Business Briefs

Reported by Star-Bulletin staff & wire

Wednesday, August 6, 1997

Court gives Mahalo OK
to pay some employees

A federal bankruptcy judge yesterday approved a request by Mahalo Air to pay its hourly workers.

The interisland airline, which filed for bankruptcy reorganization July 25, was unable to pay 186 hourly employees on July 31 without the court's approval.

Salaried employees, who were scheduled to be paid yesterday, will be paid Monday, the airline said. The airline has about 300 employees.

The court on Monday authorized Mahalo to resume receiving funds from a clearinghouse that handles airline ticketing.

The company blames its woes on flight cancelations caused by engine problems. The airline, which continues to operate 102 daily flights, hopes to complete its reorganization within 60 days.

GST to provide service
to Molokai community

Molokai Ranch has signed an agreement with GST Telecom Hawaii, enabling GST to provide telecom service and fiber-optic technology to the Maunaloa community.

James W. Mozley, ranch president, said Maunaloa residents will get cable service within the next four months and within a year will have the option of selecting GST Telecom Hawaii for local and long-distance telephone service. The community is now served by GTE Hawaiian Tel.

GST Telecom Hawaii will install high-speed lines for voice and data throughout Maunaloa, said Rob Volker, the company's regional vice president.

GST's system is supported by a new $30 million interisland fiber-optic network that links all six major Hawaiian islands.

Shares of CEATECH
begin public trading

Shares of Hawaii's newest public company, shrimp producer CEATECH USA Inc., were trading today at $4.25 each on the over the counter market, up 25 cents from yesterday.

The company, headquartered in Honolulu with shrimp breeding and maturing ponds at Kekaha, Kauai, began publicly trading Monday under the symbol CEAT.

Much of the technology used by the company to produce genetically improved, disease-free shrimp was developed at Oceanic Institute on Oahu and several key officers of the company are for

mer Oceanic scientists. The board chairman is venture capitalist J. Al Garcia.

CEATECH this year acquired Sunkiss Shrimp Co. on Kauai.

The company plans to develop maturing ponds on adjacent acreage. Marketing will be through a subsidiary, Hawaii High Health Seafood Co.

Luxury cruise ship
cancels Hawaii stops

The new luxury cruise ship Rhapsody of the Seas will not make its two scheduled stops in Hawaii next month after all.

The operator, Royal Caribbean Cruises Ltd., said the vessel has a malfunctioning engine and must be drydocked for repairs.

The 78,491-ton ship, capable of carrying up to 2,435 passengers, was to have visited Hawaii on Sept. 13 and Sept. 24 and has another Hawaii cruise scheduled for April.

BofA waives liability
on stolen debit cards

LOS ANGELES -- Bank of America, the nation's largest debit card issuer, has decided it won't hold its customers liable for unauthorized charges when a card is lost or stolen.

The announcement yesterday surpasses last week's promise by MasterCard International to limit liability to $50 for unauthorized use of its MasterMoney debit cards.

Bank of America introduced the debit card in late 1995, allowing checking account holders to replace their ATM cards with a version that carries a Visa logo.

The customer can use the card anywhere Visa is accepted. But the charge does not show up on a Visa bill later; it is deducted directly and immediately from the card holder's bank account.

Consumer advocates have complained that banks failed to explain to card holders that they can be held liable for up to $500 if they fail to report a loss or theft within two days of discovery.