Bank segment (Tables)

6 Months Ended

Jun. 30, 2023

Bank Subsidiary [Abstract]

Schedule of Statements of Income Data

Condensed Consolidating Statement of Income

Three months ended June 30, 2023

(in thousands)	Hawaiian Electric		Hawaii Electric Light	Maui Electric	Other subsidiary	Consolidating adjustments	Hawaiian Electric Consolidated
Revenues	$	570,689	112,074	111,428	—	—	$	794,191
Expenses
Fuel oil	213,471		20,471	46,215	—	—	280,157
Purchased power	119,460		37,246	11,728	—	—	168,434
Other operation and maintenance	88,967		21,666	25,727	—	—	136,360
Depreciation	40,800		10,636	9,253	—	—	60,689
Taxes, other than income taxes	54,046		10,389	10,491	—	—	74,926
Total expenses	516,744		100,408	103,414	—	—	720,566
Operating income	53,945		11,666	8,014	—	—	73,625
Allowance for equity funds used during construction	2,959		354	459	—	—	3,772
Equity in earnings of subsidiaries	11,414		—	—	—	(11,414)	—
Retirement defined benefits credit (expense)—other than service costs	905		168	(25)	—	—	1,048
Interest expense and other charges, net	(14,742)		(2,975)	(3,155)	—	—	(20,872)
Allowance for borrowed funds used during construction	1,030		113	152	—	—	1,295
Income before income taxes	55,511		9,326	5,445	—	(11,414)	58,868
Income taxes	9,942		2,118	1,010	—	—	13,070
Net income	45,569		7,208	4,435	—	(11,414)	45,798
Preferred stock dividends of subsidiaries	—		133	96	—	—	229
Net income attributable to Hawaiian Electric	45,569		7,075	4,339	—	(11,414)	45,569
Preferred stock dividends of Hawaiian Electric	270		—	—	—	—	270
Net income for common stock	$	45,299	7,075	4,339	—	(11,414)	$	45,299

Condensed Consolidating Statement of Income

Three months ended June 30, 2022

(in thousands)	Hawaiian Electric		Hawaii Electric Light	Maui Electric	Other subsidiary	Consolidating adjustments	Hawaiian Electric Consolidated
Revenues	$	576,472	124,502	117,928	—	(29)	$	818,873
Expenses
Fuel oil	184,297		33,065	52,293	—	—	269,655
Purchased power	165,202		38,735	14,148	—	—	218,085
Other operation and maintenance	82,707		21,331	20,854	—	—	124,892
Depreciation	39,501		10,352	8,886	—	—	58,739
Taxes, other than income taxes	54,025		11,378	10,945	—	—	76,348
Total expenses	525,732		114,861	107,126	—	—	747,719
Operating income	50,740		9,641	10,802	—	(29)	71,154
Allowance for equity funds used during construction	1,946		217	307	—	—	2,470
Equity in earnings of subsidiaries	12,237		—	—	—	(12,237)	—
Retirement defined benefits credit (expense)—other than service costs	856		167	(32)	—	—	991
Interest expense and other charges, net	(13,519)		(2,642)	(2,668)	—	29	(18,800)
Allowance for borrowed funds used during construction	637		67	94	—	—	798
Income before income taxes	52,897		7,450	8,503	—	(12,237)	56,613
Income taxes	8,492		1,659	1,828	—	—	11,979
Net income	44,405		5,791	6,675	—	(12,237)	44,634
Preferred stock dividends of subsidiaries	—		133	96	—	—	229
Net income attributable to Hawaiian Electric	44,405		5,658	6,579	—	(12,237)	44,405
Preferred stock dividends of Hawaiian Electric	270		—	—	—	—	270
Net income for common stock	$	44,135	5,658	6,579	—	(12,237)	$	44,135

Condensed Consolidating Statement of Income

Six months ended June 30, 2023

(in thousands)	Hawaiian Electric		Hawaii Electric Light	Maui Electric	Other subsidiary	Consolidating adjustments	Hawaiian Electric Consolidated
Revenues	$	1,172,219	227,362	225,101	—	(130)	$	1,624,552
Expenses
Fuel oil	467,298		48,231	98,725	—	—	614,254
Purchased power	229,739		71,332	20,124	—	—	321,195
Other operation and maintenance	172,200		43,016	49,460	—	—	264,676
Depreciation	81,838		21,271	18,507	—	—	121,616
Taxes, other than income taxes	110,999		21,126	21,186	—	—	153,311
Total expenses	1,062,074		204,976	208,002	—	—	1,475,052
Operating income	110,145		22,386	17,099	—	(130)	149,500
Allowance for equity funds used during construction	5,599		638	836	—	—	7,073
Equity in earnings of subsidiaries	22,955		—	—	—	(22,955)	—
Retirement defined benefits credit (expense)—other than service costs	1,809		337	(51)	—	—	2,095
Interest expense and other charges, net	(29,299)		(5,806)	(6,143)	—	130	(41,118)
Allowance for borrowed funds used during construction	1,948		204	274	—	—	2,426
Income before income taxes	113,157		17,759	12,015	—	(22,955)	119,976
Income taxes	20,309		4,027	2,334	—	—	26,670
Net income	92,848		13,732	9,681	—	(22,955)	93,306
Preferred stock dividends of subsidiaries	—		267	191	—	—	458
Net income attributable to Hawaiian Electric	92,848		13,465	9,490	—	(22,955)	92,848
Preferred stock dividends of Hawaiian Electric	540		—	—	—	—	540
Net income for common stock	$	92,308	13,465	9,490	—	(22,955)	$	92,308

Condensed Consolidating Statement of Income

Six months ended June 30, 2022

(in thousands)	Hawaiian Electric		Hawaii Electric Light	Maui Electric	Other subsidiary	Consolidating adjustments	Hawaiian Electric Consolidated
Revenues	$	1,076,714	233,030	217,956	—	(35)	$	1,527,665
Expenses
Fuel oil	338,722		58,316	93,903	—	—	490,941
Purchased power	289,385		69,447	22,786	—	—	381,618
Other operation and maintenance	166,363		41,545	42,241	—	—	250,149
Depreciation	78,985		20,703	17,522	—	—	117,210
Taxes, other than income taxes	101,299		21,410	20,289	—	—	142,998
Total expenses	974,754		211,421	196,741	—	—	1,382,916
Operating income	101,960		21,609	21,215	—	(35)	144,749
Allowance for equity funds used during construction	3,936		410	533	—	—	4,879
Equity in earnings of subsidiaries	25,898		—	—	—	(25,898)	—
Retirement defined benefits credit (expense)—other than service costs	1,711		334	(64)	—	—	1,981
Interest expense and other charges, net	(26,612)		(5,251)	(5,298)	—	35	(37,126)
Allowance for borrowed funds used during construction	1,288		127	161	—	—	1,576
Income before income taxes	108,181		17,229	16,547	—	(25,898)	116,059
Income taxes	17,097		3,927	3,493	—	—	24,517
Net income	91,084		13,302	13,054	—	(25,898)	91,542
Preferred stock dividends of subsidiaries	—		267	191	—	—	458
Net income attributable to Hawaiian Electric	91,084		13,035	12,863	—	(25,898)	91,084
Preferred stock dividends of Hawaiian Electric	540		—	—	—	—	540
Net income for common stock	$	90,544	13,035	12,863	—	(25,898)	$	90,544

125,173 Statements of Income and Comprehensive Income Data

	Three months ended June 30				Six months ended June 30
(in thousands)	2023		2022		2023		2022
Interest and dividend income
Interest and fees on loans	$	67,966	$	48,129	$	132,808	$	94,134
Interest and dividends on investment securities	13,775		14,693		28,412		28,677
Total interest and dividend income	81,741		62,822		161,220		122,811
Interest expense
Interest on deposit liabilities	9,661		921		16,498		1,868
Interest on other borrowings	8,852		139		16,573		144
Total interest expense	18,513		1,060		33,071		2,012
Net interest income	63,228		61,762		128,149		120,799
Provision for credit losses	43		2,757		1,218		(506)
Net interest income after provision for credit losses	63,185		59,005		126,931		121,305
Noninterest income
Fees from other financial services	5,009		4,716		9,688		10,303
Fee income on deposit liabilities	4,504		4,552		9,103		9,243
Fee income on other financial products	2,768		2,529		5,512		5,247
Bank-owned life insurance	1,955		(142)		3,380		539
Mortgage banking income	230		372		360		1,449
Gain on sale of real estate	495		—		495		1,002
Other income, net	678		475		1,479		847
Total noninterest income	15,639		12,502		30,017		28,630
Noninterest expense
Compensation and employee benefits	29,394		27,666		59,598		54,881
Occupancy	5,539		5,467		11,127		11,419
Data processing	5,095		4,484		10,107		8,635
Services	2,689		2,522		5,284		4,961
Equipment	2,957		2,402		5,603		4,731
Office supplies, printing and postage	1,109		1,073		2,274		2,133
Marketing	834		934		1,850		1,952
Other expense	6,152		4,850		12,343		8,899
Total noninterest expense	53,769		49,398		108,186		97,611
Income before income taxes	25,055		22,109		48,762		52,324
Income taxes	4,851		4,643		9,996		10,988
Net income	20,204		17,466		38,766		41,336
Other comprehensive income (loss), net of taxes	(7,210)		(88,835)		11,220		(211,276)
Comprehensive income (loss)	$	12,994	$	(71,369)	$	49,986	$	(169,940)

Reconciliation to amounts per HEI Condensed Consolidated Statements of Income*:

	Three months ended June 30				Six months ended June 30
(in thousands)	2023		2022		2023		2022
Interest and dividend income	$	81,741	$	62,822	$	161,220	$	122,811
Noninterest income	15,639		12,502		30,017		28,630
Less: Gain on sale of real estate	495		—		495		1,002
*Revenues-Bank	96,885		75,324		190,742		150,439
Total interest expense	18,513		1,060		33,071		2,012
Provision for credit losses	43		2,757		1,218		(506)
Noninterest expense	53,769		49,398		108,186		97,611
Less: Gain on sale of real estate	495		—		495		1,002
Less: Retirement defined benefits credit—other than service costs	(187)		(186)		(374)		(371)
*Expenses-Bank	72,017		53,401		142,354		98,486
*Operating income-Bank	24,868		21,923		48,388		51,953
Add back: Retirement defined benefits credit—other than service costs	(187)		(186)		(374)		(371)
Income before income taxes	$	25,055	$	22,109	$	48,762	$	52,324

Schedule of Statements of Comprehensive Income Data

Statements of Income and Comprehensive Income Data

	Three months ended June 30				Six months ended June 30
(in thousands)	2023		2022		2023		2022
Interest and dividend income
Interest and fees on loans	$	67,966	$	48,129	$	132,808	$	94,134
Interest and dividends on investment securities	13,775		14,693		28,412		28,677
Total interest and dividend income	81,741		62,822		161,220		122,811
Interest expense
Interest on deposit liabilities	9,661		921		16,498		1,868
Interest on other borrowings	8,852		139		16,573		144
Total interest expense	18,513		1,060		33,071		2,012
Net interest income	63,228		61,762		128,149		120,799
Provision for credit losses	43		2,757		1,218		(506)
Net interest income after provision for credit losses	63,185		59,005		126,931		121,305
Noninterest income
Fees from other financial services	5,009		4,716		9,688		10,303
Fee income on deposit liabilities	4,504		4,552		9,103		9,243
Fee income on other financial products	2,768		2,529		5,512		5,247
Bank-owned life insurance	1,955		(142)		3,380		539
Mortgage banking income	230		372		360		1,449
Gain on sale of real estate	495		—		495		1,002
Other income, net	678		475		1,479		847
Total noninterest income	15,639		12,502		30,017		28,630
Noninterest expense
Compensation and employee benefits	29,394		27,666		59,598		54,881
Occupancy	5,539		5,467		11,127		11,419
Data processing	5,095		4,484		10,107		8,635
Services	2,689		2,522		5,284		4,961
Equipment	2,957		2,402		5,603		4,731
Office supplies, printing and postage	1,109		1,073		2,274		2,133
Marketing	834		934		1,850		1,952
Other expense	6,152		4,850		12,343		8,899
Total noninterest expense	53,769		49,398		108,186		97,611
Income before income taxes	25,055		22,109		48,762		52,324
Income taxes	4,851		4,643		9,996		10,988
Net income	20,204		17,466		38,766		41,336
Other comprehensive income (loss), net of taxes	(7,210)		(88,835)		11,220		(211,276)
Comprehensive income (loss)	$	12,994	$	(71,369)	$	49,986	$	(169,940)

Reconciliation to amounts per HEI Condensed Consolidated Statements of Income*:

	Three months ended June 30				Six months ended June 30
(in thousands)	2023		2022		2023		2022
Interest and dividend income	$	81,741	$	62,822	$	161,220	$	122,811
Noninterest income	15,639		12,502		30,017		28,630
Less: Gain on sale of real estate	495		—		495		1,002
*Revenues-Bank	96,885		75,324		190,742		150,439
Total interest expense	18,513		1,060		33,071		2,012
Provision for credit losses	43		2,757		1,218		(506)
Noninterest expense	53,769		49,398		108,186		97,611
Less: Gain on sale of real estate	495		—		495		1,002
Less: Retirement defined benefits credit—other than service costs	(187)		(186)		(374)		(371)
*Expenses-Bank	72,017		53,401		142,354		98,486
*Operating income-Bank	24,868		21,923		48,388		51,953
Add back: Retirement defined benefits credit—other than service costs	(187)		(186)		(374)		(371)
Income before income taxes	$	25,055	$	22,109	$	48,762	$	52,324

Schedule of Balance Sheets Data

Condensed Consolidating Balance Sheet

June 30, 2023

(in thousands)	Hawaiian Electric		Hawaii Electric Light	Maui Electric	Other subsi- diary	Consoli- dating adjustments	Hawaiian Electric Consolidated
Assets
Property, plant and equipment
Utility property, plant and equipment
Land	$	42,859	5,645	3,594	—	—	$	52,098
Plant and equipment	5,370,111		1,436,118	1,316,537	—	—	8,122,766
Right-of-use assets - finance lease	88,297		36,075	—	—	—	124,372
Less accumulated depreciation	(1,921,855)		(657,127)	(599,985)	—	—	(3,178,967)
Construction in progress	256,266		33,118	48,668	—	—	338,052
Utility property, plant and equipment, net	3,835,678		853,829	768,814	—	—	5,458,321
Nonutility property, plant and equipment, less accumulated depreciation	5,297		115	1,532	—	—	6,944
Total property, plant and equipment, net	3,840,975		853,944	770,346	—	—	5,465,265
Investment in wholly owned subsidiaries, at equity	708,465		—	—	—	(708,465)	—
Current assets
Cash and cash equivalents	70,235		35,894	37,441	77	—	143,647
Customer accounts receivable, net	147,065		32,293	29,836	—	—	209,194
Accrued unbilled revenues, net	113,069		20,474	20,812	—	—	154,355
Other accounts receivable, net	26,535		5,602	6,143	—	(20,555)	17,725
Fuel oil stock, at average cost	106,515		17,069	20,216	—	—	143,800
Materials and supplies, at average cost	53,681		12,304	25,170	—	—	91,155
Prepayments and other	32,621		5,082	4,475	—	(298)	41,880
Regulatory assets	70,932		2,789	3,516	—	—	77,237
Total current assets	620,653		131,507	147,609	77	(20,853)	878,993
Other long-term assets
Operating lease right-of-use assets	38,675		30,903	10,927	—	—	80,505
Regulatory assets	146,918		16,686	11,946	—	—	175,550
Other	114,318		33,129	30,740	—	(16,907)	161,280
Total other long-term assets	299,911		80,718	53,613	—	(16,907)	417,335
Total assets	$	5,470,004	1,066,169	971,568	77	(746,225)	$	6,761,593
Capitalization and liabilities
Capitalization
Common stock equity	$	2,371,889	349,227	359,161	77	(708,465)	$	2,371,889
Cumulative preferred stock—not subject to mandatory redemption	22,293		7,000	5,000	—	—	34,293
Long-term debt, net	1,226,714		249,370	258,446	—	—	1,734,530
Total capitalization	3,620,896		605,597	622,607	77	(708,465)	4,140,712
Current liabilities
Current portion of operating lease liabilities	8,128		6,861	2,720	—	—	17,709
Current portion of long-term debt	49,992		19,997	29,996	—	—	99,985
Accounts payable	158,400		23,919	28,313	—	—	210,632
Interest and preferred dividends payable	15,126		3,271	2,970	—	—	21,367
Taxes accrued, including revenue taxes	180,089		37,077	36,069	—	(298)	252,937
Regulatory liabilities	9,325		7,599	9,014	—	—	25,938
Other	66,765		22,001	22,084	—	(20,555)	90,295
Total current liabilities	487,825		120,725	131,166	—	(20,853)	718,863
Deferred credits and other liabilities
Operating lease liabilities	37,657		24,343	8,465	—	—	70,465
Finance lease liabilities	83,642		35,364	—	—	—	119,006
Deferred income taxes	272,556		50,433	62,361	—	—	385,350
Regulatory liabilities	758,970		196,235	106,213	—	—	1,061,418
Unamortized tax credits	66,632		12,657	12,301	—	—	91,590
Defined benefit pension liability	65,923		—	—	—	(16,907)	49,016
Other	75,903		20,815	28,455	—	—	125,173
Total deferred credits and other liabilities	1,361,283		339,847	217,795	—	(16,907)	1,902,018
Total capitalization and liabilities	$	5,470,004	1,066,169	971,568	77	(746,225)	$	6,761,593

Condensed Consolidating Balance Sheet

December 31, 2022

(in thousands)	Hawaiian Electric		Hawaii Electric Light	Maui Electric	Other subsi-diary	Consoli- dating adjustments	Hawaiian Electric Consolidated
Assets
Property, plant and equipment
Utility property, plant and equipment
Land	$	42,860	5,606	3,594	—	—	$	52,060
Plant and equipment	5,260,685		1,425,442	1,293,383	—	—	7,979,510
Finance lease right-of-use assets	48,371		—	—	—	—	48,371
Less accumulated depreciation	(1,855,150)		(644,457)	(586,892)	—	—	(3,086,499)
Construction in progress	215,560		23,989	35,804	—	—	275,353
Utility property, plant and equipment, net	3,712,326		810,580	745,889	—	—	5,268,795
Nonutility property, plant and equipment, less accumulated depreciation	5,298		115	1,532	—	—	6,945
Total property, plant and equipment, net	3,717,624		810,695	747,421	—	—	5,275,740
Investment in wholly owned subsidiaries, at equity	701,833		—	—	—	(701,833)	—
Current assets
Cash and cash equivalents	27,579		5,092	6,494	77	—	39,242
Advances to affiliates	—		4,500	21,700	—	(26,200)	—
Customer accounts receivable, net	216,802		39,339	32,197	—	—	288,338
Accrued unbilled revenues, net	136,508		23,839	22,933	—	—	183,280
Other accounts receivable, net	23,746		5,519	6,686	—	(22,384)	13,567
Fuel oil stock, at average cost	153,342		16,964	21,224	—	—	191,530
Materials and supplies, at average cost	48,130		9,783	21,655	—	—	79,568
Prepayments and other	24,040		6,346	4,137	—	(1,041)	33,482
Regulatory assets	46,504		2,435	3,334	—	—	52,273
Total current assets	676,651		113,817	140,360	77	(49,625)	881,280
Other long-term assets
Operating lease right-of-use assets	42,752		34,283	12,283	—	—	89,318
Regulatory assets	154,040		21,816	14,384	—	—	190,240
Other	115,028		32,654	29,495	—	(16,288)	160,889
Total other long-term assets	311,820		88,753	56,162	—	(16,288)	440,447
Total assets	$	5,407,928	1,013,265	943,943	77	(767,746)	$	6,597,467
Capitalization and liabilities
Capitalization
Common stock equity	$	2,344,170	344,720	357,036	77	(701,833)	$	2,344,170
Cumulative preferred stock—not subject to mandatory redemption	22,293		7,000	5,000	—	—	34,293
Long-term debt, net	1,126,915		224,439	233,500	—	—	1,584,854
Total capitalization	3,493,378		576,159	595,536	77	(701,833)	3,963,317
Current liabilities
Current portion of operating lease liabilities	9,775		6,690	2,630	—	—	19,095
Current portion of long-term debt	49,981		19,992	29,989	—	—	99,962
Short-term borrowings-non-affiliate	87,967		—	—	—	—	87,967
Short-term borrowings-affiliate	26,200		—	—	—	(26,200)	—
Accounts payable	143,253		32,113	27,126	—	—	202,492
Interest and preferred dividends payable	12,398		2,576	2,282	—	(80)	17,176
Taxes accrued, including revenue taxes	207,798		42,436	40,709	—	(1,041)	289,902
Regulatory liabilities	13,145		8,553	9,777	—	—	31,475
Other	64,659		20,856	22,385	—	(22,304)	85,596
Total current liabilities	615,176		133,216	134,898	—	(49,625)	833,665
Deferred credits and other liabilities
Operating lease liabilities	41,049		27,817	9,849	—	—	78,715
Finance lease liabilities	46,048		—	—	—	—	46,048
Deferred income taxes	271,234		50,615	62,581	—	—	384,430
Regulatory liabilities	729,683		194,222	100,270	—	—	1,024,175
Unamortized tax credits	69,614		13,150	12,536	—	—	95,300
Defined benefit pension and other postretirement benefit plans liability	65,907		129	—	—	(16,288)	49,748
Other	75,839		17,957	28,273	—	—	122,069
Total deferred credits and other liabilities	1,299,374		303,890	213,509	—	(16,288)	1,800,485
Total capitalization and liabilities	$	5,407,928	1,013,265	943,943	77	(767,746)	$	6,597,467

Balance Sheets Data

(in thousands)	June 30, 2023				December 31, 2022
Assets
Cash and due from banks			$	158,170			$	153,042
Interest-bearing deposits			9,958				3,107
Cash and cash equivalents			168,128				156,149
Investment securities
Available-for-sale, at fair value			1,368,037				1,429,667
Held-to-maturity, at amortized cost (fair value of $1,121,995 and $1,150,971, respectively)			1,224,917				1,251,747
Stock in Federal Home Loan Bank, at cost			18,000				26,560
Loans held for investment			6,138,182				5,978,906
Allowance for credit losses			(69,068)				(72,216)
Net loans			6,069,114				5,906,690
Loans held for sale, at lower of cost or fair value			6,910				824
Other			683,395				692,143
Goodwill			82,190				82,190
Total assets			$	9,620,691			$	9,545,970
Liabilities and shareholder’s equity
Deposit liabilities—noninterest-bearing			$	2,683,725			$	2,811,077
Deposit liabilities—interest-bearing			5,479,510				5,358,619
Other borrowings			750,000				695,120
Other			212,268				212,269
Total liabilities			9,125,503				9,077,085
Common stock			1				1
Additional paid-in capital			357,123				355,806
Retained earnings			463,459				449,693
Accumulated other comprehensive loss, net of tax benefits
Net unrealized losses on securities	$	(315,917)			$	(328,904)
Retirement benefit plans	(9,478)		(325,395)		(7,711)		(336,615)
Total shareholder’s equity			495,188				468,885
Total liabilities and shareholder’s equity			$	9,620,691			$	9,545,970
Other assets
Bank-owned life insurance			$	183,833			$	182,986
Premises and equipment, net			192,070				195,324
Accrued interest receivable			27,136				25,077
Mortgage-servicing rights			8,495				9,047
Low-income housing investments			107,164				106,978
Deferred tax asset			112,345				116,441
Real estate acquired in settlement of loans, net			—				115
Other			52,352				56,175
			$	683,395			$	692,143
Other liabilities
Accrued expenses			$	98,664			$	97,295
Federal and state income taxes payable			187				863
Cashier’s checks			32,634				36,401
Advance payments by borrowers			10,800				9,637
Other			69,983				68,073
			$	212,268			$	212,269

Schedule of the Book Value and Aggregate Fair Value by Major Security Type

The major components of investment securities were as follows:

	Amortized cost		Gross unrealized gains		Gross unrealized losses		Estimated fair value		Gross unrealized losses
									Less than 12 months					12 months or longer
(dollars in thousands)									Number of issues	Fair  value		Amount		Number of issues	Fair  value		Amount
June 30, 2023
Available-for-sale
U.S. Treasury and federal agency obligations	$	84,728	$	—	$	(6,981)	$	77,747	—	$	—	$	—	14	$	77,747	$	(6,981)
Mortgage-backed securities*	1,465,232		—		(230,718)		1,234,514		8	36,332		(3,863)		175	1,198,182		(226,855)
Corporate bonds	44,307		—		(3,161)		41,146		—	—		—		5	41,146		(3,161)
Mortgage revenue bonds	14,630		—		—		14,630		—	—		—		—	—		—
	$	1,608,897	$	—	$	(240,860)	$	1,368,037	8	$	36,332	$	(3,863)	194	$	1,317,075	$	(236,997)
Held-to-maturity
U.S. Treasury and federal agency obligations	$	59,906	$	—	$	(8,207)	$	51,699	—	$	—	$	—	3	$	51,699	$	(8,207)
Mortgage-backed securities*	1,165,011		2,449		(97,164)		1,070,296		33	322,971		(6,521)		40	403,177		(90,643)
	$	1,224,917	$	2,449	$	(105,371)	$	1,121,995	33	$	322,971	$	(6,521)	43	$	454,876	$	(98,850)
December 31, 2022
Available-for-sale
U.S. Treasury and federal agency obligations	$	88,344	$	—	$	(7,281)	$	81,063	12	$	41,201	$	(2,120)	4	$	39,862	$	(5,161)
Mortgage-backed securities*	1,530,582		—		(237,614)		1,292,968		113	455,836		(56,999)		70	837,132		(180,615)
Corporate bonds	44,377		—		(3,643)		40,734		4	29,644		(2,028)		1	11,090		(1,615)
Mortgage revenue bonds	14,902		—		—		14,902		—	—		—		—	—		—
	$	1,678,205	$	—	$	(248,538)	$	1,429,667	129	$	526,681	$	(61,147)	75	$	888,084	$	(187,391)
Held-to-maturity
U.S. Treasury and federal agency obligations	$	59,894	$	—	$	(8,478)	$	51,416	1	$	16,874	$	(3,222)	2	$	34,542	$	(5,256)
Mortgage-backed securities*	1,191,853		2,670		(94,968)		1,099,555		22	183,629		(10,593)		51	567,250		(84,375)
	$	1,251,747	$	2,670	$	(103,446)	$	1,150,971	23	$	200,503	$	(13,815)	53	$	601,792	$	(89,631)

* Issued or guaranteed by U.S. Government agencies or sponsored agencies

Schedule of Contractual Maturities of Available-for-Sale Securities

The contractual maturities of investment securities were as follows:

June 30, 2023	Amortized  cost		Fair value
(in thousands)
Available-for-sale
Due in one year or less	$	2,213	$	2,177
Due after one year through five years	126,822		116,716
Due after five years through ten years	14,630		14,630
Due after ten years	—		—
	143,665		133,523
Mortgage-backed securities — issued or guaranteed by U.S. Government agencies or sponsored agencies	1,465,232		1,234,514
Total available-for-sale securities	$	1,608,897	$	1,368,037
Held-to-maturity
Due in one year or less	$	—	$	—
Due after one year through five years	19,966		17,403
Due after five years through ten years	39,940		34,296
Due after ten years	—		—
	59,906		51,699
Mortgage-backed securities — issued or guaranteed by U.S. Government agencies or sponsored agencies	1,165,011		1,070,296
Total held-to-maturity securities	$	1,224,917	$	1,121,995

Schedule of Components of Loans Receivable

The components of loans were summarized as follows:

	June 30, 2023		December 31, 2022
(in thousands)
Real estate:
Residential 1-4 family	$	2,548,160	$	2,479,637
Commercial real estate	1,382,376		1,358,123
Home equity line of credit	1,035,099		1,002,905
Residential land	21,226		20,679
Commercial construction	128,748		88,489
Residential construction	14,536		20,788
Total real estate	5,130,145		4,970,621
Commercial	747,343		779,691
Consumer	290,918		254,709
Total loans	6,168,406		6,005,021
Less: Deferred fees and discounts	(30,224)		(26,115)
Allowance for credit losses	(69,068)		(72,216)
Total loans, net	$	6,069,114	$	5,906,690

Schedule of Allowance for Credit Losses

The allowance for credit losses (balances and changes) by portfolio segment were as follows:

(in thousands)	Residential 1-4 family		Commercial real estate		Home equity line of credit		Residential land		Commercial construction		Residential construction		Commercial loans		Consumer loans		Total
Three months ended June 30, 2023
Allowance for credit losses:
Beginning balance	$	4,612	$	22,701	$	6,053	$	620	$	735	$	28	$	11,936	$	24,611	$	71,296
Charge-offs	(181)		—		(297)		—		—		—		(157)		(2,568)		(3,203)
Recoveries	2		—		17		3		—		—		206		904		1,132
Provision	275		(2,423)		1,366		30		1,814		(2)		(627)		(590)		(157)
Ending balance	$	4,708	$	20,278	$	7,139	$	653	$	2,549	$	26	$	11,358	$	22,357	$	69,068
Three months ended June 30, 2022
Allowance for credit losses:
Beginning balance	$	7,874	$	20,176	$	5,650	$	697	$	2,340	$	31	$	14,314	$	16,129	$	67,211
Charge-offs	—		—		—		—		—		—		(148)		(1,369)		(1,517)
Recoveries	3		—		31		96		—		—		399		976		1,505
Provision	643		724		415		(116)		294		15		(2,152)		2,434		2,257
Ending balance	$	8,520	$	20,900	$	6,096	$	677	$	2,634	$	46	$	12,413	$	18,170	$	69,456
Six months ended June 30, 2023
Allowance for credit losses:
Beginning balance	$	6,270	$	21,898	$	6,125	$	717	$	1,195	$	46	$	12,426	$	23,539	$	72,216
Charge-offs	(990)		—		(360)		—		—		—		(384)		(4,891)		(6,625)
Recoveries	6		—		34		3		—		—		604		1,812		2,459
Provision	(578)		(1,620)		1,340		(67)		1,354		(20)		(1,288)		1,897		1,018
Ending balance	$	4,708	$	20,278	$	7,139	$	653	$	2,549	$	26	$	11,358	$	22,357	$	69,068
Six months ended June 30, 2022
Allowance for credit losses:
Beginning balance	$	6,545	$	24,696	$	5,657	$	646	$	2,186	$	18	$	15,798	$	15,584	$	71,130
Charge-offs	—		—		—		—		—		—		(224)		(2,851)		(3,075)
Recoveries	11		—		42		101		—		—		752		2,001		2,907
Provision	1,964		(3,796)		397		(70)		448		28		(3,913)		3,436		(1,506)
Ending balance	$	8,520	$	20,900	$	6,096	$	677	$	2,634	$	46	$	12,413	$	18,170	$	69,456

Schedule of Allowance for Loan Commitments

The allowance for loan commitments by portfolio segment were as follows:

(in thousands)	Home equity  line of credit		Commercial construction		Commercial loans		Total
Three months ended June 30, 2023
Allowance for loan commitments:
Beginning balance	$	400	$	2,600	$	1,400	$	4,400
Provision	200		1,200		(1,200)		200
Ending balance	$	600	$	3,800	$	200	$	4,600
Three months ended June 30, 2022
Allowance for loan commitments:
Beginning balance	$	400	$	3,600	$	1,400	$	5,400
Provision	—		500		—		500
Ending balance	$	400	$	4,100	$	1,400	$	5,900
Six months ended June 30, 2023
Allowance for loan commitments:
Beginning balance	$	400	$	2,600	$	1,400	$	4,400
Provision	200		1,200		(1,200)		200
Ending balance	$	600	$	3,800	$	200	$	4,600
Six months ended June 30, 2022
Allowance for loan commitments:
Beginning balance	$	400	$	3,700	$	800	$	4,900
Provision	—		400		600		1,000
Ending balance	$	400	$	4,100	$	1,400	$	5,900

Schedule of Credit Risk Profile by Internally Assigned Grade for Loans

The credit risk profile by vintage date based on payment activity or internally assigned grade for loans was as follows:

	Term Loans by Origination Year												Revolving Loans
(in thousands)	2023		2022		2021		2020		2019		Prior		Revolving		Converted to term loans		Total
June 30, 2023
Residential 1-4 family
Current	$	145,486	$	418,635	$	748,251	$	413,204	$	109,756	$	710,451	$	—	$	—	$	2,545,783
30-59 days past due	—		—		—		—		—		223		—		—		223
60-89 days past due	—		—		—		—		—		236		—		—		236
Greater than 89 days past due	—		—		—		—		—		1,918		—		—		1,918
	145,486		418,635		748,251		413,204		109,756		712,828		—		—		2,548,160
Current YTD period
Gross charge-offs	—		—		—		—		—		990		—		—		990
Home equity line of credit
Current	—		—		—		—		—		—		981,266		51,857		1,033,123
30-59 days past due	—		—		—		—		—		—		773		—		773
60-89 days past due	—		—		—		—		—		—		485		120		605
Greater than 89 days past due	—		—		—		—		—		—		342		256		598
	—		—		—		—		—		—		982,866		52,233		1,035,099
Current YTD period
Gross charge-offs	—		—		—		—		—		—		77		283		360
Residential land
Current	3,073		5,231		8,270		3,664		—		988		—		—		21,226
30-59 days past due	—		—		—		—		—		—		—		—		—
60-89 days past due	—		—		—		—		—		—		—		—		—
Greater than 89 days past due	—		—		—		—		—		—		—		—		—
	3,073		5,231		8,270		3,664		—		988		—		—		21,226
Current YTD period
Gross charge-offs	—		—		—		—		—		—		—		—		—
Residential construction
Current	1,370		9,967		3,199		—		—		—		—		—		14,536
30-59 days past due	—		—		—		—		—		—		—		—		—
60-89 days past due	—		—		—		—		—		—		—		—		—
Greater than 89 days past due	—		—		—		—		—		—		—		—		—
	1,370		9,967		3,199		—		—		—		—		—		14,536
Current YTD period
Gross charge-offs	—		—		—		—		—		—		—		—		—
Consumer
Current	75,489		175,654		14,671		3,209		2,207		256		10,274		4,069		285,829
30-59 days past due	249		1,577		244		67		72		1		58		69		2,337
60-89 days past due	74		922		85		40		65		1		88		57		1,332
Greater than 89 days past due	40		908		69		31		79		5		96		192		1,420
	75,852		179,061		15,069		3,347		2,423		263		10,516		4,387		290,918
Current YTD period
Gross charge-offs	460		2,976		643		106		283		35		142		246		4,891
Commercial real estate
Pass	50,165		391,965		177,687		276,039		51,699		335,469		8,358		—		1,291,382
Special Mention	—		—		11,250		3,403		29,784		21,069		—		—		65,506
Substandard	5,421		—		—		—		11,354		8,713		—		—		25,488
Doubtful	—		—		—		—		—		—		—		—		—
	55,586		391,965		188,937		279,442		92,837		365,251		8,358		—		1,382,376

	Term Loans by Origination Year												Revolving Loans
(in thousands)	2023		2022		2021		2020		2019		Prior		Revolving		Converted to term loans		Total
Current YTD period
Gross charge-offs	—		—		—		—		—		—		—		—		—
Commercial construction
Pass	1,980		14,970		60,602		65		—		—		51,131		—		128,748
Special Mention	—		—		—		—		—		—		—		—		—
Substandard	—		—		—		—		—		—		—		—		—
Doubtful	—		—		—		—		—		—		—		—		—
	1,980		14,970		60,602		65		—		—		51,131		—		128,748
Current YTD period
Gross charge-offs	—		—		—		—		—		—		—		—		—
Commercial
Pass	60,151		223,817		131,123		84,694		46,411		85,210		76,926		13,197		721,529
Special Mention	—		—		989		—		2,434		—		9,784		—		13,207
Substandard	—		3,144		1,128		329		1,248		4,635		928		1,195		12,607
Doubtful	—		—		—		—		—		—		—		—		—
	60,151		226,961		133,240		85,023		50,093		89,845		87,638		14,392		747,343
Current YTD period
Gross charge-offs	—		—		51		—		—		—		124		209		384
Total loans	$	343,498	$	1,246,790	$	1,157,568	$	784,745	$	255,109	$	1,169,175	$	1,140,509	$	71,012	$	6,168,406

	Term Loans by Origination Year												Revolving Loans
(in thousands)	2022		2021		2020		2019		2018		Prior		Revolving		Converted to term loans		Total
December 31, 2022
Residential 1-4 family
Current	$	432,707	$	755,056	$	423,455	$	113,096	$	51,860	$	698,354	$	—	$	—	$	2,474,528
30-59 days past due	—		—		—		—		448		1,098		—		—		1,546
60-89 days past due	—		—		268		—		—		90		—		—		358
Greater than 89 days past due	—		—		—		—		809		2,396		—		—		3,205
	432,707		755,056		423,723		113,096		53,117		701,938		—		—		2,479,637
Home equity line of credit
Current	—		—		—		—		—		—		959,131		40,814		999,945
30-59 days past due	—		—		—		—		—		—		1,103		209		1,312
60-89 days past due	—		—		—		—		—		—		209		226		435
Greater than 89 days past due	—		—		—		—		—		—		587		626		1,213
	—		—		—		—		—		—		961,030		41,875		1,002,905
Residential land
Current	5,245		9,010		5,222		203		522		477		—		—		20,679
30-59 days past due	—		—		—		—		—		—		—		—		—
60-89 days past due	—		—		—		—		—		—		—		—		—
Greater than 89 days past due	—		—		—		—		—		—		—		—		—
	5,245		9,010		5,222		203		522		477		—		—		20,679
Residential construction
Current	7,986		11,624		1,178		—		—		—		—		—		20,788
30-59 days past due	—		—		—		—		—		—		—		—		—
60-89 days past due	—		—		—		—		—		—		—		—		—
Greater than 89 days past due	—		—		—		—		—		—		—		—		—
	7,986		11,624		1,178		—		—		—		—		—		20,788
Consumer
Current	199,574		21,330		5,543		7,580		527		140		10,810		4,782		250,286
30-59 days past due	1,110		287		65		239		30		—		81		167		1,979
60-89 days past due	756		163		88		137		19		—		45		107		1,315
Greater than 89 days past due	621		105		37		176		28		—		20		142		1,129
	202,061		21,885		5,733		8,132		604		140		10,956		5,198		254,709
Commercial real estate
Pass	390,206		177,130		283,321		51,542		63,084		278,280		8,235		—		1,251,798
Special Mention	—		11,250		3,446		40,423		—		24,466		—		—		79,585
Substandard	—		—		665		11,357		—		14,718		—		—		26,740
Doubtful	—		—		—		—		—		—		—		—		—
	390,206		188,380		287,432		103,322		63,084		317,464		8,235		—		1,358,123
Commercial construction
Pass	15,094		47,478		44		—		—		—		25,873		—		88,489
Special Mention	—		—		—		—		—		—		—		—		—
Substandard	—		—		—		—		—		—		—		—		—
Doubtful	—		—		—		—		—		—		—		—		—
	15,094		47,478		44		—		—		—		25,873		—		88,489
Commercial
Pass	239,852		185,013		85,220		68,161		46,142		53,192		60,871		13,964		752,415
Special Mention	—		—		—		2,374		—		645		9,005		8		12,032
Substandard	3,322		2,305		401		1,304		1,346		3,849		1,664		1,053		15,244
Doubtful	—		—		—		—		—		—		—		—		—
	243,174		187,318		85,621		71,839		47,488		57,686		71,540		15,025		779,691
Total loans	$	1,296,473	$	1,220,751	$	808,953	$	296,592	$	164,815	$	1,077,705	$	1,077,634	$	62,098	$	6,005,021

Schedule of Credit Risk Profile Based on Payment Activity for Loans

The credit risk profile based on payment activity for loans was as follows:

(in thousands)	30-59 days past due		60-89 days past due		Greater than 90 days		Total past due		Current		Total financing receivables		Amortized cost> 90 days and accruing
June 30, 2023
Real estate:
Residential 1-4 family	$	223	$	236	$	1,918	$	2,377	$	2,545,783	$	2,548,160	$	—
Commercial real estate	472		—		—		472		1,381,904		1,382,376		—
Home equity line of credit	773		605		598		1,976		1,033,123		1,035,099		—
Residential land	—		—		—		—		21,226		21,226		—
Commercial construction	—		—		—		—		128,748		128,748		—
Residential construction	—		—		—		—		14,536		14,536		—
Commercial	45		351		380		776		746,567		747,343		—
Consumer	2,337		1,332		1,420		5,089		285,829		290,918		—
Total loans	$	3,850	$	2,524	$	4,316	$	10,690	$	6,157,716	$	6,168,406	$	—
December 31, 2022
Real estate:
Residential 1-4 family	$	1,546	$	358	$	3,205	$	5,109	$	2,474,528	$	2,479,637	$	—
Commercial real estate	508		217		—		725		1,357,398		1,358,123		—
Home equity line of credit	1,312		435		1,213		2,960		999,945		1,002,905		—
Residential land	—		—		—		—		20,679		20,679		—
Commercial construction	—		—		—		—		88,489		88,489		—
Residential construction	—		—		—		—		20,788		20,788		—
Commercial	614		18		77		709		778,982		779,691		—
Consumer	1,979		1,315		1,129		4,423		250,286		254,709		—
Total loans	$	5,959	$	2,343	$	5,624	$	13,926	$	5,991,095	$	6,005,021	$	—

Schedule of Credit Risk Profile Based on Nonaccrual Loans, Accruing Loans 90 days or More Past Due

The credit risk profile based on nonaccrual loans were as follows:

(in thousands)	June 30, 2023						December 31, 2022
	With a Related ACL		Without a Related ACL		Total		With a Related ACL		Without a Related ACL		Total
Real estate:
Residential 1-4 family	$	2,016	$	2,550	$	4,566	$	4,198	$	2,981	$	7,179
Commercial real estate	—		—		—		—		—		—
Home equity line of credit	4,528		740		5,268		3,654		1,442		5,096
Residential land	107		—		107		420		—		420
Commercial construction	—		—		—		—		—		—
Residential construction	—		—		—		—		—		—
Commercial	1,241		—		1,241		2,183		—		2,183
Consumer	2,086		—		2,086		1,588		—		1,588
Total	$	9,978	$	3,290	$	13,268	$	12,043	$	4,423	$	16,466

Schedule of Loan Modifications

The credit risk profile based on loans whose terms have been modified and accruing interest were as follows:

(in thousands)	December 31, 2022
Real estate:
Residential 1-4 family	$	8,821
Commercial real estate	9,477
Home equity line of credit	4,404
Residential land	782
Commercial construction	—
Residential construction	—
Commercial	6,596
Consumer	50
Total troubled debt restructured loans accruing interest	$	30,130

Loan modifications that occurred during the three and six months ended June 30, 2022.

	Three months ended June 30, 2022					Six months ended June 30, 2022
(dollars in thousands)	Number  of contracts	Outstanding  recorded  investment  (as of period end)1		Related allowance (as of period end)		Number  of contracts	Outstanding recorded  investment  (as of period end)1		Related allowance (as of period end)
Troubled debt restructurings
Real estate:
Residential 1-4 family	1	$	381	$	135	1	$	381	$	135
Commercial real estate	—	—		—		—	—		—
Home equity line of credit	—	—		—		—	—		—
Residential land	—	—		—		—	—		—
Commercial construction	—	—		—		—	—		—
Residential construction	—	—		—		—	—		—
Commercial	—	—		—		—	—		—
Consumer	—	—		—		—	—		—
	1	$	381	$	135	1	$	381	$	135

1 The period end balances reflect all paydowns and charge-offs since the modification period. TDRs fully paid off, charged-off, or foreclosed upon by period end are not included.

Schedule of Collateral-Dependent Loans

Loans considered collateral-dependent were as follows:

	Amortized cost
(in thousands)	June 30, 2023		December 31, 2022		Collateral type
Real estate:
Residential 1-4 family	$	2,712	$	3,959	Residential real estate property
Home equity line of credit	740		1,425		Residential real estate property
Total real estate	3,452		5,384
Commercial	380		—		Business assets
Total	$	3,832	$	5,384

Schedule of Amortized Intangible Assets

Changes in the carrying value of MSRs were as follows:

(in thousands)	Gross carrying amount		Accumulated amortization		Valuation allowance		Net carrying amount
June 30, 2023	$	17,953	$	(9,458)	$	—	$	8,495
December 31, 2022	19,544		(10,497)		—		9,047

Changes related to MSRs were as follows:

	Three months ended June 30				Six months ended June 30
(in thousands)	2023		2022		2023		2022
Mortgage servicing rights
Beginning balance	$	8,745	$	10,024	$	9,047	$	9,950
Amount capitalized	84		204		135		923
Amortization	(334)		(532)		(687)		(1,177)
Other-than-temporary impairment	—		—		—		—
Carrying amount before valuation allowance	8,495		9,696		8,495		9,696
Valuation allowance for mortgage servicing rights
Beginning balance	—		—		—		—
Provision	—		—		—		—
Other-than-temporary impairment	—		—		—		—
Ending balance	—		—		—		—
Net carrying value of mortgage servicing rights	$	8,495	$	9,696	$	8,495	$	9,696

Schedule of Key Assumptions Used in Estimating fair Value

Key assumptions used in estimating the fair value of ASB’s MSRs used in the impairment analysis were as follows:

(dollars in thousands)	June 30, 2023			December 31, 2022
Unpaid principal balance	$	1,414,845		$	1,451,322
Weighted average note rate	3.40		%	3.38		%
Weighted average discount rate	10.00		%	10.00		%
Weighted average prepayment speed	6.28		%	6.56		%

Schedule of Sensitivity Analysis of Fair Value, Transferor's Interests in Transferred Financial Assets

The sensitivity analysis of fair value of MSRs to hypothetical adverse changes of 25 and 50 basis points in certain key assumptions was as follows:

(dollars in thousands)	June 30, 2023		December 31, 2022
Prepayment rate:
25 basis points adverse rate change	$	(72)	$	(92)
50 basis points adverse rate change	(169)		(214)
Discount rate:
25 basis points adverse rate change	(191)		(182)
50 basis points adverse rate change	(378)		(361)

Schedule of Securities Sold Under Agreements to Repurchase

The following tables present information about the securities sold under agreements to repurchase, including the related collateral received from or pledged to counterparties:

(in millions)	Gross amount  of recognized  liabilities		Gross amount  offset in the  Balance Sheets		Net amount of liabilities presented in the Balance Sheets
Repurchase agreements
June 30, 2023	$	—	$	—	$	—
December 31, 2022	281		—		281

	Gross amount not offset in the Balance Sheets
(in millions)	Net amount of liabilities presented in the Balance Sheets		Financial instruments		Cash collateral pledged
Commercial account holders
June 30, 2023	$	—	$	—	$	—
December 31, 2022	281		327		—

Schedule of Notional and Fair Value of Derivatives

The notional amount and fair value of ASB’s derivative financial instruments were as follows:

	June 30, 2023				December 31, 2022
(in thousands)	Notional amount		Fair value		Notional amount		Fair value
Interest rate lock commitments	$	11,810	$	88	$	1,720	$	9
Forward commitments	9,500		51		1,500		18

Schedule of Derivative Financial Instruments

ASB’s derivative financial instruments, their fair values and balance sheet location were as follows:

Derivative Financial Instruments Not Designated as Hedging Instruments 1	June 30, 2023				December 31, 2022
(in thousands)	Asset derivatives		Liability derivatives		Asset derivatives		Liability derivatives
Interest rate lock commitments	$	88	$	—	$	9	$	—
Forward commitments	51		—		18		—
	$	139	$	—	$	27	$	—

1 Asset derivatives are included in other assets and liability derivatives are included in other liabilities in the balance sheets.

Schedule of Derivative Financial Instruments and Net Gain or Loss

The following table presents ASB’s derivative financial instruments and the amount and location of the net gains or losses recognized in ASB’s statements of income:

Derivative Financial Instruments Not Designated as Hedging Instruments	Location of net gains (losses) recognized in the Statements of Income	Three months ended June 30				Six months ended June 30
(in thousands)		2023		2022		2023		2022
Interest rate lock commitments	Mortgage banking income	$	62	$	62	$	79	$	(593)
Forward commitments	Mortgage banking income	46		(141)		33		37
		$	108	$	(79)	$	112	$	(556)