HAWAII

Hotel occupancy falls to 5-year low

Hawaii hotel room demand fell across all islands during the month of August, with statewide occupancy dropping 6.6 percentage points to 74.4 percent for the month.

August approximated the ten-year low of 74.3 percent set in August 1998. Revenue per available room fell by 8.9 percent to $157.31. Drops in demand were experienced across all islands and classes of properties. The statewide average daily rate fell 0.9 percent to $211.34 for August, according to a report released yesterday by Hospitality Advisors LLC.

While all classes of properties experienced occupancy declines, midprice and economy properties suffered most with occupancy declines of 10.6 and 10.4 percent, respectively, to 68 and 67.6 percent occupancy for the month. Midprice and economy hotels also led the decline in revenue per available room with 13.1 and 13.8 percent, respectively.

Pacific LightNet sale finalized

The sale of Pacific LightNet Inc. to a group of Hawaii and mainland investors has been finalized, the company said yesterday.

The Honolulu-based telecommunications firm, which owns a fiber-optic system linking the six major Hawaiian islands, was previously jointly-owned by a Washington-based telecommunications and real estate company, NextNet Investments, and TM Communications Hawaii LLC.

The state Public Utilities Commission had previously approved of the application to transfer ownership to the private investment group. The transaction will not affect the company's service offerings or rates.

Hawaiian Airlines traffic up 2.7%

Hawaiian Airlines Inc. said yesterday its passenger traffic for September rose 2.7 percent from last year. The carrier hauled 595,070 passengers last month, while recording 599,187 revenue passenger miles, or one paying passenger transported one mile, down 10.3 percent from last year.

The increase in the passenger count is the result of Hawaiian's expansion of interisland operations, while the lower revenue passenger miles and average load factor reflect an adjustment of capacity between markets and lower transpacific load factor from higher fares that is offsetting increased fuel prices, the carrier said.

Available seat miles, or one seat transported one mile, totaled 749,154, 1.4 percent lower than last September, with a load factor of 80 percent, 7.9 percentage points lower than last year.

Hoku gets $5M First Hawaiian loan

Hoku Scientific Inc. said in a regulatory filing that it has taken out a $5 million loan through First Hawaiian Bank.

The loan is secured by a security interest in certain collateral owned by Hoku. The principal amount of the loan, as well as all outstanding interest, is due Jan. 1. Hoku is obligated to make regular monthly interest payments beginning Nov. 1. The interest rate will be First Hawaiian's prime rate, which is subject to change.

Hoku plans to use the proceeds to finance expenses related to its planned polysilicon facility in Idaho.