Pernod Ricard SA (RI-FRA)

An international drinks company. These companies are typically secular outperformers - year after year after year. This was a top pick of an analyst he saw in Europe in November. Near term risk: expensive liquor is not able to be used as bribes in China any longer.

(A Top Pick April 2/13. Down 10.71%.) Very fond of this company. Sold his holdings last August after a trip to China when he felt that growth was going to be stifled for some time. Noticed that in the higher end restaurants and bars, activity had decreased dramatically. New leadership wants corruption ended so gifting and entertainment is coming down.

(A Top Pick August 9/12. Up 3.64%.) Still likes this one. The slowdown in China is hurting this company.

(A Top Pick May 3/12. Up 22.88%.) People like to drink better and more sophisticated drinks. Chivas Regal is one of their global brands. Dividend yield of 1.62%. Good cash flow. Balance sheet healthier since their Absolut acquisition.

(A Top Pick Sept 26/11. Up 37.26%.)

(Top Pick Sep 26/11, Up 46%) Thinks product is excellent. Jamison’s Whisky is the highest growing category in US and is selling in China also. Would think he can get the upside of his earnings growth. 10-15% range, maybe even higher. Over 3 years if he can get those kinds of returns he would be very happy. Revenue from China is in the mid 20’s