American Savings Bank is participating in the FDIC's Transaction Account Guarantee Program. Under that program, through June 30, 2010, all noninterest-bearing transaction accounts* are fully guaranteed by the FDIC for the entire amount in the account. Coverage under the Transaction Account Guarantee Program is in addition to and separate from the coverage available under the FDIC's general deposit insurance rules.

* For the purposes of the Transaction Account Guarantee Program, the term "noninterest-bearing transaction accounts" includes certain interest-bearing transaction accounts (such as Preferred and Senior Checking, BizPLUS Checking, Analyzed Interest Checking accounts) and Interest on Lawyer Trust Accounts. ASB Interest Checking and Private Banking Checking Accounts are not eligible to participate in the Transaction Account Guarantee Program, but continue to be covered under the FDIC's general deposit insurance rules.

At American Savings Bank, you can be assured of the safety of your deposits. Serving our customers for over 80 years, we are a local bank committed to providing financial security and stability for our customers. Here are some essentials related to American Savings Bank:

1. We are one of the largest financial institutions in Hawaii with over $5 billion in assets.
2. We remain financially sound, with significant capital and reserves, and exceed all regulatory requirements for being “well-capitalized.” Recently, both major rating agencies reaffirmed our investment-grade ratings and maintained a stable outlook. We are currently rated A3 by Moody’s and BBB by S&P. Link to the S&P website.
3. We have access to multiple, reliable sources of liquidity with enough capacity to meet our operating needs.
4. The credit quality of our loan portfolio remains solid, and we continue to originate consumer and business loans in our community.
5. American Savings Bank has not, and does not currently, offer any sub-prime lending programs.
6. American Savings Bank has been serving the needs of Hawaii’s businesses and communities for over 80 years and was recognized as the “Best Bank” in the Honolulu Advertiser’s 2006 Best of the Best People’s Choice Awards.
7. American Savings Bank is a wholly-owned subsidiary of Hawaiian Electric Industries, Inc. (HEI). HEI provides electricity through its electric company subsidiaries to 95% of the state’s 1.2 million residents.
8. HEI has a long dividend history, paying dividends continually since 1901. Link to HEI financials, 10-K and 10-Q filings; click here.
9. Your deposits at American Savings Bank are insured by the Federal Deposit Insurance Corporation or the FDIC, for up to $250,000 per depositor (temporarily increased from $100,000 and will remain so until December 31, 2013). The deposit insurance fund is strong, which is why not one penny of insured deposits has ever been lost by a customer of a federally insured bank. For more information on FDIC insurance coverage, you can visit www.fdic.gov.

We are available to answer any questions you may have regarding your financial concerns or your banking relationship with us and if necessary, will be happy to assist you in structuring your deposit accounts with us to maximize available FDIC insurance coverage. You may also want to consult with your legal and tax advisors.