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Latin America Utility Stocks

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DanielleOM

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May 15, 2012, 12:27:11 PM5/15/12
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Lubow

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May 15, 2012, 2:08:36 PM5/15/12
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"DanielleOM" <danie...@reply.to.group.com> wrote in message
news:jou04u$lld$1...@dont-email.me...
> http://seekingalpha.com/article/499211-5-latin-american-utility-stocks-to-consider?source=yahoo
>
>
> Anyone follow Latin America utility stocks?
>
>
> Danielle

I have a Brazilian electric utility, CPL. It pays 6.10 %.

ausound

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May 16, 2012, 10:52:31 AM5/16/12
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DanielleOM <danie...@reply.to.group.com> wrote in news:jou04u$lld$1@dont-
email.me:

> Anyone follow Latin America utility stocks?

RCGrupo Radio Centro
9.06
Yield: 3.23%
P/E Current12.98

Operating Margin23.20
Pretax Margin15.30
Net Margin17.75




http://stockcharts.com/freecharts/gallery.html?RC

Grupo Radio Centro SAB de CV is engaged in the production and broadcast of
musical and entertainment programs, talk shows, news and special events
programs. Grupo Radio Centro's operating performance is dependent on a
number of factors, including its ability to produce popular radio programs
that attract the demographic segments of the radio audience sought by
advertisers, its share of the total radio audience, the relative
advertising cost efficiency of radio compared to other media, its
competition, the strength of its radio signals and the quality of its
sound, the rate of growth of the local and national economies and
government regulation and policies. The company was founded by Francisco
Aguirre J. in 1946 and is headquartered in Mexico, Mexico.

DanielleOM

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May 24, 2012, 5:43:25 AM5/24/12
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Do you actually see the full 6.1%? Does Brazil withhold any taxes?

Danielle

Lubow

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May 24, 2012, 6:11:38 AM5/24/12
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"DanielleOM" <danie...@reply.to.group.com> wrote in message
news:jpkvrt$scc$1...@dont-email.me...

> Do you actually see the full 6.1%? Does Brazil withhold any taxes?
>
> Danielle

I don't know. That's the return I get. All foreign governments charge
withholding taxes on dividends paid to non-residents but they are credited
by Uncle Sam at the end of the year. I would guess Canada does the same
thing. If you don't pay income tax results will vary.

Lubow

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May 24, 2012, 8:30:22 AM5/24/12
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"Lubow" <dynami...@hotmail.com> wrote in message
news:jpl1gr$5tt$1...@dont-email.me...
Upon further review... CPL is an ADR. It is not stock issued by the company.
Therefore, the return is NET of any taxes as the custodian bank pays the
tax, converts the cash received (Brazilian Reals) into USD, extracts a fee
and pays the remainder to the stockholders.

DanielleOM

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May 24, 2012, 8:52:46 AM5/24/12
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What tells you it's an ADR? It I enter CPL in TD Ameritrade, I get
Cplf Energia SA NYSE:CPL (I see no reference to the letters ADR.)

Lubow

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May 24, 2012, 12:21:07 PM5/24/12
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"DanielleOM" <danie...@reply.to.group.com> wrote in message
news:jplauv$p3u$1...@dont-email.me...
>
> What tells you it's an ADR? It I enter CPL in TD Ameritrade, I get Cplf
> Energia SA NYSE:CPL (I see no reference to the letters ADR.)

I just took a guess because most foreign companies will not go through the
trouble of doing a currency translation for dividend payment but...

.. in this case I guessed wrong. The dividend was listed at $0.877 but I
received $0.818, so, yeah, it was the stock that is traded on the NYSE and
it's the stock I own... and they took off 6.73% for Brazilian withholding.

DanielleOM

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May 24, 2012, 12:27:52 PM5/24/12
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There's an interesting article at:

http://seekingalpha.com/article/299028-a-high-yield-international-utility-popular-with-hedge-funds


From the article I see "he stock currently yields about *7%* and
dividends have grown by 27% over the last 5 years.Brazil has no
withholding tax on dividends and payments are made in Reals and
converted to USD." The writer was incorrect?


Danielle


ausound

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May 24, 2012, 1:03:19 PM5/24/12
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"Lubow" <dynami...@hotmail.com> wrote in
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THOSE BASTARDS!!!!!!!!!!!!!!

Lubow

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May 24, 2012, 1:29:49 PM5/24/12
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"DanielleOM" <danie...@reply.to.group.com> wrote in message
news:jplnia$dop$1...@dont-email.me...>
>
> There's an interesting article at:
>
> http://seekingalpha.com/article/299028-a-high-yield-international-utility-popular-with-hedge-funds
>
>
> From the article I see "he stock currently yields about *7%* and dividends
> have grown by 27% over the last 5 years.Brazil has no withholding tax on
> dividends and payments are made in Reals and converted to USD." The
> writer was incorrect?
>
>
> Danielle
>
You are giving me a reason to complain to the broker handling my IRA, TD
Ameritrade. Yahoo finance recorded the dividend at $0.877 but I received
$0.818. I think some clarification may be in order. In general, the US
will charge a withholding tax on dividends to residents of a foreign nation
if that foreign nation charges a withholding tax to US residents.

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