(Sen Dan Inouye had a substantial portion of his net worth tied up in CPB stock. Obvious question: Which CPB insiders were able to sell out at the top thanks to the infusion of Federal cash? Do their gains come as a result of taxpayer losses?)
Central Pacific Offers 12.8 Million Shares; Treasury To Sell 5.6 Million
DOW JONES NEWSWIRES
Central Pacific Financial Corp. (CPF) said the U.S. Treasury plans to offer all 5.6 million shares of its holdings in the bank, while other shareholders are offering 12.8 million shares.
The Treasury acquired the shares this year as part of the Hawaii-based bank holding company's recapitalization. The stock was trading around $29 a share at the time of the Treasury's investment, taking into account a reverse stock split, and closed Tuesday at $14.13.
The selling shareholders' offer includes 79,288 shares issuable upon the exercise of warrants held by the Treasury. The parent of Central Pacific Bank, which has 34 branches in Hawaii and one office in California, won't receive any proceeds from the stock sales.
The company, which has about 41.7 million shares outstanding, said the sale amounts reflect its one-for-20 stock split in February. Central Pacific Financial didn't disclose expected pricing terms in its filing with the U.S. Securities and Exchange Commission.
For the quarter ended March 31, the bank swung to a profit of $4.6 million as it posted a credit to its provision for loan losses, compared with a charge of $58.8 million a year earlier.
Central Pacific shares were inactive premarket. The stock is down 64% in the past year.
CPB: Central Pacific Financial Corp. Announces Public Offering of Common Stock Owned by the United States Department of the Treasury
What this is all about: After Call From Senator Inouye's Office, Small Hawaii Bank Got U.S. Aid