Latin American Business Outlook Part of the Global Business Outlook

Latin American Business OutlookPart of the Global Business Outlook

A joint survey effort between

Duke University,Fundação Getúlio Vargas

and

CFO magazine

Latin American Business Outlook Duke University / FGV / CFO Magazine Dec 2012 1

Top Internal Concerns for Latin America CFOs


1. Ability to maintain margins

2. Attracting and retaining qualified employees

3. Maintaining morale/productivity

4. Ability to forecast results

5. Working capital management

6. Supply chain risk

7. Managing IT systems

8. Counterparty risk

9. Cost of health care

10. Balance sheet weakness

11. Pension obligations

Top External Concerns for Latin America CFOs


1. Consumer demand

2. Global financial instability

3. (tie) Price pressure from competitors

3. (tie) Federal government policies

5. Slowing growth in major emerging markets

6. Corporate tax rates

7. Financial regulation

8. Currency risk

9. Foreign competition

10. Credit markets/interest rates

11. Inflation

Forecast of % change over next 12 monthsHistorical Responses Dec 2012 Response

Rev

enue

Notes: Presented data are the mean value for each region or country


Dec 2011 Mar 2012 Jun 2012 Sep 2012 Dec 2012-5%

5%

15%

25%

Latin America United States Europe Asia United States Europe Asia Latin America Brazil0%

5%

10%

15%

20%

Pro

duct

Pric

es

Dec 2011 Mar 2012 Jun 2012 Sep 2012 Dec 2012

-5%

0%

5%

10%

15%

Latin America United States Europe AsiaUnited States Europe Asia Latin America Brazil

0%

5%

10%

Historical Responses

Cap

ital S

pend

ing

Dec 2012 Response



-5%

0%

5%

10%

15%

Latin America United States Europe Asia

United States Europe Asia Latin America Brazil

-5%

0%

5%

10%

15%

Forecast of % change over next 12 months

Notes: Presented data are the mean value for each region or country, except medians shown for Latin America in Dec 2012.

Ear

ning

s

Dec 2011 Mar 2012 Jun 2012 Sep 2012 Dec 2012-5%

5%

15%

25%



-5%

0%

5%

10%

15%

20%

Historical Responses

# F

T E

mpl

oyee

sW

ages

& S

alar

ies

Dec 2012 Response



-5%

0%

5%

10%

15%



-5%

0%

5%

10%

15%



-5%

0%

5%

10%


-5%

0%

5%

10%

Forecast of % change over next 12 months

Notes: Presented data are the mean value for each region or country, except medians shown for Latin America in Dec 2012.

#FT=Number of Fulltime Employees

Latin American Business Outlook Duke University / FGV / CFO Magazine Dec 2012

Business Optimism Index (Scale from 0 to 100)Historical Responses

Cou

ntry

/ R

egio

nO

wn

Com

pany

Dec 2012 Response

7


45

55

65

75



45

55

65

75


Brazil Mexico Argentina Chile Peru Cen.Amer./Carrib.

01020304050607080

Brazil Mexico Argentina Chile Peru Cen.Amer./Carrib.

01020304050607080

Notes: Presented data are the mean value for each region or country

Decreased in last five years (A small number is good, big number is bad)

Company contribution to employee health benefits

Retirement benefits

Company contribution to employee pension benefits / 401(k)

Employee training/development

0% 25% 50% 75% 100%

Latin America Europe US


Bonus relative to last year


US Europe Latin America Asia0%

25%

50%

75%

100%

Smaller About the same Bigger

If growth slows in these regions, effect on US firms

China slower in 2013 Latin America slower in 20130%

25%

50%

75%

100%

Negative Neutral Positive

10Latin American Business Outlook Duke University / FGV / CFO Magazine Dec 2012

Regional Latin American Effects

0%

25%

50%

75%

100%

Negative Neutral Positive

11Latin American Business Outlook Duke University / FGV / CFO Magazine Dec 2012

Duke/FGV CFO Survey in Latin America Press



Duke/FGV CFO Survey in Latin America Press

Latin American Business OutlookPart of the Global Business Outlook

A joint survey effort between

Duke University,Fundação Getúlio Vargas

and

CFO magazine


Documents

Latin American Business Outlook Part of the Global Business Outlook