Fitch Upgrades Central Pacific Financial's TRUPS to 'CC' from 'C'

Tue May 14, 2013 3:42pm EDT

(The following statement was released by the rating agency) NEW YORK, May 14 (Fitch) Fitch Ratings has upgraded the ratings for Central Pacific's Trust Preferred Securities (TRUPS) to 'CC' from 'C'. A complete list of ratings affected by this action follows at the end of this release. RATING DRIVERS - Hybrid Securities Fitch has upgraded Central Pacific Financial's (CPF) TRUPS to reflect the company's payment of all deferred interest payments on the issuances as of the end of first quarter 2013. CPF began deferring interest payments on its TRUPS beginning Aug. 20, 2009 and had accumulated $13 million of accrued interest outstanding prior to CPF's payments in the first quarter of 2013. RATING SENSITIVITIES - Hybrid Securities Hybrid securities are sensitive to any change in CPF's viability rating (VR). Hybrid capital instruments issued by CPF are all notched down from CPF's viability rating of 'bb-' in accordance with Fitch's assessment of each instrument's respective non-performance and relative Loss Severity risk profiles, which vary considerably. Fitch has upgraded the following ratings CPB Capital Trust I, II & IV CPB Statutory Trust III & V --Trust preferred securities to 'CC' from 'C" Contact: Primary Analyst Jaymin Berg, CPA Director +1-212-908-0368 Fitch Ratings, Inc. One State Street Plaza New York, NY 10004 Secondary Analyst Ed Thompson Senior Director +1-212-908-0364 Committee Chairperson Christopher Wolfe Managing Director +1-212-908-0771 Media Relations: Brian Bertsch, New York, Tel: +1 212-908-0549, Email: Additional information is available at Applicable Criteria and Related Research: --'Risk Radar' (April 04, 2013); --'U.S. Banking Quarterly Comment' (April 23, 2013); --'U.S. Housing Finance GSEs: Where to from Here' (Feb. 28, 2013); --'Assessing and Rating Bank Subordinated and Hybrid Securities' (Dec 05, 2012). Applicable Criteria and Related Research Risk Radar - Global here U.S. Banking Quarterly Comment: 1Q13 here U.S. Housing Finance GSEs: Where to from Here here Assessing and Rating Bank Subordinated and Hybrid Securities here Additional Disclosure Solicitation Status here ALL FITCH CREDIT RATINGS ARE SUBJECT TO CERTAIN LIMITATIONS AND DISCLAIMERS. PLEASE READ THESE LIMITATIONS AND DISCLAIMERS BY FOLLOWING THIS LINK: here. IN ADDITION, RATING DEFINITIONS AND THE TERMS OF USE OF SUCH RATINGS ARE AVAILABLE ON THE AGENCY'S PUBLIC WEBSITE 'WWW.FITCHRATINGS.COM'. PUBLISHED RATINGS, CRITERIA AND METHODOLOGIES ARE AVAILABLE FROM THIS SITE AT ALL TIMES. FITCH'S CODE OF CONDUCT, CONFIDENTIALITY, CONFLICTS OF INTEREST, AFFILIATE FIREWALL, COMPLIANCE AND OTHER RELEVANT POLICIES AND PROCEDURES ARE ALSO AVAILABLE FROM THE 'CODE OF CONDUCT' SECTION OF THIS SITE. FITCH MAY HAVE PROVIDED ANOTHER PERMISSIBLE SERVICE TO THE RATED ENTITY OR ITS RELATED THIRD PARTIES. DETAILS OF THIS SERVICE FOR RATINGS FOR WHICH THE LEAD ANALYST IS BASED IN AN EU-REGISTERED ENTITY CAN BE FOUND ON THE ENTITY SUMMARY PAGE FOR THIS ISSUER ON THE FITCH WEBSITE.