ourkid8

I am a unit holder of Chou Asia and I would love to know what Japanese stocks he is interested in! Mr. Chou has 38% of net assets in cash and definitely itching to put it to work... Shahed

http://choufunds.com/pdf/AR10_1.pdf

12 equity positions and 3 funds. My top 6 positions make up 68% of my portfolio... Consumer staples (PM, KFT) Financials (FFH, TD, USB, WFC) Healthcare (JNJ) Infrastructure (CNR) Natural resources (SD, ATPG and HF) Telecom (FTR) Mutual Funds: Chou Associates, Chou Asia and Mackenzie Cundil Recovery 'c'

Who is Tim? (My mistake...)

I actually had an order to buy 15,000,000 shares at $37.99 but I just missed it :) What a shame!!!

FFH is starting to look interesting as it is currently sitting around 2.4% below book. It's selling at $370USD with a book value of $379USD... I can definitely see Pem starting to repurchase shares at this price but not yet on a large scale. What does everyone think as I am definitely starting to look at liquidating some positions to have cash on hand.

It's almost as if you had a copy of the annual report before us!!! Good call on Fairfax looking to purchase 100% ownership of non-insurance businesses!

As of December 31, 2010 FFH is 15.2% of my portfolio...(It would be slightly less now since most of my portfolio has had a nice run as of late)

I agree, I think Prem will keep the dividend at $10 for the second consecutive year. I wish he would eliminate it totally but I understand the justification behind it... Thanks, S

Quick question, is there anything special I need to do to be reimbursed in full on line 405 or your federal tax return? I file my taxes myself and I never knew there was a way to receive a reimbursement of the withholding tax... Please elaborate! :)

2/3 of their muni bonds are insured by Berkshire Hathaway. We should be okay with the remaining 1/3 and if I remember correctly, Prem was saying they only bought the muni bonds of essential services such as public water works and such... Prem and his team performed due dilligence on the muni's so with a high level of certainty I am confident we should not worry too much about them. Thanks, S

FFH also has the ability to buy block purchases but I agree with you, it would take time to significantly reduce the share count. I have to respectfully disagree with you as Prem knows repurchasing shares is another way of creating shareholder value (Only if you are buying the shares below book) at the same time continuining to build the subs you mentioned below. If it is an option of either building the subs OR share repurchases then I agree, he should focus on building the business and not care about share repurchases but FFH does throw off a significant amount of cash and they are lucky to be able to do both!

At what point do you think FFH will start to aggressively repurchase stock? I can see them slowly repurchasing stock at the current book value but what would it need to drop by for FFH to aggressively start repurchasing stock... .80 -.85x book? Based on the NCIB they are able to purchase 10% of the float and it would be nice to see a large reduction in the public float.

Thanks for the explanation and example barminov, extremely helpful! :)

http://www.dataroma.com/m/holdings.php?m=FFH There seems to be some significant changes to Fairfax's portfolio! -Reduced Kraft stake by 47% -Reduced Wells Fargo stake by 68% -Reduced US Bancorp stake by 60% -Started a new significant position in Research in Motion (2,065,000 which is 5% of Fairfax's portfolio) Thanks, S

FFH is 16.41% of my portfolio (As of September 30, 2010)

My mistake :-[

I initially only calculated a 4 year time frame to prove a point to Myth465... If you look 10 years out, yes LUK outperformed BRK by 139% but if you start looking out even further, let's say 20 years BRK outperformed LUK by 29% which speaks volumes on it's own. If we look out even further it would be much more dramatic. Considering BRK's size, I still feel long term you will do extremely well and continue to obtain above average returns... Thanks, S

In Berkshire's defense: Berkshire's return over the last 4 years: Oct 30, 2006 - $105,000.00 Oct 28, 2010 - $120,025.00 14.3% Leucadia National Corp return over the last 4 years: Oct 30, 2006 - $25.94 Oct 28, 2010 - $24.98 -3.84 S&P 500 INDEX return over the last 4 years: Oct 30, 2006 - 1,364.30 Oct 28, 2010 - 1,183.78 -15.25

That is actually a very good point. (I should have paid attention to that) I am going to create a spreadsheet to find out what Chou's annual return is on KG. Chou Associates is a core position in my portfolio which I have held for about 2-3 years... (I am benefiting off this deal)

9.2% of the fund was in KG (largest holding) $11.23 /Chou's average purchase price (Pfize purchasing for $14.25) Pfizer Inc. offered to buy the specialty drug manufacturer for $3.6 billion in cash.... This is amazing news as it's a 27% gain on it's largest position (9.2% of the fund!!!) :) Congrats to all fund holders... I am posting this thread under Fairfax Financial as Fairfax holds approximately 23.2% of the Series A Units of the fund. Thanks, S

Mr. Watsa continues to build his global insurance empire!!! :)

My current portfolio is 16.67% in Fairfax financial (as of June 30, 2010) as HWIC are significantly better investors then I am!!!

That is EXACTLY what I did after the previous flash crash... I usually set a very large buy order at 35% below the current stock price. (For TD Waterhouse the maximum you can set is 30 days) Thanks, S

I have always wondered what is other board member's opinion on setting up a Dividend Reinvestment Plan (DRIP) plan on your stocks. I have numerous investments I do plan on holding for the long term (10+ years) and debating if I should DRIP or not to DRIP... There are numerous investments I have sizable gains and when the company pays a dividend I buy shares at a significant higher price than my book value. I do not mind as I am adding to my position. There are other investments I am slightly in the red and it lowers my book value with the dividend payment which is nice. I know you are suppose to buy when you feel the company is selling below intrinsic value and with a DRIP, you do not have control when you purchase additional shares. Let me know what you are doing... Shahed