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Antonio Carradinha

 
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  • Update: Oi S.A. Q2 '14 Earnings [View article]
    There is a tentative date: December 31, 2014.

    Antonio
    Aug 19 08:05 PM | Likes Like |Link to Comment
  • Update: Cal-Maine Foods Q4 '14 Earnings With Enlightening Results [View article]
    Hi NL2,

    Thanks for the input and the kind words.

    Given that summer is the low season for eggs, I was pleased with the fourth quarter results.

    Antonio
    Aug 18 11:25 AM | Likes Like |Link to Comment
  • Banco Espirito Santo: The Way An Insolvent Bank Turns Into A Good Bank [View article]
    Still don't know when BKESY delist from OTC market will happen.
    Aug 18 08:23 AM | Likes Like |Link to Comment
  • Update: Oi S.A. Q2 '14 Earnings [View article]
    Correction:

    I meant "Good luck to you".

    Antonio
    Aug 12 01:31 PM | 3 Likes Like |Link to Comment
  • Update: Oi S.A. Q2 '14 Earnings [View article]
    Hi invest2bfree,

    In the OI/PT merger there were several mistakes, highly debatable decisions and everything is taking too long.

    Surely you have your strategy. But in my opinion - although the share price could drop further - Oi may present a significant upside potential in the medium to long term. it has to be noted that they are trading at a P/B of 0.45 and a P/S of 0.38.

    God luck to you.

    Antonio
    Aug 11 05:05 PM | 1 Like Like |Link to Comment
  • Update: Oi Will Merge With Portugal Telecom Under What Conditions? [View article]
    Hi StandupWall,

    This merger is in a state of confusion not only in Brazil but also in Portugal. However, I just don't agree with your opinion (is it reliable information?) that the merger isn't going to be approved by the Portuguese side. Let's see: PT has lost almost 40% of its value with Rioforte debt and this has absolutely nothing to do with the merger: it was a problem of PT that has been brought to the merger which is entirely different. And PT share prices have really plummeted after that situation, not before. So PT's minority shareholders have to blame PT not the merger. On the contrary, Oi's minority shareholders have been hit hard by all sorts of complications this merger has been showing.

    Antonio
    Aug 11 04:56 PM | Likes Like |Link to Comment
  • Update: Oi Will Merge With Portugal Telecom Under What Conditions? [View article]
    Hi Lionel,

    You're right, the merger is taking too long, but this is old news because some months ago I've told you that the closing of this deal would be in the end of the year. You say you cannot understand the final product: that's a fair statement as both companies are doing worse than before. They aren't yet merged, but for three years they have been developing an alliance that should have avoided a lot of the problems we're witnessing.

    Antonio
    Aug 11 04:39 PM | Likes Like |Link to Comment
  • Update: Lloyds H1 '14 Earnings In The Path Of Dividends [View article]
    Hi Pete,

    Thanks for the input.

    Reading my articles about LYG it's clear that legacy issues were and still are a burden to the turnaround of the bank. Nevertheless, LYG's turnaround is in place and producing results year after year. I'm following this bank for many years and its share price has climbed to $4.93 currently from $1.33 in November 2011. There were many opportunities over the years to close positions (including near an intermediate top at $5.76 in January 2014) for those that are not long-term investors. Many investors would have lost robust profits if they had followed your highly debatable advice of staying away.

    Antonio
    Aug 10 07:56 AM | Likes Like |Link to Comment
  • Update: Oi S.A. Q2 '14 Earnings [View article]
    Dear Leo,

    Thanks for reading and commenting my article. I’m glad you are here again because now I can tell you I’m sorry to have failed to comment your excellent article on Oi SA.

    I think what you mean by the first part of your comment is this (from PT site):

    “When PT and Oi announced a combination of their businesses in 2 October 2013 one of the steps was:

    Subscription by PT of convertible debentures (convertible into AG Tel and LF Tel shares) and exchangeable debentures convertible into the PN OI shares held by AG Tel and LF Tel, both to be issued by AG Tel and LF Tel, followed by the subscription by AG Tel and LF Tel of convertible debentures (convertible into Tpart shares) to be issued by Tpart providing funds equivalent to the outstanding net debt of such entities, amounting to R$ 4.5 billion (Euro 1.5 billion).”

    Here we see the problem. Following other steps prior to the final merger of PT into CorpCo that are non-transparent, only a professional analyst of high level like you could write what you have written and could be heard as you were. I only have stated what I have thought was possible for me in my own style.

    I have never refused to comment problematic aspects, but on this subject I have reached my limit with regard to aspects of deontology. I'm not an auditor, I'm just an investment writer. I do my best. Surely, you can do it better than me and I'm glad.

    About your two questions:

    1. Analyzing the document linked above, I don't think this transaction has added to the intangible assets. But any help on that would be welcome.

    2. The answer to your second question is yes. On the consolidation process there are additional intangible assets that were considered for the consolidated statement of financial position. Likewise, there are more liabilities that are the result of the merger. As can be seen easily, the balance sheet is now larger and intangible assets are much bigger due to different though debatable definitions. As Oi puts it, goodwill (included in intangibles) is related to several elements, which can not be reliably quantified individually and isolated from each other, including skilled workforce, technological capabilities and established market reputation.

    I’m looking forward to receiving your input as soon as possible.

    Antonio
    Aug 8 07:17 PM | Likes Like |Link to Comment
  • Update: Oi S.A. Q2 '14 Earnings [View article]
    Hi C&$PER,

    Thanks for commenting.

    GVT and TIM Brazil is an old story, but Telefonica has the leading role.

    1. Telefonica still is the largest shareholder of Telecom Italia and is in control of the company together with other major shareholders.

    2. Telefonica has a big problem in the Brazilian market: it cannot own Vivo and, indirectly, have also an integrant stake on TIM.

    3. So, Telefonica wished to sell TIM dividing the company among itself, America Movil (Claro) and Oi/PT.

    4. TI's management seems to have other intentions and probably would like a merger between TIM and Vivendi's Brazilian subsidiary, GVT.

    5. But what I think TI really wants is to solve its huge financial problems with Vivendi buying a large stake in TI, and taking the place of Telefonica.

    6. I think Telefonica has a stronger position if it wants to buy GVT, strengthening its leading market position in Brazil and solving TIM's problem. Telefonica can offer its TI stake as part of a proposal to buy GVT.

    Antonio
    Aug 8 08:06 AM | Likes Like |Link to Comment
  • Update: Oi S.A. Q2 '14 Earnings [View article]
    Hi Matthew,

    Thanks for your input.

    I agree with you. Mistake after mistake we're witnessing a situation where two companies are in a much worse shape than before the merger - whether we see them together or separated.

    I'm a Portuguese citizen and I couldn't expect to see something similar to what happened with PT investing almost 1 billion euros in an "impossible" operation with Grupo Espirito Santo, that seemed already on a quick path to bankruptcy.

    Antonio
    Aug 8 07:25 AM | Likes Like |Link to Comment
  • Update: Oi S.A. Q2 '14 Earnings [View article]
    Hi Steve,

    This is a good question.

    Intangible assets don't have physical value, but can be very valuable for a company. Usually, these assets don't appear on balance sheets unless they have been acquired. Oi has decided that it was the case with the merger with Portugal Telecom and the potential controversy lies on the valuation of different intangible assets.

    You may see on this link (page 110) - this translation is still subject to the auditors review - all the items included in the R$19.5B intangible assets.

    http://bit.ly/1sEli4T

    I'm available to discuss the matter further if you need some assistance.

    Antonio
    Aug 8 06:52 AM | Likes Like |Link to Comment
  • Update: Fiat Q2 '14 Earnings Disappoint [View article]
    Hi abdullah999,

    Thanks for commenting, and for your input.

    I agree with you completely. I have only noted that Fiat's net profit was low this H1 '14, but I also think Fiat is cheap and I believe in its upside potential.

    Antonio
    Aug 7 01:25 PM | Likes Like |Link to Comment
  • Update: Oi Will Merge With Portugal Telecom Under What Conditions? [View article]
    Hi dtails,

    There are a couple of points that are gradually being know that deserve to be mentioned (this is an ongoing and complex process that has a vast number of implications).

    PT has saved 128 million euros which are no longer deposited in BES, and won't go to the bad bank (deposits of shareholders with at least a 2% stake in BES will stay in the bad bank). On the other hand, PT will naturally lose almost its entire 2% shareholder position in BES evaluated in June 2014 at around EUR 45 million.

    Antonio
    Aug 5 05:49 PM | Likes Like |Link to Comment
  • Update: Oi Will Merge With Portugal Telecom Under What Conditions? [View article]
    Hello dtails,

    Please read my article about Banco Espirito Santo. In my opinion the present situation doesn't change the problems that PT will have to get a small recovery of the debt in default, and it will have no additional effect on the OIBR-PT merger.

    About OIBR earnings I don't have a clue about any kind of surprise.

    Antonio
    Aug 5 11:24 AM | Likes Like |Link to Comment
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