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HAWAII

Feds extend comment period on airline deal

The U.S. Department of Transportation has extended by one week the deadline for comment on the application by Hawaiian and Aloha Airlines for an antitrust exemption related to the interisland service. The new deadline is 10 a.m. Eastern time on Tuesday, Sept. 3.

Maui-based commuter airline Pacific Wings had asked for a two-week extension, saying it had not had time to study the matter. The department said it would not grant more time than that because by law it has to rule on any Sept. 11-related antitrust exemptions by Oct. 1.

Hawaiian and Aloha want an antitrust waiver, limited solely to interisland capacity, so they can look into ways to lessen the total number of empty seats now that interisland business has declined.

Analyst downgrades Hawaiian Electric

Hawaiian Electric Industries Inc., whose stock has posted a total return of 17.2 percent this year, was downgraded to "market perform" from "market outperform" today by analyst David Parker of Robert W. Baird & Co.

The stock closed today down 68 cents at 45.30 It is yielding 5.47 percent.

Parker had upgraded the stock to "market outperform" on July 23 when Hawaiian Electric was trading at $36.50.

Currently, two analysts rate Hawaiian Electric a "buy," three a "hold" and two a "sell," according to Bloomberg News.

In addition, TheStreet.com, which last month recommended purchasing Hawaiian Electric in a column about the company, touted the stock again today but said it "feels a bit pricey" at nearly 15 times 2002 earnings. TheStreet.com, which cited the company's stable cash stream from its utility and the growth potential of subsidiary American Savings Bank, recommended revisiting the stock again at around $40 when the yield would be closer to 6 percent.

MAINLAND

Cendant to cut CEO pay and expense options

New York >> Cendant Corp. will cut Chairman and Chief Executive Henry Silverman's pay by more than half and begin accounting for stock options as an operating expense.

The hotel and real estate brokerage franchiser, whose shares haven't recovered from a 1998 accounting scandal, owns timeshare properties in Hawaii as well as locally founded Cheap Tickets.

Silverman's 2002 pay will be about $15 million, down from $36 million in 2001, spokesman Elliot Bloom said. He declined to comment on the reason for the changes. New York-based Cendant is the biggest franchiser of hotels, with its Days Inn and Howard Johnson chains, and of residential brokerages including Century 21 and Coldwell Banker.

Cendant shares are at about half their level in 1998 before the company disclosed that its predecessor, CUC International Inc., overstated revenue. Silverman, who last month said the company would consolidate off-balance sheet investments to reduce complexity, has worked to assure investors the company has no more accounting problems.

Boeing production employees mull offer

SEATAC, Wash. >> It's now up to Boeing Co. production employees represented by the Machinists union to decide if the aerospace company's "best and final" contract offer really should be either.

With a contract vote scheduled tomorrow, members of the union will have to decide whether the offer is fair and competitive -- as Boeing says -- or an attack on their benefits and the work force at large -- as union leaders say. Union leaders recommended rejection yesterday.

Members will also be voting on whether to strike if the contract doesn't pass.


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[Hawaii Inc.]

NEW JOBS

>> The Renaissance Ilikai Waikiki Hotel has named Ryan Covert director of restaurants. He has more than 10 years of experience in the restaurant industry. Covert is responsible for managing all operations at Canoes at the Ilikai restaurant, room service, Paddles Bar, and the recently opened Paddles Coffee Bar.

>> John Chalabi has joined Booklines Hawaii as its night warehouse manager. He oversees the super shift that is responsible for pulling, packing and routing the day's orders. Chalabi most recently worked as plant operations manager for Alii Water Bottling Co in Kona.

PROMOTIONS

>> Architects Hawaii Ltd. has promoted Jeffrey S. Nakamura and David Bylund to associate. Nakamura is a project architect and project manager who joined the firm in January 2001. He has more than 14 years of experience as an architect in Hawaii.

Current projects include the University of Hawaii Health and Wellness Center in Kakaako and the Hawaiian Waikiki Beach Hotel. Bylund joined Architects Hawaii in 2001 as a designer. He has more than 20 years of experience as an architectural designer and marketing director.

Bylund most recently worked on the UH Health and Wellness Center in Kakaako, and a 13-story nursing wing for a hospital in Japan.

RECOGNITION

>> Brenda Bagano of B&B Properties Ltd., Maria Miller of Eric M. Watanabe Realty Inc., Ann K. Noguchi of Marcus & Associates Inc., and Mark Tanaka of Kauai Realty Inc. have earned their certified residential specialists designations. The CRS is the highest designation awarded to sales associates in the residential sales field and recognizes professional accomplishments and education.





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