Berkshire Hathaway Ecosystem Omaha, NE 68131 Phone: +1 (402) 346-1400 Outside Relationships Berkshire Hathaway Inc
Total Page:16
File Type:pdf, Size:1020Kb
Berkshire Hathaway Inc. 3555 Farnam Street Berkshire Hathaway Ecosystem Omaha, NE 68131 Phone: +1 (402) 346-1400 www.berkshirehathaway.com Outside Relationships Berkshire Hathaway Inc. (Delaware Corporation) Outside Relationships Regulators Capital Suppliers Customers Securities Customers Suppliers Capital Regulators Debt Structure Background Regulation and Equity Structure NYSE Listing Rules Debt ($103.4B @ 12/31/19) Securities Equity Regulators 2020-2045 4.0% Other Significant Berkshire Hathaway Berkshire Hathaway is a holdings company with nearly 60 2020-2047 3.2% U.S. Dollar Subsidiary Borrowings ($5.3B) Shareholders US Securities (BH) Inc. ($19.9B) subsidiaries that it wholly owns. Its subsidiaries operate in various Equity Capital denominated Notes ($8.3B) and BH Energy Company countries across the world, including key services such as Class A Common Stock The Vanguard Exchange 2020-2035 1.1% Euro 2023-2049 0.5% Japanese Yen ($42.6B) insurance, railroad transportation, energy and utilities, (702K Shares Outstanding) Group Commission Public denominated Notes ($7.6B) denominated Notes ($3.9B) 2020-2064 4.5% manufacturing, clothing, and financial. (1 vote per share) Bond Financing Stock Repurchase Program (9.94%) Debtholders 2020-2049 4.6% Senior Subsidiary and Other Debt The management is conducted in a decentralized manner to allow (Repurchase anytime unless Berkshire The New Unsecured Debt ($8.6B) ($30.8B) greater control within each subsidiary, with Berkshire Hathaway BH Finance Corporation Hathaway cash and U.S. Treasury Bills Blackrock York Stock Inc. serving to provide oversight. Fund Exchange ($17.7B) 2039-2059 2.5% Great holdings are less than $20B) Burlington Northern Santa Fe and Its Subsidiaries Berkshire Hathaway also has a large investments arm worth Class B Common Stock Advisors 2020-2049 4.1% U.S. Dollar Britain Pound denominated ($23.2B) approximately $200B. Lastly, they own several other brands (1.38B Shares Outstanding) (5.78%%) denominated Notes ($8.7B) Notes ($2.3B) 2020-2097 4.6% Senior Unsecured Debentures including over 80 auto dealerships, and the second-largest real (1/10000th of a vote per share) ($23.2B) estate broker in the U.S. (HomeServices of America). SSgA Funds Management (5.50%) Professional Acquisition Strategy / Communications Human Resources Immigration Equity Incentive Plan Services Governance Management Team Bill & Melinda Business Development Press Releases Benefit/Pension/401(k) Subsidiary Oversight Labor Negotiations Gates Firms Board of Directors CEO/Chairman - Warren Buffett Corporate Matters Plans Foundation Deloitte & Warren Buffett Susan Decker (A) (G) David Gottesman (G) M&A; Divestitures Internal Communications Finance and Accounting Legal Trust (3.23%) Touche Vice Chairman – Charles Munger Portfolio Diversification Compensation Gregory Abel Howard Buffett Charles Munger Event Planning Budget Support Tax Foreign and Domestic IP Management LLP Strategy Vice Chairman of Non-Insurance Investor & Media Regulatory Oversight Geode (Auditors) Stephen Burke Kenneth Chenault Thomas Murphy (A) Sales and Marketing Internal Audit Risk Management Subsidiary Management Capital Professional Operations – Gregory Abel Annual Plan Relations Transactions Munger Services Charlotte Guyman (A) Walter Scott (G) Meryl Witmer (A) (G) Management Subsidiary Corporate Subsidiary Sales Accounting FP&A Litigation Management Tolles & Vice Chairman of Insurance Investments Contract Management (1.99%) Ronald Olson Ajit Jain Oversight Channel Oversight Olson Operations – Ajit Jain Investment Strategy Cash Management Insurance Corporate Governance Securities Compliance (Law) Audit Committee (A); Governance Committee (Governance, Post-Acquisition Subsidiary Marketing SVP/CFO – Marc Hamburg Secretarial Matters Employment Law Compensation and Nominating) (G) Restructuring Portfolio Oversight Oversight Financial Reporting Treasury Key Company Data Subjects of US Revenue by Segment and Foreign Business Operations Regulation Total: $254.6B Regulation Data Privacy Insurance and Reinsurance Railroad Business Utilities and Energy Businesses Manufacturing Service and Retailing Insurance Premiums: $61.1B Antitrust Insurance Underwriting Operations Burlington Northern Santa Fe, LLC Berkshire Hathaway Energy (23,000 Employees) Industrial Products (83,000 Employees) Retail Businesses (29,000 Employees) Sales and Service: $135B (50,000 Employees) (40,750 Employees) Domestic Energy and Utility Subsidiaries Industrial Products and Services Leasing: $5.9B Regions (U.S.) Other Retailing GEICO Precision Castparts Marmon Holdings, Inc. PacifiCorp (Northwest NV Energy Inc. Ben Bridge Jeweler The Pampered Chef GEICO Auto Insurance (Private Passenger Vehicle Insurance) Pacific Northwest (Industrial Products, Railroad, Utilities and Energy: $43.5B Electricity Wholesaler) (Electricity and Natural Gas Corp. (Complex Metal (Retail Jewelry Chain) Ltd. (Kitchenware Product Manufacturing, and Midwest Wholesaler) (Primarily in Components) Seller) Services) Interest and Dividend: $9.2B Berkshire Hathaway Primary Group MidAmerican Energy Nevada, U.S.) Helzberg Diamonds Port Cities IMC International MedPro Group BH Homestate National Indemnity Company (Midwest (Jewelry Retail Chain) Oriental Trading Share Information (Healthcare Liability Metalworking Companies (Workers Company (Commercial Western Electricity and Natural Gas Company (Multichannel Insurance) Companies (Metal Cutting Lubrizol Corporation Borsheims Fine Jewelry Compensation / Vehicle and Liability Distributor) Party Supplies Retailer) NYSE Symbol: BRK.A NYSE Symbol: BRK.B Commercial Auto and Insurance) Southwestern Tools Manufacturer) (Chemical Company) (Omaha, NE Jewelry) BH Specialty Property Insurance) Share Price: $231,236 Share Price: $187.54 Insurance BH GUARD Southeastern International Energy and Utility Subsidiaries See’s Candies Louis – Motorcycle & (7/14/2020) (7/14/2020) United States Insurance Other Industrial Products (Confectionery Product Leisure (European MLMIC Insurance Liability Insurance Northern Power Grid Northern Power Grid Dividend: None Companies Scott Fetzer Companies LiquidPower Specialty Chain) Motorcycle Retailer) Limited (Electricity PLC (Electricity Distribution Earnings Per Share Earnings Per Share Company (Medical Group (Business / Professional (Industrial Retail and Services Distribution Network) Network) (Primarily in Products Inc. (Drag Professional Insurance) (Specialty Insurance) Insurance) Maintenance) (EPS): $13,218 (EPS): $1.12 Product Transport (Primarily in Northwest Yorkshire, England) Reduction Application Home Furnishings Retailing Great Britain) Technology) Resources Select Subsidiaries Berkshire Hathaway Reinsurance Group Revenues ($23.5B) RC Willey Home Nebraska Furniture AltaLink L.P. (Transmission-only Electricity) CTB International Inc. Union Tank Car National Indemnity Company General Re Furnishings (West Coast Mart (Midwest U.S. Retail 391,500 Employees Total: 63 Consumer Products (Global Agricultural Company (Railcar U.S. Retail Furniture) Furniture) (Reinsurance Underwriting) (Reinsurance Underwriting) (HQ: <30 Employees) GEICO (35%) Natural Gas Pipeline Subsidiaries Systems) Manufacturing) HomeServices of Northern Natural Gas Kern River Gas Jordan’s Furniture Insurance: 25 Countries BoatU.S. Other Industrial Products Star Furniture (Texas, America Company (Largest Natural Transmission Company (Northeast U.S. Retail Manufacturing: 64 (Boating Insurance) (27%) Building Products (57,500 Employees) U.S. Retail Furniture) Furniture) Burlington Northern BH Direct Insurance Company (THREE) Gas Pipeline in U.S.) (Natural Gas Pipeline) Countries Santa Fe Gateway (Small Business Insurance) Agricultural Products (Primarily Southwest U.S.) Clayton Homes (Off-site Johns Manville Central States Indemnity Company (Property, (21%) /Site-built Housing) (Insulation Manufacturer) Service: 35 Countries Shaw Industries Underwriters Agency Dominion Energy Carolina Gas Automotive Retailing (Professional Wholesale Casualty, and Health Insurance) Helzberg Diamonds Coal (17%) Transmission (Natural Transmission Shaw Industries (Carpet MiTeK Inc. (Construction BH Automotive (Automotive Retailing: 6 Countries Insurance Sales and biBERK Business Insurance Gas Pipeline) (Primarily Mid- (Natural Gas Pipeline) Manufacturing) Products and Services) Retailer and Financing) International Dairy Underwriting) (Small Business Insurance) Energy: 3 Countries Atlantic and Northeast U.S.) (South Carolina) Queen Benjamin Moore & Co. Acme Brick Company (Natural Gas Questar Gas Pipeline (Paint Manufacturer/Retailer) (Building Product BH Energy Entities Pipeline) (Rocky Mountain U.S. Region) MEC: Natural Gas, Coal, Apple (AAPL) ($76.2B) (38.2%) Store Capital Manufacturer) Service Businesses (52,000 Employees) Investments Wind, Hydroelectric, (STOR) ($372M) (0.1%) PacifiCorp: Natural Gas, Bank of America [Company, Ticker, Value of BH Holdings, % of BH Portfolio] Other Other Services Coal, Wind, Nuclear (BAC) ($21.7B) (10.8%) Verisign Liberty Global RH (RH) ($268M) (0.1%) BHE Renewables (Invested in Wind, Solar, Geothermal, Consumer Products (55,000 Employees) Hydroelectric, Coca-Cola (VRSN) ($2.8B) (1.4%) (LBTYA, LBTYK) ($586M) (0.3%) International Dairy CORT Business Services BHE Renewables: Suncor Energy and Hydro Sources of Energy) Geothermal Natural Gas, Wind, Solar, (KO) ($18.4B) (9.2%) Goldman Sachs Group M&T Bank (SU) ($256M) (0.1%) Apparel Queen Inc. (Fast-Food (Rental Furniture Services) Hydroelectric, American Express (GS) ($2.3B) (1.1%) (MTB) ($560M)