HAWAII

CPB Inc. to buyback more of its stock

Central Pacific Bank parent CPB Inc., declaring its seventh repurchase program in four years, said today it will buy back 3.4 percent, or about 270,000 shares, of its 8 million shares of common stock outstanding.

The company has repurchased 2.9 million shares of stock, or 27 percent of the 10.6 million shares outstanding, since its first repurchase program in 1998.

"We believe the recent price decline of our common stock is not consistent with our financial performance or condition," said Clint Arnoldus, chairman, president and chief executive.

CPB's stock, which rose 64 cents today to $35, is up 19 percent this year and is the second-best-performing stock in the Bloomberg Honolulu Star-Bulletin index.

MAINLAND

Slump in oil refining hands Tesoro a loss

San Antonio >> Tesoro Petroleum Corp., which operates Hawaii's largest oil refinery and 36 service stations in the islands, said today it lost $17.9 million, or 28 cents a share, in the second quarter as costs rose and fuel demand fell.

A year ago, the company had net income of $26.5 million, or 70 cents a share. Revenue rose by more than a third to $1.75 billion from $1.30 billion.

Tesoro, which has been selling assets to raise money, must accumulate $125 million to pay debt by year's end under agreements with banks. While the company is trying to sell pipelines, gas stations and a marine-services unit to raise cash, its shares have tumbled 43 percent in six weeks on concern it may have to sell more stock, analysts said.

Shares of Tesoro rose 4 cents today to $4.22.

Global Crossing auction gets postponed again

NEW YORK >> The bankruptcy auction to buy Global Crossing's vast fiber-optic network and other assets was postponed again yesterday, the second such delay in as many weeks.

The decision to put off the auction for another two days comes amid increasing speculation about likely bidders for the world's most extensive data network -- and with the ongoing technology meltdown, probably one of the most underutilized.

Despite the delay, Global Crossing still expects that a winning bid will be chosen in time to seek court approval at a bankruptcy hearing scheduled for Aug. 7.

GE will start expensing stock option awards

FAIRFIELD, Conn. >> General Electric Co. announced yesterday it will start counting employee stock options as expenses in its earnings reports, joining other major companies adopting the practice after a wave of accounting scandals.

As one of the world's most valuable companies, GE's move adds momentum to an issue that has gained urgency as a result of the scandals.

GE said it will expense the fair value of employee stock options starting this quarter. The move will reduce this year's net income by less than $30 million, or less than one cent per share.

Verizon lost $2 billion in second quarter

NEW YORK >> Infected by the same malaise that has sickened the entire telecom sector, Verizon Communications Inc. posted a $2.12 billion net loss on yesterday, after being hit with an earnings charge, weak demand and tough competition.

The company also cut its earnings and revenue outlook for the year. New York-based Verizon is the nation's largest local telephone carrier and a major provider of long-distance and cellular service.

For the second quarter, Verizon lost 78 cents a share, compared with a $1.02 billion loss, or 38 cents a share, a year earlier.

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Star-Bulletin staff and wire