Central Pacific Financial Corp., the holding company for Central Pacific Bank, tumbled as much as 27 percent in U.S. trading after reporting a loss in the second quarter and announcing a stock offering.

The net loss was $33 million to $37 million, or $1.22 to $1.35 a share, based on preliminary data, the company said in a statement today.
Three analysts surveyed by Bloomberg predicted a loss of 3 cents a share, on average. Central Pacific also said it plans to offer common stock to raise as much as $100 million.
The recession and the “resultant deterioration” in California and Hawaii real estate hurt profit, Central Pacific said. Credit costs were $77 million to $83 million, up from $29.6 million in the first quarter. Proceeds from the stock sale are expected to strengthen the company’s capital position, according to the statement.
“The loss was higher than expected, and it looks like the offering could be very dilutive if it gets done,” said Albert Savastano, an analyst at Fox-Pitt Kelton Cochran Caronia Waller. He has an “in-line” rating on the shares and doesn’t own them.
Central Pacific declined 92 cents, or 26 percent, to $2.61 at 12:26 p.m. in New York Stock Exchange composite trading after falling to $2.59, the largest intraday drop since at least September 1987. The shares had declined 65 percent this year before today.