BUSINESS BRIEFS
EPA fines company over pesticides
Advertiser Staff
The U.S. Environmental Protection Agency has levied a $65,050 fine against Vector Tobacco Inc. on Kaua'i for allegedly misusing six pesticides and failing to comply with federal pesticide worker safety laws.
Vector Tobacco, a subsidiary of Vector Tobacco Group of Durham, N.C., allegedly misused various pesticides at its agricultural research facility in Kekaha, Kaua'i, in 2005 and 2006, according to a news release from the EPA.
On 93 occasions, Vector Tobacco failed to follow label directions intended to protect workers from exposure to pesticides, in violation of the Federal Insecticide, Fungicide and Rodenticide Act, EPA officials said.
The state Department of Agriculture discovered the violations during inspections performed in March and June of 2006. Worker complaints triggered the initial investigation. Since the inspections, Vector Tobacco has shut down the Kekaha facility.
OFFICE VACANCIES UP THIS QUARTER
Commercial real estate firm CB Richard Ellis said office tenants vacated 34,255 square feet of space on O'ahu in the third quarter, though occupancy is still up by 20,428 square feet for the first nine months of the year.
The company said O'ahu's office vacancy rate is 9.3 percent, or nearly 1.1 million square feet, up from 8.2 percent, or 950,000 square feet, at midyear.
CB Richard Ellis said landlords are responding to economic weakness by being more aggressive with deals that include free rent periods in trying to keep tenants when leases come up for renewal. But landlords also are asking for higher rent to compensate for increased operating expenses that include electricity. The average monthly gross asking rent per square foot of space has risen 15 cents over the past 12 months to $2.99.
The occupancy figures are based on a survey of 101 buildings in the two highest classes of property. Lower-quality Class C office buildings aren't included in the survey.
STATE TO GET DRUG SETTLEMENT CASH
Hawai'i's Medicaid program and those in 12 other states and the District of Columbia will share $116 million in a settlement with Cephalon Inc., which agreed to pay claims that it marketed three drugs for uses not approved by the Food and Drug Administration.
The U.S. Department of Justice yesterday announced Cephalon will enter a criminal plea and pay $425 million of claims. A lawsuit filed against Cephalon alleged the company marketed Gabitril, Actiq and Provigil for unapproved uses.
WALGREEN SHARES PLUNGE 5.3 PERCENT
Shares of Walgreen Co. fell to their lowest price in almost five years yesterday after the company reported disappointing revenue in its fiscal fourth quarter.
Walgreen, which is bidding to acquire Longs Drug Stores, said cost cuts and greater sales lifted its profit 12 percent for the quarter. But its revenue fell short of expectations, and the company said it engaged in too many discounts and promotions as it tried to ramp up sales in the face of difficult economic conditions.
The stock shed $1.73, or 5.3 percent, to close at $31 after reaching a low of $30.26 earlier in the session. Shares last traded at that price on Sept. 30, 2003.
The company said it remains committed to its efforts to buy California-based rival Longs Drug Stores Corp. Walgreen has offered $2.8 billion, or $75 per share, for the company, which would give Walgreen a larger presence in California and Hawai'i. Longs management prefers a bid from CVS Caremark Corp. worth $2.7 billion, or $71.50 per share, which has already received regulatory approval.
