BERKSHIRE HATHAWAY INC. and Subsidiaries CONSOLIDATED STATEMENTS OF CHANGES IN SHAREHOLDERS' EQUITY (dollars in millions)
	Class A & B Common Stock		Capital in Excess of Par Value		Class A Treasury Stock		Retained Earnings		Accumulated Other Comprehensive Income		Comprehensive Income
Balance December 31, 1996	$     7		$   2,274		$     (31)		$   9,033		$ 12,144
Common stock issued in connection with acquisitions of businesses	---		73		---		---		---
Net earnings	---		---		---		1,901		---		$  1,901
Other comprehensive income items:
Unrealized appreciation of investments	---		---		---		---		10,574		10,574
Reclassification adjustment for appreciation included in net earnings	---		---		---		---		(1,106)		(1,106)
Income taxes and minority interests	---		---		---		---		(3,414)		(3,414)
Other comprehensive income											6054
Total comprehensive income	______		______		______		______		______		$  7,955 ======
Balance December 31, 1997	$            7		$   2,347		$     (31)		$ 10,934		$ 18,198
Common stock issued in connection with acquisitions of businesses	1		22,803		2		---		---
Retirement of treasury stock	---		(29)		29		---		---
Net earnings	---		---		---		2,830		---		$  2,830
Other comprehensive income items:
Unrealized appreciation of investments	---		---		---		---		3,011		3,011
Reclassification adjustment for appreciation included in net earnings	---		---		---		---		(2,415)		(2,415)
Income taxes and minority interests	---		---		---		---		(284)		(284)
Other comprehensive income											312
Total comprehensive income	______		______		______		______		______		$  3,142 =====
Balance December 31, 1998	$           8		$   25,121		$    ---		$   13,764		$  18,510
Net earnings	---		---		---		1,557		---		$ 1,557
Exercise of stock options issued in connection with business acquisitions	---		88		---		---		---
Other comprehensive income items:
Unrealized appreciation of investments	---		---		---		---		(795)		(795)
Reclassification adjustment for appreciation included in net earnings	---		---		---		---		(1,365)		(1,365)
Foreign currency translation losses	---		---		---		---		(16)		(16)
Income taxes and minority interests	---		---		---		---		889		889
Other comprehensive income											(1,287)
Total comprehensive income	______		______		______		______		______		$   270   =======
Balance December 31, 1999	$           8   =======		$   25,209   =======		$          ---   ======		$   15,321   ======		$   17,223   =======
See accompanying Notes to Consolidated Financial Statements

---

BERKSHIRE HATHAWAY INC. and Subsidiaries NOTES TO CONSOLIDATED FINANCIAL STATEMENTS December 31, 1999
(1)     Significant accounting policies and practices
	(a)     Nature of operations and basis of consolidation
		Berkshire Hathaway Inc. ("Berkshire" or "Company") is a holding company owning subsidiaries engaged in a number of diverse business activities. The most important of these are property and casualty insurance businesses conducted on both a direct and reinsurance basis. Further information regarding these businesses and Berkshire's other reportable business segments is contained in Note 16. The accompanying consolidated financial statements include the accounts of Berkshire consolidated with accounts of all its subsidiaries. Intercompany accounts and transactions have been eliminated. As more fully described in Note 2, on December 21, 1998, Berkshire consummated a merger with General Re Corporation ("General Re"). The balance sheet of General Re is consolidated with the balance sheets of Berkshire and its other subsidiaries as of December 31, 1999 and 1998. General Re's results of operations are included in the Consolidated Statements of Earnings for the ten day period ended December 31, 1998 and the year ended December 31, 1999. During the second quarter of 1999, the company adjusted its December 31, 1998 Consolidated Balance Sheet. The adjustment resulted from a further review of the opening balance sheet of General Re which was used as the basis for recording the fair value of the assets and liabilities acquired in connection with the acquisition of General Re. The effect of the adjustment was to increase goodwill of acquired businesses by $124 million and to increase property, plant and equipment by $18 million with a corresponding decrease of $142 million in other assets from the amounts previously reported. The adjustment had no effect on the previously reported earnings for the year ended December 31, 1998.
	(b)     Use of estimates in preparation of financial statements
		The preparation of the consolidated financial statements in conformity with generally accepted accounting principles ("GAAP") requires management to make estimates and assumptions that affect the reported amount of assets and liabilities at the date of the financial statements and the reported amount of revenues and expenses during the period. Actual results may differ from the estimates and assumptions used in preparing the consolidated financial statements.
	(c)     Cash equivalents
		Cash equivalents consist of funds invested in money market accounts and in investments with a maturity of three months or less when purchased.
	(d)     Investments
		Berkshire's management determines the appropriate classifications of investments at the time of acquisition and re-evaluates the classifications at each balance sheet date. Investments may be classified as held for trading, held to maturity, or, when neither of those classifications is appropriate, as available-for-sale. Berkshire's investments in fixed maturity and equity securities are classified as available-for-sale. Available-for-sale securities are stated at fair value with unrealized gains or losses, net of taxes and minority interest, reported as a separate component in shareholders' equity. Realized gains and losses, which arise when available-for-sale investments are sold (as determined on a specific identification basis) or other than temporarily impaired are included in the Consolidated Statements of Earnings. Other investments include investments in limited partnerships and commodities which are carried at fair value in the accompanying balance sheets. Investments in limited partnerships are classified as available-for-sale. The realized and unrealized gains and losses associated with commodities are included in the Consolidated Statements of Earnings as a component of realized investment gain. Accounting policies and practices for investments held by finance and financial products businesses are described in Note 7.
	(e)     Goodwill of acquired businesses
		Goodwill of acquired businesses represents the difference between purchase cost and the fair value of the net assets of acquired businesses and is being amortized on a straight line basis generally over forty years. The Company periodically reviews the recoverability of the carrying value of goodwill of acquired businesses to insure it is appropriately valued. In the event that a condition is identified which may indicate an impairment issue exists, an assessment is performed using a variety of methodologies.
	(f)     Insurance premiums
		Insurance premiums for prospective insurance and reinsurance policies are earned in proportion to the level of insurance protection provided. In most cases, premiums are recognized as revenues ratably over their terms with unearned premiums computed on a monthly or daily pro rata basis. Consideration received for retroactive reinsurance policies, including structured settlements, is recognized as premiums earned at the inception of the contracts. Premiums earned are stated net of amounts ceded to reinsurers.
	(g)     Insurance premium acquisition costs
		Certain costs of acquiring insurance premiums are deferred, subject to ultimate recoverability, and charged to income as the premiums are earned. The recoverability of premium acquisition costs of direct insurance businesses is determined without regard to investment income. The recoverability of premium acquisition costs from reinsurance assumed businesses, generally, reflects anticipation of investment income. The unamortized balances of deferred premium acquisition costs are included in other assets and were $791 million and $666 million at December 31, 1999 and 1998, respectively.
	(h)     Losses and loss adjustment expenses
		Liabilities for unpaid losses and loss adjustment expenses represent estimated claim and claim settlement costs of property/casualty insurance and reinsurance contracts. The liabilities for losses and loss adjustment expenses are recorded at the estimated ultimate payment amounts, except amounts arising from certain reinsurance assumed businesses are discounted. Estimated ultimate payment amounts are based upon (i) individual case estimates, (ii) estimates of incurred-but-not-reported losses, based upon past experience and (iii) reports of losses from ceding insurers. The estimated liabilities of certain workers' compensation claims assumed under reinsurance contracts and liabilities assumed under structured settlement reinsurance contracts are carried in the Consolidated Balance Sheets at discounted amounts. Discounted amounts pertaining to reinsurance of certain workers' compensation risks are based upon an annual discount rate of 4.5%. The discounted amounts for structured settlement reinsurance contracts are based upon the prevailing market discount rates when the contracts were written and range from 5% to 13%. The periodic accretion of discounts is included in the Consolidated Statements of Earnings as a component of losses and loss adjustment expenses incurred. Net discounted liabilities were $1,529 million at December 31, 1999 and $1,637 million at December 31, 1998.
	(j)     Deferred charges-reinsurance assumed
		The excess of estimated liabilities for claims and claim costs over the consideration received with respect to retroactive property and casualty reinsurance contracts that provide for indemnification of insurance risk is established as a deferred charge at inception of such contracts. The deferred charges are subsequently amortized using the interest method over the expected settlement periods of the claim liabilities. The periodic amortization charges are reflected in the accompanying Consolidated Statements of Earnings as losses and loss adjustment expenses. The unamortized balance of deferred charges is included in other assets and was $1,518 million at December 31, 1999 and $560 million at December 31, 1998.
	(k)     Reinsurance
		Provisions for losses and loss adjustment expenses are reported in the accompanying Consolidated Statements of Earnings after deducting amounts recovered and estimates of amounts that will be ultimately recoverable under reinsurance contracts. Reinsurance contracts do not relieve the ceding company of its obligations to indemnify policyholders with respect to the underlying insurance and reinsurance contracts. Estimated losses and loss adjustment expenses recoverable under reinsurance contracts are included in receivables and totaled $2,331 million and $2,167 million at December 31, 1999 and 1998, respectively.
	(m)     Foreign currency
		The accounts of several foreign-based subsidiaries are measured using the local currency as the functional currency. Revenues and expenses of these businesses are translated into U.S. dollars at the average exchange rate for the period. Assets and liabilities are translated at the exchange rate as of the end of the reporting period. Gains or losses from translating the financial statements of foreign-based operations are included in shareholders' equity as a component of other comprehensive income. Gains and losses arising from other transactions denominated in a foreign currency are included in the Consolidated Statement of Earnings.
	(n)     Accounting pronouncements to be adopted subsequent to December 31, 1999
		During 1998 and 1999, the Financial Accounting Standards Board ("FASB") and the Accounting Standards Executive Committee ("AcSEC") issued the following new accounting standards that become effective after December 31, 1999: (i) The FASB issued Statement of Financial Accounting Standard No. 133 "Accounting for Derivative Instruments and Hedging Activities" ("SFAS No. 133"). SFAS No. 133 establishes accounting and reporting standards for derivative instruments, including certain derivative instruments imbedded in other contracts, and hedging activities. In June 1999, the FASB issued SFAS No. 137 which delays the effective date for implementing SFAS No. 133. Berkshire expects to adopt SFAS No. 133 as of the beginning of 2001. (ii) AcSEC issued Statement of Position ("SOP") No. 98-7 "Deposit Accounting: Accounting for Insurance and Reinsurance Contracts That Do Not Transfer Insurance Risk". SOP No. 98-7 provides guidance on accounting and disclosure for insurance and reinsurance contracts that do not transfer insurance risk. This SOP is effective for fiscal years beginning after June 15, 1999. Berkshire will adopt this pronouncement as of the beginning of 2000. The Company does not believe that adoption of these new accounting principles will have a material effect on its financial position or the results of operations.

(2) Significant business acquisitions

     During 1998, Berkshire consummated three significant business acquisitions -- International Dairy Queen, Inc. ("Dairy Queen"), effective January 7, 1998; Executive Jet, Inc. ("Executive Jet"), effective August 7, 1998; and General Re Corporation ("General Re"), effective December 21, 1998. Additional information regarding these acquisitions is provided below.

     On January 7, 1998, the merger of Dairy Queen with and into a wholly owned subsidiary of Berkshire was completed. Shareholders of Dairy Queen received merger consideration of approximately $590 million, consisting of $265 million in cash and the remainder in shares of Class A and Class B Common Stock. Dairy Queen develops, licenses and services a system of almost 6,000 Dairy Queen stores located throughout the United States, Canada, and other foreign countries, which feature hamburgers, hot dogs, various dairy desserts and beverages. Dairy Queen also develops, licenses and services other stores and shops operating under the names of Orange Julius and Karmelkorn, which feature blended fruit drinks, popcorn and other snacks.

     On August 7, 1998, the merger of Executive Jet with and into a wholly owned subsidiary of Berkshire was completed. Total consideration paid by Berkshire was approximately $725 million, consisting of $350 million in cash and the remainder in shares of Class A and Class B Common Stock. Executive Jet is the world's leading provider of fractional ownership programs for general aviation aircraft. Executive Jet currently operates its NetJets® fractional ownership programs in the United States and Europe. In addition, Executive Jet is pursuing other international activities.

     On December 21, 1998, the merger with General Re was completed. General Re shareholders received, at their election, either 0.0035 shares of Berkshire Class A Common Stock or 0.105 shares of Berkshire Class B Common Stock for each share of General Re common stock they owned. Berkshire issued approximately 272,200 Class A equivalent shares in exchange for the General Re shares outstanding as of December 21, 1998. The total consideration for the transaction, based upon the closing prices of Berkshire Class A Common Stock for the 10-day period ending June 26, 1998, (the merger agreement was entered into by the parties on June 19, 1998) was approximately $22 billion.

     General Re is a holding company for global reinsurance and related risk management operations. It owns General Reinsurance Corporation, which together with its affiliates, comprise the largest professional property and casualty reinsurance group domiciled in the United States. General Re also owns a controlling interest in Kölnische Rückversicherungs-Gesellschaft AG ("Cologne Re"), a major international reinsurer. Together, General Re and Cologne Re transact reinsurance business as "General & Cologne Re". General & Cologne Re operate in 28 countries and provide reinsurance coverage in 125 countries around the world.

     In addition, General Re writes excess and surplus lines insurance through General Star Management Company, provides alternative risk solutions through Genesis Underwriting Management Company, provides reinsurance brokerage services through Herbert Clough, Inc., manages aviation insurance risks through United States Aviation Underwriters, Inc., and acts as a business development consultant and reinsurance intermediary through Ardent Risk Services, Inc. General Re also operates as a dealer in the swap and derivatives market through General Re Financial Products Corporation, and provides specialized investment services to the insurance industry through General Re-New England Asset Management, Inc.

     Each of the business acquisitions described above was accounted for under the purchase method. The excess of the purchase cost of the business over the fair value of net assets acquired was recorded as goodwill of acquired businesses. The aggregate goodwill associated with the three acquisitions discussed above was $15.7 billion, including $14.7 billion associated with the General Re merger.

     The results of operations for each of these entities are included in Berkshire's consolidated results of operations from the dates of each merger. The following unaudited table sets forth certain consolidated earnings data for the years ended December 31, 1998 and 1997 as if the Dairy Queen, Executive Jet and General Re acquisitions had been consummated on the same terms at the beginning of 1997. Dollars in millions except per share amounts.

	1998	1997
Insurance premiums earned ....................................................	$11,395	$11,369
Sales and service revenues .....................................................	5,267	4,719
Total revenues .......................................................................	24,174	19,422
Net earnings ..........................................................................	4,764	2,438
Earnings per equivalent Class A Common Share .....................	3,137	1,607

(3) Investment in MidAmerican Energy Holdings Company

     On October 24, 1999, Berkshire entered into an agreement along with Walter Scott, Jr. and David L. Sokol, to acquire MidAmerican Energy Holdings Company ("MidAmerican"). Pursuant to the terms of the agreement, Berkshire expects to invest approximately $1.24 billion in common stock and a non-dividend paying convertible preferred stock of a newly formed entity which will merge with and into MidAmerican, with MidAmerican continuing as the surviving corporation. Such investment will give Berkshire about a 9.7% voting interest and a 76% economic interest in MidAmerican on a fully-diluted basis. Mr. Scott, a member of Berkshire's Board of Directors, will control approximately 86% of the voting interest in MidAmerican. Mr. Sokol is the current CEO of MidAmerican. Berkshire will also acquire approximately $455 million of an 11% non-transferable trust preferred security. Under certain conditions, for a period of up to seven years subsequent to the transaction, Berkshire may be required to purchase up to $345 million of additional trust preferred securities. The merger and related investments by Berkshire and the other investors are subject to terms and conditions including approval by shareholders of MidAmerican and certain regulatory approvals. On January 27, 2000, the transaction was approved by the shareholders of MidAmerican. All regulatory approvals are expected to be received prior to March 31, 2000. It is currently anticipated that the transaction will close by March 31, 2000.

     Through its retail utility subsidiaries, MidAmerican Energy in the U.S. and Northern Electric in the U.K., MidAmerican provides electric service to 2.2 million customers and natural gas service to 1.2 million customers worldwide. MidAmerican manages and owns interests in approximately 8,300 net megawatts of diversified power generation facilities in operation, construction and development.

(4) Investments in securities with fixed maturities

     The amortized cost and estimated fair values of investments in securities with fixed maturities as of December 31, 1999 and 1998 are as follows (in millions):

		Gross	Gross	Estimated
	Amortized	Unrealized	Unrealized	Fair
	Cost(2)	Gains	Losses	Value
December 31, 1999(1)
Bonds:
U.S. Treasury securities and obligations of    U.S. government corporations and agencies	$ 4,001	$  3	$   (189)	$ 3,815
Obligations of states, municipalities   and political subdivisions .....................	9,029	13	(436)	8,606
Obligations of foreign governments .......	2,208	6	(49)	2,165
Corporate bonds .................................	5,901	21	(237)	5,685
Redeemable preferred stocks ................	133	1	(5)	129
Mortgage-backed securities ..................	10,157	7	(342)	9,822
	$31,429 ======	$ 51 ===	$(1,258) ======	$30,222 ======
		Gross	Gross	Estimated
	Amortized	Unrealized	Unrealized	Fair
	Cost(2)	Gains	Losses	Value
December 31, 1998(1)
Bonds:
U.S. Treasury securities and obligations of    U.S. government corporations and agencies	$ 2,518	$  10	--	$ 2,528
Obligations of states, municipalities   and political subdivisions .....................	9,574	73	--	9,647
Obligations of foreign governments .......	2,864	--	--	2,864
Corporate bonds .................................	4,609	--	--	4,609
Redeemable preferred stocks ................	359	3	(7)	355
Mortgage-backed securities ..................	1,235	8	--	1,243
	$21,159 ======	$ 94 ===	$ (7) ===	$21,246 ======
(1)Amounts above exclude securities with fixed maturities held by finance and financial products businesses. See Note 7. (2) In connection with the acquisition of General Re on December 21, 1998, fixed maturity securities with a then fair value of $17.6 billion were acquired. Such amount which was approximately $1.2 billion in excess of General Re's historical amortized cost. The writeup of $1.2 billion was included as a component of the amortized cost at December 31, 1998. Of this amount, approximately $900 million remains unamortized and is included as a component of amortized cost as of December 31, 1999.

     Shown below are the amortized cost and estimated fair values of securities with fixed maturities at December 31, 1999, by contractual maturity dates. Actual maturities will differ from contractual maturities because issuers of certain of the securities retain early call or prepayment rights. Amounts are in millions.

		Estimated
	Amortized	Fair
	Cost	Value
Due in one year or less ...............................................................	$ 1,975	$ 1,965
Due after one year through five years ..........................................	5,443	5,339
Due after five years through ten years ..........................................	5,335	5,126
Due after ten years .....................................................................	8,519	7,970
	21,272	20,400
Mortgage-backed securities ........................................................	10,157	9,822
	$31,429  ======	$30,222  ======

(5) Investments in equity securities and other investments

     Data with respect to the consolidated investment in equity securities and other investments are shown below. Amounts are in millions.

December 31, 1999		Unrealized		Fair
	Cost	Gains		Value
Common stock of:
American Express Company * ............................	$ 1,470	$ 6,932		$ 8,402
The Coca-Cola Company ...................................	1,299	10,351		11,650
The Gillette Company ..........................................	600	3,354		3,954
Other equity securities ..........................................	6,305	7,461		13,766
Other investments ................................................	1,651	85		1,736
	$11,325 ======	$28,183 ======	**	$39,508 ======
December 31, 1998		Unrealized		Fair
	Cost	Gains		Value
Common stock of:
American Express Company * ............................	$ 1,470	$ 3,710		$ 5,180
The Coca-Cola Company ...................................	1,299	12,101		13,400
The Gillette Company ..........................................	600	3,990		4,590
Other equity securities ..........................................	5,889	9,062		14,951
Other investments ................................................	1,639	1		1,640
	$10,897 ======	$28,864 ======	**	$39,761 ======
* Common shares of American Express Company ("AXP") owned by Berkshire and its subsidiaries possessed approximately 11% of the voting rights of all AXP shares outstanding at December 31, 1999. The shares are held subject to various agreements with certain insurance and banking regulators which, among other things, prohibit Berkshire from (i) seeking representation on the Board of Directors of AXP (Berkshire may agree, if it so desires, at the request of management or the Board of Directors of AXP to have no more than one representative stand for election to the Board of Directors of AXP) and (ii) acquiring or retaining shares that would cause its ownership of AXP voting securities to equal or exceed 17% of the amount outstanding (should Berkshire have a representative on the Board of Directors, such amount is limited to 15%). In connection therewith, Berkshire has entered into an agreement with AXP which became effective when Berkshire's ownership interest in AXP voting securities reached 10% and will remain effective so long as Berkshire owns 5% or more of AXP's voting securities. The agreement obligates Berkshire, so long as Harvey Golub is chief executive officer of AXP, to vote its shares in accordance with the recommendations of AXP's Board of Directors. Additionally, subject to certain exceptions, Berkshire has agreed not to sell AXP common shares to any person who owns 5% or more of AXP voting securities or seeks to control AXP, without the consent of AXP.      ** Net of unrealized losses of $149 million and $38 million as of December 31, 1999 and 1998, respectively.

(6)Realized investment gains (losses)

      Realized gains (losses) from sales and redemptions of investments are summarized below (in millions):

	1999	1998	1997
Equity securities and other investments --
Gross realized gains ............................................................	$1,507	$2,087	$  739
Gross realized losses ..........................................................	(77)	(272)	(23)
Securities with fixed maturities --
Gross realized gains ............................................................	39	602	396
Gross realized losses ..........................................................	(104)	(2)	(6)
	$1,365 =====	$2,415 =====	$1,106 =====

(7) Finance and financial products businesses

     Assets and liabilities of Berkshire's finance and financial products businesses are summarized below (in millions).

	Dec. 31, 1999	Dec. 31, 1998
Assets
Cash and cash equivalents ................................................................	$   623	$    907
Investments in securities with fixed maturities:
Held to maturity, at cost (fair value $2,223 in 1999; $1,366 in 1998)	2,293	1,227
Trading, at fair value (cost $11,330 in 1999; $5,279 in 1998) ..........	11,277	5,219
Available for sale, at fair value (cost $997 in 1999; $745 in 1998) ...	999	743
Trading account assets .....................................................................	5,881	6,234
Securities purchased under agreements to resell ................................	1,171	1,083
Other ..............................................................................................	1,985	1,576
	$24,229 ======	$16,989 ======
Liabilities
Annuity reserves and policyholder liabilities .......................................	$    843	$    816
Securities sold under agreements to repurchase .................................	10,216	4,065
Securities sold but not yet purchased ................................................	1,174	1,181
Trading account liabilities ..................................................................	5,930	5,834
Notes payable and other borrowings* ..............................................	1,998	1,503
Other ...............................................................................................	2,062	2,126
	$22,223 ======	$15,525 ======
*Payments of principal amounts of notes payable and other borrowings during the next five years are as follows (in millions):

2000	2001	2002	2003	2004
$49	$120	$260	$707	$475

     Berkshire's finance and financial products businesses consist primarily of the financial products businesses of General Re, the consumer finance business of Scott Fetzer Financial Group, the real estate finance business of Berkshire Hathaway Credit Corporation, the financial instrument trading business of BH Finance and a life insurance subsidiary in the business of selling annuities. General Re's financial products businesses consist of General Re Financial Products ("GRFP") group and a collection of other businesses that provide investment, insurance, reinsurance and real estate management and brokerage services. Significant accounting policies and disclosures for these businesses are discussed below.

     Investment securities (principally fixed maturity and equity investments) that are acquired for purposes of selling them in the near term are classified as trading securities. Such assets are carried at fair value. Realized and unrealized gains and losses from trading activities are included in income from finance and financial products businesses. Trading account assets and liabilities are marked-to-market on a daily basis and represent the estimated fair values of derivatives in net gain positions (assets) and in net loss positions (liabilities). The net gains and losses reflect reductions permitted under master netting agreements with counterparties.

     Securities purchased under agreements to resell (assets) and securities sold under agreements to repurchase (liabilities) are accounted for as collateralized investments and borrowings and are recorded at the contractual resale or repurchase amounts plus accrued interest. Other investment securities owned and liabilities associated with investment securities sold but not yet purchased are carried at fair value.

     GRFP is engaged as a dealer in various types of derivative instruments, including interest rate, currency and equity swaps and options, as well as structured finance products. These instruments are carried at their current estimates of fair value, which is a function of underlying interest rates, currency rates, security values, volatilities and the creditworthiness of counterparties. Future changes in these factors or a combination thereof may affect the fair value of these instruments with any resulting adjustment to be included currently in the Consolidated Statement of Earnings.

     Interest rate, currency and equity swaps are agreements between two parties to exchange, at particular intervals, payment streams calculated on a specified notional amount. Interest rate, currency and equity options grant the purchaser the right, but not the obligation, to either purchase from or sell to the writer a specified financial instrument under agreed terms. Interest rate caps and floors require the writer to pay the purchaser at specified future dates the amount, if any, by which the option's underlying market interest rate exceeds the fixed cap or falls below the fixed floor, applied to a notional amount.

     Futures contracts are commitments to either purchase or sell a financial instrument at a future date for a specified price and are generally settled in cash. Forward-rate agreements are financial instruments that settle in cash at a specified future date based on the differential between agreed interest rates applied to a notional amount. Foreign exchange contracts generally involve the exchange of two currencies at agreed rates on a specified date; spot contracts usually require the exchange to occur within two business days of the contract date.

     A summary of notional amounts of derivative contracts at December 31, 1999 and 1998 is included in the table below. For these transactions, the notional amount represents the principal volume, which is referenced by the counterparties in computing payments to be exchanged, and are not indicative of the Company's exposure to market or credit risk, future cash requirements or receipts from such transactions.

	December 31, 1999 (in millions)	December 31, 1998 (in millions)
Interest rate and currency swap agreements ......	$531,645	$514,935
Options written ................................................	121,683	88,245
Options purchased ...........................................	151,006	90,826
Financial futures contracts:
Commitments to purchase ..............................	32,377	26,041
Commitments to sell .......................................	11,368	6,872
Forward - rate agreements................................	5,164	24,579
Foreign exchange spot and forward contracts ...	10,430	14,794

     The following tables discloses the net fair value or carrying amount at December 31, 1999 and 1998 as well as the average fair value during 1999 for each class of derivative financial contract held or issued by GRFP.

	December 31, 1999		December 31, 1998
	Asset	Liability	Asset	Liability
	(in millions)		(in millions)
Interest rate and foreign currency swaps ...	$22,593	$22,819	$25,963	$25,445
Interest rate and foreign currency options .	5,980	5,714	4,338	4,439
Gross fair value ........................................	28,573	28,533	30,301	29,884
Adjustment for counterparty netting ..........	(22,692)	(22,692)	(24,067)	(24,067)
Net fair value ...........................................	5,881	5,841	6,234	5,817
Security receivables/payables ...................	--	89	--	17
Trading account assets/liabilities ................	$  5,881  ======	$  5,930  ======	$  6,234 ======	$  5,834 ======
	Average 1999
	Asset	Liability
	(in millions)
Interest rate and foreign currency swaps .....	$23,213	$23,071
Interest rate and foreign currency options ...	4,657	4,687
Gross fair value ..........................................	27,870	27,758
Adjustment for counterparty netting ............	(22,579)	(22,579)
Net fair value .............................................	5,291	5,179
Security receivables/payables .....................	85	111
Trading account assets/liabilities ..................	$ 5,376 =====	$ 5,290 =====

     The derivative financial instruments involve, to varying degrees, elements of market, credit, and legal risks. Market risk is the possibility that future changes in market conditions may make the derivative financial instrument less valuable. Credit risk is defined as the possibility that a loss may occur from the failure of another party to perform in accordance with the terms of the contract which exceeds the value of existing collateral, if any. The derivative's risk of credit loss is generally a small fraction of notional value of the instrument and is represented by the fair value of the derivative financial instrument. Legal risk arises from the uncertainty of the enforceability of the obligations of another party, including contractual provisions intended to reduce credit exposure by providing for the offsetting or netting of mutual obligations.

     With respect to Berkshire's life insurance business, annuity reserves and policyholder liabilities are carried at the present value of the actuarially determined ultimate payment amounts discounted at market interest rates existing at the inception of the contracts. Such interest rates range from 5% to 8%. Periodic accretions of the discounted liabilities are charged against income from finance and financial products businesses.

     Investments in securities with fixed maturities held by Berkshire's life insurance business are classified as held-to-maturity. Investments classified as held-to-maturity are carried at amortized cost reflecting the Company's ability and intent to hold such investments to maturity. Such items consist predominantly of mortgage loans and collateralized mortgage obligations.

(8) Unpaid losses and loss adjustment expenses

     Supplemental data with respect to unpaid losses and loss adjustment expenses of property/casualty insurance subsidiaries (in millions) is as follows:

	1999	1998	1997
Unpaid losses and loss adjustment expenses:
Balance at beginning of year .............................................	$23,012	$6,850	$6,274
Less ceded liabilities and deferred charges ........................	2,727	754	586
Net balance .....................................................................	20,285	6,096	5,688
Incurred losses recorded:
Current accident year .......................................................	11,275	4,235	3,551
All prior accident years .....................................................	(192)	(195)	(131)
Total incurred losses .........................................................	11,083	4,040	3,420
Payments with respect to:
Current accident year ........................................................	3,648	1,919	1,602
All prior accident years ......................................................	4,532	1,834	1,410
Total payments ..................................................................	8,180	3,753	3,012
Unpaid losses and loss adjustment expenses:
Net balance at end of year .................................................	23,188	6,383	6,096
Ceded liabilities and deferred charges .................................	3,848	2,727	754
Foreign currency translation adjustment ...............................	(234)	--	--
Net liabilities assumed in connection with business acquisitions	--	13,902	--
Balance at end of year ...........................................................	$26,802 =====	$23,012 =====	$6,850 ====

     Incurred losses "all prior accident years" reflects the amount of estimation error charged or credited to earnings in each year with respect to the liabilities established as of the beginning of that year. This amount includes amortization of deferred charges regarding retroactive reinsurance assumed and accretion of discounted liabilities. See Note 1 for additional information regarding these items. Additional information regarding incurred losses will be revealed over time and the estimates will be revised resulting in gains or losses in the periods made.

     The balances of unpaid losses and loss adjustment expenses are based upon estimates of the ultimate claim costs associated with claim occurrences as of the balance sheet dates. Considerable judgement is required to evaluate claims and establish estimated claim liabilities, particularly with respect to certain lines of business, such as reinsurance assumed, or certain types of claims, such as environmental or latent injury liabilities.

     Berkshire continuously evaluates its liabilities and related reinsurance recoverable for environmental and latent injury claims and claim expenses, which arise from exposures in the U.S., as well as internationally. Environmental and latent injury exposures do not lend themselves to traditional methods of loss development determination and therefore reserveestimates related to these exposures may be considerably less reliable than for other lines of business (e.g., automobile). The effect of joint and several liability claims severity and a provision for inflation have been included in the loss development estimate. The Company has also established a liability for litigation costs associated with coverage disputes arising out of direct insurance policies.

     The liabilities for environmental and latent injury claims and claim expenses net of related reinsurance recoverables were $3,211 million and $1,913 million, respectively, at December 31, 1999 and 1998. The liabilities recorded for environmental and latent injury claims and claim expenses are management's best estimate of future ultimate claim and claim expense payments and recoveries and are expected to develop over the next several decades.

     Berkshire monitors evolving case law and its effect on environmental and latent injury claims. Changing government regulations, newly identified toxins, newly reported claims, new theories of liability, new contract interpretations and other factors could result in significant amounts of adverse development of the balance sheet liabilities. Such development could be material to Berkshire's results of operations. It is not possible to estimate reliably the amount of additional net loss, or the range of net loss, that is reasonably possible.

(9) Income taxes

     The liability for income taxes as reflected in the accompanying Consolidated Balance Sheets is as follows (in millions):

	Dec. 31, 1999	Dec. 31, 1998
Payable currently ......................................................................	$    (27)	$   1,006
Deferred ...................................................................................	9,593	10,756
	$9,566 =====	$11,762 ======

     The Consolidated Statements of Earnings reflect charges for income taxes as shown below (in millions):

	1999	1998	1997
Federal ......................................................................................	$ 748	$1,421	$865
State ..........................................................................................	43	31	32
Foreign ......................................................................................	61	5	1
	$ 852 ====	$1,457 =====	$898 ===
Current ......................................................................................	$1,189	$1,643	$692
Deferred ....................................................................................	(337)	(186)	206
	$ 852 ====	$1,457 ====	$898 ===

     The tax effects of temporary differences that give rise to significant portions of deferred tax assets and deferred tax liabilities at December 31, 1999 and 1998, are shown below (in millions):

	1999	1998
Deferred tax liabilities:
Relating to unrealized appreciation of investments .....................	$9,383	$10,149
Other ......................................................................................	1,252	1,615
	10,635	11,764
Deferred tax assets ....................................................................	(1,042)	(1,008)
Net deferred tax liability .............................................................	$9,593 =====	$10,756 ======

     Charges for income taxes are reconciled to hypothetical amounts computed at the federal statutory rate in the table shown below (in millions):

	1999	1998	1997
Earnings before income taxes ...............................................	$2,450 =====	$4,314 =====	$2,827 =====
Hypothetical amounts applicable to above
computed at the federal statutory rate .................................	$ 858	$1,510	$ 989
Decreases resulting from:
Tax-exempt interest income ................................................	(145)	(30)	(36)
Dividends received deduction ..............................................	(95)	(78)	(104)
Goodwill amortization ............................................................	161	39	29
State income taxes, less federal income tax benefit ..................	28	20	21
Foreign tax rate differential .....................................................	45	--	--
Other differences, net .............................................................	--	(4)	(1)
Total income taxes .................................................................	$ 852 ====	$1,457 =====	$ 898 ====

(10) Borrowings under investment agreements and other debt

        Liabilities reflected for this balance sheet caption are as follows (in millions):

	Dec. 31, 1999	Dec. 31, 1998
Borrowings under investment agreements .............................................	$ 613	$    724
1% Senior Exchangeable Notes Due 2001 ("Exchange Notes") ............	449	469
GEICO Corporation 7.5% debentures due 2005* ...............................	106	107
General Re Corporation 8.85% debentures due 2009* ........................	107	108
General Re Corporation 9% debentures due 2009* .............................	150	150
GEICO Corporation 9.15% debentures due 2021 ...............................	107	107
GEICO Corporation 7.35% debentures due 2023* .............................	160	160
Other debt ...........................................................................................	773	560
	$2,465 =====	$2,385 =====

* Non-callable

     Borrowings under investment agreements are made pursuant to contracts calling for interest payable, normally semiannually, at fixed rates ranging from 2.5% to 8.6% per annum. Contractual maturities of borrowings under investment agreements generally range from 3 months to 30 years. Under certain conditions, these borrowings are redeemable prior to the contractual maturity dates.

     Under certain conditions, each $1,000 par amount Exchange Note is currently exchangeable at the option of the holder or redeemable at the option of Berkshire into 44.875 shares of Citigroup common stock. Berkshire, at its option, may settle any exchange or redemption at the equivalent value in cash. The Exchange Notes are carried at accreted value plus an additional amount (the "contingent value") representing the excess of the value of the underlying Citigroup common stock over the accreted value of the Exchange Notes. The contingent value component of the aggregate carrying value of the Exchange Notes was $276 million at December 31, 1999 and $171 million at year end 1998. During 1999, approximately $136 million par amount of Exchange Notes were converted by holders into Citigroup common shares.

     Other debt includes primarily commercial paper, revolving bank debt, and variable rate term bonds issued by a variety of Berkshire subsidiaries and generally, may be redeemed at any time at the option of the issuing company.

     No materially restrictive covenants are included in any of the various debt agreements. Payments of principal amounts expected during the next five years are as follows (in millions):

2000	2001	2002	2003	2004
$522	$473	$ 28	$ 54	$ 18

(11) Dividend restrictions - Insurance subsidiaries

       Payments of dividends by insurance subsidiaries members are restricted by insurance statutes and regulations. Without prior regulatory approval in 2000, Berkshire can receive up to approximately $4.2 billion as dividends from insurance subsidiaries.

       Combined shareholders' equity of U.S. based property/casualty insurance subsidiaries determined pursuant to statutory accounting rules (Statutory Surplus as Regards Policyholders) was approximately $44.5 billion at December 31, 1999. This amount differs from the corresponding amount determined on the basis of GAAP. The major differences between statutory basis accounting and GAAP are that deferred income tax assets and liabilities, deferred charges-reinsurance assumed, unrealized gains and losses on investments in securities with fixed maturities and goodwill of acquired businesses are recognized under GAAP but not for statutory reporting purposes.

(12) Common stock

       Changes in issued and outstanding common stock of the Company during the three years ended December 31, 1999, are shown in the table below.

				Class B Common
				$0.1667 Par Value
	Class A Common, $5 Par Value			(55,000,000 shares
	(1,650,000 shares authorized*)			authorized*)
	Shares	Treasury	Shares	Shares Issued and
	Issued	Shares	Outstanding	Outstanding
Balance December 31, 1996 ........................	1,376,188	170,068	1,206,120	783,755
Common stock issued in connection .......
with acquisition of business .....................	--	(1,866)	1,866	165
Conversions of Class A common stock ..
to Class B common stock and other ........	(10,098)	--	(10,098)	303,236
Balance December 31, 1997 .......................	1,366,090	168,202	1,197,888	1,087,156
Common stock issued in connection ......
with acquisitions of businesses ..............	168,670	(9,709)	178,379	3,174,677
Conversions of Class A common stock
to Class B common stock and other .......	(26,732)	--	(26,732)	808,546
Retirement of treasury shares ..................	(158,493)	(158,493)	--	--
Balance December 31, 1998 ......................	1,349,535	--	1,349,535	5,070,379
Conversions of Class A common stock
to Class B common stock and other .......	(7,872)	____	(7,872)	296,576
Balance December 31, 1999 ......................	1,341,663 =======	-- ======	1,341,663 =======	5,366,955 =======
*    Prior to the General Re merger the number of authorized Class A and Class B Common shares was 1,500,000 and 50,000,000 respectively.

     Each share of Class A Common Stock is convertible, at the option of the holder, into thirty shares of Class B Common Stock. Class B Common Stock is not convertible into Class A Common Stock. Each share of Class B Common Stock possesses voting rights equivalent to one-two-hundredth (1/200) of the voting rights of a share of Class A Common Stock. Class A and Class B common shares vote together as a single class.

     In connection with the General Re merger, all shares of Class A and Class B Common Stock of the Company outstanding immediately prior to the effective date of the merger were canceled and replaced with new Class A and Class B common shares and all Class A treasury shares were canceled and retired. See Note 2 for information regarding the General Re merger.

(13) Fair values of financial instruments

     SFAS No. 107, "Disclosures about Fair Value of Financial Instruments" requires certain fair value disclosures. Fair value disclosures are required for most investment securities as well as other contractual assets and liabilities. Certain financial instruments, including insurance contracts, are excluded from SFAS 107 disclosure requirements due to perceived difficulties in measuring fair value. Accordingly, an estimation of fair value was not made with respect to unpaid losses and loss adjustment expenses.

     In determining fair value, Berkshire used quoted market prices when available. For instruments where quoted market prices were not available, independent pricing services or appraisals by Berkshire's management were used. Those services and appraisals reflected the estimated present values utilizing current risk adjusted market rates of similar instruments.

     Considerable judgement is necessarily required in interpreting market data used to develop the estimates of fair value. Accordingly, the estimates presented herein are not necessarily indicative of the amounts that could be realized in a current market exchange. The use of different market assumptions and/or estimation methodologies may have a material effect on the estimated fair value.

     The carrying values of cash and cash equivalents, receivables and accounts payable, accruals and other liabilities are deemed to be reasonable estimates of their fair values. The estimated fair values of Berkshire's other financial instruments as of December 31, 1999 and 1998, are as follows (in millions):

	Carrying Value		Estimated Fair Value
	1999	1998	1999	1998
Investments in securities with fixed maturities .....................	$30,222	$21,246	$30,222	$21,246
Investments in equity securities and other investments ....	39,508	39,761	39,508	39,761
Assets of finance and financial products businesses ........	24,229	16,989	24,167	17,129
Borrowings under investment agreements and other debt	2,465	2,385	2,418	2,475
Liabilities of finance and financial products businesses ....	22,223	15,525	22,151	15,698

(14) Litigation

     During 1999, GEICO was named as a defendant in a number of class action lawsuits related to the use of repair parts not produced by original equipment manufacturers in connection with settlement of collision damage claims. One of the lawsuits has been dismissed. The remaining lawsuits are in the early stages of development and the ultimate outcome cannot be reasonably determined at this time. Management intends to vigorously defend GEICO's position of recommending use of after-market parts in certain auto accident repairs.

     Berkshire and its subsidiaries are parties in a variety of legal actions arising out of the normal course of business. In particular, and in common with the insurance industry in general, such legal actions affect Berkshire's insurance and reinsurance businesses. Such litigation generally seeks to establish liability directly through insurance contracts or indirectly through reinsurance contracts issued by Berkshire subsidiaries. Plaintiffs occasionally seek punitive or exemplary damages. Berkshire does not believe that such normal and routine litigation will have a material effect on its financial condition or results of operations.

(15) Supplemental cash flow and insurance premium information

     A summary of supplemental cash flow information is presented in the following table (in millions):

	1999	1998	1997
Cash paid during the year for:
Income taxes ........................................................................................................	$2,215	$1,703	$ 498
Interest of finance and financial products businesses .................................	513	21	21
Other interest .......................................................................................................	136	111	102
Non-cash investing and financing activities:
Liabilities assumed in connection with acquisitions of businesses ............	61	36,064	25
Common shares issued in connection with acquisitions of businesses .....	--	22,795	73
Fair value of investments acquired as part of exchanges and conversions	--	--	1,837
Contingent value of Exchange Notes recognized in earnings ......................	87	54	298
Value of equity securities used to redeem Exchange Notes .........................	298	344	--

     Premiums written and earned by Berkshire's property/casualty and life/health insurance businesses during each of the three years ending December 31, 1999 are summarized below. Dollars are in millions.

	Property/Casualty			Life/Health*
	1999	1998	1997	1999	1998
Premiums Written:
Direct ............................................	$ 5,798	$4,503	$3,980	$ --	$ --
Assumed ........................................	7,951	1,184	957	1,981	46
Ceded ...........................................	(818)	(83)	(85)	(245)	(5)
	$12,931 ======	$5,604 =====	$4,852 =====	$1,736 =====	$ 41 ===
Premiums Earned:
Direct .............................................	$ 5,606	$4,382	$3,879	$ --	$ --
Assumed ........................................	7,762	1,147	968	1,971	45
Ceded ............................................	(788)	(89)	(86)	(245)	(4)
	$12,580 ======	$5,440 =====	$4,761 =====	$1,726 =====	$ 41 ===
*There were no premiums written or earned in 1997.

(16) Business Segment Data

       SFAS No. 131 requires certain disclosures about operating segments in a manner that is consistent with how management evaluates the performance of the segment. Information related to Berkshire's twelve reportable operating segments is shown below.

Business Identity	Business Activity
GEICO	Underwriting private passenger automobile insurance mainly by direct response methods
General Re	Underwriting excess-of-loss and quota-share reinsurance worldwide
Berkshire Hathaway Reinsurance Group	Underwriting excess-of-loss and quota-share reinsurance for property and casualty insurers and reinsurers
Berkshire Hathaway Direct Insurance Group	Underwriting multiple lines of property and casualty insurance policies for primarily commercial accounts
Buffalo News	Publication of a daily and Sunday newspaper in Western New York
FlightSafety and Executive Jet ("Flight Services")	Training to operators of aircraft and ships and providing fractional ownership programs for general aviation aircraft
Nebraska Furniture Mart, R.C. Willey Home Furnishings, Star Furniture Company and Jordan's Furniture ("Home Furnishings")	Retail sales of home furnishings, appliances and electronics
International Dairy Queen	Licensing and servicing a system of almost 6,000 Dairy Queen stores
Helzberg's Diamond Shops and Borsheim's ("Jewelry")	Retailing of fine jewelry
Scott Fetzer Companies	Diversified manufacturing and distribution of various consumer and commercial products with principal brand names including Kirby and Campbell Hausfeld
See's Candies	Manufacture and distribution of boxed chocolates and other confectionery products
H.H. Brown Shoe Company, Lowell Shoe, Inc. and Dexter Shoe Company ("Shoe Group")	Manufacture and distribution of footwear

     General Re's reinsurance business is included as a reportable segment beginning in 1999. General Re Corporation was acquired by Berkshire on December 21, 1998. For further information regarding the acquisition, see Note 2.

     A disaggregation of Berkshire's consolidated data for each of the three most recent years is presented in the tables which follow on this and the following page. Amounts are in millions.

	Revenues
	1999	1998	1997
Operating Segments:
Insurance group revenues:
GEICO * ................................................................	$ 4,757	$ 4,033	$ 3,482
General Re * ...........................................................	6,905	--	--
Berkshire Hathaway Reinsurance Group * ...............	2,382	939	967
Berkshire Hathaway Direct Insurance Group * ........	262	328	312
Interest, dividend and other investment income .........	2,500	982	888
Total insurance group revenues ..................................	16,806	6,282	5,649
Buffalo News ............................................................	157	157	156
Flight services ............................................................	1,856	858	411
Home furnishings ........................................................	917	793	667
International Dairy Queen ...........................................	460	420	--
Jewelry .......................................................................	486	420	398
Scott Fetzer Companies ..............................................	1,021	1,002	961
See's Candies ..............................................................	306	288	269
Shoe group .................................................................	498	500	542
	22,507	10,720	9,053
Reconciliation of segments to consolidated amount:
Realized investment gain ............................................	1,365	2,415	1,106
Other revenues ..........................................................	381	703	280
Purchase-accounting-adjustments ..............................	(225)	(6)	(9)
	$24,028 =====	$13,832 =====	$10,430 =====
* Represents insurance premiums earned
	Operating Profit before Taxes
	1999	1998	1997
Operating Segments:
Insurance group operating profit:
GEICO * ...............................................................	$ 24	$269	$281
General Re * ..........................................................	(1,184)	--	--
Berkshire Hathaway Reinsurance Group * ..............	(256)	(21)	128
Berkshire Hathaway Direct Insurance Group * ........	22	17	52
Interest, dividend and other investment income .........	2,482	974	882
Total insurance group operating profit ........................	1,088	1,239	1,343
Buffalo News ............................................................	55	53	56
Flight services ............................................................	225	181	140
Home furnishings ........................................................	79	72	57
International Dairy Queen ...........................................	56	58	--
Jewelry ......................................................................	51	39	32
Scott Fetzer Companies .............................................	147	137	119
See's Candies .............................................................	74	62	59
Shoe group .................................................................	17	33	49
	1,792	1,874	1,855
Reconciliation of segments to consolidated amount:
Realized investment gain ............................................	1,365	2,415	1,106
Interest expense ** ...................................................	(109)	(100)	(107)
Corporate and other ..................................................	141	248	72
Goodwill amortization and other    purchase-accounting-adjustments ..............................	(739)	(123)	(99)
	$2,450 =====	$4,314 =====	$2,827 =====
*       Represents underwriting profit (loss) **     Amounts of interest expense represent interest on borrowings under investment agreements and other debt exclusive of that of finance businesses and interest allocated to certain identified segments.

	Capital expenditures *			Deprec. & amort. of tangible assets
Operating Segments:	1999	1998	1997	1999	1998	1997
Insurance group:
GEICO .................................................................	$   87	$   101	$   27	$   40	$   27	$   26
General Re ..........................................................	17	--	--	25	--	--
Berkshire Hathaway Reinsurance Group ......	--	--	--	--	--	--
Berkshire Hathaway Direct Insurance Group	1	1	1	1	1	1
Total insurance group .......................................	105	102	28	66	28	27
Buffalo News ......................................................	5	2	3	2	2	3
Flight services ....................................................	323	213	119	77	58	55
Home furnishings ..............................................	41	21	43	16	13	10
International Dairy Queen ................................	9	10	--	4	3	--
Jewelry .................................................................	14	12	9	11	10	10
Scott Fetzer Companies .....................................	14	10	6	11	11	11
See's Candies ......................................................	6	15	20	5	5	5
Shoe group ..........................................................	6	9	11	12	13	12
	523	394	239	204	143	133
Reconciliation of segments to consolidated amount:
Corporate and other ............................................	7	5	3	11	4	3
Purchase-accounting-adjustments ...................	--	--	--	3	8	8
	$ 530 ====	$ 399 ====	$ 242 ====	$ 218 ====	$ 155 ====	$ 144 ====
* Excludes expenditures which were part of business acquisitions.

	Identifiable assets
	at year-end
Operating Segments:	1999	1998	1997
Insurance group:
GEICO ......................................................................	$ 9,381	$ 8,663	$ 7,683
General Re .................................................................	30,168	32,011	--
Berkshire Hathaway Reinsurance Group .....................	39,607	36,611	34,781
Berkshire Hathaway Direct Insurance Group ..............	4,866	5,564	5,902
Total insurance group ...................................................	84,022	82,849	48,366
Buffalo News ...............................................................	30	29	28
Flight services ...............................................................	1,790	1,345	792
Home furnishings ..........................................................	648	489	457
International Dairy Queen .............................................	207	199	--
Jewelry ........................................................................	258	234	219
Scott Fetzer Companies ...............................................	298	242	256
See's Candies ..............................................................	78	79	65
Shoe group ..................................................................	301	336	353
	87,632	85,802	50,536
Reconciliation of segments to consolidated amount:
Corporate and other .....................................................	25,276	17,671	2,450
Goodwill and other purchase-accounting-adjustments ....	18,508	18,764	3,125
	$131,416 ======	$122,237 ======	$56,111 =====

---

(17) Quarterly data

     A summary of revenues and earnings by quarter for each of the last two years is presented in the following table. This information is unaudited. Dollars are in millions, except per share amounts.

	1st	2nd	3rd	4th
1999	Quarter	Quarter	Quarter	Quarter
Revenues .......................................................	$5,446	$5,461	$7,051	$6,070
Earnings:
Excluding realized investment gain ................	$ 294	$ 299	$ 156	$ (78)
Realized investment gain * ...........................	247	273	264	102
Net earnings ................................................	$ 541 ====	$ 572 ====	$ 420 ====	$ 24 ====
Earnings per equivalent Class A common share:
Excluding realized investment gain ................	$ 194	$ 197	$ 103	$ (52)
Realized investment gain * ...........................	162	179	173	69
Net earnings ................................................	$ 356 ====	$ 376 ====	$ 276 ====	$ 17 ====
	1st	2nd	3rd	4th
1998	Quarter	Quarter	Quarter	Quarter
Revenues .......................................................	$3,325	$3,936	$2,909	$3,662
Earnings:
Excluding realized investment gain ................	$ 252	$ 312	$ 264	$ 449
Realized investment gain * ...........................	470	864	101	118
Net earnings ................................................	$ 722 =====	$1,176 =====	$ 365 =====	$ 567 =====
Earnings per equivalent Class A common share:
Excluding realized investment gain ................	$ 203	$ 251	$ 212	$ 352
Realized investment gain * ...........................	379	696	81	92
Net earnings ................................................	$ 582 ====	$ 947 ====	$ 293 ====	$ 444 ====
* The amount of realized gain for any given period has no predictive value and variations in amount from period to period have no practical analytical value particulary in view of the unrealized appreciation now existing in Berkshire's consolidated investment portfolio.