30-year mortgage rate falls to all-time low of 3.49%

WASHINGTON » The average rate on the 30-year fixed mortgage fell again, this time dropping below 3.50 percent for the first time on records dating back 60 years.

Mortgage buyer Freddie Mac said Thursday that the rate on the 30-year loan declined to 3.49 percent. That’s down from 3.53 percent last week and the lowest since long-term mortgages began in the 1950s.

The average rate on the 15-year fixed mortgage, a popular refinancing option, dipped to 2.80 percent. That’s below last week’s previous record of 2.83 percent.

The rate on the 30-year loan has fallen to or matched record-low levels in 13 of the past 14 weeks. Cheaper mortgages have helped drive a modest but uneven housing recovery this year.

Bridal shop owner sentenced for tax dodging

Leslie Nakagawa, owner of Bridal Emporium Inc., was sentenced in Hono­lulu District Court on July 18 by Judge Faye Koya­nagi for willfully failing to file her company’s annual general excise tax returns for the years 2003 to 2008. A separate complaint also was filed against BEI for the same violations.

Nakagawa pled guilty to the violations on behalf of the corporation as well as herself, and each was granted a deferred acceptance of their guilty pleas. Both were ordered to pay restitution in the amount of $137,590. This amount is to be paid jointly by Nakagawa and BEI at a rate of $500 per month, and both must remain in tax compliance. Nakagawa was also ordered to perform 150 hours of community service work which must be completed within a year.

The corporation provided various services related to the bridal industry and earned more than $3 million in gross income during the years in question. Nakagawa was charged as the person responsible for not filing the company’s excise tax returns.

Willful failure to file a return is a misdemeanor violation that carries a fine of up to $25,000 for individuals and $100,000 for corporations, a period of incarceration not to exceed one year, or probation.

HawaiiUSA FCU opening Kihei branch

HawaiiUSA Federal Credit Union is opening a new branch in Kihei, Maui.

The branch will open at 9 a.m. Tuesday in Times Supermarket at 1310 S. Kihei Road with a blessing ceremony. A grand-opening celebration is planned from 4 to 6 p.m.

The branch is the 12th in HawaiiUSA FCU’s network of branches on Oahu and Maui, and the first HawaiiUSA branch to be located within a retail operation.

Operating hours will be 9 a.m. to 6 p.m. Monday through Friday, and 9 a.m. to 2 p.m. on weekends and holidays.

Starwood earnings fall but revenue up

NEW YORK » Starwood Hotels & Resorts Worldwide Inc., which has properties in Hawaii, said Thursday that its second-quarter net income slipped 7 percent as charges including those to pay off debt early offset the impact of higher revenue.

Contrary to some of its rivals, Starwood said it’s seeing strength overseas. It’s confident in its planned China expansion and said it’s filling rooms at a rapid clip that will allow for further increases in rates.

The company, which runs the Sheraton, Westin and other brands, reported net income of $122 million, or 62 cents a share, compared with $131 million, or 68 cents a share, a year ago. Removing early debt extinguishment costs, earnings from continuing operations amounted to 70 cents a share. Analysts expected 61 cents a share.

Revenue rose 13 percent to $1.62 billion.

Exxon struggles despite rise in net income

NEW YORK » A jump in Exxon Mobil’s net income couldn’t mask broader problems for America’s largest oil company. The Irving, Texas, petroleum giant said its second-quarter net income rose 49 percent to $15.9 billion. But most of the gain came from $7.5 billion in asset sales.

Otherwise it was a challenging quarter. Exxon Mobil produced less oil and natural gas, and it sold both at lower prices. Exxon’s chemical factories also posted weak sales in Asia and Europe, where the economy slowed. All told, Exxon’s operating profit of $8.4 billion was the lowest since the third quarter of 2010.

Amazon.com meets tiny profit expectations

SEATTLE » Online retailer Amazon.com Inc. on Thursday reported second-quarter earnings that matched Wall Street’s meager expectations, but its revenue gains and outlook for the current quarter fell short of forecasts.

Net income in the three months to June 30 came to just $7 million, or a penny a share, a drop of 96 percent from $191 million, or 41 cents, a year ago.

That matched expectations of analysts polled by FactSet, although Amazon said its profit was hurt by a $65 million loss related to its acquisition of Kiva Systems Inc., a warehouse technology company that Amazon agreed to buy in March for $775 million in cash.

Michelin recalls 841,000 tires

COLUMBIA, S.C. » Michelin voluntarily recalled about 841,000 BFGoodrich and Uni­royal tires Thursday because the tread can separate, causing rapid air loss.

No deaths or injuries have been reported from the tires, which were made as replacement tires for commercial light trucks and full-size heavy-duty vans from April 2010 until early this year. Michelin is beginning the recall immediately. Tires will be replaced at no charge.

ON THE MOVE

» Bank of Hawaii has announced the following promotions:

— Joy S. Alameda to vice president and regulatory reporting manager from assistant vice president and regulatory accounting manager in the controllers department.

— Lester T. Naka­moto to vice president and branch manager from assistant vice president and branch manager in the Hawaii Branch Division.

— Alan T. Shiraishi to vice president and branch manager from assistant vice president and branch manager of the Hawaii Branch Division.

» The Hawaii Bankers Association has announced the following new elected officers: Warren K.K. Luke, president; Russell J. Lau, vice president; Peter S. Ho, secretary/treasurer; Edward Y.W. Pei, executive director.

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