Skip to comments.GE selling $3 billion in stock to Buffett, $12 billion to public
Posted on 10/01/2008 2:24:57 PM PDT by NormsRevenge
FAIRFIELD, Conn. Warren Buffett's Berkshire Hathaway is buying $3 billion worth of General Electric preferred shares, even as the diversified conglomerate is preparing to sell at least $12 billion worth of common stock to the public.
GE says Berkshire Hathaway will buy $3 billion of perpetual preferred stock in a private offering. Such stock carries a dividend of 10 percent and is callable, at a 10 percent premium, after three years. Berkshire also received warrants to buy $3 billion worth of common shares at $22.25 each over five years. GE says that the Berkshire funds will boost its capital position and permit it to make opportunistic investments if they arise.
(Excerpt) Read more at mercurynews.com ...
if ya wanna make some money, that is. ;-)
all of my life
ge was the stock indicator.
Apparently Buffet and Soros are having a pissy fight over who owns America and the world banks. Soros has taken a few blows by betting on the weak dollar, now Buffet counter punches with $7 bill into preferred stock of the now tax payer funded failing banks. It’s nice to see an American still in the ring......if you can call Buffet an American.
All the rank and file share holders get is stock dilution. This after GE said very recently that it was in "fine fiscal shape" and "didn't need any new capital." Yeah.....right.
It starts with 'd' and ends with 'erivatives'.
If Buffet lives long enough he’ll come out of this slump owning half of corporate america.
$44 trillion? Your predictions are legend now.......
Help me out, here. What’s the difference between common and preferred stock?
For one thing, I believe you are at the front of the line in a bankruptcy.
With preferred stock, you are behind creditors—landlords, suppliers, bondholders, etc.—but you are ahead of common stock shareholders.
GE, parent company of the National Broadcasting Corporation.
Buffett is buying a big stake in the official propaganda and brainwashing arm a future ObaMao Administration.