Central Pacific Financial : CPF Investor Presentation - September 2023

Investor Presentation

September 2023

Forward-Looking Statements

This document may contain forward-looking statements ("FLS") concerning: projections of revenues, expenses, income or loss, earnings or loss per share, capital expenditures, the payment or nonpayment of dividends, capital position, credit losses, net interest margin or other financial items; statements of plans, objectives and expectations of Central Pacific Financial Corp. (the "Company") or its management or Board of Directors, including those relating to business plans, use of capital resources, products or services and regulatory developments and regulatory actions; and any statements of the assumptions underlying or relating to any of the foregoing. Words such as "believes," "plans," "anticipates," "expects," "intends," "forecasts," "hopes," "targeting," "continue," "remain," "will," "should," "estimates," "may" and other similar expressions are intended to identify forward-looking statements but are not the exclusive means of identifying such statements.

While we believe that our forward-looking statements and the assumptions underlying them are reasonably based, such statements and assumptions are by their nature subject to risks and uncertainties, and thus could later prove to be inaccurate or incorrect. Accordingly, actual results could differ materially from those statements or projections for a variety of reasons. Factors that could cause actual results to differ from those discussed in the forward-looking statements include but are not limited to: the effects of inflation and rising interest rates; the adverse effects of recent bank failures and the potential impact of such developments on customer confidence, deposit behavior, liquidity and regulatory responses thereto; the adverse effects of the COVID-19 pandemic virus (and ongoing pandemic variants) on local, national and international economies, including, but not limited to, the adverse impact on tourism and construction in the State of Hawaii, our borrowers, customers, third-party contractors, vendors and employees; supply chain disruptions; the increase in inventory or adverse conditions in the real estate market and deterioration in the construction industry; adverse changes in the financial performance and/or condition of our borrowers and, as a result, increased loan delinquency rates, deterioration in asset quality, and losses in our loan portfolio; our ability to successfully implement and achieve the objectives of our BaaS initiatives, including adoption of the initiatives by customers and risks faced by any of our bank collaborations including reputational and regulatory risk; the impact of local, national, and international economies and events (including natural disasters such as wildfires, volcanic eruptions, hurricanes, tsunamis, storms, earthquakes and pandemic viruses and diseases) on the Company's business and operations and on tourism, the military, and other major industries operating within the Hawaii market and any other markets in which the Company does business; deterioration or malaise in domestic economic conditions, including any destabilization in the financial industry and deterioration of the real estate market, as well as the impact of declining levels of consumer and business confidence in the state of the economy in general and in financial institutions in particular; changes in estimates of future reserve requirements based upon the periodic review thereof under relevant regulatory and accounting requirements; the impact of the Dodd- Frank Wall Street Reform and Consumer Protection Act (the "Dodd-Frank Act"), changes in capital standards, other regulatory reform and federal and state legislation, including but not limited to regulations promulgated by the Consumer Financial Protection Bureau (the "CFPB"), government-sponsored enterprise reform, and any related rules and regulations which affect our business operations and competitiveness; the costs and effects of legal and regulatory developments, including legal proceedings and lawsuits we are or may become subject to, or regulatory or other governmental inquiries and proceedings and the resolution thereof, the results of regulatory examinations or reviews and the effect of, and our ability to comply with, any regulations or regulatory orders or actions we are or may become subject to; ability to successfully implement our initiatives to lower our efficiency ratio; the effects of and changes in trade, monetary and fiscal policies and laws, including the interest rate policies of the Board of Governors of the Federal Reserve System (the "FRB" or the "Federal Reserve"); securities market and monetary fluctuations, including the replacement of the London Interbank Offered Rate ("LIBOR") Index and the impact on our loans and debt which are tied to that index and uncertainties regarding potential alternative reference rates, including the Secured Overnight Financing Rate ("SOFR"); negative trends in our market capitalization and adverse changes in the price of the Company's common stock; political instability; acts of war or terrorism; changes in consumer spending, borrowings and savings habits; cybersecurity and data privacy breaches and the consequence therefrom; failure to maintain effective internal control over financial reporting or disclosure controls and procedures; the ability to address deficiencies in our internal controls over financial reporting or disclosure controls and procedures; technological changes and developments; changes in the competitive environment among financial holding companies and other financial service providers; the effect of changes in accounting policies and practices, as may be adopted by the regulatory agencies, as well as the Public Company Accounting Oversight Board ("PCAOB"), the Financial Accounting Standards Board ("FASB") and other accounting standard setters and the cost and resources required to implement such changes; our ability to attract and retain key personnel; changes in our personnel, organization, compensation and benefit plans; and our success at managing the risks involved in the foregoing items. For further information with respect to factors that could cause actual results to materially differ from the expectations or projections stated in the forward-looking statements, please see the Company's publicly available Securities and Exchange Commission filings, including the Company's Form 10-K for the last fiscal year and in particular, the discussion of "Risk Factors" set forth therein and herein. We urge investors to consider all of these factors carefully in evaluating the forward- looking statements contained in this document. Forward-looking statements speak only as of the date on which such statements are made. We undertake no obligation to update any forward-looking statements to reflect events or circumstances after the date on which such statement is made, or to reflect the occurrence of unanticipated events except as required by law.

Central Pacific Financial Corp.

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Central Pacific Financial - Corporate Profile

MARKET INFORMATION

Central Pacific Financial Corp. is a Hawaii-based bank holding company.

Central Pacific Bank (CPB) was founded in 1954 by Japanese-American veterans of World War II to serve the needs of families and small businesses that did not have access to financial services.

Today CPB is the 4th largest financial institution in Hawaii with 27 branches across the State. CPB is a market leader in residential mortgage, small business banking and digital banking.

NYSE	CPF
TICKER
SUBSIDIARY	CENTRAL PACIFIC BANK
(CPB)
TOTAL	$7.6 BILLION
ASSETS
MARKET	$469 MILLION
CAP
SHARE	$17.35
PRICE
DIVIDEND	6.0%
YIELD

Central Pacific Financial Corp.	Note: Total assets as of June 30, 2023. Other Market Information above as of August 29, 2023.	3

Maui Wildfire Update

CPB IMPACT

• No damage to CPB's 4 Maui branches. Lahaina branch was temporarily closed; reopened 8/28/23

LOAN PROGRAMS

• Natural Disaster Loan Program for loans up to $10,000 at special rates with flexible terms
• Loan Payment Deferral Programs being offered for all loan types for those impacted. As of 8/29/23, 83 loan deferrals processed totaling $25 million*
• CPB providing borrowers guidance on available funding resources through FEMA and SBA

ADDITIONAL RESOURCES/SUPPORT

• ATM, safe deposit box, debit card replacement, and check replacement fees waived for customers displaced by Maui fires
• CPB Maui Customer Care Hotline established to expedite banking needs of individuals impacted by the Maui fires
• Launched "Aloha for Maui" Campaign in partnership with Hawaii Bankers Association to support Hawaii Community Foundation Maui Strong Fund

Central Pacific Financial Corp.

* Includes deferrals booked and in-process of booking.

Photos from Lahaina Branch reopening on 8/28/23

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Lahaina, Maui Loan Exposure

Exposure is manageable and with mitigating factors, losses are not anticipated to be material

• Status updates from borrowers continue to be collected
• State Farm Insurance (largest insurer on Maui) setup on-site to process claims, with 1,750 claims processed as of 8/29/23

	Total	Reported
($ Millions)	Outstanding	Not-Impacted	Mitigating Factors
	As of 7/31/23	As of 8/29/23*
CRE	51	40	Fire hazard insurance required
Residential	31	-	Fire hazard insurance required
HELOC	9	-	Fire hazard insurance required
C&I	15	10	Business interruption insurance and SBA/FEMA disaster relief support available
Consumer	5	-	State/FEMA unemployment benefits available
TOTAL	111	50

* Status updates continue to be collected; additional balances are expected to be not-impacted.

Central Pacific Financial Corp.

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