Hawaiian Electric Industries Inc. said its first quarter earnings fell 40 percent as the economic downturn lowered electricity sales at its utility subsidiary and it was forced to boost its provision for loan losses at American Savings Bank.

Hawaiian Electric Industries earned $20.4 million or 23 cents per share in the first quarter, compared with $34.0 million or 41 cents per share for the first quarter a year earlier.

"As expected, first quarter earnings were lower reflecting the impact of the global financial and economic crisis on Hawaii which lowered electric sales and resulted in a higher provision for loan losses at the bank," said Constance H. Lau, HEI president and chief executive officer.

Net income at Hawaiian Electric Co. totaled $14.1 million in the first quarter, down from $24.6 million a year earlier. Net income at American Savings was $10.9 million in the first quarter, down from $14.6 million for the same quarter last year.