Page 1

Territorial Bancorp Inc. PRESS RELEASE FOR IMMEDIATE RELEASE Contact : Walter Ida ( 808 ) 946-1400 • • Territorial Bancorp Inc. Announces Third Quarter 2021 Results Net income for the three months ended September 30 , 2021 was $ 4.16 million compared to $ 4.32 million for the three months ended September 30 , 2020 . Fully - diluted earnings per share for the three months ended September 30 , 2021 was $ 0.46 per share compared to $ 0.47 per share for the three months ended September 30 , 2020 . The net interest margin for the three months ended September 30 , 2021 was 2.72 % compared to 2.54 % for the three months ended June 30 , 2021 . Fully - diluted earnings per share for the nine months ended September 30 , 2021 was $ 1.44 per share compared to $ 1.42 per share for the nine months ended September 30 , 2020 . Earnings per share for the first nine months of 2021 has risen by $ 0.02 per share , or 1.41 % . Board of Directors approved a quarterly cash dividend of $ 0.23 per share , representing Territorial Bancorp Inc.'s 47th consecutive quarterly dividend . Honolulu , Hawaii , October 28 , 2021- Territorial Bancorp Inc. ( NASDAQ : TBNK ) ( the “ Company ” ) , headquartered in Honolulu , Hawaii , the holding company parent of Territorial Savings Bank , announced net income of $ 4.16 million , or $ 0.46 per diluted share , for the three months ended September 30 , 2021 . The Company also announced that its Board of Directors approved a quarterly cash dividend of $ 0.23 per share . The dividend is expected to be paid on November 24 , 2021 to stockholders of record as of November 11 , 2021 . Allan Kitagawa , Chairman and Chief Executive Officer , said , “ We are pleased with our results for the third quarter . The residential real estate market in Hawaii continues to be strong and the level of new mortgage loan applications remains elevated . Our strong capital position , asset quality and liquidity has allowed us to perform well despite the uncertainties created by COVID - 19 . " Interest Income Net interest income decreased to $ 13.86 million for the three months ended September 30 , 2021 from $ 14.46 million for the three months ended September 30 , 2020. Total interest income was $ 15.28 million for the three months ended September 30 , 2021 compared to $ 17.13 million for the three months ended September 30 , 2020. The $ 1.86 million decrease in total interest income was primarily due to a $ 2.79 million decrease in interest earned on loans . The decrease in interest