Posted on: Friday, December 12, 2003

Maui L&P to offer stock to workers

By Andrew Gomes
Advertiser Staff Writer

Shareholders of Maui Land & Pineapple Co. yesterday agreed to create an employee stock option program, for the first time offering ownership incentives to some of the 1,400 employees of the publicly traded firm based in Kahului.

The company authorized issuing up to 800,000 shares of stock over several years to executives, managers, consultants and employees who make key contributions to the company, which has operations in agriculture, real estate development and the resort business.

Stock options were sought by Maui Land & Pine's recently hired chief executive, David Cole, who wants to use them as one of several incentives in employee recruiting and retention at the company as it undergoes restructuring.

The stock incentives also were part of the compensation package for Cole, who will receive 200,000 shares over several years in addition to his $450,000 salary as president and chief executive officer, plus potentially another 100,000 shares over four years if annual performance goals are met.

Maui Land & Pine also announced yesterday that it hired a new president for its Maui Pineapple Co. subsidiary, and received shareholder approval to add three director positions to the board.

Brian Nishida, former head of rival Del Monte Fresh Produce (Hawaii) Inc., will become Maui Pineapple president on Jan. 1, replacing Douglas Schenk, Maui Pineapple's president since 1995.

Schenk will continue as a senior adviser with a new Maui Land & Pine business unit, Maui Agricultural Partners, which is exploring initiatives in diversified agriculture, creating fuel from crops and work-study partnerships with high school and university students.

Maui Land & Pine's board will be increased from six members to nine, broadening the pool of expertise available to the company, another change sought by Cole.

After the announcements yesterday, shares of Maui Land & Pine stock closed 72 cents higher at $33.98, a 52-week high. Shares have more than doubled from a 52-week low of $14.15 on Jan. 9.

The company ended a five-quarter string of losses and posted a profit for the quarter ending Sept. 30, primarily from selling two shopping centers. In October, Cole joined the company, which is more than 40 percent owned by former Time Warner Chairman Steve Case.

Reach Andrew Gomes at agomes@honoluluadvertiser.com or 525-8065.