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If you're looking for compelling investment ideas and insights into how to unearth them, you've come to the right publication. That is especially so in any week when stock pickers extraordinaire Meryl Witmer, Mario Gabelli and Oscar Schafer grace these pages together. Add Marc Faber, whose 30,000-foot view of the markets encompasses both hemispheres and all asset classes, and you've got yourself the handiest guide we know to making money in 2011.
On Jan. 10, the editors of Barron's were fortunate to get all four -- and the other six members of the Roundtable -- in the same room at the same time, to explore the prospects for the global economy, financial markets and a wide array of investments in the year ahead. This week's Roundtable issue, the last of three, features the picks of this formidable foursome, and their stock-picking strategies.
Barron's Roundtable
Part 1: Attention Stockpickers
Part 2: All Over the Map
Part 3: Think Contrarian
Meryl, a general partner at New York's Eagle Capital Partners, says it's a lot harder to find cheap stocks now that the market has rallied. That is why she and her team are prowling for companies recently released from bankruptcy protection -- a process that cleanses their balance sheets but wrecks their reputations. The more unloved they are, the more Meryl loves them -- and the opportunities they offer.
Mario, the big boss at Gamco Investors in Rye, N.Y., has a keen interest in break-ups, make-ups, spinoffs and split-ups -- the Page Six of corporate life. That's because deals are "one way for values to surface." Deal stocks like Fortune Brands and Sara Lee figure prominently among his picks for 2011, along with a novel play on shale gas and another on gold.
From left, Marc Faber, Oscar Schafer, Meryl Witmer and Mario Gabelli share the stock-picking spotlight in this week's issue. Brad Trent for Barron's
For Oscar, the value hound who runs New York's O.S.S. Capital, it's the catalyst that counts. What circumstance, or constellation of events, could turn an otherwise ordinary business into a growth machine? He homes in this year on companies returning to public hands after leveraged buyouts. Shares outstanding are limited, tax rates are low and management is cost-conscious -- an optimal set-up for outsized investment returns. Hertz is one such returnee, and his masterful analysis is worth reading twice.
As for Marc, a globe-trotting financial advisor, he's prone to big pronouncements. Nothing to get alarmed about -- just that all paper currencies are doomed and World War III has begun. When the shock wears off, however, you might be riveted by his thoughts on how to profit from great global shifts, as well as temporary dislocations in equity, currency and commodity prices. Think energy, gold and, yes, Japan.
Want more details? Please read on.
Barron's: Meryl, what good ideas have you brought us?
Witmer: I have five stocks. The first is Rockwood Holdings ROC +1.20% Rockwood Holdings Inc. U.S.: NYSE $80.76 +0.96 +1.20% Aug. 28, 2014 4:00 pm Volume (Delayed 15m) : 2.29M AFTER HOURS $81.14 +0.45 +0.47% Aug. 28, 2014 4:18 pm Volume (Delayed 15m) : 300 P/E Ratio N/A Market Cap $5.68 Billion Dividend Yield 2.23% Rev. per Employee N/A 07/30/14 Huntsman profit more than doub... 07/23/14 Air Products & Chemicals Profi... 07/15/14 Deals of the Day: Cigarette De... More quote details and news » [ticker: ROC]. It has about 76 million shares outstanding and trades at 39.50, for an equity capitalization of about $3 billion. It was taken private by KKR and came public again in 2005. Throughout the LBO [leveraged buyout] and since, it has been managed by Seifi Ghasemi, a superb CEO. Rockwood makes advanced materials and high-value-added specialty chemicals, including lithium, titanium dioxide and ceramics. We love the lithium business. Rockwood processes lithium from a brine pumped from underground and concentrated in large ponds in the desert in Chile and Nevada. It also produces potash from these brines. Rockwood's lithium compounds are used in batteries, pharmaceuticals, alloys and ceramics.
The lithium market has grown by 10% compounded in the past decade, and there is real home-run potential if electric cars gain popularity. A million all-electric cars would double demand for battery-grade lithium. Rockwood also makes titanium dioxide, an essential product used to improve the durability and opacity of plastics, paints and cosmetics.
Schafer: And paper.
Witmer: Yes. Rockwood has a grade that is used to make synthetic fibers, which should benefit from high cotton prices. There is no affordable substitute for titanium dioxide. If you don't have it in car and house paints, the rain would wash the paint off over time. Seven percent of industry capacity was shut down and dismantled during the downturn. Now demand is rebounding, and there is pricing power for the first time in a decade.
Is capacity starting to expand?
Witmer: No expansions have been announced because titanium dioxide is made from a heavy mineral called rutile and there is limited capacity to produce it. You would never consider a plant until you locked in rutile supply. Also, prices aren't yet at the point where companies would want to add capacity. There is a long runway of strong pricing ahead since it takes four-plus years to add capacity.
Schafer: If plants were closed, isn't the rutile still around?
Witmer: Rutile-ore bodies run out after five to 10 years. Rockwood buys rutile on the open market and will pass through cost increases. Rockwood's advanced-materials business produces high-performance ceramics used in the electronics, automotive and medical markets, including the hip-joint market, where its all-ceramic joint has a high market share. Pro forma, including the sale of its plastics business, which closed [Jan. 7], Rockwood could earn about $2.40 a share in 2011. Adding back excess depreciation and amortization from the step-up of asset values stemming from the LBO, and using a cash tax rate of 20%, free cash flow will be about $4.10 a share in 2011 and $4.50 in 2012. We target a price-to-free-cash-flow multiple of 12. Our one-year price target is 55.
Tronox [TROXV] also manufactures titanium dioxide. It is expected to emerge from bankruptcy protection soon and is trading on a when-issued basis at 94. Tronox succumbed to the bankruptcy process because of legacy environmental liabilities with which it was saddled during its spinoff from Kerr-McGee [KMG] in 2006. These liabilities were from other businesses and should have stayed with Kerr-McGee, which also saddled Tronox with too much debt. Bankruptcy really is a cleansing process. The bankruptcy plan set up a trust for the environmental liabilities.
How big were the liabilities?
Witmer: They put about $270 million into the trust. A lot of Tronox debt has been converted into common stock. Once the bankruptcy plan is affirmed, there will be 15 million shares trading, for an equity capitalization of $1.4 billion. The company will have about $400 million of net debt.
Tronox's plants are valuable because they produce titanium dioxide using a proprietary chloride method, which is lower-cost and produces a grade required by certain end users. Only five companies have this technology. Tronox's joint venture in Australia also mines the key raw materials needed for production. It protects the supply source, and partially insulates the company from increasing costs.
What could Tronox earn post-bankruptcy?
Witmer: Earnings power in the next year is between $8.50 and $10 a share, rising to $11 or $12 as titanium-dioxide pricing reaches a level commensurate with the capital investment required. This squares with our estimate of replacement value of $100 to $125 a share. Our target for Tronox is 120 to 140 a share.
Black: How many years of rutile reserves do they have?
Witmer: They are in a good spot for as much as seven years.
Meryl Witmer's Picks
|$ 39.67
|Tronox / TROXV
Source: Bloomberg
Six Flags Entertainment SIX -0.43% Six Flags Entertainment Corp. U.S.: NYSE $37.00 -0.16 -0.43% Aug. 28, 2014 4:04 pm Volume (Delayed 15m) : 1.23M AFTER HOURS $37.00 0.00 % Aug. 28, 2014 4:27 pm Volume (Delayed 15m) : 6,519 P/E Ratio 25.17 Market Cap $3.54 Billion Dividend Yield 5.08% Rev. per Employee $583,672 07/21/14 Six Flags Sees Revenue, Earnin... 07/08/14 Tree Toppled Onto Coaster; Lef... 06/27/14 Tourism Gets Cold Shoulder More quote details and news » [SIX] emerged from bankruptcy protection last year. It has 27 million shares and an equity cap of $1.5 billion. It has about $900 million of debt. The company said replacement value for its assets is $5 billion to $6 billion. Six Flags owns about 20 family-oriented amusement and water parks in the U.S. and Canada. We got interested when we read that Jim Reid-Anderson had been brought in as CEO. He ushered another investment of ours, Dade Behring, through the bankruptcy process, ultimately selling it to Siemens [SI]. Dade went from 10 to 77 a share.
Jim stayed at Siemens, integrating two other acquisitions. He and his team met their cost-cutting target in the first year. Six Flags gave him a compensation package that rewards success with company shares. Jim is oriented toward paying down debt, improving return on assets and running the business properly. He brought some of his team from Dade Siemens, and moved Six Flags' headquarters from New York to Dallas, saving $16 million a year. If he can get Ebitda [earnings before interest, taxes, depreciation and amortization] to $350 million, he will receive 1.25% of the stock. Six Flags gets about 25 million visitors a year, each spending about $36, all in. If he can increase profitability by $3 per person with a combination of cost cutting and higher revenue, he should meet his target. Longer-run, Six Flags has opportunities in international licensing. It also has 1,000 undeveloped acres.
Why did the company seek bankruptcy protection?
Gabelli: Dan Snyder, owner of the Washington Redskins, gained control of the company in 2005 through a proxy fight. He and his team loaded it with debt.
Black: Has Snyder left the company?
Witmer: Yes. Six Flags will have after-tax free cash flow of about $5.50 a share in 2011, which is worth 12 times earnings. That implies a stock price of 66. My cash-flow estimate assumes Six is a full taxpayer, while in fact the company has about $1.2 billion of net-operating-loss carryforwards, meaning it will pay almost no tax for the next 10 years. The present value of the NOLs is about $9 a share, which gives us a target price of 75 a share. If Jim falls short, it still is a good investment. The stock is 55.
Black: This isn't an industrial company. It is a marketing company. It is one thing to sell ball bearings. It is another to compete against Walt Disney DIS -0.15% Walt Disney Co. U.S.: NYSE $90.23 -0.14 -0.15% Aug. 28, 2014 4:00 pm Volume (Delayed 15m) : 2.65M AFTER HOURS $90.24 0.00 +0.01% Aug. 28, 2014 7:59 pm Volume (Delayed 15m) : 33,093 P/E Ratio 21.38 Market Cap $155.12 Billion Dividend Yield 0.95% Rev. per Employee $273,869 08/28/14 For Hollywood, Not All Box Off... 08/28/14 Hollywood Pins Hopes on 2015 L... 08/26/14 What Is Kabaddi? New League Dr... More quote details and news » [DIS]. Did they bring in some professional marketers?
Witmer: They brought in Al Weber, who ran Paramount Parks, and a new marketing team.
Collective Brands [PSS] trades for 21 a share. The current CEO, Matt Rubel, hails from Cole Haan, where he did a great job. At Collective he purchased Stride Rite, and got a stable of brands with a lot of growth potential. The domestic Payless stores are a cash cow. Store count isn't growing in the U.S., but it is growing internationally, especially in South and Central America. Collective's performance and lifestyle group includes Sperry Topsider, Saucony, Stride Rite and Keds. Sperry has a lot of potential in apparel, and potentially the cache of brands like Burberry [BRBY.U.K.]. Rubel's goal is to grow operating profit by 9% to 12%, and earnings per share by 12% to 16% over the long term, using debt reductions and buybacks to boost the growth rate.
Meryl Witmer, general partner at Eagle Capital Partners, talks to Barron's Michael Santoli at the Roundtable conference about some of her stock favorites. Two are involved in the production of titanium dioxide -- Rockwood Holdings and Tronox.
What do you see for the stock?
Witmer: Collective earned about $1.50 a share in the past 12 months. Add back excess depreciation of about a dollar a share. The company has a base after-tax, free-cash-flow run rate of about $2.50 a share. The current stock price is too cheap. In the near term, increased prices for raw materials will be a headwind. But lease costs in the U.S. are decreasing. The stock could trade for 28 a share, and if things pick up with the branded part of the business, it could double.
My last pick is a flash-memory producer, Spansion CODE +4.80% Spansion Inc. Cl A U.S.: NYSE $21.60 +0.99 +4.80% Aug. 28, 2014 4:02 pm Volume (Delayed 15m) : 2.17M AFTER HOURS $21.60 0.00 % Aug. 28, 2014 4:27 pm Volume (Delayed 15m) : 26 P/E Ratio N/A Market Cap $1.26 Billion Dividend Yield N/A Rev. per Employee $329,263 More quote details and news » [CODE]. It, too, came out of bankruptcy. Spansion entered the global downturn with too much debt. It sought bankruptcy protection in the first quarter of 2009 and exited in May 2010 with a cleaned-up balance sheet and an excellent new CEO, John Kispert. There are 60 million shares out, the stock price is 21, and the market cap is just under $1.3 billion. It has about $450 million of debt and $330 million in cash.
There are two types of flash memory -- NAND and NOR. Spansion makes NOR. NAND is great for storing data like photos or movies. NOR is used to store computer code, because it can be accessed quickly and executed reliably. Code stored on NOR reminds an electronic device what it does. You find it in cable boxes and autos. Spansion and Numonyx, which was purchased by Micron Technology MU -0.56% Micron Technology Inc. U.S.: Nasdaq $32.81 -0.19 -0.56% Aug. 28, 2014 4:00 pm Volume (Delayed 15m) : 10.80M AFTER HOURS $32.85 +0.04 +0.12% Aug. 28, 2014 7:58 pm Volume (Delayed 15m) : 98,032 P/E Ratio 9.54 Market Cap $35.33 Billion Dividend Yield N/A Rev. per Employee $484,595 08/15/14 Probe Points to Lack of Traini... 07/15/14 Activist Finds ChipMOS Value I... 06/24/14 U.S. Stocks Post Broad Losses More quote details and news » [MU], have a combined 60% market share.
Fred, do you know this company?
Hickey: Not really. It is a commodity product, and those products got killed in the recession.
Witmer: It was a moment in time and a lot of things traded down. Now they are making a lot of money. Spansion lost market share when it entered bankruptcy, but now is regaining it. The market that slowed the most was the part related to cellphones, and they got out of that segment.
Spansion has $1.7 billion of NOL carryforwards. It will pay a very low tax rate for the foreseeable future. It also is suing several companies for unauthorized use of its intellectual property. We aren't counting on a big payday, but a victory could be worth a couple of hundred million. Annualizing Spansion's fourth-quarter guidance, the company will have after-tax free cash flow of $2.70 to $3.70 a share. At 21 a share, it is compelling.
Thanks, Meryl. Marc, you're on.
Faber: One investment theme I like for 2011 is LNG, liquefied natural gas, because oil demand, which declined in the developed world in the past two years, has begun to turn up. Also, emerging economies continue to grow. For the first time in history, oil demand is larger in emerging economies than in the developed world. That could create a favorable environment for energy and energy-related equities. Eventually, we will have war, big-time. Then energy prices and other commodity prices will go up substantially.
Gabelli: Can you define "big-time"?
Faber: We have a superpower in the world, the U.S., and a rising economic power, China. They have very few common interests except commercial interests, in that China wants to sell to America. But China doesn't depend as much on America as it used to, because China's exports to the developing world now exceed what it sends to the developed world. Also, countries such as Australia and Brazil have become China-centric, as their exports to China are larger than to the U.S. This creates an unstable international environment that could lead to tensions. Maybe you don't have divisions of tanks facing each other, but it should be clear that China is an active supporter of North Korea and the Taliban. And now, with the U.S. endorsing a seat for India on the U.N. Security Council, the Chinese are getting closer to Pakistan. I want to be hedged for complete disaster -- World War III. In that case, you are better off in commodity-related investments.
Sure, uranium.
Faber: If you have a bearish view of the world, you should be in equities and commodities, not government bonds. I would own a basket of oil-related equities such as Chevron CVX +0.09% Chevron Corp. U.S.: NYSE $128.75 +0.11 +0.09% Aug. 28, 2014 4:00 pm Volume (Delayed 15m) : 2.38M AFTER HOURS $128.75 0.00 % Aug. 28, 2014 5:26 pm Volume (Delayed 15m) : 24,170 P/E Ratio 12.19 Market Cap $244.28 Billion Dividend Yield 3.32% Rev. per Employee $3,232,450 08/28/14 Deal Reached to Develop Shale ... 08/28/14 Fracking Deal Is Reached by YP... 08/22/14 Tiny Ghana Oil Platform's Big ... More quote details and news » [CVX], ExxonMobil XOM +0.04% Exxon Mobil Corp. U.S.: NYSE $99.57 +0.04 +0.04% Aug. 28, 2014 4:01 pm Volume (Delayed 15m) : 6.01M AFTER HOURS $99.57 +0.00 +0.00% Aug. 28, 2014 7:24 pm Volume (Delayed 15m) : 65,041 P/E Ratio 12.68 Market Cap $424.46 Billion Dividend Yield 2.77% Rev. per Employee $5,295,050 08/27/14 Stocks to Watch: Express, Mich... 08/22/14 Rosneft to Take 30% of U.S.-Li... 08/22/14 Australian Gas Producers Boost... More quote details and news » [XOM] and Occidental Petroleum OXY +0.61% Occidental Petroleum Corp. U.S.: NYSE $104.01 +0.63 +0.61% Aug. 28, 2014 4:01 pm Volume (Delayed 15m) : 2.77M AFTER HOURS $104.01 0.00 % Aug. 28, 2014 6:35 pm Volume (Delayed 15m) : 43,112 P/E Ratio 13.72 Market Cap $80.60 Billion Dividend Yield 2.77% Rev. per Employee $1,925,970 08/22/14 Mexico's Mexichem Plans to Slo... 08/03/14 HEARD ON THE STREET: Major Oil... 07/31/14 Stocks to Watch: Exxon Mobil, ... More quote details and news » [OXY]. The cheapest energy is natural gas. It is volatile and depressed. A few years ago I recommended cotton, which was around 50 cents a pound. Everyone said, "There's a big glut of cotton." That is precisely when you buy commodities -- when there is a glut and prices are depressed. Then you wait. If you buy a natural-gas ETF [exchange-traded fund] and gas prices don't move, you'll lose money. But you can buy natural-gas stocks such as Chesapeake Energy CHK +2.08% Chesapeake Energy Corp. U.S.: NYSE $26.98 +0.55 +2.08% Aug. 28, 2014 4:02 pm Volume (Delayed 15m) : 7.54M AFTER HOURS $27.07 +0.09 +0.33% Aug. 28, 2014 5:04 pm Volume (Delayed 15m) : 10,295 P/E Ratio 34.15 Market Cap $17.60 Billion Dividend Yield 1.30% Rev. per Employee $1,960,090 08/20/14 BP Hires Chief to Run its U.S.... 08/06/14 Morning MoneyBeat: Volatility ... 08/06/14 Chesapeake Energy Profit Slide... More quote details and news » [CHK]. I am not saying it is a perfect company, but if natural gas goes up, the stock can move significantly.
Natural gas is abundant. Why would it rally?
Gabelli: What drives natural-gas prices is cycles. At $4.40 per million Btu, it is cheap relative to other energy inputs.
Faber: It is cheap and clean. Some coal companies also are interesting. SouthGobi Resources [SGQ.Canada] is speculative. It has a lot of coal 40 kilometers from the border of China, in Mongolia. The company is a spinoff of Ivanhoe Mines [IVN]. I am on Ivanhoe's board. Ivanhoe still has a large holding in SouthGobi, but it is independently run, if that is possible in the Friedland stable. [Robert Friedland is Ivanhoe's CEO.]
Schafer: How will SouthGobi get coal to the people who use it?
Faber: It is shipping the coal by truck, but it is likely they will build a railroad. It is a politically charged situation, because the Mongolians are afraid that once a railroad goes through, it would facilitate an invasion by China.
For the past few years I have been positive on emerging economies. But I agree with the view here that some stocks in the West have become attractive. Archie recommended insurance companies in America. The Swiss stock market suffers from the same syndrome as Japan -- a strong currency. Swiss stocks, priced in Swiss francs, haven't really moved since 1998. Nor has the Swiss insurance industry done well. A basket of Swiss insurers including Zurich Financial [ZURN.Switzerland], Swiss Life [SLHN.Switzerland] and Swiss Re [RUKN.Switzerland] are attractive at current valuations.
Zulauf: You're not afraid they will be hurt by their holdings of European government bonds?
Faber: Swiss insurers don't own a lot of Greek, Portuguese and Spanish bonds. Zurich Financial yields 6%, astronomical compared to Swiss interest rates. The market is saying it doesn't trust the dividend. But even if it is cut by 50%, you'll have a 3% yield, still is better than Swiss bonds.
Cutting the dividend wouldn't do the stock any good.
Faber: The stock probably has discounted a potential cut already. I hear it might not happen.
I have repeatedly recommended physical gold and gold shares. Fred and others have discussed the reasons to hold physical gold outside the U.S., and I would do the same. The custody of assets will become increasingly important for investors. You shouldn't have your $1 billion in the American banking system, where the government might take it away one day or prevent it from moving overseas. You don't want to own gold in America, where expropriation is a possibility, as happened in 1933. You want to hold it in custody in Singapore, Australia, Dubai or Hong Kong.
Marc Faber's Pick
|SouthGobi Resources / SGQ.Canada
|Zurich Financial / ZURN.Switzerland
|Swiss Life / SLHN.Switzerland
|Swiss Re / RUKN.Switzerland
| Buy:
|Sell: Barrick Gold options*
|Chiang Mai Ram Medical / CMR.Thailand
|46.00 baht
|AEON Thana Sinsap / AEONTS.Thailand
|MCOT / MCOT.Thailand
|Ascott Residence Trust / ART.Singapore
|Oslo Bors / OSLO.Norway
|*July 2011 50 calls.
|Source: Bloomberg
Schafer: How would you view Switzerland with regard to expropriation?
Faber: If the U.S. expropriates gold, the government won't take it away without paying for it. It will pay you the going price per ounce. Then overnight it can revalue gold to $10,000 an ounce. The U.S. would put enormous pressure on the Swiss national bank and on others to do the same. The Chinese will tell them to get lost. Thus, you should have a safe-deposit box in Hong Kong for your gold.
Among gold producers, I would own Newmont Mining NEM +1.28% Newmont Mining Corp. U.S.: NYSE $26.86 +0.34 +1.28% Aug. 28, 2014 4:00 pm Volume (Delayed 15m) : 4.50M AFTER HOURS $26.86 0.00 % Aug. 28, 2014 4:27 pm Volume (Delayed 15m) : 9,364 P/E Ratio N/A Market Cap $13.36 Billion Dividend Yield 0.37% Rev. per Employee $238,413 08/21/14 Indonesian Court Upholds Widod... 08/17/14 Newcrest Reports Loss After Wr... 08/05/14 Indonesia's New President Coul... More quote details and news » [NEM] and Barrick Gold ABX +0.55% Barrick Gold Corp. U.S.: NYSE $18.22 +0.10 +0.55% Aug. 28, 2014 4:00 pm Volume (Delayed 15m) : 4.82M AFTER HOURS $18.20 -0.02 -0.08% Aug. 28, 2014 4:11 pm Volume (Delayed 15m) : 4,500 P/E Ratio N/A Market Cap $21.02 Billion Dividend Yield 1.10% Rev. per Employee $511,207 08/07/14 Canadian Exchange Operator TMX... More quote details and news » [ABX]. If you are concerned about a near-term correction in gold, you can buy Barrick shares and sell the July 50 calls.
Water and fertilizer, or potash, are interesting opportunities. I have been recommending fertilizer stocks like PotashCorp POT +0.20% Potash Corp. of Saskatchewan Inc. U.S.: NYSE $35.30 +0.07 +0.20% Aug. 28, 2014 4:04 pm Volume (Delayed 15m) : 2.07M AFTER HOURS $35.30 0.00 % Aug. 28, 2014 5:14 pm Volume (Delayed 15m) : 5,050 P/E Ratio 20.04 Market Cap $31.73 Billion Dividend Yield 3.97% Rev. per Employee $1,229,150 More quote details and news » [POT], which will be taken over at some point. It got a bid from BHP Billiton bhp -2.01% BHP Billiton Ltd. ADS U.S.: NYSE $68.23 -1.40 -2.01% Aug. 28, 2014 4:04 pm Volume (Delayed 15m) : 2.58M AFTER HOURS $68.14 -0.09 -0.13% Aug. 28, 2014 4:15 pm Volume (Delayed 15m) : 21,012 P/E Ratio 13.60 Market Cap $111.95 Billion Dividend Yield 3.63% Rev. per Employee $1,352,260 More quote details and news » [BHP] but the bid is off. I am a little cautious about agricultural commodities, but fertilizer stocks are still attractive. And, as always, I have some Asian recommendations.
We were waiting for those.
Faber: Markets in Asia no longer are inexpensive. But based on dividend yields, which compare well to bond and cash yields, shares aren't expensive, either. You can assemble an attractive basket of Asian shares that yield 5% and have a P/E [price/earnings ratio] of around 10 times earnings. I recently bought Chiang Mai Ram Medical [CMR.Thailand], a hospital-management company. Health-care expenditures per capita are around $7,000 in the U.S. In India they are less than $50, and in China they are around $80. It is a no-brainer that health-care expenditures will grow in the developing world, along with spending on pharmaceuticals.
Witmer: Does Chiang Mai Ram make money?
Faber: It makes a lot of money. Do you think hospitals in Thailand operate for free? The P/E is about 12. Then there is AEON Thana Sinsap [AEONTS.Thailand], a consumer-finance company with a P/E of 10 and a yield of 6%. MCOT [MCOT.Thailand] is a communications company, partly state-owned. It has a yield of around 5% and a P/E of 10. In Singapore there is Ascott Residence Trust [ART.Singapore]. If you are moving to Asia or within Asia, you can't find an apartment overnight, so you stuff your family into a residential hotel until you do. Ascott yields 5.6%.
If energy prices keep rising, Middle East stock markets will go up. You can participate in the markets through the Market Vectors Gulf States Index mes -0.69% Market Vectors Gulf Shares ETF U.S.: NYSE Arca $33.09 -0.23 -0.69% Aug. 28, 2014 4:00 pm Volume (Delayed 15m) : 11,593 AFTER HOURS $33.25 +0.16 +0.48% Aug. 28, 2014 4:05 pm Volume (Delayed 15m) : 900 P/E Ratio N/A Market Cap N/A Dividend Yield 1.66% Rev. per Employee N/A More quote details and news » [MES] ETF. Russia and Kazakhstan would also benefit from rising oil prices. The quality of their bonds would improve. A year ago I recommended Norway's stock exchange, the Oslo Bors [OSLO.Norway]. I still like it. It yields 10%. It is a cheap stock and might be taken over. We haven't talked about Japan, the second-largest economy in the world.
Let's do it.
Faber: The Japanese market has been a huge underperformer. Government debt equals about 200% of GDP [gross domestic product]. The government will have to monetize it sooner or later. Eventually they will drive people out of fixed-income securities and cash and into currencies other than the yen. A weakening yen would be key to the improved performance of Japanese stocks. In 2011 the Japanese stock market could surprise investors on the upside. I would buy a basket of stocks, including Nomura Holdings NMR -0.62% Nomura Holdings Inc. ADS U.S.: NYSE $6.38 -0.04 -0.62% Aug. 28, 2014 4:03 pm Volume (Delayed 15m) : 170,821 AFTER HOURS $6.41 -0.01 +0.50% Aug. 27, 2014 4:11 pm Volume (Delayed 15m) : 400 P/E Ratio 14.28 Market Cap $24.73 Billion Dividend Yield N/A Rev. per Employee $637,870 More quote details and news » [NMR], NTT DoCoMo dcm -0.52% NTT DoCoMo Inc. ADS U.S.: NYSE $17.25 -0.09 -0.52% Aug. 28, 2014 4:03 pm Volume (Delayed 15m) : 137,277 AFTER HOURS $17.52 +0.03 +1.58% Aug. 25, 2014 4:10 pm Volume (Delayed 15m) : 200 P/E Ratio 16.24 Market Cap $75.58 Billion Dividend Yield N/A Rev. per Employee $1,761,520 More quote details and news » [DCM], Mizuho Financial mfg -0.26% Mizuho Financial Group Inc. ADS U.S.: NYSE $3.79 -0.01 -0.26% Aug. 28, 2014 4:05 pm Volume (Delayed 15m) : 178,256 AFTER HOURS $3.76 -0.03 -0.79% Aug. 28, 2014 4:26 pm Volume (Delayed 15m) : 100 P/E Ratio 7.81 Market Cap $46.16 Billion Dividend Yield N/A Rev. per Employee $474,423 More quote details and news » [MFG] and Mitsubishi UFJ Financial MTU -0.35% Mitsubishi UFJ Financial Group Inc. ADS U.S.: NYSE $5.71 -0.02 -0.35% Aug. 28, 2014 4:02 pm Volume (Delayed 15m) : 2.78M AFTER HOURS $5.71 0.00 % Aug. 28, 2014 4:49 pm Volume (Delayed 15m) : 12,455 P/E Ratio 8.57 Market Cap $81.65 Billion Dividend Yield N/A Rev. per Employee $447,357 More quote details and news » [MTU]. You can prosper by buying what no one else wants.
Marc Faber, managing director of Marc Faber Ltd., talks to Barron's Michael Santoli at the Roundtable conference regarding global economy. He believes nations will continue to print money to stimulate domestic economies.
All paper currencies are doomed. But I am not as bearish as some on the U.S. dollar. It could surprise on the upside for a couple of months, and the yen, euro, Swiss franc and some commodity-related currencies could weaken.
There is an absence of short recommendations here today, which is unusual. I agree with Fred that in a money-printing environment you don't want to short. But going back to cotton, it recently hit $1.59 a pound. There isn't a permanent shortage; when the price gets too high, they'll plant more. But I would consider shorting cotton. I would also short the Standard & Poor's 500 as a trading position. Sentiment is overly optimistic, insider selling is heavy and the market's internals have been worsening. A lot of well-to-do people are up to here in cash. They completely missed the rally from the lows in 2009. They might be forced into the market and push it up. You could get a spike in stocks, and a shorting opportunity.
Thank you, Marc. Mario, you're on.
Gabelli: Genuine Parts GPC -0.40% Genuine Parts Co. U.S.: NYSE $87.45 -0.35 -0.40% Aug. 28, 2014 4:05 pm Volume (Delayed 15m) : 410,987 AFTER HOURS $87.45 0.00 % Aug. 28, 2014 4:27 pm Volume (Delayed 15m) : 18,655 P/E Ratio 19.83 Market Cap $13.44 Billion Dividend Yield 2.63% Rev. per Employee $392,969 More quote details and news » [GPC] has 158 million shares. The stock is around 50. The company has net cash of $50 million. Earnings will accelerate, in part because they are gaining back share in the do-it-for-me auto-repair market. The automotive-parts group will account for 50% of 2010's $11 billion of revenue. The other business is the sale of maintenance and repair parts for industrial customers. That business was depressed and will recover.
Genuine Parts could earn $2.90 to $3 a share for 2010. This year they could do $3.45, going to $3.90. In the next five years, the company could see 10% annual earnings growth. The dividend is $1.64 a share, and the yield is 3.5%, which will grow nicely. There are 250 million cars on the road in the U.S., and their average age is increasing. The same is true for the truck population. Auto production was up sharply in 2010 as car inventory was rebuilt. Sales will rise in 2011 by about a million units, but production will rise by only 700,000. Class A trucks will be strong for the next three or four years. Globally, China is the big dog as global production increases.
What else do you like?
Gabelli: We had 10-baggers in a bunch of companies. Tenneco TEN +0.03% Tenneco Inc. U.S.: NYSE $63.91 +0.02 +0.03% Aug. 28, 2014 4:04 pm Volume (Delayed 15m) : 205,939 AFTER HOURS $64.04 +0.13 +0.20% Aug. 28, 2014 7:24 pm Volume (Delayed 15m) : 2,326 P/E Ratio 20.07 Market Cap $3.90 Billion Dividend Yield N/A Rev. per Employee $320,346 More quote details and news » [TEN] went from 30 to 1 and is now 45 a share. My next idea ties into drilling technology. The world is long shale [natural gas trapped in shale]. The gas couldn't be unlocked until companies developed ways to drill horizontally with fracturing of the shale. National Fuel Gas NFG +0.08% National Fuel Gas Co. U.S.: NYSE $76.18 +0.06 +0.08% Aug. 28, 2014 4:00 pm Volume (Delayed 15m) : 379,308 AFTER HOURS $76.18 0.00 % Aug. 28, 2014 4:27 pm Volume (Delayed 15m) : 1,319 P/E Ratio 22.00 Market Cap $6.40 Billion Dividend Yield 2.02% Rev. per Employee $1,100,990 More quote details and news » [NFG] is a conservative way to participate. The company has 82.1 million shares and sells for about 68. Its local gas utility in Buffalo is worth about 19 a share. It has a pipeline business in the Marcellus shale, which runs from West Virginia through parts of New York, and some production in the Gulf of Mexico and California. All that, with the utility, is worth $40 a share.
Mario Gabelli's Picks
Source: Bloomberg
NFG owns most of the land it has drilling rights to. When you drill, the first few thousand feet of shale is the Upper Devonian. You will find gas in 98% of your wells. Below that is the Marcellus, and further down is the Utica. The Utica fields are likely to be more prolific. Some companies just lease the Marcellus, but when you own the mineral rights, you can drill all the way down. Atlas Energy ATLS -0.50% Atlas Energy L.P. U.S.: NYSE $43.74 -0.22 -0.50% Aug. 28, 2014 4:02 pm Volume (Delayed 15m) : 167,798 AFTER HOURS $44.26 0.00 +1.19% Aug. 25, 2014 4:51 pm Volume (Delayed 15m) : 53 P/E Ratio N/A Market Cap $2.28 Billion Dividend Yield 4.48% Rev. per Employee $2,981,640 More quote details and news » [ATLS] has done a deal in this area with Chevron, CVX +0.09% Chevron Corp. U.S.: NYSE $128.75 +0.11 +0.09% Aug. 28, 2014 4:00 pm Volume (Delayed 15m) : 2.38M AFTER HOURS $128.75 0.00 % Aug. 28, 2014 5:26 pm Volume (Delayed 15m) : 24,170 P/E Ratio 12.19 Market Cap $244.28 Billion Dividend Yield 3.32% Rev. per Employee $3,232,450 08/28/14 Deal Reached to Develop Shale ... 08/28/14 Fracking Deal Is Reached by YP... 08/22/14 Tiny Ghana Oil Platform's Big ... More quote details and news » in which it priced land at $7,000 to $8,000 an acre. Here you're paying 28 a share times roughly 80 million shares, or $2.4 billion, for something that could be worth as much as $8 billion. NFG is in the final stages of figuring out who its partner will be. These are utility guys who backed into a technology play. They didn't understand it but they learned very quickly.
I left my props home today. I was looking for a bottle of Jim Beam.
Gabelli: Fortune Brands [FO] is splitting in three. What are the parts worth? The stock is 61. The company has been whittled down in the past five years to three businesses. One is spirits. Spirits, beer and wine is an $830 billion business worldwide. Bourbon is one of Fortune Brands' fastest-growing products. The company will spin off its distilled-spirits business. The second business is housing products, including brands such as Moen, Master Lock and Aristokraft. The third business is golf products.
Fortune Brands has a $9.6 billion equity value and $3.6 billion of debt, for a $13 billion enterprise value. Earnings will grow nicely in the next few years. Bill Ackman of Pershing Square pushed for a break-up of the company, but he moved it in the direction it was going anyway. Fortune Brands should earn about $2.80 a share in 2010, and absent a break-up, earnings would march straight to $6 in 2014. Debt would come down at an accelerating rate. If there were no break-up, the company could be worth more than 110 a share. Spirits is attractive, and the housing business will recover.
Not any time soon.
Gabelli: I agree there is a big inventory overhang in housing. We don't look for much of a recovery until 2012. In the golf business, they paid about $800 million for Cobra and sold it for $100 million, so they had a big capital loss. They have a high tax basis on the golf business. It is an important dynamic of the split-up. There could be a bidding war for the spirits business. I assume it is worth 12 times Ebitda, and you could get a premium for it.
Next, coffee is a $58 billion-a-year industry. People in developing markets are drinking more coffee, and the single-serve market is growing by 30% a year. It probably accounts for $3 billion. The coffee market will grow by 6% a year in the next five years, and the tea market by 9%, from $34 billion to nearly $52 billion. How to play this? Sara Lee [SLE]. It has 639 million shares and trades for 17.50. It has about $500 million of cash from the sale of assets. It is looking to split itself up. [Sara Lee announced a split-up Friday morning.] A Brazilian company is reported to be circling the meat business. We have $23 of value today. We are looking at who will buy the coffee business.
Private-equity firms are interested.
Gabelli: They are circling. The company is in play. The best play in single-serve coffee is Nestlé nsrgy -0.49% Nestle S.A. ADS U.S.: OTC $77.19 -0.38 -0.49% Aug. 28, 2014 8:10 pm Volume (Delayed 15m) : 209,979 AFTER HOURS $77.19 0.00 % Aug. 28, 2014 4:02 pm Volume (Delayed 15m) : 207,055 P/E Ratio 23.28 Market Cap $250.10 Billion Dividend Yield 3.13% Rev. per Employee $300,270 07/02/14 Forget Dinner. It's Always Sna... More quote details and news » [NSRGY]. But I am look for split-ups and takeovers, a subset of financial engineering. Deals are one way for values to surface.
Since we last met, there is a new company, Madison Square Garden MSG -1.52% Madison Square Garden Co. U.S.: Nasdaq $66.22 -1.02 -1.52% Aug. 28, 2014 4:00 pm Volume (Delayed 15m) : 748,919 AFTER HOURS $66.21 -0.01 -0.01% Aug. 28, 2014 4:26 pm Volume (Delayed 15m) : 320 P/E Ratio 44.15 Market Cap $5.19 Billion Dividend Yield N/A Rev. per Employee $172,844 08/25/14 Could the Knicks Be an Activis... 08/20/14 Operating Expenses Bite Into M... 08/05/14 Madison Square Garden Co. Name... More quote details and news » [MSG]. It has 62.3 million A shares, of which the Dolan family owns 2.5 million. There are 13.6 million B shares; the Dolans own them all. The stock is selling for 24. The economic value of the company isn't in the New York Knicks or Rangers but in Madison Square Garden's cable networks. They have 16 million subscribers. They receive $2 per month per subscriber. The value of the cable networks equals the market value of the company, so you are getting everything else for free.
Mario Gabelli, chairman of Gamco Investors, talks to Barron's Michael Santoli at the Roundtable conference regarding expected jump in corporate mergers. Companies have cash to buy things and are looking for prospective acquisitions.
What are they using the cash for?
Gabelli: They are spending $800 million to redo the Garden over several years. If the company were going private, it would have to pay probably 55 a share. That number will rise substantially. They have air rights over the Garden, which are valuable. They have naming rights for lots of venues.
Energizer Holdings ENR -1.01% Energizer Holdings Inc. U.S.: NYSE $121.45 -1.24 -1.01% Aug. 28, 2014 4:02 pm Volume (Delayed 15m) : 368,716 AFTER HOURS $121.45 0.00 % Aug. 28, 2014 4:27 pm Volume (Delayed 15m) : 73,287 P/E Ratio 20.04 Market Cap $7.58 Billion Dividend Yield 1.65% Rev. per Employee $336,338 07/30/14 Stocks to Watch: Twitter, Spri... 07/09/14 Stocks to Watch: Container Sto... 07/09/14 Energizer Holdings to Close Mo... More quote details and news » [ENR] hasn't done much in the past two years. It sells batteries, shaving products and other consumer products. There are 70.6 million shares and the stock is 70, so that's a $4.9 billion market cap. They have about $2 billion of debt. Earnings for the fiscal year ending Sept. 30 will be about $6.15 a share on $4.5 billion of revenue. They will have a hiccup in the first quarter, but earnings could climb to $10 a share by fiscal 2015.
Schafer: Driven by what?
Gabelli: They will be virtually debt-free by 2015. Ebitda is close to $900 million, and that will keep rising. The battery business is low-growth but a great cash generator. It is a $47 billion business over all. The wet-shave market is $14.5 billion at retail globally. Energizer sells the Schick brand and just bought American Safety Razor out of bankruptcy. The company makes acquisitions and diversifies neatly. It also sells off brands, monetizing their value.
With the industrial world recovering, there is a greater need for electricity. Our play, Thomas & Betts [TNB], is in the energy-efficiency business and has 51.6 million shares. It sells for about 48 and debt is $315 million. We were large holders of Baldor, which was acquired by ABB ABB -0.31% ABB Ltd. ADS U.S.: NYSE $22.81 -0.07 -0.31% Aug. 28, 2014 4:03 pm Volume (Delayed 15m) : 551,982 AFTER HOURS $22.83 +0.02 +0.09% Aug. 28, 2014 5:16 pm Volume (Delayed 15m) : 10,344 P/E Ratio 20.14 Market Cap $53.05 Billion Dividend Yield 3.46% Rev. per Employee $287,107 08/26/14 Daimler Sets High Hopes for De... 07/23/14 ABB Profit Falls Amid Revamp More quote details and news » [ABB] for 13 times Ebitda. This company sells for 6.5 times 2011 Ebitda. It will earn about $2.70 a share in the year just ended, and earnings will march up to $6 by 2014. It is an important component supplier in the low-voltage electrical-products market. This is a $45 billion market. In power systems, they have an addressable market of close to $115 billion, growing 5% to 6% a year. Thomas & Betts generates a lot of cash. The company will have $18 a share in cash in 2014.
How will it spend that cash?
Gabelli: It can buy back stock or make acquisitions. Thomas & Betts will be part of a global consolidation in the electrical-products market.
Crane CR -0.27% Crane Co. U.S.: NYSE $69.81 -0.19 -0.27% Aug. 28, 2014 4:02 pm Volume (Delayed 15m) : 179,478 AFTER HOURS $69.81 0.00 % Aug. 28, 2014 4:27 pm Volume (Delayed 15m) : 281 P/E Ratio 18.97 Market Cap $4.13 Billion Dividend Yield 1.89% Rev. per Employee $242,251 More quote details and news » [CR] makes aircraft components. There will be 33,000 commercial aircraft flying in the next 20 years. Some 14,000 planes will be taken out of the market, allowing for 30,000 to be built. Crane sells for 41.25. It has 58.9 million shares and the market cap is $2.5 billion. Net debt is $177 million. Revenue for 2010 will be about $2.2 billion, and Ebitda, $300 million. The company will earn $2.70 a share. [Crane reported last Monday that it earned $2.59 a share for the year.]
Next, I like a batch of wireless carriers. They are takeout plays. Millicom International Cellular [MICC] has done well since I recommended it a year ago. They have 35 million customers in Africa and Central and South America. There are 108 million shares and the stock is at 96. U.S. Cellular USM -1.30% U.S. Cellular Corp. U.S.: NYSE $37.15 -0.49 -1.30% Aug. 28, 2014 4:01 pm Volume (Delayed 15m) : 66,306 AFTER HOURS $37.64 +0.49 +1.32% Aug. 28, 2014 4:16 pm Volume (Delayed 15m) : 700 P/E Ratio N/A Market Cap $3.17 Billion Dividend Yield N/A Rev. per Employee $556,051 08/01/14 TDS, U.S. Cellular Swing to Lo... More quote details and news » [USM] is another favorite. It is based in Chicago and serves six million customers. The stock is 50 and there are 86 million shares. Telephone and Data Systems [TDS] owns all but 15 million and should buy the balance.
Lastly, I'll recommend a gold stock.
Not you, too.
Gabelli: People in this room want physical gold available to them. How will it be transported? By Brink's bco -0.11% Brink's Co. U.S.: NYSE $27.47 -0.03 -0.11% Aug. 28, 2014 4:05 pm Volume (Delayed 15m) : 221,953 AFTER HOURS $27.47 0.00 % Aug. 28, 2014 4:27 pm Volume (Delayed 15m) : 1,420 P/E Ratio 171.69 Market Cap $1.34 Billion Dividend Yield 1.46% Rev. per Employee $59,568 More quote details and news » [BCO]. There are 46 million shares, the stock is 27, the market cap is $1.3 billion. About 7% more currency has been put into circulation in the past five years. Brink's specializes in global logistics for the movement of precious metals and cash. There is another round of consolidation taking place in this business. Brink's will generate revenue of $3.6 billion in 2011, Ebitda of $330 million and earnings of $1.65 a share. Earnings could grow at a 17% annual rate in the next several years.
Thank you, Mario. Oscar, you've been very patient. Now tell us what you like.
Schafer: We invest thematically, but recently have found opportunities in companies that underwent leveraged buyouts and came public again. They share several characteristics. Management is accustomed to living with high levels of debt and cost-consciousness. These companies don't spend a lot of time figuring out which grand piano to put on the private plane. Also, they have low tax rates due to the stepped-up basis [readjustment of value] of the assets purchased in the LBO. So they have a lot of free cash flow to pay down their debt. They have a limited float [publicly traded shares], which restricts the number of big investors until a secondary offering occurs. Three of my recommendations fit this bill.
Sensata Technologies st -1.23% Sensata Technologies Holding N.V. U.S.: NYSE $49.14 -0.61 -1.23% Aug. 28, 2014 4:01 pm Volume (Delayed 15m) : 681,783 AFTER HOURS $49.38 -0.37 +0.49% Aug. 27, 2014 4:23 pm Volume (Delayed 15m) : 25,333 P/E Ratio N/A Market Cap N/A Dividend Yield N/A Rev. per Employee N/A 08/18/14 Sensata Agrees to Buy Tire-Sen... 07/07/14 Sensata to Buy DeltaTech in $1... 07/07/14 Stocks to Watch: BioDelivery, ... More quote details and news » [ST] traces its origins back to 1916 and was acquired by Texas Instruments TXN +0.50% Texas Instruments Inc. U.S.: Nasdaq $48.02 +0.24 +0.50% Aug. 28, 2014 4:00 pm Volume (Delayed 15m) : 3.36M AFTER HOURS $48.02 +0.00 +0.01% Aug. 28, 2014 7:24 pm Volume (Delayed 15m) : 70,062 P/E Ratio 22.94 Market Cap $51.01 Billion Dividend Yield 2.50% Rev. per Employee $389,549 08/20/14 Infineon to Buy International ... 07/22/14 Flir Systems Piggybacking New ... 07/21/14 Texas Instruments Revenue Incr... More quote details and news » [TXN] in 1959. As part of TI, it grew into one of the leading sensor and control companies globally. However, TI didn't view it as a core business but as a reliable source of cash. This eventually led to an LBO of the business in April 2006. The LBO buyer sold a portion of its shares to the public last March, at 18. A secondary offering in November was priced at 24.10. Sensata is now 30.
What does Sensata do now?
Schafer: Sensors account for 60% of revenue. Controls are 40%. A sensor is a small device embedded into a larger system that measures physical signals, such as pressure, temperature, force or speed. It converts information into a signal that can be read by a computer. In a car, sensors measure all sorts of things, from tire pressure to fuel injection. Controls are high-end circuit breakers used in industrial equipment. They prevent overheating.
Sensata has had consistent high-single-digit revenue growth, with 30% Ebitda margins and 20% adjusted net-income margins, despite having such high exposure to the brutal auto-supply industry. Sensors cost $7 to $8, but the mission-critical function of these products and the potential for damage if one malfunctions insure that industry suppliers use sensors from manufacturers with a long history of near-perfect reliability. This has given Sensata a substantial market share in its market segment, and the ability to at least maintain pricing. Components using sensors generally are designed three years before a car is sold, giving Sensata good visibility on its pipeline and future revenue. The business has high barriers to entry, and recent changes in emissions, efficiency and safety standards are driving a meaningful increase in auto-sensor content per vehicle.
Does the company sell its products worldwide?
Schafer: Yes. In North America auto-sensor content averages $20 to $25 a vehicle. We expect the dollar amount to increase 7% to 8% annually as a lot of midrange cars adopt the standards used in high-end cars today. Sensor content in China averages around $10 a vehicle but is growing rapidly as China ratchets up its standards to be more in line with Western standards. Sensata can grow its business by 10% a year for the next three years. If auto sales continue to recover, that will be additive. The controls business is driven by the adoption in developing markets of durable goods such as refrigerators and washing machines.
Looking out, earnings growth will come more from double-digit top-line growth than margin expansion, although profits will be enhanced as the company continues to pay down the LBO debt.
How much debt does Sensata have?
Schafer: It has $2.2 billion. It earns three times what it pays in interest. The market cap is $5.4 billion.
Witmer: There isn't much book value, but the stock has a lot of earnings support. It has really amazing management.
Schafer: Sensata also has a pipeline of potential deals, as large companies look to divest pieces, including sensor businesses. Last October Sensata announced it was buying Honeywell's HON -0.28% Honeywell International Inc. U.S.: NYSE $95.30 -0.27 -0.28% Aug. 28, 2014 4:03 pm Volume (Delayed 15m) : 930,716 AFTER HOURS $95.30 0.00 % Aug. 28, 2014 5:26 pm Volume (Delayed 15m) : 15,130 P/E Ratio 18.47 Market Cap $74.79 Billion Dividend Yield 1.89% Rev. per Employee $305,137 08/04/14 China Using Antimonopoly Law t... 07/31/14 America's Business Puzzle: Rec... 07/18/14 Honeywell Reports Better-Than-... More quote details and news » [HON] sensor business for one times revenue and, after synergies, four times Ebitda. Deals like this can add six to 20 cents a share to the bottom line relatively quickly. A business that generates $2 a share in earnings and could earn in the mid-$2-plus range in 2012 is worth more than 40 a share.
NXP Semiconductors NXPI +2.17% NXP Semiconductors N.V. U.S.: Nasdaq $66.96 +1.42 +2.17% Aug. 28, 2014 4:00 pm Volume (Delayed 15m) : 2.68M AFTER HOURS $66.97 +0.01 +0.02% Aug. 28, 2014 4:44 pm Volume (Delayed 15m) : 5,312 P/E Ratio 31.58 Market Cap $15.64 Billion Dividend Yield N/A Rev. per Employee $199,953 07/24/14 KKR's Quarterly Profit Surges 06/29/14 HEARD ON THE STREET: NXP's App... 06/13/14 Barclays Keeps The Capital Flo... More quote details and news » [NXPI], a spinoff from Philips Electronics PHG -0.65% Koninklijke Philips N.V. ADS U.S.: NYSE $30.70 -0.20 -0.65% Aug. 28, 2014 4:03 pm Volume (Delayed 15m) : 388,661 AFTER HOURS $30.70 0.00 % Aug. 28, 2014 5:16 pm Volume (Delayed 15m) : 6,442 P/E Ratio 19.13 Market Cap $29.58 Billion Dividend Yield 3.04% Rev. per Employee $268,054 07/21/14 Philips Pledges to Boost Earni... 07/08/14 Philips Health-Care Chief Step... 07/08/14 Air France KLM, M&S, Philips a... More quote details and news » [PHG]. The company is based in Holland. It was taken private by a consortium of private-equity firms in August 2006 and brought public again in August 2010 at 14. While private, NXP rid itself of many of the more commodity-centric pieces of its business. It emerged from its LBO as a maker of high-performance mixed-signal solutions and semiconductor components. It sells into end markets such as automotive, identification and lighting. Analog-semiconductor companies like NXP typically have 30% operating margins and a 5% to 7% capital-intensity [capital expenditures divided by revenue] versus digital companies, which are in the high teens. The new NXP produces 65 billion units annually.
What is the stock price?
Schafer: NXP is trading for 22.92. As the analog portion of the business increases to 75% of revenue in 2012 from 60% in 2010, margins will expand. Gross margins can increase a thousand basis points, to north of 50%. Secondly, NXP went private with a lot of leverage. Given its high margins, low capex [capital-spending requirements] and low tax rate, however, it generates a lot of free cash flow. It will reduce its leverage and interest expense significantly in the next two years. Interest expense could decline from $1.30 a share in 2010 to below a dollar in 2012.
Finally, there are interesting revenue opportunities that should enable meaningful growth. Notably, NXP is the critical standard for near-field communications. It is the market-share leader in electronic passports, transit cards and other contact-list forms of identification. In early December, Google GOOG -0.32% Google Inc. Cl C U.S.: Nasdaq $569.20 -1.80 -0.32% Aug. 28, 2014 4:00 pm Volume (Delayed 15m) : 1.28M AFTER HOURS $570.00 +0.80 +0.14% Aug. 28, 2014 7:58 pm Volume (Delayed 15m) : 13,439 P/E Ratio N/A Market Cap $390.28 Billion Dividend Yield N/A Rev. per Employee $1,321,030 08/26/14 Google Acquires Video and Spec... 08/07/14 Is Your Neighborhood Gentrifyi... 08/01/14 East Coast Google Barge Headed... More quote details and news » [GOOG] announced it was designing the NXP standard into its latest Android platform in order to drive its vision of the digital wallet. Your cellphone will become your credit card. Shoppers will be able to hold their smartphones next to electronic readers at retailers and transit points, in restaurants and so forth. This could be a large incremental opportunity for NXP. Analysts' earnings estimates for NXP are in the $2.50 range for 2011 and $3 for 2012. The stock is trading at a single-digit P/E.
Black: What is the barrier to entry? A lot of people are making mixed-signal devices.
Hickey: Everyone has been trying to move into the analog business because the margins are better. It is getting overcrowded.
Schafer: Near-field communication eventually will be in a broad array of wireless chips. In the near term, NXP will benefit.
My third post-LBO stock is Hertz Global Holdings HTZ -1.72% Hertz Global Holdings Inc. U.S.: NYSE $30.21 -0.53 -1.72% Aug. 28, 2014 4:00 pm Volume (Delayed 15m) : 6.52M AFTER HOURS $30.21 0.00 % Aug. 28, 2014 7:19 pm Volume (Delayed 15m) : 25,927 P/E Ratio 35.60 Market Cap $13.76 Billion Dividend Yield N/A Rev. per Employee $354,339 08/21/14 Stocks to Watch: Family Dollar... 08/20/14 Carl Icahn Takes 8.5% Stake in... 08/20/14 Stocks to Watch: Lowe's, Ameri... More quote details and news » [HTZ]. Improving fundamentals in the car-rental industry and company-specific initiatives should enable strong revenue and earnings growth in the next two years, which isn't reflected in the current valuation of the stock. Hertz was bought from Ford F +0.35% Ford Motor Co. U.S.: NYSE $17.42 +0.06 +0.35% Aug. 28, 2014 4:00 pm Volume (Delayed 15m) : 16.73M AFTER HOURS $17.43 +0.01 +0.06% Aug. 28, 2014 7:48 pm Volume (Delayed 15m) : 121,217 P/E Ratio 10.43 Market Cap $67.33 Billion Dividend Yield 2.87% Rev. per Employee $808,282 08/28/14 Ford Will See if New Mustang T... 08/27/14 GM Moving Cadillac SRX Product... 08/27/14 Lear to Buy Eagle Ottawa for $... More quote details and news » [F] and taken private in 2005, and it went public again in 2006. Historically the car-rental industry has been plagued by periods of over-fleeting and aggressive price wars. Over-fleeting was caused in part by auto manufacturers' need to dump excess inventory, and large rental-car capacity led to aggressive pricing. During the recession, a number of factors positively impacted industry dynamics.
Oscar Schafer, managing partner of O.S.S. Management, talks to Barron's Michael Santoli at the Roundtable conference on investment opportunities for 2011. One sector he sees potential is companies that were LBO and have gone public.
Such as?
Schafer: First, there has been consolidation. At this point there are only four major rental-car companies. The industry could be down to three players in 2011. Second, there was significant de-fleeting during the recession, so utilization is at about 80%, even at post-recession demand levels. The risk of fleet-dumping has been lessened for the next couple of years. Also, a dearth of auto leasing during the recession severely curtailed used-car supply, thus propping up residual values and lowering depreciation and costs for the rental companies. These factors, coupled with improving business in the leisure-travel market, should enable solid rental-car fundamentals for the foreseeable future.
Hertz has only 11% of the off-airport rental market, and it is severely under-represented in the value segment. Progress with its Advantage value brand could add a couple of points of growth in each of the next two years, on top of solid industry growth as travel recovers. Historically, the rental-car business grows at two times GDP. Also, 15% of Hertz's growth comes from the rental of industrial and earth-moving equipment. This business declined by more than 40% peak to trough. It is starting to improve and should grow by double digits in the next few years.
Give us some of the numbers on Hertz.
Schafer: Management is looking to sell certain properties to franchisees. That would significantly reduce the capital required by the business. Since 2007 Hertz has cut $1.7 billion in costs and is targeting another $300 million in 2011. Given operating leverage and this cost focus, Ebitda margins could rise from the mid-teens to more than 20% in the next few years. Earnings could approach $1.50 a share in 2012. Hence, the stock, at 14.39, is trading at less than 10 times 2012 estimates. Using a multiple of 15 times earnings, Hertz shares could rise to the 20s. Any further industry consolidation would be positive. The Federal Trade Commission is currently reviewing a merger of Avis Budget Group CAR -1.16% Avis Budget Group Inc. U.S.: Nasdaq $67.94 -0.80 -1.16% Aug. 28, 2014 4:00 pm Volume (Delayed 15m) : 832,765 AFTER HOURS $68.15 +0.21 +0.31% Aug. 28, 2014 4:47 pm Volume (Delayed 15m) : 195 P/E Ratio 60.94 Market Cap $7.15 Billion Dividend Yield N/A Rev. per Employee $286,241 08/05/14 Stocks to Watch: Target, Ganne... 08/04/14 Avis Budget Swings to Profit, ... 08/04/14 Morning MoneyBeat: Bulls See L... More quote details and news » [CAR] and Dollar Thrifty Automotive Group [DTG].
What do you think, Mario? Would you buy Hertz?
Gabelli: I own shares, but I haven't focused on it. I've been focused on the Dollar Thrifty deal. Mark Frissora, Hertz's CEO, came over from Tenneco, where he did a great job. Ron Nelson, who runs Avis, is a savvy financial guy. So now you have two business guys in the industry who are motivated and have an interesting tailwind in terms of reduced car supply. There is no reason not to own Hertz if airport travel is picking up, because the company has made a conscious decision to raise rates and is willing to turn away people who won't pay them.
Oscar Schafer's Picks
|Source: Bloomberg
Schafer: Quantum QTM -0.80% Quantum Corp. U.S.: NYSE $1.24 -0.01 -0.80% Aug. 28, 2014 4:05 pm Volume (Delayed 15m) : 432,025 AFTER HOURS $1.24 0.00 % Aug. 28, 2014 4:27 pm Volume (Delayed 15m) : 62 P/E Ratio N/A Market Cap $317.30 Million Dividend Yield N/A Rev. per Employee $413,429 More quote details and news » [QTM] is a small-cap focused on enterprise-computing storage. It historically has been a leader in enterprise-tape backup, with a 30% market share. Through its 2006 acquisition of ADIC, it consolidated its tape market share. More important, it acquired the patents and know-how for two key emerging technologies -- data deduplication and heterogeneous file-management software. Quantum trades for 4.30, under 10 times my earnings estimate for fiscal 2012, ending March. [Shares fell sharply last week after Quantum reported disappointing quarterly earnings. In a follow-up conversation, Schafer said "transitions can often be bumpy but I believe in the company's long-term potential."] The market is overlooking some subtle but critical changes in the business mix. Revenue has been declining for three years, and the perception is this is a tape company with a perpetually declining revenue stream. However, two changes are impacting the revenue stream.
And they are?
Schafer: First, deduplication is growing rapidly and becoming a larger part of Quantum's revenue. The company has become No. 2 in the business to EMC EMC -0.10% EMC Corp. U.S.: NYSE $29.41 -0.03 -0.10% Aug. 28, 2014 4:01 pm Volume (Delayed 15m) : 5.04M AFTER HOURS $29.21 -0.20 -0.68% Aug. 28, 2014 7:41 pm Volume (Delayed 15m) : 18,629 P/E Ratio 23.65 Market Cap $59.72 Billion Dividend Yield 1.56% Rev. per Employee $369,030 08/25/14 VMware moves to defuse OpenSta... 08/18/14 VMware CIO Vows to Improve IT ... 07/31/14 Formula One Teams Push for a D... More quote details and news » [EMC]. Value-added resellers and other OEMs have been embracing Quantum as an alternative to EMC. Likewise, Quantum's file-management software business has been growing by north of 50%. Together these businesses are 20% of revenue and will become an increasingly important driver of revenue growth.
On the tape side, Oracle's ORCL -0.89% Oracle Corp. U.S.: NYSE $41.27 -0.37 -0.89% Aug. 28, 2014 4:00 pm Volume (Delayed 15m) : 8.66M AFTER HOURS $41.10 -0.17 -0.41% Aug. 28, 2014 7:43 pm Volume (Delayed 15m) : 80,616 P/E Ratio 17.05 Market Cap $185.50 Billion Dividend Yield 1.16% Rev. per Employee $313,729 08/26/14 Companies Say 'No Way' to 'Say... 08/26/14 Some Companies Still 'Say on P... 08/26/14 The Morning Download: Could Fa... More quote details and news » [ORCL] recent acquisition of Sun Microsystems has created dislocation in the channel. As Oracle focuses more on direct sales, Quantum is gaining share in its branded-tape business. We expect Quantum to shift from being a company with a declining revenue stream to one with mid- to high-single-digit revenue growth and mid-teens operating margins. The market will reward the shift with multiple expansion. And, given aggressive consolidation in the storage space, we wouldn't be surprised to see strategic partners take note of the shift. The stock could have 50% to 100% upside from here.
What do you think, Fred?
Hickey: The tape-storage business is slowly dying, and there are more deduplication players than just EMC.
Schafer: My last pick, Mako Surgical [MAKO], has developed a robotic procedure and implants for hip and knee replacements. It is in the early stages of a multiyear product cycle. It currently markets partial knee replacements, and soon will launch a total-hip-replacement product, which is a much bigger market opportunity. The stock, now around 14, could hit the high-teens to low-20s in 12 months.
Mako is working to redefine orthopedic surgery by providing more precision and accuracy. I am excited about its near- and long-term prospects. For one, aging demographics could make for a robust low-double-digit growth rate for hip and knee replacements through 2015. Secondly, providing robotic joint surgery allows hospitals to differentiate themselves and increase patient volumes. The patients who get partial knee replacements tend to be younger and more likely to have higher-reimbursement commercial insurance rather than Medicare, which improves the revenue mix of these hospitals. Mako is conducting more than 50 clinical studies to demonstrate the superiority of robotic surgery.
How many hospitals have signed on?
Schafer: About 5% in medical centers that perform more than 150 knee replacements per year. With more than 300 patents covering Mako's technology, the barriers to entry are substantial. Finally, the company has enough cash until it becomes profitable by the end of next year or early 2013. This is a razor/razor-blade business that is common in the medical-device industry. The razor is an $850,000 robot and the blade is the $5,000 implant. The company has 67 robots in hospitals now, and conducted about 3,400 knee procedures last year. There are approximately 50,000 partial knee replacements per year.
The opportunity in hip replacements is six times larger. The hip indication also broadens the eligible surgeon pool. Many hip replacements fail because of misalignment of the implant in the hip. Using the robot ensures proper alignment and is expected to improve the success rate of these procedures.
There are some bears on the company. Short interest is 25% of the float. The shorts are concerned about the high upfront costs of the robot, and some also believe there is a lack of clinical data to support the superiority of Mako's system. There is some concern about Mako's valuation. The company is trading for around seven times 2011 and five times 2012 revenue. This premium multiple is warranted for the 50%-plus revenue growth we expect in the next few years. Two of the three founders of Intuitive Surgical ISRG -1.18% Intuitive Surgical Inc. U.S.: Nasdaq $465.57 -5.54 -1.18% Aug. 28, 2014 4:00 pm Volume (Delayed 15m) : 193,217 AFTER HOURS $465.57 0.00 % Aug. 28, 2014 5:21 pm Volume (Delayed 15m) : 1,179 P/E Ratio 37.55 Market Cap $16.94 Billion Dividend Yield N/A Rev. per Employee $734,993 08/04/14 Hospitals Cash In on the Newly... 07/23/14 Surgical Robot Fails to Show A... 07/23/14 U.S. Stocks Boosted by Earning... More quote details and news » [ISRG], the maker of the daVinci robot for prostate surgery, are on Mako's board. Intuitive has been one of the great stocks of the past five to seven years.
Black: This could be big competition for Zimmer ZMH -0.33% Zimmer Holdings Inc. U.S.: NYSE $99.45 -0.33 -0.33% Aug. 28, 2014 4:01 pm Volume (Delayed 15m) : 707,990 AFTER HOURS $99.44 -0.01 -0.01% Aug. 28, 2014 7:24 pm Volume (Delayed 15m) : 7,422 P/E Ratio 21.39 Market Cap $16.85 Billion Dividend Yield 0.88% Rev. per Employee $490,463 08/28/14 Johnson & Johnson to Seek Buye... 07/29/14 Nobel Biocare Confirms It Is i... 07/24/14 KKR's Quarterly Profit Surges More quote details and news » [ZMH], Medtronic MDT -0.38% Medtronic Inc. U.S.: NYSE $63.12 -0.24 -0.38% Aug. 28, 2014 4:00 pm Volume (Delayed 15m) : 3.51M AFTER HOURS $63.12 0.00 % Aug. 28, 2014 5:21 pm Volume (Delayed 15m) : 371,029 P/E Ratio 21.11 Market Cap $63.12 Billion Dividend Yield 1.93% Rev. per Employee $350,918 08/28/14 Johnson & Johnson to Seek Buye... 08/27/14 Medtronic Buys NGC Medical To ... 08/26/14 Medtronic Buys Brain-Stimulati... More quote details and news » [MDT] and Stryker SYK +0.41% Stryker Corp. U.S.: NYSE $82.67 +0.34 +0.41% Aug. 28, 2014 4:01 pm Volume (Delayed 15m) : 761,746 AFTER HOURS $82.62 -0.05 -0.06% Aug. 28, 2014 7:24 pm Volume (Delayed 15m) : 2,955 P/E Ratio 45.42 Market Cap $31.17 Billion Dividend Yield 1.48% Rev. per Employee $371,480 07/29/14 Three Ways Investors Can Play ... 07/17/14 Stryker Corp.'s Second-Quarter... 07/09/14 U.K. Rules Trip Up AbbVie's CE... More quote details and news » [SYK]. Are they working on their own products?
Schafer: Robotics won't take over the whole business.
Gabelli: I drink bourbon, Oscar. I test my products. You should have a hip done.
On that note, let's go to dinner. Thanks, everyone.
E-mail: firstname.lastname@example.com


text:
OSP Staff
Contact Us
Anthony Carpi
Associate Provost and Dean of Research
Dan Stageman
Director of Research Operations
Laura Lutgen
Research Operations Assistant
Nicole Parrilla
Event Coordinator
Sandra Rutherford
Assistant to the Dean of Research
Office for the Advancement of Research
John Jay College of Criminal Justice
BMW, Suite 601
524 West 59th Street
New York, NY 10019
Susy G. Mendes, MBA, MA
Director, Office of Sponsored Programs
Susy G. Mendes joined the Office of Sponsored Programs (OSP) at John Jay College in 2003. Throughout her tenure, she has served the faculty and staff of the College at all levels of sponsored programs/research administration. She was appointed to the title of Assistant Director in 2006 and then Deputy Director in 2007. She was appointed to Director of the Office in August 2013. Susy works closely with the Dean of Research and OAR's Director of Operations to promote grantsmanship and support all activities involved in the acquisition and administration of grants.
Susy currently works with faculty and staff in discussing prospective research/other projects for funding, exploring and identifying appropriate funding opportunities, preparing and submitting proposals to external agencies and private sponsors, and overseeing subsequent post-award administration of grants and contracts for the College. She and the rest of the OSP staff serve as liaisons between faculty/staff at the College and the Research Foundation of CUNY to facilitate post-award administration.
Susy earned her BA in Psychology from Iona College; MA in Forensic Psychology from John Jay College, CUNY: and MBA in Marketing from Baruch College, CUNY.
Suroojnarine Ramjattan Singh (Darryl)
Grants Administrator, Office of Sponsored Programs
Suroojnarine Ramjattan Singh (Darryl) is the Grants Administrator in the Office of Sponsored Programs. He holds a BSc in Accounting from Brooklyn College, CUNY. He comes to John Jay after having served as Financial Analyst at New York University and Project Administrator with the Research Foundation, CUNY. He has worked in post-award grants management for the past sixteen years, administering grants and contracts for many of the CUNY colleges.
Darryl's role in the Office of Sponsored Programs involves a mixture of both pre-award and post-award grants administration. He assists faculty in preparing and submitting grant proposal applications to the various funding agencies. He also assists faculty and staff with registering and getting started on COS Pivot, a searchable database of various funding opportunities. Darryl's post-award responsibilities include monitoring and reviewing project account activity with PIs, assisting PIs with progress reporting, following up with PIs on release time and effort certification, among other things.
Cherryanne Ward
Grants Assistant, Office of Sponsored Programs
Cherryanne Ward joined the Office of Sponsored Programs as the Office's Grants Assistant in 2007. She assists faculty and staff on post-award administration of their grant-funded projects including hiring personnel, submitting timesheets, processing travel and other reimbursements. She is very knowledgeable of all Research Foundation E-Services systems such as the electronic Personnel Action Forms, electronic Payment Requests, Time and Leave, Summer Salary, and others. Cherryanne is also tasked with tracking the submissions of proposals and updating the Office's records as they become funded by the various funding sources. Cherryanne earned a B.A. in Sociology from Hunter College, and is currently pursuing a Master's degree in Business Management and Leadership from the School of Professional Studies, CUNY.

subset: commoncrawl


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10993 Posts in 2727 Topics by 1818 members
All other Modules
SilverStripe Forums » All other Modules » interactive cropping
Discuss all other Modules here.
Moderators: martimiz, Sean, biapar, Willr, Ingo, swaiba, simon_w
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Forum Moderator
1792 Posts
Re: interactive cropping
15 October 2011 at 2:27am
@Xananax Prozaxx
I know exactly what you mean - I am ofcourse waiting to see what SS3 brings with it's redeign of the admin section - hopefully this will make cusomization easier.
In my expiernce most things can go into the Pages or DataObject with the use of the LiteralField, then is something still demands complete control I subclass LeftAndMain and then create a template for the left and the main - then treat as a regular page (still use ajax for most things...)
Community Member
51 Posts
Re: interactive cropping
22 August 2012 at 4:32pm
We had this need too. The quickest way was to write a plugin -- as the Pixlr one (once workinging) seemed a bit overkill, and no others appeared.
See https://github.com/briceburg/silverstripe-uploaldify-jcrop
It gives you a "crop" button next to detach / delete permananetly in the Uploadify form, and loads a JCrop enabled image that's scaled to the modal when clicked.
WARNING; this has been only tested with a DataObjectManager popup under SilverStipe 2.4 and also has an issue where the browser caches the CMSThumbnail && doesn't instantly show you the cropped image for in.
Hope other SSers find it useful.
Community Member
103 Posts
Re: interactive cropping
19 June 2013 at 7:05am
I've released a simple module for improving automatic cropping in SilverStripe 3: https://github.com/jonom/silverstripe-focuspoint
Basically, when you edit an image in the CMS there is a new field that lets you select a point on the image as the focus point - i.e someone's face. Then instead of using CroppedImage in your templates you use CroppedFocusedImage, and the image is cropped with a bias towards keeping the focus point in the center of the image, rather than always cropping from the centre.
Feedback, suggestions and pull requests welcome, hope someone finds it useful
Terry Apodaca
Community Member
109 Posts
Re: interactive cropping
20 June 2013 at 10:08am
Good Job @JonoM!!! That's a cool feature!
@brice, any chance you are going to update your plugin for 3.0? or release a version for 3.0? I've been wanting a jcop plugin for a long time, just haven't had a chance to build one.
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Steelers president Art Rooney II held a press conference following the news that the NFL had handed down a six-game suspension for Ben Roethlisberger.
The timing was especially nice from a media point of view because it had just been reported that the Steelers were contacting teams with top 10 draft picks about a possible trade.
However, Rooney avoided any and all trade talk during the session.
"We really can't answer any questions about trades, particularly this time of year," Rooney said. "We go into every draft with the idea we're going to do anything we can to make our team a better football team. So we just have to stick with that and not discuss trades in advance."
He also said he agrees and supports the NFL on the suspension. He does not expect Roethlisberger to appeal and expects the other players on the roster to step up and play without him.


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We are OPEN FOR BUSINESS again after a successful remodel!! Come on in and tell us what youn think!!!
Thanks for joining us for our 10th anniversary celebration...what a great day it was!
Check out our facebook page for lots of pictures!!!!
Check us out on Facebook...we've been very busy posting fun facts, trivia and pictures!


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What does it mean to have a healthy body healthy mind? Can one exist without the other? Do we need to add the healthy soul?
'Some people have a foolish way of not minding, or pretending not to mind, what they eat. For my part, I mind my belly very studiously, and very carefully; for I look upon it, that he who does not mind his belly will hardly mind anything else.' ~ Samuel Johnson
Interestingly enough, over three hundred years ago, the English author and poet, Samuel Johnson, made a timely quote. Indeed, his comments are relevant today, as most health experts state that in order to control your risk for developing heart disease and other diseases, you need to keep your abdominal fat down. If you are a man with a waist measurement of over 40 inches, or a woman with a waist of over 35 inches, your risk for disease starts to go up dramatically. Yet more Americans than ever are obese.
Our lives have become so hectic and goal oriented, that we totally disconnect with our bodies. In our journey through life, we need to re-integrate our bodies back into our lives, back into our mind and soul. The reintegration is vital in order to have a healthy body, healthy mind and healthy soul.
When we fail to listen to our bodies, which are a reflection of our souls, we instead live the emotional roller coaster of chronic stress that feeds dis-ease, injury and illness. You can only integrate your body-mind-soul through the daily practices that lead to wholeness. A healthy body creates a healthy mind and soul.
You must commit to healthy lifestyle changes and healthy lifestyle habits that will create healing in your life. Health is a process of being that comes only when you believe that your body, mind and soul are one. What you do to one, you do to the other. If you abuse your body, you abuse your mind and your soul (see Self-Love - Caring for Your Body is Caring for Your Soul)! You know how to care for your body, mind and soul. In order to have a healthy lifestyle, you just choose it and do it!
Your Body Window is the most important tool for you to access your inner self – and you create health through finding your inner self. After you learn the concepts of the Body Window and Intuitive Movement, and you have performed your body scan, you know where your issues lie. You are on the road to a healthy body, healthy mind and healthy soul!
Alpenglow at sunrise in the Sunlight drainage under Jagged Peak, CO
You need to learn to manage strong emotions so your body does not absorb the negativity and pain. You can learn to feel it and heal it! If you wish to learn how, read How Emotions Affect Our Body. Learning to feel it and heal it will keep your body healthy and therefore your mind and soul as well.
Now you need to add a daily meditation practice to still your craziness and quiet the external noise. You must learn to become present to yourself in order to heal yourself. The Benefits of Meditation or Centered Prayer and Intuitive Movement are the keys to a healthy body and a healthy mind.
Staying positive and Creating Positive Affirmations for Health are vital in moving forward with your Body Window messages. Through positive thought that changes matter, you can create a healthy body healthy mind. You will make a list of affirmations that will include self affirmations. Also learn Why You Choose Negativity Over Positivity and How to Change It. Learn how to maximize your body's healing capacity through the powerful healing hormones called endorphins.
Healthy Eating as a source of energy and nourishment in the body-mind-soul is an issue that you need to address. My approach is one of simple, non-stress-producing and non-dieting tips.
If you wish to lose weight, you can try my healthy weight loss tip for a healthy body healthy mind.
Create a Sacred Space to shelter you, spiritually, mentally and perhaps physically to help you separate from the hectic activities of daily living. This place is sacred to you, and will always be there for you for healing and health. A healing space is essential for a healthy body healthy mind, even if it is only a metaphorical space.
If you develop these healthy lifestyle habits, you will have a healthy body healthy mind and healthy soul and this will lead to wholeness and health in your body-mind-soul.
Top of Page ~ "Healthy Body Healthy Mind"
The practice of giving, without the expectation of something in return is what most spiritual traditions teach. It is a great spiritual paradox that giving in this spirit is what creates the energy for more abundance in our lives. It is through love that we complete the ongoing cycle of giving and receiving.
My ongoing desire is to continue to give to YOU, my dear readers, through my high-quality and totally free website. FOR A LIMITED TIME, if you choose to give a small donation of $3.00 USD to my efforts, I will provide to you my Chakra Balancing Meditation for FREE. (Click here for more information on this meditation). This is a reduced value of almost 60% off the regular price. This meditation is a digital download, which you will receive immediately upon making your donation.
Just click the "Add to Cart" button below to donate and receive your free video so you can start your healing journey today!
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OR, if you feel you have been greatly blessed with insight, by reading my free information, you may donate any amount to my cause. I spend lots and lots of unpaid time, opening my heart to you, to help you heal! I thank you from the bottom of my heart!
Jul 30, 14 02:49 PM
The Shoelace Pose is a deep hip opener and requires more mindfulness than most poses!
Jul 08, 14 04:46 PM
The Half Square Pose is a a milder version of the Square Pose, but still a lovely hip-opener!
Jul 08, 14 03:46 PM
The Square Pose in yin yoga, is perhaps the strongest hip-opener in all of yoga.
© Copyright 2009-2014, by Elle Bieling, BodyWindow.com


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The Bolton News
All the latest news from Bolton
Jones forced out of Wales frame (From The Bolton News)
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Jones forced out of Wales frame
4:59pm Monday 20th January 2014 in National Sport News © Press Association 2014
Wales have been hit by an injury blow after back-row forward Ryan Jones was withdrawn from their RBS 6 Nations squad due to a hamstring problem.
Jones suffered the injury in his region's Heineken Cup defeat to Leinster on Friday night and, having been replaced in the squad by Ospreys team-mate James King, is set to miss Wales' defence of their title.
A Welsh Rugby Union statement read: "Wales have released Ospreys back-row Ryan Jones back to his region due to injury.
"Jones met up with the squad this morning as they began preparations for the forthcoming RBS 6 Nations and has been ruled out with a hamstring injury.
"Jones' regional team-mate James King, who made his debut for Wales last summer in Japan, has been called into the squad."
Jones, 32, has won 75 caps for his country and captained them to Grand Slam success in 2008, but has been hindered by injury this season.
His loss adds to Wales head coach Warren Gatland's concerns, with Ian Evans facing a possible ban.
The Ospreys lock was sent off for alleged stamping against Leinster and will face a disciplinary hearing.
Captain Sam Warburton has not played since the autumn defeat to Australia due to a shoulder problem, although he is expected to be fit for the tournament opener against Italy, while prop Gethin Jenkins is recovering from a leg injury.
Hooker Richard Hibbard is also nursing an injury after hurting his hip during the Ospreys loss in Dublin.
Centre Jonathan Davies is making good progress in recovering from a pectoral injury but still looks set to miss the opening two games against Italy and Ireland as Wales look to become the first side to win three outright titles in a row.
In addition to the call-up for King, who can play in the second row as well as the back row, two players will train with the squad from Tuesday in the form of Newport Gwent Dragons hooker Sam Parry and Scarlets second-row Jake Ball.


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Angel Arch is arguably the most beautiful landform in the Needles district. Its size and position is unrivaled and it is truly the monarch of arches in the region. It is composed of very good Cedar Mesa Sandstone and can now be done entirely hammerless and much of it goes free. At the time of its first ascent it was the largest unclimbed arch on the planet.
Once upon a time you could drive a 4wd high clearance vehicle down Salt Creek to within a mile of the arch. The environmental groups sued the NPS and closed the road. The battles have been in and out of court, and the road has been closed, reopened, and closed again over the years. Currently the road down Salt Creek is closed to mechanized vehicles. One can park at the Peekaboo campsite and backpack the 10 miles in to the arch down Salt Creek. The approach is easy hiking along the old road, and there is "at large" camping allowed in this section of the canyon. A permit is required. This is a fantastic hike and comes extremely well recommended. Plan on three days for this adventure. A day for the hike in, a day for exploring and bouldering, and a day for the hike out.
Some wide stuff for the first pitch. Some nerve for the second. An extra rope for the third. Drilled anchors are where you need them.


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Flourish Day Fairy Tales
By Flourish Day Questlings, 2011
Flourish Day Fairytales is a book of fun and frivolous stories filled with all kinds of unusual characters. These stories are quirky twists on classic fairy tales, written and illustrated by the Flourish Day Questlings, 2011.
About the Author
Publish Date November 28, 2011
Dimensions Standard Portrait 30 pgs
Standard Paper
Category Children
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"So many young men doing exactly what you ask them to do as well as they can possibly do it. What you get right down to what you want to train young folks to do, it's that: be where you're supposed to be, doing what you're supposed to be doing as well as you can possibly do it. That's our one team rule, and that means on the practice field, in the classroom and socially. I have never been around a group of young men that have done that better." – Duke coach David Cutcliffe
"(I'm) disappointed for our seniors that played in Kenan and the Tar Pit for the last time. We didn't get to send them out the right way, but we didn't play well enough to win a football game. There are a lot of things you can look at in this game that we didn't do and we didn't accomplish and that's the reason you don't win a football game." – UNC coach Larry Fedora
"I will say this: I'm going to say thank you DeVon Edwards. He has put in a lot of hard work." – Duke cornerback Ross Cockrell
"It hurts to see us just pretty much stick a thorn in our own sides. It hurts, because that's how you win ballgames – by not committing stupid penalties. By playing good ball. I just don't believe that we played to our best ability today, not like we've been playing the five other weeks (during UNC's five-game winning streak). But it happens." – UNC safety Tre Boston
"It's going to take time to sink in. I'm kind of on Cloud 13. It's surreal in a way, but at the same time, we knew that we could win this game, and we expected to." – Duke offensive guard Dave Harding


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Lucky Lady
Lady Luck Adult Womens Costume
It's not gambling if you know you're going to win - and you'll surely be a winner when you slip into thissexy Lady Luck adult womens costume. Roll the dice in the 100% polyester, black and red dress, complete with playing card bodice, roulette wheel skirt and green arm warmers.
Lucky Lady Bug Pixie Adult Womens Costume
Someone is bound to get lucky when you wear thisLucky Lady Bug Pixie adult womens costume. Party it up in this sexy, red and black, polka dot dress complete with matching foil gauntlets, wings and antennae headband. This saucy outfit will send you flying!
Lady Bug Adult Wings
Make some lucky when you create a costume with these adult women's Lady Bug wings and matching headband - both are embellished with a lucky lady bug!
Lady Bug Kit
Lady bugs are said to bring or signify luck. Be happy go lucky on Halloween when you create or complete your costume with this clever Lady Bug kit. It includes a bow tie, boppers and wings.
Lil Lady Bug Infant Costume
Ladybugs are said to bring good luck - let your little one be happy go lucky on Halloween in this adorable black, white and red Lil Ladybug infant's costume. It even includes a headband with antennae - so cute! be sure to take pictures to capture the memories.
Itty Bitty Lady Bug Baby Costume
Ladybugs are said to signify luck - get lucky on Halloween when you dress your little one in this cute as a bug's ear Itty Bitty Lady Bug costume. The absolutely adorable costume hasleg snaps for easy diaper changes, a darling hood with antennae and detachable wings, plus slip-on booties with skid…
Mini Glitter Gambler Tophat
Roll the dice and let's see who's going to get lucky tonight! Lucky you in this adorable mini tophat !
Ladybug Mini Dress Adult Womens Costume
Have a lucky Halloween in this Ladybug Mini Dress adult womens costume. The red, zippered tube dress features black polka dots and comes complete with a matching headpiece along with sheer dotted wings. Flit, flutter and flirt all night in this sexy womens costume.


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SAN CARLOS, Calif. -- Perspectives on technology trends such as SOAs (service-oriented architectures), Indian outsourcing, and e-mail management were the focus of the day at the Enterprise Outlook private equity conference here on Wednesday. Featured were executives from Hewlett-Packard, IBM, and BEA Systems, as well as venture capitalists.
HP expects Linux, Unix, and Windows to continue to be the dominant operating platforms, with Linux the company's highest growth area, according to Ann Livermore, executive vice president for HP's technology solutions group. "For us, as we look out over the next 10 years, we believe that all three operating environments are going to remain very widespread and under heavy use," Livermore said.
Linux is "clearly our fastest growing area," she added. Initially deployed in testing environments and in edge-of-the-network Web applications that did not require much services, HP in the past year has seen an uptake in Linux being deployed in mission-critical applications such as CRM, Livermore said.
"As that happens, you start getting more and more services opportunity around the Linux environment," she said.
HP also is optimistic about the IT services outsourcing market. "We still believe the IT outsourcing market is one of the fastest growing, most attractive markets in the IT industry," Livermore said.
She disagreed with a 2003 article in The Harvard Business Reviewentitled "IT Doesn't Matter," which argued that IT no longer offers a competitive edge to enterprises. "Our view is yes, it's true that everybody has IT, but no, it's not true that all companies use IT as effectively as they can," Livermore said.
From HP's vantage point, the company sees relatively low corporate spending on IT but strong spending from small and midsize businesses and consumers. What large corporations are focusing on, however, is driving out costs while increasing business agility, she said.
"We see strong interest in business agility, in how [businesses] can make themselves more adaptive," she said. Some investment is going on in new projects, she noted.
A BEA official, meanwhile, reiterated the company's belief in SOAs. Rhonda Hocker, senior vice president and CIO at the company, touted the vendor's own experience with the concept, in which applications are quickly composed and deployed as services.
"I wanted to make sure we could build business capability in weeks. Not months, not years," she said.
"[With] the old IT, which a lot of companies are still stuck in, it was all about integration. You build every time you need it," she said. "[With] the new IT, the value can be realized in weeks," Hocker said.
BEA is now in its second generation of SOA, building composite applications rapidly, she said. A new sales portal, for example, was developed in six weeks by leveraging existing services.
"In terms of the packaged application vendors, I see SOA as a big threat to them," because they become service providers and their technology becomes commoditized, Hocker said.


text:
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text:
Source: Heineken
Amsterdam, 13 February 2013 – Heineken N.V. today announced:
Jean-François van Boxmeer, Chairman of the Executive Board and CEO of Heineken N.V., commented, "2012 has been another year of strong progress for Heineken. Most notably, acquiring full control of Asia Pacific Breweries significantly expanded our exposure to growth markets and extended our business platform in Asia which, along with Africa and Latin America, continued to perform well in 2012". Continue reading


text:
I remember learning this poem over 60 years ago from a book that had some wonderful illustrations in it.I can still remember most of the poem and it still makes me smile. (Report) Reply
Edward Lear
The Pobble Who Has No Toes
The Pobble who has no toes
Had once as many as we;
When they said "Some day you may lose them all;"
He replied "Fish, fiddle-de-dee!"
And his Aunt Jobiska made him drink
Lavender water tinged with pink,
For she said "The World in general knows
There's nothing so good for a Pobble's toes!"
The Pobble who has no toes
Swam across the Bristol Channel;
But before he set out he wrapped his nose
In a piece of scarlet flannel.
For his Aunt Jobiska said "No harm
Can come to his toes if his nose is warm;
And it's perfectly known that a Pobble's toes
Are safe, -- provided he minds his nose!"
The Pobble swam fast and well,
And when boats or ships came near him,
He tinkledy-blinkledy-winkled a bell,
So that all the world could hear him.
And all the Sailors and Admirals cried,
When they saw him nearing the further side -
"He has gone to fish for his Aunt Jobiska's
Runcible Cat with crimson whiskers!"
But before he touched the shore,
The shore of the Bristol Channel,
A sea-green porpoise carried away
His wrapper of scarlet flannel.
And when he came to observe his feet,
Formerly garnished with toes so neat,
His face at once became forlorn,
On perceiving that all his toes were gone!
And nobody ever knew,
From that dark day to the present,
Whoso had taken the Pobble's toes,
In a manner so far from pleasant.
Whether the shrimps, or crawfish grey,
Or crafty Mermaids stole them away -
Nobody knew: and nobody knows
How the Pobble was robbed of his twice five toes!
The Pobble who has no toes
Was placed in a friendly Bark,
And they rowed him back, and carried him up
To his Aunt Jobiska's Park.
And she made him a feast at his earnest wish
Of eggs and buttercups fried with fish, -
And she said "It's a fact the whole world knows,
That Pobbles are happier without their toes!"
Edward Lear's Other Poems
Read poems about / on: fish, pink, cat, world, green, water, sea, dark, fishing, swimming, lost
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Pam Pratt. (1/11/2007 5:03:00 AM)
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