Central Pacific Financial Corp. in Honolulu said Monday that it renegotiated its stock conversion rate with the Treasury Department related to its $135 million in Troubled Asset Relief Program funds.

The Treasury agreed to exchange the preferred stock into common stock valued at about 37.5% the sum of the original preferred stock par amount plus accrued and unpaid dividends.

The number of common stock shares being issued is based on the lesser price of 50 cents per share and the lowest per share price issued in Central Pacific's recapitalization plan. The $4.2 billion-asset company is trying to raise $325 million in capital.

In early November, Central Pacific announced a capital injection from two lead investors, Carlyle Group and Anchorage Capital Group LLC, totaling $195 million at 75 cents per share.

However, the company amended its agreement with the investors based on the recently restructured Tarp deal. The raise now totals $197.2 million at 50 cents a share.

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