Reported by Star-Bulletin staff & wire
Friday, August 16, 1996
Reported by Star-Bulletin staff & wire
Friday, August 16, 1996
The parent of City Bank and International Savings said it earned $1.35 million for the three months ending June 30, down from $2.03 million in the year-earlier quarter. On a per-share basis, the company earned 38 cents for its second quarter, compared with 57 cents for the same period last year.
Much of the second quarter decline was due to $1.3 million increase in loan loss provisions, which are used to cover troubled loans.
Reflecting the weak local economy, CB Bancshares said its nonperforming loans increased in the latest quarter to $22.1 million, from $16.8 million in the year-earlier period.
For the first six months of 1996, the company earned $1.92 million, or 54 cents per share, down from first half 1995's $4.36 million, or $1.23 per share. The company, which operates 24 bank branches statewide, in the first quarter took a one-time, $3.3 million charge for a voluntary retirement plan. Minus the charge, the company would have earned $3.09 million, or $1.09 per share, for the first half of 1996, CB Bancshares said.
But when that will happen remains uncertain. The company is negotiating with GTE Hawaiian Tel to lease capacity on Hawaiian Tel's phone network.
If an agreement cannot be reached by Sept. 1, an arbitrator will be brought in, Long Distance/USA-Sprint said.
The company said it expects its rates to be lower than what Hawaiian Tel now charges.
Other carriers also are negotiating with GTE so they can offer local service.