US airlines tick higher after Buffett says he’s open to a deal
Shares of 4 major US air carriers are taking off Monday after Warren Buffett — the famed investor whose Berkshire Hathaway owns stakes in all four — said he hadn’t ruled out buying an entire airline. The turn higher comes after Buffett said in an interview with CNBC that he “wouldn’t rule out owning an entire airline”, the way that Berkshire went from owning a stake in railroad BNSF to buying the whole thing in a 2009 deal. But Buffett cautioned that air travel “is a different business” than railroads, which require tracks and other infrastructure to operate and therefore offer more limited space for new entrants to disrupt the sector. “You can’t build a new railroad — you could add a flight”, he told CNBC. “It’s a different set of economics between the two industries.” <br/>
https://portal.staralliance.com/cms/news/hot-topics/2018-02-27/general/us-airlines-tick-higher-after-buffett-says-he2019s-open-to-a-deal
https://portal.staralliance.com/cms/logo.png
US airlines tick higher after Buffett says he’s open to a deal
Shares of 4 major US air carriers are taking off Monday after Warren Buffett — the famed investor whose Berkshire Hathaway owns stakes in all four — said he hadn’t ruled out buying an entire airline. The turn higher comes after Buffett said in an interview with CNBC that he “wouldn’t rule out owning an entire airline”, the way that Berkshire went from owning a stake in railroad BNSF to buying the whole thing in a 2009 deal. But Buffett cautioned that air travel “is a different business” than railroads, which require tracks and other infrastructure to operate and therefore offer more limited space for new entrants to disrupt the sector. “You can’t build a new railroad — you could add a flight”, he told CNBC. “It’s a different set of economics between the two industries.” <br/>
