Munger_Disciple

Warren communicated to us that he thinks the overall market is currently overvalued: "Because of Berkshire's size and because of market levels, ideas are few - but not zero." (underlining mine)

+1

It seems to me that Buffett is implying that he would convert A shares to B shares (as he has been doing so far) when he accelerates the gifts to his children's foundations when he says he will continue to hold on to A shares till the shareholders become comfortable with Greg.

You are referring to "potential" buyer interest not being the same as the number of sellers actively trying to sell. But I am looking at completed trades, in which the number of shares sold must equal the number of shares bought, whatever the clearing price might be.

Perhaps "interesting" is a better choice of adjective. I am with you about LT; though I have only been an FFH shareholder for about 4 years, I had long been a BRK shareholder (25 years & counting).

Actually for every share sold by a seller, there is a buyer. I am a LT owner but it's fun to speculate why the stock is down given a great Q3 earnings report.

I wonder if the selling is coming from the counter parties to TRS.

Warren's letters and other work in the past 75 years leaves us with a lot of timeless advice and wisdom. And health permitting, he will still be Chairman in 2026. So there is that.

Can you tell us the clerical error in the bond offering that you identified?

Where did you see that in the report? Thanks

Very good Q3 report. The only minor negative was the loss on TRS of $61mm. I was hoping they closed/reduced their TRS position. Presumably TRS losses continued to-date in Q4.

Prem does & will do what's best for FFH shareholders. That means pay as low a price as possible for any acquisition which allows FFH to get the highest possible IRR. If the seller has better alternatives, he should take the other deal. Fair doesn't mean Fairfax pays full price. That's ridiculous.

While I am not thrilled and am quite unhappy with the manner in which Prem obtained control of FFH, I would argue that Prem is an order of magnitude better for shareholders than Biglari. He takes a modest salary, no option grants and most importantly doesn't have a ridiculous "carry" over book value that Biglari has which truly screws his BH shareholders constantly & repeatedly.

Article on Pacificorp lawsuits: https://finance.yahoo.com/news/buffett-owned-utility-warns-strained-164543002.html These look more & more like tobacco lawsuits. Greg will probably put Pacificorp into bankruptcy above a certain amount of damages.

That seems about right. BRK now has roughly $143B in cash/other liquid assets at the parent level which supports your thesis. The insurance business for comparison has roughly $593B in assets, partially funded by $176B in float liabilities.

You are welcome!

This paragraph from 10-Q also caught my eye: Amounts sought in outstanding complaints and demands filed in Oregon and in certain demands in California total approximately $55 billion, excluding any doubling or trebling of damages or punitive damages included in the complaints and excluding damages that may be sought by additional plaintiffs granted substitution counsel in the James class action lawsuit described below. Generally, the complaints filed in California do not specify damages sought and are excluded from this amount. Of the $55 billion, $52 billion represents the economic and noneconomic damages sought in the James mass complaints described below. Oregon law provides for doubling of economic and property damages in the event the defendant is found to have acted with gross negligence, recklessness, willfulness or malice. Oregon law provides for trebling of damages associated with timber, shrubs and produce in the event the defendant is determined to have willfully and intentionally trespassed. Berkshire reserved 2.85 Billion (ex- insurance recoveries & taxes) for wildfire damages so far & paid out $1.4 Billion so far. But I noticed that the $55 Billion number grew from Q1 number of $51 Billion. Of course Pacificorp would declare bankruptcy & hand the keys off to the states if the damages come anywhere close to the $55 Billion number. Still, a shit show at Pacificorp/BHE.

By reading the 10-Q carefully ! See Note 6 to the Consolidated Financial Statements: Investment gains (losses)

Looks like BRK realized gain of $10.4 Billion from sales of equities in Q3. I suspect it was more Apple & BAC sales in Q3 that accounts for vast portion of the gain.

Indeed! Your math teacher is right, more reps is always good whether it's weight training, math or investing.

I think you are right. I believe they corrected them in the third quarter 10-Q. If you look at page 19 of Q2's 10-Q, you will see the correct A & B share figures as of 6/30/25 (A: 531,469 and B: 1,360,131,639). Interestingly, A share equivalents are correct everywhere. It's just that they had the wrong A & B figures on the first page of Q2's 10-Q. Edit: Looks like @gfp beat me to it

LOL

Bloomberg on the WSJ report: https://archive.ph/t0Hwb Did Bloomberg just quote you @gfp?

WSJ article on Berkshire: https://www.wsj.com/finance/stocks/berkshires-new-normal-no-buffett-shareholder-letter-and-no-buffett-premium-b53c2edd?st=o34SuL&reflink=desktopwebshare_permalink Nothing new but Buffett's assistant (re)confirmed that Greg would be writing the 2025 annual letter. She also said Buffett would be publishing a Thanksgiving letter on Nov 10, addressed to his children & shareholders, similar to the one he wrote last year.