redskin

I agree. He could sell real estate that was bought 30 years ago and is currently on the books at cost. This would increase book value and line the pockets of Sardar without him adding any value.

Is the investment management business worth anything if Biglari sells to the company? Why would an individual investor invest in the Lion Fund? Won't most investors simply redeem their investment in the fund and invest in BH if they want Sardar to manage their money? If that were to happen there are no management fees earned. Sardar could be selling the company an asset worth nothing in return for this outrageous comp package.

The underwriting gain on personal lines was $2.1 million in 2009. They had an underwriting loss of $900k in Q2. I think it's a bit early to say Harry was right.

Isn't Steak n Shake sitting on a bunch of real estate valued at cost? I assume a lot of this real estate was purchased many years ago and the cost is significantly lower than the current market. Biglari could simply sell this real estate at current market prices which would increase book value. Sardar would get paid handsomely on the increased book value even though he didn't create any value.