(SG) Blackberry -2.3% Pre-Mkt - No turnaround likely to show up in year-end numb

No turnaround likely to show up in year-end numbers

* Update􀀃Blackberry will announce its fourth-quarter and full-year results on Friday 28
March before the market opens. We are expecting full-year sales to be $6.9bn (cs $6.9bn),
with an operating margin (excluding write-off) of -17% (cs -19%) and a loss per share of
$1.75 (cs -$1.83). We see no particular pick-up in the handset division in the final quarter,
where we see demand continuing to contract sharply. The new handset (the Blackberry
“Jakarta”) will launch in April and so will have no impact on the historical results.
Additionally, we forecast that Services revenues will also be down almost 13% sequentially
as subscriber accounts continue to fall.

* SG view We are probably too early into the restructuring led by the relatively new CEO
John Chen to see the full impact of the decisions recently taken. However, we believe that
the Foxconn agreement signed in December (five-year deal to outsource production) and
the announced sale and leaseback of the Canadian property portfolio (could raise up to
$0.5bn) are both sensible moves in buying the company time while it finds a new direction.
The handset direction is less certain. The Jakarta handset is recognition of the importance
of customers in developing markets. However, Chinese competition is releasing Android
handsets at extremely attractive prices into precisely these markets. And the focus on
business users could also be a problem as companies are moving to BYOD (bring your
own device) solutions. Therefore, we still consider that the most likely outcome is that
Blackberry’s assets are sold separately. As we consider that, proceeds from such a sale
should reach around $6 per share.

* How we value the stock As we have left our forecasts unchanged, we stick to our sumof-
the-parts target price of $6.00 per share (handsets $0.0, cash $2.00, patents $1.30 and
subscriber services $2.70). As the share price has risen rapidly over the last couple of
months, we downgrade our recommendation to a Sell from a Hold.

* Events, catalysts & risks Blackberry will report its full-year results on 28 March 2014. The
key risks to our target price are: 1) stronger handset sales than we expect, 2) a bid for
Blackberry from someone interested in the corporate relationships.

(BFW) *OFCOM GIVES ITV, BBC CONSENT TO BROADCAST FOOTBALL WORLD CUP

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BN 03/27 12:01 *U.K.'S OFCOM ISSUES STATEMENT VIA E-MAIL BN 03/27 12:01 *OFCOM CONSENTS FOR ITV, BBC TO BROADCAST WORLD CUP '14 LIVE BN 03/27 12:00 *OFCOM: CONSENT GIVEN TO ITV, BBC TO BROADCAST WORLD CUP 2014 BN 03/27 12:00 *OFCOM GIVES ITV, BBC CONSENT TO BROADCAST FOOTBALL WORLD CUP

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*OFCOM GIVES ITV, BBC CONSENT TO BROADCAST FOOTBALL WORLD CUP 2014-03-27 12:01:09.283 GMT

--GAURAV PANCHAL

-0- Mar/27/2014 12:01 GMT

>>> lululemon athletica reports Q4 results above lowered guidance; guides Q1/FY1

lululemon athletica reports Q4 results above lowered guidance; guides Q1/FY15 EPS and rev below consensus
)
Reports Q4 (Jan) earnings of $0.75 per share vs. $0.71-0.73 guidance, $0.03 better than the Capital IQ Consensus of $0.72; revenues rose 7.3% year/year to $521 mln vs the $513-518 mln guidance and the $515.04 mln consensus; comps -2% vs. -low to mid single digit warning; gross margin 53.5% vs. mid-50s% guidance.
Co lowered Q4 guidance to EPS of $0.71-0.73 on rev of $513-518 from $0.78-0.80 and $535-540 mln, w/negative low to mid single digit comps, on Jan 13.
Co issues downside guidance for Q1, sees EPS of $0.31-0.33 vs. $0.38 Capital IQ Consensus Estimate; sees Q1 revs of $377-382 mln vs. $390.10 mln Capital IQ Consensus; constant dollar comps flat vs. aprox. -1% est.
Co issues downside guidance for FY15, sees EPS of $1.80-1.90 vs. $2.15 Capital IQ Consensus Estimate; sees FY15 revs of $1.77-1.82 bln vs. $1.82 bln Capital IQ Consensus; constant dollar comp increase low to mid single digits vs. ~3% est.


--> LULU -0.50% pre market

>>> US Early premarket gappers

Early premarket gappers

Gapping up: DEJ +14.3%, LITB +9.1%, ALU +8.4%, BLDP +7.9%, CLVS +6.2%, GV +5.7%, EXEL +5.1%, FN +4.9%, PAYX +3.3%, CPST +2.9%, STT +2.7%, AMRI +2.5%, FEIC +2%, STI +1.7%, FCEL +1.7%, PNC +1.3%, COF +1.3%, ESS +1.3%, TWTR +1.3%, WFC +1.1%, BP +1.1%, BAC +0.9%, JPM +0.8%, MS +0.4%

Gapping down: ADXS -24.8%, DSS -18.2%, C -4.9%, FUL -2.9%, O -2.6%, WBAI -2.4%, MCHX -2.2%, SZYM -2.2%, RF -1.8%, RVNC -1.5%, CLF -1%, SLV -0.8%, SAN -0.7%, ZION -0.7%, BCS -0.7%

(BFW) Vivendi to Examine Bouygues’ New SFR Offer With Rigor: Figaro

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Vivendi to Examine Bouygues’ New SFR Offer With Rigor: Figaro 2014-03-27 11:02:30.811 GMT

By Marie Mawad March 27 (Bloomberg) -- Vivendi’s management will examine Bouygues’ latest offer for SFR with the required rigor, Chairman Jean-Rene Fourtou wrote in a letter to Bouygues dated March 24, according to Le Figaro newspaper. * Examination will be done within the strict application of Vivendi’s exclusivity commitment to rival bidder Altice, Fourtou is cited in the letter: Figaro * Bouygues CEO Martin Bouygues wrote Vivendi on March 22 to ask that his sweetened offer be studied: Figaro * A Vivendi representative declines to comment on Figaro report * Note: Vivendi, in the process of selling its SFR French phone unit, is in exclusive talks until April 4 with Altice. Bouygues unexpectedly boosted its bid for SFR last week to 13.15 billion euros, plus a 21.5 percent stake in the merged entity. Related story: NSN N301M16S972W <GO> * Link to Le Figaro story, in French: http://tinyurl.com/ns7s24w

For Related News and Information: First Word scrolling panel: FIRST<GO> First Word newswire: NH BFW<GO>

To contact the reporter on this story: Marie Mawad in Paris at +33-1-5530-6290 or mmawad1@bloomberg.net To contact the editor responsible for this story: Kenneth Wong at +49-30-70010-6215 or kwong11@bloomberg.net

(BFW) Maurel CEO Says ‘Contacts’ Continue on Possible Partner, Merger

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BN 03/27 10:54 *MAUREL CEO SPEAKS ON CONFERENCE CALL ON 2013 RESULTS BN 03/27 10:53 *MAUREL CEO SAYS `CONTACTS' CONTINUE ON POSSIBLE PARTNER, MERGER

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Maurel CEO Says ‘Contacts’ Continue on Possible Partner, Merger 2014-03-27 11:00:12.226 GMT

By Tara Patel March 27 (Bloomberg) -- Maurel & Prom CEO said “contacts” have and will continue to be made regarding a partner or capital “transformation” of the explorer. “If we have news we will give it,” Jean-Francois Henin said on a conference call. “We aren’t here to feed rumors.” * NOTE: Maurel CEO Says Company Had ‘Contacts’ for Possible Sale, Merger {NSN MKDQUL6JTSEX <go>}

Link to Company News:{MAU FP <Equity> CN <GO>}

For Related News and Information: First Word scrolling panel: {FIRST<GO>} First Word newswire: {NH BFW<GO>}

To contact the editor responsible for this story: Tara Patel at +33-1-5365-5058 or tpatel2@bloomberg.net

(Exane) Telecom Operators - Capex : The Long March

Top picks: TI, Swisscom, TKA, Liberty Global, Colt, Iliad – Top shorts: TEF, BT, PT, TalkTalk.

* 13th joint report with Arthur D. Little – Capex: the long march
With European telco capex up 10% in 2014e and historically high capex/sales of 16%, the hope is
that leaders will improve their competitive position, both in mobile (versus challengers) and in fixed
(versus cable), force smaller players to consolidate, restore pricing power and get back to growth.
Based on 118 company meetings in 24 countries, we see a more balanced outcome.

* M&A well underway, but we take a cautious view on ‘market repair’
The mobile challengers generate sub-par returns and lack FCF. They need more scale so further
consolidation is likely. We estimate total M&A synergies in Europe at EUR60bn of which a third
from already-announced deals, a third from cost synergies and a third from ‘market repair’.
However, the latter part may be too much to hope for, depending on antitrust remedies and on the
presence of cable/fixed operators who see mobile as a mere add-on to the home bundle.

* Superfast broadband: catching-up with cable will require more fibre capex
Cable has a clear upgrade route to 1Gbps broadband, so the current FTTC/VDSL will not suffice.
If they want to be competitive against cable, incumbents face a EUR20-25bn ‘capex gap’.

* Less hopes on Germany – Downgrading DTE and TEF DE to (=)
Assuming that German mobile consolidation is approved, the new market structure may lead to
fixed-mobile competition, putting the future TEF DE in an uneasy mobile-only position. With higher
long term fibre capex, lower M&A option value and in-line multiples, DTE looks less attractive.

* Market repair in Austria and consolidation in Belgium – Upgrading TKA and MOB to (+)
In Austria, mobile prices are rising, from a low base – we expect TKA to return to growth. Belgium
may be the country where Liberty Global could buy a mobile network – in a deal, Mobistar could be
worth EUR22/share. Both TKA and Mobistar remain risky, but we see attractive risk/rewards.