[Federal Register Volume 61, Number 24 (Monday, February 5, 1996)]
[Notices]
[Pages 4287-4288]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 96-2298]
=======================================================================
-----------------------------------------------------------------------
DEPARTMENT OF JUSTICE
Antitrust Division
U.S. v. First Hawaiian, Inc. and First Interstate of Hawaii,
Inc.; Proposed Modification of the Final Judgment, Notice
Please take notice that First Hawaiian, Inc. (``First Hawaiian''),
defendant in the above-captioned action, has filed a motion for an
order modifying the Final Judgment entered on May 29, 1991 in this
antitrust action. Plaintiff, the United States of America, has
tentatively consented to the entry of such an order, but it has
reserved the right to withdraw its consent within 30 days after the
last day of publication of this Notice.
The Complaint in this case was filed on December 28, 1990, and
alleged that the acquisition of Defendant First Interstate of Hawaii,
Inc. (``First Interstate'') by Defendant First Hawaiian would violate
Section 7 of the Clayton Act (15 U.S.C. Sec. 18) by substantially
lessening competition in business banking services in several
geographic markets in the State of Hawaii. After the Complaint was
filed, the parties agreed to a stipulated Final Judgment that allowed
the acquisition to proceed provided that First Hawaiian, inter alia,
divested seven branches. The Final Judgment was entered by the Court on
May 29, 1991, after an appropriate public notice and comment period
under the Tunney Act (15 U.S.C. Sec. 16(b) et seq.).
To date, First Hawaiian has divested four branches, but has yet to
divest three more: The Kuapa Kai branch located at
[[Page 4288]]
377 Keahole Street, Honolulu, Hawaii 96825; the Lahaina--Pakui branch
located at 135 Papalaua Street, Lahaina, Hawaii 96761; and the Market
branch located at 2005 Main Street, Wailuku, Hawaii 96793 (collectively
the ``divestiture branches'').
The proposed modification of the Final Judgment is limited to
Section V.A., which requires First Hawaiian to divest the divestiture
branches to federally insured financial institution(s) that offer
customers, at a minimum, transaction account deposits and commercial
loans. Despite its best efforts over a four-year period, First Hawaiian
has been unsuccessful in finding a qualified purchaser for the
divestiture branches within the meaning of the Final Judgment. Finance
Factors, Ltd., a company not authorized to offer transaction account
deposits, has now offered to acquire the divestiture branches'
outstanding loans and other assets, as well as the non-transaction
account deposits. The proposed modification would allow First Hawaiian
to satisfy the divestiture requirements of the Final Judgment by
allowing First Hawaiian to sell the loans and other assets, and the
non-transaction account deposits, of the divestiture branches to
Finance Factors, or a similar business, with the prior approval of the
Department of Justice.
First Hawaiian and the United States have filed memoranda with the
Court setting forth why the proposed modification is in the public
interest. Copies of the Complaint, Final Judgment, motion papers, the
modification memoranda, all comments submitted and all further papers
filed with the Court will be available for inspection at Room 200,
Antitrust Division, United States Department of Justice, 325 Seventh
Street, N.W., Washington, D.C. 20530 (telephone: 202/514-2481), and at
the Office of the Clerk of the United States District Court for the
District of Hawaii. Copies of these materials may be obtained from the
Antitrust Division upon request and payment of the copying fee set by
Department of Justice regulations.
Interested persons may submit to the United States comments
regarding the proposed modification. Comments must be received on or
before February 18, 1996, by sending them to Mr. Ian Simmons, Computers
and Finance Section, Antitrust Division, Department of Justice, 555
Fourth Street, N.W., Room 9903, Washington, D.C. 20001 (telephone: 202/
307-6164). Copies of, and its responses to, if any, any comments will
be filed with the Court by the Government.
Constance K. Robinson,
Director of Operations Antitrust Division.
[FR Doc. 96-2298 Filed 2-2-96; 8:45 am]
BILLING CODE 4410-01-M
