BancWest quarterly profits rise 45 percent

Advertiser Staff and News Services

BancWest Corp., parent of First Hawaiian Bank, said yesterday its second-quarter profits rose more than 45 percent, primarily because of the bank holding company's acquisition of United California Bank.

BancWest reported net income of $96.6 million in the quarter ended June 30, up 46.5 percent from the same quarter last year.

After adjusting for merger costs associated with the acquisition and nonrecurring items in 2001, core earnings totaled $98.2 million for the quarter, up 67.5 percent from the 2001 quarter.

BancWest, a subsidiary of BNP Paribas, also is the parent company of San Francisco-based Bank of the West.

"The acquisition of United California Bank this spring brought a dramatic jump in our earnings, but we also continue to generate solid growth in our existing businesses, particularly in Western Mainland states," said Walter A. Dods Jr., BancWest chairman and chief executive officer.

In March the bank acquired United California from UFJ Holdings of Tokyo in a $2.4-billion cash transaction, which more than doubled BancWest's presence in California. United California, then the largest Los Angelesibased bank, had assets of $10 billion and 115 branches in California.

Don J. McGrath, president and chief operating officer of BancWest, and president and chief executive officer of Bank of the West, said United California offices would be rebranded as Bank of the West in the third quarter.

BancWest said total assets rose more than 75 percent to $34 billion; deposits rose 65 percent to $24.1 billion. Loans and leases totaled $24.2 billion, up 66 percent.

Nonperforming assets were 1.04 percent of loans and foreclosed properties for the quarter, compared with 1.06 percent in 2001.

Allowance for credit losses represented 1.60 percent of total loans and leases, compared with 1.32 percent at June 30, 2001.

Overall revenues for the quarter were up 57.8 percent from the year-ago quarter, exclusive of nonrecurring items.