what a real investor.... 2008/9/24 Irwan Ariston Napitupulu <[EMAIL PROTECTED]>
> Warren Buffett memang benar2 hebat, masuk saat lagi berdarah2 dan harga > lagi > terdiskon habis2an :) > > jabat erat, > Irwan Ariston Napitupulu > > ------------------------------------ > http://biz.yahoo.com/ap/080923/goldman_sachs_berkshire.html > AP > Berkshire buying $5 billion stake in Goldman Sachs > Tuesday September 23, 7:40 pm ET > By Anna Jo Bratton, Associated Press Writer > > Buffett's Berkshire buying at least $5 billion stake in Goldman Sachs > OMAHA, Neb. (AP) -- Warren Buffett's Berkshire Hathaway Inc. is > investing at least $5 billion in Goldman Sachs, a huge vote of > confidence for one of the survivors of the credit crisis that felled > two of its investment banking peers. > > In addition to buying $5 billion in preferred stock, Berkshire also > got warrants to buy another $5 billion in Goldman's common stock. > Goldman also said late Tuesday it would raise another $2.5 billion in > its own public stock offering. > > The news sent shares of Goldman Sachs and stock index futures soaring > in electronic trading, after the Dow Jones Industrial Average posted a > triple-digit decline for the second day in a row. > > It also could lead to new probing questions from lawmakers for > Treasury Secretary Hank Paulson, a former co-CEO of Goldman Sachs. He > and Federal Reserve Chairman Ben Bernanke told Congress hours earlier > that quick action on a $700 billion bailout measure for financial > services firms was needed to prevent economic havoc. > > Goldman Sachs' shares had been tumbling ahead of the announcement of > the government rescue plan last Friday as investors feared it could > face the same kinds of funding squeezes as Bear Stearns and Lehman. > Now members of Congress have to deal what may look to many taxpayers > like Wall Street is already cashing in. > > Buffett, one of the most successful investors in history, made no > mention of what is happening in Washington, but he did heap praise on > the New York-based company. > > "Goldman Sachs is an exceptional institution," the chairman and CEO of > Berkshire Hathaway said in a news release. "It has an unrivaled global > franchise, a proven and deep management team and the intellectual and > financial capital to continue its track record of outperformance." > > Buffett's investment comes two days after Goldman Sachs Group Inc. and > Morgan Stanley, the last two independent investment banks on Wall > Street, won approval from the Federal Reserve to change their status > to bank holding companies. > > By becoming commercial banks, the two companies avoided the fate of > Bear Stearns and Lehman Brothers -- the first taken over in a fire > sale and the second now bankrupt -- by giving them broader access to > borrow federal money and the ability to build a stable base of > deposits. > > But it also comes with closer regulatory oversight that likely limit > its ability to generate the kinds of sky high profits that were topped > by few others companies. > > The strict rules set by the Federal Reserve will limit opportunities > for big payoffs from what is known as proprietary trading, using > borrowed funds to place high-octane bets on everything from the price > of oil to currencies and other commodities. > > Berkshire's preferred stock in Goldman will pay 10 percent and can be > bought back any time at 10 percent premium. The warrants allow > Berkshire to buy $5 billion in common stock at $115 per share any time > over the next five years. > > Goldman's shares rose $4.27, or 3.5 percent, to close at $125.05 > Tuesday in the regular trading session, and jumped another $8.46, or > 6.8 percent, to $133.20 in after-hours trading following the > announcement of Buffett's investment. > > Morgan Stanley's shares rose 91 cents, or 3.4 percent, to $28 in the > regular session, then soared $3, or 10.7 percent, to $31 in > after-hours trading. > > Morgan Stanley got its own cash infusion on Monday, agreeing to sell a > 20 percent stake for more than $8 billion to Mitsubishi UFJ Financial > Group Inc., Japan's largest bank. > > Mark Lane, an analyst who follows Goldman for William Blair & Co. in > Chicago, said he had expected Goldman and Morgan Stanley to raise > capital after getting the Fed's approval to become bank holding > companies. > > Buffett's investment "sends a pretty strong message of support for the > independent-bank business model," Lane said. "It sends a stabilizing > signal to the market." > > On Sept. 14, the No. 4 investment bank, Lehman Brothers, filed for the > largest bankruptcy in U.S. history, weighed down by fouled commercial > real estate holdings and a loss of faith from investors, and on the > same day ailing Merrill Lynch & Co. arranged a hasty deal to be bought > by Bank of America Corp. > > Wall Street's troubles came as a freeze-up in credit markets > threatened to clog the global financial system. The U.S. government > arranged an $85 billion loan last week to rescue the huge insurer > American International Group Inc. and is seeking approval from > Congress to buy back some $700 billion in bad mortgages and other > toxic debts from financial institutions. > > A message left for a Berkshire spokeswoman seeking further comment on > the transaction wasn't immediately returned Tuesday. Berkshire > officials do not typically comment on its stock investments beyond > what they are legally required to disclose. > > A spokeswoman at Goldman Sachs said no one was immediately available > to talk about the deal. > > At last report, Berkshire had total assets of nearly $278 billion, > including significant stakes in companies such as Wells Fargo & Co., > American Express and the Washington Post Co. > > AP Business Writer Marcy Gordon in Washington contributed to this report. > >
