Part 13 (2/2)

21 Jody Shenn and James Tyson, ”Fannie Mae, Freddie Mac Portfolio Caps Will Be Lifted,” Jody Shenn and James Tyson, ”Fannie Mae, Freddie Mac Portfolio Caps Will Be Lifted,” Bloomberg News, Bloomberg News, 27 February 2008. 27 February 2008.

22 Nick Timiraos, ”U.S.-Backed Mortgage Program Fuels Risks: FHA Struggles to Eliminate Loans for Zero Down,” Nick Timiraos, ”U.S.-Backed Mortgage Program Fuels Risks: FHA Struggles to Eliminate Loans for Zero Down,” Wall Street Journal, Wall Street Journal, 24 June 2008. 24 June 2008.

23 Sannon D. Harrinton and Abigail Moses, ”Company Bond Risk Rises as Bank Concerns Offset Fannie Rally,” Sannon D. Harrinton and Abigail Moses, ”Company Bond Risk Rises as Bank Concerns Offset Fannie Rally,” Bloomberg News, Bloomberg News, 14 July 2008. 14 July 2008.

24 David M. Walker, David M. Walker, Saving Our Future Requires Tough Choices Today, Saving Our Future Requires Tough Choices Today, a presentation given by the former Comptroller General as part of the Fiscal Wake-Up Tour at Haas School of Business, University of California-Berkeley, Berkeley, California, March 5, 2008, U.S. Government Accountability Office doc.u.ment GAO-08-583CG. a presentation given by the former Comptroller General as part of the Fiscal Wake-Up Tour at Haas School of Business, University of California-Berkeley, Berkeley, California, March 5, 2008, U.S. Government Accountability Office doc.u.ment GAO-08-583CG.

25 Creadon, Patrick, dir. Creadon, Patrick, dir. I.O.U.S.A. I.O.U.S.A. Doc.u.mentary. Agora Entertainment, 2008. After the August 21, 2008 debut, Warren Buffett, CEO of Berks.h.i.+re Hathaway; William Niskanen, Chairman of the CATO Inst.i.tute; Bill Novelli, CEO of AARP; Pete Peterson, Senior Chairman of The Blackstone Group and Chairman of the Peter G. Peterson Foundation; and Dave Walker, President & CEO of the Peter G. Peterson Foundation and former U.S. Comptroller General partic.i.p.ated in a live discussion broadcast to the movie viewers. Doc.u.mentary. Agora Entertainment, 2008. After the August 21, 2008 debut, Warren Buffett, CEO of Berks.h.i.+re Hathaway; William Niskanen, Chairman of the CATO Inst.i.tute; Bill Novelli, CEO of AARP; Pete Peterson, Senior Chairman of The Blackstone Group and Chairman of the Peter G. Peterson Foundation; and Dave Walker, President & CEO of the Peter G. Peterson Foundation and former U.S. Comptroller General partic.i.p.ated in a live discussion broadcast to the movie viewers.

26 Stephen Labaton, ”Paulson, at Talks on Regulation, Suggests Pendulum Has Swung Too Far,” Stephen Labaton, ”Paulson, at Talks on Regulation, Suggests Pendulum Has Swung Too Far,” NewYork Times, NewYork Times, 13 March 2007. 13 March 2007.

27 Laurel Brubaker Calkins, ”Enron's Skilling Asks Appeals Court for Reversals,” Laurel Brubaker Calkins, ”Enron's Skilling Asks Appeals Court for Reversals,” Bloomberg News, Bloomberg News, April 2, 2008. April 2, 2008.

28 Bob Ivy, ”John Rigas's 'Taj Mahal' Sold to Illinois Firm for $3.5 Million,” Bob Ivy, ”John Rigas's 'Taj Mahal' Sold to Illinois Firm for $3.5 Million,” Bloomberg News, Bloomberg News, 7 April 2008. 7 April 2008.

29 Christopher Bowe,”Kozlowski's Wife Begins Divorce Action,” Christopher Bowe,”Kozlowski's Wife Begins Divorce Action,” Financial Times, Financial Times, 16 August 2006. 16 August 2006.

30 Warren Buffett to Liz Clayman, CNBC interview at Georgetown, March 13, 2007. Warren Buffett to Liz Clayman, CNBC interview at Georgetown, March 13, 2007.

31 Lucian Kim, ”Rosneft Profit Rises Fivefold on Yukos Acquisitions,” Lucian Kim, ”Rosneft Profit Rises Fivefold on Yukos Acquisitions,” Blomberg .com, Blomberg .com, 8 April 2008. 8 April 2008.

32 Deborah Solomon, ”A Summit on U.S. Rules: 'Too Gosh-Darn Complex,'” Deborah Solomon, ”A Summit on U.S. Rules: 'Too Gosh-Darn Complex,'” Wall Street Journal, Wall Street Journal, 14 March 2007. 14 March 2007.

33 Wall Street Journal Research, ”Subpar Earnings: Companies Blame Housing, Credit Problems for Weakness,” Wall Street Journal Research, ”Subpar Earnings: Companies Blame Housing, Credit Problems for Weakness,” Wall Street Journal, Wall Street Journal, 5 October 2007. 5 October 2007.

34 Warren Buffett to Liz Clayman. Warren Buffett to Liz Clayman.

35 Janet Tavakoli, ”Subprime Lending Excesses Have Damaged US's Standing as Global Leader in Finance,” Janet Tavakoli, ”Subprime Lending Excesses Have Damaged US's Standing as Global Leader in Finance,” Financial Times, Financial Times, 19 March 2007. 19 March 2007.

36 Francesco Guerrera, ”Citigroup Takes $9bn a.s.sets in Old Lane Move,” Francesco Guerrera, ”Citigroup Takes $9bn a.s.sets in Old Lane Move,” Financial Times, Financial Times, 13 June 2008. 13 June 2008.

37 Paul J. Davies and Jennifer Hughes, ”US Banks Fear Being Forced to Take $5,000bn Back on Balance Sheets,” Paul J. Davies and Jennifer Hughes, ”US Banks Fear Being Forced to Take $5,000bn Back on Balance Sheets,” Financial Times, Financial Times, 4 June 2008. 4 June 2008.

38 U.S. Department of Treasury, U.S. Department of Treasury, The Department of the Treasury Blueprint for a Modernized Financial Regulatory Structure, The Department of the Treasury Blueprint for a Modernized Financial Regulatory Structure, March 2008, March 2008, treas.gov/press/releases/reports/Blueprint.pdf.

39 Benjamin Graham, Benjamin Graham, The Intelligent Investor The Intelligent Investor (New York: Harper & Row, 1973), 101. (New York: Harper & Row, 1973), 101.

40 Benjamin Graham. 100. Benjamin Graham. 100.

Chapter 13: The Fogs of War, Religion and Politics.

1 Berks.h.i.+re Hathaway Inc.,”Berks.h.i.+re Hathaway to Acquire Iscar Metalworking Companies,” Berks.h.i.+re Hathaway Inc.,”Berks.h.i.+re Hathaway to Acquire Iscar Metalworking Companies,” Business Wire, Business Wire, 5 May 2006. Text of ISCAR Ltd. Joint News Release. 5 May 2006. Text of ISCAR Ltd. Joint News Release.

2 Berks.h.i.+re Hathaway 2006 Annual Report, Berks.h.i.+re Hathaway 2006 Annual Report, 5. 5.

3 Amy Teibel, ”Buffett's Israeli Acquisition Born in Shed,” Amy Teibel, ”Buffett's Israeli Acquisition Born in Shed,” Was.h.i.+ngton Post, Was.h.i.+ngton Post, 8 May 2008. 8 May 2008.

4 Steven F. Hayward, Steven F. Hayward, Churchill on Leaders.h.i.+p, Churchill on Leaders.h.i.+p, Forum (an imprint of Prima Publis.h.i.+ng, Rocklin, CA 1997, 1998. 129. Forum (an imprint of Prima Publis.h.i.+ng, Rocklin, CA 1997, 1998. 129.

5 Neil Sandler, ”Buffett Tours Plant in War-scarred Tefen,” Neil Sandler, ”Buffett Tours Plant in War-scarred Tefen,” BusinessWeek, BusinessWeek, 18 September 2006. 18 September 2006.

6 ”Oklahoma Mourns Those Lost in Bombing,” ”Oklahoma Mourns Those Lost in Bombing,” United Press International, United Press International, 20 April 2008. McVeigh was executed in 2001. 20 April 2008. McVeigh was executed in 2001.

7 Gideon Rachman, ”Death, Double Standards and the Battle for the Moral High Ground,” Gideon Rachman, ”Death, Double Standards and the Battle for the Moral High Ground,” Financial Times, Financial Times, 8 August 2008. 8 August 2008.

8 The Iraq Study Group, James A. Baker III and Lee H. Hamilton co-chairs, The Iraq Study Group, James A. Baker III and Lee H. Hamilton co-chairs, The Iraq Study Group Report: The Way Forward-A New Approach, The Iraq Study Group Report: The Way Forward-A New Approach, Was.h.i.+ngton D.C., December 6, 2006. Was.h.i.+ngton D.C., December 6, 2006.

9 Jay Newton-Small, ”Waxman Probes Iraq Contracting, Missing $12 Billion,” Jay Newton-Small, ”Waxman Probes Iraq Contracting, Missing $12 Billion,” Bloomberg News, Bloomberg News, 6 February 2007. 6 February 2007.

10 John J. Sheehan,'Why I Declined to Serve,” John J. Sheehan,'Why I Declined to Serve,” Was.h.i.+ngtonpost.com, 16 April 2007. 16 April 2007.

11 Ibid. Ibid.

Chapter 14: Finding Value.

1 Warren Buffett to Janet Tavakoli, inscription note, 18 February 2006. Warren Buffett to Janet Tavakoli, inscription note, 18 February 2006.

2 Janet Tavakoli to Warren Buffett, e-mail correspondence, 16 August 2007. Janet Tavakoli to Warren Buffett, e-mail correspondence, 16 August 2007.

3 Warren Buffett to Janet Tavakoli, handwritten note, 30 May 2006. Warren Buffett to Janet Tavakoli, handwritten note, 30 May 2006.

4 Warren Buffett to Janet Tavakoli, telephone conversation, mid June 2006. Warren Buffett to Janet Tavakoli, telephone conversation, mid June 2006.

5 Janet Tavakoli to Warren Buffett, letter, 20 June 2006. Janet Tavakoli to Warren Buffett, letter, 20 June 2006.

6 Warren Buffett to Janet Tavakoli, letter, 22 June 2006. Warren Buffett to Janet Tavakoli, letter, 22 June 2006.

7 Janet Tavakoli to Warren Buffett, letter, 26 June 2006. Janet Tavakoli to Warren Buffett, letter, 26 June 2006.

8 Benjamin Graham, Benjamin Graham, The Intelligent Investor The Intelligent Investor (New York: Harper & Row, 1973), 96. (New York: Harper & Row, 1973), 96.

9 Warren Buffett to Janet Tavakoli, letter, 22 June 2006. Warren Buffett to Janet Tavakoli, letter, 22 June 2006.

10 Chris Isidore, ”Buffett: My Fix for the Economy,” Chris Isidore, ”Buffett: My Fix for the Economy,” CNNMoney.com, 2 October 2008. Warren proposed private investors put up 20 percent cash for a.s.set purchases. The Treasury would finance the other 80 percent in exchange for getting paid princ.i.p.al back first, interest payments, and a share of the upside.This would force the use of market prices.

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