Banorte, Hering, Klabin Segall, Mangels: Latin Equity Preview

By William Freebairn and Paulo Winterstein

Oct. 17 (Bloomberg) -- The following companies may have unusual price changes today in Latin America trading. Stock symbols are in parentheses, and share prices are from the previous close. Preferred shares are usually the most-traded class of stock in Brazil.

The MSCI Latin America Index fell 3 percent to 2,076.83 yesterday.

Brazil

Cia. Hering (HGTX3 BS): Sales at stores open at least one year rose 25 percent in the third quarter, while gross revenue rose 42 percent, the textile company said yesterday. Hering was unchanged at 5.85 reais.

Klabin Segall SA (KSSA3 BS): The homebuilder said yesterday its contracted sales tripled in the third quarter to 273 million reais ($126 million), while the value of projects on which it began work more than tripled from the year-earlier period to 337 million reais. Klabin Segall rose 3.7 percent to 2.80 reais.

Magnesita Refratarios SA (MAGG3 BS): Latin America's largest producer of specialty tiles used in steel-blast furnaces said yesterday it approved the terms of $475 million in loans to refinance the debt of LWB Refractories GMBH & Co, which it agreed to purchase last month. Magnesita fell 4.9 percent to 7.80 reais.

Mangels Industrial SA (MGEL4 BS): The holding company that produces metal parts such as aluminum wheels plans to buy back as much as 10 percent of preferred shares during the next year. The board of Mangels approved the purchase of many as 860,226 shares, according to a regulatory filing yesterday. Mangels fell 12 percent to 5.87 reais.

Mexico

Grupo Financiero Banorte SAB (GFNORTEO MM): Mexico's largest publicly-traded bank said yesterday the $1.1 million fine its U.S. brokerage unit agreed to pay regulators will have a ``minimal impact.'' The U.S. unit agreed to pay the fine to settle claims it recommended mutual-fund investments that brought clients lower returns than alternatives. Banorte fell 11 percent to 20.42 pesos.

Kimberly-Clark de Mexico SAB (KIMBERA MM): Mexico's biggest maker of paper products said net income fell 1 percent to 863 million pesos ($67.5 million). Net income rose 10 percent, excluding a gain from its monetary position last year that has been eliminated by a change in accounting rules, the company said yesterday. Kimberly-Clark fell 1.1 percent to 37.34 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;