BancWest earnings up from a year ago

By Frank Cho
Advertiser Staff Writer

BancWest Corp., the parent company of First Hawaiian Bank, said its first-quarter operating profits rose 7.7 percent from the same period a year ago, despite the economic downturn since the Sept. 11 terrorist attacks.

BancWest, the state's biggest financial services company in terms of assets, reported an operating profit of $69 million, excluding after-tax integration costs of $3.6 million related to its acquisition of United California Bank last month.

Excluding that charge, the bank holding company reported its net income at $65.4 million, up 5.9 percent, from $61.8 million a year ago.

United California was acquired by BancWest on March 15, expanding the Hawai'i company's asset base to $33.3 billion and making it the 25th-biggest bank holding company in the nation.

BancWest has 368 branches in seven Western states along with Guam and Saipan.

"Our existing businesses also continued to grow despite the economic fallout from Sept. 11, and our loan-loss reserves are now at historic highs, strengthening us against future economic shocks," said Walter Dods, BancWest's chairman.

During the quarter, the provision for credit losses was $20 million, down from $35.2 million the same quarter a year ago.

BancWest said provisions for loan losses grew to 1.59 percent of total loans and leases as of March 31, up from 1.31 percent the same time last year.

This is BancWest's first full quarter as a subsidiary of Paris-based BNP Paribas, France's largest publicly traded bank.