Bank of Hawaii sets aside $33.6M for loan defaults
HONOLULU — Bank of Hawaii Corp. announced it set aside $33.6 million to cover potential loan losses tied to the coronavirus pandemic. The state’s second-largest bank also suspended stock buybacks beginning in mid-March.
Bank of Hawaii’s move mirrored actions announced last week by the nation’s largest banks.
The bank temporarily closed 37 of its 68 branches in Hawaii and the West Pacific.
The bank said it processed more than 2,100 Paycheck Protection Program loans in excess of $525 million to small businesses and electronically distributed 65,000 recovery payments of $112 million.
The bank said it also made 5,200 modifications to its commercial and consumer loans, representing 9.8% of its outstanding loans.
Maui Brewing Co. being investigated for giveaway
HONOLULU — Maui Brewing Co. is under investigation by the Maui County Liquor Control Commission for giving away hand sanitizer with purchases of its beer during the COVID-19 outbreak.
The state Department of Liquor Control prohibits distributing goods in connection with alcohol sales.
“It’s considered an inducement giving away something to entice people to buy alcohol. We were giving away sanitizer with any purchase,” said Maui Brewing CEO Garrett Marrero.
“Of course we’re trying to encourage some business, but is it wrong? I’m hearing stories that people are paying $10, $20 for an 8-ounce bottle,” Marrero said. “We were doing the right thing. That’s what is really disheartening.”
The company used its Kupu Spirits distillery to produce more than 3,000 gallons of sanitizer that is 70% ethyl alcohol, which is in extremely short supply.
The investigation “is in extremely poor taste given the situation surrounding the coronavirus” because the licensed brewery and distillery can help the community by making hand sanitizer with ingredients in its facility, Marrero said.
“It was a known need,” Marrero said. “There were already shortages happening and we are in a unique position to be able to actually make the sanitizers.”
The company also donated more than 1,000 gallons of hand sanitizer to first responders and others since the start of the pandemic.
Maui Brewing ended donations of sanitizer to county and state departments, but plans to continue supporting some local charities.
Maui Mayor Mike Victorino said that despite the pandemic, rules must be followed.
“Garrett has done a great job helping us and I’m truly appreciative of everything he’s done,” Victorino said.
Department of Liquor Control Acting Director Georgette Tyau did not immediately return a call seeking comment.