Bank segment (Tables)

9 Months Ended

Sep. 30, 2023

Bank Subsidiary [Abstract]

Schedule of Statements of Income Data

Condensed Consolidating Statement of Income

Three months ended September 30, 2023

(in thousands)	Hawaiian Electric		Hawaii Electric Light	Maui Electric	Other subsidiary	Consolidating adjustments	Hawaiian Electric Consolidated
Revenues	$	570,323	116,192	108,472	—	—	$	794,987
Expenses
Fuel oil	196,223		30,956	40,259	—	—	267,438
Purchased power	132,536		30,265	14,994	—	—	177,795
Other operation and maintenance	83,528		21,351	37,629	—	—	142,508
Depreciation	41,276		10,635	9,254	—	—	61,165
Taxes, other than income taxes	53,511		10,857	10,355	—	—	74,723
Total expenses	507,074		104,064	112,491	—	—	723,629
Operating income (loss)	63,249		12,128	(4,019)	—	—	71,358
Allowance for equity funds used during construction	3,005		366	629	—	—	4,000
Equity in earnings of subsidiaries	3,005		—	—	—	(3,005)	—
Retirement defined benefits credit (expense)—other than service costs	992		163	(23)	—	—	1,132
Interest expense and other charges, net	(16,295)		(2,988)	(3,164)	—	—	(22,447)
Allowance for borrowed funds used during construction	1,047		117	208	—	—	1,372
Income (loss) before income taxes	55,003		9,786	(6,369)	—	(3,005)	55,415
Income taxes	11,272		2,234	(2,050)	—	—	11,456
Net income (loss)	43,731		7,552	(4,319)	—	(3,005)	43,959
Preferred stock dividends of subsidiaries	—		133	95	—	—	228
Net income (loss) attributable to Hawaiian Electric	43,731		7,419	(4,414)	—	(3,005)	43,731
Preferred stock dividends of Hawaiian Electric	270		—	—	—	—	270
Net income (loss) for common stock	$	43,461	7,419	(4,414)	—	(3,005)	$	43,461

Condensed Consolidating Statement of Income

Three months ended September 30, 2022

(in thousands)	Hawaiian Electric		Hawaii Electric Light	Maui Electric	Other subsidiary	Consolidating adjustments	Hawaiian Electric Consolidated
Revenues	$	693,281	130,858	131,910	—	(78)	$	955,971
Expenses
Fuel oil	280,447		40,540	62,615	—	—	383,602
Purchased power	171,470		37,263	16,476	—	—	225,209
Other operation and maintenance	77,115		21,882	22,113	—	—	121,110
Depreciation	39,474		10,350	8,887	—	—	58,711
Taxes, other than income taxes	64,051		12,026	12,213	—	—	88,290
Total expenses	632,557		122,061	122,304	—	—	876,922
Operating income	60,724		8,797	9,606	—	(78)	79,049
Allowance for equity funds used during construction	2,063		206	283	—	—	2,552
Equity in earnings of subsidiaries	10,577		—	—	—	(10,577)	—
Retirement defined benefits credit (expense)—other than service costs	760		166	(31)	—	—	895
Interest expense and other charges, net	(14,221)		(2,716)	(2,750)	—	78	(19,609)
Allowance for borrowed funds used during construction	674		63	88	—	—	825
Income before income taxes	60,577		6,516	7,196	—	(10,577)	63,712
Income taxes	10,543		1,424	1,483	—	—	13,450
Net income	50,034		5,092	5,713	—	(10,577)	50,262
Preferred stock dividends of subsidiaries	—		133	95	—	—	228
Net income attributable to Hawaiian Electric	50,034		4,959	5,618	—	(10,577)	50,034
Preferred stock dividends of Hawaiian Electric	270		—	—	—	—	270
Net income for common stock	$	49,764	4,959	5,618	—	(10,577)	$	49,764

Condensed Consolidating Statement of Income

Nine months ended September 30, 2023

(in thousands)	Hawaiian Electric		Hawaii Electric Light	Maui Electric	Other subsidiary	Consolidating adjustments	Hawaiian Electric Consolidated
Revenues	$	1,742,542	343,554	333,573	—	(130)	$	2,419,539
Expenses
Fuel oil	663,521		79,187	138,984	—	—	881,692
Purchased power	362,275		101,597	35,118	—	—	498,990
Other operation and maintenance	255,728		64,367	87,089	—	—	407,184
Depreciation	123,114		31,906	27,761	—	—	182,781
Taxes, other than income taxes	164,510		31,983	31,541	—	—	228,034
Total expenses	1,569,148		309,040	320,493	—	—	2,198,681
Operating income	173,394		34,514	13,080	—	(130)	220,858
Allowance for equity funds used during construction	8,604		1,004	1,465	—	—	11,073
Equity in earnings of subsidiaries	25,960		—	—	—	(25,960)	—
Retirement defined benefits credit (expense)—other than service costs	2,801		500	(74)	—	—	3,227
Interest expense and other charges, net	(45,594)		(8,794)	(9,307)	—	130	(63,565)
Allowance for borrowed funds used during construction	2,995		321	482	—	—	3,798
Income before income taxes	168,160		27,545	5,646	—	(25,960)	175,391
Income taxes	31,581		6,261	284	—	—	38,126
Net income	136,579		21,284	5,362	—	(25,960)	137,265
Preferred stock dividends of subsidiaries	—		400	286	—	—	686
Net income attributable to Hawaiian Electric	136,579		20,884	5,076	—	(25,960)	136,579
Preferred stock dividends of Hawaiian Electric	810		—	—	—	—	810
Net income for common stock	$	135,769	20,884	5,076	—	(25,960)	$	135,769

Condensed Consolidating Statement of Income

Nine months ended September 30, 2022

(in thousands)	Hawaiian Electric		Hawaii Electric Light	Maui Electric	Other subsidiary	Consolidating adjustments	Hawaiian Electric Consolidated
Revenues	$	1,769,995	363,888	349,866	—	(113)	$	2,483,636
Expenses
Fuel oil	619,169		98,856	156,518	—	—	874,543
Purchased power	460,855		106,710	39,262	—	—	606,827
Other operation and maintenance	243,478		63,427	64,354	—	—	371,259
Depreciation	118,459		31,053	26,409	—	—	175,921
Taxes, other than income taxes	165,350		33,436	32,502	—	—	231,288
Total expenses	1,607,311		333,482	319,045	—	—	2,259,838
Operating income	162,684		30,406	30,821	—	(113)	223,798
Allowance for equity funds used during construction	5,999		616	816	—	—	7,431
Equity in earnings of subsidiaries	36,475		—	—	—	(36,475)	—
Retirement defined benefits credit (expense)—other than service costs	2,471		500	(95)	—	—	2,876
Interest expense and other charges, net	(40,833)		(7,967)	(8,048)	—	113	(56,735)
Allowance for borrowed funds used during construction	1,962		190	249	—	—	2,401
Income before income taxes	168,758		23,745	23,743	—	(36,475)	179,771
Income taxes	27,640		5,351	4,976	—	—	37,967
Net income	141,118		18,394	18,767	—	(36,475)	141,804
Preferred stock dividends of subsidiaries	—		400	286	—	—	686
Net income attributable to Hawaiian Electric	141,118		17,994	18,481	—	(36,475)	141,118
Preferred stock dividends of Hawaiian Electric	810		—	—	—	—	810
Net income for common stock	$	140,308	17,994	18,481	—	(36,475)	$	140,308

Statements of Income and Comprehensive Income Data

	Three months ended September 30				Nine months ended September 30
(in thousands)	2023		2022		2023		2022
Interest and dividend income
Interest and fees on loans	$	71,540	$	53,365	$	204,348	$	147,499
Interest and dividends on investment securities	14,096		15,052		42,508		43,729
Total interest and dividend income	85,636		68,417		246,856		191,228
Interest expense
Interest on deposit liabilities	14,446		1,704		30,944		3,572
Interest on other borrowings	8,598		1,055		25,171		1,199
Total interest expense	23,044		2,759		56,115		4,771
Net interest income	62,592		65,658		190,741		186,457
Provision for credit losses	8,835		(186)		10,053		(692)
Net interest income after provision for credit losses	53,757		65,844		180,688		187,149
Noninterest income
Fees from other financial services	4,703		4,763		14,391		15,066
Fee income on deposit liabilities	4,924		4,879		14,027		14,122
Fee income on other financial products	2,440		2,416		7,952		7,663
Bank-owned life insurance	2,303		122		5,683		661
Mortgage banking income	341		181		701		1,630
Gain on sale of real estate	—		—		495		1,002
Other income, net	627		633		2,106		1,480
Total noninterest income	15,338		12,994		45,355		41,624
Noninterest expense
Compensation and employee benefits	29,902		28,597		89,500		83,478
Occupancy	5,154		5,577		16,281		16,996
Data processing	5,133		4,509		15,240		13,144
Services	3,627		2,751		8,911		7,712
Equipment	3,125		2,432		8,728		7,163
Office supplies, printing and postage	1,022		1,123		3,296		3,256
Marketing	984		925		2,834		2,877
Other expense	7,399		5,643		19,742		14,542
Total noninterest expense	56,346		51,557		164,532		149,168
Income before income taxes	12,749		27,281		61,511		79,605
Income taxes	1,384		6,525		11,380		17,513
Net income	11,365		20,756		50,131		62,092
Other comprehensive income (loss), net of taxes	(34,231)		(98,942)		(23,011)		(310,218)
Comprehensive income (loss)	$	(22,866)	$	(78,186)	$	27,120	$	(248,126)

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

	Three months ended September 30				Nine months ended September 30
(in thousands)	2023		2022		2023		2022
Interest and dividend income	$	85,636	$	68,417	$	246,856	$	191,228
Noninterest income	15,338		12,994		45,355		41,624
Less: Gain on sale of real estate	—		—		495		1,002
*Revenues-Bank	100,974		81,411		291,716		231,850
Total interest expense	23,044		2,759		56,115		4,771
Provision for credit losses	8,835		(186)		10,053		(692)
Noninterest expense	56,346		51,557		164,532		149,168
Less: Gain on sale of real estate	—		—		495		1,002
Less: Retirement defined benefits credit—other than service costs	(190)		(181)		(564)		(552)
*Expenses-Bank	88,415		54,311		230,769		152,797
*Operating income-Bank	12,559		27,100		60,947		79,053
Add back: Retirement defined benefits credit—other than service costs	(190)		(181)		(564)		(552)
Income before income taxes	$	12,749	$	27,281	$	61,511	$	79,605

Schedule of Statements of Comprehensive Income Data

Statements of Income and Comprehensive Income Data

	Three months ended September 30				Nine months ended September 30
(in thousands)	2023		2022		2023		2022
Interest and dividend income
Interest and fees on loans	$	71,540	$	53,365	$	204,348	$	147,499
Interest and dividends on investment securities	14,096		15,052		42,508		43,729
Total interest and dividend income	85,636		68,417		246,856		191,228
Interest expense
Interest on deposit liabilities	14,446		1,704		30,944		3,572
Interest on other borrowings	8,598		1,055		25,171		1,199
Total interest expense	23,044		2,759		56,115		4,771
Net interest income	62,592		65,658		190,741		186,457
Provision for credit losses	8,835		(186)		10,053		(692)
Net interest income after provision for credit losses	53,757		65,844		180,688		187,149
Noninterest income
Fees from other financial services	4,703		4,763		14,391		15,066
Fee income on deposit liabilities	4,924		4,879		14,027		14,122
Fee income on other financial products	2,440		2,416		7,952		7,663
Bank-owned life insurance	2,303		122		5,683		661
Mortgage banking income	341		181		701		1,630
Gain on sale of real estate	—		—		495		1,002
Other income, net	627		633		2,106		1,480
Total noninterest income	15,338		12,994		45,355		41,624
Noninterest expense
Compensation and employee benefits	29,902		28,597		89,500		83,478
Occupancy	5,154		5,577		16,281		16,996
Data processing	5,133		4,509		15,240		13,144
Services	3,627		2,751		8,911		7,712
Equipment	3,125		2,432		8,728		7,163
Office supplies, printing and postage	1,022		1,123		3,296		3,256
Marketing	984		925		2,834		2,877
Other expense	7,399		5,643		19,742		14,542
Total noninterest expense	56,346		51,557		164,532		149,168
Income before income taxes	12,749		27,281		61,511		79,605
Income taxes	1,384		6,525		11,380		17,513
Net income	11,365		20,756		50,131		62,092
Other comprehensive income (loss), net of taxes	(34,231)		(98,942)		(23,011)		(310,218)
Comprehensive income (loss)	$	(22,866)	$	(78,186)	$	27,120	$	(248,126)

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

	Three months ended September 30				Nine months ended September 30
(in thousands)	2023		2022		2023		2022
Interest and dividend income	$	85,636	$	68,417	$	246,856	$	191,228
Noninterest income	15,338		12,994		45,355		41,624
Less: Gain on sale of real estate	—		—		495		1,002
*Revenues-Bank	100,974		81,411		291,716		231,850
Total interest expense	23,044		2,759		56,115		4,771
Provision for credit losses	8,835		(186)		10,053		(692)
Noninterest expense	56,346		51,557		164,532		149,168
Less: Gain on sale of real estate	—		—		495		1,002
Less: Retirement defined benefits credit—other than service costs	(190)		(181)		(564)		(552)
*Expenses-Bank	88,415		54,311		230,769		152,797
*Operating income-Bank	12,559		27,100		60,947		79,053
Add back: Retirement defined benefits credit—other than service costs	(190)		(181)		(564)		(552)
Income before income taxes	$	12,749	$	27,281	$	61,511	$	79,605

Schedule of Balance Sheets Data

Condensed Consolidating Balance Sheet

September 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	5,422,393		1,448,183	1,329,252	—	—	8,199,828
Right-of-use assets - finance lease	88,297		36,075	—	—	—	124,372
Less accumulated depreciation	(1,953,609)		(663,303)	(605,118)	—	—	(3,222,030)
Construction in progress	258,204		35,281	63,804	—	—	357,289
Utility property, plant and equipment, net	3,858,144		861,881	791,532	—	—	5,511,557
Nonutility property, plant and equipment, less accumulated depreciation	5,295		115	1,532	—	—	6,942
Total property, plant and equipment, net	3,863,439		861,996	793,064	—	—	5,518,499
Investment in wholly owned subsidiaries, at equity	703,311		—	—	—	(703,311)	—
Current assets
Cash and cash equivalents	233,518		32,716	8,543	77	—	274,854
Restricted cash	2,000		—	—	—	—	2,000
Customer accounts receivable, net	172,730		34,550	34,482	—	—	241,762
Accrued unbilled revenues, net	132,552		22,062	24,713	—	—	179,327
Other accounts receivable, net	115,498		7,124	11,778	—	(44,577)	89,823
Fuel oil stock, at average cost	112,468		14,400	25,900	—	—	152,768
Materials and supplies, at average cost	58,834		13,077	27,615	—	—	99,526
Prepayments and other	41,304		5,468	7,766	—	—	54,538
Regulatory assets	49,489		5,110	3,322	—	—	57,921
Total current assets	918,393		134,507	144,119	77	(44,577)	1,152,519
Other long-term assets
Operating lease right-of-use assets	36,627		29,193	10,241	—	—	76,061
Regulatory assets	146,735		14,583	11,958	—	—	173,276
Other	112,601		33,011	29,468	—	(16,988)	158,092
Total other long-term assets	295,963		76,787	51,667	—	(16,988)	407,429
Total assets	$	5,781,106	1,073,290	988,850	77	(764,876)	$	7,078,447
Capitalization and liabilities
Capitalization
Common stock equity	$	2,383,023	352,170	351,064	77	(703,311)	$	2,383,023
Cumulative preferred stock—not subject to mandatory redemption	22,293		7,000	5,000	—	—	34,293
Long-term debt, net	1,426,353		249,308	258,383	—	—	1,934,044
Total capitalization	3,831,669		608,478	614,447	77	(703,311)	4,351,360
Current liabilities
Current portion of operating lease liabilities	7,308		6,942	2,762	—	—	17,012
Current portion of long-term debt	49,998		19,999	29,999	—	—	99,996
Accounts payable	141,738		25,436	34,525	—	—	201,699
Interest and preferred dividends payable	21,304		3,924	4,830	—	—	30,058
Taxes accrued, including revenue taxes	196,037		40,706	37,529	—	—	274,272
Regulatory liabilities	9,999		6,842	9,484	—	—	26,325
Other	148,400		23,182	36,302	—	(44,577)	163,307
Total current liabilities	574,784		127,031	155,431	—	(44,577)	812,669
Deferred credits and other liabilities
Operating lease liabilities	35,967		22,575	7,757	—	—	66,299
Finance lease liabilities	82,935		35,205	—	—	—	118,140
Deferred income taxes	274,577		50,405	60,693	—	—	385,675
Regulatory liabilities	770,268		197,045	108,136	—	—	1,075,449
Unamortized tax credits	65,153		12,410	12,184	—	—	89,747
Defined benefit pension liability	65,872		—	—	—	(16,988)	48,884
Other	79,881		20,141	30,202	—	—	130,224
Total deferred credits and other liabilities	1,374,653		337,781	218,972	—	(16,988)	1,914,418
Total capitalization and liabilities	$	5,781,106	1,073,290	988,850	77	(764,876)	$	7,078,447

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)	September 30, 2023				December 31, 2022
Assets
Cash and due from banks			$	139,059			$	153,042
Interest-bearing deposits			124,531				3,107
Cash and cash equivalents			263,590				156,149
Investment securities
Available-for-sale, at fair value			1,266,412				1,429,667
Held-to-maturity, at amortized cost (fair value of $1,052,221 and $1,150,971, respectively)			1,212,005				1,251,747
Stock in Federal Home Loan Bank, at cost			18,000				26,560
Loans held for investment			6,191,006				5,978,906
Allowance for credit losses			(76,366)				(72,216)
Net loans			6,114,640				5,906,690
Loans held for sale, at lower of cost or fair value			2,171				824
Other			698,420				692,143
Goodwill			82,190				82,190
Total assets			$	9,657,428			$	9,545,970
Liabilities and shareholder’s equity
Deposit liabilities—noninterest-bearing			$	2,573,010			$	2,811,077
Deposit liabilities—interest-bearing			5,651,341				5,358,619
Other borrowings			750,000				695,120
Other			224,136				212,269
Total liabilities			9,198,487				9,077,085
Common stock			1				1
Additional paid-in capital			357,742				355,806
Retained earnings			460,824				449,693
Accumulated other comprehensive loss, net of tax benefits
Net unrealized losses on securities	$	(350,234)			$	(328,904)
Retirement benefit plans	(9,392)		(359,626)		(7,711)		(336,615)
Total shareholder’s equity			458,941				468,885
Total liabilities and shareholder’s equity			$	9,657,428			$	9,545,970
Other assets
Bank-owned life insurance			$	186,143			$	182,986
Premises and equipment, net			189,950				195,324
Accrued interest receivable			29,361				25,077
Mortgage-servicing rights			8,376				9,047
Low-income housing investments			103,580				106,978
Deferred tax asset			127,735				116,441
Real estate acquired in settlement of loans, net			—				115
Other			53,275				56,175
			$	698,420			$	692,143
Other liabilities
Accrued expenses			$	102,540			$	97,295
Federal and state income taxes payable			845				863
Cashier’s checks			38,483				36,401
Advance payments by borrowers			4,289				9,637
Other			77,979				68,073
			$	224,136			$	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
September 30, 2023
Available-for-sale
U.S. Treasury and federal agency obligations	$	82,252	$	—	$	(7,252)	$	75,000	—	$	—	$	—	14	$	75,000	$	(7,252)
Mortgage-backed securities*	1,427,186		—		(282,019)		1,145,167		5	12,650		(3,432)		178	1,132,517		(278,587)
Corporate bonds	35,273		—		(3,522)		31,751		—	—		—		3	31,751		(3,522)
Mortgage revenue bonds	14,494		—		—		14,494		—	—		—		—	—		—
	$	1,559,205	$	—	$	(292,793)	$	1,266,412	5	$	12,650	$	(3,432)	195	$	1,239,268	$	(289,361)
Held-to-maturity
U.S. Treasury and federal agency obligations	$	59,912	$	—	$	(9,541)	$	50,371	—	$	—	$	—	3	$	50,371	$	(9,541)
Mortgage-backed securities*	1,152,093		—		(150,243)		1,001,850		62	612,587		(42,892)		41	389,263		(107,351)
	$	1,212,005	$	—	$	(159,784)	$	1,052,221	62	$	612,587	$	(42,892)	44	$	439,634	$	(116,892)
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:

September 30, 2023	Amortized  cost		Fair value
(in thousands)
Available-for-sale
Due in one year or less	$	1,811	$	1,782
Due after one year through five years	115,714		104,970
Due after five years through ten years	14,494		14,494
Due after ten years	—		—
	132,019		121,246
Mortgage-backed securities — issued or guaranteed by U.S. Government agencies or sponsored agencies	1,427,186		1,145,166
Total available-for-sale securities	$	1,559,205	$	1,266,412
Held-to-maturity
Due in one year or less	$	—	$	—
Due after one year through five years	39,824		34,133
Due after five years through ten years	20,088		16,238
Due after ten years	—		—
	59,912		50,371
Mortgage-backed securities — issued or guaranteed by U.S. Government agencies or sponsored agencies	1,152,093		1,001,850
Total held-to-maturity securities	$	1,212,005	$	1,052,221

Schedule of Components of Loans Receivable

The components of loans were summarized as follows:

	September 30, 2023		December 31, 2022
(in thousands)
Real estate:
Residential 1-4 family	$	2,566,300	$	2,479,637
Commercial real estate	1,400,570		1,358,123
Home equity line of credit	1,032,749		1,002,905
Residential land	20,245		20,679
Commercial construction	168,539		88,489
Residential construction	17,295		20,788
Total real estate	5,205,698		4,970,621
Commercial	732,458		779,691
Consumer	282,946		254,709
Total loans	6,221,102		6,005,021
Less: Deferred fees and discounts	(30,096)		(26,115)
Allowance for credit losses	(76,366)		(72,216)
Total loans, net	$	6,114,640	$	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 September 30, 2023
Allowance for credit losses:
Beginning balance	$	4,708	$	20,278	$	7,139	$	653	$	2,549	$	26	$	11,358	$	22,357	$	69,068
Charge-offs	—		—		—		—		—		—		(125)		(2,667)		(2,792)
Recoveries	57		—		131		1		—		—		725		841		1,755
Provision	1,702		2,180		505		(33)		1,075		16		(1,175)		4,065		8,335
Ending balance	$	6,467	$	22,458	$	7,775	$	621	$	3,624	$	42	$	10,783	$	24,596	$	76,366
Three months ended September 30, 2022
Allowance for credit losses:
Beginning balance	$	8,520	$	20,900	$	6,096	$	677	$	2,634	$	46	$	12,413	$	18,170	$	69,456
Charge-offs	—		—		—		—		—		—		(143)		(1,503)		(1,646)
Recoveries	2		—		14		—		—		—		303		963		1,282
Provision	(938)		136		(167)		12		(1,635)		3		378		3,525		1,314
Ending balance	$	7,584	$	21,036	$	5,943	$	689	$	999	$	49	$	12,951	$	21,155	$	70,406
Nine months ended September 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)		—		—		—		(509)		(7,558)		(9,417)
Recoveries	63		—		165		4		—		—		1,329		2,653		4,214
Provision	1,124		560		1,845		(100)		2,429		(4)		(2,463)		5,962		9,353
Ending balance	$	6,467	$	22,458	$	7,775	$	621	$	3,624	$	42	$	10,783	$	24,596	$	76,366
Nine months ended September 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	—		—		—		—		—		—		(367)		(4,354)		(4,721)
Recoveries	13		—		56		101		—		—		1,055		2,964		4,189
Provision	1,026		(3,660)		230		(58)		(1,187)		31		(3,535)		6,961		(192)
Ending balance	$	7,584	$	21,036	$	5,943	$	689	$	999	$	49	$	12,951	$	21,155	$	70,406

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 September 30, 2023
Allowance for loan commitments:
Beginning balance	$	600	$	3,800	$	200	$	4,600
Provision	—		500		—		500
Ending balance	$	600	$	4,300	$	200	$	5,100
Three months ended September 30, 2022
Allowance for loan commitments:
Beginning balance	$	400	$	4,100	$	1,400	$	5,900
Provision	—		(1,500)		—		(1,500)
Ending balance	$	400	$	2,600	$	1,400	$	4,400
Nine months ended September 30, 2023
Allowance for loan commitments:
Beginning balance	$	400	$	2,600	$	1,400	$	4,400
Provision	200		1,700		(1,200)		700
Ending balance	$	600	$	4,300	$	200	$	5,100
Nine months ended September 30, 2022
Allowance for loan commitments:
Beginning balance	$	400	$	3,700	$	800	$	4,900
Provision	—		(1,100)		600		(500)
Ending balance	$	400	$	2,600	$	1,400	$	4,400

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
September 30, 2023
Residential 1-4 family
Current	$	199,880	$	414,053	$	741,401	$	405,552	$	107,566	$	692,167	$	—	$	—	$	2,560,619
30-59 days past due	—		—		—		267		—		2,654		—		—		2,921
60-89 days past due	—		—		—		—		—		973		—		—		973
Greater than 89 days past due	—		—		—		—		—		1,787		—		—		1,787
	199,880		414,053		741,401		405,819		107,566		697,581		—		—		2,566,300
Current YTD period
Gross charge-offs	—		—		—		—		—		990		—		—		990
Home equity line of credit
Current	—		—		—		—		—		—		976,029		54,579		1,030,608
30-59 days past due	—		—		—		—		—		—		463		246		709
60-89 days past due	—		—		—		—		—		—		350		321		671
Greater than 89 days past due	—		—		—		—		—		—		495		266		761
	—		—		—		—		—		—		977,337		55,412		1,032,749
Current YTD period
Gross charge-offs	—		—		—		—		—		—		77		283		360
Residential land
Current	3,077		5,118		7,549		3,518		—		983		—		—		20,245
30-59 days past due	—		—		—		—		—		—		—		—		—
60-89 days past due	—		—		—		—		—		—		—		—		—
Greater than 89 days past due	—		—		—		—		—		—		—		—		—
	3,077		5,118		7,549		3,518		—		983		—		—		20,245
Current YTD period
Gross charge-offs	—		—		—		—		—		—		—		—		—
Residential construction
Current	2,780		11,019		3,496		—		—		—		—		—		17,295
30-59 days past due	—		—		—		—		—		—		—		—		—
60-89 days past due	—		—		—		—		—		—		—		—		—
Greater than 89 days past due	—		—		—		—		—		—		—		—		—
	2,780		11,019		3,496		—		—		—		—		—		17,295
Current YTD period
Gross charge-offs	—		—		—		—		—		—		—		—		—
Consumer
Current	82,282		164,693		12,203		2,394		1,010		222		10,345		3,413		276,562
30-59 days past due	822		1,882		122		43		49		1		46		156		3,121
60-89 days past due	362		933		108		35		52		—		32		81		1,603
Greater than 89 days past due	375		785		102		33		26		2		151		186		1,660
	83,841		168,293		12,535		2,505		1,137		225		10,574		3,836		282,946
Current YTD period
Gross charge-offs	850		4,637		840		163		363		39		279		387		7,558
Commercial real estate
Pass	81,287		390,352		177,125		265,808		66,112		329,235		15,482		—		1,325,401
Special Mention	—		—		11,214		3,381		14,452		22,367		—		—		51,414
Substandard	5,386		—		1,549		—		11,048		5,772		—		—		23,755
Doubtful	—		—		—		—		—		—		—		—		—
	86,673		390,352		189,888		269,189		91,612		357,374		15,482		—		1,400,570

	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	10,643		21,440		66,143		356		—		—		69,957		—		168,539
Special Mention	—		—		—		—		—		—		—		—		—
Substandard	—		—		—		—		—		—		—		—		—
Doubtful	—		—		—		—		—		—		—		—		—
	10,643		21,440		66,143		356		—		—		69,957		—		168,539
Current YTD period
Gross charge-offs	—		—		—		—		—		—		—		—		—
Commercial
Pass	82,145		209,364		124,453		75,753		46,291		81,409		81,627		9,560		710,602
Special Mention	1,945		—		970		—		272		—		7,151		—		10,338
Substandard	—		3,054		2,040		230		763		3,409		1,506		516		11,518
Doubtful	—		—		—		—		—		—		—		—		—
	84,090		212,418		127,463		75,983		47,326		84,818		90,284		10,076		732,458
Current YTD period
Gross charge-offs	—		—		51		—		—		—		177		281		509
Total loans	$	470,984	$	1,222,693	$	1,148,475	$	757,370	$	247,641	$	1,140,981	$	1,163,634	$	69,324	$	6,221,102

	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
September 30, 2023
Real estate:
Residential 1-4 family	$	2,921	$	973	$	1,787	$	5,681	$	2,560,619	$	2,566,300	$	—
Commercial real estate	—		—		—		—		1,400,570		1,400,570		—
Home equity line of credit	709		671		761		2,141		1,030,608		1,032,749		—
Residential land	—		—		—		—		20,245		20,245		—
Commercial construction	—		—		—		—		168,539		168,539		—
Residential construction	—		—		—		—		17,295		17,295		—
Commercial	575		100		77		752		731,706		732,458		—
Consumer	3,121		1,603		1,660		6,384		276,562		282,946		—
Total loans	$	7,326	$	3,347	$	4,285	$	14,958	$	6,206,144	$	6,221,102	$	—
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)	September 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	$	573	$	2,500	$	3,073	$	4,198	$	2,981	$	7,179
Commercial real estate	—		—		—		—		—		—
Home equity line of credit	2,764		1,017		3,781		3,654		1,442		5,096
Residential land	106		—		106		420		—		420
Commercial construction	—		—		—		—		—		—
Residential construction	—		—		—		—		—		—
Commercial	508		—		508		2,183		—		2,183
Consumer	2,414		—		2,414		1,588		—		1,588
Total	$	6,365	$	3,517	$	9,882	$	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 nine months ended September 30, 2022.

	Three months ended September 30, 2022					Nine months ended September 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	2	$	512	$	—	3	$	893	$	135
Commercial real estate	—	—		—		—	—		—
Home equity line of credit	—	—		—		—	—		—
Residential land	1	204		16		1	204		16
Commercial construction	—	—		—		—	—		—
Residential construction	—	—		—		—	—		—
Commercial	—	—		—		1	288		20
Consumer	—	—		—		—	—		—
	3	$	716	$	16	5	$	1,385	$	171

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)	September 30, 2023		December 31, 2022		Collateral type
Real estate:
Residential 1-4 family	$	2,584	$	3,959	Residential real estate property
Home equity line of credit	1,017		1,425		Residential real estate property
Total	$	3,601	$	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
September 30, 2023	$	18,125	$	(9,749)	$	—	$	8,376
December 31, 2022	19,544		(10,497)		—		9,047

Changes related to MSRs were as follows:

	Three months ended September 30				Nine months ended September 30
(in thousands)	2023		2022		2023		2022
Mortgage servicing rights
Beginning balance	$	8,495	$	9,696	$	9,047	$	9,950
Amount capitalized	184		117		319		1,040
Amortization	(303)		(462)		(990)		(1,639)
Other-than-temporary impairment	—		—		—		—
Carrying amount before valuation allowance	8,376		9,351		8,376		9,351
Valuation allowance for mortgage servicing rights
Beginning balance	—		—		—		—
Provision	—		—		—		—
Other-than-temporary impairment	—		—		—		—
Ending balance	—		—		—		—
Net carrying value of mortgage servicing rights	$	8,376	$	9,351	$	8,376	$	9,351

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)	September 30, 2023			December 31, 2022
Unpaid principal balance	$	1,412,412		$	1,451,322
Weighted average note rate	3.44		%	3.38		%
Weighted average discount rate	10.00		%	10.00		%
Weighted average prepayment speed	5.58		%	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)	September 30, 2023		December 31, 2022
Prepayment rate:
25 basis points adverse rate change	$	(90)	$	(92)
50 basis points adverse rate change	(207)		(214)
Discount rate:
25 basis points adverse rate change	(206)		(182)
50 basis points adverse rate change	(407)		(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
September 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
September 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:

	September 30, 2023				December 31, 2022
(in thousands)	Notional amount		Fair value		Notional amount		Fair value
Interest rate lock commitments	$	4,910	$	54	$	1,720	$	9
Forward commitments	3,500		15		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	September 30, 2023				December 31, 2022
(in thousands)	Asset derivatives		Liability derivatives		Asset derivatives		Liability derivatives
Interest rate lock commitments	$	54	$	—	$	9	$	—
Forward commitments	15		—		18		—
	$	69	$	—	$	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 September 30				Nine months ended September 30
(in thousands)		2023		2022		2023		2022
Interest rate lock commitments	Mortgage banking income	$	(34)	$	(129)	$	45	$	(722)
Forward commitments	Mortgage banking income	(36)		145		(3)		182
		$	(70)	$	16	$	42	$	(540)