Funny how things work out. Our new mayor wants to take over plantation water systems (although when he had a chance four years ago, he backed down).A couple of years ago, a combination of drought and low prices had HC&S on the ropes, and the board at A&B was beginning to wonder whether sugar was a business they wanted to be in. At best, it accounts for only about 7% of revenue. HC&S is such a small part of A&B that it cannot ever contribute largely to profits, although it can — and recently has — hammered them down.
Since A&B answers to Wall Street, which does not give a damn about Upcountry water meters, low sugar prices open the way to a county takeover of EMI. This would be a disaster, but, like I say, funny how things work out.
Arakawa’s in, sugar prices are up, A&B will presumably stick with HC&S for a while longer, the valley will be green and Kihei will not have to live through endless dust storms. Continue reading ‘Sugar rush – Restating the Obvious by Harry Eagar – Mauinews.com’
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