International Investments in Systems from Spotting Trends

This reveals a recent experience about how careless or uncaring or even dishonest US customs agents can lose you passport or worse. Many readers have sent me kind letters of support about this trouble in Houston. Many suggested I should never have left the customs area without being angry and making a fuss.

To me, creating a disturbance in the customs area would not have been wise. My obligation at that time was to get to a seminar where I was speaking. Delegates had paid good money and spent time too be at that seminar. They were depending on me.

Plus America already has too much anger in its system! Anger is rarely the most effective emotion in the big picture. And it is possible to use the system without losing one’s temper. Perhaps it is better to be civil and pleasant yet tough. In this case I did not get mad but, this does not mean that I ignored what happened.

Instead I used the system. Getting angry at the customs officials was unlikely to recover my passport. Using the system may not get this valuable document back either. However, I do suspect that using the system will reduce the likelihood of this problem happening again. (See the letter!)

Second, as investors we can look for crumbling systems. We have looked again and again at investing in municipality water systems which are caught between the hard spot of increasing supply and aging systems.

By the way it also helps to have an excellent attorney. This is why again and again I refer readers with legal or tax concerns to Joe Cox at Cox and Nici. You can learn more about Joe Cox and www.coxnici.com.

Second look for crumbling systems. We have looked again and again at investing in municipality water systems which are caught between the hard spots of increasing supply and aging systems.

This is why we have been looking at Insituform Technologies, Inc. a leading worldwide provider of proprietary technologies and services for rehabilitating sewer, water and other underground piping systems without digging and disruption. You can see what we originally wrote.

Recently Insituform earnings reports show that quarterly net income increased in the last year to $4.3 million, from a net loss of $6.6 million, in the fourth quarter a year ago.

For 2005, net income was $13.2 million compared to $0.6 million, in 2004.

The increase came mainly from the company’s core rehabilitation and Tite Liner® segments, which helps repair crumbling water systems.

Consolidated revenues for the fourth quarter of 2005 increased 14.5% to $146.0 million from $127.4 million in the prior year quarter. For the year, revenues increased 9.7% to $595.3 million from $542.6 million in 2004.

The share price of Insituform has risen from under $17 to $26 since we first looked at them November 3, 2005 five months ago.

More information about the company can be found on its Internet site plus there is a good article on the company found in THE ST. LOUIS BUSINESS JOURNAL.

Learn more about how to develop investing philosophies and investing in water. Join Merri, Thomas Fischer of Jyske Bank and me at our next International Business and Investing Made EZ course in North Carolina.

Finally look for shifts of utility in crumbling systems.

Take Ecuador’s railroad as an example. After the civil war ended in 1905, a railroad was built as part of a dream to unite Ecuador by train. The goal was to connect Quito, the capital, with Guayaquil, the major port. When built, the track was a technical masterpiece that challenged the Andes. The worse part, known as Devil's Nose, is a steep run that could only be mastered by switchbacks. Now Ecuador's system has totally crumbled and has no commercial use at all. Yet the last Devil's Nose portion of the track is still running. It still makes money!

Metropolitan tours, Ecuador’s largest touring firm has made a special lightweight train from a truck. We recently passed this train on a trip and I took this shot.

Take Ecuador’s railroad as an example. After the civil war ended in 1905, a railroad was built as part of a dream to unite Ecuador by train. The goal was to connect Quito, the capital, with Guayaquil, the major port. When built, the track was a technical masterpiece that challenged the Andes. The worse part, known as Devil's Nose, is a steep run that could only be mastered by switchbacks.

Now Ecuador's system has totally crumbled and has no commercial use at all. Yet the last Devil's Nose portion of the track is still running. It still makes money!

Metropolitan tours, Ecuador’s largest touring firm has made a special lightweight train from a truck. We recently passed this train on a trip and I took this shot.

Look for systems that seem all but forgotten. There may be cash left laying in the memories!

Learn how to earn anywhere you travel. See beautiful sights like the one above. Join Merri and me and our next Ecuador Import-Export Expedition.

Until next message may all your memories and systems be good!