Regulators give CPB some breathing room

The parent of Central Pacific Bank said in a regulatory filing Tuesday that the Federal Deposit Insurance Corp. and state Division of Financial Institutions have lifted a May 2011 requirement that the state’s fourth-largest bank maintain adequate capital levels, keep an adequate allowance for loans and lease losses, improve asset quality and reduce classified assets.

The requirement stemmed from a money-losing mainland loan portfolio that put the bank on the brink of failure.

In its filing, Central Pacific Financial Corp. said it received notification from the FDIC and DFI on Oct. 26.

However, the bank said in the filing that it also entered into a separate agreement with the FDIC on Oct. 9 to improve the bank’s compliance management system, including developing an effective internal monitoring program, strengthening the compliance audit function and enhancing the bank’s overdraft payment program.

Central Pacific said in the filing it believes it already has taken substantial steps to comply with the latest request.

The bank is still subject to an agreement with the Federal Reserve Bank of San Francisco and the DFI that prohibits Central Pacific from paying dividends without the regulators’ consent.

Central Pacific suspended its dividend in January 2009.

Taco Bell to offer sweets as part of menu

NEW YORK » Taco Bell wants to become a destination for snack-starved younger people, not just a place to get burritos for lunch or dinner.

The Mexican-style chain plans to announce this week an expansion of its sweet treats menu, with the addition of churros and cookie sandwiches to its lineup of cinnamon twists and caramel apple empanadas. In coming weeks, it will beef up its offering of savory snacks with the introduction of its "loaded grillers," which are nachos, chicken or loaded baked potato wrapped in a tortilla.

With the new menu additions, Taco Bell plans to launch by early next year a "Happier Hour" TV ad campaign touting its snack offerings.

The move follows a broader trend in the fast food industry, with companies trying to find new ways to attract customers at all hours of the day.

Eurozone recession to be worse, EU warns

BRUSSELS, Belgium » Europe’s economy is still reeling and unemployment could remain high for years despite the progress made in solving the debt crisis, the European Union warned Wednesday, as it downgraded next year’s forecasts for the 27-country bloc.

The European Commission, the executive arm of the EU, on Wednesday revised downward its forecast for the region’s gross domestic product, which it now expects will grow by just 0.4 percent in 2013, compared to its expectations in the spring of 1.3 percent growth.

The commission previously expected the 17 countries that use the euro to find their footing next year, with 1 percent growth. Now it predicts only a 0.1 percent uptick.

Student loans lift consumer credit $11.4B

WASHINGTON » Americans took out more student and auto loans in September to boost consumer borrowing to a record level. But they cut back on credit card borrowing, a sign many remain cautious about taking on high interest debt.

Total consumer borrowing rose $11.4 billion in September compared with August, the Federal Reserve said Wednesday. Total consumer debt outstanding, which excludes mortgages and other housing-related borrowing, stands at $2.74 trillion — the highest level on record.

The increase was driven entirely by a category that consists mostly of student and auto loans. Credit card borrowing fell $2.9 billion, the third drop in four months.

Fannie Mae earned $1.8 billion in quarter

WASHINGTON » Mortgage giant Fannie Mae earned $1.8 billion from July through September, helped by an improving housing market that has lifted home prices.

The government-controlled company said Wednesday that it paid a dividend of $2.9 billion to the U.S. Treasury and sought no additional federal aid.

It was Fannie Mae’s third profitable quarter since being taken over by the government during the 2008 financial crisis. The gain compares with a net loss of $5.1 billion in the same period last year.

Fannie Mae and Freddie Mac own or guarantee about half of all U.S. mortgages, or nearly 31 million home loans. Along with several federal agencies, they backed nearly 90 percent of new mortgages over the past year.

ON THE MOVE

Coldwell Banker Pacific Properties has announced that Gloria Brasuel, a Realtor associate, has joined the firm’s New Agent Training Office program. Before joining the company, Brasuel was managing director of business development for a corporate travel company.

Kamehameha Schools has named Kalei Ka‘ilihiwa as director of community programs for its Public Education Support division. She was previously the director of the school’s Ho‘olako Like department. She was also a program manager and statewide program implementation specialist with the Coalition for a Drug Free Hawaii.

Kaiser Permanente Hawaii has promoted Joy Barua to director of community benefit and health policy from director of community benefit for the state’s largest integrated health organization. Before joining Kaiser Permanente, Barua was an interim executive director and director of finance for Honolulu Community Action Program.