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Howard Graham Buffett


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A profile on Howard Graham Buffett  in the WSJournal

 

 

 

http://online.wsj.com/news/articles/SB10001424052702304049904579518203727514762?mod=WSJ_hp_RightTopStories&mg=reno64-wsj

 

Heir Apparent at Berkshire Hathaway: Warren Buffett's Eldest Son

 

Howard Buffett, Farmer, Philanthropist and Volunteer Deputy Sheriff, Is Slated to Take Over as Berkshire Hathaway's Next Chairman

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Here are my $0.02......

 

When Buffett is gone his shares go to the Gates Foundation. With BRK paying a small dividend, the Gates Foundation will be able to hold on to BRK shares instead of slowly having to sell them off to raise funds to disburse.  I would prefer the Gates Foundation to hold the shares indefinitely and use their holdings to  preserve the BRK culture that WEB has fostered rather than see it eventually broken up and sold off.

 

cheers

Zorro

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Isn't he a dumb dumb?

 

Far from it.  Obviously he's not his father...who is?  But he's been on a number of boards, runs his own farming business, is a published author and photographer, and has met all of his father's friends over the years...not to mention probably learned a thing or two.

 

For people who think Berkshire will be the same after Buffett, it just can't be.  The primary capital allocator will be gone, and they will rationally decide whether to reinvest all of the cash flow or distribute it in some fashion.  By distributing it, it simply reduces the number of mistakes that can happen.  Cheers!

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Gates Foundation is required to sell BRK shares by law - excess business holdings of a foundation or something like that - they have to steadily sell shares regardless of the dividend under current law.  Same reason Pabst Brewing had to be sold.

 

Here are my $0.02......

 

When Buffett is gone his shares go to the Gates Foundation. With BRK paying a small dividend, the Gates Foundation will be able to hold on to BRK shares instead of slowly having to sell them off to raise funds to disburse.  I would prefer the Gates Foundation to hold the shares indefinitely and use their holdings to  preserve the BRK culture that WEB has fostered rather than see it eventually broken up and sold off.

 

cheers

Zorro

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It's also important to note that what the directors said is not really substantially different to what Buffett and Munger have said previously.  Media just wants to spin it differently.

 

Isn't he a dumb dumb?

 

Far from it.  Obviously he's not his father...who is?  But he's been on a number of boards, runs his own farming business, is a published author and photographer, and has met all of his father's friends over the years...not to mention probably learned a thing or two.

 

For people who think Berkshire will be the same after Buffett, it just can't be.  The primary capital allocator will be gone, and they will rationally decide whether to reinvest all of the cash flow or distribute it in some fashion.  By distributing it, it simply reduces the number of mistakes that can happen.  Cheers!

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