| |
| |
 |
| |
|
| |
|
| |
|
WASHINGTON : US billionaire investor Warren Buffett saw his holding firm Berkshire Hathaway post its worst year in more than four decades in 2008, the company said Saturday.
Amid the global economic downturn, the insurance, retail and manufacturing behemoth saw it stock value plunge 9.6 percent, an annual report said.
Annual net income fell to 4.99 billion in 2008 versus 13.21 billion the previous year.
All told the company shed 11.5 billion dollars of its net worth in 2008 Buffett told investors in a letter.
With large investments in the stock market, Berkshire Hathaway share holders have been hit by exposure to tumbling indices in the wake of the real estate and credit crises.
Describing market conditions at the end of the year Buffett said "investors of all stripes were bloodied and confused, much as if they were small birds that had strayed into a badminton game."
It is the worst performance of the group since it was founded in 1965.
Buffett admitted a major purchase of ConocoPhillips stock was "terrible timing... (it) cost Berkshire several billion dollars."
Buffett warned investors of more turmoil ahead as municipal authorities run in to difficulty.
"One likely consequence is an onslaught of inflation. Moreover, major industries have become dependent on Federal assistance, and they will be followed by cities and states bearing mind-boggling requests.
"The economy will be in shambles throughout 2009 -- and, for that matter, probably well beyond," he added.
Berkshire Hathaway Inc. includes insurance subsidiaries GEICO Auto Insurance and Berkshire Hathaway Life Insurance Company of Nebraska.
- AFP /ls
|
