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Strategies & Market Trends : Electronic Contract Manufacture (ECM) Sector -- Ignore unavailable to you. Want to Upgrade?

To: Rosemary who wrote (1332)	3/15/1998 2:02:00 PM
From: Jeff Haas	Read Replies (1) \| Respond to of 2542

Rosemary, pretty interesting article about the way Warren Buffett thinks. Do we know if DIIG has repurchased their 1 million shares yet? Is there anyway to know other than DIIG saying they did?

To: Rosemary who wrote (1332)	3/15/1998 3:30:00 PM
From: jeffbas	Respond to of 2542

And see the following which covers his view on paying a material premium for CCIR, which HDCO just did, and possibly explains the stock's weakness. Buffett might say that HDCO is now less valuable. (He expounds on this theory as it applies to B-H in considerable, interesting, additional detail.) "Merging with public companies presents a special problem for us. If we are to offer any premium to the acquiree, one of two conditions must be present: Either our own stock must be overvalued relative to the acquiree's, or the two companies together must be expected to earn more than they would if operated separately. Historically, Berkshire has seldom been overvalued. In this market, moreover, undervalued acquirees are almost impossible to find. That other possibility -- synergy gains -- is usually unrealistic, since we expect acquirees to operate after we've bought them just as they did before. Joining with Berkshire does not normally raise their revenues nor cut their costs."