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

To: kennny who wrote (9840)	11/18/1998 5:26:00 PM
From: RockyBalboa	Respond to of 22640

I'll think, you might get 3/8 to 1/2 but not more if you try to sell it the next days. I just sold my last ones for 5/16. Apparently it closed at 3/8. C.

To: kennny who wrote (9840)	11/18/1998 6:51:00 PM
From: Steve Fancy	Read Replies (3) \| Respond to of 22640

Brazil Telco ADR -2: Some See Value In Telebras Residual Dow Jones Newswires Tele Norte Leste (TNE), provider of local service for the northeastern region of Brazil, ended up 5.6% at $13, after trading more than 1.2 million ADRs. Many analysts have Tele Norte Leste in their buy lists, although they caution that the company lacks an experienced operator among its owners. Telesp traded more than 1.5 million ADRs, but ended down 2% at $30 3/8. Analysts like the fact that Telesp serves the richest and most populous region in the country - Sao Paulo state - but some think that although it is a safer bet than Tele Norte Leste, it offers less upside potential. Market participants wondered who would want to buy the residual Telebras, which has neither operations nor income. However, some obviously saw some value. "Well, the company still has some assets and some cash," said a trader from a company that appeared as a conspicuous buyer on dealers' screens. "The last time I checked, the company had about 350 million reals (BRR) ($1=BRR1.19) in cash, and some buildings," said Paribas analyst Abagail Nelson. "But a lot of the assets will eventually go to (telecommunications regulator) ANATEL," Nelson said. She added that Telebras won't be liquidated until at least late next 1999, which makes it hard to establish how much cash might still be in its coffers at the time of liquidation. Among the cellular firms, Sao Paulo state's Telesp Celular Participacoes SA (TCP) and Tele Centro Oeste Celular Participacoes SA (TRO) grabbed investors' attention. Telesp Celular closed up 5.7% at $26 3/4, while Tele Centro Oeste, the cellular concession for central and western states including the capital city of Brasilia, ended flat at $2 5/16, with almost 600,000 ADRs exchanged. Tele Sudeste Celular (TSU), which serves Rio de Janeiro and Espirito Santo states, jumped 11% to close at $14 9/16. -By Margarita Palatnik; 201-938-2226; margarita.palatnik@cor.dowjones.com