Climate Change Data

Environmental Metrics

ESG Focus Areas

• Economic Health & Affordability
• Reliability & Resilience
• Secure Digitalization
• Diversity, Equity & Inclusion
• Employee Engagement
• Decarbonization
• Climate-Related Risks & Opportunities

Environmental Achievements

• Originated more than 270 new Clean Energy Loans totaling $12 million and acquired a portfolio of residential clean energy loans valued at $115 million.
• Net GHG emissions in measured categories decreased 19.2% from 2015 to 2022, driven largely by consolidation of office spaces and branches.
• Incorporated green technologies in ASB Campus, including solar panels, electric vehicle charging stations, and reclaimed wood furniture.

Social Achievements

• Supported small businesses with Paycheck Protection Program loans, driving revenue to the restaurant and food supply industries.
• Prioritized employee health and well-being, resulting in high employee engagement scores.
• Donated $129,000 in unused funds from the Hawaii Restaurant Card program to three nonprofits.
• Invested in affordable housing projects, totaling over $25 million.
• Provided financial literacy initiatives and resources to the community.

Governance Achievements

• ASB Risk Committee oversees ESG-related risks and reports to the board.
• Board diversity includes 41.7% racial minorities and 41.7% women.
• Implemented robust information security program to protect customer data.

Climate Goals & Targets

Environmental Challenges

• Potential risks from climate change, including sea-level rise affecting properties securing loans.
• Maintaining financial health of customers amidst economic challenges.
• Managing cybersecurity threats and protecting customer data.

Mitigation Strategies

• Regular monitoring of credit risk exposure in areas at risk of sea-level rise.
• Environmental due diligence review for all new real estate loans.
• Robust information security program with administrative, physical, and technical controls.
• Regular stress tests analyzing liquidity, interest rate, and credit risks.

Supply Chain Management

Responsible Procurement

• Commitment to not engaging with suppliers violating child labor laws.

Climate-Related Risks & Opportunities

Physical Risks

• Severe weather
• Flooding
• Sea-level rise
• Business interruption

Transition Risks

• Increased climate-related regulations
• Cost of converting to low-carbon technologies
• Market shifts
• Reputational impacts

Opportunities

• Financing customer investments in energy efficiency and renewable energy
• Participation in tax credit programs
• Offering educational resources to customers
• Enhancing energy and water efficiency of real estate footprint

Reporting Standards

Frameworks Used: SASB

Sustainable Products & Innovation

• Clean Energy Loans

Awards & Recognition

• Best Places to Work in Hawaii (14 years)
• Great Place to Work® recognition
• America’s Best Employers for Veterans
• Pacific Business News’ Business of Pride award

Environmental Metrics

ESG Focus Areas

• Governance
• Environmental
• Social

Environmental Achievements

• Reduced Scope 1 and 2 GHG emissions by 19.5% from 2015 to 2023, driven by office space consolidation.

Social Achievements

• Launched an online financial checkup in 2019 and an online financial education resource center in 2021, providing financial literacy resources.
• Fulfilled 11,195 online appointments in 2023 through the online financial checkup.

Governance Achievements

• Established an ESG Core Team to manage ESG efforts and reporting.
• Implemented a robust enterprise risk management program overseen by the Risk Committee, addressing ESG-related risks.

Climate Goals & Targets

Environmental Challenges

• Potential risks from sea level rise and natural disasters impacting credit risk and collateral quality.
• ESG-related legal and regulatory requirements.

Mitigation Strategies

• Continuously analyzing underwriting policies, credit policy, and risk mitigation efforts to address potential environmental impacts.
• The Audit and Risk Committees oversee compliance with legal and regulatory requirements, including ESG-related ones.
• Regular stress tests analyzing liquidity, interest rate, and credit risks under various scenarios.

Supply Chain Management

Supplier Audits: Not disclosed

Responsible Procurement

• Not disclosed

Climate-Related Risks & Opportunities

Physical Risks

• storms, hurricanes, flooding, wildfires, and sea level rise

Transition Risks

• Not disclosed

Opportunities

• Not disclosed

Reporting Standards

Frameworks Used: SASB

Certifications: Null

Third-party Assurance: Not disclosed

UN Sustainable Development Goals

• Not disclosed

Not disclosed

Sustainable Products & Innovation

• Not disclosed

Awards & Recognition

• Not disclosed