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CB Bancshares
net falls after
charges

Profits were ahead 15.5%
without the one-time accounting
and merger costs

By Russ Lynch
Star-Bulletin

One-time charges unconnected with operations pushed CB Bancshares Inc. into a net loss of $6.3 million for the final quarter of 1999, compared to a net profit of $2.1 million in the year-earlier quarter.

Operating earnings were up 15.5 percent without counting the previously reported noncash charges of nearly $9 million, which mostly came from a change in accounting methods but also included costs for the planned merger of the International Savings & Loan Association subsidiary into the City Bank subsidiary.

The company said its fourth-quarter operating income was $2.5 million, or 74 cents a share, up from $2.1 million, or 60 cents a share, in the final quarter of 1998.

"The fourth-quarter charges were one-time items that were not related to the operating performance of the company," said Ronald K. Migita, president and chief executive officer. "Additionally, with regard to the merger, our customers will experience increased product availability as well as enhanced service and convenience through additional branch locations," he said.

The charges resulted in a full-year net income of just $306,000, down from $8.4 million in 1998. Operating earnings for 1999 were up 8.9 percent at $9.1 million, or $2.63 a share, compared to 1998 operating earnings of $8.4 million, or $2.35 a share.