Cover
Cover - shares | 3 Months Ended | |
Mar. 31, 2022 | May 12, 2022 | |
Cover [Abstract] | ||
Document Type | 10-Q | |
Amendment Flag | false | |
Document Quarterly Report | true | |
Document Transition Report | false | |
Document Period End Date | Mar. 31, 2022 | |
Document Fiscal Period Focus | Q1 | |
Document Fiscal Year Focus | 2022 | |
Current Fiscal Year End Date | --12-31 | |
Entity File Number | 0-50273 | |
Entity Registrant Name | KAANAPALI LAND, LLC | |
Entity Central Index Key | 0001230058 | |
Entity Tax Identification Number | 01-0731997 | |
Entity Incorporation, State or Country Code | DE | |
Entity Address, Address Line One | 900 N. Michigan Ave. | |
Entity Address, City or Town | Chicago | |
Entity Address, State or Province | IL | |
Entity Address, Postal Zip Code | 60611 | |
City Area Code | 312 | |
Local Phone Number | 915-1987 | |
Title of 12(b) Security | N/A | |
Trading Symbol | N/A | |
Security Exchange Name | NONE | |
Entity Current Reporting Status | Yes | |
Entity Interactive Data Current | Yes | |
Entity Filer Category | Non-accelerated Filer | |
Entity Small Business | true | |
Entity Emerging Growth Company | false | |
Entity Shell Company | false | |
Entity Common Stock, Shares Outstanding | 1,792,613 |
Condensed Consolidated Balance
Condensed Consolidated Balance Sheets - USD ($) $ in Thousands | Mar. 31, 2022 | Dec. 31, 2021 |
Assets | ||
Cash and cash equivalents | $ 20,340 | $ 16,997 |
Restricted cash | 927 | 840 |
Property, net | 59,109 | 62,091 |
Pension plan assets | 19,896 | 19,946 |
Other assets | 2,869 | 7,322 |
Total assets | 103,141 | 107,196 |
Liabilities | ||
Accounts payable and accrued expenses | 521 | 365 |
Deposits and deferred gains | 1,731 | 1,737 |
Deferred income taxes | 10,770 | 9,927 |
Other liabilities | 7,413 | 14,958 |
Total liabilities | 20,435 | 26,987 |
Equity | ||
Common equity, at 3/31/22 and 12/31/21 (Shares authorized – unlimited; shares issued and outstanding – 1,792,613 common shares and 52,000 Class C shares) | ||
Additional paid-in capital | 5,471 | 5,471 |
Accumulated other comprehensive income (loss), net of tax | 2,285 | 2,298 |
Accumulated earnings | 74,090 | 71,698 |
Stockholders’ equity | 81,846 | 79,467 |
Non-controlling interests | 860 | 742 |
Total equity | 82,706 | 80,209 |
Total liabilities and stockholders’ equity | $ 103,141 | $ 107,196 |
Condensed Consolidated Balanc_2
Condensed Consolidated Balance Sheets (Parenthetical) - shares | 3 Months Ended | 12 Months Ended |
Mar. 31, 2022 | Dec. 31, 2021 | |
Common stock shares authorized | Unlimited | Unlimited |
Common stock, shares issued | 1,792,613 | 1,792,613 |
Common stock, shares outstanding | 1,792,613 | 1,792,613 |
Common Class C [Member] | ||
Common stock, shares issued | 52,000 | 52,000 |
Common stock, shares outstanding | 52,000 | 52,000 |
Common stock, shares authorized | 52,000 | 52,000 |
Condensed Consolidated Statemen
Condensed Consolidated Statements of Operations - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2022 | Mar. 31, 2021 | |
Revenues: | ||
Sales | $ 6,008 | $ 741 |
Interest and other income | 15 | 69 |
Total revenues | 6,023 | 810 |
Cost and expenses: | ||
Cost of sales | 4,200 | 1,053 |
Selling, general and administrative | (1,406) | 4,647 |
Depreciation and amortization | 65 | 64 |
Total cost and expenses | 2,859 | 5,764 |
Operating income (loss) before income taxes | 3,164 | (4,954) |
Income tax benefit (expense) | (846) | 1,250 |
Net income (loss) | 2,318 | (3,704) |
Less: Net loss attributable to non-controlling interests | (89) | (147) |
Net income (loss) attributable to shareholders | $ 2,407 | $ (3,557) |
Condensed Consolidated Statem_2
Condensed Consolidated Statements of Operations (Parenthetical) - $ / shares | 3 Months Ended | |
Mar. 31, 2022 | Mar. 31, 2021 | |
Income Statement [Abstract] | ||
Net loss per share - basic | $ 1.30 | $ (1.93) |
Net loss per share - diluted | $ 1.30 | $ (1.93) |
Condensed Consolidated Statem_3
Condensed Consolidated Statements of Comprehensive Income (Loss) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2022 | Mar. 31, 2021 | |
Income Statement [Abstract] | ||
Net income (loss) | $ 2,318 | $ (3,704) |
Other comprehensive income: | ||
Net unrealized (gains) losses on pension plan assets | (17) | 10 |
Other comprehensive income, before tax | (17) | 10 |
Income tax benefit (expense) related to items of other comprehensive income | 4 | (2) |
Other comprehensive income, net of tax | (13) | 8 |
Comprehensive income (loss) | 2,305 | (3,696) |
Comprehensive loss attributable to non-controlling interests | (89) | (147) |
Comprehensive income (loss) attributable to stockholders | $ 2,394 | $ (3,549) |
Condensed Consolidated Statem_4
Condensed Consolidated Statements of Stockholders' Equity - USD ($) $ in Thousands | Common Stock [Member] | Additional Paid-in Capital [Member] | Retained Earnings [Member] | AOCI Attributable to Parent [Member] | Parent [Member] | Noncontrolling Interest [Member] | Total |
Beginning balance, value at Dec. 31, 2020 | $ 5,471 | $ 71,440 | $ 946 | $ 77,857 | $ 662 | $ 78,519 | |
Effect of consolidat- ing Kaanapali Coffee Farms Lot Owners’ Association | 3 | 3 | 144 | 147 | |||
Other comprehensive income, net of tax | 8 | 8 | 8 | ||||
Net loss | (3,557) | (3,557) | (147) | (3,704) | |||
Ending balance, value at Mar. 31, 2021 | 5,471 | 67,886 | 954 | 74,311 | 659 | 74,970 | |
Beginning balance, value at Dec. 31, 2021 | 5,471 | 71,698 | 2,298 | 79,467 | 742 | 80,209 | |
Effect of consolidat- ing Kaanapali Coffee Farms Lot Owners’ Association | (15) | (15) | 207 | 192 | |||
Other comprehensive income, net of tax | (13) | (13) | (13) | ||||
Net loss | 2,407 | 2,407 | (89) | 2,318 | |||
Ending balance, value at Mar. 31, 2022 | $ 5,471 | $ 74,090 | $ 2,285 | $ 81,846 | $ 860 | $ 82,706 |
Condensed Consolidated Statem_5
Condensed Consolidated Statements of Cash Flows - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2022 | Mar. 31, 2021 | |
Statement of Cash Flows [Abstract] | ||
Net cash provided by operating activities | $ 3,366 | $ 1 |
Net cash used in investing activities: | ||
Property additions | (128) | (142) |
Net cash used in investing activities | (128) | (142) |
Net cash provided by financing activities: | ||
Contributions | 192 | 147 |
Net cash provided by financing activities | 192 | 147 |
Net increase in cash, cash equivalents and restricted cash | 3,430 | 6 |
Cash, cash equivalents and restricted cash at beginning of period | 17,837 | 18,617 |
Cash, cash equivalents and restricted cash at end of period | $ 21,267 | $ 18,623 |
Summary of Significant Accounti
Summary of Significant Accounting Policies | 3 Months Ended |
Mar. 31, 2022 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Summary of Significant Accounting Policies | (1) Summary of Significant Accounting Policies Organization and Basis of Accounting Kaanapali Land, LLC ("Kaanapali Land"), a Delaware limited liability company, is the reorganized entity resulting from the Joint Plan of Reorganization of Amfac Hawaii, LLC (now known as KLC Land Company, LLC ("KLC Land")), certain of its subsidiaries (together with KLC Land, the "KLC Debtors") and FHT Corporation ("FHTC" and, together with the KLC Debtors, the "Debtors") under Chapter 11 of the Bankruptcy Code, dated June 11, 2002 (as amended, the "Plan"). The accompanying condensed consolidated financial statements include the accounts of Kaanapali Land and all of its subsidiaries and its predecessors (collectively, the “Company”), which include KLC Land and its wholly-owned subsidiaries. The Kaanapali Coffee Farms Lot Owners’ Association is consolidated into the accompanying condensed consolidated financial statements. The interests of third-party owners are reflected as non-controlling interests. All significant intercompany transactions and balances have been eliminated in consolidation. The Company's continuing operations are in two business segments - Agriculture and Property. The Agriculture segment remains engaged in farming, harvesting and milling operations relating to coffee orchards on behalf of the applicable land owners. The Company also cultivates, harvests and sells bananas and citrus fruits and engages in certain ranching operations. The Property segment primarily develops land for sale and negotiates bulk sales of undeveloped land. The Property and Agriculture segments operate exclusively in the State of Hawaii. The accompanying unaudited condensed consolidated financial statements are prepared in accordance with accounting principles generally accepted in the United States for interim financial information and with the instructions to Form 10-Q and Article 10 of Regulation S-X. Accordingly, they do not include all of the information and footnotes required by accounting principles generally accepted in the United States for complete financial statements, and therefore, should be read in conjunction with the Company's Annual Report on Form 10-K (File No. 0-50273) for the year ended December 31, 2021. Capitalized terms used but not defined in this quarterly report have the same meanings as in the Company's 2021 Annual Report on Form 10-K. Property The Company's significant property holdings are on the island of Maui consisting of approximately 3,900 1,500 Inventory of land held for sale, of approximately $ 0 3,045 Use of Estimates The preparation of financial statements in conformity with accounting principles generally accepted in the United States requires management to make estimates and assumptions that affect the amounts reported in the financial statements and accompanying notes. Actual results could differ from those estimates. Operating results for the three months ended March 31, 2022 are not necessarily indicative of the results that may be achieved in future periods. Cash and Cash Equivalents The Company considers as cash equivalents all investments with maturities of three months or less when purchased. Included in this balance as of March 31, 2022 is a money market fund for $ 8,400 Revenue Recognition Revenue from real property sales is recognized at the time of closing when control of the property transfers to the customer. After closing of the sale transaction, the Company has no remaining performance obligation. Other revenues are recognized when control of goods or services transfers to the customers, in the amount that the Company expects to receive for the transfer of goods or provision of services. Revenue recognition standards require entities to recognize revenue to depict the transfer of promised goods or services to customers in an amount that reflects the consideration to which the entity expects to be entitled to receive in exchange. The revenue recognition standards have implications for all revenues, excluding those that are under the specific scope of other accounting standards. The Company’s revenues that were subject to revenue recognition standards for the three months ended March 31, 2022 and 2021 were as follows (in thousands): Three Months Ended March 31, 2022 2021 Sales of real estate $ 4,750 $ -- Coffee and other crop sales 971 527 Total $ 5,721 $ 527 The revenue recognition standards require the use of a five-step model to recognize revenue from customer contracts. The five-step model requires that the Company (i) identify the contract with the customer, (ii) identify the performance obligations in the contract, (iii) determine the transaction price, including variable consideration to the extent that it is probable that a significant future reversal will not occur, (iv) allocate the transaction price to the respective performance obligations in the contract, and (v) recognize revenue when (or as) the Company satisfies the performance obligation. Lease Accounting In February 2016, the Financial Accounting Standards Board (“FASB”) updated Accounting Standards Codification (“ASC”) Topic 842 Leases (ASU 2016-02). Accounting Standards Update (“ASU”) 2016-02 requires lessees to record operating and financing leases as assets and liabilities on the balance sheet and lessors to expense costs that are not direct leasing costs. Subsequently, the FASB issued additional ASUs that further clarified the original ASU. The ASUs became effective for the Company on January 1, 2019. Upon adoption of the lease ASUs, the Company elected the practical expedients allowable under the ASUs, which included the optional transition method permitting January 1, 2019 to be its initial application date. The adoption of this guidance did not result in an adjustment to retained earnings. Additionally, the Company elected the package of practical expedients, which permits the Company not to reassess expired or existing contracts continuing a lease, the lease classification for expired or existing contracts, and initial direct costs for any existing leases. Further, the Company elected the practical expedient regarding short-term leases, which allows lessees to elect not to apply the balance sheet recognition requirements in ASC 842 to short-term leases. Finally, under ASC 842, lessors are required to continually assess collectability of lessee payments, and, if operating lease payments are not probable of collection, to only recognize into income the lesser of (i) straight-line rental income or (ii) lease payments received to date. The adoption of this guidance did not have a material impact on the Company’s condensed consolidated financial statements. The Company’s lease arrangements, both as lessor and as lessee, are short-term leases. The Company leases land to tenants under operating leases, and the Company leases property, primarily office and storage space, from lessors under operating leases. During the three months ended March 31, 2022 and 2021, the Company recognized $ 262 181 19 16 Recently Issued Accounting Pronouncements In June 2016, FASB updated ASC Topic 326 Financial Instruments – Credit Losses with ASU 2016-13 Measurement of Credit Losses on Financial Instruments (ASU 2016-13). ASU 2016-13 enhances the methodology of measuring expected credit losses to include the use of forward-looking information to better inform credit loss estimates. ASU 2016-13 is effective for annual periods beginning after December 15, 2019 for public companies except for smaller reporting companies whose effective date will be periods beginning after December 15, 2022. While the Company is currently evaluating the effect that implementation of this update will have on its condensed consolidated financial statements, no significant impact is anticipated. In March 2020, FASB issued ASU 2020-04, Reference Rate Reform (ASU 2020-04) which provides optional expedients and exceptions for applying U.S. GAAP to contracts, hedging relationships, and other transactions affected by the discontinuance of LIBOR or another referenced rate. ASU 2020-04 is effective for fiscal years beginning after December 31, 2022. While the Company is currently evaluating the effect that the implementation of this guidance will have on its condensed consolidated financial statements, no significant impact is anticipated. |
Land Development
Land Development | 3 Months Ended |
Mar. 31, 2022 | |
Real Estate [Abstract] | |
Land Development | (2) Land Development During the first quarter of 2006, the Company received final subdivision approval on an approximate 336 acre parcel in the region "mauka" (toward the mountains) from the main highway serving the area. This project, called Kaanapali Coffee Farms, originally consisted of 51 5,000 In September 2014, Kaanapali Land Management Corp. (“KLMC”), pursuant to a property and option purchase agreement with an unrelated third party, closed on the sale of an approximate 14.9 3,300 583 |
Mortgage Note Payable
Mortgage Note Payable | 3 Months Ended |
Mar. 31, 2022 | |
Debt Disclosure [Abstract] | |
Mortgage Note Payable | (3) Mortgage Note Payable Certain subsidiaries of Kaanapali Land are jointly indebted to Kaanapali Land pursuant to a certain Secured Promissory Note in the principal amount of $ 70,000 November 14, 2002 September 30, 2029 89,940 90,565 0.39 |
Employee Benefit Plans
Employee Benefit Plans | 3 Months Ended |
Mar. 31, 2022 | |
Retirement Benefits [Abstract] | |
Employee Benefit Plans | (4) Employee Benefit Plans The Company participates in a defined benefit pension plan that covers substantially all its eligible employees. The Pension Plan is sponsored and maintained by Kaanapali Land in conjunction with other plans providing benefits to employees of Kaanapali Land and its affiliates. The Company’s Pension Plan has excess assets of approximately $ 20 The components of the net periodic pension benefit (credit), included in selling, general and administrative in the Company’s condensed consolidated statements of operations for the three months ended March 31, 2022 and 2021 are as follows: Three Months Ended March 31, 2022 2021 Service cost $ 110 $ 70 Interest cost 1 2 Expected return on plan assets (61) (230) Recognized net actuarial (gain) loss (5) 10 Curtailment (gain) loss (12) -- Net periodic pension cost (credit) $ 33 $ (148) The Company recognizes the over funded or under funded status of its employee benefit plans as an asset or liability in its statement of financial position and recognizes changes in its funded status in the year in which the changes occur through comprehensive income. Included in accumulated other comprehensive income at March 31, 2022 and December 31, 2021 are the following amounts that have not yet been recognized in net periodic pension cost: unrecognized prior service costs of $ 0 0 3,089 2,286 3,106 2,298 0 9 5 4 The Company maintains a nonqualified deferred compensation arrangement (the "Rabbi Trust") which provides certain former directors of Amfac and their spouses with pension benefits. The deferred compensation liability of $ 356 |
Income Taxes
Income Taxes | 3 Months Ended |
Mar. 31, 2022 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | (5) Income Taxes The statutes of limitations with respect to the Company's taxes for 2018 The Tax Cuts and Jobs Act (the “Act”) repealed the corporate AMT and provided that prior AMT credits would be refundable. Any remaining AMT credit amount became refundable incrementally from 2018 through 2021. The CARES Act accelerated the refund schedule, enabling the Company to claim the refund in full. In February and July 2021, the Company received $ 1,483 1,486 The Act is a comprehensive tax reform bill containing a number of other provisions that either currently or in the future could impact the Company, particularly the effect of certain limitations effective for the tax year 2018 and forward (prior losses remain subject to the prior 20 year carryover period) on the use of federal NOL carryforwards which will generally be limited to being used to offset 80% of future annual taxable income. |
Transactions with Affiliates
Transactions with Affiliates | 3 Months Ended |
Mar. 31, 2022 | |
Related Party Transactions [Abstract] | |
Transactions with Affiliates | (6) Transactions with Affiliates An affiliated insurance agency, JMB Insurance Agency, Inc., which has some degree of common ownership with the Company, earns insurance brokerage commissions in connection with providing the placement of insurance coverage for certain of the properties and operations of the Company. Such commissions are believed by management to be comparable to those that would be paid to unaffiliated third parties. No The Company reimburses its affiliates for general overhead expense and for direct expenses incurred on its behalf, including salaries and salary-related expenses incurred in connection with the management of the Company's operations. Generally, the entity that employs the person providing the services receives the reimbursement. Substantially all of such reimbursable amounts were incurred by JMB Realty Corporation or its affiliates, 900FMS, LLC, 900Work, LLC, and JMB Financial Advisors, LLC, all of which have some degree of common ownership with the Company. The total costs recorded in cost of sales and selling, general and administrative expenses in the condensed consolidated statement of operations for the three months ended March 31, 2022 and 2021 were $370 $368 $28 The Company derives revenue from farming and common area maintenance services and for providing non-potable water to the Kaanapali Coffee Farms Lot Owners Association (“LOA”). The LOA is the association of the owners of the Kaanapali Coffee Farms. The revenues were $313 $323 |
Commitments and Contingencies
Commitments and Contingencies | 3 Months Ended |
Mar. 31, 2022 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments and Contingencies | (7) Commitments and Contingencies At March 31, 2022, the Company has no principal contractual obligations related to the land improvements in conjunction with Phase I of the Kaanapali Coffee Farms project. Material legal proceedings of the Company are described below. Unless otherwise noted, the parties adverse to the Company in the legal proceedings described below have not made a claim for damages in a liquidated amount and/or the Company believes that it would be speculative to attempt to determine the Company's exposure relative thereto, and as a consequence believes that an estimate of the range of potential loss cannot be made. Two former subsidiaries, Oahu Sugar Company, LLC (“Oahu Sugar”) and D/C Distribution Corporation (“D/C”), filed petitions for liquidation under Chapter 7 of the Bankruptcy Code in April 2005 and July 2007, respectively, as described below. On December 17, 2019, the Oahu Sugar bankruptcy case was closed. As a consequence of the Chapter 7 filing, D/C has not been under control of the Company since the bankruptcy filing. As a result of an administrative order issued to Oahu Sugar by the Hawaii Department of Health (“HDOH”), Order No. CH 98-001, dated January 27, 1998, Oahu Sugar engaged in environmental site assessment of lands it leased from the U.S. Navy and located on the Waipio Peninsula. Oahu Sugar submitted a Remedial Investigation Report to the HDOH. The HDOH provided comments that indicated that additional testing may be required. Oahu Sugar responded to these comments with additional information. On January 9, 2004, the Environmental Protection Agency (“EPA”) issued a request to Oahu Sugar seeking information related to the actual or threatened release of hazardous substances, pollutants and contaminants at the Waipio Peninsula portion of the Pearl Harbor Naval Complex National Priorities List Superfund Site. The request sought, among other things, information relating to the ability of Oahu Sugar to pay for or perform a cleanup of the land formerly occupied by Oahu Sugar. Oahu Sugar responded to the information requests and notified both the Navy and EPA that while it had some modest remaining cash that it could contribute to further investigation and remediation efforts in connection with an overall settlement of the outstanding claims, Oahu Sugar was substantially without assets and would be unable to make a significant contribution to such an effort. Attempts at negotiating such a settlement were fruitless and Oahu Sugar received an order from EPA in March 2005 that purported to require certain testing and remediation of the site. As Oahu Sugar was substantially without assets, the pursuit of any action, informational, enforcement, or otherwise, would have had a material adverse effect on the financial condition of Oahu Sugar. Therefore, as a result of the pursuit of further action by the HDOH and EPA as described above and the immediate material adverse effect that the actions had on the financial condition of Oahu Sugar, Oahu Sugar filed with the United States Bankruptcy Court, Northern District of Illinois, Eastern Division in April 2005, its voluntary petition for liquidation under Chapter 7 of Title 11, United States Bankruptcy Code. Such filing was not expected to have a material adverse effect on the Company as Oahu Sugar was substantially without assets at the time of the filing. While it was not believed that any other affiliates had any responsibility for the debts of Oahu Sugar, EPA made a claim against Kaanapali Land as further described below. Prior to the claims filing deadline, Kaanapali Land, on behalf of itself and certain subsidiaries, filed claims that aggregated approximately $224,000 $260 $2,760 $11,450 With regard to the alleged Waipio Penisula alleged environmental issues, EPA sent three requests for information to Kaanapali Land regarding, among other things, Kaanapali Land's organization and relationship, if any, to entities that may have, historically, operated on the site and with respect to operations conducted on the Waipio site. Kaanapali Land responded to these requests for information. By letter dated February 7, 2007, pursuant to an allegation that Kaanapali Land was a successor to Oahu Sugar Company, Limited, a company that operated at the site prior to 1961 ("Old Oahu"), EPA advised Kaanapali that it believed it was authorized by the Comprehensive Environmental Response Compensation and Liability Act (“CERCLA”) to amend the existing Unilateral Administrative Order against Oahu Sugar Company, LLC, for the cleanup of the site to include Kaanapali Land as an additional respondent. The purported basis for EPA's position was that Kaanapali Land, by virtue of certain corporate actions, was jointly and severally responsible for the performance of the response actions, including, without limitation, clean-up at the site. No such amendment was made. Instead, after a series of discussions between Kaanapali and EPA, on or about September 30, 2009, EPA issued a Unilateral Administrative Order to Kaanapali Land for the performance of work in support of a removal action at the former Oahu Sugar pesticide mixing site located on Waipio peninsula. The work consisted of the performance of soil and groundwater sampling and analysis, a topographic survey, and the preparation of an engineering evaluation and cost analysis of potential removal actions to abate an alleged "imminent and substantial endangerment" to public health, welfare or the environment. The order appeared to be further predicated primarily on the alleged connection of Kaanapali Land to Old Oahu and its activities on the site. Kaanapali Land engaged in performing work, including the conduct of sampling at the site, required by the order while reserving its rights to contest liability regarding the site. With regard to liability for the site, Kaanapali Land believed that its liability, if any, should have related solely to a portion of the period of operation of Old Oahu at the site, although in some circumstances CERCLA apparently permits imposition of joint and several liability, which can exceed a responsible party's equitable share. Kaanapali Land believed that the U.S. Navy bore substantial liability for the site by virtue of its ownership of the site throughout the entire relevant period, both as landlord under its various leases with Oahu Sugar and Old Oahu and by operating and intensively utilizing the site directly during a period when no lease was in force. The Company believed that the cost of the work as set forth in the pending order would not have been material to the Company as a whole; however, in the event that EPA were to issue an order requiring remediation of the site, the Company gave no assurances that the cost of said remediation would not ultimately have a material adverse effect on the Company. In addition, the Company believed that if there were litigation regarding the site, there could be no assurances that the cost of such litigation would not be material or that such litigation would result in a judgment in favor of the Company. Kaanapali and the EPA exchanged comments relative to further studies to be performed at the site, including a possible ecological risk assessment. After years of performing work at the site, the parties engaged in discussions to resolve the matter. The matter was ultimately resolved pursuant to the Consent Decree set forth below. On February 11, 2015, the Company filed a complaint for declaratory judgment, bad faith and damages against Fireman’s Fund Insurance Company (“Fireman’s Fund”) in the Circuit Court of the First Circuit, State of Hawaii, Civil No. 15-1-0239-02, in connection with costs and expenses it might incur in connection with the Waipio site. In the five-count complaint, the Company sought, among other things, a declaratory judgment of its rights under various Fireman’s Fund policies and an order that Fireman’s Fund defend and indemnify Kaanapali Land from all past, present and future costs and expenses in connection with the site, including costs of investigation and defense incurred by Kaanapali and the professionals it has engaged. In addition, Kaanapali sought general, special, and punitive damages, prejudgment and post judgment interest, and such other legal or equitable relief as the court deems just and proper. Fireman’s Fund has filed a responsive pleading. This litigation was settled and dismissed with prejudice pursuant to an agreement between Fireman’s Fund and the Company dated on or about November 24, 2021 (“Insurance Settlement”). The dismissal order was entered on March 31, 2022. Under the Insurance Settlement Fireman’s Fund paid $6,800 On April 16, 2021, the U.S. Department of Justice and the U.S. Environmental Protection Agency, on behalf of various federal agencies of the United States of America, executed a Consent Decree with Kaanapali Land, LLC, a Delaware limited liability company (the “Company”) that, if entered by the U.S. District Court sitting in the District of Hawaii, United States of America v. Kaanapali Land, and Oahu Sugar Company, LLC Case No. 1:21-CV-00190, resolved the U.S. federal government’s current environmental claims against the Company with respect to contamination at the former mixing site on Waipio Peninsula on Oahu in Hawaii that had been leased by Oahu Sugar Company LLC, a former subsidiary of the Company. In return for payments by the Company totaling $7,500 Kaanapali Land, as successor by merger to other entities, and D/C have been named as defendants in personal injury actions allegedly based on exposure to asbestos. While there are relatively few cases that name Kaanapali Land, there were a substantial number of cases that were pending against D/C on the U.S. mainland (primarily in California). Cases against Kaanapali Land (hereafter, “Kaanapali Land asbestos cases”) are allegedly based on its prior business operations in Hawaii and cases against D/C are allegedly based on sale of asbestos-containing products by D/C's prior distribution business operations primarily in California. Each entity defending these cases believes that it has meritorious defenses against these actions, but can give no assurances as to the ultimate outcome of these cases. The defense of these cases had a material adverse effect on the financial condition of D/C as it has been forced to file a voluntary petition for liquidation as discussed below. Kaanapali Land does not believe that it has liability, directly or indirectly, for D/C's obligations in those cases. Kaanapali Land does not presently believe that the cases in which it is named will result in any material liability to Kaanapali Land; however, there can be no assurance in that regard. On February 12, 2014, counsel for Fireman’s Fund, the carrier that has been paying defense costs and settlements for the Kaanapali Land asbestos cases, stated that it would no longer pay settlements or judgments in the Kaanapali Land asbestos cases due to then pending D/C and Oahu Sugar bankruptcies. In its communications with Kaanapali Land, Fireman’s fund expressed its view that the automatic stay in effect in the D/C bankruptcy case barred Fireman’s Fund from making any payments to resolve the Kaanapali Land asbestos claims because D/C Distribution was also alleging a right to coverage under those policies for asbestos claims against it. However, in the interim, Fireman’s Fund advised that it intended to continue to pay defense costs for those cases, subject to whatever reservations of rights that might be in effect and subject further to the policy terms. Fireman’s Fund also indicated that to the extent that Kaanapali Land cooperated with Fireman’s Fund in addressing settlement of the Kaanapali Land asbestos cases through coordination with its adjusters, it was Fireman’s Fund’s intention to reimburse any such payments by Kaanapali Land, subject, among other things, to the terms of any lift-stay order, the limits and other terms and conditions of the policies, and prior approval of the settlements. Kaanapali Land and Fireman’s Fund entered into a settlement agreement on or about November 24, 2021 whereby Fireman’s Fund paid $2,441 for certain listed Kaanapali Land asbestos cases upon a Final Order of the D/C bankruptcy court lifting the automatic stay to allow the payments. The D/C court issued the lift-stay order on March 1, 2022. On April 12, 2022, the Company received $2,441 On February 15, 2005, D/C was served with a lawsuit entitled American & Foreign Insurance Company v. D/C Distribution and Amfac Corporation, Case No. 04433669 filed in the Superior Court of the State of California for the County of San Francisco, Central Justice Center. No other purported party was served. In the eight-count complaint for declaratory relief, reimbursement and recoupment of unspecified amounts, costs and for such other relief as the court might grant, plaintiff alleged that it is an insurance company to whom D/C tendered for defense and indemnity various personal injury lawsuits allegedly based on exposure to asbestos containing products. Plaintiff alleged that because none of the parties have been able to produce a copy of the policy or policies in question, a judicial determination of the material terms of the missing policy or policies is needed. Plaintiff sought, among other things, a declaration: of the material terms, rights, and obligations of the parties under the terms of the policy or policies; that the policies were exhausted; that plaintiff is not obligated to reimburse D/C for its attorneys' fees in that the amounts of attorneys' fees incurred by D/C have been incurred unreasonably; that plaintiff was entitled to recoupment and reimbursement of some or all of the amounts it has paid for defense and/or indemnity; and that D/C breached its obligation of cooperation with plaintiff. D/C filed an answer and an amended cross-claim. D/C believed that it had meritorious defenses and positions, and intended to vigorously defend. In addition, D/C believed that it was entitled to amounts from plaintiffs for reimbursement and recoupment of amounts expended by D/C on the lawsuits previously tendered. In order to fund such action and its other ongoing obligations while such lawsuit continued, D/C entered into a Loan Agreement and Security Agreement with Kaanapali Land, in August 2006, whereby Kaanapali Land provided certain advances against a promissory note delivered by D/C in return for a security interest in any D/C insurance policy at issue in this lawsuit. In June 2007, the parties settled this lawsuit with payment by plaintiffs in the amount of $1,618 Because D/C was substantially without assets and was unable to obtain additional sources of capital to satisfy its liabilities, D/C filed with the United States Bankruptcy Court, Northern District of Illinois, its voluntary petition for liquidation under Chapter 7 of Title 11, United States Bankruptcy Code during July 2007, Case No. 07-12776. Such filing is not expected to have a material adverse effect on the Company as D/C was substantially without assets at the time of the filing. Kaanapali Land filed claims in the D/C bankruptcy that aggregated approximately $26,800 On January 21, 2020, certain asbestos claimants filed a Stay Relief Motion in the Bankruptcy Court for the Northern District of Illinois, Eastern Division, Case No. 07-12776 (“motion to lift stay”) in connection with the D/C proceeding. The motion sought the entry of an order, among other things, modifying the automatic stay in the D/C bankruptcy to permit those claimants to prosecute various lawsuits in state courts against D/C Distribution, LLC, and to recover on any judgment or settlement solely from any available insurance coverage. Various oppositions to the motion to lift stay were filed, and the matter was heard and taken under advisement in April 2020. On July 21, 2020, the bankruptcy court issued an order granting the motion to lift stay to permit the movants to pursue their claims and to recover any judgment or settlement from and to the extent of any available insurance coverage of D/C Distribution, LLC, only. The bankruptcy trustee for D/C is now in the process of closing the bankruptcy case. All of the asbestos-related proofs claims filed by the San Francisco personal injury firm in the bankruptcy case have been withdrawn in connection with closing. There is a small amount of money on-hand for possible distribution on closing. Although D/C will no longer have any assets after the trustee’s final distribution and closing of the case, there is no guaranty that personal injury claimants will not assert asbestos-related claims against D/C in the future. The Company has received notice from Hawaii’s Department of Land and Natural Resources (“DNLR”) that DNLR on a periodic basis would inspect all significant dams and reservoirs in Hawaii, including those maintained by the Company on Maui in connection with its agricultural operations. A series of such inspections have taken place over the period from 2006 through the most recent inspections that occurred in July 2021. To date, the DLNR has cited certain deficiencies concerning two of the Company’s reservoirs relating to dam and reservoir safety standards established by the State of Hawaii. These deficiencies include, among other things, vegetative overgrowth, erosion of slopes, uncertainty of inflow control, spillway capacity, and freeboard, and uncertainty of structural stability under certain loading and seismic conditions. The Company has taken certain corrective actions, including lowering the reservoir operating level; as well as updating important plans to address emergency events and basic operations and maintenance. In 2018, the Company contracted with an engineering firm to develop plans to address certain DLNR cited deficiencies on one of the Company’s reservoirs. In 2012, the State of Hawaii issued new Hawaii Administrative Rules for Dams and Reservoirs which require dam owners to obtain from DLNR Certificates of Impoundment (“permits”) to operate and maintain dams or reservoirs. Obtaining such permits requires owners to completely resolve all cited deficiencies. Therefore, the process may involve further analysis of dam and reservoir safety requirements, which will involve continuing engagement with specialized engineering consultants, and ultimately could result in significant and costly improvements which may be material to the Company. The DLNR categorizes the reservoirs as "high hazard" under State of Hawaii Administrative Rules and State Statutes concerning dam and reservoir safety. This classification, which bears upon government oversight and reporting requirements, may increase the cost of managing and maintaining these reservoirs in a material manner. The Company does not believe that this classification is warranted for either of these reservoirs and has initiated a dialogue with DLNR in that regard. In April 2008, the Company received further correspondence from DLNR that included the assessment by their consultants of the potential losses that result from the failure of these reservoirs. In April 2009, the Company filed a written response to DLNR to correct certain factual errors in its report and to request further analysis on whether such "high hazard" classifications are warranted. It is unlikely that the “high hazard” designation will be changed. Other than as described above, the Company is not involved in any material pending legal proceedings, other than ordinary routine litigation incidental to its business. The Company and/or certain of its affiliates have been named as defendants in several pending lawsuits. While it is impossible to predict the outcome of such routine litigation that is now pending (or threatened) and for which the potential liability is not covered by insurance, the Company is of the opinion that the ultimate liability from any of this litigation will not materially adversely affect the Company's consolidated results of operations or its financial condition. Kaanapali Land Management Corp. (KLMC) is a party to an agreement with the State of Hawaii for the development of the Lahaina Bypass Highway. An approximate 2.4 mile portion of this two lane state highway has been completed. Construction to extend the southern terminus was completed mid-2018. The northern portion of the Bypass Highway, which extends to KLMC’s lands, is in the early stage of planning. Under certain circumstances, which have not yet occurred, KLMC remains committed for approximately $1,100 $6,700 These potential commitments have not been reflected in the accompanying condensed consolidated financial statements. While the completion of the Bypass Highway would add value to KLMC’s lands north of the town of Lahaina, there can be no assurance that it will be completed or when any future phases will be undertaken. Economic uncertainty relating to COVID-19 continues and the effects of an improving economy could be negatively impacted by surges in COVID-19 and new variants, the administration and effectiveness of vaccines and government responses to future developments as well as supply chain disruptions, labor shortages and rising inflation. A resurgence of COVID-19 or the emergence of new, significant variants, could negatively impact the Maui real estate market, which could negatively impact the Company’s results and financial position. |
Calculation of Net Income (Loss
Calculation of Net Income (Loss) Per Share | 3 Months Ended |
Mar. 31, 2022 | |
Earnings Per Share [Abstract] | |
Calculation of Net Income (Loss) Per Share | (8) Calculation of Net Income (Loss) Per Share The following tables set forth the computation of net loss per share - basic and diluted: Three Months Ended March 31, (Amounts in thousands, Except per share amounts) 2022 2021 Numerator: Net income (loss) $ 2,318 $ (3,704) Less: Net loss attributable to non-controlling interests (89) (147) Net income (loss) attributable to stockholders $ 2,407 $ (3,557) Denominator: Number of weighted average share outstanding - basic and diluted 1,845 1,845 Net income (loss) per share, attributable to Kaanapali Land - basic and diluted $ 1.30 $ (1.93) |
Business Segment Information
Business Segment Information | 3 Months Ended |
Mar. 31, 2022 | |
Segment Reporting [Abstract] | |
Business Segment Information | (9) Business Segment Information As described in Note 1, the Company operates in two business segments. Total revenues and operating profit by business segment are presented in the tables below. Total revenues by business segment includes primarily (i) sales, all of which are to unaffiliated customers and (ii) interest income that is earned from outside sources on assets which are included in the individual industry segment's identifiable assets. Operating income (loss) is comprised of total revenue less cost of sales and operating expenses. In computing operating income (loss), none of the following items have been added or deducted: general corporate revenues and expenses, interest expense and income taxes. Three Months Ended March 31, 2022 2021 Revenues: Property $ 4,806 $ 67 Agriculture 1,217 691 Corporate -- 52 $ 6,023 $ 810 Operating income (loss): Property $ 1,172 $ (315) Agriculture 250 (107) Operating income (loss) 1,422 (422) Corporate 1,742 (4,532) Operating income (loss) before income taxes $ 3,164 $ (4,954) The Company’s property segment consists primarily of revenue received from land sales and lease and licensing agreements. The Company’s agricultural segment consists primarily of coffee operations and licensing agreements. The Company is exploring alternative agricultural operations, but there can be no assurance that replacement operations at any level will result. |
Subsequent Events
Subsequent Events | 3 Months Ended |
Mar. 31, 2022 | |
Subsequent Events [Abstract] | |
Subsequent Events | (10) Subsequent Events On April 12, 2022, the Company received $ 2,441 |
Summary of Significant Accoun_2
Summary of Significant Accounting Policies (Policies) | 3 Months Ended |
Mar. 31, 2022 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Organization and Basis of Accounting | Organization and Basis of Accounting Kaanapali Land, LLC ("Kaanapali Land"), a Delaware limited liability company, is the reorganized entity resulting from the Joint Plan of Reorganization of Amfac Hawaii, LLC (now known as KLC Land Company, LLC ("KLC Land")), certain of its subsidiaries (together with KLC Land, the "KLC Debtors") and FHT Corporation ("FHTC" and, together with the KLC Debtors, the "Debtors") under Chapter 11 of the Bankruptcy Code, dated June 11, 2002 (as amended, the "Plan"). The accompanying condensed consolidated financial statements include the accounts of Kaanapali Land and all of its subsidiaries and its predecessors (collectively, the “Company”), which include KLC Land and its wholly-owned subsidiaries. The Kaanapali Coffee Farms Lot Owners’ Association is consolidated into the accompanying condensed consolidated financial statements. The interests of third-party owners are reflected as non-controlling interests. All significant intercompany transactions and balances have been eliminated in consolidation. The Company's continuing operations are in two business segments - Agriculture and Property. The Agriculture segment remains engaged in farming, harvesting and milling operations relating to coffee orchards on behalf of the applicable land owners. The Company also cultivates, harvests and sells bananas and citrus fruits and engages in certain ranching operations. The Property segment primarily develops land for sale and negotiates bulk sales of undeveloped land. The Property and Agriculture segments operate exclusively in the State of Hawaii. The accompanying unaudited condensed consolidated financial statements are prepared in accordance with accounting principles generally accepted in the United States for interim financial information and with the instructions to Form 10-Q and Article 10 of Regulation S-X. Accordingly, they do not include all of the information and footnotes required by accounting principles generally accepted in the United States for complete financial statements, and therefore, should be read in conjunction with the Company's Annual Report on Form 10-K (File No. 0-50273) for the year ended December 31, 2021. Capitalized terms used but not defined in this quarterly report have the same meanings as in the Company's 2021 Annual Report on Form 10-K. |
Property | Property The Company's significant property holdings are on the island of Maui consisting of approximately 3,900 1,500 Inventory of land held for sale, of approximately $ 0 3,045 |
Use of Estimates | Use of Estimates The preparation of financial statements in conformity with accounting principles generally accepted in the United States requires management to make estimates and assumptions that affect the amounts reported in the financial statements and accompanying notes. Actual results could differ from those estimates. Operating results for the three months ended March 31, 2022 are not necessarily indicative of the results that may be achieved in future periods. |
Cash and Cash Equivalents | Cash and Cash Equivalents The Company considers as cash equivalents all investments with maturities of three months or less when purchased. Included in this balance as of March 31, 2022 is a money market fund for $ 8,400 |
Revenue Recognition | Revenue Recognition Revenue from real property sales is recognized at the time of closing when control of the property transfers to the customer. After closing of the sale transaction, the Company has no remaining performance obligation. Other revenues are recognized when control of goods or services transfers to the customers, in the amount that the Company expects to receive for the transfer of goods or provision of services. Revenue recognition standards require entities to recognize revenue to depict the transfer of promised goods or services to customers in an amount that reflects the consideration to which the entity expects to be entitled to receive in exchange. The revenue recognition standards have implications for all revenues, excluding those that are under the specific scope of other accounting standards. The Company’s revenues that were subject to revenue recognition standards for the three months ended March 31, 2022 and 2021 were as follows (in thousands): Three Months Ended March 31, 2022 2021 Sales of real estate $ 4,750 $ -- Coffee and other crop sales 971 527 Total $ 5,721 $ 527 The revenue recognition standards require the use of a five-step model to recognize revenue from customer contracts. The five-step model requires that the Company (i) identify the contract with the customer, (ii) identify the performance obligations in the contract, (iii) determine the transaction price, including variable consideration to the extent that it is probable that a significant future reversal will not occur, (iv) allocate the transaction price to the respective performance obligations in the contract, and (v) recognize revenue when (or as) the Company satisfies the performance obligation. |
Lease Accounting | Lease Accounting In February 2016, the Financial Accounting Standards Board (“FASB”) updated Accounting Standards Codification (“ASC”) Topic 842 Leases (ASU 2016-02). Accounting Standards Update (“ASU”) 2016-02 requires lessees to record operating and financing leases as assets and liabilities on the balance sheet and lessors to expense costs that are not direct leasing costs. Subsequently, the FASB issued additional ASUs that further clarified the original ASU. The ASUs became effective for the Company on January 1, 2019. Upon adoption of the lease ASUs, the Company elected the practical expedients allowable under the ASUs, which included the optional transition method permitting January 1, 2019 to be its initial application date. The adoption of this guidance did not result in an adjustment to retained earnings. Additionally, the Company elected the package of practical expedients, which permits the Company not to reassess expired or existing contracts continuing a lease, the lease classification for expired or existing contracts, and initial direct costs for any existing leases. Further, the Company elected the practical expedient regarding short-term leases, which allows lessees to elect not to apply the balance sheet recognition requirements in ASC 842 to short-term leases. Finally, under ASC 842, lessors are required to continually assess collectability of lessee payments, and, if operating lease payments are not probable of collection, to only recognize into income the lesser of (i) straight-line rental income or (ii) lease payments received to date. The adoption of this guidance did not have a material impact on the Company’s condensed consolidated financial statements. The Company’s lease arrangements, both as lessor and as lessee, are short-term leases. The Company leases land to tenants under operating leases, and the Company leases property, primarily office and storage space, from lessors under operating leases. During the three months ended March 31, 2022 and 2021, the Company recognized $ 262 181 19 16 |
Recently Issued Accounting Pronouncements | Recently Issued Accounting Pronouncements In June 2016, FASB updated ASC Topic 326 Financial Instruments – Credit Losses with ASU 2016-13 Measurement of Credit Losses on Financial Instruments (ASU 2016-13). ASU 2016-13 enhances the methodology of measuring expected credit losses to include the use of forward-looking information to better inform credit loss estimates. ASU 2016-13 is effective for annual periods beginning after December 15, 2019 for public companies except for smaller reporting companies whose effective date will be periods beginning after December 15, 2022. While the Company is currently evaluating the effect that implementation of this update will have on its condensed consolidated financial statements, no significant impact is anticipated. In March 2020, FASB issued ASU 2020-04, Reference Rate Reform (ASU 2020-04) which provides optional expedients and exceptions for applying U.S. GAAP to contracts, hedging relationships, and other transactions affected by the discontinuance of LIBOR or another referenced rate. ASU 2020-04 is effective for fiscal years beginning after December 31, 2022. While the Company is currently evaluating the effect that the implementation of this guidance will have on its condensed consolidated financial statements, no significant impact is anticipated. |
Summary of Significant Accoun_3
Summary of Significant Accounting Policies (Tables) | 3 Months Ended |
Mar. 31, 2022 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Schedule of Revenues Subject to Revenue Recognition Standards | Three Months Ended March 31, 2022 2021 Sales of real estate $ 4,750 $ -- Coffee and other crop sales 971 527 Total $ 5,721 $ 527 |
Employee Benefit Plans (Tables)
Employee Benefit Plans (Tables) | 3 Months Ended |
Mar. 31, 2022 | |
Retirement Benefits [Abstract] | |
Schedule of Components of Net Periodic Pension Benefit (Credit) | Three Months Ended March 31, 2022 2021 Service cost $ 110 $ 70 Interest cost 1 2 Expected return on plan assets (61) (230) Recognized net actuarial (gain) loss (5) 10 Curtailment (gain) loss (12) -- Net periodic pension cost (credit) $ 33 $ (148) |
Calculation of Net Income (Lo_2
Calculation of Net Income (Loss) Per Share (Tables) | 3 Months Ended |
Mar. 31, 2022 | |
Earnings Per Share [Abstract] | |
Schedule of Computation of Net Income (Loss) Per Share - Basic and Diluted | Three Months Ended March 31, (Amounts in thousands, Except per share amounts) 2022 2021 Numerator: Net income (loss) $ 2,318 $ (3,704) Less: Net loss attributable to non-controlling interests (89) (147) Net income (loss) attributable to stockholders $ 2,407 $ (3,557) Denominator: Number of weighted average share outstanding - basic and diluted 1,845 1,845 Net income (loss) per share, attributable to Kaanapali Land - basic and diluted $ 1.30 $ (1.93) |
Business Segment Information (T
Business Segment Information (Tables) | 3 Months Ended |
Mar. 31, 2022 | |
Segment Reporting [Abstract] | |
Schedule of Operating Income (Loss) by Segments | Three Months Ended March 31, 2022 2021 Revenues: Property $ 4,806 $ 67 Agriculture 1,217 691 Corporate -- 52 $ 6,023 $ 810 Operating income (loss): Property $ 1,172 $ (315) Agriculture 250 (107) Operating income (loss) 1,422 (422) Corporate 1,742 (4,532) Operating income (loss) before income taxes $ 3,164 $ (4,954) |
Schedule of Revenues Subject to
Schedule of Revenues Subject to Revenue Recognition Standards (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2022 | Mar. 31, 2021 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | ||
Sales of real estate | $ 4,750 | |
Coffee and other crop sales | 971 | 527 |
Total | $ 5,721 | $ 527 |
Summary of Significant Accoun_4
Summary of Significant Accounting Policies (Details Narrative) $ in Thousands | 3 Months Ended | ||
Mar. 31, 2022USD ($)a | Mar. 31, 2021USD ($) | Dec. 31, 2021USD ($) | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |||
Area of significant property holdings on island of Maui | a | 3,900 | ||
Area of property holdings in Maui classified as conservation land which precludes development | a | 1,500 | ||
Inventory of land held for sale | $ 0 | $ 3,045 | |
Money market fund | 8,400 | ||
Operating lease income | 262 | $ 181 | |
Operating lease expense | $ 19 | $ 16 |
Land Development (Details Narra
Land Development (Details Narrative) $ in Thousands | 1 Months Ended | 3 Months Ended |
Sep. 30, 2014USD ($)a | Mar. 31, 2022USD ($)Lots | |
Real Estate [Line Items] | ||
Number of agricultural lots held for sale | Lots | 51 | |
Proceeds from sale of agricultural lot | $ 3,300 | $ 5,000 |
Acres of land sold | a | 14.9 | |
Maximum [Member] | ||
Real Estate [Line Items] | ||
Future funds committed by KLMC to improve parcel of land sold | $ 583 |
Mortgage Note Payable (Details
Mortgage Note Payable (Details Narrative) - Secured Debt [Member] - Affiliated Entity [Member] - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2022 | Dec. 31, 2021 | |
Debt Instrument [Line Items] | ||
Debt instrument, face amount | $ 70,000 | |
Debt instrument, issuance date | Nov. 14, 2002 | |
Debt instrument, maturity date | Sep. 30, 2029 | |
Outstanding balance of principal and accrued interest | $ 89,940 | $ 90,565 |
Debt instrument, interest rate | 0.39% |
Schedule of Components of Net P
Schedule of Components of Net Periodic Pension Benefit (Credit) (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2022 | Mar. 31, 2021 | |
Retirement Benefits [Abstract] | ||
Service cost | $ 110 | $ 70 |
Interest cost | 1 | 2 |
Expected return on plan assets | (61) | (230) |
Recognized net actuarial (gain) loss | (5) | 10 |
Curtailment (gain) loss | (12) | |
Net periodic pension cost (credit) | $ 33 | $ (148) |
Employee Benefit Plans (Details
Employee Benefit Plans (Details Narrative) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2022 | Dec. 31, 2021 | |
Retirement Benefits [Abstract] | ||
Excess assets of pension plan | $ 20,000 | |
Unrecognized prior service costs that have not yet been recognized in net periodic pension cost, before tax | 0 | $ 0 |
Unrecognized actuarial gain that have not yet been recognized in net periodic pension cost, before tax | 3,089 | 3,106 |
Unrecognized actuarial gain that have not yet been recognized in net periodic pension cost, after tax | 2,286 | $ 2,298 |
Prior service cost recognized in net periodic pension cost, pre tax | 0 | |
Curtailment gain recognized in net periodic pension cost, after tax | 9 | |
Prior actuarial loss recognized in net periodic pension cost, pre tax | 5 | |
Prior actuarial loss recognized in net periodic pension cost, after tax | 4 | |
Deferred Compensation Liability, Current and Noncurrent | $ 356 |
Income Taxes (Details Narrative
Income Taxes (Details Narrative) - USD ($) $ in Thousands | 1 Months Ended | 3 Months Ended | |
Jul. 31, 2021 | Feb. 28, 2021 | Mar. 31, 2022 | |
Operating Loss Carryforwards [Line Items] | |||
Expected refundable tax credit received from Internal Revenue Service. | $ 1,486 | $ 1,483 | |
Internal Revenue Service (IRS) [Member] | Minimum [Member] | |||
Operating Loss Carryforwards [Line Items] | |||
Open tax years | 2018 |
Transactions with Affiliates (D
Transactions with Affiliates (Details Narrative) - Affiliated Entity [Member] - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2022 | Mar. 31, 2021 | |
Related Party Transaction [Line Items] | ||
Insurance brokerage commissions incurred during period with related party | $ 0 | $ 0 |
Selling, general and administrative expenses incurred during the period with related parties | 370 | 368 |
Amounts due to affiliates not yet paid | 28 | |
Revenue from farming and common area maintenance services and for providing non-potable water to the Kaanapali Coffee Farms Lot Owners Association ('LOA') | $ 313 | $ 323 |
Commitments and Contingencies (
Commitments and Contingencies (Details Narrative) - USD ($) $ in Thousands | 1 Months Ended | ||||
Jul. 31, 2021 | Jun. 30, 2007 | Mar. 31, 2022 | Jun. 30, 2014 | Dec. 31, 2013 | |
Gain Contingencies [Line Items] | |||||
Insurance Settlement Agreement, proposed escrow funding | $ 6,800 | ||||
Litigation settlement from Conset Decree | $ 7,500 | ||||
Proposed settlement to be paid by Fireman's Fund | $ 2,441 | ||||
Approximate future costs and expenditures KLMC remains committed for on uncompleted portion of Bypass Highway | $ 1,100 | ||||
Maximum amount KLMC has agreed to contribute towards construction costs on Bypass Highway project | $ 6,700 | ||||
Oahu Sugar Bankruptcy [Member] | |||||
Gain Contingencies [Line Items] | |||||
Amount of claims filed | $ 224,000 | ||||
Total costs spent included in bankruptcy proof of claim | 260 | ||||
Oahu Sugar Bankruptcy [Member] | Minimum [Member] | |||||
Gain Contingencies [Line Items] | |||||
Additional anticipated response costs submitted in bankruptcy proof of claim | 2,760 | ||||
Oahu Sugar Bankruptcy [Member] | Maximum [Member] | |||||
Gain Contingencies [Line Items] | |||||
Additional anticipated response costs submitted in bankruptcy proof of claim | 11,450 | ||||
Dc Distribution [Member] | |||||
Gain Contingencies [Line Items] | |||||
Litigation settlement | $ 1,618 | ||||
Dc Distributions Bankruptcy [Member] | |||||
Gain Contingencies [Line Items] | |||||
Amount of claims filed | $ 26,800 |
Schedule of Computation of Net
Schedule of Computation of Net Income (Loss) Per Share - Basic and Diluted (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands | 3 Months Ended | |
Mar. 31, 2022 | Mar. 31, 2021 | |
Numerator: | ||
Net income (loss) | $ 2,318 | $ (3,704) |
Less: Net loss attributable to non-controlling interests | (89) | (147) |
Net income (loss) attributable to stockholders | $ 2,407 | $ (3,557) |
Denominator: | ||
Number of weighted average share outstanding - basic | 1,845 | 1,845 |
Number of weighted average share outstanding - diluted | 1,845 | 1,845 |
Net loss per share - basic | $ 1.30 | $ (1.93) |
Net loss per share - diluted | $ 1.30 | $ (1.93) |
Schedule of Operating Income (L
Schedule of Operating Income (Loss) by Segments (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2022 | Mar. 31, 2021 | |
Revenues: | ||
Revenues | $ 6,023 | $ 810 |
Operating income (loss): | ||
Operating income (loss) from continuing operations before income taxes | 3,164 | (4,954) |
Property [Member] | ||
Revenues: | ||
Revenues | 4,806 | 67 |
Operating income (loss): | ||
Operating income (loss) | 1,172 | (315) |
Agriculture [Member] | ||
Revenues: | ||
Revenues | 1,217 | 691 |
Operating income (loss): | ||
Operating income (loss) | 250 | (107) |
Corporate Segment [Member] | ||
Revenues: | ||
Revenues | 52 | |
Operating income (loss): | ||
Operating income (loss) | 1,742 | (4,532) |
Property And Agriculture [Member] | ||
Operating income (loss): | ||
Operating income (loss) | $ 1,422 | $ (422) |
Subsequent Events (Details Narr
Subsequent Events (Details Narrative) $ in Thousands | Apr. 12, 2022USD ($) |
Subsequent Event [Member] | |
Subsequent Event [Line Items] | |
Gain on various settlements | $ 2,441 |