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  "documentTitle": "American Tower (AMT)",
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  "authorName": "Carson C. Block",
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  "presentationDate": "2013-07-17 00:00:00",
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  "notes": "The slide discusses currency risk and competitive pressures as headwinds for AMT's Indian operations.",
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      "text": "As AMT has not hedged its currency risk we believe that this could cause further devaluation of revenue and assets in the future and will most likely lead to AMT performing below expectations.",
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      "text": "Indus Towers, the largest tower company in India, is a joint venture between India’s three largest carriers Bharti Airtel, Vodafone and Idea Cellular; and, is 42% owned by Bharti Infratel. Indus has first option on building new towers for each of these carriers. We believe that Indus will take up this option unless the tower is economically unviable, and this will limit AMT’s growth in new tower builds, or at least AMT will find that its",
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      "text": "Whilst AMT has not taken an impairment of its intangible assets, there was nevertheless a decrease in long-lived assets in its Indian subsidiaries from US$807 million in 2010 to US$671 million in 2011, which may have been caused by currency fluctuations.",
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      "text": "The below graph depicts the performance of the Indian Rupee against the US Dollar since AMT started investing in India. As can be seen the INR has deprecated significantly against the US Dollar and highlights the risk of investing in foreign jurisdictions without hedging the currency exchange which AMT has not.",
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      "text": "The insubstantial rent escalators are also causing ATL’s margins to be squeezed because they are growing at CPI or higher, for example we understand from local sources that wages are growing at 15% per annum and there are significant security costs for many of the greenfield sites which are rising with every new tower build.",
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      "text": "AMT 2011 10-K, p. F-65.",
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