Hawaiian Air volume declines in March

Hawaiian Airlines overall passenger business slipped in March to 538,654 passengers, a 4.5 percent decline from 564,169 in March 2000.

The airline said in its monthly traffic report that it lowered its capacity for March and the result was an increase in its load factor, to 82.1 percent last month from 80.4 percent in March 2000. Load factor is the percentage of available seats occupied by paying passengers. For the first three months of this year, Hawaiian said it carried 1.49 million passengers, a 1 percent decrease from 1.5 million in the first quarter of 2000. Hawaiian's report covers all of its routes and does not break out interisland performance separately from mainland and South Pacific business.

Grace Pacific changes headquarters to Kapolei

Asphalt-paving contractor Grace Pacific Corp. has moved its corporate headquarters to Kapolei from Halawa Valley, relocating 14 employees.

The company held an open house Thursday morning for the new 6,000-square-foot office, which is located in the Bank of Hawaii building at 949 Kamokila Blvd. Another dozen Grace Pacific employees have relocated to the company's nearby quarry at Makakilo. Brothers John and Walter Grace founded the company in 1931 as a mechanical equipment distribution firm that was later bought by three of its executives. Grace Pacific is now owned by its 200 employees.

Agency may increase pay for 'bumped' passengers

WASHINGTON >> The U.S. Transportation Department is considering steps to strengthen 23-year-old rules that say how much passengers should be paid by airlines that deny them seats on flights for which they held confirmed tickets.

The rules require airlines to pay as much as $400 to "bumped" passengers who can't be rebooked on a flight that would arrive at a destination within two hours of the original flight, or four hours for international service. A DOT spokesman wouldn't say what steps are under consideration beyond expanding the rules to charter flights and planes with 59 or fewer seats.

The rules are meant to balance passengers' rights against the harm to airlines when passengers don't cancel reservations or don't take flights, the DOT said in a statement.

Starwood CEO got $4.63 million last year

WHITE PLAINS, N.Y. >> Starwood Hotels & Resorts Worldwide Inc., the largest owner of hotels, increased Chairman and Chief Executive Barry Sternlicht's cash compensation by 94 percent to $4.63 million in 2000. The company also gave Sternlicht $1.08 million of restricted stock and options to buy 1.5 million shares of stock at a price of $21.81 each, according to a Securities and Exchange Commission filing. The options could potentially be worth $52.2 million assuming Starwood's shares rose 10 percent annually through January 2010, the company said.

Starwood, owner of the Sheraton, Westin and St. Regis hotel chain, cited, among other things, the company's increased earnings and inclusion in the Standard & Poor's 500 Index in granting Sternlicht the compensation package.

Boeing is planning longer-range 747 model

NEW YORK >> Boeing Inc. plans to build a larger version of the 747-400 for longer-distance flights, The Wall Street Journal reported yesterday.

The decision comes after Boeing canceled plans earlier this month for a new line of superjumbo jetliners. The new 747s will include many of the features planned for the canceled jet design. The plan, which has not yet been made public, would only add eight more seats to the existing 747-400. But it would enable the plane to fly an additional 775 miles without affecting the plane's speed or cargo capacity. Boeing estimates that it will take five years to design, build and deliver the new plane.