>>> Etisalat expects to close Maroc Telecom deal on 14 May; conditions precedent satisfied

Etisalat expects to close Maroc Telecom deal on 14 May; conditions precedent satisfied

UAE-based telco Etisalat said today (8 May) in a stock exchange announcement that it expects to complete the acquisition of French media and telecoms group Vivendi's 53% stake in Maroc Telecom on 14 May.

Both parties consider all conditions precedent to have been fulfilled, according to the announcement.

>>> US Close Dow+0,72% S&P+0,56% Nasdaq-0,32%

Closing Market Summary: Stocks End Mixed Amid Weakness in Momentum Names

Equity indices finished the Wednesday session on a mixed note as high-growth names weighed on the Russell 2000 (+0.1%) and the Nasdaq (-0.3%), while the Dow Jones Industrial Average (+0.7%) and S&P 500 (+0.6%) outperformed thanks to strength in blue chip listings.

The stock market opened the trading day with modest gains amid headlines indicating Russia's President Vladimir Putin has reached out to OSCE chief and Swiss President Didier Burkhalter, attempting to de-escalate the Ukraine crisis through diplomatic avenues. Initially, the reports boosted overall risk appetite, sending Treasuries and the yen to lows, but those moves were retraced not long after. The yen returned into the middle of its trading range, while Treasuries reclaimed their losses and spent the afternoon near their flat lines. The benchmark 10-yr yield ended unchanged at 2.59%.

Stock indices, meanwhile, surrendered their opening gains during the first hour of action, but only the Nasdaq Composite spent the remainder of the session in the red, while the Dow and S&P 500 rebounded swiftly.

The S&P 500 tested its 50-day moving average (1865), spring-boarding off its early low with help from a handful of large sectors. Consumer staples (+1.0%), energy (+0.8%), and industrials (+0.9%) contributed to the recovery, while financials (+1.3%) finished ahead of the remaining cyclical groups following yesterday's underperformance.

Even though the financial sector posted a solid gain, it was unable to turn positive for the year, trimming its year-to-date loss to 0.01%. Meanwhile, the only other sector that holds a year-to-date loss—consumer discretionary (-0.2%)—joined health care (+0.2%) and technology (-0.2%) among today's laggards.

All three sectors contain a fair share of momentum names, which were the source of the relative weakness within the Nasdaq. Most notably, shares of FireEye (FEYE 28.65, -8.48) plunged 22.8% after the company reported in-line earnings, but issued disappointing guidance. Other momentum names fared a bit better, but Facebook (FB 57.39, -1.14) and Twitter (TWTR 30.66, -1.19) lost 2.0% and 3.7% respectively, while Tesla (TSLA 201.35, -5.93) slid 2.9% ahead of its after-hours quarterly report. Similarly, Priceline.com (PCLN 1131.74, -36.62) sank 3.1% prior to its report, which is due out tomorrow.

Elsewhere, biotechnology also factored into the underperformance of the Nasdaq. The iShares Nasdaq Biotechnology ETF (IBB 227.48, -1.85) fell 0.8%, while the broader health care sector (+0.2%) returned to its early high into the close.

The other countercyclical sectors ended among the leaders with the utilities sector (+1.6%) widening its year-to-date gain to 13.8%. For its part, consumer staples (+1.0%) overcame a disappointing quarterly report from Whole Foods (WFM 38.93, -9.02) that pressured the stock back to levels not seen since early 2012.

Participation was above average as roughly 750 million shares changed hands at the NYSE.

Economic data was limited to Q1 productivity and unit labor costs and the Consumer Credit report for March:

* Nonfarm business labor productivity declined 1.7% in the first quarter after increasing an upwardly revised 2.3% (from 1.8%) in Q4 2013. The consensus expected the reading to decline 1.2%. This was the first decline in productivity since Q1 2013 when it declined 1.8%. With a 0.1% increase in Q1 2014 GDP, there was no doubt that productivity declined during the first quarter. Output levels managed to increase a minimal 0.3% in the first quarter, but that was dwarfed by a 2.0% increase in hours worked. Hours growth had not exceeded 2% since Q4 2012.  * Hourly compensation increased 2.4%, up from a 1.9% gain in Q4 2013. That was the largest increase since Q4 2012 when it rose 10.2%. Given the flat wage data in the April Employment Report, compensation growth is unlikely to remain at its first quarter pace. The combination of higher hours and compensation along with weak output growth caused unit labor costs to increase 4.2% in the first quarter.  * Consumer credit increased by $17.50 billion in March, which was higher than the consensus estimate of $16.10 billion. The prior month's credit growth was revised lower to $13.30 billion from $16.50 billion. 

Tomorrow, weekly initial claims ( consensus 325,000) will be announced at 8:30 ET.

* S&P 500 +1.6% YTD  * Dow Jones Industrial Average -0.4% YTD  * Nasdaq Composite -2.6% YTD  * Russell 2000 -4.5% YTD

>>> After Hours Summary: PME +22.8%, QTM +10.2%, SCTY +7.0%, GMCR +5.8%, MM -34.

After Hours Summary: PME +22.8%, QTM +10.2%, SCTY +7.0%, GMCR +5.8%, MM -34.6%, TSLA -7.3% following earnings/guidance
After Hours Gainers:

Companies trading higher in after hours in reaction to earnings: PME +22.8%, QTM +10.2%, BRDR +7.9%, IL +7.8%, COUP +7.5%, SCTY +7%, PGTI +6.2%, SFM +6.2%, MRIN +6.1%, GMCR +5.8%, OME +5.3%, DCTH +4.6%, FMI +4.5%, BRKR +4.4%, AVEO +4.4%, CSLT +4.2%, HK +4.2%, AVG +3.9%, Z +3.6%, CTRP +3.5%, RIG +2.9%, MWE +2.6%, CAR +2.5%, FOXA +2.4%, RATE +2.2%, AGO +2.2%, JONE +2.2%, LPSN +1.9%, XON +1.9%, SD +1.8%

Companies trading higher in after hours in reaction to news: MRIN +6.1% (announced David A. Yovanno has joined as Chief Executive Officer; co also reportead earnings), ROIC +3.5% (to replace ACO in the S&P SmallCap 600), RATE +2.2% (announced acquisition of Caring.com for $54 mln in cash; co also reported earnings), EFC +1.1% (reported April 30, 2014 diluted book value per share of $24.34), F +1.0% (announced $1.8 bln stock repurchase program to offset share dilution; consistent with capital strategy), MATR +1.0% (announced receipt of a newly issued patent related to analytic-based routing; announced strategic partnership with HireVue; co also report earnings), GILD +0.7% (announced $5 bln share buyback program)

After Hours Losers:

Companies trading lower in after hours in reaction to earnings: MM -34.6%, POWR -33.8%, BODY -16%, GPOR -14.3%, EGY -13.8%, MCP -12.5%, ERII -10.9%, CLCT -10.4%, TSLA -7.3%, SCMP -6.2%, TGB -6%, MDR -5.3%, NLY -5.2%, ANDE -4.7%, REE -3.9%, PMT -3.7%, ARP -2.5%, GSAT -2.1%, RNDY -1.7%, TXTR -1.7%, LCI -1.5%, BKD -1.5%, ICPT -1.4%, GTAT -1.4%, CVO -1.3%, JOBS -1.2%, BEE -1.1%, EMKR -1.1%, DYN -1.1%, MNR -1%

Companies trading lower in after hours in reaction to news: ARP -2.5% (announced public offering of 13.5 mln common units)

>>> APERAM JPMorgan Raised APAM.ES to Overweight from Neutral, price target: €24

APERAM JPMorgan Raised APAM.ES to Overweight from Neutral, price target: €24.50
- Price target raised to €24.50 from €20.50 
- Firm cites higher 2015E EBITDA (+15%) 
- It believes the company's upside potential comes mostly from an efficient implementation of the Leadership Journey (cost savings and supply chain optimization) 
- Firm increases 14E EBITDA and EPS to $454m ($394m) and 0.47 ($0.33) on higher H1'14E EBITDA from a very efficient implementation of the Leadership Journey 
- Raises 15E EBITDA and EPS to $517m ($448m) and $1.20 ($0.86) on higher added value from the Leadership Journey

>>> (OscarGruss) Strategic Alternatives for the Respective Businesses

Strategic Alternatives for the Respective Businesses

On 5/4/14, B/E Aerospace Inc. (Nasdaq-BEAV) unexpectedly announced that it is engaged in a process “to explore and evaluate strategic alternatives involving the company and its respective businesses to enhance shareholder value.” Unexpected means there were not the usually rumblings or rumor-mongering in the market prior to the announcement. In addition, BEAV cancelled an investor meeting that was scheduled to be held the following day in North Carolina. The company fundamentals are strong and business momentum is growing. BEAV 2014 revenues and EPS are expected to be up 18% and 24% (YoY basis), respectively and 1Q14 performance was solid. BEAV has three business segments: commercial aircraft (~51% revenues), consumables management (~37%) and business jets (~12%). Each segment has separate (and mostly leased) locations; corporate headquarters is located near Palm Beach, Florida. The commercial aircraft and business jet units are primarily manufacturing operations; consumable management is primarily a distribution business.

A sale of the entire company seems less likely given its business mix and large market capitalization (which limits the number of buyers). The market has been rewarding pure play companies; a spin-off and merger of the consumables business would retain the high growth commercial aircraft unit as well as the synergies with business jets. The aircraft-related businesses are a complimentary fit but the consumable segment, which provides material management logistical services to airlines as well as maintenance, repair and overhaul companies (“MROs”), is tangential to the core products (premium seats, food service equipment, oxygen delivery and modular lavatory seating). Since 2013, BEAV has been expanding its consumables business with acquisitions of companies that provide logistics services to the the oil-and-gas industry. Based on a $98.50 VWAP (last two tradin days), the BEAV 2014 valuation multiples are 2.9x EV/Revs ($4.11B, up 18% YoY), 13.6x EV/EBITDA ($877M, up 22% YoY, 21.3% margin) and 22.4x P/E ($4.40 EPS, up 24% YoY, 1.15x PEG of 19.6% LT growth rate). These valuations say “growth story,” not “value play and we believe that much of the potential upside from a strategic asset disposition is already reflected in the current BEAV trading price.

A news report stating that the company is in “early stage talks” and that it may request bids for “its two separate businesses” provides support for our contention that any deal is not imminent. One possible consideration for creating shareholder value would be combining two related businesses, such as the tax-free spin-off and merger of the flow control segment of Tyco Intl. Ltd. (NYSE-TYC) with Pentair, Inc. (NYSE-PNR) in 2012. TYC holders received ~52.5% S/O in P/F PNR. A similar transaction for BEAV would be merging its consumables business with an aerospace supply chain management services company like Wesco Aircaft Holdings, Inc. (NYSE-WAIR. At $21/share, WAIR has CY14 valuation multiples of 1.9x EV/Revs ($1.37B), 10.5x EV/EBITDA ($242M, 17.7% margin) and 14.5x P/E ($1.45 EPS). In 2013, the BEAV consumables segment reported $1.28B revenues and $270M EBITDA (~21% margin). We estimate $365M adjusted EBITDA for this segment in 2014E using 12% YoY revenue growth, a 19% operating margin, $35M D&A and $60M synergies; a 10.5x EBITDA multiple implies a $3.83B deal value. Consideration could consist of one share of the Newco ($2.23B value @ $21/share for ~52.5% of the combined entity) plus $1.6B of cash. We estimate Newco would have $1.56 P/F EPS (~8% accretion); a 15x P/E multiple implies a ~$23.50/share price. In this scenario, the combined entity would have 3.6x debt/EBITDA leverage compared to 2.4x debt leverage of standalone WAIR (which currently has a BB+ credit rating). We note the cash portion of the deal consideration may not be tax-free; BEAV has $1.96B debt which does not expire until 2020 (at minimum). Last, the BEAV oil-and-gas logistics and equipment supply acquisitions do not directly overlap with the aerospace services business of WAIR and may have to be divested or sold separately.

The above example points to the difficulty of finding the right partner and deal structure for a company exploring a sale in pieces rather than the whole. Assuming the financial loose ends of the spin-off and merger of the consumables segment could be resolved cleanly, the standalone value of the two BEAV aircraft-related businesses is next to be addressed. Assuming the cash proceeds are used to repurchase common stock (@ $100/share), we estimate BEAV would have ~89M S/O and P/F 2014E $3.00 EPS. A 25x P/E multiple implies a $75/share value for the remaining entity. The $98.50 combined value of the two pieces is slightly higher that the $97.98 closing price (5/6/14). Without the sale of the entire company, a spin-off of just the consumables segment would provide price support just at the current trading level. Our next best case scenario would be both the commercial aircraft and business jet segments being acquired subsequent to the spin-off. Assuming a 13x multiple of $700M adjusted EBITDA (including $125M synergies), $1.6B net debt and ~89M S/O, the implied takeover value would be $84/share. The combined $107.50/share value (from both transactions) would be a middling 26% premium to the BEAV prior 20 day average closing price of $85/share. Overall, we believe shareholders may be better off banking on BEAV having continued strong performance for the reminder of 2014 rather than expecting a neat-and-clean sale of the entire company near-term.

>>> Fed Chair Janet Yellen Speech: The Economic Outlook

The Economic Outlook
Before the Joint Economic Committee, U.S. Congress, Washington, D.C.

Chairman Brady, Vice Chair Klobuchar, and other members of the Committee, I appreciate this opportunity to discuss the current economic situation and outlook along with monetary policy before turning to some issues regarding financial stability.
Current Economic Situation and Outlook
The economy has continued to recover from the steep recession of 2008 and 2009. Real gross domestic product (GDP) growth stepped up to an average annual rate of about 3-1/4 percent over the second half of last year, a faster pace than in the first half and during the preceding two years. Although real GDP growth is currently estimated to have paused in the first quarter of this year, I see that pause as mostly reflecting transitory factors, including the effects of the unusually cold and snowy winter weather. With the harsh winter behind us, many recent indicators suggest that a rebound in spending and production is already under way, putting the overall economy on track for solid growth in the current quarter. One cautionary note, though, is that readings on housing activity--a sector that has been recovering since 2011--have remained disappointing so far this year and will bear watching.
Conditions in the labor market have continued to improve. The unemployment rate was 6.3 percent in April, about 1-1/4 percentage points below where it was a year ago. Moreover, gains in payroll employment averaged nearly 200,000 jobs per month over the past year. During the economic recovery so far, payroll employment has increased by about 8-1/2 million jobs since its low point, and the unemployment rate has declined about 3-3/4 percentage points since its peak.
While conditions in the labor market have improved appreciably, they are still far from satisfactory. Even with recent declines in the unemployment rate, it continues to be elevated. Moreover, both the share of the labor force that has been unemployed for more than six months and the number of individuals who work part time but would prefer a full-time job are at historically high levels. In addition, most measures of labor compensation have been rising slowly--another signal that a substantial amount of slack remains in the labor market.
Inflation has been quite low even as the economy has continued to expand. Some of the factors contributing to the softness in inflation over the past year, such as the declines seen in non-oil import prices, will probably be transitory. Importantly, measures of longer-run inflation expectations have remained stable. That said, the Federal Open Market Committee (FOMC) recognizes that inflation persistently below 2 percent--the rate that the Committee judges to be most consistent with its dual mandate--could pose risks to economic performance, and we are monitoring inflation developments closely.
Looking ahead, I expect that economic activity will expand at a somewhat faster pace this year than it did last year, that the unemployment rate will continue to decline gradually, and that inflation will begin to move up toward 2 percent. A faster rate of economic growth this year should be supported by reduced restraint from changes in fiscal policy, gains in household net worth from increases in home prices and equity values, a firming in foreign economic growth, and further improvements in household and business confidence as the economy continues to strengthen. Moreover, U.S. financial conditions remain supportive of growth in economic activity and employment.
As always, considerable uncertainty surrounds this baseline economic outlook. At present, one prominent risk is that adverse developments abroad, such as heightened geopolitical tensions or an intensification of financial stresses in emerging market economies, could undermine confidence in the global economic recovery. Another risk--domestic in origin--is that the recent flattening out in housing activity could prove more protracted than currently expected rather than resuming its earlier pace of recovery. Both of these elements of uncertainty will bear close observation.
Monetary Policy
Turning to monetary policy, the Federal Reserve remains committed to policies designed to restore labor market conditions and inflation to levels that the Committee judges to be consistent with its dual mandate. As always, our policy will continue to be guided by the evolving economic and financial situation, and we will adjust the stance of policy appropriately to take account of changes in the economic outlook. In light of the considerable degree of slack that remains in labor markets and the continuation of inflation below the Committee's 2 percent objective, a high degree of monetary accommodation remains warranted.
With the federal funds rate, our traditional policy tool, near zero since late 2008, we have relied on two less conventional tools to provide support for the economy: asset purchases and forward guidance. And, because these policy tools are less familiar, we have been especially attentive in recent years to the need to communicate to the public about how we intend to employ our policy tools in response to changing economic circumstances.
Our current program of asset purchases began in September 2012 when the economic recovery had weakened and progress in the labor market had slowed, and we said that our intention was to continue the program until we saw substantial improvement in the outlook for the labor market. By December 2013, the Committee judged that the cumulative progress in the labor market warranted a modest reduction in the pace of asset purchases. At the first three meetings this year, our assessment was that there was sufficient underlying strength in the broader economy to support ongoing improvement in labor market conditions, so further measured reductions in asset purchases were appropriate. I should stress that even as the Committee reduces the pace of its purchases of longer-term securities, it is still adding to its holdings, and those sizable holdings continue to put significant downward pressure on longer-term interest rates, support mortgage markets, and contribute to favorable conditions in broader financial markets.
Our other important policy tool in recent years has been forward guidance about the likely path of the federal funds rate as the economic recovery proceeds. Beginning in December 2012, the Committee provided threshold-based guidance that turned importantly on the behavior of the unemployment rate. As you know, at our March 2014 meeting, with the unemployment rate nearing the threshold that had been laid out earlier, we undertook a significant review of our forward guidance. While indicating that the new guidance did not represent a shift in the FOMC's policy intentions, the Committee laid out a fuller description of the framework that will guide its policy decisions going forward. Specifically, the new language explains that, as the economy expands further, the Committee will continue to assess both the realized and expected progress toward its objectives of maximum employment and 2 percent inflation. In assessing that progress, we will take into account a wide range of information, including measures of labor market conditions, indicators of inflation pressures and inflation expectations, and readings on financial developments. In March and again last month, we stated that we anticipated the current target range for the federal funds rate would be maintained for a considerable time after the asset purchase program ends, especially if inflation continues to run below 2 percent, and provided that inflation expectations remain well anchored. The new language also includes information on our thinking about the likely path of the policy rate after the Committee decides to begin to remove policy accommodation. In particular, we anticipate that even after employment and inflation are near mandate-consistent levels, economic and financial conditions may, for some time, warrant keeping the target federal funds rate below levels that the Committee views as normal in the longer run.
Because the evolution of the economy is uncertain, policymakers need to carefully watch for signs that it is diverging from the baseline outlook and respond in a systematic way to stabilize the economy. Accordingly, for both our purchases and our forward guidance, we have tried to communicate as clearly as possible how changes in the economic outlook will affect our policy stance. In doing so, we will help the public to better understand how the Committee will respond to unanticipated developments, thereby reducing uncertainty about the course of unemployment and inflation.
Financial Stability
In addition to our monetary policy responsibilities, the Federal Reserve works to promote financial stability, focusing on identifying and monitoring vulnerabilities in the financial system and taking actions to reduce them. In this regard, the Committee recognizes that an extended period of low interest rates has the potential to induce investors to "reach for yield" by taking on increased leverage, duration risk, or credit risk. Some reach-for-yield behavior may be evident, for example, in the lower-rated corporate debt markets, where issuance of syndicated leveraged loans and high-yield bonds has continued to expand briskly, spreads have continued to narrow, and underwriting standards have loosened further. While some financial intermediaries have increased their exposure to duration and credit risk recently, these increases appear modest to date--particularly at the largest banks and life insurers.
More generally, valuations for the equity market as a whole and other broad categories of assets, such as residential real estate, remain within historical norms. In addition, bank holding companies (BHCs) have improved their liquidity positions and raised capital ratios to levels significantly higher than prior to the financial crisis. Moreover, recently concluded stress tests mandated by the Dodd-Frank Act have provided a level of confidence in our assessment of how financial institutions would fare in an extended period of severely adverse macroeconomic conditions or a sharp steepening of the yield curve alongside a moderate recession. For the financial sector more broadly, leverage remains subdued and measures of wholesale short-term funding continue to be far below levels seen before the financial crisis.
The Federal Reserve has also taken a number of regulatory steps--many in conjunction with other federal agencies--to continue to improve the resiliency of the financial system. Most recently, the Federal Reserve finalized a rule implementing section 165 of the Dodd-Frank Act to establish enhanced prudential standards for large banking firms in the form of risk-based and leverage capital, liquidity, and risk-management requirements. In addition, the rule requires large foreign banking organizations to form a U.S. intermediate holding company, and it imposes enhanced prudential requirements for these intermediate holding companies. Looking forward, the Federal Reserve is considering whether additional measures are needed to further reduce the risks associated with large, interconnected financial institutions.
While we have seen substantial improvements in labor market conditions and the overall economy since the financial crisis and severe recession, we recognize that more must be accomplished. Many Americans who want a job are still unemployed, inflation continues to run below the FOMC's longer-run objective, and work remains to further strengthen our financial system. I will continue to work closely with my colleagues and others to carry out the important mission that the Congress has given the Federal Reserve.
Thank you. I will be pleased to take your questions.

(BN) *PUTIN CALLS TO POSTPONE MAY 11 REFERENDUM TO EASE UKRAINE TALKS

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BN 05/07 13:31 *OSCE TO PROPOSE ROAD MAP ON UKRAINE, BURKHALTER SAYS BN 05/07 13:30 *PUTIN: UKRAINE ELECTION WON'T HELP IF RIGHTS NOT GUARANTEED BN 05/07 13:26 *PUTIN: UKRAINE PRESIDENTIAL ELECTION MOVE IN RIGHT DIRECTION BFW 05/07 13:24 *PUTIN CALLS TO POSTPONE REFERENDUM IN SOUTH, EAST UKRAINE BN 05/07 13:24 *PUTIN CALLS TO POSTPONE REFERENDUM IN SOUTH, EAST UKRAINE BFW 05/07 13:23 *PUTIN SAYS UKRAINE NEEDS DIRECT DIALOG WITH SOUTH, EAST REGIONS BN 05/07 13:23 *PUTIN SAYS UKRAINE NEEDS DIRECT DIALOG WITH SOUTH, EAST REGIONS BN 05/07 13:22 *PUTIN CALLS ON UKRAINE TO STOP MILITARY OPERATION BN 05/07 13:22 *PUTIN SAYS RUSSIA, OSCE APPROACHES TO UKRAINE COINCIDE BN 05/07 13:20 *PUTIN SAYS ALL ARE INTERESTED IN RESOLVING UKRAINE CRISIS BFW 05/07 13:19 *PUTIN SAYS UKRAINE CRISIS DEVELOPING ALONG UNFAVORABLE SCENARIO BN 05/07 13:19 *PUTIN SAYS UKRAINE CRISIS DEVELOPING ALONG UNFAVORABLE SCENARIO

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*PUTIN CALLS TO POSTPONE MAY 11 REFERENDUM TO EASE UKRAINE TALKS 2014-05-07 13:25:23.851 GMT

--TORREY CLARK

-0- May/07/2014 13:25 GMT

>>> Allergan beats by $0.06, beats on revs; guides Q2 EPS above consensus; raise

Allergan beats by $0.06, beats on revs; guides Q2 EPS above consensus; raises FY14 guidance (166.32)
Reports Q1 (Mar) earnings of $1.18 per share, excluding non-recurring items, vs. $1.09-1.12 guidance, $0.06 better than the Capital IQ Consensus of $1.12; revenues rose 12.7% year/year to $1.65 bln vs the $1.61 bln consensus. Total product net sales $1.62 bln vs. $1.525-1.60 bln guidance.
  • On April 22, 2014, Allergan confirmed receipt of an unsolicited proposal from Valeant Pharma (VRX) to acquire all of the outstanding shares of Allergan for a combination of 0.83 of Valeant common shares and $48.30 in cash per share of common stock of Allergan. The Allergan Board of Directors, in consultation with its financial and legal advisors, will carefully review and consider the Proposal and pursue the course of action that it believes is in the best interests of Allergan's stockholders. Allergan also adopted a one-year Stockholder Rights Plan effective April 22, 2014.
Co issues guidance for Q2, sees EPS of $1.41-1.44 vs. $1.37 Capital IQ Consensus; sees Q2 total product net sales of $1.725-1.80 bln, may not be comparable to $1.74 bln Capital IQ Consensus Estimate.

Co issues guidance for FY14, raises EPS to $5.64-5.73 from $5.36-5.48 vs. $5.48 Capital IQ Consensus; sees FY14 total product net sales of $6.775-7.0 bln, may not be comparable to $6.88 bln Capital IQ Consensus Estimate.

>>> Afren - Bought on 16th of Apr. - + 22%

Taking some profit here +22% since initiation. 
I am keeping part of position to play the top of the range (above 172).

----- Original Message -----
From: LAURENT CHEKROUN ()
To: LAURENT CHEKROUN ()
At: Apr 30 2014 09:01:09

AFREN opening much higher on HOIL take over news I will take half of profit here as yesterday target was not reach

----- Original Message -----
From: LAURENT CHEKROUN ()
To: LAURENT CHEKROUN ()
At: Apr 29 2014 16:24:12

AFR has a decent rebound today, after few days correction, the stock is breaking important levels, important resistance on 154.30/155 levels that was my target.
I will take part of profit above 154.50 but still think there is more potential, if 155 broken on close, target is 163.


----- Original Message -----
From: LAURENT CHEKROUN ()
To: LAURENT CHEKROUN ()
At: Apr 28 2014 10:45:43

AFR tested its 200d MA Last week and traded lower since that, PMO News over the Week end & Tullow article in teh Barron's are positive catalyst for the sector, Stock is testing some support , I will take profit around the 154.5 levels, if 156.75 broken next levels will be 164.

AFR is still more than 4% higher since we initiate the trade.


----- Original Message -----
From: LAURENT CHEKROUN ()
At: Apr 23 2014 13:49:29

AFR +6.8% since recommendation on the 16th, still think there is more potential even if target reached, 155 next target

----- Original Message -----
From: LAURENT CHEKROUN ()
To: LAURENT CHEKROUN ()
At: Apr 16 2014 16:46:46

* Afren enjoyed a successful year in 2013, ramping up Ebok and capping the year off with the Ogo discovery
* Kurdistan has been an early investment for Afren, and this asset could be sold and unlock value for shareholder, if no deal the stock should trade at least in line with the market
* Stock is trading with a decent discount to NPV
* 135 levels is a strong support and stock should hold these levels
* Stosk has been weak on the last few weeks and start to stabilize
* 2 brokers issued +ve recommendaation on the last 2 days (BMO & Investec)
* I see limited downside (132 level - 5% from here ) and see the stoc testing back the 145 & 149 levels.

as rumors were around on TLW stating Sinopec & Statoil could be interested, any news in the sector will push the stock higher.


--> Buy Afren