Bank chief optimistic on takeover vote

By Deborah Adamson
Advertiser Staff Writer

The chief executive of Central Pacific said yesterday he is confident that shareholders will vote to approve the acquisition of the parent of City Bank and set aside the public acrimony that has characterized the deal in the past year.

"I don't think that's going to be a problem," Clint Arnoldus said during an impromptu press conference after Central Pacific's annual shareholders meeting at a Waikiki hotel.

He said the "high premium" shareholders of CB Bancshares will get should be enough of an incentive for them to approve the $420 million acquisition.

The deal has regulatory approval but still needs to be sanctioned by shareholders.

Company executives said the shareholders' vote will be taken within five months.

Ron Migita, chief executive of CB Bancshares, attended the meeting and urged cooperation from Central Pacific's shareholders.

"I ask for support and cooperation," Migita said. "There's a lot to be done."

Arnoldus pledged that Central Pacific would not change its character even if it does double in size. He also said the bank would not stray from its service to the Japanese-American community. Both banks were founded to serve the community.

"Some fear we may change our character," Arnoldus said. "That is absolutely not going to be the case."

"I'm so glad it's over with," said Bonnie Pestana, a member of the Wall Street Wahines investment club of 13 women who own 100 shares of Central Pacific.

The deal makes sense, added Pat Fugere, presiding partner of the investment club.

"It's good for the bank and good for Hawai'i," she said. "We admire (Arnoldus') persistence."

Reach Deborah Adamson at dadamson@honoluluadvertiser.com or 525-8088.