Berkshire Hathaway announced that Warren E. Buffett will convert 8,000 Berkshire Hathaway Class A shares into 12 million Berkshire Hathaway Class B shares in order to donate the Class B shares to four foundations.
The donation includes 9 million Class B shares to the Susan Thompson Buffett Foundation. Buffett will also donate 1 million Class B shares each to the Sherwood Foundation, the Howard G. Buffett Foundation, and the Novo Foundation.
Following the transaction, Buffett’s Berkshire Hathaway ownership will consist of 188,290 Class A shares and 1,162 Class B shares. The announcement continues Buffett’s long-running plan to give away his Berkshire holdings through charitable foundations.
Buffett also reiterated that his goal is to dispose of all of his Berkshire shares within about eight years. He said he hopes his three children will be able to carry out the disposal of his shares by December 31, 2034.
Buffett noted that mortality is unpredictable but said his remaining shares will be donated to the four foundations one way or another by the end of 2034. He also said the goal is for annual grants to grow to each of the three foundations managed by his children, while the annual grant to the Susan Thompson Buffett Foundation is expected to grow at a somewhat greater rate.
Berkshire Hathaway and its subsidiaries operate across several business lines, including insurance and reinsurance, utilities and energy, freight rail transportation, manufacturing, services, and retailing. The company’s common stock is listed on the New York Stock Exchange under the trading symbols BRK.A and BRK.B.
KEY QUOTE:
“My goal is to dispose of all of my Berkshire shares within about eight years. As I explained last year, my children are unfortunately growing older. I have every hope that the three of them are able to carry out the disposal of my shares by December 31, 2034. Of course, mortality is unpredictable, but my remaining shares will be donated to the four foundations one way or the other by December 31, 2034. The goal is to have the grants grow annually to each of the three foundations managed by each of my children and the annual grant to the Susan Thompson Buffett Foundation grow at a somewhat greater rate.”
Warren E. Buffett
