Unknown number of workers at Kapalua golf courses to lose jobs under a new manager
KAPALUA – A number of Maui Land & Pineapple employees will lose their jobs when an independent firm takes over management of the Kapalua Plantation Golf Course and Bay Golf Course at the end of March, the company announced Monday.
In a filing with the Securities and Exchange Commission, ML&P said the total number of employees affected by the turnover is still uncertain, but that it had sent a 60-day layoff notice to workers, in compliance with U.S. labor laws.
There are about 100 ML&P employees working at the two courses, approximately half of the company’s total work force of 200, said Chief Financial Officer Tim Esaki.
Troon Golf, of Scottsdale, Ariz., will take over management of the courses on April 1, the company said.
Esaki said golf course employees were sure to be involved in the change, but “it may affect other employees as well.”
“Troon Golf, assuming the management of the golf course, will have an impact on other areas of our operations, but we’re currently in the process of evaluating what that is,” he said.
ML&P sold its Bay Course last year to TY Management Corp. for $23.6 million, with an agreement to lease back and continue to operate the links until March 31.
TY also purchased the Plantation Course from money-losing ML&P for $50 million cash in 2009, also with a lease-back contract.
AOL founder could have majority stake after stock sale done
By ILIMA LOOMIS, Staff Writer
WAILUKU – AOL co-founder Steve Case added to his investment in Maui Land & Pineapple Co. this week by purchasing an additional 4.27 million shares under a rights offering by the company.
Case acquired the stock at a price of $3.85 per share, to invest another $16.5 million into the struggling company, according to a report filed with the federal Securities and Exchange Commission on Wednesday.
The sale was made under a plan by ML&P to raise cash by selling 10.4 million new shares to existing stockholders.
The company made a separate announcement this week that it had completed the sale on the New York Stock Exchange.
The proceeds will be used to retire $40 million in convertible notes, giving the company some relief from its significant debt.
Under the offering, each stockholder was offered the right to purchase a limited number of the new shares, in proportion to the size of their previous stake in the company. Case purchased all of the shares that were offered to him.
But he could have access to as many as 6.1 million additional shares if the company’s other stockholders don’t sign up for the rights offering and shares set aside for them are left unsold. The company reported that Case indicated his interest in potentially acquiring all those shares if they were available.
In its report filed with the SEC, the company said Wednesday that it had not yet determined how the unsold stock would be allocated among the investors who wished to purchase it.
With the 7.75 million shares he now owns, Case currently holds a 41.2 percent stake in ML&P, a controlling interest in the company.
But the company said that, depending on how many of the additional shares are allocated to Case, an additional purchase could increase his stake in the company to more than 50 percent.
That could give him even more decision-making power than he already has.
MAUI LAND & PINEAPPLE COMPANY, INC.
April 19, 2010
To Our Shareholders:
We are pleased to invite you to our 2010 Annual Meeting of Shareholders, which will be held on Thursday, May 13, 2010 at 8:30 a.m. at the Kapalua Village Center Conference Room in Lahaina, Maui, Hawaii.
At the meeting, we will (1) vote upon an amendment to the Restated Articles of Association to change the minimum and maximum number of members of our Board of Directors to not less than five (5), nor more than nine (9), and to declassify the Board of Directors; (2) if Proposal No. 1 is approved, elect seven (7) members to our Board of Directors for a one-year term; (3) only if Proposal No. 1 is not approved, elect three Class Two directors for a three-year term; (4) vote upon an amendment to the Restated Articles of Association to authorize an additional 20,000,000 shares of the Company’s Common Stock; (5) ratify the appointment of Deloitte & Touche LLP as our independent registered public accounting firm to serve for the 2010 fiscal year, and (6) transact such other business as may properly come before the meeting or any continuation, postponement or adjournment of the meeting. We know of no other matters to be brought up at the meeting.
This meeting is an opportunity to communicate with our shareholders and it is important that your shares be represented and voted whether or not you expect to attend the meeting in person. You may vote your shares by proxy using the Internet, by telephone, or by returning the enclosed proxy card or voting instruction form forwarded by your bank, broker or other holder of record. Please review the instructions on the enclosed proxy card or voting instruction form regarding each of these voting options. If you attend the meeting, you may withdraw your proxy and vote in person, if you wish.
We look forward to seeing you at the meeting should you be able to attend.
WARREN H. HARUKI
MAUI LAND & PINEAPPLE COMPANY, INC.
870 Haliimaile Road
Makawao, Maui, Hawaii 96768-9768
(808) 877-3351 begin_of_the_skype_highlighting (808) 877-3351 (808) 877-3351 (808) 877-3351 (808) 877-3351
NOTICE OF ANNUAL MEETING OF SHAREHOLDERS
TO THE SHAREHOLDERS OF
MAUI LAND & PINEAPPLE COMPANY, INC.:
Notice is hereby given that the Annual Meeting of Shareholders of Maui Land & Pineapple Company, Inc. will be held on Thursday, May 13, 2010 at 8:30 a.m., local time, at the Kapalua Village Center Conference Room in Lahaina, Maui, Hawaii for the following purposes:
LOOKING BACK 2009
By ILIMA LOOMIS, Staff Writer
After a century in agriculture, Maui Land & Pineapple Co. got out of the pineapple business for good as 2009 drew to a close.
About 285 workers lost their jobs when pineapple cultivation ended, but the shutdown was just the culmination of a long year of changes for a company struggling just to stay in business.
Early in the year, the company sold its Plantation Golf Course for $50 million to pay down some of its mounting debts. In February, ML&P eliminated 100 jobs at the Kapalua Resort and at its Kahului headquarters in yet another round of layoffs, with the remaining employees taking a 10 percent pay cut. Then in May, President and Chief Executive Officer Robert Webber resigned after just six months on the job, being replaced by board Chairman Warren Haruki as interim CEO.
The company continued to lose money through the year, reporting in October that it had lost $92.9 million in the first three quarters of 2009 – greater than the $71.6 million it lost for all of 2008. Much of the losses was attributed to the plummeting value of ML&P’s real estate investments, and the October report also revealed that the company had lost all of the money it had originally invested in its Kapalua Bay Holdings venture.
Still, nobody was quite ready to hear the news in November that the company was shutting down its pineapple operations.
Audit: Maui Land & Pineapple future uncertain as liabilities exceed assets by $60 million
On Wednesday December 30, 2009, 5:14 pm EST
WAILUKU, Hawaii (AP) — Maui Land & Pineapple Co. says its auditors have found the company’s liabilities exceed its assets by more than $60 million, raising doubts about its ability to survive.
The property developer, one of Maui’s biggest landowners, said in a report filed this week with the Securities and Exchange Commission that it’s counting on being able to sell some of its real estate to raise cash and meet its financial obligations. But the weak real estate market may thwart those plans.
The uncertainty about real estate sales "raises substantial doubt about the company’s ability to continue as a going concern," the report said.
Maui Land provided the report on Deloitte & Touche’s audit to the SEC Monday, the same day it submitted a registration statement announcing plans to sell more stock to current shareholders.
The auditors found the company’s future was jeopardized by its financial losses, weak cash reserves, an inability to meet certain financial obligations and an overall balance sheet showing the company’s liabilities exceeded its assets.
Maui Land has had to write off all the money it initially invested in the Ritz-Carlton Club and Residences at Kapalua Bay, a luxury condo and hotel development that’s suffered from higher-than-expected default rates and lower revenue forecasts for future sales.