Not too long ago, Berkshire was seen as a way to buy into the billionaire’s skill picking stocks. These days, it’s primarily a bet on his ability to make acquisitions and distribute funds among the dozens of businesses he bought over the past five decades, including electric utilities, manufacturers, retailers and one of the largest U.S. railroads. “The market’s realizing that it’s more than just that stock portfolio,” said David Rolfe, who oversees about $10.5 billion including Berkshire shares at Wedgewood Partners Inc.
Lubrizol Completes Acquisition of Weatherford Oilfield Chemicals and Drilling Fluid Businesses (Business Wire)
The Lubrizol Corporation announces it has completed the acquisition in the United States and Canada of Weatherford International’s global oilfield chemicals business, known as Engineered Chemistry and its United States drilling fluids business, known as Integrity Industries. Closings in the rest of the world will occur throughout 2015. The transaction was announced on December 1, 2014. With the close of the transaction, Engineered Chemistry and Integrity Industries, along with Lubrizol’s legacy energy and water business and Berkshire Hathaway portfolio company, Lubrizol Specialty Products, Inc., will form Lubrizol Oilfield Solutions, a new business segment for the company. Lubrizol Oilfield Solutions joins the company’s other business segments, Lubrizol Additives and Lubrizol Advanced Materials. Within this new segment, Engineered Chemistry and Integrity Industries will operate substantially as they do now.
Former Skyline RV facility to reopen under new owner (Riverside CA Press Enterprise)
When Skyline Corp. rolled the last RV off the assembly line in the Great Recession and shut down in April 2012, it was a stunning blow to the San Jacinto Valley economy. [...] Forest River Inc., a Berkshire Hathaway company, bought the Hemet plant in December from KPL to open its 67th assembly plant in the nation. [...] Miller did say Forest River would spend more than $1 million to retrofit two buildings on the 18-acre site for the assembly work for Salem, Wildwood and Evo travel trailers, and the Stealth, Shockwave and Sand Storm toy-haulers. [...] Forest River intends to keep the Rialto factory open, Miller said. “When all is said and done, we expect to employ 500-plus people.” “It’s a heartwarming story, one you don’t hear much in the corporate world,” said John Jansons, Hemet’s director of community investment.
The Big Business That Soared at Berkshire Hathaway Inc. (Fool)
Through the first nine months of 2014 the premiums written -- essentially, revenue -- at GEICO have grown by 10%, rising from $13.7 billion last year to $15.2 billion this year. As shown below, this trend is nothing new, as the 2014 levels now stand 45% above the 2010 levels [...] Yet it isn't just the revenue which is rising, but also the income, as GEICO's underwriting gain -- the difference between its premiums earned minus the losses related to insurance payouts and underwriting expenses -- has grown from $610 million through the first nine months of 2011 to $1 billion so far in 2014. In short, GEICO isn't just growing its top line; it is also becoming more and more profitable as well.
More pilots, attendants to be hired by NetJets (Columbus Dispatch)
An improved economy has led to an increase in business and private-aviation flights. As a result, Columbus-based NetJets plans to hire 187 pilots and as many as 50 flight attendants to meet this growing demand. “Due to the strength of our business, . . . we were able to not only recall pilots who were furloughed in 2009 because of the economic downturn, but grow our business to the point where we can open the door for new team members as well,” NetJets Chief Operating Officer Bill Noe said in a statement. NetJets doesn’t disclose revenue, but officials said the number of hours its planes were in the air rose 7 percent in 2014 after a 6 percent jump in 2013. [...] NetJets and its pilots union have been in talks for a new labor agreement since May 2013, and “ there’s nothing new to report,” Herbert said. The parties are operating under the terms of the expired contract.
Buffett’s Commercial Insurer to Offer Pollution Coverage (Bloomberg)
Berkshire Hathaway Inc., the firm controlled by billionaire Warren Buffett, is pushing to sell more insurance to energy and construction companies by offering as much as $25 million in new pollution coverage. The protection is an add-on to traditional general liability coverage, according to a statement today from Berkshire Hathaway Specialty Insurance, the parent company’s Boston-based commercial unit. [...] Berkshire is already among the largest reinsurers of asbestos and environmental policies. It has struck deals with carriers including AIG, CNA Financial Corp. and Liberty Mutual Holding Co. to backstop policies.
Berkshire Hathaway Specialty Insurance Commences Operations in Hong Kong (Business Wire)
Berkshire Hathaway Specialty Insurance (BHSI) today announced that it has received an insurance license to carry on all classes of General Business in and from Hong Kong and filled several key positions in its newly established Hong Kong office. [...] Last month BHSI announced that it had received its license in Singapore.
The 3 Things Warren Buffett Requested From His "All-Stars" (Fool)
In December, Buffett issued his latest biennial memo to Berkshire operating company managers (whom he refers to as his "All-Stars"). The Berkshire chairman and CEO requested three things from this select group of businesspeople. [...] Protect Berkshire's reputation [...] Report bad news -- and bad apples -- quickly [...] Succession: Identify the next "All-Star" roster
Warren Watch: Buffett taps ‘Breaking Bad’ (Omaha World-Herald)
It took a while to make it to YouTube, but actress Anna Gunn’s description of meeting Warren Buffett and the Rolling Stones’ Keith Richards at a party may still be worth retelling. “I got a tap on the shoulder and turned around and there was Warren Buffett,” the "Breaking Bad" star told Jimmy Kimmel on his ABC talk show. Buffett, a fan of the TV series, praised her acting and the show. She was at a loss for words, but not Kimmel, who said, "See, now that’s the moment where you say, ‘That’s very nice, can I have $20 million?' "
