I have reviewed this quarterly report on Form 10-Q of the BancWest
Corporation;

2.    Based on my knowledge, this quarterly report does not contain any
untrue statement of a material fact or omit to state a material fact necessary
to make the statements made, in light of the circumstances under which such
statements were made, not misleading with respect to the period covered by this
quarterly report;

3.    Based on my knowledge, the financial statements, and other financial
information included in this quarterly report, fairly present in all material
respects the financial condition, results of operations and cash flows of the
registrant as of, and for, the periods presented in this quarterly report;

4.    The registrants other certifying officers and I are responsible for
establishing and maintaining disclosure controls and procedures (as defined in
Exchange Act Rules 13a-14 and 15d-14) for the registrant and have:

| |                                                                                                                                                                                                                                                                                                    
| | ---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
| | a)  Designed such disclosure controls and procedures to ensure that
material information relating to the registrant, including its
consolidated subsidiaries, is made known to us by others within those
entities, particularly during the period in which this quarterly report
is being prepared;

| |                                                                                                                                                                                                  
| | -------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
| | b)  Evaluated the effectiveness of the registrants disclosure
controls and procedures as of a date within 90 days prior to the filing
date of this quarterly report (the Evaluation Date); and

| |                                                                                                                                                                            
| | ---------------------------------------------------------------------------------------------------------------------------------------------------------------------------
| | c)  Presented in this quarterly report our conclusions about the
effectiveness of the disclosure controls and procedures based on our
evaluation as of the Evaluation Date;

5.    The registrants other certifying officers and I have disclosed, based
on our most recent evaluation, to the registrants auditors and the audit
committee of the registrants board of directors (or persons performing the
equivalent functions):

| |                                                                                                                                                                                                                                                                                                   
| | --------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
| | a)  All significant deficiencies in the design or operation of
internal controls which could adversely affect the registrants ability
to record, process, summarize and report financial data and have
identified for the registrants auditors any material weaknesses in
internal controls; and

| |                                                                                                                                                           
| | ----------------------------------------------------------------------------------------------------------------------------------------------------------
| | b)  Any fraud, whether or not material, that involves management or
other employees who have a significant role in the registrants internal
controls; and

6.    The registrants other certifying officers and I have indicated in this
quarterly report whether there were significant changes in internal controls or
in other factors that could significantly affect internal controls subsequent
to the date of our most recent evaluation, including any corrective actions
with regard to significant deficiencies and material weaknesses.

|                                                                                                                | 
|--------------------------------------------------------------------------------------------------------------- | 
|/s/     Douglas C. GrigsbyName:  Douglas C. Grigsby
Title: Executive Vice President and Chief Financial Officer

Date: November 14, 2002

36



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##### Table of Contents






EXHIBIT INDEX

|        |  |                                           
|------- |  | ------------------------------------------
|Exhibit |  |                                           
|Number  |  | Description                               
|        |  |                                           
|12      |  | Statement regarding computation of ratios.

37