Financial Times, Wall Street Journal

BRAZIL TAKEOVER BOLSTERS TELEFÓNICA RESULTS

Telefónica’s third-quarter net profit more than doubled from the same period last year, to EUR5.06 billion. Overall revenue increased by 7.3 percent to EUR15.23 billion as positive currency effects in Latin America boosted revenue growth there. Net gain from the re-pricing of Vivo in Brazil reached EUR3.5 billion. While revenue in Latin America jumped 12 percent to EUR6.4 billion, Telefónica’s domestic market saw a 4.2-percent decline to EUR14 billion. Sales in Europe outside of Spain went up 14 percent to almost EUR4 billion. Telefónica said it received 67 percent of its revenues from outside of the Spanish market, which is plagued by 20 percent unemployment and a credit squeeze that has significantly dampened consumer spending.