Buffett Didn't Buy Any of Conseco's Junk Bonds, Fortune Says
New York, Feb. 7 (Bloomberg) -- Billionaire investor Warren Buffett didn't buy any junk bonds of Conseco Inc., Fortune magazine reported, contradicting a Wall Street Journal story in December.
Debbie Bosanek, a spokeswoman for Buffett, confirmed the magazine's report that Buffett didn't buy the Conseco debt. The Fortune report reported, as the Journal did, that Buffett bought Finova Group Inc.'s junk bonds.
Conseco shares surged 15 percent to $14.75 after the Journal reported Dec. 29 that Buffett's Berkshire Hathaway Inc. spent several hundred million dollars buying bonds issued by the Carmel, Indiana-based insurer.
A spokesman for Conseco, which had stumbled after its $6.2 billion purchase of Green Tree Financial Corp. in 1998 left it with too much debt, couldn't be reached for comment.
Conseco shares fell 54 cents to $15.15 in midday trading. The stock, which hit a 52-week high of $18.80 Jan. 29, has gained nearly 17 percent this year.
Feb/07/2001 12:28 ET |
