Economy

Warren Buffett Says the Republican Tax Plan Contains a 'Terrible Mistake'

Warren Buffett Says the Republican Tax Plan Contains a 'Terrible Mistake'”

Warren Buffett's Berkshire Hathaway Inc bought a major stake in Pilot Flying J, the largest USA truck stop operator, and said it will become the majority owner in six years, deepening its commitment to the American economy.

Pilot Flying J, whose formal name is Pilot Travel Centers LLC, has more than 750 locations in 44 U.S. states and Canada, selling gas, diesel fuel, and convenience goods, and offering trucks over 70,000 parking spaces and 5,000 diesel lanes.

Haslam will remain CEO of the company, which has more than 750 locations in 44 states and generated more than $20 billion in sales previous year.

It's not Buffett's first deal in Tennessee.

Haslam said in an interview he hit it off with Buffett after being introduced earlier this year by Chicago merchant banker Byron Trott, who suggested the Berkshire chairman buy a minority stake in the truck stop operator.

"We have lots of stocks with lots of gains and we have a few stocks with losses", he said.

Warren Buffett's stake in Pilot Flying J won't require much in the way of changes. And Berkshire's utility arm struck a deal in July to buy Texas power-transmission company Oncor, but the deal was terminated in favor of a higher offer from Sempra Energy. He bought Maryville-based Clayton Homes, the country's biggest producer of manufactured housing, for $1.7 billion in 2003.

"Kevin Clayton could not have been more complimentary", Jimmy Haslam said.

The purchase may help Buffett, 87, overcome his recent struggles to deploy Berkshire's US$100-billion cash hoard.

Trott, a former Goldman Sachs banker, runs BDT Capital Partners LLC, which is exiting its investment in Pilot Flying J.

Berkshire also owns railroad Burlington Northern Santa Fe, is a big investor in airlines Delta, American, Southwest and United Continental as well as Big 3 auto company GM. "We like the business and we like the people, so it worked". "We have that in Berkshire Hathaway - they believe in our strategy, support our team and are excited to see Pilot Flying J grow".

The company paid a $92 million settlement to trucking customers after a 2013 raid by the Federal Bureau of Investigation and the Internal Revenue Service.

"I knew about it, but it will not affect the future of the company", Buffett said.

Matt Lakin and Nate Rau report for the Knoxville (Tenn.) News Sentinel; Nathan Bomey reports for USA TODAY.



Like this

Latest


03 October 2017
Media companies fight to keep Uber v Waymo case public
Levandowski left Google in January 2016, joined Uber days later, and soon after secured a rough framework of a deal for Uber to acquire Ottomotto.

03 October 2017
Heroic Veteran Steals Truck, Takes Vegas Shooting Victims To Hospital
People carry a person at the Route 91 Harvest country music festival after a mass shooting in Las Vegas on October 1, 2017. Paramedics who took him out the back told her he later died.

03 October 2017
Scottish Government Decision On Fracking This Afternoon
The Scottish Tories said the decision was a serious mistake, since it would deprive the country of much needed economic investment.

03 October 2017
Halloween : you know who could play the daughter of Laurie Strode !
And the first new tidbit couldn't be more awesome: Judy Greer may be heading to Haddonfield to play Laurie's daughter, Karen. Ant-Man in Ant-Man and the Wasp, which coincidentally stars Halloween: The Curse of Michael Myers' Paul Rudd.

03 October 2017
Appeals Court Set to Hear Ezekiel Elliott's Case
The NFL is seeking a stay of the injunction that is keeping the Dallas Cowboys running back on the field. The NFL is also scheduled to file a response brief by tomorrow.

03 October 2017
Dyche should replace Wenger as Arsenal manager - Wright
Wright added that ideally Dyche would take over a "club who can play in Europe on a regular basis". Despite a limited budget, Dyche has now established Burnley as a Premier League club.

03 October 2017
Netherlands coach Dick Advocaat calls up Virgil van Dijk
However, Southampton refused to alter their stance and Van Dijk remained at St Mary's beyond the close of the transfer window. Ex Leicester midfielder Savage questioned why Southampton refused to allow Van Dijk his big-money move to Liverpool .

03 October 2017
Stillwater Capital Advisors LLC Boosts Stake in Starbucks Corporation (SBUX)
It improved, as 68 investors sold SBUX shares while 409 reduced holdings. 132 funds opened positions while 703 raised stakes. Analyst research firms are expressing bullish stance on Starbucks Corporation (NASDAQ: SBUX)'s near-term growth potential.

03 October 2017
Steelers LT Alejandro Villanueva wants media to leave him alone
Villanueva accidentally got too far out and couldn't backtrack while the anthem music played. "From the media. To use me as a tool to push agendas and to push message is completely unacceptable".

03 October 2017
Vijay Mallya arrested in London in money laundering case, released on bail
As of now, Mallya is charged only in the Rs 900 crore IDBI loan case. 2016: Vijay Mallya in discussion with banks to settle debt. The latest evidence will be submitted before the London court where the final extradition hearing will take place in December.



Recommended