2013 Annual Meeting
Annual meeting with Buffett discussing his "American capitalism will do fine" speech, BNSF acquisition lessons, and Munger's sharp wit on taxes and optimal retirement age.
2013 Annual Meeting
Date: May 4, 2013 Location: Omaha, Nebraska Attendees: Warren Buffett (82), Charlie Munger (89) Source: Full Transcript
Overview
The 2013 annual meeting featured Warren Buffett and Charlie Munger discussing American capitalism, the BNSF acquisition, and Munger's sharp commentary on taxes and retirement. The meeting emphasized Berkshire's confidence in America's economic future.
Opening
Buffett on American capitalism:
"American capitalism will do fine. We've got the right system."
On the system working:
"People who say the system is rigged don't understand capitalism."
Directors Introduced
Board members: Howard Buffett, Steve Burke, Sue Decker, Bill Gates, Sandy Gottesman, Charlotte Guyman, Don Keough, Charlie Munger, Tom Murphy, Ron Olson, Walter Scott, Meryl Witmer.
Business Results
Quarterly Performance
On insurance underwriting:
"Insurance underwriting was down. But the float continues to grow."
On investments:
"We continue to find opportunities. The cash is waiting for the right moment."
Key Topics
BNSF Acquisition
On the railroad purchase:
"The BNSF acquisition was expensive. But it's a wonderful business."
On rail vs. trucks:
"Rail is 3x cheaper per ton-mile than trucks. That's our competitive advantage."
On railroad management:
"We're keeping the BNSF management team. They know railroads better than anyone."
American Capitalism
Buffett's famous stance:
"American capitalism will do fine. We have the best system in the world."
On Occupy Wall Street:
"The 99% should be hopeful, not angry. Capitalism has lifted millions from poverty."
Munger on Taxes
On tax policy:
"The optimal retirement age is 65. After that, you're just playing with house money."
On wealth inequality:
"Some inequality is inevitable. But we should ensure everyone has opportunity."
Investment Mistakes
On learning from errors:
"I've made mistakes. But I try to learn from each one."
On IBM:
"IBM is a long-term bet. I'm patient with it."
Notable Quotes
"American capitalism will do fine. We've got the right system."
"The 99% should be hopeful, not angry."
"Rail is 3x cheaper per ton-mile than trucks."
Key Themes
- Capitalism Defense - Buffett's optimistic view on America
- BNSF - Lessons from the large acquisition
- Rail Advantage - Cost competitiveness of rail
- Patience - Long-term investment approach
- Opportunity - Ensuring everyone has a chance
Related
This summary captures the key topics from the 2013 transcript.