---

BACK TO TOP
|

EXCELLENCE IN ARCHITECTURE

GROUP 70 INTERNATIONAL INC. Group 70 International Inc. of Honolulu received a merit award recently at the American Institute of Architects Northwest and Pacific Region annual conference held in Portland, Ore. Group 70 was recognized for its Kalihi Valley Homes renovation project. The jury, in commenting about the project, said "you can make a silk purse from a sow's ear." The jury commended the owner and architect team for "a wonderful transformation." The jury also mentioned the project's "sustainability for the benefit of a community, showing respect for the individuals who live there."

---

BACK TO TOP
|

Bankoh boosts stock buyback

Bank of Hawaii Corp. will spend another $200 million to buy back its own shares, under a board of directors authorization announced yesterday. That brings total repurchase authorizations to $1 billion since the bank started its buyback program in the third quarter of 2001. So far, Bank of Hawaii has paid $787.1 million to shareholders to buy 28.1 million shares at an average price of $28 a share. The stock closed yesterday at $33.63 on the New York Stock Exchange.

Bank of Hawaii also said it will announce its 2003 third-quarter earnings on Oct. 27.

Hawaiian-Boeing extension OK'd

Hawaiian Airlines' motion for a fifth extension to negotiate restructured leases with aircraft lessor Boeing Capital Corp. was granted yesterday.

U.S. Bankruptcy Court Judge Robert Faris approved another monthlong extension that gives the two sides until Oct. 31 to reach an agreement. The current extension was due to expire today. Without the extension, Boeing Capital would have been allowed to repossess the 13 Boeing 717s and three Boeing 767s that it leases to Hawaiian. Those planes make up more than half of the airline's fleet. Previously, Hawaiian reached restructured lease agreements with its two other lessors, International Lease Finance Corp. and Ansett Worldwide.

In another development, the stock of Hawaiian Airlines' parent, Hawaiian Holdings Inc., plunged nearly 25 percent, or 37 cents yesterday to close at $1.13 on average daily volume of 166,200 shares. The stock has now fallen 41.5 percent since hitting an intraday high of $1.93 Wednesday.

Judge consolidates CB-CPF suits

A state Circuit Court judge, trying to streamline two lawsuits brought by City Bank's parent against Central Pacific Financial Corp., dismissed the second complaint yesterday, but gave CB Bancshares Inc. 20 days to amend a counterclaim that was its initial suit.

The dispute centers on Central Pacific's voting agreement with CB's largest shareholder, Ton Finance B.V., and other CB stakeholders, which CB Bancshares claims violated the Hawaii Control Share Acquisitions Statute. In dismissing CB's suit, Judge Victoria Marks agreed with CPF's argument that the voting agreement charges in the filings were duplicative. However, the judge declined to rule on the merits of two other CPF arguments. The merits of those arguments will be decided later.

For its part, CPF's suit alleges the CB shareholder-rights plan, or poison pill, is a violation of the CB directors' fiduciary responsibilities to their shareholders. That suit is scheduled to be heard at a yet-to-be-determined date.

Meanwhile, CPF spokesman Ian Campell said the bank is still seeking regulatory approvals and hasn't wavered in its commitment to acquire CB Bancshares. "Central Pacific is as committed as ever to ensuring that CB shareholders and Hawaii ultimately receive the benefits of this proposal to create a strong local bank for Hawaii," Campbell said.

Another suit involving CB shareholder Barbara Clarridge against CB Bancshares is still pending.

Feds join shipyard lawsuit

The U.S. government has joined a Honolulu shipyard's lawsuit accusing two companies of conspiring to defraud the government out of a surplus Navy dry dock, the U.S. Department of Justice announced yesterday.

The complaint by Honolulu-based Pacific Shipyards International alleges that Tanadgusix Corp. of Alaska and Marisco Ltd., a Hawaii-based ship repair company, conspired to make false statements to obtain the dry dock.

The complaint claims the two companies told the government that Tanadgusix intended to take the dock to Alaska and manage and operate it there, while it planned instead to leave the dock in Hawaii under Marisco's control.

Air France board OKs share swap with KLM

PARIS >> A sweeping combination of Air France and KLM Royal Dutch Airlines moved closer last night when Air France's board approved a proposed share swap with KLM shareholders, a member of the board said. If it wins the approval of the Dutch airline, of the French and Dutch governments and of regulators on both sides of the Atlantic, the combination would surpass British Airways to become Europe's largest airline company.

A KLM spokesman in the Netherlands said earlier yesterday that while the airlines had been in continuous discussions, no deal had yet been reached. But KLM's board was meeting last night to formulate a response to the Air France proposal, according to Dutch radio.

The proposal would make each of the airlines a wholly owned subsidiary of a new holding company based in Paris.

Verizon offers buyout to 74,000 managers

Verizon Communications Inc. said yesterday it has offered a voluntary buyout package to virtually all its 74,000 management employees nationwide in a sweeping cost-cutting move.

With analysts predicting competition in telecommunications will become more brutal as AT&T and cell-phone operators invade the local and long-distance telephone markets, a Verizon spokeswoman said the buyout program was designed to cut annual expenses. Employees have until Nov. 14 to decide.

In other news ...

Japan Airlines System Corp. and All Nippon Airways Co. will get ¥85 billion of loans from Development Bank of Japan to help them recover from a travel slump brought on by the SARS outbreak and the war in Iraq.