HECO pulls Hawaii isle rate-hike request

The state Public Utilities Commission has approved a settlement between the Hawaiian Electric Co. and the state consumer advocate under which the utility agreed to withdraw a $20 million rate hike request for Hawaii island customers, and write off $40 million in costs for two major projects.

The agreement to withdraw the 2013 rate case for customers of HECO’s Hawaii island subsidiary was the result of community concerns about high electric rates received by the state Division of Consumer Advocacy during recent public hearings.

Under the agreement HECO also will not seek to recover from ratepayers part of the costs for a 110-megawatt biofuel generating station at Campbell Industrial Park and the company’s new customer information system. This write-off already has been reflected in the utilities’ financial results for 2012.

In addition, Hawaiian Electric agreed to delay the filing of its next rate case for customers on Oahu, which was originally scheduled for this year under the current regulatory schedule for periodically evaluating electric rates.

Dentist to pay restitution in Medicaid case

The state Attorney General’s office said in a news release Wednesday that Dr. Joseph Perrino, a dentist formerly of Honolulu, will pay $35,700 in restitution and fines, and will perform 500 hours of community service for making false claims to the state Medicaid program and Hawaii Dental Service.

Judge Richard Perkins sentenced Perrino on Wednesday, the news release said. Perrino, who owned a clinic in Wai­anae for 15 years, sold the practice in January 2011 after learning of the investigation, the release said. Perrino submitted claims for dental restorations but provided a service far less involved and less costly than a restoration, the release said.

Perrino could not be reached for comment.

Federal Reserve stands by stimulus policy

WASHINGTON » The Federal Reserve isn’t yet convinced that the U.S. economy’s growth can accelerate without the Fed’s drive to keep borrowing costs at record lows. It wants to see sustained improvement.

That was the message Fed officials sent Wednesday, when they reinforced their plan to keep short-term interest rates at record lows at least until unemployment falls to 6.5 percent.

The Fed will continue buying $85 billion a month in bonds indefinitely to keep long-term borrowing costs down.

Fed chief Ben Bernanke said the Fed might vary the size of its monthly purchases depending on whether or how much the job market improves.

Low-wage workers pessimistic, study says

WASHINGTON » While lower-wage American workers have accounted for the lion’s share of the jobs created since the 2007-2009 Great Recession, a new survey shows that they are also among the most pessimistic about their future career prospects, their job security and their finances.

A two-part Associated Press-NORC Center for Public Affairs Research survey of both employers and employees found high levels of anxiety among those earning $35,000 annually or less.

Many of these workers say they’re worse off now than they were before or during the recession.

And there’s no question that workers see the world differently than do their bosses.

Seventy-two percent of employers at big companies and 58 percent at smaller ones say there is a "great deal" or "some" opportunity for worker advancement. But, asked the same question, 67 percent of all low-wage workers said they saw "a little" or "no opportunity" at their jobs for advancement.

Large solar company faces bankruptcy

BEIJING » Suntech, one of the world’s biggest solar panel manufacturers, was forced into bankruptcy court Wednesday, becoming the latest casualty of a painful slump in the global solar industry.

Suntech Power Holdings Ltd. said eight Chinese banks asked a court to declare it insolvent after the company missed a $541 million payment to bondholders last week. Suntech said it would not oppose the petition.

The development is a dramatic reversal for a company that was a leading force in China’s fast-growing renewable energy industry.

Its founder, Shi Zhengrong, has seen much of his multibillion-dollar fortune evaporate.

Airlines expect 2013 profits to reach $10.6 billion

GENEVA >> The global airline industry has forecast a modest improvement in global net profits for 2013, crediting a backdrop of rising optimism about the world’s economy, particularly in the United States and Europe.

The International Air Transport Association, whose 240 member airlines carry 84 percent of all passengers and cargo, upgraded its financial outlook Wednesday to expected profits of $10.6 billion this year, mainly based on more passengers and cargo. IATA said the industry’s overall revenue in 2013 is expected to rise to $671 billion from $637 billion last year, while costs will go up to $649 billion from $623 billion.

Asia Pacific airlines are expected to contribute the biggest amount to the overall picture, with $4.2 billion in net profits forecast for this year.

ON THE MOVE

The Hawaii State Federal Credit Union has promoted Edmund Pang to senior vice president and chief financial officer, from chief financial officer. He has been with the credit union for seven years. He was a financial regulator for the Federal Deposit Insurance Corp. in New York for three years and served with the California Department of Financial Institutions in San Francisco for three years.

Hawaii Pacific Health hospitals have promoted:

» Brigitte McKale to vice president of patient services/chief nurse executive at Pali Momi Medical Center. She joined the hospital in 1991 and became chief nurse executive in 2004.

» Mavis Nikaido to vice president of patient services/chief nurse executive at Kapiolani Medical Center. She has been with the hospital for nearly 30 years in several positions.