BERKSHIRE HATHAWAY INC.
NEWS RELEASE
| FOR IMMEDIATE RELEASE | August 9, 2002 |
Earnings of Berkshire Hathaway Inc. and its consolidated subsidiaries for the second quarter and six months ended June 30, 2002 and 2001 are summarized below. Amounts are stated on an after-tax basis (dollar amounts are in millions, except per share amounts).
|
Second Quarter |
First Half |
|||
|
2002 |
2001 |
2002 |
2001 |
|
|
Earnings from operations before purchase-accounting- |
$1,029 |
$510 |
$1,866 |
$1,122 |
|
Purchase-accounting adjustments |
3 |
(157 ) |
(16 ) |
(307 ) |
|
Earnings from operations |
1,032 |
353 |
1,850 |
815 |
|
Realized investment gain |
13 |
420 |
111 |
564 |
|
Net earnings |
$1,045 |
$773 |
$1,961 |
$1,379 |
| ==== | ==== | ==== | ==== | |
|
Average Class A equivalent shares outstanding |
1,533,728 |
1,527,028 |
1,532,352 |
1,526,785 |
|
Earnings per share: |
||||
|
Earnings from operations |
$ 673 |
$231 |
$1,207 |
$ 534 |
|
Net earnings |
$ 681 |
$506 |
$1,280 |
$ 903 |
| ==== | ==== | ===== | ==== | |
Selected highlights regarding results for the quarter ended June 30, 2002 follow.
Underwriting results improved at each of Berkshire’s significant insurance businesses in both the second quarter and first half of 2002. Berkshire’s consolidated "float" totaled approximately $38.5 billion at June 30, 2002, up approximately $3.0 billion from year-end 2001 and $1.2 billion from March 31, 2002.
Realized investment gain has been a recurring element in Berkshire’s net earnings for many years. The amount may fluctuate significantly from period to period, with a meaningful effect upon Berkshire’s consolidated net earnings. However, the amount of realized investment gain or loss for any given period has no predictive value, and variations in amount from period to period have no practical analytical value, particularly in view of the net unrealized price appreciation now existing in Berkshire’s consolidated investment portfolio.
Berkshire’s second quarter interim report to shareholders will be posted on the Internet later today at approximately 6:00 p.m. Central time where it can be accessed via www.berkshirehathaway.com. It will contain much additional information about Berkshire’s results of operations and financial position.
Berkshire Hathaway and its subsidiaries engage in a number of diverse business activities among which the most important is the property and casualty insurance business conducted on both a direct and reinsurance basis. Common stock of the Company is listed on the New York Stock Exchange, trading symbols BRK.A and BRK.B.
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