“While 2011 posed challenges from a real estate sales perspective, we continue to actively build our pipeline of development projects to ensure that we are well positioned for market recovery. For instance, at Waihonua, our 340-unit condominium project ideally situated near the Ala Moana Shopping Center, non-binding pre-sales commenced in December. While still in an early stage, we are pleased by the market’s initial response. Recently, we announced two transactions that reflect our strategy of increasing our Hawaii development focus—the acquisition of a retail development site within the Gateway at Mililani Mauka Shopping Center complex in Central Oahu, and the option to purchase a site in urban Honolulu, zoned for a high-rise condominium,” added Kuriyama.
“Progress continues to be made toward our previously announced plan to separate our transportation and real estate/agricultural businesses in the second half of 2012. We remain excited about each new business’ ability to grow and create shareholder value as independent, publicly traded companies,” said Kuriyama.
Ocean Transportation adjusted operating profit was $14.0 million in the quarter 2, and operating profit was $13.0 million. These results compare to fourth quarter 2010 operating profit of $28.8 million. Improved performance in Guam was more than offset by significantly lower results from CLX1 due to lower Transpacific freight rates and higher operating costs, and the impact on Hawaii container volume of one less week recorded in the quarter compared to last year. A $0.6 million operating loss for Matson Logistics in the fourth quarter was due in part to lower highway volume, lower demand at our West Coast warehouse facilities, and lower international intermodal volume due to the discontinuation of CLX2.Agribusiness operating profit was $7.3 million, 59 percent higher in the quarter compared to the fourth quarter of 2010. Improved quarter results were driven primarily by higher power sales, and sugar and molasses margins, offset by disaster relief recorded in the fourth quarter of 2010.