Pineapple grower reduces its losses

By Sean Hao
Advertiser Staff Writer

Maui Land & Pineapple Co. said losses narrowed in the fourth quarter on an increase in pineapple prices.

Maui Land & Pineapple Co. cited higher pineapple prices for its improved fourth-quarter results. Advertiser library photo

The government award, which came from anti-dumping duties meant to protect domestic producers, was partially offset by higher severance costs and a $2.3 million write-down of obsolete equipment.

Including the results of discontinued operations such as its recently sold Costa Rican operations, Maui Land & Pineapple posted a profit of $1.21 million, or 17 cents a share, compared with a loss of $2.22 million, or 31 cents a share, during the fourth quarter of 2002.

David Cole, the company's recently hired president and chief executive, said the fourth quarter was a period of reorganization for Maui Land & Pineapple.

"We acted in the fourth quarter of 2003 to simplify our business," he said. "We divested our offshore pineapple operations to focus our efforts closer to home and we discontinued our fresh-cut product line to concentrate on more promising product categories.

"Collectively, these and other actions resulted in significant write-offs of fixed assets, inventories and supplies."

For the year Maui Land & Pineapple earned $3.87 million, or 54 cents a share, versus a loss of $6.02 million, or 83 cents a share, in 2002. Including discontinued operations the company earned nearly $6 million, or 83 cents a share.

Full-year revenues rose 14 percent to $168.67 million.

Shares of Maui Land & Pineapple fell 41 cents to $34.84 a share on the American Stock Exchange yesterday.

Reach Sean Hao at 525-8093 or shao@honoluluadvertiser.com.