Matson raises fourth-quarter outlook

Matson Inc., the state’s largest ocean shipper, has raised its fourth-quarter earnings outlook due to higher freight rates, growing volume and lower bunker fuel prices.

The Honolulu-based company said in a regulatory filing Thursday that it expects ocean transportation operating income to be approximately $45 million this quarter, primarily driven by higher than expected freight rates in its China service and continued rate and volume growth in Hawaii and Guam.

Matson said the timing of fuel surcharge collections in its Hawaii and Guam services positively affected operating income performance in the quarter as bunker fuel prices declined sharply. The drop-off led to better than expected fuel surcharge collections relative to the company’s fuel expenses.

The company said in November that it expected its ocean transportation income to increase from the $26 million achieved in the fourth quarter of 2013.

Matson also said Thursday it expects operating income for its ground transportation division to be approximately $3 million, primarily driven by continuing improvements in volume, yield and warehouse operations. The company said last quarter that it expected operating income for that division in the fourth quarter to be "slightly higher" than comparable 2013 levels.

For the full year 2015, Matson said it expects its ocean transportation operating income to be flat to modestly higher than 2014 levels and its ground transportation division’s operating income to exceed 2014 levels.

Synthetic urine use up again in workplace

Hawaii workers’ use of synthetic urine, which masks drug use in tests, jumped half a percentage point in the fourth quarter of 2014 from the year-earlier quarter, according to data released Thursday from Hono­lulu-based Diagnostic Laboratory Services Inc.

The use of synthetic urine dropped after Diagnostic Laboratory Services devised a detection method in 2010, but picked up again in the third quarter of 2014. Use of synthetic urine in the Hawaii workplace rose to 0.8 percent in the fourth quarter from 0.3 percent in the year-ago period.

Opiate use also rose to 0.8 percent from 0.3 percent. DLS tests urine opiate levels for physicians and drug treatment centers to monitor pain management, but that data is not included in workforce drug testing.

"In comparing the positive rates between the two years, only the opiates varied significantly, and that number is so small, the prognostication of any trend is suspect," said Carl Linden, scientific director of toxicology at DLS. "Fourth-quarter comparisons year over year showed only the resurgence of usage of synthetic urine."

In 2012, Hawaii banned several categories of "legal" synthetic drugs, such as bath salts, but they cannot be tested for in workplace drug testing, according to federal and state law. However, if a physician orders it, tests for synthetic drugs can be performed.

DLS’ quarterly sample size typically ranges from 7,000 to 10,000 drug tests.

New Island Air Explorers Program to begin

Island Air is launching its seventh season of its student Explorers Program with orientation at 6:30 p.m. Thursday at Bishop Museum’s Atherton Halau.

Students between the ages of 14 and 20 who have an interest in aviation are encouraged to attend orientation with their parents. Applications to the program only will be accepted at orientation, and the program will be limited to 15 students.

The program offers students 10 weekly hands-on sessions covering aviation careers such as pilot, flight attendant, aircraft mechanic and airport operations. It also includes visits and lectures from members of the Federal Aviation Administration, Transportation Security Administration and Air Traffic Control.

More information about the program, including a downloadable application, can be found on Island Air’s website at www.IslandAir.com/Explorers.

On the Move

» The Queen’s Health Systems has named Roy Murai its director of investments. He has 18 years of experience in the financial services industry and previously was a partner and chief investment strategist at Tsu­ka­zaki & Associates, an independent investment and fiduciary consultancy. Prior to that position, Murai served as a vice president of investments for Origin Financial Group, a registered investment adviser.

» Hawaii Pacific University has named Richard Rapoza its director of strategic communications. He has more than 25 years of experience as a communications professional and has worked in the public, private, political and nonprofit sectors. Rapoza was previously a communications director for U.S. Rep. Colleen Hana­busa, director of communications for the Hawaii state Senate and writer, producer and director for Kame­ha­meha Schools.

Ship Ahoy!

Today’s ship arrivals and departures: