HONOLULU--(BUSINESS WIRE)--Jan. 20, 2009--Alexander & Baldwin, Inc. (NYSE:AXB) ("Company") announced
today an expansion of ongoing cost reduction initiatives in response to
an expected continued slowdown in economic activity.
"Ongoing initiatives to decrease our costs include workforce reductions,
commencing with steps taken today to pare staffing by 10 percent at
Matson Navigation Company ("Matson")," said W. Allen Doane, chairman and
chief executive officer of A&B. "Other measures to be implemented over
the coming months at various A&B business units include: elimination of
salary increases; continued reductions in general and administrative
expenses; and reductions in incentive award targets, profit sharing
targets and workforce levels." Doane continued, "And while fourth
quarter and full-year 2008 earnings are expected to be good, these and
other proactive measures are necessary in view of the current economic
Matson plans to reduce its non-union headcount by approximately 60
positions, augmenting position eliminations that resulted from hiring
freezes adopted in 2007 and 2008. "Over the past several years, Matson
has been diligently implementing cost reduction measures across the
board, without undercutting the reliability of its service," said
Matthew Cox, president of Matson Navigation Company. "We remain fully
committed to delivering industry-leading ocean transportation services
in all of our trade lanes, and the actions we are taking will be
seamless to our customers. Measures involving employees are difficult;
however, it is important that Matson realign its cost structure to
A&B will issue its full-year and fourth quarter earnings before markets
open on February 4, 2009 and will host a conference call and webcast
later in that day to discuss its operating results, and details of its
cost reduction efforts.
About Alexander & Baldwin: A&B
is headquartered in Honolulu, Hawaii and is engaged in ocean
transportation and logistics services through its subsidiaries, Matson
Navigation Company, Inc., Matson Integrated Logistics, Inc. and Matson
Global Distribution Services; in real estate through A&B Properties,
Inc.; and in food products through Hawaiian Commercial & Sugar Company
and Kauai Coffee Company, Inc. Additional information about A&B may be
found at its web site: www.alexanderbaldwin.com.
Statements in this press release that are not historical facts are
"forward-looking statements," within the meaning of the Private
Securities Litigation Reform Act of 1995, that involve a number of risks
and uncertainties that could cause actual results to differ materially
from those contemplated by the relevant forward-looking statement. These
forward-looking statements are not guarantees of future performance. This
release should be read in conjunction with our Annual Report on Form
10-K and our other filings with the SEC through the date of this
release, which identify important factors that could affect the
forward-looking statements in this release.
CONTACT: Alexander & Baldwin, Inc.
Meredith J. Ching, 808-525-6669 (Media)
Kevin L. Halloran, 808-525-8422 (Investor Relations)
Source: Alexander & Baldwin, Inc.