conversations.from: human
conversations.value: Give me a description for a book titled Beating the Street about Wall, Street, Barron's with the genre: Business & Money, Investing.
conversations.from: assistant
conversations.value: The terrific new guide to investing in stocks that goes beyond the author's previous runaway bestseller, One Up on Wall Street. the author explains how he researched and selected the companies he recommended in the 1992 Barron's Roundtable, giving information that readers can use in any market environment to find successful companies and winning stocks.
conversations.from: human
conversations.value: Give me the first three paragraphs for this book.
conversations.from: assistant
conversations.value: Beating the Street
  Even though Magellan had already taken part in the bonanzas of British Telecom (the largest public flotation the world had ever seen at the time—$4 billion) and British Airways, I was unprepared for the benefits that were built into these waterworks deals. They were monopolies, just as water utilities everywhere tend to be—it's always nice to own a monopoly. The British government, before setting them free, had absorbed most of the prior debt.
  These companies were coming out debt free, with extra capital provided by the government, which had given them a "green dowry" to get them off on the right foot.
  In our conversation in my office, the water lords told me that water bills in England were so low (100 pounds a year) that even if these prices doubled the customers would not resent it. Even if they did resent it, there was nothing they could do about it except stop using water, which was unlikely. Water demand in England was growing at 1 percent a year.
conversations.from: human
conversations.value: Add another sentence about agreed, upgrading, subsidized.
conversations.from: assistant
conversations.value: Beating the Street
  Even though Magellan had already taken part in the bonanzas of British Telecom (the largest public flotation the world had ever seen at the time—$4 billion) and British Airways, I was unprepared for the benefits that were built into these waterworks deals. They were monopolies, just as water utilities everywhere tend to be—it's always nice to own a monopoly. The British government, before setting them free, had absorbed most of the prior debt. 
  These companies were coming out debt free, with extra capital provided by the government, which had given them a "green dowry" to get them off on the right foot. They agreed to embark on a 10-year program of upgrading the water systems, an effort that would be partially subsidized by the green dowry, with the rest paid for by an increase in water bills. 
  In our conversation in my office, the water lords told me that water bills in England were so low (100 pounds a year) that even if these prices doubled the customers would not resent it. Even if they did resent it, there was nothing they could do about it except stop using water, which was unlikely. Water demand in England was growing at 1 percent a year.
conversations.from: human
conversations.value: Give me four more paragraphs.
conversations.from: assistant
conversations.value: The Body Shop is a British stock. British stocks had taken a terrible beating in recent months, and the Body Shop had gotten some bad publicity. A chieftain from the Kayapó Indian tribe, which the Body Shop had hired to produce Brazil nut hair conditioner, was arrested in London and charged with raping the Portuguese nanny for some of his numerous children. No matter how hard you try to imagine the next event that will make trouble for a company, it's usually something you haven't thought of.
  Checking the price history of this stock, I noticed it had suffered two major setbacks, one in 1987 and the other in 1990, both in spite of the fact that the company was perking along with no sign of a letup. I attribute these exaggerated sell-offs to the fact that British shareholders are not as familiar with small growth companies as we are, and therefore abandon them more readily in a market crisis. Also, since the Body Shop is a global venture, British investors may equate it with several notable failures at expanding abroad, e.g., Marks & Spencer.
  Even if you bought shares in the Body Shop after the 1990 setback, you had to be prepared for further declines, when you might consider buying more. But the fundamentals still had to be favorable, which was the point of the checkup. I called the company. Jeremy Kett, chief financial officer, told me that same-store sales and earnings had both increased in 1991, a considerable achievement given the fact that the Body Shop's four major markets are England, Australia, Canada, and the U.S.—all countries struggling with recession.
  Another promising card had turned over. The company was using some of its cash to buy up suppliers of various potions and lotions. This would cut the cost of the merchandise down the line, and improve the profit margin. This was the technique that helped Shaw Industries become the low-cost carpet maker.
conversations.from: human
conversations.value: Delete the last sentence.
conversations.from: assistant
conversations.value: The Body Shop is a British stock. British stocks had taken a terrible beating in recent months, and the Body Shop had gotten some bad publicity. A chieftain from the Kayapó Indian tribe, which the Body Shop had hired to produce Brazil nut hair conditioner, was arrested in London and charged with raping the Portuguese nanny for some of his numerous children. No matter how hard you try to imagine the next event that will make trouble for a company, it's usually something you haven't thought of.
  Checking the price history of this stock, I noticed it had suffered two major setbacks, one in 1987 and the other in 1990, both in spite of the fact that the company was perking along with no sign of a letup. I attribute these exaggerated sell-offs to the fact that British shareholders are not as familiar with small growth companies as we are, and therefore abandon them more readily in a market crisis. Also, since the Body Shop is a global venture, British investors may equate it with several notable failures at expanding abroad, e.g., Marks & Spencer.
  Even if you bought shares in the Body Shop after the 1990 setback, you had to be prepared for further declines, when you might consider buying more. But the fundamentals still had to be favorable, which was the point of the checkup. I called the company. Jeremy Kett, chief financial officer, told me that same-store sales and earnings had both increased in 1991, a considerable achievement given the fact that the Body Shop's four major markets are England, Australia, Canada, and the U.S.—all countries struggling with recession.
  Another promising card had turned over. The company was using some of its cash to buy up suppliers of various potions and lotions. This would cut the cost of the merchandise down the line, and improve the profit margin.
conversations.from: human
conversations.value: Give me the last four paragraphs.
conversations.from: assistant
conversations.value: There are 1,372 mutual savings banks and thrifts that may yet convert to public ownership. If there is one in your neighborhood, open a savings account there. If you have $50,000 and deposit $1,000 in 50 different thrifts that aren't yet public, you will improve your chances for participating in a conversion. As the number of lending institutions continues to be reduced by takeovers and buyouts, it's a good bet that all the mutual savings banks and S&Ls will eventually convert.
  As we put this edition to bed, the government's Office of Thrift Supervision has slapped a moratorium on savings bank conversions. The problem is that some officers and directors have been taking advantage of these deals by giving themselves options to buy shares at reduced prices. A few have gotten shares for free. Hearings are underway in Congress, and the whole process is being reviewed.
  I'm all for that. Meanwhile, only two percent of the depositors nationwide have taken advantage of their opportunity to buy shares at the favorable initial prices. So 98 percent have turned their backs on these superb deals at their own local thrifts in their own neighborhoods. My guess is that once the rules are changed so that insiders can't reward themselves with freebies, the conversions will be allowed to proceed. This is one case where it will pay to keep up with current events.
  Sign up for our newsletter and receive special offers, access to bonus content, and info on the latest new releases and other great eBooks from Simon & Schuster.
conversations.from: human
conversations.value: Add another sentence about profiteering.
conversations.from: assistant
conversations.value: There are 1,372 mutual savings banks and thrifts that may yet convert to public ownership. If there is one in your neighborhood, open a savings account there. If you have $50,000 and deposit $1,000 in 50 different thrifts that aren't yet public, you will improve your chances for participating in a conversion. As the number of lending institutions continues to be reduced by takeovers and buyouts, it's a good bet that all the mutual savings banks and S&Ls will eventually convert. 
  As we put this edition to bed, the government's Office of Thrift Supervision has slapped a moratorium on savings bank conversions. The problem is that some officers and directors have been taking advantage of these deals by giving themselves options to buy shares at reduced prices. A few have gotten shares for free. The government wants to stop this profiteering by insiders. Hearings are underway in Congress, and the whole process is being reviewed. 
  I'm all for that. Meanwhile, only two percent of the depositors nationwide have taken advantage of their opportunity to buy shares at the favorable initial prices. So 98 percent have turned their backs on these superb deals at their own local thrifts in their own neighborhoods. My guess is that once the rules are changed so that insiders can't reward themselves with freebies, the conversions will be allowed to proceed. This is one case where it will pay to keep up with current events. 
  Sign up for our newsletter and receive special offers, access to bonus content, and info on the latest new releases and other great eBooks from Simon & Schuster.