Bank shareholders to vote
by Sept. 13 on merger
Central Pacific Financial Corp. and CB Bancshares Inc. have established Sept. 13 as the deadline for shareholders to vote on the merger between the two Honolulu-based banks.
Shareholders of City Bank's parent will go first with a 9 a.m. special meeting at Dole Cannery's Lanai Ballroom. Central Pacific Bank's shareholders are scheduled to vote at 11 a.m. at Dole Cannery in the Mililani Ballroom.
Three-quarters of the outstanding shares from shareholders of each bank are required to approve the stock-and-cash merger, which was estimated to be worth $91.96 for each CB Bancshares share as of Monday. Shareholders who don't vote will have their shares counted as opposing the merger.
Central Pacific disclosed that it has agreed to pay its financial adviser, Bear, Stearns & Co., about $3.7 million as a merger transaction fee. Central Pacific also said it approved $1.9 million in retention bonuses for executives and managers.
CB Bancshares' five top-paid executives and its current chairman collectively will receive $16.5 million. CB Bancshares has agreed to pay its financial adviser, Sandler O'Neill & Partners LP, a transaction fee of about $3.8 million.