Reported by Star-Bulletin staff & wire
Wednesday, April 15, 1998
Schuler Homes to issue $100 million in bonds
Schuler Homes Inc. today said it plans to issue $100 million in new bonds.The local home building company said it expects to use the proceeds to fund general corporate purposes and pay down previous debt. Schuler Homes said the bonds, or senior notes, will be due in the year 2008.
The company hopes to take advantage of current low-interest rate environment, said Pam Jones, Schuler Homes' chief financial officer.
Hawaiian Air sees decline in traffic
Hawaiian Airlines Inc. today reported a slight decline in its traffic for the first three months of this year, compared with the first quarter of 1997.The airline reported 978 million systemwide revenue passenger miles in the latest quarter, down 0.1 percent from 979.1 million revenue passenger miles in the year-earlier period.
One revenue passenger mile is one paying passenger carried one mile.
Hawaiian's load factor in the first quarter averaged 69.9 percent, a decrease of one percentage point from 70.9 percent in the 1997 quarter. The airline carried 1.25 million passengers in the 1998 quarter, a decrease of 3.5 percent from 1.3 million in 1997 period.
30-year mortgages rise to 7.17 percent
WASHINGTON -- The average rate on 30-year, fixed-rate mortgages rose to 7.17 percent this week, the highest level since early March, the Federal Home Loan Mortgage Corp said today.The increase, from 7.09 percent last week, brings the average nearly to its four-month high of 7.19 percent, reached six weeks ago. It had hit a four-year low of 6.89 percent in mid-January as investors transferred money from Asia to the United States.
Fifteen-year mortgages averaged 6.81 percent this week, up from 6.74 percent last week and the highest since October. On one-year adjustable-rate mortgages, lenders were asking an average initial rate of 5.67 percent, down from 5.68 percent.
United Airlines to cut more Asia flights
CHICAGO -- UAL Corp.'s United Airlines said it will stop flying directly from the United States to Korea as economic turmoil in Asia reduces business in the region.The largest U.S. carrier will suspend its daily nonstop flight from San Francisco to Seoul on May 5, and stop flying between Osaka, Japan, and Seoul on July 8. Passengers will have to fly through Tokyo to reach United's daily flight to Seoul.
The move is another step in the Chicago-based airline's attempt to trim unprofitable Asian routes amid lower demand as the region struggles economically.
United said earlier this month that revenue for the first quarter and the year could be less than expected because of reduced business in Asia.
United has already stopped passenger flights to the Philippines and has scaled back flights to Tokyo from New York and Hawaii.
Asia accounts for about 20 percent of United's business.
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