Amcon sells Hawaiian Natural Water for $3.8 million

A newly formed investor group buys the company's assets

HONOLULU » Amcon Distributing Co. of Omaha, Neb., said yesterday that it has sold substantially all of the assets of Hawaiian Natural Water Co. Inc. to a newly formed investor group, Hawaiian Springs LLC.

The purchase price was $3.8 million, with Hawaiian Springs assuming Hawaiian Natural Water's operating and capital leases, Amcon said.

Pearl City-based Hawaiian Natural Water began bottling water in 1995 on the Big Island from a well on Mauna Loa. Amcon acquired the company in 2001 in a $2.9 million merger.

"Historically (Hawaiian Natural Water) has incurred significant operating losses, which have hampered earnings," Andrew Plummer, Amcon's acting chief financial officer, said in a statement.

Hawaiian Natural Water's losses totaled approximately $6.2 million before taxes for all of fiscal 2005, and $1.6 million before taxes for the nine months ended June 30, 2006, Plummer said.

Hawaiian Natural Water executives could not be reached for comment yesterday.

Amcon is a wholesale distributor of consumer products, including beverages, candy, tobacco, groceries and beauty care products. It has distribution centers in Illinois, Missouri, Nebraska, North Dakota and South Dakota.

Hawaiian Natural Water was founded by Marcus Bender, who now owns Brew Moon Restaurant and Microbrewery at Ward Centers.