Geo, Lojas Renner, Southern Copper, Weg: Latin Equity Preview

By William Freebairn and James Attwood

Oct. 28 (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 slipped 3.5 percent yesterday to 1,669.98.

Brazil

Lojas Renner SA (LREN3 BS): Brazil's biggest publicly traded clothing retailer has ended efforts to buy Leader SA Empreendimentos e Participacoes after failing to renegotiate the price as a result of the global credit crisis. Renner and Leader agreed to end the deal without liability for either party, Renner said yesterday. Lojas Renner rose 0.9 percent to 16.69 reais.

Weg SA (WEGE3 BS): The Brazilian electrical-equipment maker's third-quarter net income exceeded the estimates of Banco Santander SA by 14 percent as income taxes were lower than expected. Earnings before interest, taxes, depreciation and amortization were 2.8 percent more than estimated, Santander said in a research note e-mailed yesterday. Weg fell 1.5 percent to 9.90 reais.


Chile

Banco de Chile (CHILE CC): The country's second-largest lender had third-quarter profit that beat Deutsche Bank AG's estimate by 18 percent on lower-than-expected provisions for non- performing loans, analysts including Mario Pierry wrote in a note to clients yesterday. Results were released yesterday by the banking regulator. Banco de Chile gained 1.6 percent to 29.57 pesos.

Mexico

Alsea SAB (ALSEA* MM): The operator of Domino's Pizza franchises in Latin America said a unit agreed to open Burger King restaurants in Colombia. The Mexico City-based company signed an agreement with Burger King Corp. to expand in the area around Bogota, building 20 restaurants in five years, it said in a statement yesterday. Alsea rose 6.3 percent to 5.73 pesos.

Corporacion Geo SAB (GEOB MM): Mexico's second-largest homebuilder said third-quarter net income rose 2.7 percent to 388.2 million pesos ($28.7 million), or 72 centavos a share, from 378 million pesos, or 71 centavos a share, a year earlier. Geo fell 3.8 percent to 13.54 pesos.

Peru

Southern Copper Corp. (PCU/C PE): The world's seventh- largest copper producer said third-quarter net income fell 34 percent from a year earlier to $417.8 million, or 47 cents a share. Southern Copper was expected to earn 55 cents a share, the average estimate of seven analysts in a Bloomberg survey. Southern Copper fell 3.2 percent to $10.30.

To contact the reporters on this story: William Freebairn in Mexico City at wfreebairn@bloomberg.net; James Attwood in Santiago at jattwood3@bloomberg.net.