Letter From Zurich Dear Reader, I didn't mind being stranded in Zurich Airport for four hours; it meant I was able to do some up-close and firsthand research on one of the European shares I follow: Unique Flughafen Zurich. The company owns and operates Switzerland's main airport in Zurich-Kloten. I had already researched the company's vital statistics on the web and took this opportunity to check the situation on the ground. Unique had posted a loss in 2002, and the share price had temporarily lost 95% of its former value. With the world's addiction to air travel unlikely to fade, I figured the airport share might be a worthwhile turnaround investment. Taking a closer look at the facilities left me with the impression that the stock market is undervaluing the company's assets. If you get a chance to pass through Zurich airport this year, take it. The newly built Airside Center, which I was able only to glance at from the outside because it's not yet open to the public, will be a visually stunning piece of architecture. Take a peek at http://www.airport-technology.com/projects/zurich/ (click on the thumbnail to enlarge), and you'll see what I'm talking about. Another thing struck me: The sheer volume of people in the airport. I'm a frequent visitor to Zurich, and I noticed a marked increase in the number of people I saw this time compared with my visits last year. Counting passers-by while sipping a cappuccino in a Starbucks outlet may have given me only a moment's snapshot, but I'd be surprised if the passenger numbers this spring proved disappointing. And, Unique gets a fixed fee for each passenger passing through its facilities. Of course, I'm speaking anecdotally. But, in the case of Unique, the financials speak equally well in favor of the share. To give you an idea: The book value is 155 Swiss francs ($120) per share, compared with a current share price of 101 Swiss francs ($78). No other European airport share trades at a lower valuation right now. What's more, when you buy into Unique, you hold an asset denominated in Swiss Francs, arguably the world's best currency. If the share price rises and the U.S. dollar looses in value, you get a double gain. Until next time… Sven Lorenz
European Investment Editor, International Living P.S. Dozens of overseas markets outperformed the States last year--some by a factor of four. Unique Flughafen Zurich is just one example of the undervalued money-making opportunities you can find on global stock markets…provided you know where to look. If you are interested in learning more about global profit hunting, please join me in The Bahamas, May 5-9, 2004. I'll be a featured speaker at the 19th Annual Offshore Advantage Seminar, hosted by The Sovereign Society, a sister organization to International Living. Click here to learn more. | 
