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Old 28th Dec 2008, 04:54
  #9 (permalink)  
yacan
 
Join Date: Nov 2006
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Lets get the facts right:

Berkshire Hathaway’s Net Assets are 87 Billion (67 Billion in 2006).
The derivates contract would costs them 35.5 Billion in 2019 if the four stock indexes fall to zero, which is very unlikely
“Buyers of the derivatives could be entitled to billions of dollars from Berkshire if the four stock indexes, including the S&P 500, drop below agreed-upon levels on dates beginning in 2019. The indexes would all have to fall to zero for Berkshire to be liable for the entire $35.5 billion that’s at risk.
Buffett sold the derivative contracts to undisclosed buyers for $4.85 billion through Sept. 30”

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