Banks’ success mixed

WASHINGTON » U.S. banks are making money again, although a split picture of the industry has emerged since the financial crisis. The largest banks are thriving, mostly because they can borrow on the cheap and have rid themselves of bad debt. Yet smaller banks lack those advantages and are failing at the fastest pace in years. Overall, banks made $21.6 billion in net income in the April-to-June quarter, the Federal Deposit Insurance Corp. said.

Kona rental housing project finished

Vitus Group Inc. held a Hawaiian blessing yesterday to mark the completion of Lokahi Apartments, a 306-unit, $60 million affordable rental community in Kona.

The project, which houses more than 200 tenants, was funded through the sale of state and federal affordable housing tax credits, $33.5 million in tax-exempt bonds, an $11.75 million Rental Housing Trust Fund loan from the Hawaii Housing Finance Development Corp., and construction and permanent financing through Citibank.

Lokahi, built on approximately 10 acres on Kakahiaka Street in Lower Palisades — two miles south of Kona International Airport — features 90 studios, 108 one-bedroom and 108 two-bedroom units within 18 garden-style buildings that have solar water heating, laminate floors, granite countertops, solid wood cabinetry, and Energy Star certified appliances.

Construction begin in December 2008 and Lokahi welcomed its first residents in September 2009.

Bankoh reopens Waialae wealth site

Bank of Hawaii is reopening its private client services office in Waialae-Kahala today after a one-year hiatus for renovation.

The 2,449-square-foot office is on the second floor of the Kahala Mall Office Tower and will be staffed with nine wealth advisers and administrators.

In addition, the bank’s private client service is expanding its presence on the Windward side by assigning a wealth adviser to its Kailua branch.

The private client services division has 327 employees and $6.6 billion of assets under management.

Island Air debuts mobile phone site

Island Air, which is marking its 30th anniversary this year, has launched a mobile version of its website.

The website, www.islandair.com, automatically detects the user is on a touch-screen phone and displays the correct Web page format.

JAL to cut jobs, flights in settlement

TOKYO » Japan Airlines outlined restructuring plans yesterday that include cutting 30 percent of its global work force and additional financing to keep flying after filing for bankruptcy protection in January.

Japan Airlines Corp. submitted the plans to the Tokyo District Court, the company said in a statement. The plans, in the works over recent months, also include selling off subsidiaries and dropping unprofitable domestic and international routes.

JAL announced in April it was eliminating its daily route between Narita International Airport and Kona on Oct. 29 but will be adding a daily flight between Honolulu and Haneda International Airport on Oct. 31.

Japan Airlines spokesmen in Hawaii said there will be no layoffs locally, and no routes will be affected from what was previously announced.

The announcement culminates years of difficulty for Japan’s flagship carrier, battered by safety lapses, ballooning pension payments and the need to streamline its flight routes amid intensifying global competition.

The plan is being orchestrated as a government-backed bailout, under a group called the Enterprise Turnaround Initiative Corp. of Japan.

Some 16,000 jobs will be cut, although the job reductions will be partly the result of selling off subsidiaries, according to JAL.

The plan also features a $6.2 billion debt waiver mainly from financial institutions and a $4.2 billion investment in JAL by ETIC, Kyodo News said.

On the Move

Coldwell Banker Pacific Properties has hired James M.K. Stone Jr. as manager for risk management. He has 21 years of legal experience, including being a partner and senior litigator with the law firm of Pitluck, Kido, Stone and Aipa as well as deputy prosecuting attorney for the City and County of Honolulu’s Organized Crime Special Prosecution Unit.

Chelsea Group has hired Lawrence Scott as its regional technical manager for Hawaii. He has more than 28 years of experience in energy savings, water treatment, heating, ventilation, air conditioning and project management, including being a principal for A/C Project Management.

The Harry and Jeanette Weinberg Foundation has awarded Housing Solutions Inc. the final check of a $3 million grant for Sea Winds Apartments. The grant will provide affordable and transitional housing for more than 100 people by opening the Sea Wind Apartments in Waianae in 2010.