Hawaiian Airlines lost $58.3 million in 2002 HONOLULU (AP) =97 The parent company of Hawaiian Airlines on Tuesday= reported=20 a loss of $58.2 million for 2002. The announcement comes just weeks after the Honolulu-based airline filed=20 for Chapter 11 bankruptcy protection. Hawaiian Holdings Inc., which=20 reported a net income of $5.1 million in 2001, was given a 15-day extension= =20 of the March 31 deadline for filing its annual report with the Securities=20 and Exchange Commission. "Our disappointing results for 2002 reflect the=20 ongoing economic crisis in our industry," said John W. Adams, Hawaiian's=20 chairman and chief executive officer. Meanwhile, U.S. bankruptcy Judge=20 Robert Faris on Tuesday said allegations of financial misconduct at=20 Hawaiian are "serious" and said he will consider replacing Adams with a=20 trustee during the bankruptcy proceedings. Boeing Capital, Hawaiian's main= =20 lessor, filed a motion last month in U.S. Bankruptcy Court to replace the=20 carrier's "self-dealing" management, mainly Adams. Boeing has a stake in 16= =20 of Hawaiian's planes, more than half of the airline's fleet. A hearing on=20 the issue is scheduled for May 8. Hawaiian Airlines filed for Chapter 11 reorganization on March 21, saying=20 it wanted the court's help in renegotiating leases with Boeing and other=20 aircraft suppliers. "Despite our best efforts and extensive negotiations, we were unable to=20 reach consensual agreements with certain of our aircraft lessors on=20 reducing our lease rates to acceptable levels," Adams said. Boeing=20 questioned the assertion that Hawaiian needed concessions from lessors when= =20 the airline had paid stockholders $25 million in a share buyback plan nine= =20 months earlier. Adams is a majority shareholder of the airline. In June=20 2001, the airline bought back 5.88 million shares from stockholders at=20 $4.25 per share, or 31 percent more than the price at which shares were=20 trading when the buyback was announced. Hawaiian also reported a net loss=20 of $15.1 million for the fourth quarter, which ended Dec. 31, 2002,=20 compared with a net loss of $10.7 million, in the same year-earlier period.= =20 Operating revenues totaled $632 million for last year, compared with $611.6= =20 million in 2001. Hawaiian reported cash and cash equivalents of $95.1=20 million at the end of 2002, including $23.2 million of restricted cash. As= =20 of March 31, the company reported cash at $63 million with $34 million in=20 restricted cash. The decline in liquidity was due to several factors,=20 including seasonal fluctuations, an increase in escrow deposit requirements= =20 by Hawaiian's credit card processors and other expenses relating to the=20 Chapter 11 filing. Trading of Hawaiian shares on the American Stock=20 Exchange and Pacific Exchange, has been halted at $1.50 since the company=20 filed for bankruptcy reorganization. Company officials said they expect=20 trading to resume Wednesday. *************************************************** The owner of Roger's Trinbago Site/TnTisland.com Roj (Roger James) escape email mailto:ejames@xxxxxxxxx Trinbago site: www.tntisland.com Carib Brass Ctn site www.tntisland.com/caribbeanbrassconnection/ Steel Expressions www.mts.net/~ejames/se/ Site of the Week: http://www.carstt.com TnT Webdirectory: http://search.co.tt *********************************************************