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  • Why Buffett bought BNSF

  • Discussion related to BNSF operations. Official site: BNSF.COM
Discussion related to BNSF operations. Official site: BNSF.COM

Moderator: Komachi

 #1011218  by Jeff Smith
 
http://www.flatheadnewsgroup.com/hungry ... 3ce6c.html
Perhaps the most interesting man in America also set me to wondering a couple years back when right out of the blue he bought BNSF Railway for $33 billion. He recently revealed why he was spending billions more upgrading tracks here in Montana and generally modernizing the entire operation.

Many of the answers to mine and others' questions are found in the Jan. 23 issue of Time Magazine. He told Time the BNSF deal was "the most important purchase Berkshire ever made." It was a bet on higher energy prices, which would favor coal-hauling trains over trucks, and on a general pickup in consumer demand. Berkshire Hathaway is Buffett's operational organization which owns or controls 76 widely diverse big businesses.