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

To: MGV who wrote (8456)	9/23/1998 4:28:00 PM
From: Steve Fancy	Respond to of 22640

Brazil Bovespa jumps 7.72 pct on Greenspan speech Reuters, Wednesday, September 23, 1998 at 14:24 SAO PAULO, Sept 23 (Reuters) - Brazilian shares jumped 7.72 percent in afternoon trade on Wednesday, extending gains after U.S. Federal Reserve Chairman Alan Greenspan hinted he may be considering an interest rate cut. Sao Paulo's key Bovespa index surged to 7,066 points, accompanying a jump in U.S. equities. Greenspan said global financial turmoil would be more than enough to curb U.S. inflation, the strongest indication yet he may be considering an interest rate cut. A cut in U.S. rates should spur U.S. stocks, which are seen as a cue for the Brazilian market, and could spur investors to seek higher returns in emerging market securities. Copyright 1998, Reuters News Service

To: MGV who wrote (8456)	9/23/1998 4:30:00 PM
From: Steve Fancy	Respond to of 22640

Distribution Of Telebras Spin-off ADRs To Be Weighted Dow Jones Newswires NEW YORK -- The distribution of American depositary receipts of the spin-offs of Telecomunicacoes Brasileiras SA (TBR, TBH), known as Telebras, will be weighted differently among the new companies, a Telebras document shows. The distribution of local shares already carried out in Brazil was divided equally, with investors receiving the same number of shares in each of the 13 companies for their Telebras stock. However, officials at the The Bank of New York, Telebras' depositary agent, said that the share conversion ratios for the issuance of the new ADRs will be different to meet minimum price guidelines at the New York Stock Exchange. "The ratios are different to make sure the prices conform to U.S. market norms," said an ADR official at the bank. According to a Telebras information statement to be sent to investors, holders of record will receive the following number of new ADRs in exchange for their Telebras ADRs: For Tele Norte Leste Participacoes SA, Tele Centro Sul Participacoes SA, Telesp Participacoes SA, Embratel Participacoes SA, Telesp Celular Participacoes SA, and Tele Sudeste Celular Participacoes SA, holders will receive 150 of each new ADRs for every 150 Telebras ADRs. ADR holders will also receive 50 new ADRs respectively in Telemig Celular Participacoes SA, Tele Celular Sul Participacoes SA, Tele Centro Oeste Celular Participacoes SA and Tele Nordeste Celular Participacoes SA for every 150 Telebras ADRs they own. Additionally, ADR holders will get 30 ADRs in Tele Norte Celular Participacoes SA and in Tele Leste Celular Participacoes SA, respectively, for each 150 Telebras ADRs in their possession. -By Margarita Palatnik; 201-938-2226; margarita.palatnik@cor.dowjones.com

To: MGV who wrote (8456)	9/23/1998 4:32:00 PM
From: Steve Fancy	Respond to of 22640

Brazil's Cardoso Seen By 56% As Best To Fix Crisis - Poll Dow Jones Newswires BRASILIA -- A majority - 56% - of Brazilians see incumbent President Fernando Henrique Cardoso as the best-prepared person to handle the financial turmoil now threatening Brazil, according to a poll released Wednesday. Research by the Ibope public opinion institute indicates that only 17% have any confidence in leftist opposition candidate Luiz Inacio Lula da Silva to lead the country through the current turmoil. Presidential elections are due Oct. 4. Latest polls released Wednesday show that Cardoso will be re-elected in an outright victory with 47% of the vote against 24% for Lula. The confidence poll was sponsored by the National Confederation of Industry (CNI) and held from Sept. 12 to 16 with 2,000 people above the age of 16 interviewed in all regions of Brazil, the CNI said in a statement. Voting in Brazil is compulsory for all above age 18 and optional for those above 16 years old. The CNI added that "despite the current turbulence", 61% of all those polled consider 1998 so far as a "good" or "very good year" for their country. -By William Vanvolsem; (5561) 2443095; wvanvolsem@ap.org

To: MGV who wrote (8456)	9/23/1998 4:33:00 PM
From: Steve Fancy	Respond to of 22640

World Bank: Strong Support For Brazil Fiscal Reform Moves Dow Jones Newswires WASHINGTON -- The World Bank said Wednesday it welcomes Brazilian President Fernando Henrique Cardoso's latest fiscal reform efforts, and would be prepared to support Brazil's reforms in the context of an international support package. "The World Bank strongly welcomes President Cardoso's far-reaching statement on a proposed program for deep fiscal adjustment, which is to be based on expenditure reductions, and Congressional support for structural reforms," the Bank said in a statement. The Bank also welcomes his "determination to implement a significant increase in the primary surplus in 1999, with growing surpluses in subsequent years with a view towards stabilizing the debt-GDP ratio," it said. Against this backdrop, "the Bank would, in the context of an international financial package of support, be prepared to support these reforms, as well as the implementation of the already-approved administrative and related reforms," it said. The Bank didn't define how the support would be provided, but the assumption is through a loan. Earlier Wednesday, Cardoso stressed his commitment to attacking the fiscal deficit quickly, including raising taxes if necessary. His statements came amid financial turmoil in Brazil exacerbated by contagion for other emerging markets experiencing financial difficulties around the world. Given Brazil's declining foreign exchange reserves amid a powerful outflow of capital, investors are speculating that ongoing talks between the Brazilian government, the International Monetary Fund, and other international financial institutions will turn into a request for emergency assistance for the beleaguered economy. Until now, however, officials from those agencies have pointed out that Brazil has not made an official request for such assistance. Separately Wednesday, the board of the Inter-American Development Bank approved a $1.1 billion loan for Brazil, the largest single loan the Bank has ever made, to support micro-, and small- and medium-sized enterprises. -By Kristi Bahrenburg, tel: (202) 862-9295; or e-mail: kristi.bahrenburg@cor.dowjones.com

To: MGV who wrote (8456)	9/23/1998 4:35:00 PM
From: Steve Fancy	Read Replies (1) \| Respond to of 22640

IDB OKs $1.1B Brazil Loan, Biggest Single IDB Loan Ever Dow Jones Newswires WASHINGTON -- The board of the Inter-American Development Bank approved a $1.1 billion loan for Brazil, the largest single loan the Bank has ever made, a spokesman for the institution said Wednesday. The IDB will make the loan to the Brazil National Bank of Development to support micro-, and small- and medium-sized enterprises, the IDB said. The loan comes as turmoil in other emerging markets worldwide is spreading to Latin America, particularly Brazil, and investors are speculating that ongoing negotiations between the Brazilian government and the International Monetary Fund (IMF) will turn into a request for emergency assistance for the beleaguered economy.