Central Pacific Financial Corp. (NYSE:CPF) Q3 2020 Earnings Conference Call - Final Transcript

Oct 28, 2020 • 01:00 pm ET


Central Pacific Financial Corp. (NYSE:CPF) Q3 2020 Earnings Conference Call - Final Transcript


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Good afternoon, ladies and gentlemen, thank you for standing by. Welcome to the Central Pacific Financial Corp Third Quarter 2020 Conference Call. [Operator Instructions] This call is being recorded and will be available for replay shortly after its completion on the company's website at www.cpb.bank.

I'd like to turn the call over to Mr. David Morimoto, Executive Vice President, Chief Financial Officer. Please go ahead, sir.

David S. Morimoto

Thank you, Greg. And thank you all for joining us as we review the financial results of the third quarter of 2020 for Central Pacific Financial Corp. With me this morning are Paul Yonamine, Chairman and Chief Executive Officer; Catherine Ngo, President; Arnold Martines, Executive Vice President and Chief Banking Officer; and Anna Hu, Executive Vice President and Chief Credit Officer.

We have prepared a slide presentation that we will refer to in our remarks today. The presentation is available in the Investor Relations section of our website at cpb.bank.

During the course of today's call, management may make forward-looking statements. While we believe these statements are based on reasonable assumptions, they involve risks that may cause actual results to differ materially from those projected. For a complete discussion of the risks related to our forward-looking statements, please refer to Slide 2 of our presentation.

And now, I'll turn the call over to Paul.

Paul K. Yonamine

Thank you, David and good morning everyone. As always, we appreciate your interest in Central Pacific Financial Corp. The state of Hawaii, as well as our company, continues to manage well through the COVID-19 pandemic. While the state of Hawaii experienced an uptick in infections in the late summer, which led to a second government mandated shutdown, the infection rate has recently dropped with the latest seven-day average number of infection and positivity rate of 54 and 2.2%, respectively as of October 26. After several delays to initial targeted days, the state of Hawaii reopened out-of-state tourism on October 15 for visitors that provide evidence of a negative COVID-19 test. This is a key step in the process of Hawaii's economic recovery.

In the first week after reopening, we've been pleasantly surprised by the daily air arrival numbers, which have been in the 5,000 to 8,000 range per day compared to less than 2000 per day since March and 30,000 per day pre-pandemic. Additionally, on October 22, Oahu made progress by moving the Tier 2 of its recovery plan as it met the requirement of having the seven-day average COVID cases at less than 100 and positivity rate of less than 5%. Tier 2 allows Oahu to further reopen certain parts of the economy.

At Central Pacific, we continue to push forward with our key RISE2020 strategy, while at the same time prudently managing through the pandemic. In August, we launched our new online and mobile banking platforms, which includes many industry-leading features and functionality. The new digital platforms have been very well received by the market with an Apple mobile app rating of 4.8 out of 5. Additionally, we continue