Kraven

I think it depends on one's personal financial situation and expectation for the future. If one expects that they will be able to pay off the other person's debt without changing their lifestyle, then it shouldn't matter. But someone with a lower paying job might think twice about taking on this kind of financial burden. $250k in debt without an ability to pay it off is a life changing amount. It will have a definite impact on one's future. At some point though there will likely be some kind of student loan bailout as amounts are reaching levels that can never hope to be repaid so maybe it doesn't really matter one way or the other.

Gio, so glad it worked out. The advice I gave you could be sold for millions, but I gave it to you for free because I like you. I bet it was telling her she's exactly like your mom (with a wink) and that you want to get married quickly because you're running out of clean socks and underwear that really sealed the deal. Per "Swingers" you are supposed to wait 2 (or maybe 3) days before calling again. However, it seems like in this case perhaps a bending of the rules was in order. Glad it went well and you know where to come for future advice!

Kraven, I am in agreement with you on a lot of what you are saying (even though my investments can be considered to be centered around gurus). In particular, I am surprised to see "emotions running high." Besides, the BBRY deal not going through, weren't most of what people upset about highly visible? How can you criticize the hedges and the long duration bond portfolio after the fact? Most people knew how they were positioned and the risks associated with that. But now that that hasn't led to considerable BV growth, I feel people are upset. Maybe I am missing something. I think a lot of people feel very passionate about it. That's not always a bad thing (and is probably good in most areas of life), but can be bad in investing.

Wonderful Kraven! I knew you would never let me down! Unfortunately, n.4 won’t work … She runs 10 km in 49 min. … I guess my physical prowess cannot impress her very much… But all other points I am going to learn by heart before evening comes!! ;D ;D Gio You're very welcome. Sorry about #4. Not every item will apply of course. Since you're a good guy I thought of a few other things which might help the evening go smoothly. 11. Tell her you are very interested in getting married because you're running out of clean socks and underwear and that fridges don't stock themselves. 12. Tell her you can't wait to have kids because your company owns an interest in some coal mines and some of those tunnels are too small for grown men. 13. Ask her what the most fun time she ever had is. Say yours is when you went to a "Mary Kate and Ashley are 18!" Party. 14. In the context of 1-13 (excluding 4 apparently) be yourself, but not too much. Better to be someone you aren't and let her discover the real you sometime after the 1st anniversary. Hope this helps.

Gio, some words of advice: 1. Unbutton 3-4 buttons on your shirt and wear lots of gold chains. 2. If you have various tattoos, make sure to show them off. 3. Order for her and if she says she doesn't like what you ordered shush her and tell her you know what you're doing. 4. Flex your muscles as often as possible. For example, if asked where the ladies room is make sure that when you point you show off the guns a little bit. 5. Talk about various "fantasies" you have and ask her to describe hers. Women enjoy talking about possible escapades on the first date. 6. Get very, very drunk to demonstrate that you are able to hold your liquor. 7. Start a fight with a guy sitting at a table near you. Women love to feel protected. 8. Swear a lot. Women like a man who talks like a man. 9. Talk only about sports and money. Like #8, women like this. And finally, 10. At the end of the date, tell her you had a great time and that she is exactly like your mother and that that is a very good thing (and wink).

As I mentioned in another thing criticism of Watsa is fair game so long as it doesn't veer into the personal. He is a public figure who runs a public company. It comes with the territory. As they say, if you can't stand the heat get out of the kitchen. Frankly, my guess is that while no one likes to be criticized I am sure he welcomes the various opinions in some fashion. As an aside, the emotions are running high on these threads. Some are acting like Watsa left them at the alter or something. One thing I learned in my career is that when you put someone on a pedestal your thinking becomes flawed and mushy. It doesn't mean that people aren't deserving of respect, some more than others, but that no one should be viewed as above you or superior to you. In a work situation, for example, it may be that because of the work structure one does have to take on that role, but absent some pre-existing relationship of that sort no one should be viewed as your better. Keep an open mind and view their successes and mistakes in the proper context. I too think the whole BBRY situation is a debacle, but it's one failed deal over a lifetime that's occurred and probably to come. Anyone who has been involved in deals over a long career is cognizant of the fact that some work out better than others. Some turn out to be wildly successful (perhaps due to luck) and some turn out to be miserable failures, but you make your notch in the belt and move on to the next one while trying to learn what you can. One deal doesn't make (or break) a career. And in terms of the disappointed feelings, as Gordon Gekko told young Bud Fox, "if you need a friend, get a dog". It's nothing personal.

It's fair game to criticize him and the company. He's a public figure and the company is a public company. I don't think one needs to be in their shoes in order to offer an opinion. It's the equivalent of saying that only a professional ballplayer can criticize or question another professional ballplayer. My opinion is that so long as the criticism of Watsa and FFH doesn't veer into the insulting or personal, it's fair game. It comes with the territory. While I find much of the tears and hand wringing to be a bit of an over reaction, I don't believe that anyone has veered off into the unacceptable.

The angst on these threads is something. People are acting like they discovered their significant other cheating on them every Sunday morning when all this time they thought they'd been at church during those times.

True, but that's actually the investor's deficiency not the managers. Prem didn't put a huge chunk of his net worth, or Fairfax's net worth, into BBRY. It's also not entirely different than someone emulating someone posting on this message board, but ended up realizing they couldn't handle as large an exposure, or mis-read what the poster was trying to say. Cheers! I don't disagree at all. Good points. My post wasn't a commentary on the managers but the investors/posters.

One thing I've noticed that fascinates me is the false premise by many on the board that they "know" what Watsa is thinking or will do in virtually any situation presented. How many times have we read someone post "Prem would never not do [insert action]" or something of the kind? Even referring to him, and others (Warren, Mohnish, etc), by their first name only implies a familiarity that doesn't exist. It's like Madonna or Oprah. To my knowledge, other than a few posters no one here knows him from Adam, knows what he is thinking, has any kind of psychic connection with him or any other relationship save for some public statements. It's a fallacy to assume a greater knowledge. He's a smart man, very smart, and has done a lot of good and built up a nice company. But attempting to interpret motivations and future actions because you "know" him is a very flawed process. At the end of the day, regardless of what happens and how much he cares for each and every one of his stockholders and so forth, he is still a billionaire and is in a position where he can take risks that others are not able to. So what if the BBRY situation goes down in flames? It will knock a few bucks off his net worth, but won't change the way he or his family eats. Meanwhile, you've got people putting huge percentages of their net worth into these things because he did so. I am not sure how the math works on that.

I've got to say that this whole BBRY debacle just demonstrates for me once again the flaws in following "gurus". I just have never quite understood the appeal. I have no interest in anything that Buffett, Watsa, etc buy. They have motivations and situations that are far different from most mortal people. There are several people on this board, as well as a number of friends, that I would follow into something, if in fact I wanted to do that, long before I did the same with a "guru". It's fine to make mistakes, we all make them, but there is this sense that even after the fit hits the shan that there is an infallibility to the decision making. Some have posted saying that they look forward to an opportunity to buy BBRY and FFH cheaper. I don't get it. There are so many ideas out there just ready to be taken advantage of, yet the focus is on the same old tired things. I hope that anyone on this board who followed Watsa into BBRY wasn't hurt too badly. It's always painful to take a loss (albeit in some cases unrealized), but hopefully this will demonstrate that perhaps different avenues might be explored.

Hi Kraven, I know that what you do is different from what I do (or try to do). I respect your work and have absolutely no problem accepting it. I am also positive you will go on being very successful. I understand what you do, and hope you understand what I do (or try to do). :) Cheers! giofranchi Gio - I do completely understand what you do. You have been successful with it and I have no doubt will continue to be both as an investor and in your company. My issue (not directed to you at all) is what we see on this board time and time again. You have 2 broad camps if you will - the Buffett Concentrators and the Graham/Schloss Diversifiers. I find that the former can't seem to understand why someone wouldn't just put everything into the very best super idea. The latter, of which I am one, have said repeatedly to know thyself. If you can do it that way, it's probably the best way, but not everyone is cut out to invest that way. I strongly disagree with the comments that diversifying is to cover up for ignorance. It's simply a different strategy and one which requires the same hard work, dedication and discipline.

The results were awful, plain and simple. It was foreseeable in the sense that anytime you have a financial such as a bank or insurance company selling at a premium to book they have to keep performing at an optimum level. Any little speed bump and it can get nasty. The only person I've ever seen who has performed almost impeccably for years and years and years is Buffett. I know, I know, everyone patterns themselves after him, but that's where the error lies. It's like growing your hair into an unmanageable mane, wearing fuzzy slippers and making strange faces by sticking out your tongue and saying you're like Einstein. Combining for a second with the micro cap thread, I have to chuckle at the people who would be "satisfied" with 20% returns. Good lord. Sure, any mook can do that for a period of time, but to do it for an extended basis puts your in the rarified air of the greats like Buffett and yes, Graham and Schloss. I would also strongly disagree with the statements that diversifying is for those who don't know what they're doing. That's total bullshit. It's simply that what's being done is different and for some unknown reason that is not acceptable.

Bmichaud - good editorial on Jonny Gomes in today's Washington Post by Tom Boswell. http://www.washingtonpost.com/sports/nationals/world-series-jonny-gomes-is-all-heart-for-red-sox/2013/10/28/a8c08668-3f74-11e3-a624-41d661b0bb78_story.html

My understanding is that it was a technically correct call. That is, he did interfere with the baserunner, but most of the time some judgment is applied. I would agree with you. He fell and while he may have interfered, there was nothing else he could do. To me "interference" to some extent implies a purposeful action. But the rule doesn't seem to require scienter.

Without the beards they'd be nothing. Just kidding, I love their beards. They bring back memories of Grizzly Adams from when I was a kid. I am pulling for the Sox. Boston is a great town. I lived there for a few years and enjoyed going to Fenway.

Thanks for the link. Very interesting. It always fascinates me to read about people like this. A similar story in some ways is Ricky Williams in football.

We have cable and netflix, etc. I will be the contrarian here. I would never get rid of it. I enjoy watching sports, my wife has some programs she likes and the kids do as well. I am too old to watch things on a computer screen or iPad.

Gio, as long as you are willing to put in the time required (whatever that may be), and you already seem to be, it sounds like a no brainer to me. Other than time, what's the downside? Seems like at worst you get a chance to research some companies you would consider anyway and best case it sounds like it could be lucrative. Congrats! Looks like you got yourself a new part time gig!

Very good opposing view.

To me there is no mystery here. I am not sure why some feel such offense that Buffett might have chosen a young female when he wouldn't have chosen a male with the exact same qualifications. Anyone who has been around has seen this kind of thing many times. It's pretty cliché. The senior guy has a young female protégé who is attractive, but not too attractive. She is able to "get away" with things that others can't. For example, she might push him harder on issues than others might and he doesn't even get angry about it when with others he would shut it down quickly. She laughs at his jokes and makes him feel very important. When they talk she touches his arm often enough to make him feel good, but not so often that it will cause tongues to wag. And, of course, she's smart and qualified, but those aren't the only factors that went into the hiring at least internally.

Please be patient. There is a team working on it. All top notch people. They will prepare a report and revert back as soon as possible. While they are working on it, is there anything else you need? Kraven thank you for reassurance, indeed it provides piece of mind. LOL had to step out from the office for cup of SBUX could not stop laughing. Thanks, it made my day I wanted to make sure I said thank you to everyone who has expressed their appreciation for the job we're doing. I have conveyed it to the team and it's really made them feel good about the work they're putting in on this very important project. They are working night and day on this and all of their other matters have been pushed to the back burner. This has been quite challenging, but we are more than up to the task of providing you with a result I am sure you will be most pleased with. While we're on topic, there are a few housekeeping issues. A few people made note of the cost involved. You should not concern yourself with this. Of course there will be costs involved, and they most likely will be high, but that's nothing compared to the actionable work product we will provide. In terms of expenses, I have taken the liberty of having breakfast, lunch and dinner catered for the team. This is somewhat costly, but enables team members to keep on working through each meal instead of taking the wasteful time of leaving the office. Team members have also been staying overnight at the Four Seasons or the Ritz Carlton (their choice) to save time on commuting. There were a couple specialists we flew in - one from our Tokyo office and one from our San Francisco office - and their contributions have already been quite good. We fully expect to complete this project in the coming weeks. I cannot provide an exact time as we want to make sure every issue is covered from every angle. Your trust in us pleases us greatly and we know you will be more than satisfied. If you have any questions in the meantime, please call or email me. Moreover, if you have any other matters you would like us to attend to, please let me know and I will arrange for that to be covered. Thanks and regards,

Please be patient. There is a team working on it. All top notch people. They will prepare a report and revert back as soon as possible. While they are working on it, is there anything else you need?

Don't worry. He'll be on again soon. I heard he's going to retire from Berkshire and join Joe, Becky, Andrew Ross and the gang as a full time co-host. It's been moving in that direction, but this will make it official.

I have no doubt that a 29 year old with upwards of 2 or even 3 years of business experience is the right person to oversee an old line company like Benjamin Moore.