{
  "docId": "019dd923-622c-750b-8b96-16e3fd45ac5e",
  "docSlug": "a60181df6346",
  "documentTitle": "American Tower (AMT)",
  "authorId": "51_Muddy_Waters",
  "authorName": "Carson C. Block",
  "documentKindSlug": "research-note",
  "documentKindLabel": "Research note",
  "sourceTypeSlug": "short_seller",
  "sourceTypeLabel": "Short seller",
  "presentationDate": "2013-08-01 00:00:00",
  "orientation": "portrait",
  "aspectRatio": 0.77272725,
  "pageNumber": 4,
  "pageCount": 9,
  "prevPage": 3,
  "nextPage": 5,
  "slideType": "expose_contradiction",
  "function": "expose_contradiction",
  "density": "dense",
  "nDataPoints": 0,
  "notes": "The slide uses a skeptical, investigative tone to challenge management's narrative on international growth and capital allocation.",
  "elementsJson": [
    "paragraph"
  ],
  "metadataConfidence": 0.95,
  "imagePath": null,
  "slideHref": "/slides/019dd923-622c-750b-8b96-16e3fd45ac5e/4",
  "deckHref": "/decks/019dd923-622c-750b-8b96-16e3fd45ac5e",
  "deckJsonHref": "/decks/019dd923-622c-750b-8b96-16e3fd45ac5e.json",
  "deckAnchorHref": "/decks/019dd923-622c-750b-8b96-16e3fd45ac5e#slide-4",
  "components": [
    {
      "bbox": null,
      "kind": "callout",
      "text": "Many emerging and frontier markets are like roach motels for foreign direct investment - it is much harder to get money out than put it in.",
      "attrs": null,
      "subkind": null,
      "toolName": "Visual emphasis",
      "toolSlug": "visual-emphasis",
      "confidence": null,
      "componentId": "019dd953-2041-7259-a862-d2a281ae363d",
      "frameworkName": null,
      "frameworkSlug": null
    },
    {
      "bbox": {
        "h": 0.25,
        "w": 0.72,
        "x": 0.14,
        "y": 0.32
      },
      "kind": "paragraph",
      "text": "AMT gives investors the impression that it chooses to reinvest its overseas cash flows in growing its local operations because of the business opportunities. Our view is that AMT management feels it has no choice but to reinvest these monies locally.",
      "attrs": null,
      "subkind": "paragraph",
      "toolName": null,
      "toolSlug": null,
      "confidence": null,
      "componentId": "4fb5f45c-c32d-4f54-9654-26d440c72156",
      "frameworkName": null,
      "frameworkSlug": null
    },
    {
      "bbox": {
        "h": 0.22,
        "w": 0.72,
        "x": 0.14,
        "y": 0.72
      },
      "kind": "paragraph",
      "text": "AMT management made two comments about AMT's track record overseas that merit clarification. AMT's legacy sites are not comparable to its recently purchased portfolios. The environment then was far less competitive and valuations were much more reasonable.",
      "attrs": null,
      "subkind": "paragraph",
      "toolName": null,
      "toolSlug": null,
      "confidence": null,
      "componentId": "b19142d5-4e3d-4d2f-82c3-cb0a90aa5eba",
      "frameworkName": null,
      "frameworkSlug": null
    },
    {
      "bbox": {
        "h": 0.18,
        "w": 0.72,
        "x": 0.14,
        "y": 0.49
      },
      "kind": "paragraph",
      "text": "The bottom line is that AMT needs to spend more money overseas in order to grow its international metrics. Because AMT's international business is in part carry trade where it earns returns that seem high by US standards in high interest countries.",
      "attrs": null,
      "subkind": "paragraph",
      "toolName": null,
      "toolSlug": null,
      "confidence": null,
      "componentId": "cc12c09f-3e8d-4ed3-9fe9-6edd24dd580d",
      "frameworkName": null,
      "frameworkSlug": null
    },
    {
      "bbox": {
        "h": 0.24,
        "w": 0.72,
        "x": 0.14,
        "y": 0.11
      },
      "kind": "paragraph",
      "text": "Investors should also note that AMT's international joint venture losses are growing. Another analyst asked a similar question, asking management to explain differences in rents that its tenants pay, particularly relative to market.",
      "attrs": null,
      "subkind": "paragraph",
      "toolName": null,
      "toolSlug": null,
      "confidence": null,
      "componentId": "cde6d743-64fd-4f2a-82f7-d1af719b4989",
      "frameworkName": null,
      "frameworkSlug": null
    },
    {
      "bbox": {
        "h": 0.03,
        "w": 0.55,
        "x": 0.14,
        "y": 0.67
      },
      "kind": "title",
      "text": "Be Wary of AMT's Claims About its Track Record Overseas",
      "attrs": null,
      "subkind": "headline",
      "toolName": null,
      "toolSlug": null,
      "confidence": null,
      "componentId": "a0797377-ae42-4158-8d2f-cbc5f8970085",
      "frameworkName": null,
      "frameworkSlug": null
    },
    {
      "bbox": {
        "h": 0.03,
        "w": 0.55,
        "x": 0.14,
        "y": 0.27
      },
      "kind": "title",
      "text": "AMT Reinvests Money Overseas out of Necessity – Not Choice",
      "attrs": null,
      "subkind": "headline",
      "toolName": null,
      "toolSlug": null,
      "confidence": null,
      "componentId": "ed24d919-0a96-4c49-832d-c20582a3967b",
      "frameworkName": null,
      "frameworkSlug": null
    }
  ],
  "metrics": [],
  "tools": [],
  "frameworks": [
    {
      "name": "fraud-exposure",
      "slug": null,
      "matchId": "04b8f05b-6279-4418-bc27-6ad28f3a94d2",
      "evidence": "The slide explicitly challenges management's narrative on international performance and capital allocation.",
      "confidence": 0.85
    }
  ],
  "arcBeats": [
    {
      "to": 7,
      "from": 3,
      "beatId": "d902fc53-2379-4eca-8a2c-607d120fb1b5",
      "arcName": "Overcoming the Monster",
      "arcSlug": "overcoming-monster",
      "beatName": "Expose Contradiction",
      "beatSlug": null,
      "evidence": "Slides 3-7 present several contradictions in AMT's international investments",
      "position": 0,
      "confidence": 0.8,
      "parentBeatName": null,
      "parentBeatSlug": null
    }
  ],
  "loops": [
    {
      "to": 5,
      "from": 3,
      "name": "Aha Moment",
      "slug": "03-aha-moment",
      "bestFor": "Data-heavy sections, research findings, analytical arguments",
      "matchId": "08237433-d0e7-4db6-a64e-5adf3eb4bdd7",
      "evidence": "Slides 3-5 present several contradictions",
      "position": 0,
      "objective": "What are the contradictions in AMT's international investments?",
      "structure": "The Problem/Question -> What the Data Shows -> The Insight",
      "confidence": 0.7,
      "description": "Establish a tension, present data, then deliver the insight that changes everything"
    }
  ],
  "imagePathAlt": null,
  "thumbSrc": null,
  "thumbSrcAlt": null,
  "locked": true
}