Brasil Telecom, Net Servicos and Telecom: Latin Equity Preview

By Paulo Winterstein and William Freebairn

July 21 (Bloomberg) -- The following stocks may have significant gains or losses in Latin American markets. Symbols are in parentheses after company names, and stock prices are from the last session.

The MSCI index of Latin American shares fell 0.3 percent to 4,324.22 on July 18. In Brazil, preferred shares are the most commonly traded class of stock.

Brazil

Net Servicos de Comunicacao SA (NETC4 BS): Brazil's biggest cable-TV company said July 18 that second-quarter profit dropped 12 percent to 28 million reais ($17.6 million) as sales rose 27 percent from the year-earlier period to 891 million reais. Revenue was more than the 875 million reais median of nine estimates compiled by Bloomberg. Net fell 0.6 percent to 20.49 reais.

SLC Agricola SA (SLCE3 BS): The Porto Alegre, Brazil-based agricultural company increased its estimates for the total area it will plant through 2010 by as much as 21 percent. SLC plans to plant 220,000 hectares (544,000 acres) with cotton and grains in the 2008-2009 season, up 14 percent from the previous estimate of 193,000 hectares, the company said July 18 in a regulatory filing. In the 2009-2010 planting season, it may cultivate 270,000 hectares, 21 percent more than its November 2007 estimate of 223,000 hectares. SLC rose 0.7 percent to 29.20 reais.

Tele Norte Leste Participacoes SA (TNLP4 BS) and Brasil Telecom Participacoes SA (BRTP4 BS): Tele Norte parent Telemar Participacoes SA, Brazil's largest telephone company, said it needs to raise 3 billion reais more to pay for the acquisition of Brasil Telecom Participacoes SA. The company may raise the funds through an international bond sale or loans with foreign banks, Rio de Janeiro-based Telemar said July 18 in an e-mail statement. Tele Norte dropped 3.1 percent to 36.25 reais. Brasil Telecom fell 0.6 percent to 24.70 reais.

Mexico

Grupo Televisa SAB (TLEVICPO MM): Bank of Nova Scotia will revise its financial projections for Mexico's biggest broadcaster after second-quarter results this week. Televisa's ``new projects have put pressure on'' costs and cash flow, analyst Raul Ochoa wrote in a research report e-mailed July 18. Televisa fell 0.3 percent to 48.24 pesos.

To contact the reporters on this story: William Freebairn in Mexico City at wfreebairn@bloomberg.net; Paulo Winterstein in Sao Paulo at pwinterstein@bloomberg.net.