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

|                                                                             |  |                 
|---------------------------------------------------------------------------- |  | ----------------
|999 Bishop Street, Honolulu, Hawaii
(Address of principal executive offices) |  | 96813
(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:
9.50% Quarterly Income Preferred Securities




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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  [X]    No  [   ]

The number of shares outstanding of each of the issuers classes of common stock
as of August 1, 2002 was:

|                                      |  |                  
|------------------------------------- |  | -----------------
|Class                                 |  | Outstanding      
|                                      |  |                  
|Class A Common Stock, $0.01 Par Value |  | 85,759,123 Shares



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TABLE OF CONTENTS



|                              |                                                                                               |                                                        |  |  |  |  |  | 
|----------------------------- | --------------------------------------------------------------------------------------------- | ------------------------------------------------------ |  |  |  |  |  | 
|PART I. FINANCIAL INFORMATION
|                              | Item 1. Financial Statements                                                                 
|                              |                                                                                               | CONSOLIDATED BALANCE SHEETS (Unaudited)               
|                              |                                                                                               | CONSOLIDATED STATEMENTS OF INCOME (Unaudited)         
|                              |                                                                                               | CHANGES IN STOCKHOLDERS EQUITY (Unaudited)           
|                              |                                                                                               | CONSOLIDATED STATEMENTS OF CASH FLOWS (Unaudited)     
|                              |                                                                                               | NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Unaudited)
|                              | Item 2. Managements Discussion and Analysis of Financial Condition and Results of Operations
|                              | Item 3. Quantitative and Qualitative Disclosures About Market Risk                           
|PART II. OTHER INFORMATION   
|                              | Item 6. Exhibits and Reports on Form 8-K                                                     
|SIGNATURES                   
|EXHIBIT INDEX                
|EXHIBIT 12                   
|BANCWEST CORPORATION         
|BANCWEST CORPORATION         



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##### Table of Contents



PART I. FINANCIAL INFORMATION

|              |  |                                                                                                            |  |      
|------------- |  | ---------------------------------------------------------------------------------------------------------- |  | -----
|              |  |                                                                                                            |  | Page 
|              |  |                                                                                                            |  |      
|Item 1.       |  | Financial Statements (Unaudited)                                                                           |  |      
|             
|              |  | Consolidated Balance Sheets at June 30, 2002, December 31, 2001 and
June 30, 2001                          |  | 2-3  
|             
|              |  | Consolidated Statements of Income for the three and six months ended
June 30, 2002 and 2001                |  | 4    
|             
|              |  | Consolidated Statements of Changes in Stockholders Equity for the six months
ended June 30, 2002 and 2001 |  | 5    
|             
|              |  | Consolidated Statements of Cash Flows for the six months ended
June 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   
|             
|PART II.      |  | OTHER INFORMATION                                                                                          |  |      
|             
|Item 6.       |  | Exhibits and Reports on Form 8-K                                                                           |  | 33   
|             
|SIGNATURES    |  | 34                                                                                                        
|             
|EXHIBIT INDEX |  |                                                                                                           





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##### Table of Contents






PART I. FINANCIAL INFORMATION







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

|                                                                                      |                                  |                     |            |            |            |              |            |                |            |   |            |            |            | 
|------------------------------------------------------------------------------------- | -------------------------------- | ------------------- | ---------- | ---------- | ---------- | ------------ | ---------- | -------------- | ---------- | - | ---------- | ---------- | ---------- | 
|                                                                                      |                                  |                     |            | June 30,   |            | December 31, |            | June 30,      
|                                                                                      |                                  |                     |            | 2002       |            | 2001         |            | 2001          
|                                                                                      |                                  |                     |            |            |            |              |            |               
|                                                                                      |                                  |                     |            |            |            |              |            | (in thousands) |            |   |            |           
|Assets                                                                                |                                  |                     |            |            |            |              |            |                |            |   |            |           
|Cash and due from banks                                                               |                                  | $                   | 1,457,969  |            |            | $            | 737,262    |                |            | $ | 780,564    |           
|Interest-bearing deposits in other banks                                              |                                  |                     | 169,263    |            |            |              | 109,935    |                |            |   | 208,826    |           
|Federal funds sold and securities purchased
under agreements to resell                |                                  |                     | 322,175    |            |            |              | 233,000    |                |            |   | 85,000     |           
|Investment securities:                                                                |                                  |                     |            |            |            |              |            |                |            |   |            |           
|                                                                                      | Held-to-maturity                 |                     |            |           |            |              |            |               |            |   |            | 97,764     |           
|                                                                                      | Available-for-sale               |                     |            | 3,469,985  |            |              |            | 2,542,173      |            |   |            | 2,164,189  |           
|Loans and leases:                                                                     |                                  |                     |            |            |            |              |            |                |            |   |            |           
|                                                                                      | Loans and leases                 |                     |            | 24,162,810 |            |              |            | 15,223,732     |            |   |            | 14,528,631 |           
|                                                                                      | Less allowance for credit losses |                     |            | 387,272    |            |              |            | 194,654        |            |   |            | 191,698    |           
|                                                                                      |                                  |                     |            |            |            |              |            |                |            |   |            |           
|Net loans and leases                                                                  |                                  |                     | 23,775,538 |            |            |              | 15,029,078 |                |            |   | 14,336,933 |           
|                                                                                      |                                  |                     |            |            |            |              |            |                |            |   |            |           
|Premises and equipment, net                                                           |                                  |                     | 400,294    |            |            |              | 273,035    |                |            |   | 286,810    |           
|Customersacceptance liability                                                        |                                  |                     | 15,632     |            |            |              | 1,498      |                |            |   | 1,127      |           
|Core deposit intangible, net                                                          |                                  |                     | 221,938    |            |            |              | 110,239    |                |            |   | 74,080     |           
|Goodwill, net                                                                         |                                  |                     | 3,384,904  |            |            |              | 2,061,805  |                |            |   | 673,763    |           
|Other real estate owned and repossessed
personal property                             |                                  |                     | 22,566     |            |            |              | 22,321     |                |            |   | 21,467     |           
|Other assets                                                                          |                                  |                     | 742,445    |            |            |              | 526,168    |                |            |   | 585,460    |           
|                                                                                      |                                  |                     |            |            |            |              |            |                |            |   |            |           
|Total assets                                                                          |                                  | $                   | 33,982,709 |            |            | $            | 21,646,514 |                |            | $ | 19,315,983 |           
|                                                                                      |                                  |                     |            |            |            |              |            |                |            |   |            |           
|Liabilities and Stockholders Equity                                                  |                                  |                     |            |            |            |              |            |                |            |   |            |           
|Deposits:                                                                             |                                  |                     |            |            |            |              |            |                |            |   |            |           
|                                                                                      | Domestic:                        |                     |            |            |            |              |            |                |            |   |            |            |           
|                                                                                      |                                  | Interest-bearing    |            | $          | 17,068,061 |              |            | $              | 11,453,882 |   |            | $          | 11,169,811 | 
|                                                                                      |                                  | Noninterest-bearing |            |            | 6,300,200  |              |            |                | 3,407,209  |   |            |            | 3,200,251  | 
|                                                                                      | Foreign                          |                     |            | 740,738    |            |              |            | 472,960        |            |   |            | 245,512    |           
|                                                                                      |                                  |                     |            |            |            |              |            |                |            |   |            |           
|Total deposits                                                                        |                                  |                     | 24,108,999 |            |            |              | 15,334,051 |                |            |   | 14,615,574 |           
|                                                                                      |                                  |                     |            |            |            |              |            |                |            |   |            |           
|Federal funds purchased and securities sold
under agreements to repurchase            |                                  |                     | 940,415    |            |            |              | 713,384    |                |            |   | 561,554    |           
|Other short-term borrowings                                                           |                                  |                     | 1,690,115  |            |            |              | 240,936    |                |            |   | 147,612    |           
|Acceptances outstanding                                                               |                                  |                     | 15,632     |            |            |              | 1,498      |                |            |   | 1,127      |           
|Other liabilities                                                                     |                                  |                     | 1,079,851  |            |            |              | 891,641    |                |            |   | 878,745    |           
|Long-term debt                                                                        |                                  |                     | 2,087,635  |            |            |              | 2,197,954  |                |            |   | 780,334    |           
|Guaranteed preferred beneficial interests
in Companys junior subordinated debentures |                                  |                     | 260,583    |            |            |              | 265,130    |                |            |   | 250,000    |           
|                                                                                      |                                  |                     |            |            |            |              |            |                |            |   |            |           
|Total liabilities                                                                     |                                  | $                   | 30,183,230 |            |            | $            | 19,644,594 |                |            | $ | 17,234,946 |           
|                                                                                      |                                  |                     |            |            |            |              |            |                |            |   |            |           

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

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BancWest Corporation SubsidiariesCONSOLIDATED BALANCE SHEETS, Continued(Unaudited)

|                                           |                                                                                                                         |                                                                                                          |            |                                       |     |              |            |           |     |   |            |           |        | 
|------------------------------------------ | ----------------------------------------------------------------------------------------------------------------------- | -------------------------------------------------------------------------------------------------------- | ---------- | ------------------------------------- | --- | ------------ | ---------- | --------- | --- | - | ---------- | --------- | ------ | 
|                                           |                                                                                                                         |                                                                                                          |            | June 30,                              |     | December 31, |            | June 30, 
|                                           |                                                                                                                         |                                                                                                          |            | 2002                                  |     | 2001         |            | 2001     
|                                           |                                                                                                                         |                                                                                                          |            |                                       |     |              |            |          
|                                           |                                                                                                                         |                                                                                                          |            | (in thousands, except per share data)
|Stockholders equity:                      |                                                                                                                         |                                                                                                          |            |                                       |     |              |            |           |     |   |            |          
|                                           | Class A common stock, par value $.01 per share at June 30, 2002
and December 31, 2001 and $1 per share at June 30, 2001 |                                                                                                          |            |                                       |     |              |            |           |     |   |            |           |       
|                                           |                                                                                                                         | Authorized  150,000,000 shares at June 30, 2002, December 31, 2001
and June 30, 2001                    |            |                                       |     |              |            |           |     |   |            |           |        | 
|                                           |                                                                                                                         | Issued  85,759,123 shares at June 30, 2002 and 56,074,874 shares
at December 31, 2001 and June 30, 2001 |            | $                                     | 858 |              |            | $         | 561 |   |            | $         | 56,075 | 
|                                           | Common stock, par value $1 per share                                                                                    |                                                                                                          |            |                                       |     |              |            |           |     |   |            |           |       
|                                           |                                                                                                                         | Authorized  400,000,000 shares at June 30, 2001                                                         |            |                                       |     |              |            |           |     |   |            |           |        | 
|                                           |                                                                                                                         | Issued  71,102,674 shares at June 30, 2001                                                              |            |                                       |    |              |            |           |    |   |            |           | 71,103 | 
|                                           | Surplus                                                                                                                 |                                                                                                          |            | 3,587,403                             |     |              |            | 1,985,275 |     |   |            | 1,126,739 |       
|                                           | Retained earnings                                                                                                       |                                                                                                          |            | 170,297                               |     |              |            | 8,302     |     |   |            | 850,644   |       
|                                           | Accumulated other comprehensive income, net                                                                             |                                                                                                          |            | 40,921                                |     |              |            | 7,782     |     |   |            | 14,530    |       
|                                           | Treasury stock, at cost  2,367,178 shares at June 30, 2001                                                             |                                                                                                          |            |                                      |     |              |            |          |     |   |            | (38,054   | )     
|                                           |                                                                                                                         |                                                                                                          |            |                                       |     |              |            |           |     |   |            |           |        | 
|Total
stockholders equity                 |                                                                                                                         |                                                                                                          | 3,799,479  |                                       |     |              | 2,001,920  |           |     |   | 2,081,037  |          
|                                           |                                                                                                                         |                                                                                                          |            |                                       |     |              |            |           |     |   |            |           |        | 
|Total liabilities and stockholders equity |                                                                                                                         | $                                                                                                        | 33,982,709 |                                       |     | $            | 21,646,514 |           |     | $ | 19,315,983 |          
|                                           |                                                                                                                         |                                                                                                          |            |                                       |     |              |            |           |     |   |            |          

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

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BancWest Corporation and SubsidiariesCONSOLIDATED STATEMENTS OF INCOME(Unaudited)

|                                     |                                                       |   |         |                             |  |                           |         |         |  |      |         |         |  |   |         |         |  | 
|------------------------------------ | ----------------------------------------------------- | - | ------- | --------------------------- |  | ------------------------- | ------- | ------- |  | ---- | ------- | ------- |  | - | ------- | ------- |  | 
|                                     |                                                       |   |         | Three Months Ended June 30, |  | Six Months Ended June 30,
|                                     |                                                       |   |         |                             |  |                          
|                                     |                                                       |   |         | 2002                        |  | 2001                      |         | 2002    |  | 2001
|                                     |                                                       |   |         |                             |  |                           |         |         |  |     
|                                     |                                                       |   |         | (in thousands)             
|Interest income                      |                                                       |   |         |                             |  |                           |         |         |  |      |         |         |  |   |         |        
|Interest and fees on loans           |                                                       | $ | 370,008 |                             |  | $                         | 257,400 |         |  | $    | 626,237 |         |  | $ | 519,842 |        
|Lease financing income               |                                                       |   | 36,240  |                             |  |                           | 36,373  |         |  |      | 72,966  |         |  |   | 71,968  |        
|Interest on investment securities:   |                                                       |   |         |                             |  |                           |         |         |  |      |         |         |  |   |         |        
|                                     | Taxable interest income                               |   |         | 39,699                      |  |                           |         | 33,558  |  |      |         | 73,961  |  |   |         | 66,751  | 
|                                     | Exempt from Federal income taxes                      |   |         | 190                         |  |                           |         | 119     |  |      |         | 234     |  |   |         | 237     | 
|Other interest income                |                                                       |   | 1,553   |                             |  |                           | 6,110   |         |  |      | 3,576   |         |  |   | 13,613  |        
|                                     |                                                       |   |         |                             |  |                           |         |         |  |      |         |         |  |   |         |        
|                                     | Total interest income                                 |   |         | 447,690                     |  |                           |         | 333,560 |  |      |         | 776,974 |  |   |         | 672,411 | 
|                                     |                                                       |   |         |                             |  |                           |         |         |  |      |         |         |  |   |         |        
|Interest expense                     |                                                       |   |         |                             |  |                           |         |         |  |      |         |         |  |   |         |        
|Deposits                             |                                                       |   | 78,778  |                             |  |                           | 105,861 |         |  |      | 142,407 |         |  |   | 226,282 |        
|Short-term borrowings                |                                                       |   | 10,263  |                             |  |                           | 9,894   |         |  |      | 16,056  |         |  |   | 20,112  |        
|Long-term debt                       |                                                       |   | 36,755  |                             |  |                           | 19,117  |         |  |      | 72,137  |         |  |   | 37,956  |        
|                                     |                                                       |   |         |                             |  |                           |         |         |  |      |         |         |  |   |         |        
|                                     | Total interest expense                                |   |         | 125,796                     |  |                           |         | 134,872 |  |      |         | 230,600 |  |   |         | 284,350 | 
|                                     |                                                       |   |         |                             |  |                           |         |         |  |      |         |         |  |   |         |        
|                                     | Net interest income                                   |   |         | 321,894                     |  |                           |         | 198,688 |  |      |         | 546,374 |  |   |         | 388,061 | 
|Provision for credit losses          |                                                       |   | 22,902  |                             |  |                           | 23,150  |         |  |      | 42,909  |         |  |   | 58,350  |        
|                                     |                                                       |   |         |                             |  |                           |         |         |  |      |         |         |  |   |         |        
|                                     | Net interest income after provision for
credit losses |   |         | 298,992                     |  |                           |         | 175,538 |  |      |         | 503,465 |  |   |         | 329,711 | 
|                                     |                                                       |   |         |                             |  |                           |         |         |  |      |         |         |  |   |         |        
|Noninterest income                   |                                                       |   |         |                             |  |                           |         |         |  |      |         |         |  |   |         |        
|Service charges on deposit accounts  |                                                       |   | 36,561  |                             |  |                           | 22,573  |         |  |      | 62,535  |         |  |   | 43,009  |        
|Trust and investment services income |                                                       |   | 10,252  |                             |  |                           | 8,083   |         |  |      | 18,392  |         |  |   | 17,210  |        
|Other service charges and fees       |                                                       |   | 31,912  |                             |  |                           | 20,198  |         |  |      | 55,410  |         |  |   | 38,572  |        
|Securities gains, net                |                                                       |   | 456     |                             |  |                           | 19,936  |         |  |      | 684     |         |  |   | 61,236  |        
|Other                                |                                                       |   | 9,248   |                             |  |                           | 9,006   |         |  |      | 14,032  |         |  |   | 18,268  |        
|                                     |                                                       |   |         |                             |  |                           |         |         |  |      |         |         |  |   |         |        
|                                     | Total noninterest income                              |   |         | 88,429                      |  |                           |         | 79,796  |  |      |         | 151,053 |  |   |         | 178,295 | 
|                                     |                                                       |   |         |                             |  |                           |         |         |  |      |         |         |  |   |         |        
|Noninterest expense                  |                                                       |   |         |                             |  |                           |         |         |  |      |         |         |  |   |         |        
|Salaries and wages                   |                                                       |   | 86,463  |                             |  |                           | 51,390  |         |  |      | 146,557 |         |  |   | 100,767 |        
|Employee benefits                    |                                                       |   | 35,675  |                             |  |                           | 18,844  |         |  |      | 59,157  |         |  |   | 36,817  |        
|Occupancy expense                    |                                                       |   | 23,495  |                             |  |                           | 17,006  |         |  |      | 39,109  |         |  |   | 33,241  |        
|Outside services                     |                                                       |   | 17,808  |                             |  |                           | 11,999  |         |  |      | 31,060  |         |  |   | 23,502  |        
|Intangible amortization              |                                                       |   | 5,763   |                             |  |                           | 11,136  |         |  |      | 8,520   |         |  |   | 21,420  |        
|Equipment expense                    |                                                       |   | 14,480  |                             |  |                           | 7,558   |         |  |      | 22,209  |         |  |   | 15,090  |        
|Restructuring and integration costs  |                                                       |   | 2,738   |                             |  |                           |        |         |  |      | 8,753   |         |  |   | 3,935   |        
|Other                                |                                                       |   | 42,398  |                             |  |                           | 29,783  |         |  |      | 72,553  |         |  |   | 63,032  |        
|                                     |                                                       |   |         |                             |  |                           |         |         |  |      |         |         |  |   |         |        
|                                     | Total noninterest expense                             |   |         | 228,820                     |  |                           |         | 147,716 |  |      |         | 387,918 |  |   |         | 297,804 | 
|                                     |                                                       |   |         |                             |  |                           |         |         |  |      |         |         |  |   |         |        
|Income before income taxes           |                                                       |   | 158,601 |                             |  |                           | 107,618 |         |  |      | 266,600 |         |  |   | 210,202 |        
|Provision for income taxes           |                                                       |   | 62,023  |                             |  |                           | 41,677  |         |  |      | 104,605 |         |  |   | 82,514  |        
|                                     |                                                       |   |         |                             |  |                           |         |         |  |      |         |         |  |   |         |        
|Net income                           |                                                       | $ | 96,578  |                             |  | $                         | 65,941  |         |  | $    | 161,995 |         |  | $ | 127,688 |        
|                                     |                                                       |   |         |                             |  |                           |         |         |  |      |         |         |  |   |         |        

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

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##### Table of Contents






BancWest Corporation and SubsidiariesCONSOLIDATED 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                                                                                                      |   |                                       |  |        |   |         |  |          |   |             |  |               |   |          | 161,995 |       |   |             |       |  |   |         |  |  |   |           | 161,995 | 
|                                                      | Unrealized valuation adjustment,
net of tax and reclassification
adjustment                                     |   |                                       |  |        |   |         |  |          |   |             |  |               |   |          |        |       |   |             | 21,946 |  |   |         |  |  |   |           | 21,946  | 
|                                                      | Change in fair value of cash-flow
type hedge derivative
instruments, net of tax
and reclassification adjustment |   |                                       |  |        |   |         |  |          |   |             |  |               |   |          |        |       |   |             | 11,193 |  |   |         |  |  |   |           | 11,193  | 
|                                                      |                                                                                                                 |   |                                       |   |        |   |         |   |          |   |             |   |               |   |          |         |       |   |             |        |  |   |         |   |  |   |           |        
|                                                      | Comprehensive income                                                                                            |   |                                       |  |        |   |         |  |          |   |             |  |               |   |          | 161,995 |       |   |             | 33,139 |  |   |         |  |  |   |           | 195,134 | 
|                                                      |                                                                                                                 |   |                                       |   |        |   |         |   |          |   |             |   |               |   |          |         |       |   |             |        |  |   |         |   |  |   |           |        
|Issuance of Class A common stock                      |                                                                                                                 |   | 297                                   |   |        |   |        |   |          |   | 1,599,703   |   |               |   |         |         |       |   |            |        |  |   |        |   |  |   | 1,600,000 |        
|Discounted Share Purchase Plan                        |                                                                                                                 |   |                                      |   |        |   |        |   |          |   | 2,425       |   |               |   |         |         |       |   |            |        |  |   |        |   |  |   | 2,425     |        
|                                                      |                                                                                                                 |   |                                       |   |        |   |         |   |          |   |             |   |               |   |          |         |       |   |             |        |  |   |         |   |  |   |           |        
|Balance, June 30, 2002                                |                                                                                                                 | $ | 858                                   |   |        | $ |        |   |          | $ | 3,587,403   |   |               | $ | 170,297  |         |       | $ | 40,921      |        |  | $ |        |   |  | $ | 3,799,479 |        
|                                                      |                                                                                                                 |   |                                       |   |        |   |         |   |          |   |             |   |               |   |          |         |       |   |             |        |  |   |         |   |  |   |           |        
|Balance, December 31, 2000                            |                                                                                                                 | $ | 56,075                                |   |        | $ | 71,041  |   |          | $ | 1,125,652   |   |               | $ | 770,350  |         |       | $ | 7,601       |        |  | $ | (41,226 | ) |  | $ | 1,989,493 |        
|Comprehensive income:                                 |                                                                                                                 |   |                                       |   |        |   |         |   |          |   |             |   |               |   |          |         |       |   |             |        |  |   |         |   |  |   |           |        
|                                                      | Net income                                                                                                      |   |                                       |  |        |   |         |  |          |   |             |  |               |   |          | 127,688 |       |   |             |       |  |   |         |  |  |   |           | 127,688 | 
|                                                      | Unrealized valuation adjustment,
net of tax and reclassification
adjustment                                     |   |                                       |  |        |   |         |  |          |   |             |  |               |   |          |        |       |   |             | 6,929  |  |   |         |  |  |   |           | 6,929   | 
|                                                      |                                                                                                                 |   |                                       |   |        |   |         |   |          |   |             |   |               |   |          |         |       |   |             |        |  |   |         |   |  |   |           |        
|                                                      | Comprehensive income                                                                                            |   |                                       |  |        |   |         |  |          |   |             |  |               |   |          | 127,688 |       |   |             | 6,929  |  |   |         |  |  |   |           | 134,617 | 
|                                                      |                                                                                                                 |   |                                       |   |        |   |         |   |          |   |             |   |               |   |          |         |       |   |             |        |  |   |         |   |  |   |           |        
|Issuance of common stock                              |                                                                                                                 |   |                                      |   |        |   | 62      |   |          |   | (76         | ) |               |   |         |         |       |   |            |        |  |   |        |   |  |   | (14       | )      
|Incentive Plan for Key Executives                     |                                                                                                                 |   |                                      |   |        |   |        |   |          |   | 30          |   |               |   |         |         |       |   |            |        |  |   |        |   |  |   | 30        |        
|Issuance of treasury stock under
Stock Incentive Plan |                                                                                                                 |   |                                      |   |        |   |        |   |          |   | 1,133       |   |               |   |         |         |       |   |            |        |  |   | 3,172   |   |  |   | 4,305     |        
|Cash dividends ($.38 per share)                       |                                                                                                                 |   |                                      |   |        |   |        |   |          |   |            |   |               |   | (47,394  | )       |       |   |            |        |  |   |        |   |  |   | (47,394   | )      
|                                                      |                                                                                                                 |   |                                       |   |        |   |         |   |          |   |             |   |               |   |          |         |       |   |             |        |  |   |         |   |  |   |           |        
|Balance, June 30, 2001                                |                                                                                                                 | $ | 56,075                                |   |        | $ | 71,103  |   |          | $ | 1,126,739   |   |               | $ | 850,644  |         |       | $ | 14,530      |        |  | $ | (38,054 | ) |  | $ | 2,081,037 |        
|                                                      |                                                                                                                 |   |                                       |   |        |   |         |   |          |   |             |   |               |   |          |         |       |   |             |        |  |   |         |   |  |   |           |        

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

5



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##### Table of Contents






BancWest Corporation and SubsidiariesCONSOLIDATED STATEMENTS OF CASH FLOWS(Unaudited)

|                                                                         |                                                                                   |                                                                                                   |                                            |            |                           |         |          |         |            |         |  
|------------------------------------------------------------------------ | --------------------------------------------------------------------------------- | ------------------------------------------------------------------------------------------------- | ------------------------------------------ | ---------- | ------------------------- | ------- | -------- | ------- | ---------- | ------- | -
|                                                                         |                                                                                   |                                                                                                   |                                            |            | Six Months Ended June 30,
|                                                                         |                                                                                   |                                                                                                   |                                            |            |                          
|                                                                         |                                                                                   |                                                                                                   |                                            |            | 2002                      |         | 2001    
|                                                                         |                                                                                   |                                                                                                   |                                            |            |                           |         |         
|                                                                         |                                                                                   |                                                                                                   |                                            |            | (in thousands)           
|Cash flows from operating activities:                                    |                                                                                   |                                                                                                   |                                            |            |                           |         |          |        
|                                                                         | Net income                                                                        |                                                                                                   | $                                          | 161,995    |                           |         | $        | 127,688 |           
|                                                                         | Adjustments to reconcile net income to net cash
provided by operating activities: |                                                                                                   |                                            |            |                           |         |          |         |           
|                                                                         |                                                                                   |                                                                                                   | Provision for credit losses                |            |                           | 42,909  |          |         |            | 58,350  |  
|                                                                         |                                                                                   |                                                                                                   | Depreciation and amortization              |            |                           | 31,017  |          |         |            | 38,608  |  
|                                                                         |                                                                                   |                                                                                                   | Income taxes                               |            |                           | 100,293 |          |         |            | 79,398  |  
|                                                                         |                                                                                   |                                                                                                   | Decrease (increase) in interest receivable |            |                           | (65,274 | )        |         |            | 7,466   |  
|                                                                         |                                                                                   |                                                                                                   | Increase (decrease) in interest payable    |            |                           | 18,044  |          |         |            | (43,372 | )
|                                                                         |                                                                                   |                                                                                                   | Increase in prepaid expenses               |            |                           | (28,385 | )        |         |            | (1,641  | )
|                                                                         |                                                                                   |                                                                                                   | Restructuring and integration costs        |            |                           | 8,753   |          |         |            | 3,935   |  
|                                                                         |                                                                                   |                                                                                                   | Other                                      |            |                           | 4,475   |          |         |            | (40,671 | )
|                                                                         |                                                                                   |                                                                                                   |                                            |            |                           |         |          |         |           
|Net cash provided by operating activities                                |                                                                                   |                                                                                                   | 273,827                                    |            |                           |         | 229,761  |        
|                                                                         |                                                                                   |                                                                                                   |                                            |            |                           |         |          |        
|Cash flows from investing activities:                                    |                                                                                   |                                                                                                   |                                            |            |                           |         |          |        
|                                                                         |                                                                                   | Net increase in interest-bearing deposits in other banks                                          |                                            |            | (59,328                   | )       |          |         | (202,854   | )      
|                                                                         |                                                                                   | Net decrease (increase) in Federal funds sold and
securities purchased under agreements to resell |                                            |            | (53,175                   | )       |          |         | 447,100    |        
|                                                                         |                                                                                   | Proceeds from maturity of held-to-maturity
investment securities                                  |                                            |            |                          |         |          |         | 28,214     |        
|                                                                         |                                                                                   | Purchase of held-to-maturity investment securities                                                |                                            |            |                          |         |          |         | (33,038    | )      
|                                                                         |                                                                                   | Proceeds from sale of available-for-sale investment securities                                    |                                            |            | 24,908                    |         |          |         |           |        
|                                                                         |                                                                                   | Proceeds from maturity of available-for-sale
investment securities                                |                                            |            | 421,445                   |         |          |         | 938,533    |        
|                                                                         |                                                                                   | Purchase of available-for-sale investment securities                                              |                                            |            | (856,639                  | )       |          |         | (1,103,094 | )      
|                                                                         |                                                                                   | Proceeds from sale of Concord stock                                                               |                                            |            |                          |         |          |         | 45,359     |        
|                                                                         |                                                                                   | Purchase of bank owned life insurance                                                             |                                            |            |                          |         |          |         | (102,708   | )      
|                                                                         |                                                                                   | Net increase in loans and leases to customers                                                     |                                            |            | (267,689                  | )       |          |         | (368,196   | )      
|                                                                         |                                                                                   | Net cash provided by (paid for) acquisitions                                                      |                                            |            | (1,793,000                | )       |          |         | 632,965    |        
|                                                                         |                                                                                   | Purchase of premises and equipment                                                                |                                            |            | (10,545                   | )       |          |         | (9,742     | )      
|                                                                         |                                                                                   | Other                                                                                             |                                            |            | (326                      | )       |          |         | (1,167     | )      
|                                                                         |                                                                                   |                                                                                                   |                                            |            |                           |         |          |         |           
|Net cash provided by (used) in investing activities                      |                                                                                   |                                                                                                   | (2,594,349                                 | )          |                           |         | 271,372  |        
|                                                                         |                                                                                   |                                                                                                   |                                            |            |                           |         |          |        
|Cash flows from financing activities:                                    |                                                                                   |                                                                                                   |                                            |            |                           |         |          |        
|                                                                         |                                                                                   | Net increase (decrease) in deposits                                                               |                                            |            | 401,822                   |         |          |         | (739,104   | )      
|                                                                         |                                                                                   | Net decrease in Federal funds purchased and securities
sold under agreements to repurchase        |                                            |            | (41,906                   | )       |          |         | (16,066    | )      
|                                                                         |                                                                                   | Net increase in other short-term borrowings                                                       |                                            |            | 1,296,179                 |         |          |         | 56,164     |        
|                                                                         |                                                                                   | (Payments on) proceeds from long-term debt, net                                                   |                                            |            | (214,866                  | )       |          |         | 147,911    |        
|                                                                         |                                                                                   | Cash dividends paid                                                                               |                                            |            |                          |         |          |         | (47,394    | )      
|                                                                         |                                                                                   | Proceeds from issuance of Class A common stock                                                    |                                            |            | 1,600,000                 |         |          |         |           |        
|                                                                         |                                                                                   | Payments on exercise of common stock options                                                      |                                            |            |                          |         |          |         | (14        | )      
|                                                                         |                                                                                   | Proceeds from issuance of treasury stock                                                          |                                            |            |                          |         |          |         | 4,335      |        
|                                                                         |                                                                                   |                                                                                                   |                                            |            |                           |         |          |         |            |        
|Net cash provided by (used in) financing activities                      |                                                                                   |                                                                                                   | 3,041,229                                  |            |                           |         | (594,168 | )      
|                                                                         |                                                                                   |                                                                                                   |                                            |            |                           |         |          |        
|Net increase (decrease) in cash and due from banks                       |                                                                                   |                                                                                                   | 720,707                                    |            |                           |         | (93,035  | )      
|Cash and due from banks at beginning of period                           |                                                                                   |                                                                                                   | 737,262                                    |            |                           |         | 873,599  |        
|                                                                         |                                                                                   |                                                                                                   |                                            |            |                           |         |          |         |           
|Cash and due from banks at end of period                                 |                                                                                   | $                                                                                                 | 1,457,969                                  |            |                           | $       | 780,564  |        
|                                                                         |                                                                                   |                                                                                                   |                                            |            |                           |         |          |        
|Supplemental disclosures:                                                |                                                                                   |                                                                                                   |                                            |            |                           |         |          |        
|                                                                         | Interest paid                                                                     |                                                                                                   | $                                          | 212,556    |                           |         | $        | 321,186 |           
|                                                                         |                                                                                   |                                                                                                   |                                            |            |                           |         |          |        
|                                                                         | Income taxes paid                                                                 |                                                                                                   | $                                          | 4,312      |                           |         | $        | 3,116   |           
|                                                                         |                                                                                   |                                                                                                   |                                            |            |                           |         |          |         |           
|Supplemental schedule of noncash investing
and financing activities:     |                                                                                   |                                                                                                   |                                            |            |                           |         |          |        
|                                                                         | Loans converted into other real estate owned and
repossessed personal property    |                                                                                                   | $                                          | 7,790      |                           |         | $        | 3,802   |           
|                                                                         |                                                                                   |                                                                                                   |                                            |            |                           |         |          |         |           
|                                                                         | Loans made to facilitate the sale of other real estate owned                      |                                                                                                   | $                                          | 110        |                           |         | $        | 3,563   |           
|                                                                         |                                                                                   |                                                                                                   |                                            |            |                           |         |          |        
|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 SubsidiariesNOTES 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 July 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 on our goodwill. Had we amortized the
goodwill arising from the BNP Paribas Merger, pre-tax amortization of goodwill
of approximately $51.6 million (assuming an amortization period of 20 years)
would have been recorded on the Companys consolidated financial statements in
the first six 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 $19.2 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 six months periods ended June 30, 2002 and 2001:

|                            |                       |      |                |        |  |  |   |        | 
|--------------------------- | --------------------- | ---- | -------------- | ------ |  |  | - | ------ | 
|Three months ended June 30, |                       | 2002 |                | 2001  
|                            |                       |      |                |       
|                            |                       |      | (in thousands)
|Net Income:                 |                       |      |                |        |  |  |   |       
|                            | As reported           |      | $              | 96,578 |  |  | $ | 65,941 | 
|                            | Goodwill amortization |      |                |       |  |  |   | 7,377  | 
|                            |                       |      |                |        |  |  |   |        | 
|                            | As adjusted           |      | $              | 96,578 |  |  | $ | 73,318 | 
|                            |                       |      |                |        |  |  |   |       

|                          |                       |      |                |         |  |  |   |         | 
|------------------------- | --------------------- | ---- | -------------- | ------- |  |  | - | ------- | 
|Six months ended June 30, |                       | 2002 |                | 2001   
|                          |                       |      |                |        
|                          |                       |      | (in thousands)
|Net Income:               |                       |      |                |         |  |  |   |        
|                          | As reported           |      | $              | 161,995 |  |  | $ | 127,688 | 
|                          | Goodwill amortization |      |                |        |  |  |   | 14,706  | 
|                          |                       |      |                |         |  |  |   |         | 
|                          | As adjusted           |      | $              | 161,995 |  |  | $ | 142,394 | 
|                          |                       |      |                |         |  |  |   |        

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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 in the six-month period ended June 30, 2002 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 June 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 Sheet. In addition, we
would record approximately $4 million in additional depreciation expense
annually.

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 accounting
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, which complements Bank of the Wests existing network in Northern
California, the Pacific Northwest, New
Mexico and Nevada. We expect to achieve cost savings for the combined company
of approximately $75 million per year beginning in 2003. These cost savings
are primarily in compensation and occupancy related expenses. Branches of UCB
are expected to be 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. Approximately $8.8 million of these costs
were incurred during the first six 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: $34.2
million for losses on subleases, $8.5 million for contract cancellations, $1.5
million for relocation and other. In the three months ended June 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 six months of 2002 as follows: $6.5 million for severance payments,
$.6 million for sublease loss amortization, $3.5 million for contract
cancellation payments and $.3 million for relocation payments. These amounts
are estimates and subject to change, as more information becomes available.

The following unaudited pro forma financial information for the three and
six months ended June 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.

8



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##### Table of Contents



BancWest Corporation and SubsidiariesNOTES TO CONSOLIDATED FINANCIAL STATEMENTS(Unaudited)

|                    |  |                                                      |         |      |  |   |         | 
|------------------- |  | ---------------------------------------------------- | ------- | ---- |  | - | ------- | 
|                    |  | Pro Forma Financial Information for the three months
|                    |  | ended June 30,                                      
|                    |  |                                                     
|                    |  | 2002                                                 |         | 2001
|                    |  |                                                      |         |     
|                    |  | (in thousands)                                      
|Net Interest Income |  | $                                                    | 307,998 |      |  | $ | 301,260 | 
|Noninterest Income  |  |                                                      | 88,429  |      |  |   | 135,813 | 
|Noninterest Expense |  |                                                      | 229,268 |      |  |   | 241,787 | 
|Net Income          |  |                                                      | 88,043  |      |  |   | 96,408  | 

|                    |  |                                                    |         |      |  |   |         | 
|------------------- |  | -------------------------------------------------- | ------- | ---- |  | - | ------- | 
|                    |  | Pro Forma Financial Information for the six months
|                    |  | ended June 30,                                    
|                    |  |                                                   
|                    |  | 2002                                               |         | 2001
|                    |  |                                                    |         |     
|                    |  | (in thousands)                                    
|Net Interest Income |  | $                                                  | 614,699 |      |  | $ | 601,224 | 
|Noninterest Income  |  |                                                    | 170,979 |      |  |   | 270,272 | 
|Noninterest Expense |  |                                                    | 459,264 |      |  |   | 480,207 | 
|Net Income          |  |                                                    | 164,208 |      |  |   | 191,422 | 

BNP Paribas Merger

On December 20, 2001, Chauchat L.L.C., a Delaware limited liability
company (Merger Sub), merged with and into BancWest pursuant to an Agreement
and Plan of Merger, dated as of May 8, 2001, as amended and restated as of July
19, 2001, by and among BancWest, BNP Paribas, and the Merger Sub (the Merger
Agreement). The Merger Sub was a wholly-owned subsidiary of BNP Paribas. At
the effective time of the BNP Paribas Merger, all outstanding shares of common
stock, par value $1 per share (Company Common Stock), of BancWest were
cancelled and converted solely into the right to receive $35 per share in cash.
Pursuant to the Merger Agreement, each share of Class A common stock, par
value $1 per share, owned by BNP Paribas and French American Banking
Corporation, a wholly-owned subsidiary of BNP Paribas, remained outstanding as
one share of Class A Common Stock and all of the units of the Merger Sub were
cancelled without any consideration becoming payable therefor. Concurrent with
the BNP Paribas Merger, the par value of the Class A common stock was changed
to $.01. As a result of the BNP Paribas Merger, BancWest became a wholly-owned
subsidiary of BNP Paribas.

The BNP Paribas Merger significantly affected our financial statements.
Push-down accounting was required for this business combination. Essentially,
this resulted in three major changes to our balance sheet:



| |  | Purchase price adjustments and new intangibles: As part of purchase
accounting, our assets and liabilities were adjusted to fair value. Among
the items adjusted were identifiable intangible assets related to our
deposits, loans and leases, property and equipment, pension assets and
liabilities and other items.
|- |  | -----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
| 
| |  | New debt: As part of the BNP Paribas Merger, we assumed $1.55 billion in
new debt from the Merger Sub. This debt is between BancWest and another
subsidiary of BNP Paribas.                                                                                                                                            
| 
| |  | New equity basis: Due to the use of push-down accounting in the BNP
Paribas Merger, the equity balances at December 31, 2001 reflect BNP
Paribas basis in the Company.                                                                                                                                              

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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
six months ended June 30, 2002 and 2001 and as of and for the year ended
December 31, 2001:

|                                                                                         |  |                |         |                   |  |               |         |  |  |   |         | 
|---------------------------------------------------------------------------------------- |  | -------------- | ------- | ----------------- |  | ------------- | ------- |  |  | - | ------- | 
|                                                                                         |  | June 30, 2002  |         | December 31, 2001 |  | June 30, 2001
|                                                                                         |  |                |         |                   |  |              
|                                                                                         |  | (in thousands)
|Impaired loans with related allowance for credit
losses calculated under SFAS No. 114    |  | $              | 183,742 |                   |  | $             | 89,273  |  |  | $ | 91,674  | 
|Impaired loans with no related allowance for credit
losses calculated under SFAS No. 114 |  |                | 13,566  |                   |  |               | 8,253   |  |  |   | 31,604  | 
|                                                                                         |  |                |         |                   |  |               |         |  |  |   |         | 
|Impaired loans                                                                           |  | $              | 197,308 |                   |  | $             | 97,526  |  |  | $ | 123,278 | 
|                                                                                         |  |                |         |                   |  |               |         |  |  |   |         | 
|Total allowance for credit losses on impaired loans                                      |  | $              | 51,499  |                   |  | $             | 24,745  |  |  | $ | 20,315  | 
|Average impaired loans                                                                   |  |                | 133,931 |                   |  |               | 118,497 |  |  |   | 127,563 | 
|Interest income recognized on impaired loans                                             |  |                | 1,661   |                   |  |               | 2,462   |  |  |   | 1,036   | 

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 June 30, 2002, we carried $600 million of interest rate swaps,
categorized as cash flow hedges, with a fair market value of $31.0 million. We
pay 3-month LIBOR on 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 were entered into in 2001 and mature in 2006.
The net settlement on the $600 million of interest rate swaps increased
commercial loan interest income by $6.5 million from March 16, 2002 through
June 30, 2002. We estimate net settlement gains, recorded as commercial loan
interest income, of $19 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 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 June 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 or
for the three and six months ended June 30, 2002 and 2001, respectively:

|                    |  |                             |        |          |  |       |       |       |        |             |              |   |  |   |        |   |  |   |        | 
|------------------- |  | --------------------------- | ------ | -------- |  | ----- | ----- | ----- | ------ | ----------- | ------------ | - |  | - | ------ | - |  | - | ------ | 
|                    |  | Three Months Ended June 30,
|                    |  |                            
|                    |  | Bank of                     |        | First    |  |       |       |       |        | Reconciling | Consolidated
|                    |  | the West                    |        | Hawaiian |  | Other |       | Items | Totals
|                    |  |                             |        |          |  |       |       |       |       
|                    |  | (in millions)              
|2002                |  |                             |        |          |  |       |       |       |        |             |              |   |  |   |        |   |  |   |        | 
|Net interest income |  | $                           | 271    |          |  | $     | 82    |       |        | $           | (31          | ) |  | $ |       |   |  | $ | 322    | 
|Net income          |  |                             | 86     |          |  |       | 31    |       |        |             | (20          | ) |  |   |       |   |  |   | 97     | 
|Segment assets      |  |                             | 25,482 |          |  |       | 8,869 |       |        |             | 7,335        |   |  |   | (7,703 | ) |  |   | 33,983 | 
|Goodwill            |  |                             | 2,218  |          |  |       | 994   |       |        |             | 173          |   |  |   |       |   |  |   | 3,385  | 
|2001                |  |                             |        |          |  |       |       |       |        |             |              |   |  |   |        |   |  |   |        | 
|Net interest income |  | $                           | 120    |          |  | $     | 82    |       |        | $           | (3           | ) |  | $ |       |   |  | $ | 199    | 
|Net income          |  |                             | 35     |          |  |       | 33    |       |        |             | (2           | ) |  |   |       |   |  |   | 66     | 
|Segment assets      |  |                             | 12,323 |          |  |       | 7,424 |       |        |             | 3,385        |   |  |   | (3,816 | ) |  |   | 19,316 | 
|Goodwill            |  |                             | 605    |          |  |       | 69    |       |        |             |             |   |  |   |       |   |  |   | 674    | 

|                    |  |                           |        |          |  |       |       |       |  |             |       |              |  |   |        |   |  |   |        | 
|------------------- |  | ------------------------- | ------ | -------- |  | ----- | ----- | ----- |  | ----------- | ----- | ------------ |  | - | ------ | - |  | - | ------ | 
|                    |  | Six Months Ended June 30,
|                    |  |                          
|                    |  | Bank of                   |        | First    |  |       |       |       |  | Reconciling |       | Consolidated
|                    |  | the West                  |        | Hawaiian |  | Other |       | Items |  | Totals     
|                    |  |                           |        |          |  |       |       |       |  |            
|                    |  | (in millions)            
|2002                |  |                           |        |          |  |       |       |       |  |             |       |              |  |   |        |   |  |   |        | 
|Net interest income |  | $                         | 440    |          |  | $     | 165   |       |  | $           | (59   | )            |  | $ |       |   |  | $ | 546    | 
|Net income          |  |                           | 137    |          |  |       | 62    |       |  |             | (37   | )            |  |   |       |   |  |   | 162    | 
|Segment assets      |  |                           | 25,482 |          |  |       | 8,869 |       |  |             | 7,335 |              |  |   | (7,703 | ) |  |   | 33,983 | 
|Goodwill            |  |                           | 2,218  |          |  |       | 994   |       |  |             | 173   |              |  |   |       |   |  |   | 3,385  | 
|2001                |  |                           |        |          |  |       |       |       |  |             |       |              |  |   |        |   |  |   |        | 
|Net interest income |  | $                         | 232    |          |  | $     | 163   |       |  | $           | (7    | )            |  | $ |       |   |  | $ | 388    | 
|Net income          |  |                           | 69     |          |  |       | 64    |       |  |             | (5    | )            |  |   |       |   |  |   | 128    | 
|Segment assets      |  |                           | 12,323 |          |  |       | 7,424 |       |  |             | 3,385 |              |  |   | (3,816 | ) |  |   | 19,316 | 
|Goodwill            |  |                           | 605    |          |  |       | 69    |       |  |             |      |              |  |   |       |   |  |   | 674    | 

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

11



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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) risk and
uncertainties regarding the purchase of UCB, including: a) the possibility of
customer or employee attrition following the UCB transaction; b) lower than
expected revenues following the UCB transaction; and c) problems or delays in
bringing together UCB with BancWest/Bank of the West; (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, integration and other nonrecurring 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.

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BancWest Corporation and SubsidiariesCONSOLIDATED FINANCIAL HIGHLIGHTS(Unaudited)

|                                                                           |  |                             |         |                           |  |      |        |      |  |   |         |   |  |   |         |  
|-------------------------------------------------------------------------- |  | --------------------------- | ------- | ------------------------- |  | ---- | ------ | ---- |  | - | ------- | - |  | - | ------- | -
|                                                                           |  | Three Months Ended June 30, |         | Six Months Ended June 30,
|                                                                           |  |                             |         |                          
|(dollars in thousands)                                                     |  | 2002                        |         | 2001                      |  | 2002 |        | 2001
|                                                                           |  |                             |         |                           |  |      |        |     
|Earnings:                                                                  |  |                             |         |                           |  |      |        |      |  |   |         |   |  |   |         |  
|Net income                                                                 |  | $                           | 96,578  |                           |  | $    | 65,941 |      |  | $ | 161,995 |   |  | $ | 127,688 |  
|Selected Financial Ratios:                                                 |  |                             |         |                           |  |      |        |      |  |   |         |   |  |   |         |  
|Return on average total assets (ROA)                                       |  |                             |         |                           |  |      |        |      |  |   | 1.14    | % |  |   | 1.35    | %
|Return on average stockholders equity (ROE)                               |  |                             |         |                           |  |      |        |      |  |   | 10.83   |   |  |   | 12.55   |  
|Net interest margin (taxable-equivalent basis)                             |  |                             |         |                           |  |      |        |      |  |   | 4.62    |   |  |   | 4.62    |  
|Allowance for credit losses to total loans
and leases (at June 30)         |  |                             |         |                           |  |      |        |      |  |   | 1.60    |   |  |   | 1.32    |  
|Nonperforming assets to total assets (at June 30)                          |  |                             |         |                           |  |      |        |      |  |   | .74     |   |  |   | .68     |  
|Allowance for credit losses to nonperforming
loans and leases (at June 30) |  |                             |         |                           |  |      |        |      |  |   | 1.69x   |   |  |   | 1.74x   |  
|                                                                          
|Non-GAAP
Information(1)                                                    |  |                             |         |                           |  |      |        |      |  |   |         |   |  |   |         |  
|Operating earnings(2)                                                      |  | $                           | 98,188  |                           |  | $    | 65,941 |      |  | $ | 167,203 |   |  | $ | 130,030 |  
|Cash earnings(3)                                                           |  |                             | 100,010 |                           |  |      | 75,646 |      |  |   | 167,071 |   |  |   | 145,949 |  
|Operating cash earnings(2), (3)                                            |  |                             | 101,620 |                           |  |      | 75,646 |      |  |   | 172,279 |   |  |   | 148,291 |  
|Selected Financial Ratios:                                                 |  |                             |         |                           |  |      |        |      |  |   |         |   |  |   |         |  
|Operating return on average total assets (ROA)(2)                          |  |                             |         |                           |  |      |        |      |  |   | 1.18    | % |  |   | 1.37    | %
|Return on average tangible assets(4)                                       |  |                             |         |                           |  |      |        |      |  |   | 1.36    |   |  |   | 1.63    |  
|Operating
return on average stockholders equity (ROE)(2)                  |  |                             |         |                           |  |      |        |      |  |   | 11.17   |   |  |   | 12.78   |  



|(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 $1,610,000 in
the second quarter of 2002, $5,208,000 for the six months ended
June 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 six months ended June 30, 2002 to the
same periods in 2001:

|                            |                  |                                    |  |                |         |      |  |          |         |     |  |  |      |  
|--------------------------- | ---------------- | ---------------------------------- |  | -------------- | ------- | ---- |  | -------- | ------- | --- |  |  | ---- | -
|                            |                  |                                    |  | 2002           |         | 2001 |  | % Change
|                            |                  |                                    |  |                |         |      |  |         
|                            |                  |                                    |  | (in thousands) |         |      |  |         
|Three months ended June 30, |                  |                                    |  |                |         |      |  |          |         |     |  | 
|                            |                  | Net income                         |  | $              | 96,578  |      |  | $        | 65,941  | (1) |  |  | 46.5 | %
|                            |                  |                                    |  |                |         |      |  |          |         |     |  |  |      |  
|                            | Non-GAAP income: |                                    |  |                |         |      |  |          |         |     |  |  |     
|                            |                  | Operating
earnings(5)              |  |                | 98,188  |      |  |          | 65,941  | (1) |  |  | 48.9 |  
|                            |                  | Cash earnings(2)                   |  |                | 100,010 |      |  |          | 75,646  | (1) |  |  | 32.2 |  
|                            |                  | Operating
cash earnings(2),(5)     |  |                | 101,620 |      |  |          | 75,646  | (1) |  |  | 34.3 |  
|Six months ended June 30,   |                  |                                    |  |                |         |      |  |          |         |     |  | 
|                            |                  | Net income                         |  | $              | 161,995 |      |  | $        | 127,688 | (3) |  |  | 26.9 | %
|                            |                  |                                    |  |                |         |      |  |          |         |     |  |  |      |  
|                            | Non-GAAP income: |                                    |  |                |         |      |  |          |         |     |  |  |     
|                            |                  | Operating earnings(4),(5)          |  |                | 167,203 |      |  |          | 130,030 | (3) |  |  | 28.6 |  
|                            |                  | Cash earnings(2)                   |  |                | 167,071 |      |  |          | 145,949 | (3) |  |  | 14.5 |  
|                            |                  | Operating cash earnings(2),(4),(5) |  |                | 172,279 |      |  |          | 148,291 | (3) |  |  | 16.2 |  



|(1) |  | Includes a $7.3 million after-tax net effect of the additional gain realized on the
sale of the Concord securities in June 2001 and an additional provision for credit
losses. Excluding the after-tax net effect of the gain and additional provision for
credit losses, second quarter 2001 earnings and cash earnings were $58.6 million and
$68.3 million, respectively.                                                                                                                                                                 
|--- |  | ---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
|   
|   
|   
|   
|   
|(2) |  | Excluding after-tax amortization of goodwill and core deposit intangibles.                                                                                                                                                                                                                                                                                                                                                                                                                                                                   
|   
|   
|   
|   
|   
|(3) |  | 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, earnings
and cash earnings for the six months ended June 30, 2001 were $112.8 million and
$131 million, respectively. Operating earnings and operating cash earnings,
excluding the net after-tax effect of the aforementioned items, were $115.1 million
and $133.4 million, respectively.
|   
|   
|   
|   
|   
|(4) |  | 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.                                                                                                                                                                                                                                                                                                                                                                               
|   
|(5) |  | Excluding after-tax restructuring and integration costs of
$1.6 million in the second quarter of 2002 and $5.2 million
in the first six months of 2002, related to the
United California Bank acquisition in March 2002.                                                                                                                                                                                                                                                                                                                     

Net income and cash earnings increased for the three months ended June 30, 2002
compared to the same period in 2001, primarily due to higher net interest
income, resulting from higher average earning assets and a lower rate paid on
funding sources. Also contributing to the increase in our net income and cash
earnings in the second quarter of 2002 over the same period in 2001 was
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 six 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 cessation of the amortization of 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
six 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  | %    |  |          | 1.35  | % |  |  | (15.6 | )%
|Return on average stockholders equity              |  |      | 10.83 |      |  |          | 12.55 |   |  |  | (13.7 | ) 
|Non-GAAP returns:                                   |  |      |       |      |  |          |       |   |  |  |       |   
|Operating return on average total assets(1)         |  |      | 1.18  |      |  |          | 1.37  |   |  |  | (13.9 | ) 
|Return on average tangible assets(1)                |  |      | 1.36  |      |  |          | 1.63  |   |  |  | (16.6 | ) 
|Operating return on average stockholders equity(1) |  |      | 11.17 |      |  |          | 12.78 |   |  |  | (12.6 | ) 



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

NET INTEREST INCOME

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

|                            |                     |  |                |         |      |  |          |         |  |  |  |      |  
|--------------------------- | ------------------- |  | -------------- | ------- | ---- |  | -------- | ------- |  |  |  | ---- | -
|                            |                     |  | 2002           |         | 2001 |  | % Change
|                            |                     |  |                |         |      |  |         
|                            |                     |  | (in thousands) |         |      |  |         
|Three months ended June 30, |                     |  |                |         |      |  |          |         |  |  |  |     
|                            | Net interest income |  | $              | 322,183 |      |  | $        | 198,766 |  |  |  | 62.1 | %
|Six months ended June 30,   |                     |  |                |         |      |  |          |         |  |  |  |     
|                            | Net interest income |  | $              | 546,741 |      |  | $        | 388,214 |  |  |  | 40.8 | %

The increase in net interest income for the three months ended June 30, 2002
over the same period in 2001 was primarily due to an increase in average
earning assets of 62.2%, or $10.6 billion, and a 134-basis-point decrease (1%
equals 100 basis points) in the rate paid on funding sources, offset by a
135-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 $2.7 billion, or 87.4%, in the second quarter of 2002 over
the same period in 2001.

The increase in net interest income for the six months ended June 30, 2002 over
the same period in 2001 was primarily due to an increase in average earning
assets of 40.8%, or $6.9 billion, and a 143-basis-point decline in the rate
paid on funding sources, offset by a 143-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 $1.8 billion, or
58.7%, in the first six months of 2002 over the same period in 2001.

15



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##### Table of Contents



NET INTEREST INCOME, Continued

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

|                            |                                 |  |      |      |      |  |                |      |   |  |        |      |  
|--------------------------- | ------------------------------- |  | ---- | ---- | ---- |  | -------------- | ---- | - |  | ------ | ---- | -
|                            |                                 |  |      |      |      |  |                |      |   |  | Change
|                            |                                 |  | 2002 |      | 2001 |  | (Basis Points)
|                            |                                 |  |      |      |      |  |               
|Three months ended June 30, |                                 |  |      |      |      |  |                |      |   |  |        |     
|                            | Yield on average earning assets |  |      | 6.47 | %    |  |                | 7.82 | % |  |        | (135 | )
|                            | Rate paid on funding sources    |  |      | 1.82 |      |  |                | 3.16 |   |  |        | (134 | )
|                            |                                 |  |      |      |      |  |                |      |   |  |        |     
|                            | Net interest margin             |  |      | 4.65 |      |  |                | 4.66 |   |  |        | (1   | )
|Six months ended June 30,   |                                 |  |      |      |      |  |                |      |   |  |        |     
|                            | Yield on average earning assets |  |      | 6.57 | %    |  |                | 8.00 | % |  |        | (143 | )
|                            | Rate paid on funding sources    |  |      | 1.95 |      |  |                | 3.38 |   |  |        | (143 | )
|                            |                                 |  |      |      |      |  |                |      |   |  |        |     
|                            | Net interest margin             |  |      | 4.62 |      |  |                | 4.62 |   |  |        |     |  

In the three-month period ended June 30, 2002, as compared to the same period
in 2001, the net interest margin decreased by 1 basis point, primarily due to
the decline in the rate paid on funding sources of 134 basis points and a
decrease in the yield on average earning assets of 135 basis points. The
effects of the reduction of key interest rates by the Federal Reserve are
primarily responsible for the decline in yields and rates.

The net interest margin for the first six months of 2002 is the same as the
first six 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 six months ended June 30, 2002 as compared to the
same periods in 2001. The percentage of average noninterest-bearing deposits
to total average deposits increased to 24.5% and 23.7% over 21.6% and 21.3%,
for the three and six months ended June 30, 2002 and 2001, respectively.

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

|                            |  |                                                   |  |                |            |      |  |          |            |  |  |  |      |  
|--------------------------- |  | ------------------------------------------------- |  | -------------- | ---------- | ---- |  | -------- | ---------- |  |  |  | ---- | -
|                            |  |                                                   |  | 2002           |            | 2001 |  | % Change
|                            |  |                                                   |  |                |            |      |  |         
|                            |  |                                                   |  | (in thousands) |            |      |  |         
|Three months ended June 30, |  |                                                   |  |                |            |      |  |          |            |  |  | 
|                            |  | Average earning assets                            |  | $              | 27,769,418 |      |  | $        | 17,123,696 |  |  |  | 62.2 | %
|                            |  | Average loans and leases                          |  |                | 24,210,725 |      |  |          | 14,401,157 |  |  |  | 68.1 |  
|                            |  | Average interest-bearing
deposits and liabilities |  |                | 22,774,492 |      |  |          | 13,249,065 |  |  |  | 71.9 |  
|Six months ended June 30,   |  |                                                   |  |                |            |      |  |          |            |  |  | 
|                            |  | Average earning assets                            |  | $              | 23,864,302 |      |  | $        | 16,950,114 |  |  |  | 40.8 | %
|                            |  | Average loans and leases                          |  |                | 20,556,271 |      |  |          | 14,274,044 |  |  |  | 44.0 |  
|                            |  | Average interest-bearing
deposits and liabilities |  |                | 19,815,177 |      |  |          | 13,140,994 |  |  |  | 50.8 |  

The increase in average earning assets was primarily due to increases in
average loans and leases. The increase in average loans and leases was
primarily due to the growth of our Bank of the West operating segments loan
and lease portfolio, including 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 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



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##### 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 June 30
|                                                                       |                      |   |                           
|                                                                       |                      |   | 2002                       |            | 2001   
|                                                                       |                      |   |                            |            |        
|                                                                       |                      |   |                            |            |         |   | Interest |         |         |  |         |      |         |   |            |            | Interest |   |         |         | 
|                                                                       |                      |   | Average                    |            | Income/ |   | Yield/   |         | Average |  | Income/ |      | Yield/ 
|                                                                       |                      |   | Balance                    |            | Expense |   | Rate(1)  |         | Balance |  | Expense |      | Rate(1)
|                                                                       |                      |   |                            |            |         |   |          |         |         |  |         |      |        
|                                                                       |                      |   | (dollars in thousands)    
|ASSETS                                                                 |                      |   |                            |            |         |   |          |         |         |  |         |      |         |   |            |            |          |   |         |         |  |  |      |     
|Earning assets:                                                        |                      |   |                            |            |         |   |          |         |         |  |         |      |         |   |            |            |          |   |         |         |  |  |      |     
|Interest-bearing deposits
in other banks                               |                      | $ | 102,552                    |            |         | $ | 493      |         |         |  | 1.93    | %    |         | $ | 269,997    |            |          | $ | 3,327   |         |  |  | 4.94 | %   
|Federal funds sold and
securities purchased
under agreements to
resell |                      |   | 237,677                    |            |         |   | 1,060    |         |         |  | 1.79    |      |         |   | 245,639    |            |          |   | 2,783   |         |  |  | 4.54 |     
|Investment securities(2)                                               |                      |   | 3,218,464                  |            |         |   | 40,096   |         |         |  | 5.00    |      |         |   | 2,206,903  |            |          |   | 33,754  |         |  |  | 6.13 |     
|Loans and leases(3), (4)                                               |                      |   | 24,210,725                 |            |         |   | 406,330  |         |         |  | 6.73    |      |         |   | 14,401,157 |            |          |   | 293,774 |         |  |  | 8.18 |     
|                                                                       |                      |   |                            |            |         |   |          |         |         |  |         |      |         |   |            |            |          |   |         |         |  |  |      |     
|                                                                       | Total earning assets |   |                            | 27,769,418 |         |   |          | 447,979 |         |  |         | 6.47 |         |   |            | 17,123,696 |          |   |         | 333,638 |  |  |      | 7.82 | 
|                                                                       |                      |   |                            |            |         |   |          |         |         |  |         |      |         |   |            |            |          |   |         |         |  |  |      |     
|Nonearning assets                                                      |                      |   | 5,632,232                  |            |         |   |          |         |         |  |         |      |         |   | 2,167,039  |            |          |   |         |         |  |  |      |     
|                                                                       |                      |   |                            |            |         |   |          |         |         |  |         |      |         |   |            |            |          |   |         |         |  |  |      |     
|                                                                       | Total assets         |   | $                          | 33,401,650 |         |   |          |         |         |  |         |      |         |   | $          | 19,290,735 |          |   |         |         |  |  |      |      | 
|                                                                       |                      |   |                            |            |         |   |          |         |         |  |         |      |         |   |            |            |          |   |         |         |  |  |      |     

[Additional columns below]

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

|                                                                       |                      |   |                           |            |         |   |          |         |         |  |         |      |         |   |            |            |          |   |         |         |  |  |      |      | 
|---------------------------------------------------------------------- | -------------------- | - | ------------------------- | ---------- | ------- | - | -------- | ------- | ------- |  | ------- | ---- | ------- | - | ---------- | ---------- | -------- | - | ------- | ------- |  |  | ---- | ---- | 
|                                                                       |                      |   | Six Months Ended June 30,
|                                                                       |                      |   |                          
|                                                                       |                      |   | 2002                      |            | 2001   
|                                                                       |                      |   |                           |            |        
|                                                                       |                      |   |                           |            |         |   | Interest |         |         |  |         |      |         |   |            |            | Interest |   |         |         | 
|                                                                       |                      |   | Average                   |            | Income/ |   | Yield/   |         | Average |  | Income/ |      | Yield/ 
|                                                                       |                      |   | Balance                   |            | Expense |   | Rate(1)  |         | Balance |  | Expense |      | Rate(1)
|                                                                       |                      |   |                           |            |         |   |          |         |         |  |         |      |        
|                                                                       |                      |   | (dollars in thousands)   
|ASSETS                                                                 |                      |   |                           |            |         |   |          |         |         |  |         |      |         |   |            |            |          |   |         |         |  |  |      |     
|Earning assets:                                                        |                      |   |                           |            |         |   |          |         |         |  |         |      |         |   |            |            |          |   |         |         |  |  |      |     
|Interest-bearing deposits
in other banks                               |                      | $ | 127,179                   |            |         | $ | 1,235    |         |         |  | 1.96    | %    |         | $ | 260,415    |            |          | $ | 6,937   |         |  |  | 5.37 | %   
|Federal funds sold and
securities purchased
under agreements to
resell |                      |   | 221,462                   |            |         |   | 1,926    |         |         |  | 1.75    |      |         |   | 261,973    |            |          |   | 6,676   |         |  |  | 5.14 |     
|Investment securities(2)                                               |                      |   | 2,959,390                 |            |         |   | 74,884   |         |         |  | 5.10    |      |         |   | 2,153,682  |            |          |   | 67,140  |         |  |  | 6.29 |     
|Loans and leases(3), (4)                                               |                      |   | 20,556,271                |            |         |   | 699,296  |         |         |  | 6.86    |      |         |   | 14,274,044 |            |          |   | 591,811 |         |  |  | 8.36 |     
|                                                                       |                      |   |                           |            |         |   |          |         |         |  |         |      |         |   |            |            |          |   |         |         |  |  |      |     
|                                                                       | Total earning assets |   |                           | 23,864,302 |         |   |          | 777,341 |         |  |         | 6.57 |         |   |            | 16,950,114 |          |   |         | 672,564 |  |  |      | 8.00 | 
|                                                                       |                      |   |                           |            |         |   |          |         |         |  |         |      |         |   |            |            |          |   |         |         |  |  |      |     
|Nonearning assets                                                      |                      |   | 4,759,485                 |            |         |   |          |         |         |  |         |      |         |   | 2,133,200  |            |          |   |         |         |  |  |      |     
|                                                                       |                      |   |                           |            |         |   |          |         |         |  |         |      |         |   |            |            |          |   |         |         |  |  |      |     
|                                                                       | Total assets         |   | $                         | 28,623,787 |         |   |          |         |         |  |         |      |         |   | $          | 19,083,314 |          |   |         |         |  |  |      |      | 
|                                                                       |                      |   |                           |            |         |   |          |         |         |  |         |      |         |   |            |            |          |   |         |         |  |  |      |     



|(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 $14,554 and $25,692 for the three and six months ended June 30, 2002, respectively, and $9,971
and $18,700 for the three and six months ended June 30, 2001, respectively.

17



---



##### Table of Contents





|                                           |                                       |           |           |                                                        |  |                             |            |         |  |          |         |         |   |         |           |           |  |         |            |          |  |       |         |      |   |      |      |  
|------------------------------------------ | ------------------------------------- | --------- | --------- | ------------------------------------------------------ |  | --------------------------- | ---------- | ------- |  | -------- | ------- | ------- | - | ------- | --------- | --------- |  | ------- | ---------- | -------- |  | ----- | ------- | ---- | - | ---- | ---- | -
|                                           |                                       |           |           |                                                        |  | Three Months Ended June 30,
|                                           |                                       |           |           |                                                        |  |                            
|                                           |                                       |           |           |                                                        |  | 2002                        |            | 2001   
|                                           |                                       |           |           |                                                        |  |                             |            |        
|                                           |                                       |           |           |                                                        |  |                             |            |         |  | Interest |         |         |   |         |           |           |  |         |            | Interest |  |       |         |     
|                                           |                                       |           |           |                                                        |  | Average                     |            | Income/ |  | Yield/   |         | Average |   | Income/ |           | Yield/   
|                                           |                                       |           |           |                                                        |  | Balance                     |            | Expense |  | Rate(1)  |         | Balance |   | Expense |           | Rate(1)  
|                                           |                                       |           |           |                                                        |  |                             |            |         |  |          |         |         |   |         |           |          
|                                           |                                       |           |           |                                                        |  | (dollars in thousands)     
|LIABILITIES AND
STOCKHOLDERS EQUITY       |                                       |           |           |                                                        |  |                             |            |         |  |          |         |         |   |         |           |           |  |         |            |          |  |       |         |     
|Interest-bearing deposits
and liabilities: |                                       |           |           |                                                        |  |                             |            |         |  |          |         |         |   |         |           |           |  |         |            |          |  |       |         |     
|                                           | Deposits:                             |           |           |                                                        |  |                             |            |         |  |          |         |         |   |         |           |           |  |         |            |          |  |       |         |      |  
|                                           |                                       | Domestic: |           |                                                        |  |                             |            |         |  |          |         |         |   |         |           |           |  |         |            |          |  |       |         |      |   |     
|                                           |                                       |           |           | Interest-bearing demand                                |  | $                           | 383,840    |         |  | $        | 262     |         |   |         | 0.27      | %         |  | $       | 310,703    |          |  | $     | 492     |      |   |      | 0.64 | %
|                                           |                                       |           |           | Savings                                                |  |                             | 9,290,184  |         |  |          | 28,005  |         |   |         | 1.21      |           |  |         | 4,554,184  |          |  |       | 23,658  |      |   |      | 2.08 |  
|                                           |                                       |           |           | Time                                                   |  |                             | 7,654,289  |         |  |          | 47,795  |         |   |         | 2.50      |           |  |         | 6,251,183  |          |  |       | 79,996  |      |   |      | 5.13 |  
|                                           |                                       |           | Foreign   |                                                        |  | 707,916                     |            |         |  | 2,716    |         |         |   | 1.54    |           |           |  | 193,322 |            |          |  | 1,715 |         |      |   | 3.56 |     
|                                           |                                       |           |           |                                                        |  |                             |            |         |  |          |         |         |   |         |           |           |  |         |            |          |  |       |         |     
|                                           |                                       |           |           | Total interest-bearing
deposits                        |  |                             | 18,036,229 |         |  |          | 78,778  |         |   |         | 1.75      |           |  |         | 11,309,392 |          |  |       | 105,861 |      |   |      | 3.75 |  
|                                           | Short-term borrowings                 |           |           | 2,422,460                                              |  |                             |            | 10,263  |  |          |         | 1.70    |   |         |           | 910,048   |  |         |            | 9,894    |  |       |         | 4.36 |  
|                                           | Long-term debt and
capital securities |           |           | 2,315,803                                              |  |                             |            | 36,755  |  |          |         | 6.37    |   |         |           | 1,029,625 |  |         |            | 19,117   |  |       |         | 7.45 |  
|                                           |                                       |           |           |                                                        |  |                             |            |         |  |          |         |         |   |         |           |           |  |         |            |          |  |       |         |     
|                                           |                                       |           |           | Total interest-bearing
deposits and
liabilities        |  |                             | 22,774,492 |         |  |          | 125,796 |         |   |         | 2.22      |           |  |         | 13,249,065 |          |  |       | 134,872 |      |   |      | 4.08 |  
|                                           |                                       |           |           |                                                        |  |                             |            |         |  |          |         |         |   |         |           |           |  |         |            |          |  |       |         |     
|                                           | Interest rate spread                  |           |           |                                                        |  |                             |            |         |  |          |         | 4.25    | % |         |           |           |  |         |            |          |  |       |         | 3.74 | %
|                                           |                                       |           |           |                                                        |  |                             |            |         |  |          |         |         |   |         |           |           |  |         |            |          |  |       |         |     
|Noninterest-bearing
deposits               |                                       |           | 5,848,034 |                                                        |  |                             |            |         |  |          |         |         |   |         | 3,121,124 |           |  |         |            |          |  |       |         |     
|Other liabilities                          |                                       |           | 1,057,518 |                                                        |  |                             |            |         |  |          |         |         |   |         | 859,739   |           |  |         |            |          |  |       |         |     
|                                           |                                       |           |           |                                                        |  |                             |            |         |  |          |         |         |   |         |           |           |  |         |            |          |  |       |         |     
|                                           |                                       |           |           | Total liabilities                                      |  |                             | 29,680,044 |         |  |          |         |         |   |         |           |           |  |         | 17,229,928 |          |  |       |         |      |   |      |      |  
|Stockholders equity                       |                                       |           | 3,721,606 |                                                        |  |                             |            |         |  |          |         |         |   |         | 2,060,807 |           |  |         |            |          |  |       |         |     
|                                           |                                       |           |           |                                                        |  |                             |            |         |  |          |         |         |   |         |           |           |  |         |            |          |  |       |         |     
|                                           |                                       |           |           | Total liabilities and
stockholders equity             |  | $                           | 33,401,650 |         |  |          |         |         |   |         |           |           |  | $       | 19,290,735 |          |  |       |         |      |   |      |      |  
|                                           |                                       |           |           |                                                        |  |                             |            |         |  |          |         |         |   |         |           |           |  |         |            |          |  |       |         |     
|                                           |                                       |           |           | Net interest income
and margin on total
earning assets |  |                             |            |         |  |          | 322,183 |         |   |         | 4.65      | %         |  |         |            |          |  |       | 198,766 |      |   |      | 4.66 | %
|                                           |                                       |           |           |                                                        |  |                             |            |         |  |          |         |         |   |         |           |           |  |         |            |          |  |       |         |     
|Tax equivalent adjustment                  |                                       |           |           |                                                        |  |                             | 289        |         |  |          |         |         |   |         |           |           |  |         | 78         |          |  |       |         |     
|                                           |                                       |           |           |                                                        |  |                             |            |         |  |          |         |         |   |         |           |           |  |         |            |          |  |       |         |     
|                                           |                                       |           |           | Net interest income                                    |  |                             |            |         |  | $        | 321,894 |         |   |         |           |           |  |         |            |          |  | $     | 198,688 |      |   |      |      |  
|                                           |                                       |           |           |                                                        |  |                             |            |         |  |          |         |         |   |         |           |           |  |         |            |          |  |       |         |     

[Additional columns below]

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

|                                           |                                       |           |           |                                                        |  |                           |            |         |  |          |         |         |   |         |           |           |  |         |            |          |  |       |         |      |   |      |      |  
|------------------------------------------ | ------------------------------------- | --------- | --------- | ------------------------------------------------------ |  | ------------------------- | ---------- | ------- |  | -------- | ------- | ------- | - | ------- | --------- | --------- |  | ------- | ---------- | -------- |  | ----- | ------- | ---- | - | ---- | ---- | -
|                                           |                                       |           |           |                                                        |  | Six Months Ended June 30,
|                                           |                                       |           |           |                                                        |  |                          
|                                           |                                       |           |           |                                                        |  | 2002                      |            | 2001   
|                                           |                                       |           |           |                                                        |  |                           |            |        
|                                           |                                       |           |           |                                                        |  |                           |            |         |  | Interest |         |         |   |         |           |           |  |         |            | Interest |  |       |         |     
|                                           |                                       |           |           |                                                        |  | Average                   |            | Income/ |  | Yield/   |         | Average |   | Income/ |           | Yield/   
|                                           |                                       |           |           |                                                        |  | Balance                   |            | Expense |  | Rate(1)  |         | Balance |   | Expense |           | Rate(1)  
|                                           |                                       |           |           |                                                        |  |                           |            |         |  |          |         |         |   |         |           |          
|                                           |                                       |           |           |                                                        |  | (dollars in thousands)   
|LIABILITIES AND
STOCKHOLDERS EQUITY       |                                       |           |           |                                                        |  |                           |            |         |  |          |         |         |   |         |           |           |  |         |            |          |  |       |         |     
|Interest-bearing deposits
and liabilities: |                                       |           |           |                                                        |  |                           |            |         |  |          |         |         |   |         |           |           |  |         |            |          |  |       |         |     
|                                           | Deposits:                             |           |           |                                                        |  |                           |            |         |  |          |         |         |   |         |           |           |  |         |            |          |  |       |         |      |  
|                                           |                                       | Domestic: |           |                                                        |  |                           |            |         |  |          |         |         |   |         |           |           |  |         |            |          |  |       |         |      |   |     
|                                           |                                       |           |           | Interest-bearing demand                                |  | $                         | 360,155    |         |  | $        | 481     |         |   |         | 0.27      | %         |  | $       | 312,295    |          |  | $     | 1,136   |      |   |      | 0.73 | %
|                                           |                                       |           |           | Savings                                                |  |                           | 7,526,291  |         |  |          | 44,235  |         |   |         | 1.19      |           |  |         | 4,442,041  |          |  |       | 48,888  |      |   |      | 2.22 |  
|                                           |                                       |           |           | Time                                                   |  |                           | 7,162,298  |         |  |          | 93,046  |         |   |         | 2.62      |           |  |         | 6,339,555  |          |  |       | 172,465 |      |   |      | 5.49 |  
|                                           |                                       |           | Foreign   |                                                        |  | 539,953                   |            |         |  | 4,645    |         |         |   | 1.73    |           |           |  | 198,332 |            |          |  | 3,793 |         |      |   | 3.86 |     
|                                           |                                       |           |           |                                                        |  |                           |            |         |  |          |         |         |   |         |           |           |  |         |            |          |  |       |         |     
|                                           |                                       |           |           | Total interest-bearing
deposits                        |  |                           | 15,588,697 |         |  |          | 142,407 |         |   |         | 1.84      |           |  |         | 11,292,223 |          |  |       | 226,282 |      |   |      | 4.04 |  
|                                           | Short-term borrowings                 |           |           | 1,879,629                                              |  |                           |            | 16,056  |  |          |         | 1.72    |   |         |           | 827,352   |  |         |            | 20,112   |  |       |         | 4.90 |  
|                                           | Long-term debt and
capital securities |           |           | 2,346,851                                              |  |                           |            | 72,137  |  |          |         | 6.20    |   |         |           | 1,021,419 |  |         |            | 37,956   |  |       |         | 7.49 |  
|                                           |                                       |           |           |                                                        |  |                           |            |         |  |          |         |         |   |         |           |           |  |         |            |          |  |       |         |     
|                                           |                                       |           |           | Total interest-bearing
deposits and
liabilities        |  |                           | 19,815,177 |         |  |          | 230,600 |         |   |         | 2.35      |           |  |         | 13,140,994 |          |  |       | 284,350 |      |   |      | 4.36 |  
|                                           |                                       |           |           |                                                        |  |                           |            |         |  |          |         |         |   |         |           |           |  |         |            |          |  |       |         |     
|                                           | Interest rate spread                  |           |           |                                                        |  |                           |            |         |  |          |         | 4.22    | % |         |           |           |  |         |            |          |  |       |         | 3.64 | %
|                                           |                                       |           |           |                                                        |  |                           |            |         |  |          |         |         |   |         |           |           |  |         |            |          |  |       |         |     
|Noninterest-bearing
deposits               |                                       |           | 4,839,063 |                                                        |  |                           |            |         |  |          |         |         |   |         | 3,050,014 |           |  |         |            |          |  |       |         |     
|Other liabilities                          |                                       |           | 951,984   |                                                        |  |                           |            |         |  |          |         |         |   |         | 840,643   |           |  |         |            |          |  |       |         |     
|                                           |                                       |           |           |                                                        |  |                           |            |         |  |          |         |         |   |         |           |           |  |         |            |          |  |       |         |     
|                                           |                                       |           |           | Total liabilities                                      |  |                           | 25,606,224 |         |  |          |         |         |   |         |           |           |  |         | 17,031,651 |          |  |       |         |      |   |      |      |  
|Stockholders equity                       |                                       |           | 3,017,563 |                                                        |  |                           |            |         |  |          |         |         |   |         | 2,051,663 |           |  |         |            |          |  |       |         |     
|                                           |                                       |           |           |                                                        |  |                           |            |         |  |          |         |         |   |         |           |           |  |         |            |          |  |       |         |     
|                                           |                                       |           |           | Total liabilities and
stockholders equity             |  | $                         | 28,623,787 |         |  |          |         |         |   |         |           |           |  | $       | 19,083,314 |          |  |       |         |      |   |      |      |  
|                                           |                                       |           |           |                                                        |  |                           |            |         |  |          |         |         |   |         |           |           |  |         |            |          |  |       |         |     
|                                           |                                       |           |           | Net interest income
and margin on total
earning assets |  |                           |            |         |  |          | 546,741 |         |   |         | 4.62      | %         |  |         |            |          |  |       | 388,214 |      |   |      | 4.62 | %
|                                           |                                       |           |           |                                                        |  |                           |            |         |  |          |         |         |   |         |           |           |  |         |            |          |  |       |         |     
|Tax equivalent adjustment                  |                                       |           |           |                                                        |  |                           | 367        |         |  |          |         |         |   |         |           |           |  |         | 153        |          |  |       |         |     
|                                           |                                       |           |           |                                                        |  |                           |            |         |  |          |         |         |   |         |           |           |  |         |            |          |  |       |         |     
|                                           |                                       |           |           | Net interest income                                    |  |                           |            |         |  | $        | 546,374 |         |   |         |           |           |  |         |            |          |  | $     | 388,061 |      |   |      |      |  
|                                           |                                       |           |           |                                                        |  |                           |            |         |  |          |         |         |   |         |           |           |  |         |            |          |  |       |         |     



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

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##### Table of Contents



INVESTMENT SECURITIES

Held-to-Maturity

There were no held-to-maturity investment securities at June 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 June 30, 2001:

|                  |  |                |        |  
|----------------- |  | -------------- | ------ | -
|                  |  | June 30,      
|                  |  | 2001          
|                  |  |               
|                  |  | (in thousands)
|Amortized cost    |  | $              | 97,764 |  
|Unrealized gains  |  |                | 632    |  
|Unrealized losses |  |                | (142   | )
|                  |  |                |        |  
|Fair value        |  | $              | 98,254 |  
|                  |  |                |        |  

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:

|                  |  |          |           |              |  |                |           |   |  |   |           |  
|----------------- |  | -------- | --------- | ------------ |  | -------------- | --------- | - |  | - | --------- | -
|                  |  | June 30, |           | December 31, |  | June 30,      
|                  |  | 2002     |           | 2001         |  | 2001          
|                  |  |          |           |              |  |               
|                  |  |          |           |              |  | (in thousands) |           |   |  |  
|Amortized cost    |  | $        | 3,420,299 |              |  | $              | 2,529,133 |   |  | $ | 2,140,191 |  
|Unrealized gains  |  |          | 51,979    |              |  |                | 23,672    |   |  |   | 29,216    |  
|Unrealized losses |  |          | (2,293    | )            |  |                | (10,632   | ) |  |   | (5,218    | )
|                  |  |          |           |              |  |                |           |   |  |   |           |  
|Fair value        |  | $        | 3,469,985 |              |  | $              | 2,542,173 |   |  | $ | 2,164,189 |  
|                  |  |          |           |              |  |                |           |   |  |   |           |  

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

|                      |  |                |     |      |  |   |        |  
|--------------------- |  | -------------- | --- | ---- |  | - | ------ | -
|                      |  | 2002           |     | 2001
|                      |  |                |     |     
|                      |  | (in thousands)
|Realized gains        |  | $              | 722 |      |  | $ | 19,987 |  
|Realized losses       |  |                | (38 | )    |  |   | (51    | )
|                      |  |                |     |      |  |   |        |  
|Securities gains, net |  | $              | 684 |      |  | $ | 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 six months ended June 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 June 30, 2002, December 31, 2001 and June 30, 2001:

|                                       |              |                                     |           |               |            |                   |      |               |       |   |           |                        |            |   |      |      |       |   |           |           |            |  |      |      |       |  
|-------------------------------------- | ------------ | ----------------------------------- | --------- | ------------- | ---------- | ----------------- | ---- | ------------- | ----- | - | --------- | ---------------------- | ---------- | - | ---- | ---- | ----- | - | --------- | --------- | ---------- |  | ---- | ---- | ----- | -
|                                       |              |                                     |           | June 30, 2002 |            | December 31, 2001 |      | June 30, 2001
|                                       |              |                                     |           |               |            |                   |      |              
|                                       |              |                                     |           | Amount        |            | %                 |      | Amount        |       | % |           | Amount                 |            | %
|                                       |              |                                     |           |               |            |                   |      |               |       |   |           |                        |            |  
|                                       |              |                                     |           |               |            |                   |      |               |       |   |           | (dollars in thousands) |            |   |      |      |       |   |           |          
|Commercial, financial and
agricultural |              | $                                   | 4,904,660 |               |            |                   | 20.3 | %             |       | $ | 2,387,605 |                        |            |   | 15.7 | %    |       | $ | 2,452,008 |           |            |  | 16.9 | %   
|Real estate:                           |              |                                     |           |               |            |                   |      |               |       |   |           |                        |            |   |      |      |       |   |           |           |            |  |      |     
|                                       | Commercial   |                                     |           | 4,814,826     |            |                   |      | 19.9          |       |   |           | 2,957,194              |            |   |      | 19.4 |       |   |           | 2,799,894 |            |  |      | 19.3 |      
|                                       | Construction |                                     |           | 1,081,779     |            |                   |      | 4.5           |       |   |           | 464,462                |            |   |      | 3.1  |       |   |           | 414,143   |            |  |      | 2.9  |      
|                                       | Residential: |                                     |           |               |            |                   |      |               |       |   |           |                        |            |   |      |      |       |   |           |           |            |  |      |      |      
|                                       |              | Insured, guaranteed or
conventional |           |               | 3,908,437  |                   |      |               | 16.2  |   |           |                        | 1,831,824  |   |      |      | 12.0  |   |           |           | 1,786,392  |  |      |      | 12.2  |  
|                                       |              | Home equity credit lines            |           |               | 655,721    |                   |      |               | 2.7   |   |           |                        | 432,003    |   |      |      | 2.9   |   |           |           | 443,747    |  |      |      | 3.1   |  
|                                       |              |                                     |           |               |            |                   |      |               |       |   |           |                        |            |   |      |      |       |   |           |           |            |  |      |     
|                                       |              | Total real estate loans             |           |               | 10,460,763 |                   |      |               | 43.3  |   |           |                        | 5,685,483  |   |      |      | 37.4  |   |           |           | 5,444,176  |  |      |      | 37.5  |  
|                                       |              |                                     |           |               |            |                   |      |               |       |   |           |                        |            |   |      |      |       |   |           |           |            |  |      |     
|Consumer                               |              |                                     | 6,114,384 |               |            |                   | 25.3 |               |       |   | 4,471,897 |                        |            |   | 29.3 |      |       |   | 4,110,766 |           |            |  | 28.3 |     
|Lease financing                        |              |                                     | 2,297,967 |               |            |                   | 9.5  |               |       |   | 2,293,199 |                        |            |   | 15.1 |      |       |   | 2,187,144 |           |            |  | 15.0 |     
|Foreign                                |              |                                     | 385,036   |               |            |                   | 1.6  |               |       |   | 385,548   |                        |            |   | 2.5  |      |       |   | 334,537   |           |            |  | 2.3  |     
|                                       |              |                                     |           |               |            |                   |      |               |       |   |           |                        |            |   |      |      |       |   |           |           |            |  |      |     
|                                       |              | Total loans and leases              |           |               | 24,162,810 |                   |      |               | 100.0 | % |           |                        | 15,223,732 |   |      |      | 100.0 | % |           |           | 14,528,631 |  |      |      | 100.0 | %
|                                       |              |                                     |           |               |            |                   |      |               |       |   |           |                        |            |   |      |      |       |   |           |           |            |  |      |     
|Less allowance for credit losses       |              |                                     | 387,272   |               |            |                   |      |               |       |   | 194,654   |                        |            |   |      |      |       |   | 191,698   |           |            |  |      |     
|                                       |              |                                     |           |               |            |                   |      |               |       |   |           |                        |            |   |      |      |       |   |           |           |            |  |      |     
|                                       |              | Total net loans and leases          |           | $             | 23,775,538 |                   |      |               |       |   |           | $                      | 15,029,078 |   |      |      |       |   |           | $         | 14,336,933 |  |      |      |       |  
|                                       |              |                                     |           |               |            |                   |      |               |       |   |           |                        |            |   |      |      |       |   |           |           |            |  |      |     
|Total loans and leases to:             |              |                                     |           |               |            |                   |      |               |       |   |           |                        |            |   |      |      |       |   |           |           |            |  |      |     
|                                       |              | Total assets                        |           | $             | 33,982,709 |                   |      |               | 71.1  | % |           | $                      | 21,646,514 |   |      |      | 70.3  | % |           | $         | 19,315,983 |  |      |      | 75.2  | %
|                                       |              | Total earning assets                |           |               | 27,736,961 |                   |      |               | 87.1  | % |           |                        | 17,914,186 |   |      |      | 85.0  | % |           |           | 16,892,712 |  |      |      | 86.0  | %
|                                       |              | Total deposits                      |           |               | 24,108,999 |                   |      |               | 100.2 | % |           |                        | 15,334,051 |   |      |      | 99.3  | % |           |           | 14,615,574 |  |      |      | 99.4  | %

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 June 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
58.2% to $23.8 billion over December 31, 2001 and 65.8% over June 30, 2001.

Total commercial, financial and agricultural loans at June 30, 2002 increased
by 105.4%, or $2.5 billion, over December 31, 2001 and 100%, or $2.5 billion,
over June 30, 2001. The increase in this category was primarily due to the UCB
acquisition.

Total real estate-commercial loans at June 30, 2002 increased by 62.8%, or $1.9
billion, over December 31, 2001 and 72.0%, or $2.0 billion, over June 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 June 30, 2002 increased by 132.9%, or
$617.3 million, over December 31, 2001 and 161.2%, or $667.6 million, over June
30, 2001, primarily due to the UCB acquisition.

20



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##### Table of Contents



LOANS AND LEASES, Continued

Total real estate-residential loans at June 30, 2002 increased by 101.6%, or
$2.3 billion, over December 31, 2001 and 104.7% over June 30, 2001, primarily
due to the UCB acquisition.

Total consumer loans at June 30, 2002 increased 36.7%, or $1.6 billion, over
December 31, 2001 and increased 48.7%, or $2.0 billion, over June 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 June 30, 2002 as compared to December 31, 2001
and June 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 increased by .2%, or $4.8 million, over December
31, 2001, and increased 5.1%, or $110.8 million, over June 30, 2001 primarily
due to growth in our Bank of the West operating segment.

Our foreign loans are principally in Guam and Saipan. Foreign loans as of June
30, 2002 decreased $512,000, or .1%, over December 31, 2001 and increased $50.5
million, or 15.1%, over June 30, 2001. The increase over June 30, 2001 was
primarily due to our branch acquisition in November 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 June 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 above table.

DEPOSITS

Deposits are the largest component of our total liabilities and account for the
greatest portion of total interest expense. At June 30, 2002, total deposits
were $24.1 billion, an increase of 65.0% over June 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. Contributing to the
increase were the First Hawaiian branch acquisitions in Guam and Saipan from
the Union Bank of California.

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 July 1, 2001 to June 30, 2002, the
benchmark federal funds rate decreased five times totaling 200 basis points.
The rates paid on deposits reflect this rapidly changing interest rate
environment at different speeds, due to the repricing characteristics of each
type of deposit. Time deposits, which generally reprice more slowly than
other deposits, do not yet fully reflect the sharp decreases in interest rates
implemented in 2001, 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 pages 17 and 18.

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##### Table of Contents



NONPERFORMING ASSETS

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

|                                                                                                                              |                                                           |                                     |                                        |                                      |      |                        |         |              |     |          |         |        |      |        |         | 
|----------------------------------------------------------------------------------------------------------------------------- | --------------------------------------------------------- | ----------------------------------- | -------------------------------------- | ------------------------------------ | ---- | ---------------------- | ------- | ------------ | --- | -------- | ------- | ------ | ---- | ------ | ------- | 
|                                                                                                                              |                                                           |                                     |                                        |                                      |      | June 30,               |         | December 31, |     | June 30,
|                                                                                                                              |                                                           |                                     |                                        |                                      |      | 2002                   |         | 2001         |     | 2001    
|                                                                                                                              |                                                           |                                     |                                        |                                      |      |                        |         |              |     |         
|                                                                                                                              |                                                           |                                     |                                        |                                      |      | (dollars in thousands)
|Nonperforming Assets:                                                                                                         |                                                           |                                     |                                        |                                      |      |                        |         |              |     |          |         |       
|                                                                                                                              | Nonaccrual:                                               |                                     |                                        |                                      |      |                        |         |              |     |          |         |        |     
|                                                                                                                              |                                                           |                                     | Commercial, financial and agricultural |                                      | $    | 152,280                |         |              | $   | 35,908   |         |        | $    | 55,609 |        
|                                                                                                                              |                                                           |                                     | Real estate:                           |                                      |      |                        |         |              |     |          |         |        |      |        |        
|                                                                                                                              |                                                           |                                     |                                        | Commercial                           |      |                        | 43,061  |              |     |          | 27,568  |        |      |        | 19,060  | 
|                                                                                                                              |                                                           |                                     |                                        | Construction                         |      |                        |        |              |     |          |        |        |      |        | 119     | 
|                                                                                                                              |                                                           |                                     |                                        | Residential:                         |      |                        |         |              |     |          |         |        |      |        |         | 
|                                                                                                                              |                                                           |                                     |                                        | Insured, guaranteed, or conventional |      |                        | 10,551  |              |     |          | 9,003   |        |      |        | 9,887   | 
|                                                                                                                              |                                                           |                                     |                                        |                                      |      |                        |         |              |     |          |         |        |      |        |        
|                                                                                                                              |                                                           |                                     |                                        | Total real estate loans              |      |                        | 53,612  |              |     |          | 36,571  |        |      |        | 29,066  | 
|                                                                                                                              |                                                           |                                     |                                        |                                      |      |                        |         |              |     |          |         |       
|                                                                                                                              |                                                           |                                     | Consumer                               |                                      |      | 2,856                  |         |              |     | 6,144    |         |        |      | 3,111  |        
|                                                                                                                              |                                                           |                                     | Lease financing                        |                                      |      | 9,193                  |         |              |     | 9,570    |         |        |      | 12,180 |        
|                                                                                                                              |                                                           |                                     | Foreign                                |                                      |      | 8,398                  |         |              |     | 4,074    |         |        |      | 5,116  |        
|                                                                                                                              |                                                           |                                     |                                        |                                      |      |                        |         |              |     |          |         |        |      |        |        
|                                                                                                                              |                                                           |                                     |                                        | Total nonaccrual loans and leases    |      |                        | 226,339 |              |     |          | 92,267  |        |      |        | 105,082 | 
|                                                                                                                              |                                                           |                                     |                                        |                                      |      |                        |         |              |     |          |         |       
|                                                                                                                              | Restructured:                                             |                                     |                                        |                                      |      |                        |         |              |     |          |         |        |     
|                                                                                                                              |                                                           |                                     | Commercial, financial and agricultural |                                      |      | 1,231                  |         |              |     | 1,569    |         |        |      | 1,091  |        
|                                                                                                                              |                                                           |                                     | Real estate:                           |                                      |      |                        |         |              |     |          |         |        |      |        |        
|                                                                                                                              |                                                           |                                     |                                        | Commercial                           |      |                        | 1,259   |              |     |          | 3,019   |        |      |        | 3,923   | 
|                                                                                                                              |                                                           |                                     |                                        | Residential:                         |      |                        |         |              |     |          |         |        |      |        |         | 
|                                                                                                                              |                                                           |                                     |                                        | Insured, guaranteed, or conventional |      |                        |        |              |     |          | 257     |        |      |        | 337     | 
|                                                                                                                              |                                                           |                                     |                                        |                                      |      |                        |         |              |     |          |         |        |      |        |        
|                                                                                                                              |                                                           |                                     |                                        | Total real estate loans              |      |                        | 1,259   |              |     |          | 3,276   |        |      |        | 4,260   | 
|                                                                                                                              |                                                           |                                     |                                        |                                      |      |                        |         |              |     |          |         |        |      |        |        
|                                                                                                                              |                                                           |                                     |                                        | Total restructured loans and leases  |      |                        | 2,490   |              |     |          | 4,845   |        |      |        | 5,351   | 
|                                                                                                                              |                                                           |                                     |                                        |                                      |      |                        |         |              |     |          |         |       
|                                                                                                                              |                                                           |                                     |                                        | Total nonperforming loans and leases |      |                        | 228,829 |              |     |          | 97,112  |        |      |        | 110,433 | 
|                                                                                                                              | Other real estate owned and repossessed personal property |                                     |                                        | 22,566                               |      |                        |         | 22,321       |     |          |         | 21,467 |     
|                                                                                                                              |                                                           |                                     |                                        |                                      |      |                        |         |              |     |          |         |        |      |        |        
|                                                                                                                              |                                                           |                                     |                                        | Total nonperforming assets           |      | $                      | 251,395 |              |     | $        | 119,433 |        |      | $      | 131,900 | 
|                                                                                                                              |                                                           |                                     |                                        |                                      |      |                        |         |              |     |          |         |       
|Past due loans and leases(1):                                                                                                 |                                                           |                                     |                                        |                                      |      |                        |         |              |     |          |         |       
|                                                                                                                              | Commercial, financial and agricultural                    |                                     | $                                      | 22,248                               |      |                        | $       | 11,134       |     |          | $       | 9,230  |     
|                                                                                                                              | Real estate:                                              |                                     |                                        |                                      |      |                        |         |              |     |          |         |        |     
|                                                                                                                              |                                                           |                                     |                                        | Commercial                           |      |                        | 1,187   |              |     |          | 385     |        |      |        | 382     | 
|                                                                                                                              |                                                           |                                     |                                        | Construction                         |      |                        |        |              |     |          |        |        |      |        | 136     | 
|                                                                                                                              |                                                           |                                     |                                        | Residential:                         |      |                        |         |              |     |          |         |        |      |        |         | 
|                                                                                                                              |                                                           |                                     |                                        | Insured, guaranteed, or conventional |      |                        | 1,375   |              |     |          | 3,303   |        |      |        | 4,052   | 
|                                                                                                                              |                                                           |                                     |                                        | Home equity credit lines             |      |                        | 456     |              |     |          | 467     |        |      |        | 305     | 
|                                                                                                                              |                                                           |                                     |                                        |                                      |      |                        |         |              |     |          |         |        |      |        |        
|                                                                                                                              |                                                           |                                     |                                        | Total real estate loans              |      |                        | 3,018   |              |     |          | 4,155   |        |      |        | 4,875   | 
|                                                                                                                              |                                                           |                                     |                                        |                                      |      |                        |         |              |     |          |         |       
|                                                                                                                              | Consumer                                                  |                                     |                                        | 2,522                                |      |                        |         | 3,323        |     |          |         | 2,792  |     
|                                                                                                                              | Lease financing                                           |                                     |                                        | 98                                   |      |                        |         | 146          |     |          |         | 194    |     
|                                                                                                                              | Foreign                                                   |                                     |                                        | 274                                  |      |                        |         | 2,023        |     |          |         | 965    |     
|                                                                                                                              |                                                           |                                     |                                        |                                      |      |                        |         |              |     |          |         |        |      |        |        
|                                                                                                                              |                                                           |                                     |                                        | Total past due loans and leases      |      | $                      | 28,160  |              |     | $        | 20,781  |        |      | $      | 18,056  | 
|                                                                                                                              |                                                           |                                     |                                        |                                      |      |                        |         |              |     |          |         |       
|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 |                                        |                                      | 1.04 | %                      |         |              | .78 | %        |         |        | .91  | %     
|                                                                                                                              |                                                           | Including past due loans and leases |                                        |                                      | 1.16 | %                      |         |              | .92 | %        |         |        | 1.03 | %     
|Nonperforming assets to total assets (end of period):                                                                         |                                                           |                                     |                                        |                                      |      |                        |         |              |     |          |         |       
|                                                                                                                              |                                                           | Excluding past due loans and leases |                                        |                                      | .74  | %                      |         |              | .55 | %        |         |        | .68  | %     
|                                                                                                                              |                                                           | Including past due loans and leases |                                        |                                      | .82  | %                      |         |              | .65 | %        |         |        | .78  | %     



|(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 June 30, 2002 were $251.4 million, or 1.04%, of total
loans and leases and other real estate owned and repossessed personal property
(OREO), compared to .91% at June 30, 2001. Nonperforming assets at June 30,
2002 were .74% of total assets, compared to .68% at June 30, 2001.

Nonperforming assets at June 30, 2002 increased by $132.0 million, or 110.5%,
from December 31, 2001. The increase in nonaccrual loans was primarily due to
commercial, financial and agricultural loans and real estate-commercial loans
in our Bank of the West operating segment. The increase was primarily due to
the acquisition of UCB, partially offset by lower nonperforming assets in the
First Hawaiian operating segment.

Nonperforming assets at June 30, 2002 increased by $119.5 million, or 90.6%,
from June 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.

We generally place a loan or lease on nonaccrual status when we believe that
collection of principal or income has become doubtful or when loans and leases
are 90 days past due as to principal or income, 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 $28.2
million at June 30, 2002, an increase of $10.1 million, or 56.0%, from June 30,
2001. Loans past due 90 days or more and still accruing interest increased by
$7.4 million, or 35.5%, from December 31, 2001 to June 30, 2002. The increase
was primarily due to higher commercial, financial and agricultural loans, which
was partially offset by a decrease in real estate-residential and foreign
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     |         | Six Months Ended
|                                                                               |                                                        |                                                      |                                      |         | June 30,               |         | June 30,        
|                                                                               |                                                        |                                                      |                                      |         |                        |         |                 
|                                                                               |                                                        |                                                      |                                      |         | 2002                   |         | 2001             |         | 2002  |         | 2001      
|                                                                               |                                                        |                                                      |                                      |         |                        |         |                  |         |       |         |           
|                                                                               |                                                        |                                                      |                                      |         | (dollars in thousands)
|Loans and leases outstanding (end of period)                                   |                                                        | $                                                    | 24,162,810                           |         |                        | $       | 14,528,631       |         |       | $       | 24,162,810 |         |        | $       | 14,528,631 |        
|                                                                               |                                                        |                                                      |                                      |         |                        |         |                  |         |       |         |            |         |        |         |            |        
|Average loans and leases outstanding                                           |                                                        | $                                                    | 24,210,725                           |         |                        | $       | 14,401,157       |         |       | $       | 20,556,271 |         |        | $       | 14,274,044 |        
|                                                                               |                                                        |                                                      |                                      |         |                        |         |                  |         |       |         |            |         |        |         |            |        
|Allowance for credit losses:                                                   |                                                        |                                                      |                                      |         |                        |         |                  |         |       |         |            |         |        |         |            |        
|                                                                               | Balance at beginning of period                         |                                                      | $                                    | 383,003 |                        |         | $                | 186,246 |       |         | $          | 194,654 |        |         | $          | 172,443 |       
|                                                                               |                                                        |                                                      |                                      |         |                        |         |                  |         |       |         |            |         |        |         |            |        
|                                                                               | Allowance of subsidiaries purchased                    |                                                      |                                      |        |                        |         |                  |        |       |         |            | 210,000 |        |         |            |        |       
|                                                                               | Loans and leases charged off:                          |                                                      |                                      |         |                        |         |                  |         |       |         |            |         |        |         |            |         |       
|                                                                               |                                                        | Commercial, financial and agricultural               |                                      |         | 4,758                  |         |                  |         | 6,169 |         |            |         | 33,443 |         |            |         | 16,825 |        
|                                                                               |                                                        | Real estate:                                         |                                      |         |                        |         |                  |         |       |         |            |         |        |         |            |         |        |        
|                                                                               |                                                        |                                                      | Commercial                           |         |                        | 1,568   |                  |         |       | 70      |            |         |        | 1,634   |            |         |        | 469     |  
|                                                                               |                                                        |                                                      | Construction                         |         |                        |        |                  |         |       |        |            |         |        |        |            |         |        |        |  
|                                                                               |                                                        |                                                      | Residential                          |         |                        | 315     |                  |         |       | 467     |            |         |        | 709     |            |         |        | 1,534   |  
|                                                                               |                                                        | Consumer                                             |                                      |         | 6,096                  |         |                  |         | 9,560 |         |            |         | 18,971 |         |            |         | 18,224 |        
|                                                                               |                                                        | Lease financing                                      |                                      |         | 11,244                 |         |                  |         | 4,189 |         |            |         | 17,277 |         |            |         | 7,187  |        
|                                                                               |                                                        | Foreign                                              |                                      |         | 393                    |         |                  |         | 273   |         |            |         | 868    |         |            |         | 875    |        
|                                                                               |                                                        |                                                      |                                      |         |                        |         |                  |         |       |         |            |         |        |         |            |        
|                                                                               |                                                        |                                                      | Total loans and leases charged off   |         |                        | 24,374  |                  |         |       | 20,728  |            |         |        | 72,902  |            |         |        | 45,114  |  
|                                                                               |                                                        |                                                      |                                      |         |                        |         |                  |         |       |         |            |         |        |         |            |        
|                                                                               | Recoveries on loans and leases previously
charged off: |                                                      |                                      |         |                        |         |                  |         |       |         |            |         |        |         |            |         |       
|                                                                               |                                                        | Commercial, financial and agricultural               |                                      |         | 776                    |         |                  |         | 200   |         |            |         | 3,500  |         |            |         | 347    |        
|                                                                               |                                                        | Real estate:                                         |                                      |         |                        |         |                  |         |       |         |            |         |        |         |            |         |        |        
|                                                                               |                                                        |                                                      | Commercial                           |         |                        | 116     |                  |         |       | 16      |            |         |        | 246     |            |         |        | 66      |  
|                                                                               |                                                        |                                                      | Construction                         |         |                        | 34      |                  |         |       | 66      |            |         |        | 254     |            |         |        | 197     |  
|                                                                               |                                                        |                                                      | Residential                          |         |                        | 214     |                  |         |       | 186     |            |         |        | 416     |            |         |        | 386     |  
|                                                                               |                                                        | Consumer                                             |                                      |         | 1,950                  |         |                  |         | 1,848 |         |            |         | 4,141  |         |            |         | 3,547  |        
|                                                                               |                                                        | Lease financing                                      |                                      |         | 2,535                  |         |                  |         | 493   |         |            |         | 3,787  |         |            |         | 995    |        
|                                                                               |                                                        | Foreign                                              |                                      |         | 116                    |         |                  |         | 221   |         |            |         | 267    |         |            |         | 481    |        
|                                                                               |                                                        |                                                      |                                      |         |                        |         |                  |         |       |         |            |         |        |         |            |        
|                                                                               |                                                        |                                                      | Total recoveries on loans and leases |         |                        |         |                  |         |       |         |            |         |        |         |            |         |        |         |  
|                                                                               |                                                        |                                                      | previously charged off               |         |                        | 5,741   |                  |         |       | 3,030   |            |         |        | 12,611  |            |         |        | 6,019   |  
|                                                                               |                                                        |                                                      |                                      |         |                        |         |                  |         |       |         |            |         |        |         |            |        
|                                                                               |                                                        |                                                      | Net charge-offs                      |         |                        | (18,633 | )                |         |       | (17,698 | )          |         |        | (60,291 | )          |         |        | (39,095 | )
|                                                                               |                                                        |                                                      |                                      |         |                        |         |                  |         |       |         |            |         |        |         |            |        
|                                                                               | Provision for credit losses                            |                                                      |                                      | 22,902  |                        |         |                  | 23,150  |       |         |            | 42,909  |        |         |            | 58,350  |       
|                                                                               |                                                        |                                                      |                                      |         |                        |         |                  |         |       |         |            |         |        |         |            |        
|                                                                               | Balance at end of period                               |                                                      | $                                    | 387,272 |                        |         | $                | 191,698 |       |         | $          | 387,272 |        |         | $          | 191,698 |       
|                                                                               |                                                        |                                                      |                                      |         |                        |         |                  |         |       |         |            |         |        |         |            |        
|Net loans and leases charged off to average loans
and leases                   |                                                        |                                                      | .31                                  | %(1)    |                        |         | .49              | %(1)    |       |         | .59        | %(1)    |        |         | .55        | %(1)   
|Net loans and leases charged off to allowance for
credit losses                |                                                        |                                                      | 19.30                                | %(1)    |                        |         | 37.03            | %(1)    |       |         | 31.39      | %(1)    |        |         | 41.13      | %(1)   
|Allowance for credit losses to total
loans and leases (end of period)          |                                                        |                                                      | 1.60                                 | %       |                        |         | 1.32             | %       |       |         | 1.60       | %       |        |         | 1.32       | %      
|Allowance for credit losses to nonperforming
loans and leases (end of period): |                                                        |                                                      |                                      |         |                        |         |                  |         |       |         |            |         |        |         |            |        
|                                                                               |                                                        | Excluding 90 days past due
accruing loans and leases |                                      |         | 1.69x                  |         |                  |         | 1.74x |         |            |         | 1.69x  |         |            |         | 1.74x  |        
|                                                                               |                                                        | Including 90 days past due
accruing loans and leases |                                      |         | 1.51x                  |         |                  |         | 1.49x |         |            |         | 1.51x  |         |            |         | 1.49x  |        



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

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##### Table of Contents



PROVISION AND ALLOWANCE FOR CREDIT LOSSES, Continued

The provision for credit losses for the first six months of 2002 was $42.9
million, a decrease of $15.4 million, or 26.5%, compared to the same period in 2001.
The decrease in the provision for credit losses for the first six months of
2002 compared to the same period in 2001 primarily reflects the $22.8 million
in additional provision for credit losses that we recorded in the first six
months of 2001 in response to macroeconomic events.

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 4.5% of total loans and
leases at June 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 developed a special expertise over a long
period of time and with experienced personnel. Recently, we began
a program to reduce our outstanding commitments and balances in
these types of credits. At June 30, 2002, the ratio of
nonperforming shared national credits and media finance loans to
total shared national credits and media finance loans outstanding
was 2%.                                                                                                                                                                                                                                                                                      
|
| |  |  | 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 65% of our lease
financing portfolio and 18% of our combined lease financing and
consumer loans at June 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 $72.9 million for the first six months of 2002, an increase of
$27.8 million, or 61.6%, over the same period in 2001. The increase was
primarily due to charge-offs in commercial, financial and agricultural loans,
consumer loans and lease financing in the first six 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 the first six months of 2002, recoveries increased by $6.6 million, or
109.5%, 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 first six months of 2002
were 0.59% (annualized) compared to 0.55% (annualized) for the same period in 2001.

The Allowance decreased to 1.69 times nonperforming loans and leases (excluding
90 days or more past due accruing loans and leases) at June 30, 2002 from 1.74
times at June 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 June 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
those specific items mentioned above in particular and make necessary
adjustments to the Allowance accordingly.

26



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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 six months ended June 30, 2002, as compared to the
same periods in 2001:

|                            |                                      |                          |   |                |         |      |   |          |         |  |  |       |        |  
|--------------------------- | ------------------------------------ | ------------------------ | - | -------------- | ------- | ---- | - | -------- | ------- |  |  | ----- | ------ | -
|                            |                                      |                          |   | 2002           |         | 2001 |   | % Change
|                            |                                      |                          |   |                |         |      |   |         
|                            |                                      |                          |   | (in thousands) |         |      |   |         
|Three months ended June 30, |                                      |                          |   |                |         |      |   |          |         |  |  |      
|                            | Service charges on deposit accounts  |                          | $ | 36,561         |         |      | $ | 22,573   |         |  |  | 62.0  | %     
|                            | Trust and investment services income |                          |   | 10,252         |         |      |   | 8,083    |         |  |  | 26.8  |       
|                            | Other service charges and fees       |                          |   | 31,912         |         |      |   | 20,198   |         |  |  | 58.0  |       
|                            | Securities gains, net                |                          |   | 456            |         |      |   | 19,936   |         |  |  | N/M   |       
|                            | Other                                |                          |   | 9,248          |         |      |   | 9,006    |         |  |  | 2.7   |       
|                            |                                      |                          |   |                |         |      |   |          |         |  |  |      
|                            |                                      | Total noninterest income |   | $              | 88,429  |      |   | $        | 79,796  |  |  |       | 10.8   | %
|                            |                                      |                          |   |                |         |      |   |          |         |  |  |      
|Six months ended June 30,   |                                      |                          |   |                |         |      |   |          |         |  |  |      
|                            | Service charges on deposit accounts  |                          | $ | 62,535         |         |      | $ | 43,009   |         |  |  | 45.4  | %     
|                            | Trust and investment services income |                          |   | 18,392         |         |      |   | 17,210   |         |  |  | 6.9   |       
|                            | Other service charges and fees       |                          |   | 55,410         |         |      |   | 38,572   |         |  |  | 43.7  |       
|                            | Securities gains, net                |                          |   | 684            |         |      |   | 61,236   |         |  |  | N/M   |       
|                            | Other                                |                          |   | 14,032         |         |      |   | 18,268   |         |  |  | (23.2 | )     
|                            |                                      |                          |   |                |         |      |   |          |         |  |  |      
|                            |                                      | Total noninterest income |   | $              | 151,053 |      |   | $        | 178,295 |  |  |       | (15.3) | %
|                            |                                      |                          |   |                |         |      |   |          |         |  |  |      

N/M  Not Meaningful.

As the table above shows in detail, noninterest income increased by 10.8% for
the three months ended June 30, 2002 and decreased 15.3% for the six months
ended June 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 three and six
months ended June 30, 2002 as compared to the same periods in 2001.                                                                                                                                                     
| | - |  | ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
|
| |  |  | The increases in service charges on deposit accounts for the three and
six months ended June 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 predominately 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
six months ended June 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 six
months ended June 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 six months ended June
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 a gain on the sale
of securitized loans in 2001.                                                                                                                     

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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 six months ended June 30, 2002 as compared to the
same periods in 2001:

| |                             |                                     |                           |   |                |         |      |   |          |         |  |  |       |      |  
| | --------------------------- | ----------------------------------- | ------------------------- | - | -------------- | ------- | ---- | - | -------- | ------- |  |  | ----- | ---- | -
| |                             |                                     |                           |   | 2002           |         | 2001 |   | % Change
| |                             |                                     |                           |   |                |         |      |   |         
| |                             |                                     |                           |   | (in thousands) |         |      |   |         
| | Three months ended June 30, |                                     |                           |   |                |         |      |   |          |         |  |  |      
| |                             | Salaries and wages                  |                           | $ | 86,463         |         |      | $ | 51,390   |         |  |  | 68.2  | %   
| |                             | Employee benefits                   |                           |   | 35,675         |         |      |   | 18,844   |         |  |  | 89.3  |     
| |                             | Occupancy expense                   |                           |   | 23,495         |         |      |   | 17,006   |         |  |  | 38.2  |     
| |                             | Outside services                    |                           |   | 17,808         |         |      |   | 11,999   |         |  |  | 48.4  |     
| |                             | Intangible amortization             |                           |   | 5,763          |         |      |   | 11,136   |         |  |  | (48.2 | )   
| |                             | Equipment expense                   |                           |   | 14,480         |         |      |   | 7,558    |         |  |  | 91.6  |     
| |                             | Stationery and supplies             |                           |   | 7,389          |         |      |   | 5,293    |         |  |  | 39.6  |     
| |                             | Advertising and promotion           |                           |   | 8,034          |         |      |   | 3,957    |         |  |  | 103.0 |     
| |                             | Restructuring and integration costs |                           |   | 2,738          |         |      |   |         |         |  |  |      |     
| |                             | Other                               |                           |   | 26,975         |         |      |   | 20,533   |         |  |  | 31.4  |     
| |                             |                                     |                           |   |                |         |      |   |          |         |  | 
| |                             |                                     | Total noninterest expense |   | $              | 228,820 |      |   | $        | 147,716 |  |  |       | 54.9 | %
| |                             |                                     |                           |   |                |         |      |   |          |         |  | 
| | Six months ended June 30,   |                                     |                           |   |                |         |      |   |          |         |  |  |      
| |                             | Salaries and wages                  |                           | $ | 146,557        |         |      | $ | 100,767  |         |  |  | 45.4  | %   
| |                             | Employee benefits                   |                           |   | 59,157         |         |      |   | 36,817   |         |  |  | 60.7  |     
| |                             | Occupancy expense                   |                           |   | 39,109         |         |      |   | 33,241   |         |  |  | 17.7  |     
| |                             | Outside services                    |                           |   | 31,060         |         |      |   | 23,502   |         |  |  | 32.2  |     
| |                             | Intangible amortization             |                           |   | 8,520          |         |      |   | 21,420   |         |  |  | (60.2 | )   
| |                             | Equipment expense                   |                           |   | 22,209         |         |      |   | 15,090   |         |  |  | 47.2  |     
| |                             | Stationery and supplies             |                           |   | 13,074         |         |      |   | 9,693    |         |  |  | 34.9  |     
| |                             | Advertising and promotion           |                           |   | 12,691         |         |      |   | 8,290    |         |  |  | 53.1  |     
| |                             | Restructuring and integration costs |                           |   | 8,753          |         |      |   | 3,935    |         |  |  | 122.4 |     
| |                             | Other                               |                           |   | 46,788         |         |      |   | 45,049   |         |  |  | 3.9   |     
| |                             |                                     |                           |   |                |         |      |   |          |         |  | 
| |                             |                                     | Total noninterest expense |   | $              | 387,918 |      |   | $        | 297,804 |  |  |       | 30.3 | %
| |                             |                                     |                           |   |                |         |      |   |          |         |  | 

As the table above shows in detail, noninterest expense increased by 54.9% and
30.3% for the three and six months ended June 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 six months ended June 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
increased employees, primarily due to the UCB acquisition. Also, the
increase for the three and six months ended June 30, 2002 included $4.4
million in costs related to participation in the BNPP Discounted
Share Purchase Plan in June 2002. In addition, total salaries and wages
for the three and six months ended June 30, 2002 increased compared to
the same periods in 2001, due to lower net periodic pension benefit
credits in 2002.
| | - |  | -------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
|
| |  |  | The decrease in intangible amortization reflects the adoption of new
accounting standards 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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INCOME TAXES

Our effective income tax rates (exclusive of the tax equivalent adjustment) for
the three and six months ended June 30, 2002 were 39.1% and 39.2%, as compared
to 38.7% and 39.3%, 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 15.9%
of total assets at June 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 six months ended June 30, 2002 increased 40.4%
to $20.4 billion, over the year ended December 31, 2001, primarily due to
continued expansion of our customer base in the Western United States and the
acquisition of UCB. Average total deposits funded 71% of average total assets
for the six months ended June 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 August 9, 2002, our audit committee has
approved up to $1.1 million in fees related to non-audit services provided by our
independent public accountants, PricewaterhouseCoopers, L.L.P. These fees
relate primarily to assistance in the integration efforts of Bank of the West
with UCB.

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##### Table of Contents



CAPITAL

Stockholders equity was $3.799 billion at June 30, 2002, an increase of 89.8%
over $2.002 billion at December 31, 2001. Compared to June 30, 2001,
stockholders equity at June 30, 2002 increased by $1.718 billion, or 82.6%.
The increase was 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 June 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 |  | $      | 1,988,101 |                   |  |            | 9.63  | %     |  | $           | 825,841   |                   |  |  | 4.00 | % |  | $            | 1,238,762 |  |  |  | 6.00  | %
|                                        | First Hawaiian   |  |        | 673,955   |                   |  |            | 10.31 |       |  |             | 261,389   |                   |  |  | 4.00 |   |  |              | 392,083   |  |  |  | 6.00  |  
|Total
Capital to Risk-Weighted Assets:  |                  |  |        |           |                   |  |            |       |       |  |             |           |                   |  |  |      |   |  |              |           |  |  |  |      
|                                        | Bank of the West |  | $      | 2,471,805 |                   |  |            | 11.97 | %     |  | $           | 1,651,682 |                   |  |  | 8.00 | % |  | $            | 2,064,603 |  |  |  | 10.00 | %
|                                        | First Hawaiian   |  |        | 827,046   |                   |  |            | 12.66 |       |  |             | 522,778   |                   |  |  | 8.00 |   |  |              | 653,472   |  |  |  | 10.00 |  
|Tier 1 Capital to Average Assets:       |                  |  |        |           |                   |  |            |       |       |  |             |           |                   |  |  |      |   |  |              |           |  |  |  |      
|                                        | Bank of the West |  | $      | 1,988,101 |                   |  |            | 8.75  | %     |  | $           | 908,363   |                   |  |  | 4.00 | % |  | $            | 1,135,454 |  |  |  | 5.00  | %
|                                        | First Hawaiian   |  |        | 673,955   |                   |  |            | 8.81  |       |  |             | 306,067   |                   |  |  | 4.00 |   |  |              | 382,583   |  |  |  | 5.00  |  

Due to the election to become a financial holding company done concurrently
with the BNP Paribas Merger, only the Companys depository institution
subsidiaries are subject to various regulatory capital requirements
administered by the Federal banking agencies. If they fail to meet minimum
capital requirements, these 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, the Companys 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 July 1 and January 1, 2002 is shown below:

|                      |  |      |         |     |  |     |         |      |  |     |         |   |  |   |         |   |  |   |         |   
|--------------------- |  | ---- | ------- | --- |  | --- | ------- | ---- |  | --- | ------- | - |  | - | ------- | - |  | - | ------- | --
|                     
|(dollars in millions) |  | + 3% |         | +2% |  | +1% |         | Flat |  | -1%
|                     
|July 1, 2002          |  |      |         |     |  |     |         |      |  |     |         |   |  |   |         |   |  |   |         |   
|Net Interest Income   |  | $    | 1,305.5 |     |  | $   | 1,301.6 |      |  | $   | 1,293.1 |   |  | $ | 1,280.2 |   |  | $ | 1,255.2 |   
|Difference from flat  |  | $    | 25.3    |     |  | $   | 21.4    |      |  | $   | 12.9    |   |  | $ |        |   |  | $ | (25.0   | ) 
|% variance            |  |      | 2.0     | %   |  |     | 1.7     | %    |  |     | 1.0     | % |  |   |        | % |  |   | (2.0)   | % 
|                     
|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.

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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.                                                                                                                                                                                     
|   
|    |  | Exhibit 99.1          |  | Certification
Pursuant to 18 U.S.C. Section 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002.                                                                                                        
|   
|    |  | Exhibit 99.2          |  | Certification Pursuant to 18 U.S.C. Section 1350, as adopted pursuant
to Section 906 of the Sarbanes-Oxley Act of 2002.                                                                                                        
|   
|(b) |  | Reports on Form 8-K/A |  | On May 29, 2002, the registrant filed a Report on
Form 8-K/A that provided information under Items 2 and 7 concerning the
registrants acquisition of all of the outstanding stock of United
California Bank on March 15, 2002.

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##### Table of Contents






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 |  | August 14, 2002 |  | By                                                                                                                   |  | /s/  Douglas C. Grigsby
|     |  |                 |  |                                                                                                                      |  |                        
|     |  |                 |  | Douglas C. Grigsby     
Executive Vice President and Chief Financial Officer          
(principal financial officer)

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EXHIBIT INDEX

|        |  |                                                                                                                        
|------- |  | -----------------------------------------------------------------------------------------------------------------------
|Exhibit |  |                                                                                                                        
|Number  |  | Description                                                                                                            
|        |  |                                                                                                                        
|12      |  | Statement regarding computation of ratios.                                                                             
|       
|99.1    |  | Certification Pursuant to 18 U.S.C. Section 1350, as adopted
pursuant to
Section 906 of the Sarbanes-Oxley Act of 2002.
|       
|99.2    |  | Certification Pursuant to 18 U.S.C. Section 1350, as adopted pursuant
to Section 906 of the Sarbanes-Oxley Act of 2002.