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Compania Cervecerias Unidas ADR Representing Two Ord Shs V.CCU


Primary Symbol: CCU

Compania Cervecerias Unidas S.A. is a diversified beverage company operating principally in Chile, Argentina, Bolivia, Colombia, Paraguay and Uruguay. The Company operates as a brewer, soft drinks producer, water and nectar producer, wine producer and pisco distributor. The Company's segments include Chile, International Business and Wine. The Company carries a portfolio of products, which includes a range of brands of alcoholic and non-alcoholic beer, with Cristal as its primary brand in Chile. In addition, it produces and distributes Heineken beer; distributes Sol beer and Budweiser beer, and distributes and produces Kunstmann and Austral beer in Chile. The International Business segment includes operations in Argentina, Paraguay and Uruguay. The Company, through Vina San Pedro Tarapaca S.A. (VSPT), produces and markets a range of wine products for the domestic and mainly the export market.


NYSE:CCU - Post by User

Comment by SurfForWealthon Nov 09, 2006 10:33am
283 Views
Post# 11647869

RE: Q3

RE: Q3Zu, have you ever started up a new mine? If you want a perfect world, then a junior mining stock is probably not for you. These startup hiccups are pretty typical from what I have seen. They are doing ok. Q3 was pre-production so no one expected much. The hedging losses are typical for an early stage company forced to hedge to satisfy financial covenants. Their first mine will be a good money maker for them but the real deal is how it will fund mines 2 & 3 which look very impressive. The numbers for the Terrazas project are tremendous both in terms of resource and potential annual production. They have an estimated resource of 2.34B pounds of zinc and 600M lbs of copper at Terrazas worth $6.78B Cdn at current prices. The market cap of CCU diluted is approximately $330M. Furthermore zinc is hitting a fresh high of $2.08 as I type. I have been accumulating as low as $1.45 and recently at $1.89. I bought more this morning. This thing is a screaming buy as far as I can see but I know nothing. One guy that does know something is Irwin Michael of ABC funds who bought 500K shares of CCU recently for his Dirt Cheap stock fund. He is the ultimate value guy. Good luck, Cheers!!!
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