kiwing100

Login free transcript https://www.rev.com/blog/transcripts/warren-buffett-berkshire-hathaway-annual-meeting-transcript-2021

MattR, Thank you for sharing your transcription.

ICYMI https://youtu.be/FiHrWy2jGbA?t=1533

Anyone looking at this market? Does anyone know the name of the warehouse business in Turkey that Pabrai Funds owns?

Longterminvestor, Thank you for sharing this.

https://berkshirehathaway.com/letters/2020ltr.pdf

Has anybody got any stories about Rick Guerin that they would like to share? People may be interested to hear about them here.

https://www.dailyjournal.com/articles/360008-j-p-rick-guerin-jr-1929-2020

ICYMI, for readers of Howard Marks ... https://www.oaktreecapital.com/docs/default-source/memos/coming-into-focus.pdf

DJCO AGM on 12 Feb 2020 Q&A session

Talk at Florida University 1998. For those who wish to listen (or watch the video) -

Wabuffo, Many thanks to you for your very comprehensive response.

Wabuffo, Thank you for that. Where can you see 005389.KS in the DJCO portfolio? Is there some filing? FYI, I looked in the 10K and nothing was mentioned.

Poor Charlie 1) How did you find out about the Munger foundation's investment in Hyundai? Is there a list or filing made? 2) Which Hyundai entity is it? (There are quite a few - Hyundai Motors, Hyundai Engineering & Construction, Hyundai Dept Store, Hyundai Fire & Marine, Hyundai Green Food, Hyundai Merchant Marine, Hyundai Heavy, Hyundai Corp, Hyundai Mobis, Hyundai Steel, Hyundai Mipo) Thanks in advance.

He looks for a minimum 10%pre tax. Taxes on prefered stocks are lower, so he might accept a little less.the warrants are the return above threshold. FYI, here is what Buffett had to say about the preferreds in the past (in BRK AGM's) 1) on the US Airways convertible preferred "By the terms of our preferred, in just a little over two years, we are due to be paid back our principal amount. It was really a loan in equity form, with a kick — possible kicker on the upside because of the conversion privilege on the preferred." "we have the convertible preferreds of Champion, of US Airways, and of Salomon. And those are three industries — I don’t think we’ve ever owned an airline stock, common stock. I don’t think we’ve ever owned a paper company common stock. And we’ve only had a very limited amount of investment in the investment banking businesses. Those are industries that we don’t feel that we’ve got the same kind of long-term economic advantage that we have in something like a Coke or a Gillette. So those are not natural places for us to be common shareholders. And the issuance of that exchangeable debt reflected that view." 2) on the Goldman Sachs preferred So every day that goes by that Goldman does not call our preferred is money in the bank. It’s been pointed out that our preferred is paying us $15 a second. So as we sit here, tick —(laughter) — tick, tick, tick, that’s $15 every tick. (Applause) I don’t want those ticks to go away. (Laughs) I just love them. They go on at night when I sleep — (laughter) — on weekends. And frankly, Goldman would love to get rid of that preferred. I mean, they only agreed to sell us that preferred because it was sort of at the height of the crisis. Now, there were different risk profiles, obviously, in investing. And the truth is, I don’t know whether Harley-Davidson equity is worth $33 or $20 or $45. I just have no view on that. You know, I kind of like a business where your customers tattoo your name on their chest or something. But — (laughter) — figuring out the economic value of that, you know. I’m not sure even going out and questioning those guys I’d learn much from them. (Laughter) But I do know, or I thought I knew, and I think I was right, that, A) Harley-Davidson was not going out of business. And that, B) 15 percent was going to look pretty damned attractive. And the truth is, we could probably sell those bonds, I don’t know, probably at 135 or something like that. So we could have a very substantial capital gain, a lot of income. I knew enough to lend them money; I didn’t know enough to buy the equity. And that’s frequently the case. And, you know, we love buying equities, but we love buying the Goldman preferred at 10 percent. Now, let’s say Goldman, instead of offering me the 10 percent preferred and warrants had said, “You can have a 12 percent preferred, non-callable,” I might have taken that one instead. I mean, the callable — so there’s a tradeoff involved in all these securities. And obviously, if I think I can make very good money, as we did on Harley-Davidson, with a very simple decision, just a question of, “Are they going to go broke or not?” as opposed to a tougher decision, “Is the motorcycle market going to get diminished significantly? And, you know, are the margins going to get squeezed somewhat?” And all of that. I’ll go with a simple decision.