Berkshire Hathaway Warren Buffett praises Charlie Munger

Berkshire Hathaway CEO Warren Buffett remembered Charlie Munger, the group's former vice chairman, as the company's “architect” and a formidable partner in his first annual letter to shareholders since Munger's death.

“Charlie was the 'architect' of today's Berkshire, and I acted as 'general contractor' to implement his day-to-day vision,” Buffett wrote in the letter to shareholders.

Buffett said his relationship with his longtime business partner was “part big brother and part loving father.”

“Charlie never sought credit for his role as creator, but instead allowed me to bow down and take accolades. In a way, his relationship with me was part big brother, part loving father,” Buffett wrote. “Even when he knew he was right, he gave me control, and when I made a mistake, he never reminded me of my mistake.”

Charlie Munger, a friend and business partner of Warren Buffett, has died at the age of 99

Berkshire Hathaway CEO Warren Buffett, left, remembers Charlie Munger as the “architect” of the multibillion-dollar company. (Johannes Eisele/AFP via Getty Images/Getty Images)

“In the physical world, great buildings are associated with their architect, while those who poured the concrete or installed the windows are soon forgotten. Berkshire has become a great company. Although I have long been in charge of the construction crew, Charlie must He goes on forever and added credit for being the architect.

In the letter to shareholders, Buffett urged investors to largely ignore the final numbers and focus instead on Berkshire's operating earnings that exclude investments.

See also  'Shops are gone': How Reliance stunned Amazon in India's future retail battle

First Paramount, now Apple. Warren Buffett's Berkshire sells shares of TECH GIANT

“The primary difference between the reported numbers and those preferred by Berkshire is that we exclude unrealized capital gains or losses that can sometimes exceed $5 billion per day,” Buffett wrote. “Ironically, our preference was largely the norm until 2018, when ‘optimization’ was imposed. Galileo’s experiment, centuries ago, was supposed to teach us not to mess with mandates from above. But, in the Berkshires, we can be stubborn.” “.

Berkshire Hathaway shareholders

FILE PHOTO: Berkshire Hathaway shareholders walk across a video screen at the company's annual meeting in Omaha on May 4, 2013. (Reuters/Rick Wilking/Archive Photo/Reuters Photos)

Buffett also tempered expectations for Berkshire's stock price, saying the company's huge size “leaves no potential for eye-catching performance.”

“There are only a few companies in this country capable of making a real difference at Berkshire, and they have been chosen by us and endlessly by others,” Buffett wrote. “Some we can appreciate, some we cannot.”

The 93-year-old billionaire also assured investors that Vice Chairman Greg Appel, his successor, is “prepared in every way to be Berkshire CEO tomorrow.”

Charlie Munger, head and shoulders shot

Charlie Munger, vice chairman of Berkshire Hathaway, speaks during a Daily Journal Corp. shareholder meeting in Los Angeles. (Patrick T. Fallon/Bloomberg via Getty Images/Getty Images)

Buffett's heartfelt tribute to Munger came after his business partner and friend died in November at the age of 99.

“Berkshire Hathaway could not have been built to its current position without Charlie's inspiration, wisdom, and involvement,” Buffett said in a statement at the time of his death.

See also  No, you can't buy Berkshire stock at a 99% discount.

Get FOX Business on the go by clicking here

In addition to being vice chairman of Berkshire, Munger was a real estate lawyer, president and publisher of the Daily Journal Corp., a member of the Costco board of directors, a philanthropist and an architect.

Fox News Digital's Stephenie Price contributed to this report.

Leave a Reply

Your email address will not be published. Required fields are marked *