Saturday, May 31, 2008

Media Frenzy ...

Continuing my campaign of shameless self-promotion, see below ... I was quoted on the Wall Street Journal's website:

May 29, 2008, 2:41 pm
A Sprint Higher For Olympic Stocks
Posted by Peter A. McKay
It’s difficult to fathom the social and political significance of this summer’s Olympics to China as an emerging world power. But the research firm Capital IQ has taken a crack at measuring something more concrete: the benefit to shareholders of the games’ corporate sponsors.

Analysts at Capital IQ, based in New York, recently created a capitalization-weighted index of 14 Olympic sponsors, including such bellwethers as Visa, BHP Billiton, McDonald’s, and Anheuser-Busch. Since July 2001, when the International Olympic Committee announced its selection of Beijing to host the 2008 games, the index of sponsors is up 27%, handily beating the S&P 500, up 14% over the same period.

Jeremy Payne, senior vice president at Capital IQ, cautioned that other factors aside from the Olympics clearly affected the sponsors’ stock performance over the period his firm studied. BHP, for instance, benefited from a boom in global metals prices. But he he added: “The Olympics certainly can’t hurt a company’s fortunes. It’s clearly the kind of exposure they dream about, with billions of people watching worldwide.”


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