berkshiremystery

Gio,... we had here some good discussions about gold before,... but not sure if you found the message threads. "moore_capital54" seemed to have always some interesting analytical thoughts about gold. I just post the old thread links: Gold Chart Gone Hyperbolic http://www.cornerofberkshireandfairfax.ca/forum/general-discussion/gold-chart-gone-hyperbolic/ You Can't Print More Gold http://www.cornerofberkshireandfairfax.ca/forum/general-discussion/you-can't-print-more-gold/ Gold Standard Causes Depressions http://www.cornerofberkshireandfairfax.ca/forum/general-discussion/gold-standard-causes-depressions/ Gold Price Is Now Higher Than Inflation Adjusted 1980 Price http://www.cornerofberkshireandfairfax.ca/forum/general-discussion/gold-price-is-now-higher-than-inflation-adjusted-1980-price/ China To Install More Than 2000 Good ATM's http://www.cornerofberkshireandfairfax.ca/forum/general-discussion/china-to-install-more-than-2-000-gold-atms/ Cramer Blasting Buffett Over Gold (for entertainment value only) http://www.cornerofberkshireandfairfax.ca/forum/berkshire-hathaway/cramer-blasting-buffett-over-gold-(for-entertainment-value-only)/

Also some info about LAMDA Development S.A., the company that sold the stake. LAMDA Development S.A. http://www.lamda-development.net/online/homepage.aspx Sale of participation in EUROBANK PROPERTIES R.E.I.C - 22/08/2012 ( Announcements ) http://www.lamda-development.net/online/ViewNews.aspx?MenuCategId=57&MenuModuleID=4&MenuModuleTable=Real_NeoCategory&LevelNo=1&NewsID=1274&NewsCategoryID= Quotes - LAMDA:GA http://www.bloomberg.com/quote/LAMDA:GA http://investing.businessweek.com/research/stocks/snapshot/snapshot.asp?ticker=LAMDA:GA

Here are links to share quotes: EUPRO:GA http://www.bloomberg.com/quote/EUPRO:GA http://investing.businessweek.com/research/stocks/snapshot/snapshot.asp?ticker=EUPRO:GA Key Statistics for EUPRO Current P/E Ratio (ttm) 45.0000 Estimated P/E (12/2012 ) 7.6415 Earnings Per Share (EUR) (ttm) 0.0900 Est. EPS (EUR) (12/2012) 0.5300 Est. PEG Ratio - Market Cap (M EUR) 247.05 Shares Outstanding (M) 61.00 Enterprise Value (M EUR) (ttm) 186.39 Enterprise Value/EBITDA (ttm) - Price/Book (mrq) 0.3631 Price/Sale (ttm) 5.6018 Dividend Indicated Gross Yield 9.2422 Next Earnings Announcement

Also some more links about Eurobank Properties: http://www.eurobankproperties.gr/default.aspx?lang=en-US Stock Performance 30/08/2012 Stock Closing Value 4.42€ Change -4.12% Capitalization 269.620.000€ NAV per share 30/06/2012 NAV 10.32€ With the last company presentation as June 2012: http://www.eurobankproperties.gr/EurobankPropertiesUploads/presentations/2012_06%20Company%20Presentation.pdf ▪ Largest Investment Property Fund in Greece ▪ High quality property portfolio and solid tenant mix (EFG Group, AB Vasilopoulos, Carrefour, Praktiker, H&M, L’Oreal, P&G, CYTA Hellas) that produced annual rental revenue in the range of € 43 Μ and passing yield 8% approximately ▪ Tax-Efficient Structure in Greece; REICs are exempt from - Rental income tax - Capital gains tax - Transaction tax - Dividend tax ▪ Attractive Dividend Policy Dividend per share Dividend yield (at year end) 2009 € 0.55 6.63% 2010 € 0.53 8.91% 2011 € 0.40 10.53% Actual Data as at 31.03.2012 ▪ € 163 Million in Cash (Term Deposits) with an average deposit rate 6.02% ▪ Low LTV with long maturity - Loan to Value – 14% - Debt (& all other liabilities) to Total Assets – 15% - € 86,9 million total debt outstanding as of 31.03.2012 - Average maturity – 7.5 years - Weighted average cost of debt – 3.58% - All debt is on floating interest rate Share Price Information: ▪ Share Price (30/3/2012)  €3.65 ▪ Share Price (13/6/2012)  € 2.90 ▪ NAV per share (31/3/2012)  € 10.94 ▪ Discount to NAV (31/3/2012)  67% ▪ Capitalization (31/3/2012) €223 M ▪ Dividend per share ‘11  € 0.40 ▪ Dividend yield (31/12/11) 10.53% Total Shares Outstanding : 59.99 million They are currently buying back some tiny amounts of their own shares at below half NAV,... so it's almost a little comparable with AIG repurchases. http://www.eurobankproperties.gr/EurobankPropertiesUploads/Εταιρικές_Ανακοινώσεις/ΙΔΙΕΣ%20ΜΕΤΟΧΕΣ%202012/August/ANNOUNCEMENT%20-%20ACQUISITION%20OF%20TREASURY%20SHARES%2030%2008%202012.pdf http://www.eurobankproperties.gr/EurobankPropertiesUploads/Εταιρικές_Ανακοινώσεις/ΙΔΙΕΣ%20ΜΕΤΟΧΕΣ%202012/August/ANNOUNCEMENT%20-%20ACQUISITION%20OF%20TREASURY%20SHARES%2029%2008%202012.pdf http://www.eurobankproperties.gr/EurobankPropertiesUploads/Εταιρικές_Ανακοινώσεις/ΙΔΙΕΣ%20ΜΕΤΟΧΕΣ%202012/August/ANNOUNCEMENT%20-%20ACQUISITION%20OF%20TREASURY%20SHARES%2027%2008%202012.pdf

You did surprise me with that announcement,... well,... I did already wonder when they would do some investment into Greece. But the deal is relative small,... only some 43 million Euro. Here's the press release: Acquisition of Eurobank Properties REIC’s treasury shares by Fairfax Financial Holdings Limited. Marousi, August 22, 2012 http://docs.noodls.com/viewDoc.asp?filename=67055/EXT/635C18B3E52FD4B1D8A454778419FFCEC798F401_83840E548154B2F73F68EF7ED1389C0C18D2663C.PDF Fairfax Financial Holdings Limited acquired 9,017,987 shares of Eurobank Properties REIC yesterday, at an acquisition price of €4.75 per share. The seller was Lamda Development S.A.

I had already seen this some while ago,... but don't worry,... it only seems he had managed to average in and out a little. He bought at much higher prices,... very early, and bought at lower values in the 2nd half of 2011, thus averaging down,... probably around the December lows around $2.00. It seems that he trimmed some of these purchases recently. http://holdings.nasdaq.com/asp/OwnerPortfolio.asp?FormType=OwnerPortfolio&CIK=0001389403&HolderName=CHOU+ASSOCIATES+MANAGEMENT+INC%2E http://www.investorpoint.com/stock/BAC.WS.A-BANK%20OF%20AMERICA%20WARRANTS/ I personally don't plan to trim my a warrants.

Is there a way to download the video onto my computer so i can save it for later. Do you know what theory he was talking about in the start. Just try some "YouTube Downloader" software or search for it: http://www.google.com/#hl=en&sugexp=les%3B&gs_nf=1&cp=9&gs_id=14&xhr=t&q=youtube+downloader&pf=p&sclient=tablet-gws&safe=off&tbo=d&biw=768&bih=900&oq=youtube+d&gs_l=&pbx=1&bav=on.2,or.r_gc.r_pw.&fp=682ab996b03bf19a http://keepvid.com/ http://youtubedownloader.com/

At least it seems that Tepper has some huge quarterly portfolio turnover rates,... thus... extreme increases and decreases in positions. http://holdings.nasdaq.com/asp/OwnerPortfolio.asp?FormType=OwnerPortfolio&CIK=0001006438&HolderName=APPALOOSA+MANAGEMENT+LP

Thomas Cook completes sale of Indian operations to Prem Watsa's Fairbridge Capital news 14 August 2012 http://www.domain-b.com/industry/Tourism/20120814_thomas_cook.html ----- Fairbridge Capital (Mauritius) Limited http://www.fairbridgecapital.com http://www.fairbridgecapital.com/aboutus.html

Some new comments on Berkowitz latest semi-annual report: http://www.thestreet.com/story/11656720/1/fairholmes-berkowitz-cuts-aig-cit-stakes.html?puc=yahoo&cm_ven=YAHOO

Spain’s Ortega Overtakes Buffett As World’s Third-Richest Amancio Ortega, who founded retailer Inditex SA (ITX), has bumped Warren Buffett from his perch as the world’s third-richest person. That places the owner of the Zara clothing chain above the Berkshire Hathaway Inc. (BRK/A) chairman, who has a net worth of $45.7 billion and had ranked No. 3 on the index since its inception March 5. http://www.bloomberg.com/news/2012-08-07/spain-s-ortega-overtakes-buffett-as-world-s-third-richest.html?cmpid=yhoo

I can only refer to an article on Charlie Munger in Forbes, February 22, 1996. It was the cover story, probably one of the best ever titled: "Charlie Munger: plumbers are useful, money managers aren't" He said: "personally, I think that if security trading in America were to go down by 80%, the civilization would work better. And if I were god, I d' change the tax rules so it would go down by 80%, in fact , by more than 80%". Munger once proposed a 100% tax on gains taken in less than a year from securities trading. Well,... personally I could live with some 50% or even 100% tax on gains shorter than 6 months or something similar, and every tax rate beyond going slowly down over 2, 3, or 5 years to 10%. I would also make holdings after 7 or 10 years, totatally tax free, so to encourage people to save long term for retirement. It would be some perfect system that penalizes short term thinking and encourages responsibilities. I guess such a system would effect me as a frugal investor not at all. Anyway,... unfortunately, it will never happen.

Huiii!!!! just watching it, gave me some awkward feeling!!! What the heck is this volatility for ???? Seems like the worst has yet to come. It looks like a small outback bush fire becomes an uncontrollable Armageddon. :o

No, I don't own LMCA. Was going to read the letter later this week, always a great read! There are so many things investing-related that are worth reading that it tends to pile up at times. I should mention that you won't get much value from me. I just started investing in late 2010 (I'm really nowhere yet) and am actually still a student. Hope to graduate in a month tho. ;) The hunt for the bargain and thirst for knowledge make my clock tick! Yes! But . . . "Never smile at a crocodile!" ------ Captain Hook Tedd Weschler favored LMCA at Peninsula, of course he is currently winding down his fund after he took the job at Berkshire. http://holdings.nasdaq.com/asp/OwnerPortfolio.asp?FormType=OwnerPortfolio&CIK=0001265816&HolderName=PENINSULA+CAPITAL+ADVISORS+LLC

The announcement is this year earlier. Last year they placed the news on their website around October. http://www.cornerofberkshireandfairfax.ca/forum/fairfax-financial/fairfax-financial-agm-shareholder's-dinner/ I can only urge everybody to not book yet any airline tickets, unless you only want to make some vacation. This year they did reschedule the 2012 AGM from April 12th to April 26th, because of some scheduling conflicts at Roy Thomson Hall. So let's stay calm.

Well,... remember... Mr. Watsa/FFH is indirectly invested in BAC,... through his stake in the Chou funds, but it's probably not worth to mention here because the percentage would be very tiny. By the way,... I asked Mohnish personally in Toronto about his opinion about AIG,... whether he likes the company or set a value on them. He just said, that he hasn't an opinion, and AIG is not in the circle of competence. -- Anyway,... we might be able to peek into his next 13f very soon.

I just had the first time the opportunity to watch the video. I was shocked to hear that after he wrote some truthful article about the financial crises titled "I Saw the Crisis Coming. Why Didn’t the Fed?" in 2010,... that the Washington political establishment did scrutinize him,... they did send the FBI, SEC, and auditors to look into all his office files. (watch the video at minute 14). He had over $1 million of legal and accounting costs only because he asked questions and they got jealous. I remember didn't such a thing once also happen to Mohnish in his earlier years that he was scrutinized by some jealous people. I just retread this famous article,... very interesting: April 4, 2010 I Saw the Crisis Coming. Why Didn’t the Fed? By MICHAEL J. BURRY -- Cupertino, Calif. http://investinginknowledge.com/info/category/berkshirehathaway/

Great article about Seth Klarman and his Baupost Group. Confessions of a bargain hunter - Seth Klarman http://investinginknowledge.com/info/2012/06/confessions-of-a-bargain-hunter-seth- ----- Thanks to mPauls & Nathan Bell

Sure,... but it took his hard working brain some time to realize it. Now he feels much more comfortable with his old strategy and cash should always be king, as he says.

I'm aware that he probably found some great new opportunities to put money into, and therefore sold some others. Selling appreciated positions below intrinsic value to buy even cheaper ones. I just did it myself with one of my favorites. It's sometimes hard, but pure logic succeeds. I believe his results will be far superior in the next years compared with others. I can barely wait to see his new 2nd qtr 13F filings in about 2 weeks. ;D ... and in today's market the best values are probably in very big caps.

I think Berkowitz has been saying $2-$3. In 2009 Paulson had also some $3 EPS estimate in his head. http://touch.valuewalk.com/valuewalk/#!/entry/a-flaw-in-paulsons-calculation,501638c17af68a84dc48b87a I would rather say that such an number is near term unrealistic, but in my opinion a $2 EPS number should be easier achievable around/after 2015 or in the following years thereafter. But it also depends on where the share price trades,... if it stays lower for some extended time frame they might be able to reach some higher EPS ratio through share repurchases. A $2 EPS number on a $7.5 stock price would be an awesome 26.67% earnings yield. Anyway, I myself feel with a lower estimate of around $2 EPS much more comfortable,... it is better to be roughly right than precisely wrong.

Nope,... your reasoning is well thought through. Don't worry your English is perfect,... if you haven't realized,... most north American nations,... specially USA & Canada,... are founded and occupied by immigrants,... so a big part of the population has some colorful foreign language accent. So you as some Italian, would be almost the perfect Canadian,... *wink ;-) What I mean, it's not like in Europe, or Italy,... if you speak with some foreign accent,... where you feel like a stranger. In north America everybody is the same while speaking,... Francis,.. Mohnish,... probably worry the same as you,... and your language skills are perfectly :)

Well,... some additional note,... the cheapest price/book value of these 3 companies currently has FlagstoneRe,... which is also owned by Chou.... http://holdings.nasdaq.com/asp/OwnerPortfolio.asp?FormType=OwnerPortfolio&CIK=0001389403&HolderName=CHOU+ASSOCIATES+MANAGEMENT+INC%2E I personally currently don't own any of them. I had WTM, MKL & MRH,... but sold them to get cheaper other values. ----- Some notice,... somehow it looks like Chou has reduced his BAC warrants in the 1st qtr by about 1/5

at least worth a read of the financials are also: RenaissanceRe (RNR), MontpelierRe (MRH)... formerly a new spinoff from (WTM), and FlagstoneRe (FSR)... which was founded by Jacks Byrne's son, Mark.

Some interesting points from Prem about RIMM: ------ Prem Watsa spoke to The Globe and Mail earlier this week about Fairfax’s decision to become the largest shareholder in Research In Motion Ltd., the struggling BlackBerry maker. These were his comments: “We believe in [RIM CEO] Thorsten Heins and we firmly support him and the entire BlackBerry team working tirelessly on the new [blackBerry 10] platform … He’s got the experience and the passion for it, and he’s going to get it done. He is on a mission.” “As John Templeton said ‘the best investments are made at the point of maximum pessimism.’ We don’t know if RIM has reached that point, but we figure it’s pretty close.” “This company has a tremendous brand name that is recognized worldwide. It has 78 million users, 56 million BlackBerry messenger users, patents and a worldwide network.” “When any company gets this cheap it could be taken over, but we believe this is a great Canadian company with a tremendous future. I joined the board to assist in any way I can.” “We’ve never seen a technology company, with assets and talent of this calibre, come down as cheap as the stock of this one has. The marketplace seems to be pricing the stock as if the company might simply close its doors shortly … It’s not like this is a start-up venture capital company. There is a worldwide following, significant capital, tremendous talent and singular focus on innovation.” ----- source: http://www.theglobeandmail.com/globe-investor/fairfaxs-watsa-prepares-for-the-worst/article4443471/ If someone would compare RIMM vs APPL on market value relative to user base,... RIMM would be tremendously cheap. APPL $550 billion / 410 million iOS users = $ 1,341.46 RIMM $3.8 billion / 78 million users = $ 48.72 Source of iOS use base: http://en.wikipedia.org/wiki/IOS