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Strategies & Market Trends : Telebras (TBH) & Brazil -- Ignore unavailable to you. Want to Upgrade?

To: Mayer Tchelebon who wrote (1259)	3/20/1998 8:40:00 AM
From: Doug Chin	Read Replies (1) \| Respond to of 22640

I agree with Mayer that the gov't only owns 21.32% for economic purposes (based on what others said about the preferred and common shares). So his calculations are correct that you divide what the govt gets by 21.32% then again by # of shares. We really got some good input on this valuation! All I can say is that I am really bullish on this one... $250, $312...We're all in the money ChaChing!! :-)

To: Mayer Tchelebon who wrote (1259)	3/20/1998 12:04:00 PM
From: Michael Burry	Read Replies (3) \| Respond to of 22640

Ask yourself how the market is valuing TBR to get an idea as to how to value the remainder + the government's share since both preferred and common trade. You can look at it as roughly 320M shares total, with a 10% control premium in the voting shares putting maybe a 5-10% margin of error into the market cap calculation. The market may be off but not by 60%. No way will I accept that they are paying $20B for 21% of Telebras. Wishful thinking these $300 numbers. Moreover, my guesstimates take into account the present value and circumstances. Of course, 2 years from now the shares could be worth the equivalent of $300 or $400 to us. As a shareholder I'd like to believe what you're saying but it just doesn't work out. Mike