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Mouser Electronics

Mouser Electronics Expands Headquarters with New Building Dedicated to Customer Service

(BRK.A), (BRK.B)

Berkshire Hathaway’s Mouser Electronics, Inc., the industry’s leading New Product Introduction (NPI) distributor with the widest selection of semiconductors and electronic components, has opened a new Customer Service Center building at its corporate headquarters, devoted entirely to customer service and support.

The new two-story, 50,000-square-foot building, located on Mouser’s 78-acre campus of its worldwide headquarters in Texas, is designed to be energy efficient and can also expand to 100,000 square feet to meet demand. The building features state-of-the-art amenities, inside and outside eating areas and a large parking expansion.

“Mouser has been fortunate to see strong growth over the last several years, and we need more space for more people to provide our signature customer service,” said Coby Kleinjan, Vice President of Americas Customer Service and Sales. “The idea is to allow room for additional staffing while boosting efficiency and collaboration. This additional capacity will strengthen our efforts to provide best-in-class customer service across the board.”

Including the new Customer Service Center building, Mouser offers 27 customer support locations located across three continents to provide customer support in local language, time zone and currency. The authorized global distributor provides customers with service and technical support via phone, email, and chat or through its industry-leading website, mouser.com. The company calls the approach “glocal” — giving localized service across the globe.

© 2020 David Mazor

Disclosure: David Mazor is a freelance writer focusing on Berkshire Hathaway. The author is long in Berkshire Hathaway, and this article is not a recommendation on whether to buy or sell the stock. The information contained in this article should not be construed as personalized or individualized investment advice. Past performance is no guarantee of future results.

Categories
Financials

Berkshire Hathaway Accelerates Share Buybacks

(BRK.A), (BRK.B)

Investors wondering whether Warren Buffett thinks that Berkshire Hathaway stock has been undervalued, now have their answer. He does.

Berkshire Hathaway dramatically increased its share buybacks in the third quarter.

Approximately $9 billion was used to repurchase Berkshire shares during the third quarter, as compared to $5.1 billion in buybacks in the second quarter. This brings the nine month total share repurchases to approximately $16 billion.

The average share price Berkshire paid was: $188 for $2.5 billion in July, $210 for $3.1 billion in August, and $215.8 for $3.6 billion in September.

Warren Buffett’s annual letter to shareholders for 2019 detailed his thinking on share buybacks:

In past reports, we’ve discussed both the sense and nonsense of stock repurchases. Our thinking, boiled down: Berkshire will buy back its stock only if a) Charlie and I believe that it is selling for less than it is worth and b) the company, upon completing the repurchase, is left with ample cash.

Calculations of intrinsic value are far from precise. Consequently, neither of us feels any urgency to buy an estimated $1 of value for a very real 95 cents. In 2019, the Berkshire price/value equation was modestly favorable at times, and we spent $5 billion in repurchasing about 1% of the company.

Over time, we want Berkshire’s share count to go down. If the price-to-value discount (as we estimate it) widens, we will likely become more aggressive in purchasing shares. We will not, however, prop the stock at any level.

© 2020 David Mazor

Disclosure: David Mazor is a freelance writer focusing on Berkshire Hathaway. The author is long in Berkshire Hathaway, and this article is not a recommendation on whether to buy or sell the stock. The information contained in this article should not be construed as personalized or individualized investment advice. Past performance is no guarantee of future results.

Categories
Financial Reports

Berkshire Hathaway Third Quarter Earnings

(BRK.A), (BRK.B)

Earnings of Berkshire Hathaway Inc. and its consolidated subsidiaries for the third quarter and first nine months of 2020 and 2019 are summarized below. Earnings are stated on an after-tax basis. (Dollar amounts are in millions, except for per share amounts).

Third Quarter

First Nine Months

2020

2019

2020

2019

Net earnings attributable to Berkshire shareholders

$

30,137

$

16,524

$

6,686

$

52,258

Net earnings includes:

Investment and derivative gains/losses –

Investments(1)

24,771

8,481

1,271

31,745

Derivatives

(34

)

185

(506

)

961

24,737

8,666

765

32,706

Impairments of intangible assets(2)

(78

)

(214

)

(10,980

)

(214

)

Operating earnings

5,478

8,072

16,901

19,766

Net earnings attributable to Berkshire shareholders

$

30,137

$

16,524

$

6,686

$

52,258

Net earnings per average equivalent Class A Share

$

18,994

$

10,119

$

4,160

$

31,944

Net earnings per average equivalent Class B Share

$

12.66

$

6.75

$

2.77

$

21.30

Average equivalent Class A shares outstanding

1,586,698

1,633,002

1,607,041

1,635,903

Average equivalent Class B shares outstanding

2,380,046,304

2,449,502,430

2,410,561,550

2,453,854,768

Note: Per share amounts for the Class B shares are 1/1,500th of those shown for the Class A.

(1) Generally Accepted Accounting Principles (“GAAP”) require that we include the changes in unrealized gains/losses of our equity security investments as a component of investment gains/losses in our earnings statements. In the table above, investment gains/losses in 2020 include gains of $22.4 billion in the third quarter and $2.3 billion in the first nine months and in 2019 include gains of $8.0 billion in the third quarter and $30.1 billion in the first nine months due to changes during the third quarter and the first nine months in the unrealized gains that existed in our equity security investment holdings. Investment gains/losses in 2020 also include after-tax realized gains on sales of investments of $3.1 billion during the third quarter and $552 million during the first nine months. In 2019, investment gains/losses include after-tax realized gains of $513 million during the third quarter and $1.6 billion during the first nine months.

The amount of investment gains/losses in any given quarter is usually meaningless and delivers figures for net earnings per share that can be extremely misleading to investors who have little or no knowledge of accounting rules.

(2) Impairments of intangible assets in the first nine months of 2020 include charges of $9.8 billion recorded in the second quarter attributable to impairments of goodwill and certain identifiable intangible assets that were recorded in connection with Berkshire’s acquisition of Precision Castparts Corp. in 2016.

An analysis of Berkshire’s operating earnings follows (dollar amounts are in millions).

Third Quarter

First Nine Months

2020

2019

2020

2019

Insurance-underwriting

$

(213

)

$

440

$

956

$

1,182

Insurance-investment income

1,015

1,484

3,769

4,087

Railroad, utilities and energy

2,742

2,644

6,257

6,447

Other businesses

2,346

2,455

5,833

7,142

Other

(412

)

1,049

86

908

Operating earnings

$

5,478

$

8,072

$

16,901

$

19,766

Approximately $9 billion was used to repurchase Berkshire shares during the third quarter bringing the nine month total to approximately $16 billion. On September 30, 2020 there were 1,570,636 Class A equivalent shares outstanding. At September 30, 2020, insurance float (the net liabilities we assume under insurance contracts) was approximately $135 billion, an increase of $6 billion since yearend 2019.

Use of Non-GAAP Financial Measures

This press release includes certain non-GAAP financial measures. The reconciliations of such measures to the most comparable GAAP figures in accordance with Regulation G are included herein.

Berkshire presents its results in the way it believes will be most meaningful and useful, as well as most transparent, to the investing public and others who use Berkshire’s financial information. That presentation includes the use of certain non-GAAP financial measures. In addition to the GAAP presentations of net earnings, Berkshire shows operating earnings defined as net earnings exclusive of investment and derivative gains/losses and impairments of goodwill and intangible assets.

Although the investment of insurance and reinsurance premiums to generate investment income and investment gains or losses is an integral part of Berkshire’s operations, the generation of investment gains or losses is independent of the insurance underwriting process. Moreover, as previously described, under applicable GAAP accounting requirements, we are required to include the changes in unrealized gains/losses of our equity security investments as a component of investment gains/losses in our periodic earnings statements. In sum, investment gains/losses for any particular period are not indicative of quarterly business performance.

About Berkshire

Berkshire Hathaway and its subsidiaries engage in diverse business activities including insurance and reinsurance, utilities and energy, freight rail transportation, manufacturing, retailing and services. Common stock of the company is listed on the New York Stock Exchange, trading symbols BRK.A and BRK.B.

Cautionary Statement

Certain statements contained in this press release are “forward looking” statements within the meaning of the Private Securities Litigation Reform Act of 1995. These statements are not guaranties of future performance and actual results may differ materially from those forecasted.

Disclosure: David Mazor is a freelance writer focusing on Berkshire Hathaway. The author is long in Berkshire Hathaway, and this article is not a recommendation on whether to buy or sell a stock. The information contained in this article should not be construed as personalized or individualized investment advice. Past performance is no guarantee of future results.

Categories
Pampered Chef

Berkshire Hathaway’s Pampered Chef Enters the France Market

(BRK.A), (BRK.B)

As part of its international expansion strategy, Berkshire Hathaway’s Pampered Chef has expanded to France.

This is the company’s third market opening in Europe, with the Germany launch in 2000 and Austria in 2019.

“At Pampered Chef, we believe our purpose – to enrich lives one meal and one memory at a time – is one that can have an impact globally, and we are excited to continue our Europe expansion efforts with Pampered Chef France,” said Nevena Srebreva, chief field and international officer for Pampered Chef. “This year, we celebrate our 40th anniversary as a company and our 20th anniversary in Germany. The brand’s tremendous international growth during that time demonstrates how much the power of mealtime resonates with people worldwide.”

French consumers will be able to access Pampered Chef’s high-quality kitchen tools and time-saving cooking solutions, designed to enhance and simplify mealtime without sacrificing quality time with loved ones. This trusted and distinctive product offering is delivered by a global community of more than 50,000 independent cooking consultants, who have a business opportunity that combines their passion for food with products they love.

© 2020 David Mazor

Disclosure: David Mazor is a freelance writer focusing on Berkshire Hathaway. The author is long in Berkshire Hathaway, and this article is not a recommendation on whether to buy or sell the stock. The information contained in this article should not be construed as personalized or individualized investment advice. Past performance is no guarantee of future results.

Categories
Acquisitions Berkshire Hathaway Energy

Berkshire Hathaway Energy Completes Acquisition of Majority of Dominion Energy’s Gas Transmission and Storage Business

(BRK.A), (BRK.B)

Berkshire Hathaway Energy has completed the purchase of Dominion Energy’s natural gas transmission and storage business, exclusive of Questar Pipeline Group.

The transaction consideration was $8 billion, including approximately $2.7 billion in cash (subject to certain adjustments) and the assumption of approximately $5.3 billion in debt.

The completed transaction also included the acquisition of 25% of Cove Point LNG – an LNG export, import and storage facility in Maryland that Berkshire Hathaway Energy will now operate. The transaction received antitrust clearance under the Hart-Scott-Rodino Act from the Federal Trade Commission in October 2020, and approval to transfer existing licenses from the Federal Communications Commission and Department of Energy earlier this year.

“We are pleased to welcome the natural gas transmission and storage business and its employees to Berkshire Hathaway Energy,” said Greg Abel, Berkshire Hathaway’s vice chairman, non-insurance operations, and Berkshire Hathaway Energy chairman. “With shared values and priorities, the business is a great fit within our organization and will play an important role in our long-term plan to deliver clean, low-cost and sustainable energy solutions to customers and communities.”

On July 5, 2020, Berkshire Hathaway Energy announced it had reached an agreement to acquire substantially all of Dominion Energy’s gas transmission and storage operating segment assets. On September 30, 2020, Dominion Energy announced a dual-phase closing for the transaction as a result of updated timing expectations for receipt of the antitrust clearance from the Federal Trade Commission related exclusively to the sale of Questar Pipeline Group.

On October 5, 2020, the companies entered into a second agreement providing for Berkshire Hathaway Energy’s purchase of Questar Pipeline Group from Dominion Energy Questar Corporation. The second transaction is subject to regulatory approvals and is expected to close in early 2021.

© 2020 David Mazor

Disclosure: David Mazor is a freelance writer focusing on Berkshire Hathaway. The author is long in Berkshire Hathaway, and this article is not a recommendation on whether to buy or sell the stock. The information contained in this article should not be construed as personalized or individualized investment advice. Past performance is no guarantee of future results.

Categories
Acquisitions Marmon Group

Berkshire Hathaway Acquires Tenn-Tex Plastics

(BRK.A), (BRK.B)

Berkshire Hathaway’s Marmon Fastener Group has announced the acquisition of Tenn-Tex Plastics Inc., adding it to its lineup of construction fastener companies. No financial terms of the deal were released.

Based in Colfax, North Carolina, Tenn-Tex manufactures plastic injection molded parts for kitchen and bath cabinetry.

The company’s products include: speciality drawer slide brackets designed for easy installation, a patented QuikTray Rollout System, Shelf Clips, Shelf Supports, Institutional Shelf Supports, Corner Braces, Glue Blocks, False Front Clips, Glass Door Retainers, Slide Brackets for Undermount and Side Mount Slides, Brackets for Ball Bearing Slides, Cover Caps, Shipping Clips, Spacers, Inset brackets, Toe Kick Endcaps, Paint Caps, Furniture Glides and much more.

“Tenn-Tex is a great fit for the Marmon Fastener Group as we grow and innovate in both existing and adjacent markets to meet customer needs,” said Group President Steve Semmler. “Tenn-Tex is particularly well aligned with Pan American Screw.”

“We look forward to growing in service to our customers and markets through the excellent synergy of Pan American / Deerwood Fasteners and Tenn-Tex,” said Pan American President Phil Lail.

© 2020 David Mazor

Disclosure: David Mazor is a freelance writer focusing on Berkshire Hathaway. The author is long in Berkshire Hathaway, and this article is not a recommendation on whether to buy or sell the stock. The information contained in this article should not be construed as personalized or individualized investment advice. Past performance is no guarantee of future results.

Categories
Lubrizol

Lubrizol and Grasim Industries Limited to Build India’s Largest CPVC Resin Plant

(BRK.A), (BRK.B)

To meet growing demand for chlorinated polyvinyl chloride (CPVC) pipe and fittings in India, Berkshire Hathaway’s Lubrizol Advanced Materials, a global specialty chemical leader and the market leader for CPVC, and Grasim Industries Limited, a flagship company of the Aditya Birla Group, have entered into a definitive agreement to manufacture and supply CPVC resin in India.

Once commissioned, this near 100,000 metric-ton state-of-the-art CPVC plant at Grasim’s site in Vilayat, Gujarat, will be the largest single-site capacity for CPVC resin production globally.

The project will take part in two phases, with the first phase of production expected to be operational in late 2022. The CPVC resin produced at Vilayat will enable product sold under Lubrizol’s FlowGuard® Plus, Corzan® and BlazeMaster® brands.

This collaboration, in support of the Government of India’s “Make in India” initiative, is expected to bolster economic development in the state of Gujarat. To further support the local market, Lubrizol will make additional investments in the coming years to expand its existing CPVC compound plant in Dahej, Gujarat and establish a local innovation center as demand continues to grow.

India is amongst the largest consumers of CPVC, primarily in the form of plumbing pipe and fittings, and growing needs for clean water in all residential and commercial buildings will drive continued growth. Lubrizol is the inventor and largest manufacturer of CPVC resin and CPVC compounds worldwide. With billions of feet installed globally, Lubrizol’s CPVC solutions enable long-lasting systems and reliable access to clean, safe drinking water to millions of homes, in alignment with the company’s mission to help the world Live Better.

To-date, Lubrizol products have been instrumental in delivering safer water to some 200 million citizens in South Asia. Lubrizol has plans to introduce other advanced water management solutions in India in the future.

With this investment to supply resin to its existing compounding plant in Dahej, Gujarat, Lubrizol becomes the only company in India with end-to-end CPVC capability. In addition to its regional manufacturing capabilities, Lubrizol continues to strengthen its customer network, collaborating with local leaders like Ashirvad Pipes, an Aliaxis company, and Prince Pipes to ensure robust distribution in India and South Asia. As part of its regional support, Lubrizol is also committed to the ongoing development of plumbers in India, having trained nearly 100,000 local plumbers on installation of advanced plumbing systems.

“This alliance will help Lubrizol better serve our customers in India and South Asia, as well as support the Indian economy,” said Arnau Pano, Vice President, Lubrizol Advanced Materials, South Asia. “Connecting with Grasim Industries Limited, a reputable global conglomerate, who share our commitment to sustainable chemical production, will allow us to provide our customers with increased, reliable CPVC supply and further our goal of improving access to clean, safe drinking water for millions of global citizens through the advantages offered by FlowGuard® Plus plumbing solutions.”

“This collaboration with Lubrizol Advanced Materials is part of our long-term direction to bring in world-class technologies to India and additionally complements our growth strategy in Chlor-Alkali and Derivatives platform,” said Kalyan Ram Madabhushi, CEO-Global Chemicals & Group Business Head-Fertilisers & Insulators, Aditya Birla Group. “The collaboration will support the ‘Make in India’ initiative and is expected to create local jobs and downstream opportunities.”

This collaboration also will enable Aditya Birla Group and The Lubrizol Corporation to explore collaboration opportunities across additional segments, such as water management, construction, textiles, automotive and piping by leveraging the technologies and market channels of both groups.

© 2020 David Mazor

Disclosure: David Mazor is a freelance writer focusing on Berkshire Hathaway. The author is long in Berkshire Hathaway, and this article is not a recommendation on whether to buy or sell the stock. The information contained in this article should not be construed as personalized or individualized investment advice. Past performance is no guarantee of future results.

Categories
Minority Stock Positions Stock Portfolio

Berkshire Hathaway-Backed BYD’s Stock Continues to Rocket Skyward

(BRK.A), (BRK.B)

Shares of Berkshire Hathaway-backed Chinese battery and vehicle manufacturer BYD Co., Ltd. have continued to rocket upward, jumping 11.5% on Thursday.

BYD’s stock (BYDDF), which had been as low as $4.35 on March 23, hit $21.30 on intraday trading before closing at $20.60.

The company has had strong demand for its Han EV luxury automobile, which debuted in July and sold 4,000 units in August.

BYD is the world leader in electric buses. BYD recently secured Finland’s largest eBus order – 106 vehicles for Nobina, one of Scandinavia’s largest public transport operators.

The company also manufactures EV batteries, a market that is projected to grow at a CAGR of 22% over the next five years.

A Profitable EV Company

BYD recently reported a net profit of 1.66 billion yuan (roughly 242 million U.S. dollars) for the first half of 2020. The net profit rose 14.29 percent over the same period in 2019.

Through June 30, BYD had revenue of 60.5 billion yuan, down 2.7 percent year on year, according to BYD’s financial report filed with the Shenzhen Stock Exchange.

Despite the global pandemic, BYD projects 2.8 billion yuan to 3 billion yuan of net profit in the first three quarters of this year, which would be an increase of 77.86 percent to 90.56 percent from the same period of 2019.

BYD and Berkshire Hathaway

In 2008, Berkshire Hathaway bet on BYD’s potential, purchasing 225 million shares. It’s an investment that has paid off handsomely. Berkshire’s original investment of $230 million has grown in value twenty-fold.

© 2020 David Mazor

Disclosure: David Mazor is a freelance writer focusing on Berkshire Hathaway. The author is long in Berkshire Hathaway and BYD, and this article is not a recommendation on whether to buy or sell a stock. The information contained in this article should not be construed as personalized or individualized investment advice. Past performance is no guarantee of future results.

Categories
Berkshire Hathaway HomeServices Real Estate

Berkshire Hathaway HomeServices Announces First Hawaii Island (Big Island) Location

(BRK.A), (BRK.B)

Berkshire Hathaway HomeServices, part of Berkshire Hathaway’s HSF Affiliates LLC family of real estate brokerage franchise networks, has opened its first franchised office on Hawaii Island. The independently owned and operated real estate office will operate as Berkshire Hathaway HomeServices Hawai’i Island Properties.

The Hawaii Island entity was developed by Berkshire Hathaway HomeServices Maui Properties, an established network member since 2014.

“As the only current Berkshire Hathaway HomeServices network member on the Island of Hawai’i, our initial goal is to gain market share in the West Hawai’i real estate market,” said Alex Iskenderian, CEO of Hawai’i Island Properties. “We feel confident that our full service, hands-on approach coupled with the resources and trust of Berkshire Hathaway HomeServices will allow us to accomplish our client’s goals in the most efficient way possible.”

Hawai’i Island Properties will serve the unique housing needs, attractions, and cultures of Hawaii Island. “Sellers looking to list a house, condo or piece of land on the Island of Hawaii want and need a dedicated specialist,” said Alex Iskenderian. “We wanted to expand our reach but retain that local expertise and trust that home buyers and sellers expect from a Berkshire Hathaway HomeServices network member.”

“Berkshire Hathaway HomeServices Hawai’i Island Properties new office is an exciting addition to our network,” said Chris Stuart, CEO of Berkshire Hathaway HomeServices. “Alex Iskenderian embodies a similar vision to ours with the intent to establish a Forever Brand. Combining forces with Maui Properties to serve West Hawai’i, Alex is making decisions to impact decades to come.”

Hawai’i Island Properties agents gain access to Berkshire Hathaway HomeServices’ active referral and relocation networks, and its “FOREVER Cloud” technology suite, a powerful source for lead generation, marketing support, social media, video production/distribution and more. Berkshire Hathaway HomeServices has aligned with best-in-class technology platforms to deliver world-class support to its network members far into the future.

The brand also provides global listing syndication, professional training and ongoing education and the exclusive Luxury Collection marketing program for premier listings.

Iskenderian added, “The tools that Berkshire Hathaway HomeServices provides are the best in the industry by far. We are able to streamline the buying and selling process allowing more time to do the most important tasks.”

Gino Blefari, Chairman of Berkshire Hathaway HomeServices, also extended a warm welcome to the new office.

“Berkshire Hathaway HomeServices Hawai’i Island Properties demonstrates a commitment to their community beyond real estate sales that is a wonderful example of the Berkshire Hathaway HomeServices mission to be dedicated to their clients and continuously improve their lives.”

Iskenderian continued with, “We have a focus on second homes, vacation rental properties, raw land and everything in between. We have dedicated specialists for each of the resorts and each market segment.”

© 2020 David Mazor

Disclosure: David Mazor is a freelance writer focusing on Berkshire Hathaway. The author is long in Berkshire Hathaway, and this article is not a recommendation on whether to buy or sell the stock. The information contained in this article should not be construed as personalized or individualized investment advice. Past performance is no guarantee of future results.

Categories
NetJets

NetJets Launches Worldwide Sustainability Program

(BRK.A), (BRK.B)

NetJets has launched its expanded Global Sustainability Program, a commitment to reducing the environmental footprint of the brand and its Owners. As the leader in private aviation with more than 750 aircraft worldwide, NetJets’ position in the market comes with the responsibility to drive awareness and action for important issues industry-wide. As such, the brand is developing a multi-tiered program to address sustainability and continuing to examine all aspects of its business with environmental impact in mind.

NetJets’ Global Sustainability Program focuses on:

• Sustainable Fuel
o NetJets is purchasing enough sustainable aviation fuel (SAF) to account for all flights out of San Francisco, California, where the fuel supply is located, and its home base of Columbus, Ohio, in partnership with Signature Flight Support.
 This totals up to 3 million gallons of SAF produced by Neste, the largest provider of renewable jet fuel and diesel globally, and the world’s third most sustainable company according to Corporate Knights’ 2020 ranking.
 This commitment amounts to an unprecedented volume of sustainable fuel in the private aviation space and supports the continued industry availability of SAF, which can reduce greenhouse gas emissions by up to 80% compared to conventional jet fuel.
o NetJets is continuing to explore additional SAF purchase opportunities in both the U.S. and Europe.
• Corporate Responsibility
o NetJets Europe has been carbon neutral since 2012, going above and beyond European Union regulations to participate in the Emissions Trading System, which imposes a cap and cost on emissions but does not necessitate carbon neutrality.
o NetJets will offset its administrative and training flights in the U.S. beginning in 2021, amounting to approximately 1,600 flights annually.
• Consumer Participation
o The NetJets Blue Skies program encourages Owners worldwide to take responsibility for the environmental impact of their flight by seamlessly purchasing the equivalent amount of carbon credits to ensure their flight activity is carbon neutral.
 NetJets partners with ClimateCare to offset emissions through projects that protect forests, capture and destroy landfill gas and scale up renewable energy distribution, supporting several UN Sustainable Development Goals. All projects adhere to the highest leading global verification standards.
 As of October 2020, NetJets Owners in the U.S. have offset 75,000 metric tons of carbon. In Europe, Owners have offset over 1 million metric tons.

By nature of its fractional ownership model, NetJets facilitates a sharing economy that eliminates the need to reposition flights to a home base and makes full-time ownership of an aircraft unnecessary, ultimately leading to more efficiencies and less surplus time in the sky.

“As the largest and most experienced company in the private aviation space worldwide, NetJets’ promise of exceptional safety and service to Owners and employees must extend to the larger global community we impact as well,” said Brad Ferrell, Executive Vice President of Administrative Services. “Our Sustainable Aviation Fuel purchase is crucial for the continued availability of the product in the market, and we’re excited to help create that opportunity, as well as to announce the next phase of our Global Sustainability Program. There remains more to be done in the sustainable aviation space, and we look forward to being on the cutting-edge of those innovations and evolving this program in our ongoing efforts to address sustainability in the air, on the ground and with our team members.”

In order to remain accountable, NetJets will track a number of metrics, including percentage decrease in carbon emissions and miles offset to carbon neutral, to share in bi-annual updates with Owners, employees and the larger aviation community. A subsidiary of Berkshire Hathaway, NetJets’ Global Sustainability Program aligns with the holding company’s commitment to the U.N. Sustainable Development Goals.

© 2020 David Mazor

Disclosure: David Mazor is a freelance writer focusing on Berkshire Hathaway. The author is long in Berkshire Hathaway, and this article is not a recommendation on whether to buy or sell a stock. The information contained in this article should not be construed as personalized or individualized investment advice. Past performance is no guarantee of future results.