Don't make this same simple mistake.

If you're a fan of the Dow Theory, which states moves in the Dow Jones Transporation Average confirm similar trade in the Industrials, you'll want to take note of the fact that the iShares Dow Jones T

As the old saying goes, “You’re either a contrarian, or a victim.” It just so happens that one of the savviest contrarians I know is my colleague, Louis Basenese. And nobody takes that to heart more than Lou does. I’ve scratched my head in bewilderment on many occasions after reading one of Lou’s bold ...

Warren Buffett, the CEO and Chairman of Berkshire Hathaway (BRK-A)/(BRK-B), announced on Thursday to borrow $8 billion of loan for the acquisition of Burlington Northern Santa Fe Corporation (BNI). Berkshire Hathaway, which already owns a 22% stake in Burlington Northern, announced earlier this month it would acquire the rest for a ...

Warren Buffett, the CEO and Chairman of Berkshire Hathaway (BRKA)/(BRKB), announced on Thursday to borrow $8 billion of loan for the acquisition of Burlington Northern Santa Fe Corporation (BNI). Berkshire Hathaway, which already owns a 22% stake in Burlington Northern, announced earlier this month it would acquire the rest for a total value of $34 [...]

(BRKA) Berkshire Hathaway Borrows for Burlington Northern Santa Fe Acquisition

by David Fessler, Energy & Infrastructure Expert Friday, November 20, 2009: Issue #1142 As the old saying goes, “You’re either a contrarian, or a victim.” It just so happens that one of the savviest contrarians I know is my colleague, Louis Basenese. And nobody takes that to heart more than Lou does. I’ve scratched my [...]

(IYT) The Transportation Sector: Here Are Three Investments in a Sector That’s Ready to Soar

Warren Buffett, the CEO and Chairman of Berkshire Hathaway (BRK.A)/(BRK.B), announced on Thursday to borrow $8 billion of loan for the acquisition of Burlington Northern Santa Fe Corporation (BNI). Berkshire Hathaway, which already owns a 22% stake in Burlington Northern, announced earlier this month it would acquire the rest for a total value of $34 billion. Buffet agreed to pay $100 a share in cash and stock to buy the rest of the company.[More...]

Despite the fact that FedEx shares have more than doubled since their March lows, its future growth potential is enormous.

Warren Buffett, the CEO and Chairman of Berkshire Hathaway (BRK.A)/(BRK.B), announced on Thursday to borrow $8 billion of loan for the acquisition of Burlington Northern Santa Fe Corporation (BNI). Berkshire Hathaway, which already owns a 22% stake in Burlington Northern, announced earlier this month it would acquire the rest for a total value of $34 billion. Buffet agreed to pay $100 a share in cash and stock to buy the rest of the company.

The $8 billion loan that will be provided by JPMorgan Chase (JPM) and Wells Fargo (WFC) is intended to be paid back in three years’ time.

For Berkshire, the acquisition of Burlington Northern, or BNSF, the second largest railroad, will be its biggest to date. With it, Berkshire is adding a railroad transportation business with its already diverse range of businesses including retail, manufacturing and insurance, as well as several regional electric and gas utilities.

The acquisition is expected to close in early 2010 and is subject to Burlington Northern’s shareholder approval. Post acquisition, Burlington Northern will operate from its headquarters as a wholly owned subsidiary of Berkshire Hathaway.

Based in Fort Worth, Texas, Burlington Northern operates one of the largest railroad networks in North America through its subsidiary, with 33,500 route miles covering 28 U.S. states and two Canadian provinces. This network covers two-thirds of the western United States, stretching from major Pacific Northwest and Southern California. The company employs more than 40,000 people.
Read the full analyst report on "BNI"
Read the full analyst report on "BRK.A"
Read the full analyst report on "BRK.B"
Read the full analyst report on "JPM"
Read the full analyst report on "WFC"
Zacks Investment Research

As the old saying goes, “You’re either a contrarian, or a victim.” It just so happens that one of the savviest contrarians I know is my colleague, Louis Basenese. And nobody takes that to heart more than Lou does. I’ve scratched my head in bewilderment on many occasions after reading one of Lou’s bold predictions – only to see his intuition prove uncanny time after time.[More...]

CAPS members who score 100 points in 100 days have become solid investors.

NOTE TO EDITORS: The Following Is an Investment Opinion Being Issued by Benchmark Journal.

Buffett biographer Alice Schroeder analyzes the Oracle's biggest deal ever.

Having gone “all in” on a U.S. economic recovery with his $44 billion acquisition of Burlington Northern Santa Fe Corp. (NYSE: BNI), Warren Buffett showed a less aggressive stance in Berkshire Hathaway Inc.’s (NYSE: BRK.A, BRK.B) Nov. 16 filing with the Securities and Exchange Commission (SEC).[More...]

By Jason Simpkins Managing Editor Money Morning Having gone “all in” on a U.S. economic recovery with his $44 billion acquisition of Burlington Northern Santa Fe Corp. (NYSE: BNI), Warren Buffett showed a less aggressive stance in Berkshire Hathaway Inc.’s (NYSE: BRK.A, BRK.B) Nov. 16 filing with the Securities and Exchange Commission (SEC). Buffett trimmed Berkshire’s holdings [...]

Editor's Note: Welcome to Love It or Hate It a regular dual-column feature that will capture the love-hate relationship America has with some of its biggest most controversial companies. For past columns click here. For the opposing view on Exxon see Exxon: Slick Slimy and Dangerous.Aside from the captain who was below deck when the Exxon Valdez struck Bligh Reef in Alaska’s Prince William Sound in 1989 ExxonMobil (XOM) is a smart well-run company that has rewarded investors with steady returns. What’s not to love?ExxonMobil earns its money by turning gloppy stinky crude oil into the fuel needed to ...

Tracking Buffett's latest moves.