Celebrity

Buffett Touts Benefits Of Buybacks In His Shareholder Letter

Published

1 year ago

2023-02-25

OMAHA, Nebraska — Stock buyback critics, according to billionaire Warren Buffett, are “either an economic illiterate or a silver-tongued demagogue” or both, and all investors benefit from them as long as they are done at the right prices.

Buffett used a portion of his annual letter to Berkshire Hathaway shareholders on Saturday to tout the benefits of share repurchases, which have riled up Wall Street critics like Sens. Elizabeth Warren and Bernie Sanders as many other Democrats. The federal government even imposed a 1% tax on buybacks this year after they surpassed $1 trillion in 2022.

“When you are told that all share repurchases are harmful to shareholders or the country, or especially beneficial to CEOs, you are listening to either an economic illiterate or a silver-tongued demagogue (characters that are not mutually exclusive),” Buffett, a long-time Democrat, wrote.

According to investor Cole Smead, Washington D.C. should take note of Buffett’s position on stock buybacks.

“Any politician, regardless of party affiliation, should stand up and take notice of a statement like that,” said Smead of Seattle-based Smead Capital Management.

Buffett, in typical self-deprecating fashion,

Buffett, in typical self-deprecating fashion, claimed that Berkshire’s remarkable record of doubling the returns of the S&P 500 over the last 58 years with him at the helm is the result of “about a dozen truly good decisions – that would be about one every five years.”

He mentioned a few in his letter, but he kept his message — which has long been one of the most widely read business documents — remarkably brief this year, at just over eight pages. He also dedicated an entire page to a tribute to his 99-year-old business partner Charlie Munger.

“I think investors, whether Berkshire investors or just Berkshire students, look to him for more, and I think they may come away wanting more,” CFRA Research analyst Cathy Seifert said.

Buffett emphasized how much Berkshire benefits from dividends from large investments in its portfolio, such as Coca-Cola and American Express, even though he refuses to pay a dividend at the Omaha, Nebraska-based conglomerate he leads because he believes he can generate a higher return for shareholders by investing that cash. Last year, Coke paid Berkshire $704 million in dividends, and American Express paid $302 million, helping to increase the value of those stakes to $25 billion for Coke and $22 billion for American Express. In the 1990s, Berkshire paid $1.3 billion for each investment.

Buffett said the key lesson for investors is that “it takes just a few winners to work wonders. And, yes, starting early and living into your 90s helps.”

Berkshire Hathaway reported a sharp drop in fourth-quarter profit to $18.2 billion from $39.6 billion a year earlier as the paper value of its investments fell.

Berkshire Hathaway reported a sharp drop in fourth-quarter profit

As a result, the value of Berkshire’s sizable stock portfolio distorted those bottom-line figures once more. Because operating earnings exclude derivatives and investments, Buffett believes they are a better measure of Berkshire’s performance. However, Berkshire’s operating earnings fell to $6.7 billion, or $4,584.46 per Class A share, from $7.3 billion, or $4,904.23 per Class A share, the previous year.

This is significantly lower than what Wall Street predicted. FactSet polled three analysts, who predicted Berkshire would report operating earnings per Class A share of $5,305.83 on average.

Analysts said the results were still strong overall, but higher claims costs continued to hurt Geico’s results, while BNSF’s railroad traffic slowed and rising interest rates hurt several of Berkshire’s housing-related businesses, such as its nationwide network of Realtors and its Clayton Homes manufacturing housing unit.

Berkshire’s performance tends to track the performance of the U.S. economy because so many of its dozens of manufacturing, utility, and retail businesses do. The conglomerate is a barometer of the economy in many ways.

Berkshire continues to invest in whole companies and stocks whenever Buffett sees an opportunity. According to Edward Jones analyst Jim Shanahan, he was particularly aggressive last year, making a net investment of approximately $53 billion. Much of that was invested in Occidental Petroleum and Chevron stock and Alleghany Corp. insurance, which was purchased for $11.6 billion last fall.

Despite all of that spending, Berkshire Hathaway’s cash reserves increased to $128.6 billion at the end of the year, up from $109 billion at the end of the third quarter. Berkshire Hathaway’s businesses generate so much cash that it accumulates faster than Buffett can invest.

Berkshire increased its stake in the Pilot Flying J network of 750 truck stops to 80% at the start of this year, up from 38.6% in 2017, which will help this year’s earnings.

SOURCE – (AP)

Celebrity

Sean ‘Diddy’ Combs Files Motion To Dismiss Some Claims In A Sexual Assault Lawsuit

Published

22 hours ago

2024-04-27

Kiara Grace

AP - VOR News Image

Los Angeles – In response to a complaint from a woman accusing Sean “Diddy” Combs of sexual assault, his attorneys have responded. They have submitted a petition to dismiss some claims that were not legally applicable at the time of the claimed incident.

The application submitted in a New York court asserts that Diddy is immune from being sued due to the absence of specific legislation when Joi Dickerson-Deal brought the accusations against him in 1991.

Hollywood Reporter – VOR News Image

Sean ‘Diddy’ Combs Files Motion To Dismiss Some Claims In A Sexual Assault Lawsuit

The attorneys representing the music entrepreneur are seeking the dismissal of specific allegations made by Dickerson-Deal, including revenge porn and human trafficking, with prejudice.

In a previous legal submission, she alleged that Diddy deliberately administered drugs to her, subsequently took her to her residence, and engaged in sexual assault during a date in Harlem during her time as a 19-year-old university student.

The lawsuit claims that Combs surreptitiously recorded the attack and subsequently distributed it to multiple acquaintances inside the music industry, all without the victim’s awareness. He refuted the accusations, asserting that she was attempting to take advantage of the New York law that temporarily prolonged the period in which legal action could be taken.

Dickerson-Deal’s assertion was made almost thirty years after the supposed wrongdoing, and the New York State Revenge Porn Law was not officially established until 2019, according to Combs’ legal team.

In addition, his legal representatives highlighted several additional laws, such as the New York Services for Victims of Human Trafficking Law, enacted in 2007.

Page Six – VOR News Image

Sean ‘Diddy’ Combs Files Motion To Dismiss Some Claims In A Sexual Assault Lawsuit

The standard practice of the Associated Press is to refrain from disclosing the identities of those who claim to have experienced sexual abuse unless they choose to make their allegations public, as Dickerson has done.

Recently, federal police conducted raids on Combs’ houses in Los Angeles and Miami as part of a sex trafficking investigation. The criminal probe represents a significant increase in the examination of Combs, who has faced multiple recent lawsuits regarding sexual assault.

Combs resolved a case the day after it was filed in November, in which his former protege and girlfriend, the R&B singer Cassie, accused him of sexual abuse, including rape, over several years. The lawsuit alleges that he coerced her into engaging in sexual acts with male escorts as he recorded the encounters.

In February, a music producer initiated legal proceedings claiming that Combs exerted undue influence on him to engage in the act of soliciting prostitutes and coerced him into engaging in sexual activities with them.

The Mirror – VOR News Image

Sean ‘Diddy’ Combs Files Motion To Dismiss Some Claims In A Sexual Assault Lawsuit

One of the individuals who accused Combs was a lady who alleged that he sexually assaulted her twenty years ago when she was seventeen.

Combs and his legal representatives have refuted all the accusations made in the cases.

SOURCE – (AP)

News

Rapper in Iran Sentenced to Death For Criticizing Regime

Published

2 days ago

2024-04-26

Geoff Thomas

Rapper in Iran Sentenced to Death For Criticizing Regime

A rapper in Iran who rose to prominence for his rhymes about Mahsa Amini’s death in 2022 and criticism of the Islamic Republic has been sentenced to death, his lawyer and rights campaigners said Thursday.

The death sentence handed down to 33-year-old metal shop worker Toomaj Salehi remains unclear, as even Iran’s state-run IRNA news agency and judiciary have yet to formally announce it.

However, the announcement attracted immediate worldwide criticism from US and UN experts, who saw it as a symptom of Tehran’s ongoing assault on all dissent following years of large rallies in the country.

“Art must be allowed to criticize, provoke, and push the boundaries in any society,” a panel of United Nations independent experts on Iran said in a statement Thursday.

The news broke on Wednesday, following a report by Iran’s reformist The Shargh newspaper reported that Salehi had been sentenced to death by a Revolutionary Court in Isfahan, a key Iranian city recently attacked by an apparent Israeli attack. Closed-door sessions, secret evidence, and scant rights for people on trial are common in Iran’s revolutionary courts.

Rapper to Appeal Sentence

Amir Raisian, Salehi’s lawyer, told The Associated Press on Thursday that he had received notice of the death sentence against his client. Raisian said he intended to seek an appeal.

Salehi’s case arises from Amini’s death in 2022, following her arrest by police for not wearing a hijab to their liking. According to United Nations investigators, Iran was responsible for Amini’s death and forcefully suppressed mostly peaceful rallies during a months-long security crackdown that killed more than 500 people and jailed over 22,000 others.

Salehi rapped about Amini in one YouTube video, saying, “Someone’s crime was dancing with her hair in the wind.”

In another lyric, he prophesies the end of Iran’s theocracy. “Your entire past is dark, the government that sucked the light out of your eyes. We begin at the base of the pyramid and work our way up. This is the year of failure after forty-four years in power.”

His other songs were obscene, criticizing the all-volunteer Basij component of Iran’s paramilitary Revolutionary Guard and mentioning Supreme Leader Ayatollah Ali Khamenei.

Salehi was first sentenced to six years in prison, but he was released after Iran’s Supreme Court returned the case to the lower court due to irregularities in his original sentence.

Released on Bond

Salehi was released on bond, but was arrested again in November after claiming in a video message that he had been tortured following his detention in October 2022. At the time, state media aired a video of him blindfolded and apologizing for his statements, which were most likely uttered under duress.

Iran’s judiciary refused to acknowledge the death sentence, despite IRNA referring to “reports” that he had received it.

A death sentence based on the reversal of a lesser sentence is exceedingly unprecedented in Iran, presumably indicating how seriously Iran’s theocracy took Salehi’s statements. It also comes after other journalists, activists, and singers have been targeted after the “Women, Life, and Freedom” protests against Amini.

An Iranian artist, who received a Grammy presented by US first lady Jill Biden, was condemned to more than three years in prison for his hymn supporting the 2022 protests Activists quickly denounced the rappers sentence.

“This grotesque manipulation of the judicial process aims to silence dissent,” Hadi Ghaemi of the New York-based Center for Human Rights in Iran stated. “Toomaj’s detention arises from his public opposition to state tyranny. It is critical that supporters of free speech and dissent come together to demand his immediate release.”

Washington criticized the sentencing as well.

“This is just another example of the Iranian regime’s horrific and pervasive human rights abuses,” said State Department spokesperson Vedant Patel on Wednesday. “We once again condemn the Iranian regime’s … use of the death sentence as a tool to suppress people’s human rights and fundamental freedoms.”

Music

Police Say There Was No Foul Play in Mandisa’s Death

Published

3 days ago

2024-04-26

Geoff Thomas

The Franklin police department in Tennessee has provided an update on the death of Christian singer and former “American Idol” contestant Mandisa, who died last week.

Mandisa, whose full name is Mandisa Hundley, was discovered dead in her Nashville home on April 18, according to a statement on the artist’s official Facebook page. She was 47.

According to a post on X, the program formerly known as Twitter, the Franklin police department stated that there is currently no evidence that Mandisa’s death was the result of suspicious or criminal conduct.

“The Franklin Police Department sends its condolences to Hundley’s family, friends, and fans,” the department said on X.

Mandisa rose to notoriety

K-Love, a Christian music station, was the first to announce the artist’s death. Mandisa rose to notoriety after standing firm in the face of criticism from “American Idol” judge Simon Cowell during season five, according to K-Love.

After finishing in the Top 10 on “American Idol,” she released her debut album, “True Beauty,” in 2007.

She began her singing career with the Fisk Jubilee Singers, an African American vocal group, while attending Fisk University in Nashville, Tennessee, according to K-Love. After her stint on “American Idol,” she collaborated with various musicians, including TobyMac, Matthew West, Michael W. Smith, and Kirk Franklin.

According to her website, She had published five full-length albums throughout the course of her two-decade career, including one Christmas album. Her hit album “Overcomer” won her a Grammy in 2014 for Best Contemporary Christian Music Album.

K-Love said that she has great relationships with her fellow singers, including TobyMac.

“Since the first day I met Mandisa, she has been nothing but original and courageous,” Toby told K-Love in a statement. “My touring family benefits from her presence. She sincerely encourages each performer on stage and every crew member behind the scenes. In a single word, I would describe her as one of the most authentic persons I have ever met. Her passion desires to help others.”