T
|
QUARTERLY
REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF
1934
|
£
|
TRANSITION
REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF
1934
|
Hawaii
|
99-0212597
|
(State
or other jurisdiction of
incorporation
or organization)
|
(I.R.S.
Employer
Identification
No.)
|
Large
accelerated filer £
|
Accelerated
filer T
|
Non-accelerated
filer £
|
Smaller
reporting company £
|
Part
I.
|
Financial
Information
|
Item
I.
|
Financial
Statements (Unaudited)
|
Consolidated
Balance Sheets
March
31, 2009 and December 31, 2008
|
|
Consolidated
Statements of Income
Three
months ended March 31, 2009 and 2008
|
|
Consolidated
Statements of Cash Flows
Three
months ended March 31, 2009 and 2008
|
|
Notes
to Consolidated Financial Statements
|
|
Item
2.
|
Management’s
Discussion and Analysis of Financial Condition and Results of
Operations
|
Item
3.
|
Quantitative
and Qualitative Disclosures About Market Risk
|
Item
4.
|
Controls
and Procedures
|
Part
II.
|
Other
Information
|
Item
1A.
|
Risk
Factors
|
Item
6.
|
Exhibits
|
Signatures
|
|
Exhibit
Index
|
CENTRAL
PACIFIC FINANCIAL CORP. AND SUBSIDIARIES
|
||||||
CONSOLIDATED
BALANCE SHEETS
|
||||||
(Unaudited)
|
||||||
(Dollars
in thousands)
|
March
31, 2009
|
December
31, 2008
|
||||
Assets
|
||||||
Cash
and due from banks
|
$ | 78,170 | $ | 107,270 | ||
Interest-bearing
deposits in other banks
|
10,199 | 475 | ||||
Federal
funds sold
|
7,000 | - | ||||
Investment
securities:
|
||||||
Available
for sale
|
933,215 | 742,600 | ||||
Held
to maturity (fair value of $7,622 at March 31, 2009 and $8,759 at December
31, 2008)
|
7,523 | 8,697 | ||||
Total
investment securities
|
940,738 | 751,297 | ||||
Loans
held for sale
|
63,056 | 40,108 | ||||
Loans
and leases
|
3,818,900 | 4,030,266 | ||||
Less
allowance for loan and lease losses
|
122,286 | 119,878 | ||||
Net
loans and leases
|
3,696,614 | 3,910,388 | ||||
Premises
and equipment, net
|
77,828 | 81,059 | ||||
Accrued
interest receivable
|
20,887 | 20,079 | ||||
Investment
in unconsolidated subsidiaries
|
14,338 | 15,465 | ||||
Other
real estate
|
16,558 | 11,220 | ||||
Goodwill
|
152,689 | 152,689 | ||||
Other
intangible assets
|
43,122 | 39,783 | ||||
Bank-owned
life insurance
|
136,437 | 135,371 | ||||
Federal
Home Loan Bank stock
|
48,797 | 48,797 | ||||
Income
tax receivable
|
47,728 | 42,400 | ||||
Other
assets
|
77,398 | 75,960 | ||||
Total
assets
|
$ | 5,431,559 | $ | 5,432,361 | ||
Liabilities
and Equity
|
||||||
Deposits:
|
||||||
Noninterest-bearing
demand
|
$ | 612,045 | $ | 627,094 | ||
Interest-bearing
demand
|
511,919 | 472,269 | ||||
Savings
and money market
|
1,290,521 | 1,057,881 | ||||
Time
|
1,588,088 | 1,754,322 | ||||
Total
deposits
|
4,002,573 | 3,911,566 | ||||
Short-term
borrowings
|
83,474 | 279,450 | ||||
Long-term
debt
|
623,903 | 649,257 | ||||
Other
liabilities
|
54,227 | 55,748 | ||||
Total
liabilities
|
4,764,177 | 4,896,021 | ||||
Equity:
|
||||||
Preferred
stock, no par value, authorized 1,000,000 shares; issued and
outstanding
|
||||||
135,000
shares at March 31, 2009 and none at December 31, 2008
|
127,836 | - | ||||
Common
stock, no par value, authorized 100,000,000 shares, issued and
outstanding
|
||||||
28,740,217
shares at March 31, 2009 and 28,732,259 shares at December 31,
2008
|
403,203 | 403,176 | ||||
Surplus
|
62,276 | 55,963 | ||||
Retained
earnings
|
64,524 | 63,762 | ||||
Accumulated
other comprehensive income (loss)
|
(500 | ) | 3,390 | |||
Total
shareholders' equity
|
657,339 | 526,291 | ||||
Non-controlling
interest
|
10,043 | 10,049 | ||||
Total
equity
|
667,382 | 536,340 | ||||
Total
liabilities and equity
|
$ | 5,431,559 | $ | 5,432,361 | ||
See
accompanying notes to
consolidated financial
statements.
|
CENTRAL
PACIFIC FINANCIAL CORP. AND SUBSIDIARIES
|
|||||||
CONSOLIDATED
STATEMENTS OF INCOME
|
|||||||
(Unaudited)
|
|||||||
Three
Months Ended
|
|||||||
March
31,
|
|||||||
(Amounts
in thousands, except per share data)
|
2009
|
2008
|
|||||
Interest
income:
|
|||||||
Interest
and fees on loans and leases
|
$ | 56,505 | $ | 70,294 | |||
Interest
and dividends on investment securities:
|
|||||||
Taxable
interest
|
8,729 | 9,271 | |||||
Tax-exempt
interest
|
1,171 | 1,389 | |||||
Dividends
|
3 | 24 | |||||
Interest
on deposits in other banks
|
- | 4 | |||||
Interest
on Federal funds sold and securities purchased under agreements to
resell
|
- | 21 | |||||
Dividends
on Federal Home Loan Bank stock
|
- | 122 | |||||
Total
interest income
|
66,408 | 81,125 | |||||
Interest
expense:
|
|||||||
Interest
on deposits:
|
|||||||
Demand
|
321 | 137 | |||||
Savings
and money market
|
2,863 | 3,785 | |||||
Time
|
9,894 | 14,729 | |||||
Interest
on short-term borrowings
|
238 | 1,923 | |||||
Interest
on long-term debt
|
6,619 | 9,694 | |||||
Total
interest expense
|
19,935 | 30,268 | |||||
Net
interest income
|
46,473 | 50,857 | |||||
Provision
for loan and lease losses
|
26,750 | 34,272 | |||||
Net
interest income after provision for loan and lease losses
|
19,723 | 16,585 | |||||
Other
operating income:
|
|||||||
Service
charges on deposit accounts
|
3,537 | 3,543 | |||||
Other
service charges and fees
|
3,320 | 3,415 | |||||
Income
from fiduciary activities
|
970 | 1,005 | |||||
Equity
in earnings of unconsolidated subsidiaries
|
274 | 283 | |||||
Fees
on foreign exchange
|
116 | 194 | |||||
Investment
securities losses
|
(150 | ) | - | ||||
Loan
placement fees
|
248 | 153 | |||||
Net
gain on sales of residential loans
|
4,009 | 1,798 | |||||
Income
from bank-owned life insurance
|
1,070 | 1,870 | |||||
Other
|
2,290 | 2,018 | |||||
Total
other operating income
|
15,684 | 14,279 | |||||
Other
operating expense:
|
|||||||
Salaries
and employee benefits
|
16,260 | 17,364 | |||||
Net
occupancy
|
3,279 | 2,853 | |||||
Equipment
|
1,512 | 1,395 | |||||
Amortization
and impairment of other intangible assets
|
1,421 | 1,169 | |||||
Communication
expense
|
1,139 | 1,085 | |||||
Legal
and professional services
|
2,716 | 2,413 | |||||
Computer
software expense
|
912 | 863 | |||||
Advertising
expense
|
755 | 682 | |||||
Foreclosed
asset expense
|
135 | 2,590 | |||||
Write
down of assets
|
435 | - | |||||
Other
|
9,134 | 1,046 | |||||
Total
other operating expense
|
37,698 | 31,460 | |||||
Loss
before income taxes
|
(2,291 | ) | (596 | ) | |||
Income
tax benefit
|
(4,920 | ) | (2,254 | ) | |||
Net
income
|
2,629 | 1,658 | |||||
Preferred
stock dividends and accretion
|
1,867 | - | |||||
Net
income available to common shareholders
|
$ | 762 | $ | 1,658 | |||
Per
common share data:
|
|||||||
Basic
earnings per share
|
$ | 0.03 | $ | 0.06 | |||
Diluted
earnings per share
|
0.03 | 0.06 | |||||
Cash
dividends declared
|
- | 0.25 | |||||
Shares
used in computation:
|
|||||||
Basic
shares
|
28,681 | 28,686 | |||||
Diluted
shares
|
28,692 | 28,801 | |||||
See
accompanying notes to consolidated
financial statements.
|
CENTRAL
PACIFIC FINANCIAL CORP. AND SUBSIDIARIES
|
|||||||
CONSOLIDATED
STATEMENTS OF CASH FLOWS
|
|||||||
(Unaudited)
|
|||||||
Three
Months Ended
|
|||||||
March
31,
|
|||||||
(Dollars
in thousands)
|
2009
|
2008
|
|||||
Cash
flows from operating activities:
|
|||||||
Net
income
|
$ | 2,629 | $ | 1,658 | |||
Adjustments
to reconcile net income to net cash provided by (used in) operating
activities:
|
|||||||
Provision
for loan and lease losses
|
26,750 | 34,272 | |||||
Depreciation
and amortization
|
2,090 | 1,864 | |||||
Gain
on sale of premises and equiptment
|
(3,612 | ) | - | ||||
Write
down of assets
|
435 | - | |||||
Foreclosed
asset expense
|
135 | 2,590 | |||||
Amortization
and impairment of other intangible assets
|
1,421 | 1,169 | |||||
Net
amortization of investment securities
|
674 | 462 | |||||
Share-based
compensation
|
(437 | ) | 612 | ||||
Net
loss on investment securities
|
150 | - | |||||
Deferred
income tax expense
|
3,412 | 6,776 | |||||
Net
gain on sales of residential loans
|
(4,009 | ) | (1,798 | ) | |||
Ineffective
portion of derivatives
|
184 | - | |||||
Proceeds
from sales of loans held for sale
|
542,074 | 353,790 | |||||
Originations
of loans held for sale
|
(561,013 | ) | (352,083 | ) | |||
Tax
benefits from share-based compensation
|
- | (40 | ) | ||||
Equity
in earnings of unconsolidated subsidiaries
|
(274 | ) | (283 | ) | |||
Increase
in cash surrender value of bank-owned life insurance
|
(1,066 | ) | (1,870 | ) | |||
Increase
in income tax receivable
|
(5,328 | ) | (9,419 | ) | |||
Net
change in other assets and liabilities
|
(7,105 | ) | (11,445 | ) | |||
Net
cash provided by (used in) operating activities
|
(2,890 | ) | 26,255 | ||||
Cash
flows from investing activities:
|
|||||||
Proceeds
from maturities of and calls on investment securities available for
sale
|
59,080 | 201,684 | |||||
Proceeds
from sales of investment securities available for sale
|
2,135 | - | |||||
Purchases
of investment securities available for sale
|
(245,902 | ) | (213,065 | ) | |||
Proceeds
from maturities of and calls on investment securities held to
maturity
|
1,162 | 19,187 | |||||
Net
loan originations
|
66,693 | (151,089 | ) | ||||
Proceeds
from sales of loans originated for investment
|
98,444 | - | |||||
Proceeds
from sale of other real estate
|
201 | - | |||||
Proceeds
from bank-owned life insurance
|
- | 843 | |||||
Proceeds
from sale of premises and equipment
|
7,207 | - | |||||
Purchases
of premises and equipment
|
(2,454 | ) | (2,527 | ) | |||
Distributions
from unconsolidated subsidiaries
|
553 | 620 | |||||
Net
cash used in investing activities
|
(12,881 | ) | (144,347 | ) | |||
Cash
flows from financing activities:
|
|||||||
Net
increase (decrease) in deposits
|
91,007 | (222,698 | ) | ||||
Proceeds
from long-term debt
|
- | 30,000 | |||||
Repayments
of long-term debt
|
(25,268 | ) | (30,365 | ) | |||
Net
increase (decrease) in short-term borrowings
|
(195,976 | ) | 352,375 | ||||
Cash
dividends paid on common stock
|
- | (7,190 | ) | ||||
Cash
dividends paid on preferred stock
|
(675 | ) | - | ||||
Tax
benefits from share-based compensation
|
- | 40 | |||||
Repurchases
of common stock
|
- | (1,825 | ) | ||||
Net
proceeds from issuance of common stock and stock option
exercises
|
50 | 194 | |||||
Net
proceeds from issuance of preferred stock and warrants
|
134,257 | - | |||||
Net
cash provided by financing activities
|
3,395 | 120,531 | |||||
Net
increase (decrease) in cash and cash equivalents
|
(12,376 | ) | 2,439 | ||||
Cash
and cash equivalents at beginning of period
|
107,745 | 82,129 | |||||
Cash
and cash equivalents at end of period
|
$ | 95,369 | $ | 84,568 | |||
Supplemental
disclosure of cash flow information:
|
|||||||
Cash
paid during the period for:
|
|||||||
Interest
|
$ | 20,681 | $ | 31,190 | |||
Income
taxes
|
1,531 | 1,315 | |||||
Cash
received during the period for:
|
|||||||
Income
taxes
|
192 | - | |||||
Supplemental
disclosure of noncash investing and financing activities:
|
|||||||
Net
change in common stock held by directors' deferred compensation
plan
|
$ | 23 | $ | 20 | |||
Net
reclassification of loans to other real estate
|
5,539 | 2,000 | |||||
Net
transfer of loans to loans held for sale
|
- | 60,080 | |||||
Securitization
of residential mortgage loans into available for sale mortgage backed
securities
|
15,823 | - | |||||
Dividends
accrued on preferred stock
|
863 | - | |||||
Accretion
of preferred stock discount
|
329 | - | |||||
See
accompanying notes to consolidated financial statements.
|
·
|
FSP
FAS 157-2 – FASB Staff Position FAS No. 157-2, “Effective Date of
FASB Statement No. 157,”
|
·
|
FSP
FAS 142-3 - FASB Staff Position FAS No. 142-3, “Determination of the
Useful Life of Intangible Assets,”
|
·
|
SFAS
141(R) – Statement of Financial Accounting Standards No. 141(R),
“Business Combinations,”
|
·
|
SFAS
160 – Statement of Financial Accounting Standards No. 160,
“Noncontrolling Interests in Consolidated Financial Statements—an
amendment of ARB No. 51,”
|
·
|
SFAS
161 – Statement of Financial Accounting Standards No. 161,
“Disclosures about Derivative Instruments and Hedging Activities - an
amendment of FASB Statement 133,”
and
|
·
|
FSP
EITF 03-6-1 – FASB Staff Position EITF No. 03-6-1, “Determining Whether
Instruments Granted in Share-Based Payment Transactions Are Participating
Securities.”
|
Gross
|
Gross
|
Estimated
|
||||||||||||
Amortized
|
unrealized
|
unrealized
|
fair
|
|||||||||||
cost
|
gains
|
losses
|
value
|
|||||||||||
(Dollars
in thousands)
|
||||||||||||||
March
31, 2009
|
||||||||||||||
Held to Maturity
|
||||||||||||||
States
and political subdivisions
|
$ | 1,420 | $ | 9 | $ | - | $ | 1,429 | ||||||
U.S.
Government sponsored entities mortgage-backed securities
|
6,103 | 90 | - | 6,193 | ||||||||||
Total
|
$ | 7,523 | $ | 99 | $ | - | $ | 7,622 | ||||||
Available for Sale
|
||||||||||||||
U.S.
Government sponsored entities debt securities
|
$ | 148,539 | $ | 1,715 | $ | (68 | ) | $ | 150,186 | |||||
States
and political subdivisions
|
122,572 | 1,438 | (1,070 | ) | 122,940 | |||||||||
U.S.
Government sponsored entities mortgage-backed securities
|
561,201 | 10,293 | (2,630 | ) | 568,864 | |||||||||
Privately-issued
mortgage-backed securities
|
107,120 | - | (16,640 | ) | 90,480 | |||||||||
Other
|
957 | - | (212 | ) | 745 | |||||||||
Total
|
$ | 940,389 | $ | 13,446 | $ | (20,620 | ) | $ | 933,215 | |||||
December
31, 2008
|
||||||||||||||
Held to Maturity
|
||||||||||||||
States
and political subdivisions
|
$ | 1,984 | $ | 8 | $ | - | $ | 1,992 | ||||||
U.S.
Government sponsored entities mortgage-backed securities
|
6,713 | 68 | (14 | ) | 6,767 | |||||||||
Total
|
$ | 8,697 | $ | 76 | $ | (14 | ) | $ | 8,759 | |||||
Available for Sale
|
||||||||||||||
U.S.
Government sponsored entities debt securities
|
$ | 98,819 | $ | 1,335 | $ | (225 | ) | $ | 99,929 | |||||
States
and political subdivisions
|
126,427 | 1,003 | (3,040 | ) | 124,390 | |||||||||
U.S.
Government sponsored entities mortgage-backed securities
|
403,031 | 8,615 | (338 | ) | 411,308 | |||||||||
Privately-issued
mortgage-backed securities
|
111,308 | - | (5,217 | ) | 106,091 | |||||||||
Other
|
1,106 | - | (224 | ) | 882 | |||||||||
Total
|
$ | 740,691 | $ | 10,953 | $ | (9,044 | ) | $ | 742,600 |
March
31, 2009
|
||||||
Amortized
|
Estimated
|
|||||
cost
|
fair
value
|
|||||
(Dollars
in thousands)
|
||||||
Held
to Maturity
|
||||||
Due
in one year or less
|
$ | 920 | $ | 923 | ||
Due
after one year through five years
|
500 | 506 | ||||
Mortgage-backed
securities
|
6,103 | 6,193 | ||||
Total
|
$ | 7,523 | $ | 7,622 | ||
Available
for Sale
|
||||||
Due
in one year or less
|
$ | 3,768 | $ | 3,786 | ||
Due
after one year through five years
|
118,930 | 120,117 | ||||
Due
after five years through ten years
|
107,200 | 108,546 | ||||
Due
after ten years
|
41,213 | 40,677 | ||||
Mortgage-backed
securities
|
668,321 | 659,344 | ||||
Other
|
957 | 745 | ||||
Total
|
$ | 940,389 | $ | 933,215 |
Less
than 12 months
|
12
months or longer
|
Total
|
|||||||||||||||||||||
Fair
|
Unrealized
|
Fair
|
Unrealized
|
Fair
|
Unrealized
|
||||||||||||||||||
Description of Securities
|
Value
|
Losses
|
Value
|
Losses
|
Value
|
Losses
|
|||||||||||||||||
(Dollars
in thousands)
|
|||||||||||||||||||||||
At March 31, 2009:
|
|||||||||||||||||||||||
U.S.
Government sponsored entities
|
|||||||||||||||||||||||
debt
securities
|
$ | 34,860 | $ | (68 | ) | $ | - | $ | - | $ | 34,860 | $ | (68 | ) | |||||||||
States
and political subdivisions
|
31,192 | (910 | ) | 3,058 | (160 | ) | 34,250 | (1,070 | ) | ||||||||||||||
U.S.
Government sponsored entities
|
|||||||||||||||||||||||
mortgage-backed
securities
|
181,314 | (2,528 | ) | 7,069 | (102 | ) | 188,383 | (2,630 | ) | ||||||||||||||
Privately
issued mortgage backed-securities
|
7,636 | (430 | ) | 82,844 | (16,210 | ) | 90,480 | (16,640 | ) | ||||||||||||||
Other
|
745 | (212 | ) | - | - | 745 | (212 | ) | |||||||||||||||
Total
temporarily impaired securities
|
$ | 255,747 | $ | (4,148 | ) | $ | 92,971 | $ | (16,472 | ) | $ | 348,718 | $ | (20,620 | ) | ||||||||
At December 31, 2008:
|
|||||||||||||||||||||||
U.S.
Government sponsored entities
|
|||||||||||||||||||||||
debt
securities
|
$ | 9,969 | $ | (31 | ) | $ | 13,598 | $ | (194 | ) | $ | 23,567 | $ | (225 | ) | ||||||||
States
and political subdivisions
|
44,933 | (3,021 | ) | 536 | (19 | ) | 45,469 | (3,040 | ) | ||||||||||||||
U.S.
Government sponsored entities
|
|||||||||||||||||||||||
mortgage-backed
securities
|
7,525 | (30 | ) | 18,956 | (322 | ) | 26,481 | (352 | ) | ||||||||||||||
Privately
issued mortgage backed-securities
|
53,388 | (3,343 | ) | 52,703 | (1,874 | ) | 106,091 | (5,217 | ) | ||||||||||||||
Other
|
882 | (224 | ) | - | - | 882 | (224 | ) | |||||||||||||||
Total
temporarily impaired securities
|
$ | 116,697 | $ | (6,649 | ) | $ | 85,793 | $ | (2,409 | ) | $ | 202,490 | $ | (9,058 | ) |
March
31,
|
December
31,
|
||||||
2009
|
2008
|
||||||
(Dollars
in thousands)
|
|||||||
Commercial,
financial and agricultural
|
$ | 341,273 | $ | 384,473 | |||
Real
estate:
|
|||||||
Construction
|
1,113,204 | 1,127,162 | |||||
Mortgage
- residential
|
950,562 | 1,073,039 | |||||
Mortgage
- commercial
|
1,199,092 | 1,215,857 | |||||
Consumer
|
167,727 | 180,131 | |||||
Leases
|
54,363 | 58,411 | |||||
3,826,221 | 4,039,073 | ||||||
Unearned
income
|
(7,321 | ) | (8,807 | ) | |||
Total
loans and leases
|
$ | 3,818,900 | $ | 4,030,266 |
Three
Months Ended
|
|||||||
March
31,
|
|||||||
2009
|
2008
|
||||||
(Dollars
in thousands)
|
|||||||
Balance,
beginning of period
|
$ | 119,878 | $ | 92,049 | |||
Provision
for loan and lease losses
|
26,750 | 34,272 | |||||
146,628 | 126,321 | ||||||
Charge-offs
|
(24,815 | ) | (54,810 | ) | |||
Recoveries
|
473 | 597 | |||||
Net
charge-offs
|
(24,342 | ) | (54,213 | ) | |||
Balance,
end of period
|
$ | 122,286 | $ | 72,108 |
Core
|
Mortgage
|
||||||||||||||||||
Deposit
|
Servicing
|
Customer
|
Non-Compete
|
||||||||||||||||
Premium
|
Rights
|
Relationships
|
Agreements
|
Total
|
|||||||||||||||
(Dollars
in thousands)
|
|||||||||||||||||||
Balance,
beginning of period
|
$ | 26,076 | $ | 12,107 | $ | 1,330 | $ | 270 | $ | 39,783 | |||||||||
Additions
|
- | 4,760 | - | - | 4,760 | ||||||||||||||
Amortization
|
(669 | ) | (702 | ) | (35 | ) | (15 | ) | (1,421 | ) | |||||||||
Balance,
end of period
|
$ | 25,407 | $ | 16,165 | $ | 1,295 | $ | 255 | $ | 43,122 |
March
31, 2009
|
December
31, 2008
|
|||||||||||||||||||||
Gross
|
Gross
|
|||||||||||||||||||||
Carrying
|
Accumulated
|
Carrying
|
Accumulated
|
|||||||||||||||||||
Value
|
Amortization
|
Net
|
Value
|
Amortization
|
Net
|
|||||||||||||||||
(Dollars
in thousands)
|
||||||||||||||||||||||
Core
deposit premium
|
$ | 44,642 | $ | (19,235 | ) | $ | 25,407 | $ | 44,642 | $ | (18,566 | ) | $ | 26,076 | ||||||||
Mortgage
servicing rights
|
28,387 | (12,222 | ) | 16,165 | 23,627 | (11,520 | ) | 12,107 | ||||||||||||||
Customer
relationships
|
1,400 | (105 | ) | 1,295 | 1,400 | (70 | ) | 1,330 | ||||||||||||||
Non-compete
agreements
|
300 | (45 | ) | 255 | 300 | (30 | ) | 270 | ||||||||||||||
$ | 74,729 | $ | (31,607 | ) | $ | 43,122 | $ | 69,969 | $ | (30,186 | ) | $ | 39,783 |
Estimated
Amortization Expense
|
||||||||||||||||||
Mortgage
|
||||||||||||||||||
Core
Deposit
|
Servicing
|
Customer
|
Non-Compete
|
|||||||||||||||
Premium
|
Rights
|
Relationships
|
Agreements
|
Total
|
||||||||||||||
(Dollars
in thousands)
|
||||||||||||||||||
2009
(remainder)
|
$ | 2,006 | $ | 2,164 | $ | 105 | $ | 45 | $ | 4,320 | ||||||||
2010
|
2,674 | 2,795 | 140 | 60 | 5,669 | |||||||||||||
2011
|
2,674 | 2,306 | 140 | 60 | 5,180 | |||||||||||||
2012
|
2,674 | 1,924 | 140 | 60 | 4,798 | |||||||||||||
2013
|
2,674 | 1,606 | 140 | 30 | 4,450 | |||||||||||||
2014
|
2,674 | 1,334 | 140 | - | 4,148 | |||||||||||||
Thereafter
|
10,031 | 4,036 | 490 | - | 14,557 | |||||||||||||
$ | 25,407 | $ | 16,165 | $ | 1,295 | $ | 255 | $ | 43,122 |
Asset
Derivatives
|
Liability
Derivatives
|
||||||||||||||||
Derivatives
designated as hedging instruments under SFAS 133
|
Balance
Sheet
Location
|
Fair
Value at March 31, 2009
|
Fair
Value at December 31, 2008
|
Fair
Value at March 31, 2009
|
Fair
Value at December 31, 2008
|
||||||||||||
(Dollars
in thousands)
|
|||||||||||||||||
Interest
rate contracts
|
Other
assets
|
$ | 28,770 | $ | 26,903 | $ | - | $ | - | ||||||||
Derivatives
not designated as hedging instruments under SFAS 133
|
|||||||||||||||||
Interest
rate contracts
|
Other
assets /
|
$ | 1,703 | $ | 3,815 | $ | 897 | $ | 1,314 | ||||||||
other
liabilities
|
|||||||||||||||||
Total
derivatives
|
$ | 30,473 | $ | 30,718 | $ | 897 | $ | 1,314 |
Three
Months Ended March 31, 2009
|
||||||||||||
Derivatives
in SFAS 133 Cash Flow Hedging Relationship
|
Amount
of Gain (Loss) Recognized in AOCI on Derivative (Effective
Portion)
|
Amount
of Gain (Loss) Reclassified from AOCI into Income (Effective
Portion)
|
Amount
of Gain (Loss) Recognized in Income on Derivative (Ineffective
Portion)
|
|||||||||
(Dollars
in thousands)
|
||||||||||||
Interest
rate contracts
|
$ | 16,093 | $ | 2,000 | $ | (184 | ) |
Three
Months Ended March 31, 2009
|
||||||
Derivatives
not in SFAS 133 Cash
Flow
Hedging Relationship
|
Location
of Gain (Loss) Recognized in Income on Derivatives
|
Amount
of Gain (Loss) Recognized in Income on Derivatives
|
||||
(Dollars
in thousands)
|
||||||
Interest
rate contracts
|
Other
operating income
|
$ | (1,694 | ) |
Weighted
Average
|
|||||
Shares
|
Exercise
Price
|
||||
Outstanding
at January 1, 2009
|
902,398 | $ | 26.48 | ||
Changes
during the period:
|
|||||
Granted
|
139,061 | 3.95 | |||
Expired
|
(3,648 | ) | 36.15 | ||
Forfeited
|
(750 | ) | 18.88 | ||
Outstanding
at March 31, 2009
|
1,037,061 | 23.43 |
Three
Months Ended
|
|||||||
March
31,
|
|||||||
2009
|
2008
|
||||||
Expected
volatility
|
54.6 | % | 32.0 | % | |||
Risk
free interest rate
|
2.5 | % | 2.8 | % | |||
Expected
dividends
|
0.8 | % | 5.3 | % | |||
Expected
life (in years)
|
5.5 | 6.5 | |||||
Weighted
average fair value
|
$ | 1.85 | $ | 3.50 |
Weighted
Average
|
|||||
Grant
Date
|
|||||
Shares
|
Fair
Value
|
||||
Nonvested
at January 1, 2009
|
33,620 | $ | 34.23 | ||
Changes
during the period:
|
|||||
Vested
|
(3,000 | ) | 35.10 | ||
Nonvested
at March 31, 2009
|
30,620 | 34.15 |
Weighted
Average
|
|||||
Shares
|
Exercise
Price
|
||||
Outstanding
at January 1, 2009
|
237,935 | $ | 20.74 | ||
Changes
during the period:
|
|||||
Vested
|
(22,147 | ) | 35.17 | ||
Outstanding
at March 31, 2009
|
215,788 | 19.26 |
March
31,
|
December
31,
|
||||||
2009
|
2008
|
||||||
(Dollars
in thousands)
|
|||||||
Unrealized
holding gains (losses) on available-for-sale investment
securities
|
$ | (7,174 | ) | $ | 1,909 | ||
Unrealized
holding gains on derivatives
|
26,857 | 24,806 | |||||
Pension
adjustments
|
(20,517 | ) | (21,058 | ) | |||
Tax
effect
|
334 | (2,267 | ) | ||||
Accumulated
other comprehensive income (loss), net of tax
|
$ | (500 | ) | $ | 3,390 |
Three
Months Ended
|
||||||
March
31,
|
||||||
2009
|
2008
|
|||||
(Dollars
in thousands)
|
||||||
Net
income
|
$ | 2,629 | $ | 1,658 | ||
Unrealized
gain (loss) on investment securities, net of taxes
|
(5,443 | ) | 3,945 | |||
Unrealized
gain on derivatives, net of taxes
|
1,230 | 2,735 | ||||
Pension
adjustments, net of taxes
|
323 | 111 | ||||
Comprehensive
income (loss)
|
$ | (1,261 | ) | $ | 8,449 |
Three
Months Ended
|
|||||||
March
31,
|
|||||||
2009
|
2008
|
||||||
(Dollars
in thousands)
|
|||||||
Interest
cost
|
$ | 450 | $ | 451 | |||
Expected
return on assets
|
(350 | ) | (574 | ) | |||
Amortization
of unrecognized loss
|
525 | 186 | |||||
Net
periodic cost
|
$ | 625 | $ | 63 |
Three
Months Ended
|
|||||||
March
31,
|
|||||||
2009
|
2008
|
||||||
(Dollars
in thousands)
|
|||||||
Service
cost
|
$ | 26 | $ | 75 | |||
Interest
cost
|
116 | 138 | |||||
Amortization
of unrecognized transition obligation
|
9 | 5 | |||||
Amortization
of prior service cost
|
5 | 5 | |||||
Amortization
of unrecognized (gain) loss
|
1 | (8 | ) | ||||
Net
periodic cost
|
$ | 157 | $ | 215 |
Three
Months Ended
|
||||||
March
31,
|
||||||
(In
thousands, except per share data)
|
2009
|
2008
|
||||
Net
income
|
$ | 2,629 | $ | 1,658 | ||
Preferred
stock dividends and accretion
|
1,867 | - | ||||
Net
income available to common shareholders
|
$ | 762 | $ | 1,658 | ||
Weighted
average shares outstanding - basic
|
28,681 | 28,686 | ||||
Dilutive
effect of employee stock options and awards
|
11 | 115 | ||||
Weighted
average shares outstanding - diluted
|
28,692 | 28,801 | ||||
Basic
earnings per share
|
$ | 0.03 | $ | 0.06 | ||
Diluted
earnings per share
|
$ | 0.03 | $ | 0.06 |
·
|
Level
1 – Valuation is based upon quoted prices (unadjusted) for identical
assets or liabilities traded in active markets. A quoted price in an
active market provides the most reliable evidence of fair value and shall
be used to measure fair value whenever
available.
|
·
|
Level
2 – Valuation is based upon quoted prices for similar instruments in
active markets, quoted prices for identical or similar instruments in
markets that are not active, and model-based valuation techniques for
which all significant assumptions are observable in the
market.
|
·
|
Level
3 – Valuation is generated from model-based techniques that use
significant assumptions not observable in the market. These unobservable
assumptions reflect our own estimates of assumptions that market
participants would use in pricing the asset or liability. Valuation
techniques include use of discounted cash flow models and similar
techniques that requires the use of significant judgment or
estimation.
|
Level
1
|
Level
2
|
Level
3
|
Total
|
|||||||||||
(Dollars
in thousands)
|
||||||||||||||
March
31, 2009
|
||||||||||||||
Available
for sale securities
|
$ | 745 | $ | 827,884 | $ | 14,106 | $ | 842,735 | ||||||
Available
for sale privately-issued
|
||||||||||||||
mortgage-backed
securities
|
- | - | 90,480 | 90,480 | ||||||||||
Net
derivatives
|
- | 29,576 | - | 29,576 | ||||||||||
Total
|
$ | 745 | $ | 857,460 | $ | 104,586 | $ | 962,791 | ||||||
December
31, 2008
|
||||||||||||||
Available
for sale securities
|
$ | 882 | $ | 621,383 | $ | 14,244 | $ | 636,509 | ||||||
Available
for sale privately-issued
|
||||||||||||||
mortgage-backed
securities
|
- | - | 106,091 | 106,091 | ||||||||||
Net
derivatives
|
- | 29,403 | - | 29,403 | ||||||||||
Total
|
$ | 882 | $ | 650,786 | $ | 120,335 | $ | 772,003 |
Available
for sale securities
|
Available
for sale privately-issued mortgage-backed securities (1)
|
||||||
(Dollars
in thousands)
|
|||||||
Balance
at January 1, 2009
|
$ | 14,244 | $ | 106,091 | |||
Principal
payments received
|
(138 | ) | (4,188 | ) | |||
Unrealized
net losses included in other comprehensive income
|
- | (11,423 | ) | ||||
Balance
at March 31, 2009
|
$ | 14,106 | $ | 90,480 | |||
Balance
at January 1, 2008
|
$ | 14,821 | $ | - | |||
Principal
payments received
|
(146 | ) | - | ||||
Balance
at March 31, 2008
|
$ | 14,675 | $ | - | |||
(1) Represents
available for sale privately-issued mortgage-backed securities previously
classified as Level 2
|
|||||||
for which the market became inactive during 2008; therefore the fair value
measurement was derived
|
|||||||
from discounted cash flow models using unobservable inputs and
assumptions.
|
Level
1
|
Level
2
|
Level
3
|
Total
|
|||||||||||
(Dollars
in thousands)
|
||||||||||||||
March
31, 2009
|
||||||||||||||
Loans
held for sale (1)
|
$ | - | $ | 4,616 | $ | - | $ | 4,616 | ||||||
Impaired
loans (1)
|
- | 153,382 | - | 153,382 | ||||||||||
December
31, 2008
|
||||||||||||||
Loans
held for sale (1)
|
$ | - | $ | 10,450 | $ | - | $ | 10,450 | ||||||
Impaired
loans (1)
|
- | 153,909 | - | 153,909 | ||||||||||
Mortgage
servicing rights (2)
|
- | - | 12,107 | 12,107 | ||||||||||
(1)
Represents carrying value and related write-downs of loans for which
adjustments are based on
|
||||||||||||||
agreed upon purchase prices for the loans or the appraised value of the
collateral.
|
||||||||||||||
(2)
Represents fair market value of mortgage servicing rights, net of an
impairment charge of $3.4
million.
|
Commercial
|
Hawaii
|
||||||||||||||||||
Real
Estate
|
Market
|
Treasury
|
All
Others
|
Total
|
|||||||||||||||
(Dollars
in thousands)
|
|||||||||||||||||||
Three
months ended March 31, 2009:
|
|||||||||||||||||||
Net
interest income
|
$ | 24,932 | $ | 17,455 | $ | 4,086 | $ | - | $ | 46,473 | |||||||||
Intersegment
net interest income (expense)
|
(13,797 | ) | 12,850 | (1,553 | ) | 2,500 | - | ||||||||||||
Provision
for loan and lease losses
|
(24,000 | ) | (2,750 | ) | - | - | (26,750 | ) | |||||||||||
Other
operating income
|
181 | 10,408 | 1,277 | 3,818 | 15,684 | ||||||||||||||
Other
operating expense
|
(5,222 | ) | (20,222 | ) | (803 | ) | (11,451 | ) | (37,698 | ) | |||||||||
Administrative
and overhead expense allocation
|
(1,197 | ) | (8,589 | ) | (92 | ) | 9,878 | - | |||||||||||
Income
taxes
|
6,747 | 134 | (681 | ) | (1,280 | ) | 4,920 | ||||||||||||
Net
income (loss)
|
$ | (12,356 | ) | $ | 9,286 | $ | 2,234 | $ | 3,465 | $ | 2,629 | ||||||||
Three
months ended March 31, 2008:
|
|||||||||||||||||||
Net
interest income
|
$ | 37,045 | $ | 17,111 | $ | (3,299 | ) | $ | - | $ | 50,857 | ||||||||
Intersegment
net interest income (expense)
|
(24,463 | ) | 18,398 | 2,126 | 3,939 | - | |||||||||||||
Provision
for loan and lease losses
|
(33,300 | ) | (972 | ) | - | - | (34,272 | ) | |||||||||||
Other
operating income
|
58 | 10,958 | 2,979 | 284 | 14,279 | ||||||||||||||
Other
operating expense
|
(5,274 | ) | (17,499 | ) | (609 | ) | (8,078 | ) | (31,460 | ) | |||||||||
Administrative
and overhead expense allocation
|
2,683 | (9,528 | ) | (91 | ) | 6,936 | - | ||||||||||||
Income
taxes
|
8,138 | (5,174 | ) | 9 | (719 | ) | 2,254 | ||||||||||||
Net
income (loss)
|
$ | (15,113 | ) | $ | 13,294 | $ | 1,115 | $ | 2,362 | $ | 1,658 | ||||||||
At
March 31, 2009:
|
|||||||||||||||||||
Investment
securities
|
$ | - | $ | - | $ | 940,738 | $ | - | $ | 940,738 | |||||||||
Loans
and leases (including loans held for sale)
|
2,018,152 | 1,863,804 | - | - | 3,881,956 | ||||||||||||||
Other
|
2,828 | 217,229 | 290,849 | 97,959 | 608,865 | ||||||||||||||
Total
assets
|
$ | 2,020,980 | $ | 2,081,033 | $ | 1,231,587 | $ | 97,959 | $ | 5,431,559 | |||||||||
At
December 31, 2008:
|
|||||||||||||||||||
Investment
securities
|
$ | - | $ | - | $ | 751,297 | $ | - | $ | 751,297 | |||||||||
Loans
and leases (including loans held for sale)
|
2,083,543 | 1,986,831 | - | - | 4,070,374 | ||||||||||||||
Other
|
(7,136 | ) | 217,146 | 300,810 | 99,870 | 610,690 | |||||||||||||
Total
assets
|
$ | 2,076,407 | $ | 2,203,977 | $ | 1,052,107 | $ | 99,870 | $ | 5,432,361 |
Three
Months Ended
|
|||||||
March
31,
|
|||||||
2009
|
2008
|
||||||
Return
on average assets
|
0.19 | % | 0.12 | % | |||
Return
on average shareholders' equity
|
1.67 | % | 0.94 | % | |||
Return
on average tangible equity
|
2.35 | % | 1.54 | % | |||
Basic
earnings per common share
|
$ | 0.03 | $ | 0.06 | |||
Diluted
earnings per common share
|
$ | 0.03 | $ | 0.06 |
Three
Months Ended
|
Three
Months Ended
|
|||||||||||||||||||||
March
31, 2009
|
March
31, 2008
|
|||||||||||||||||||||
Average
|
Average
|
Amount
|
Average
|
Average
|
Amount
|
|||||||||||||||||
(Dollars
in thousands)
|
Balance
|
Yield/Rate
|
of
Interest
|
Balance
|
Yield/Rate
|
of
Interest
|
||||||||||||||||
Assets
|
||||||||||||||||||||||
Interest
earning assets:
|
||||||||||||||||||||||
Interest-bearing
deposits in other banks
|
$ | 4,097 | 0.01 | % |
|
$ | - | $ | 495 | 3.17 | % |
|
$ | 4 | ||||||||
Federal
funds sold & securities purchased
|
||||||||||||||||||||||
under
agreements to resell
|
379 | 0.27 | - | 2,641 | 3.20 | 21 | ||||||||||||||||
Taxable
investment securities (1)
|
771,287 | 4.53 | 8,732 | 739,033 | 5.03 | 9,295 | ||||||||||||||||
Tax-exempt
investment securities (1)
|
123,213 | 5.85 | 1,801 | 152,316 | 5.61 | 2,137 | ||||||||||||||||
Loans
and leases, net of unearned income (2)
|
4,015,766 | 5.69 | 56,505 | 4,247,369 | 6.65 | 70,294 | ||||||||||||||||
Federal
Home Loan Bank stock
|
48,797 | - | - | 48,797 | 1.00 | 122 | ||||||||||||||||
Total
interest earning assets
|
4,963,539 | 5.45 | 67,038 | 5,190,651 | 6.33 | 81,873 | ||||||||||||||||
Nonearning
assets
|
514,892 | 557,802 | ||||||||||||||||||||
Total
assets
|
$ | 5,478,431 | $ | 5,748,453 | ||||||||||||||||||
Liabilities
and Shareholders' Equity
|
||||||||||||||||||||||
Interest-bearing
liabilities:
|
||||||||||||||||||||||
Interest-bearing
demand deposits
|
$ | 498,548 | 0.26 | % |
|
$ | 321 | $ | 451,058 | 0.12 | % |
|
$ | 137 | ||||||||
Savings
and money market deposits
|
1,186,909 | 0.98 | 2,863 | 1,141,285 | 1.33 | 3,785 | ||||||||||||||||
Time
deposits under $100,000
|
710,933 | 2.84 | 4,980 | 532,517 | 3.38 | 4,481 | ||||||||||||||||
Time
deposits $100,000 and over
|
937,563 | 2.13 | 4,914 | 1,105,154 | 3.73 | 10,248 | ||||||||||||||||
Short-term
borrowings
|
198,558 | 0.49 | 238 | 229,455 | 3.37 | 1,923 | ||||||||||||||||
Long-term
debt
|
632,933 | 4.24 | 6,619 | 920,006 | 4.24 | 9,694 | ||||||||||||||||
Total
interest-bearing liabilities
|
4,165,444 | 1.94 | 19,935 | 4,379,475 | 2.78 | 30,268 | ||||||||||||||||
Noninterest-bearing
deposits
|
585,731 | 599,047 | ||||||||||||||||||||
Other
liabilities
|
99,222 | 66,656 | ||||||||||||||||||||
Shareholders'
equity
|
628,034 | 703,275 | ||||||||||||||||||||
Total
liabilities and shareholders' equity
|
$ | 5,478,431 | $ | 5,748,453 | ||||||||||||||||||
Net
interest income
|
$ | 47,103 | $ | 51,605 | ||||||||||||||||||
Net
interest margin
|
3.82 | % | 3.99 | % | ||||||||||||||||||
(1)
At amortized cost.
|
||||||||||||||||||||||
(2)
Includes nonaccrual loans.
|
March
31,
|
December
31,
|
||||||
2009
|
2008
|
||||||
(Dollars
in thousands)
|
|||||||
Nonperforming Assets:
|
|||||||
Nonaccrual
loans (including loans held for sale):
|
|||||||
Commercial,
financial and agricultural
|
$ | 10,344 | $ | 1,426 | |||
Real
estate:
|
|||||||
Construction
|
117,331 | 119,178 | |||||
Mortgage-residential
|
9,965 | 6,162 | |||||
Mortgage-commercial
|
5,447 | 5,462 | |||||
Leases
|
265 | 335 | |||||
Total
non accrual loans
|
143,352 | 132,563 | |||||
Other
real estate
|
16,558 | 11,220 | |||||
Total
nonperforming assets
|
159,910 | 143,783 | |||||
Accruing loans delinquent for 90 days or
more:
|
|||||||
Commercial,
financial and agricultural
|
- | - | |||||
Real
estate:
|
|||||||
Construction
|
6,916 | - | |||||
Mortgage-residential
|
1,288 | 582 | |||||
Mortgage-commercial
|
11,771 | - | |||||
Consumer
|
330 | 488 | |||||
Total
accruing loans delinquent for 90 days or more
|
20,305 | 1,070 | |||||
Restructured loans still accruing
interest:
|
|||||||
Total
restructured loans still accruing interest
|
- | - | |||||
Total
nonperforming assets, accruing loans delinquent for 90
|
|||||||
days
or more and restructured loans still accruing interest
|
$ | 180,215 | $ | 144,853 | |||
Total
nonperforming assets as a percentage of loans and leases,
|
|||||||
loans
held for sale and other real estate
|
4.10 | % | 3.52 | % | |||
Total
nonperforming assets and accruing loans delinquent for 90 days or
more
|
|||||||
as
a percentage of loans and leases, loans held for sale and other real
estate
|
4.62 | % | 3.55 | % | |||
Total
nonperforming assets, accruing loans delinquent for 90 days or
more
|
|||||||
and
restructured loans still accruing interest as a percentage of
loans
|
|||||||
and
leases, loans held for sale and other real estate
|
4.62 | % | 3.55 | % |
Three
Months Ended
|
|||||||
March
31,
|
|||||||
(Dollars
in thousands)
|
2009
|
2008
|
|||||
Allowance
for loan and lease losses:
|
|||||||
Balance
at beginning of period
|
$ | 119,878 | $ | 92,049 | |||
Provision
for loan and lease losses
|
26,750 | 34,272 | |||||
Charge-offs:
|
|||||||
Commercial,
financial and agricultural
|
825 | 199 | |||||
Real
estate:
|
|||||||
Construction
|
22,614 | 53,722 | |||||
Mortgage-residential
|
362 | - | |||||
Consumer
|
1,014 | 889 | |||||
Total
charge-offs
|
24,815 | 54,810 | |||||
Recoveries:
|
|||||||
Commercial,
financial and agricultural
|
87 | 55 | |||||
Real
estate:
|
|||||||
Construction
|
52 | - | |||||
Mortgage-residential
|
19 | 52 | |||||
Mortgage-commercial
|
3 | 2 | |||||
Consumer
|
312 | 488 | |||||
Total
recoveries
|
473 | 597 | |||||
Net
charge-offs
|
24,342 | 54,213 | |||||
Balance
at end of period
|
$ | 122,286 | $ | 72,108 | |||
Annualized
ratio of net charge-offs to average
loans
|
2.42 | % | 5.11 | % |
Minimum
Required
|
|
|||||||||||||||||||||
for
Capital
|
Minimum
Required to
|
|||||||||||||||||||||
Actual
|
Adequacy
Purposes
|
be
Well Capitalized
|
||||||||||||||||||||
(Dollars
in thousands)
|
Amount
|
Ratio
|
Amount
|
Ratio
|
Amount
|
Ratio
|
||||||||||||||||
Company
|
||||||||||||||||||||||
At
March 31, 2009:
|
||||||||||||||||||||||
Leverage
capital
|
$ | 601,716 | 11.3 | % |
|
$ | 212,812 | 4.0 | % |
|
$ | 266,015 | 5.0 | % | ||||||||
Tier
1 risk-based capital
|
601,716 | 13.9 | 172,771 | 4.0 | 259,157 | 6.0 | ||||||||||||||||
Total
risk-based capital
|
656,643 | 15.2 | 345,542 | 8.0 | 431,928 | 10.0 | ||||||||||||||||
At
December 31, 2008:
|
||||||||||||||||||||||
Leverage
capital
|
$ | 466,465 | 8.8 | % |
|
$ | 211,648 | 4.0 | % |
|
$ | 264,560 | 5.0 | % | ||||||||
Tier
1 risk-based capital
|
466,465 | 10.4 | 178,693 | 4.0 | 268,040 | 6.0 | ||||||||||||||||
Total
risk-based capital
|
523,162 | 11.7 | 357,387 | 8.0 | 446,734 | 10.0 | ||||||||||||||||
Central
Pacific Bank
|
||||||||||||||||||||||
At
March 31, 2009:
|
||||||||||||||||||||||
Leverage
capital
|
$ | 588,297 | 11.1 | % |
|
$ | 211,918 | 4.0 | % |
|
$ | 264,898 | 5.0 | % | ||||||||
Tier
1 risk-based capital
|
588,297 | 13.7 | 172,281 | 4.0 | 258,422 | 6.0 | ||||||||||||||||
Total
risk-based capital
|
643,072 | 14.9 | 344,561 | 8.0 | 430,701 | 10.0 | ||||||||||||||||
At
December 31, 2008:
|
||||||||||||||||||||||
Leverage
capital
|
$ | 449,845 | 8.5 | % |
|
$ | 210,707 | 4.0 | % |
|
$ | 263,384 | 5.0 | % | ||||||||
Tier
1 risk-based capital
|
449,845 | 10.1 | 178,323 | 4.0 | 267,485 | 6.0 | ||||||||||||||||
Total
risk-based capital
|
506,427 | 11.4 | 356,646 | 8.0 | 445,808 | 10.0 |
Exhibit No.
|
Document
|
31.1
|
Rule
13a-14(a) Certification of Chief Executive Officer in accordance with
Section 302 of the Sarbanes-Oxley Act of 2002 *
|
31.2
|
Rule
13a-14(a) Certification of Chief Financial Officer in accordance with
Section 302 of the Sarbanes-Oxley Act of 2002 *
|
32.1
|
Section
1350 Certification of Chief Executive Officer in accordance with Section
906 of the Sarbanes-Oxley Act of 2002 **
|
32.2
|
Section
1350 Certification of Chief Financial Officer in accordance with Section
906 of the Sarbanes-Oxley Act of 2002
**
|
CENTRAL
PACIFIC FINANCIAL CORP.
|
|
(Registrant)
|
|
Date: May
8, 2009
|
/s/ Ronald K. Migita
|
Ronald
K. Migita
|
|
Chairman,
President & Chief Executive Officer
|
|
Date: May
8, 2009
|
/s/ Dean K. Hirata
|
Dean
K. Hirata
|
|
Vice
Chairman and Chief Financial
Officer
|
Exhibit No.
|
Description
|
31.1
|
Certification
of the Chief Executive Officer Pursuant to Section 302 of the
Sarbanes-Oxley Act of 2002
|
31.2
|
Certification
of the Principal Financial and Accounting Officer Pursuant to Section 302
of the Sarbanes-Oxley Act of 2002
|
32.1
|
Certification
of the Chief Executive Officer Pursuant to 18 U.S.C. Section 1350, as
Adopted Pursuant to Section 906 of the Sarbanes-Oxley Act of
2002
|
32.2
|
Certification
of the Principal Financial and Accounting Officer Pursuant to 18 U.S.C.
Section 1350, as Adopted Pursuant to Section 906 of the Sarbanes-Oxley Act
of 2002
|