Business Briefs


POSTED: Tuesday, December 23, 2008
This story has been corrected. See below.


Bankoh opts out of bailout

Bank of Hawaii Corp. said yesterday that it will not participate in the federal government's $700 billion bank bailout.

Bank of Hawaii has the resources it needs without an additional cash infusion from the government, said Allan Landon, the bank's chairman and chief executive.

“;Bank of Hawaii has the resources to meet the needs of our customers and support our growth,”; Landon said.

Bank of Hawaii had previously been approved for up to $200 million in financing.

The bank was “;well capitalized”; by all regulatory standards as of Sept. 30, Landon said.

Bank of Hawaii will voluntarily participate in the Federal Deposit Insurance Corp.'s fee-based expanded insurance program, which provides a guarantee on all of its transaction accounts through Dec. 31, 2009.

Central Pacific Bank on Dec. 9 became the first Hawaii-based bank to receive federal bank bailout money, when it got preliminary approval for a $135 million infusion from the Troubled Asset Relief Program.


Hawaiian Airlines cancels isle flights

Hawaiian Airlines said yesterday it canceled all of its flights between Seattle and Honolulu yesterday as the Pacific Northwest remained largely snowbound. The carrier had three inbound and outbound Seattle flights scheduled yesterday.

Hawaiian spokesman Keoni Wagner said the carrier expected to be back on track with its service between Honolulu and Portland, Ore., by this morning. The company had three planes delayed there, also resulting in delays for mainland-bound travelers, Wagner said.

Limited service resumed in Seattle yesterday for other carriers, but thousands of people were stranded because of all the flight cancellations over the weekend. 

HawTel extends cable ruling

Hawaiian Telcom Communications Inc. has been granted a six-month extension before a final ruling by the state Cable Television Division on its application for a cable franchise.

The extension delays consideration from Dec. 31 to June 30. It is the 22nd extension since the initial application in 2006, according to a letter from the state dated Friday.

The company said in its extension request letter dated Dec. 16 that it is “;proceeding with expending significant operating and capital funds for our next-generation television service.”; Hawaiian Telcom filed for Chapter 11 bankruptcy protection earlier this month.


First Hawaiian workers raise funds

First Hawaiian Bank employees pledged a record $578,840 to benefit 36 local charities in Hawaii, Guam and Saipan, according to a statement yesterday from the bank. The funds are part of the bank's workplace charitable giving campaign.

The campaign is administered by the bank and all donations go directly to charities. Nine out of ten bank employees participated in the effort.

First Hawaiian Bank said it is the largest corporate contributor to nonprofit organizations in Hawaii. In 2007, it contributed more than $3.5 million to 350 charities throughout Hawaii, Guam and Saipan.


Walgreen profit falls 10%

NEW YORK » Drugstore operator Walgreen Co. said yesterday its profit fell 10 percent in its fiscal first quarter, short of Wall Street expectations, because of costs opening more than 200 new stores.

The company said it plans to slow the opening of new stores to save $500 million in response to the recession.

The Deerfield, Ill., company said earned $408 million, or 41 cents a share, in the three months ended Nov. 30. That total fell short of analyst expectations, and compares with $456 million, or 46 cents a share, a year ago. Revenue grew 7 percent to $14.95 billion.

Analysts expected 46 cents a share and $15.08 billion in revenue, according to Thomson Reuters.

The first Walgreens store in Hawaii opened in Nov. 2007 at the former Tower Records site on Keeaumoku Street. Walgreens had announced upon entering the Hawaii market that its goal is to open from 25 to 30 stores in the isles.


Toyota projects first loss in 70 years

NAGOYA, Japan » Toyota Motor Corp. said yesterday it will report its first operating loss in 70 years, acknowledging that after a decade of rapid growth it can no longer escape the slowdown plaguing the global auto industry.

The Japanese auto giant also lowered its global vehicle sales forecast for the second time this year and said it was putting ambitious expansion plans on hold, in large part because of a precipitous drop in demand in the key U.S. market.

Toyota had reported strong growth in recent years, boosted by heavy demand for its fuel-efficient models like the Camry sedan and Prius gas-electric hybrid.






        Hawaiian Telcom Communications Inc. was granted a six-month extension before a final ruling by the state Cable Television Division on its application for a cable franchise. This page originally had an incorrect time period for the extension.