Business briefs


POSTED: Tuesday, July 21, 2009

HEMIC declares $3.25M dividend

The Hawaii Employers' Mutual Insurance Co. board of directors has declared a $3.25 million dividend that will be paid to qualifying policyholders.

This is the third consecutive year the board has authorized a multimillion-dollar dividend to be paid to policyholders with good safety records.

Bob Dove, president and chief executive of HEMIC, said he expected more than 60 percent of the insurer's members will receive a dividend.


Hospital extends tech-services pact

The Rehabilitation Hospital of the Pacific has signed a new, $10 million, five-year contract with Texas-based Affiliated Computer Services Inc. for information technology services. ACS has provided such services to the hospital since 2002.

“;Our plans include installation of a new electronic medical record system and the ACS team will be an integral part of this key initiative,”; said Clair Jones, REHAB CEO.


Moody's lowers HECO, HEI outlook

Moody's Investors Service has downgraded the rating outlook for Hawaiian Electric Co. and parent Hawaiian Electric Industries Inc. to “;negative”; from “;stable.”;

“;The rating outlook change to negative reflects a weakened service territory economy, which may be influencing the outcome of state regulatory decisions, at a time when the company's capital investment program is substantial,”; said A.J. Sabatelle, senor vice president at Moody's.

Moody's also affirmed the long-term ratings at HECO and HEI, including HECO's Issuer Rating at Baa1 and HEI's senior unsecured debt at Baa2, and affirmed each of HECO and HEI's short-term rating for commercial paper at Prime-2. Additionally, Moody's assigned a Baa1 rating to HECO's planned issuance of $150 million senior unsecured special purpose revenues bonds due in 2039 to be issued by the state Department of Budget and Finance.


Maui News union approves pay cut

Unionized employees of the Maui News, owned by West Virginia-based Ogden Newspapers Inc., have voted overwhelmingly to ratify a new contract.

The contract calls for a 10 percent pay cut, requires members to begin paying 5 percent of the cost of their medical benefits, and also freezes the pension, according to Wayne Cahill, administrative officer of the Hawaii Newspaper Guild.

However, he said, “;70 percent of the pay cut will be restored automatically in 2012,”; 30 percent will go to fund a new pension and, at a specific point, the 5 percent health plan contribution will be funneled into the pension plan.

Of those voting, about 90 percent voted for the contract agreement, he said.


Central Pacific alters stock offering

Central Pacific Financial Corp., parent of Central Pacific Bank, has modified its previously announced $100 million secondary offering of common stock to include junior participating preferred stock. The company's stock fell 6 cents, or $2.79, yesterday to an all-time low of $2.09.



;  » SSFM International has hired Ranelle Ho as senior project manager. She has 23 years of real estate experience, as well as being the vice president of Kobayashi Group.

» AMEC has hired William A. “;Bill”; Kucharski to vice president of Pacific operations in the earth and environmental division. He has more than 35 years experience in engineering and management, including director of Kuwait Operations for MKM Engineers of Houston, and deputy secretary and secretary of Louisiana Department of Environmental Quality.