Tuesday, December 1, 1998

C. Brewer Homes
to be delisted

The company, which is
losing its Nasdaq affiliation,
also is changing its name

By Russ Lynch


C. Brewer Homes Inc. is expected to disappear from the Nasdaq exchange listings in a few days after failing to make changes needed to improve the value of its stock, which has been trading lately at around 25 cents a share.

C. Brewer Homes Now called Hawaii Land & Farming Co., a name change authorized by shareholders at their annual meeting in mid-October and put into effect yesterday, the company said it expects to start trading soon on the over-the-counter bulletin board.

Reflecting the Maui home builder's heavy indebtedness and the costly failure of a hoped-for merger with what is now called ML Macadamia Orchards LP, investor interest in the company's stock had dwindled to the point where it fell below the minimum total market value required by Nasdaq National Market.

The macadamia partnership's shareholders rejected the merger plan, which would have raised capital for Brewer and given it tax advantages. Nearly $1 million in costs for prospectuses and other expenses was lost and Brewer reported a loss of $533,000 for the quarter ending Sept. 30.

The company owes more than $20 million to its bankers and, with home sales slow, has been moving to sell chunks of land to other developers as a way of recovering.

The Nasdaq delisting won't take Hawaii Land & Farming out of the stock market picture, said Honolulu analyst Randy Havre of Honolulu Venture Capital.

"Investors can still pull up a stock quote," Havre said. Shifting to over-the-counter trading can limit the company's attraction, however. "Different institutions have different criteria on what they can invest in or not," Havre said. For some, a listing on Nasdaq is a minimum requirement.

Trading in the company's shares has been delayed on most days of the last couple of weeks. There were no trades until late afternoon today and the stock closed unchanged at 28.1 cents.

It hit a 52-week high of $2.44 in May.

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