Hi Saul,

Was wondering what your thoughts on MasTec are after this morning’s news? Have you had the opportunity to listen to their conference call? I haven’t, which is why I’m wondering if you wouldn’t mind sharing your notes. Thanks!

Long MTZ

Jason, I did listen to the conference call. It sounds as if they were completely surprised by AT&T, their biggest customer, cutting back severely on orders. They couldn’t talk about why, but said that they didn’t have a chance to cut back on their fixed costs as it happened so suddenly, but they’ll do better in the future. They talked hopeful for the future, but sounded as if it was just that, hopeful, but out of their control. I know the stock is way down from its high but I suspect there are better and surer places to put my money, in stocks which are not tied to other companies fortunes and business cycle. MTZ did well for me, and getting out here I’d still have a good profit as I started buying at $23.

Hope that helps



That’s great information - thanks for listening to the call and sharing your thoughts. So did you sell out of it completely?

I have to agree with you that it isn’t a good sign when the largest customer cuts back significantly. If I sell, I’ll take a smallish loss of a couple of buys this year and will break even on buys from last year. Really thought this was a gem of a company - basically AFOP with oil and gas and power generation businesses added in.

Still long MTZ (but maybe he shouldn’t be)