Thai VI

Important Risks (p.24)

Let me mention just a few examples. To begin with an obvious threat, BNSF, along with other railroads, is
certain to lose significant coal volume over the next decade. At some point in the future – though not, in my view,
for a long time – GEICO’s premium volume may shrink because of driverless cars. This development could hurt our
auto dealerships as well. Circulation of our print newspapers will continue to fall, a certainty we allowed for when
purchasing them. To date, renewables have helped our utility operation but that could change, particularly if storage
capabilities for electricity materially improve. Online retailing threatens the business model of our retailers and
certain of our consumer brands. These potentialities are just a few of the negative possibilities facing us – but even
the most casual follower of business news has long been aware of them

In its electric utility business, our Berkshire Hathaway Energy (“BHE”) operates within a changing
economic model. Historically, the survival of a local electric company did not depend on its efficiency. In
fact, a “sloppy” operation could do just fine financially.
That’s because utilities were usually the sole supplier of a needed product and were allowed to price at a
level that gave them a prescribed return upon the capital they employed. The joke in the industry was that a
utility was the only business that would automatically earn more money by redecorating the boss’s office.
And some CEOs ran things accordingly.
That’s all changing. Today, society has decided that federally-subsidized wind and solar generation is in
our country’s long-term interest. Federal tax credits are used to implement this policy, support that makes
renewables price-competitive in certain geographies.

Buffett: The breakup of American Express's arrangement with Costco was a "big deal,"
but proprietary cards today are strong as ever and growing.

http://www.cnbc.com/2016/02/29/live-blo ... ffett.html

After Saturday's release of Berkshire Hathaway's annual shareholder letter,
Warren Buffett sat down Monday for a three-hour interview on business,
markets and the state of the world. (เหมือนทุกปี)

Live blog recap: Buffett on stocks, economy & more
โดยคุณ
Tom DiChristopher | @tdichristopher
Monday, 29 Feb 2016 | 9:03 AM ET