Berkshire Hathaway prepares for life after Warren Buffett

It's always good to be Warren Buffett. But now is an especially rosy time to be the Oracle of Omaha.His Berksh...

Posted: Jan 10, 2018 4:33 PM
Updated: Jan 10, 2018 4:33 PM

It's always good to be Warren Buffett. But now is an especially rosy time to be the Oracle of Omaha.

His Berkshire Hathaway conglomerate is trading near a record high and is worth about a half a trillion dollars.

Analysts at Barclays Capital said in a report earlier this week that Berkshire Hathaway's book value could grow by nearly $40 billion thanks to lower corporate taxes.

And Buffett himself is now worth more than $87 billion, according to estimates by Forbes and Bloomberg.

But Buffett is 87-years old. He won't be CEO of Berkshire Hathaway forever. That may be the reason why the company decided to name two top Berkshire Hathaway lieutenants to the company's board Wednesday: Greg Abel, CEO of Berkshire Hathaway Energy Company, and Ajit Jain, executive vice president of Berkshire Hathaway's National Indemnity Company insurance subsidiary.

But Berkshire Hathaway didn't really clear up questions about succession plans that much.

Related: Warren Buffett gets into the truck stop business

Jain and Abel have been considered frontrunners since David Sokol, the head of Berkshire Hathaway-owned NetJets, left in 2011. Sokol exited after disclosing that he bought shares of lubricant maker Lubrizol just before Berkshire Hathaway acquired the company.

And Buffett has been somewhat coy about who his replacement will be.

He wrote in Berkshire Hatahway's 2015 annual shareholder letter that "we now have the right person to succeed me as CEO -- a successor ready to assume the job the day after I die or step down."

He added that the person was relatively young but didn't elaborate further though. Abel is 55 and Jain is 66.

But Berkshire's other vice chairman and long-time Buffett friend Charlie Munger was more forthcoming. Munger said in his own remarks in the 2015 letter that Jain and Abel are "proven performers who would probably be under-described as 'world-class."

Buffett didn't provide any more hints about the succession plan in an interview with CNBC on Wednesday either. He continued to stress that he's in good health despite his love of Cherry Coke and junk food like Dairy Queen -- which Berkshire owns outright.

Related: Apple is now one of Warren Buffett's top stocks

In fact, Buffett didn't really make any significant news.

He reiterated that he still loves the market and said tax reform will help boost earnings. Berkshire Hathaway is a big investor in many U.S, blue chip stocks -- its top five holdings are Wells Fargo, Kraft Heinz, Apple, Coca-Cola and Bank of America.

Buffett also said he's not betting on cryptocurrencies because he fears they'll have a bad ending. But he's been bearish on bitcoin since 2014 even as the price has surged to even more stratospheric heights.

West Lafayette
Broken Clouds
63° wxIcon
Hi: 64° Lo: 50°
Feels Like: 63°
Kokomo
Overcast
61° wxIcon
Hi: 63° Lo: 47°
Feels Like: 61°
Rensselaer
Scattered Clouds
55° wxIcon
Hi: 63° Lo: 47°
Feels Like: 55°
Fowler
Scattered Clouds
55° wxIcon
Hi: 61° Lo: 47°
Feels Like: 55°
Williamsport
Scattered Clouds
63° wxIcon
Hi: 63° Lo: 48°
Feels Like: 63°
Crawfordsville
Broken Clouds
58° wxIcon
Hi: 64° Lo: 47°
Feels Like: 58°
Frankfort
Overcast
63° wxIcon
Hi: 63° Lo: 46°
Feels Like: 63°
Delphi
Overcast
60° wxIcon
Hi: 64° Lo: 48°
Feels Like: 60°
Monticello
Overcast
60° wxIcon
Hi: 65° Lo: 48°
Feels Like: 60°
Logansport
Overcast
61° wxIcon
Hi: 63° Lo: 46°
Feels Like: 61°
Calm and Cool Day Ahead.
WLFI Radar
WLFI Temps
WLFI Planner

Indiana Coronavirus Cases

Data is updated nightly.

Confirmed Cases: 118322

Reported Deaths: 3591
CountyConfirmedDeaths
Marion21502767
Lake10688323
Elkhart6707111
St. Joseph6619113
Allen6330205
Hamilton4938109
Vanderburgh378131
Hendricks2766124
Monroe265536
Tippecanoe256613
Johnson2352124
Clark225957
Porter219947
Delaware200162
Cass19559
Vigo186827
Madison170375
LaPorte149141
Floyd139664
Warrick138242
Howard132663
Kosciusko125917
Bartholomew118457
Marshall101524
Dubois99919
Boone99146
Grant95134
Hancock94643
Noble93132
Henry81226
Jackson7739
Wayne77014
Morgan73438
Daviess68028
Shelby68029
Dearborn67528
LaGrange64011
Clinton62314
Harrison59224
Putnam58411
Gibson5355
Knox5289
Lawrence51629
Montgomery51121
DeKalb48811
White48714
Decatur45939
Miami4394
Greene42735
Fayette42313
Jasper4012
Scott39011
Steuben3907
Posey3460
Sullivan33812
Jennings31612
Franklin31325
Clay3085
Ripley3078
Orange28824
Whitley2826
Carroll27813
Adams2763
Wabash2728
Starke2717
Washington2701
Wells2674
Spencer2633
Jefferson2503
Huntington2473
Fulton2442
Tipton22822
Randolph2238
Perry22113
Jay1920
Newton17411
Owen1711
Martin1680
Pike1641
Rush1574
Vermillion1310
Fountain1292
Blackford1213
Pulaski1141
Crawford1100
Parke1072
Brown1043
Benton870
Ohio797
Union790
Switzerland690
Warren411
Unassigned0226

COVID-19 Important links and resources

As the spread of COVID-19, or as it's more commonly known as the coronavirus continues, this page will serve as your one-stop for the resources you need to stay informed and to keep you and your family safe. CLICK HERE

Closings related to the prevention of the COVID-19 can be found on our Closings page.

Community Events