we don't really negotiate at berkshire. i don't have enough time to spend the rest of my life negotiating with people. i'll tell them what i do. if it works, fine. if it doesn't work, fine. >> famously, people wonder who will be your successor. and i wonder if tonight you want to give us any insights into that. >> well, i have left the directors a ouija board and i plan to keep in contact with them. i don't want to disappoint you, but you're not on the short list. [ applause ] >> could i be on the long list? so -- >> we're in perfect shape for it, though. i will say that. we've got successors that in most ways are better than i am. >> but you expect berkshire will be around for 20, 30, 40 periye? >> forever. it has a special culture. it has managers. we have an organization that would reject anyone that tried to tamper with that culture. it is special and it can stay special. >> so today achieving all you've achieved, you've got the admiration of virtually everybody in the world. what are your aspirations for the next five

i thought berkshire hathoway was that kind of a company. it wasn't much of a puff either. >> so your company is named berkshire hathoway, you sold that many years ago. did you think of changing the name? >> no. i don't do much of that. >> so when you started, originally you were buying stocks, but then you started buying companies. was that a different skill set? how did you learn to buy and operate these? >> when i buy 100 shares of xyz i look at it as buying the whole company. so i've always looked at buying stocks as buying businesses so it wasn't a different situation. i couldn't resell it and i couldn't -- if i owned the stock i couldn't change management which i could if i owned the company but it was basically the same approach. i'm a better investor because i'm a business person and i'm a better business person because i'm an investor. they cross over. >> berkshire hathoway has how many companies? >> about 75 but some of those own more companies. >> so 75 companies, you have about -- >> 270,000 employees. >> how do you manage? you h

berkshire hathaway, is that a buy? what i would like to do on behalf of everybody here is to thank you for an extraordinary tour de force of your explanations of things and think you very much for coming this evening and i think everybody had an enjoyable evening. i certainly did. i want to thank you on behalf of everybody here and in america for what you have done and for your confidence in america. on behalf of the washington economic club and everybody here i will give you a few gifts. >> you may get on the short list eventually. [applause] [laughter] >> this is a woodrow wilson jacket we had made up for you. [applause] >> go, tigers. >> and we have here a copy of the original map of the district of columbia we would like to give to you. i'd like to give you a copy of the declaration of independence. we talked about this appearance, your at the archives and you said you had not been there before. >> it was marvelous. >> you said your not sure what you agreed to and you agree to do this. i thank you for honoring a co

and yet he's the person warren buffett wants to succeed him as chairman of berkshire hathaway, the mega holding company that buffett built. like his father, howard does not live the high life. in fact, he's a farmer who would rather dig up the ground than sit in a boardroom. are you sure he's your son? >> well, i think that's worth checking out. you'll have a big exclusive. [ticking] [bell ringing] >> for 150 years, the floor of the new york stock exchange was the center of the financial world. but today most trading in stocks is done elsewhere by robot computers that buy and sell in microseconds, faster than you can blink an eye. and the computers have done so well that some institutional traders have come to believe that the game is rigged. are humans ever involved in the trading? >> humans are not involved in the trading because humans are way too slow. [ticking] >> there are close to 850,000 of them in the united states, twice the number of atms. the new slot machines, the main attraction at casinos, are like high-tech video games. and states across america are increasingly relying

and yet he's the person warren buffet wants to succeed him as chairman of berkshire hathaway, the mega holding company that buffet built. like his father, howard does not live the high life. in fact, he's a farmer who would rather dig up the ground than sit in a board room. are you sure he's your son? >> well, i think that's worth checking out. you'll have a big exclusive. >> simon: novak djovocic captured the u.s. open last september. that was after winning his first 41 matches. it was one of the best starts ever. >> it was incredible. it was historical. it will be in the history books, but i'll remember it as the best six months that i ever had. >> simon: the serbian idol's life may have just begun. this season he's already won the australian open. and unlike the other tennis royals, nadal and federer, he seems to be having a really good time. >> i'm steve kroft. >> i'm lesley stall. >> i'm morley safer. >> i'm bob simon. >> i'm anderson cooper. >> i'm scott pelley. those stories tonight on "60 minutes." ♪ send a note stay informed catch a show. make your point make a memory make a m

at warren buffett's berkshire hathaway. it turns out benjamin moore c.e.o.abrams was replaced because of a strategy dispute, not for hosting a lavish party for executives on a boat in bermuda. today, abrams released a letter from warren buffett detailing the reasons for his replacement. buffett tells abrams, that his decision was based on quote, "a differing view about distribution channels and brand strategy." buffett also said he'd never heard about the boat trip before reading about it in the papers, and that he had no objection to the party, tom. tom, this whole story is very unusual. warren buffet, you rarely hear about management shakeups at berkshire hathaway, and warren buffet is seeing this with his hands-off managementle. so think there's still more of this. >> tom: i agree, there will be more of this in the days to come, very rare for this kind of management dispute to become public out of berkshire hathaway. >> tom: u.s. stocks had a positive tone throughout the day, climbing on the positive durable goods and pending home sales data. the s&p 500

i want berkshire -- i mean that is my painting in life. i've been papti inpainting it a life virtually and want to keep on painting it and have it become even more of what it already is and so that's what i love. anything that works, positively for berkshire in terms of adding better businesses. you know, having wonderful managers. and it makes them be in a position to get their full potential from their companies i love. and i'll do that as long as i can. i like the idea that basically the fruits of that, you know, will be used by some very intelligent people to improve the lot of a whole bunch of people who didn't get the lucky straw in life like i got. >> how old were you when you realized you were much better in picking stocks and making investments? did you realize it as a young person or did it take longer before you realized you were much better than anything else? >> sounds obnoxious, but i thought i was going to be pretty good. i went through this period at wilson, woodrow wilson, where i -- i was really bald at -- working out of

one of the companies you bought was berkshire hathaway. though your company is now very famous, it's named berkshire hathaway, that was not one of your best investments, was it? >> it was really dumb. it was what i -- i used to call graham's approach on buying cheap stocks that weren't very good companies cigar butts because it would be like walking down the street and finding a cigar butt. there was one puff left in. and it didn't cost anything and it was kind of

of warren buffett calling people who buy gold and civilize meanwhile he supports wells fargo berkshire hathaway which supports this ponzi scheme that's the uncivilized aspect of this economy so it's on an unbelievable that these guys can get away with this type of rhetoric in the face of what is obviously fed enabled by these game with those zero percent interest rates that you just been articulating so now we're shamed were naive and we're also unsustainable eurozone is unsustainable horn's mario dragged the head of the european central bank hid out of the political paralysis gripping the region as he warned the euro zone's set up was unsustainable but we're going to keep on trying because the euro is a ponzi scheme another ponzi scheme they're trying to rectify this ponzi scheme by introducing new players to support the new layer of the ponzi scheme this would be the european wide bond market the euro bonds this would be like survey saying inviting another million russians to participate in his ponzi scheme to keep that floating for a little bit longer in euro zone or saying let's fl

>> i want berkshire hathaway to become more of what it already is.r them to be a day position i will do that as long as i can. that it will be used by a intelligent people those who did not get the lucky's dross finreg when do you realize you were better in picking stocks? >> it sounds obnoxious but i went through a period with woodrow wilson, i was working out and the teachers' cause some trouble but in those-- teachers put to their money in at&t. when i was feeling obnoxious but you could not love anything like dae but investments of five as soon as we got back year i wanted to read everything. >> >> won the we did not mention you bought geico but you made a famous investment to "the washington post." what attracted you? >> with "the washington post" company 4.8 million shares but phoenix to the nixon challenge the stock cascaded down. we have $100 million if you would ask any reporter with the constituent businesses they would say four or 500 million. it is almost day classic investment. anybody who was selling their stock they would say three or

you say going to the berkshires.s absolutely beautiful. they offer a health and yoga retreat and focus on different topics. in july, it's the science of happiness. you'll come away with positive thinking skills, optimism and again a renewed perspective and be able to see things perhaps a little bit differently. yoga and all that good stuff. >> good for your body. >> some more on the west coast? >> there is one located on big sur. on 10 acres. >> >> that is one of the most gorgeous spots on the planet. >> it's incredibly beautiful. their workshops are on specific challenges, whether it's grief or creativity, whatever you're looking for, you can go there and spend some time, two to 28 days. a great way to explore these things and come out with a different perspective. >> they are looking so spiritual. frank and i went there and pretended we were meeting for the first time on a date at a bar. were. >> i like it. >> it was 26 years ago. >> what about jamaica. >> this is more laid back. $150 a night. stay on the water. yo

then berkshire hathaway, part b. brkb. next one is brown and foreman. bfb. the last one is spectra energy. s.e. >> very interesting portfolio. okay. let's go to work here. spectra is a 4% yield. i like them. nice pipeline growth. clorox, charitable trust says it's doing a terrific jobs. brown forman. we like spirits. berkshire hathaway includes piping, housing and railroads. sherwin williams is a pure housing play. paint, housing, utility, household products, liquor and diversified conglomerate. perfect. that's the best one of the lot. stay with cramer. zblt family and i appreciate the expertise, getting us back to even. >> i am back at even. couldn't have done it without you. you're the man. >> let me give you a thanks for giving me the a plus boo-yah! >> in tough times, don't get mad, get ""mad money."" careful, pringles are bursting with more flavor. [ crunches ] mmm. [ explosion ] [ crunches ] [ explosion ] [ crunches ] [ explosion ] [ crunches ] [ explosion ] [ male announcer ] pringles... bursting with more flavor. buy 4 cans of pringles, and get your

then berkshire hathaway, part b. brkb. next one is brown and foreman. bfb.he last one is spectra energy. s.e. >> very interesting portfolio. okay. let's go to work here. spectra is a 4% yield. i like them. nice pipeline growth. clorox, charitable trust says it's doing a terrific jobs. brown mforman. we like spirits. berkshire hathaway includes piping, housing and railroads. sherwin williams is a pure housing play. paint, housing, utility, household products, liquor and diversified conglomerate. perfect. that's the best one of the lot. stay with cramer. [ male announcer ] this is genco services -- mcallen, texas. in here, heavy rental equipment in the middle of nowhere, is always headed somewhere. to give it a sense of direction, at&t created a mobile asset solution to protect and track everything. so every piece of equipment knows where it is, how it's doing or where it goes next. ♪ this is the bell on the cat. [ male announcer ] it's a network of possibilities -- helping you do what you do... even better. ♪ >>> before >>> before we take some mail and tweets

. >> reporter: john hailey is an innkeeper near kate's hometown, bucklebury berkshire.mall sleepy village 55 miles west of london. he met the middletons 14 years ago when they first came into his pub, the old boot inn. >> they are very nice, just a very nice family, down to earth. very easygoing, relaxed. a lovely family. >> they are not wealthy. >> solidly middle class. >> solidly middle class, hard working folks. >> carol goldsmith and michael middleton met while working for a british airline. they married in 1980. kate was born in 1982. her early years were as ordinary as you can imagine. baptized at a picturesque chapel. she was a brownie and liked to perform in plays and musicals. a simple life in the quiet english countryside. friends say the closest the middletons got to the royals was watching stories about them on tv. >> a marriage that captivated not just the people -- >> when charles married diana in 1981, like the rest of the planet earth, they were glued to the set and watching every minute of it. of course, carol dreamed someday of having her daughter ente

, but berkshire hathaway it's a good stock but you got to hold it long term and it is worth more thanstock is selling for. that ladies and gentlemen, is the conclusion of the lightning round! [ buzzer ] >> the lightning round is sponsored by td ameritrade. like in a special ops mission? you'd spot movement, gather intelligence with minimal collateral damage. but rather than neutralizing enemies in their sleep, you'd be targeting stocks to trade. well, that's what trade architect's heat maps do. they make you a trading assassin. trade architect. td ameritrade's empowering, web-based trading platform. trade commission-free for 60 days, and we'll throw in up to $600 when you open an account. >>> mea culpa. about a month and a half ago i recommended men's wearhouse. big retailer of men's suits, dress shirt, tuxedos. i blew it. last night men's wearhouse reported a hideous quart. i didn't want to look at it so nasty. falling 6.52. down 19%. now, pretty clear from these results that the people running mens wearhouse screwed up in a major way, too. but just because management screws up it do

, but berkshire hathaway it's a good stock but you got to hold it long term and it is worth more thans selling for. that ladies and gentlemen, is the conclusion of the lightning round! [ buzzer ] >> the lightning round is sponsored by td ameritrade. ♪ ♪ ♪ [ female announcer ] don't lose girls to dandruff. use axe anti-dandruff shampoo. ♪ lose the flakes. get the girls. only three girls in towels? amateur. yeah so uh, watch ted. ted rated r. i'm here to unleash my inner cowboy. instead i got heartburn. [ horse neighs ] hold up partner. prilosec isn't for fast relief. try alka-seltzer. it kills heartburn fast. yeehaw! >>> mea culpa. about a month and a half ago i recommended men's wearhouse. big retailer of men's suits, dress shirt, tuxedos. i blew it. last night men's wearhouse reported a hideous quarter. i didn't want to look at it so nasty. falling 6.52. down 19%. now, pretty clear from these results that the people running mens wearhouse screwed up in a major way, too. but just because management screws up it doesn't mean we should, it doesn't mean we should fall prey. in other word

. >> from berkshire hathaway way chairman, warren buffett, saturday night at 8:00 eastern on cspan. >> the american bankers association today offered its economic forecast for the next year. the group is expecting a moderate cov moderate recovery, but is somewhat uncertain because of spending cuts scheduled to take effect next year, the advisory committee chairman's remarks are almost half an hour. >>> good morning, everyone. the committee's forecast continued moderate economic growth of 2.2% in 2012, followed by a relatively modest, moderate economic growth in 2013. 2013 will likely be way weighed down by fiscal uncertainties and that as a result, our forecast is probably a bit more modest. certainly if we were not encountering this fiscal cliff in 2013 and maybe the forecast would be considerably higher. but general moderate growth is the overall forecast. in general, personal consumption has been quite solid this year. started off the year approaching 3% annualized growth rate. consumers went out and made a large consumer durable purchases, essentially, oubls and that trend is prob

, but berkshire hathaway, look, it's a terrific stock, but you got to hold it long term and it is worthstock is selling for. that, ladies and gentlemen, is the conclusion of the lightning round! [ buzzer ] >> the lightning round is sponsored by td ameritrade. >>> mea culpa. about a month and a half ago i recommended men's wearhouse. big retailer of men's suits, dress shirts, tuxedos. i blew it. last night men's wearhouse reported a hideous quarter. i didn't want to look at it, it was so nasty. falling $6.72. 19% today. now, pretty clear from these results that the people running men's wearhouse screwed up in a major way, too. but just because management screws up, that doesn't mean we should, it doesn't mean we should fall prey. in other words, this company made some mistakes. however, the biggest mistake was my own for even recommending the stock. or at least for not telling you to sell it sooner. one of the hardest things when you're an investor is realizing when you've got something wrong and figuring out what to do about it. when you make a mistake -- [ buzzer ] -- as i clearly did,

i put berkshire hathaway in a completely different category from the other financials, by the way.lways invested in a concentrated fashion. you know, i think most of the money in this world is sort of kos closet indexed. we've usually got 50% or #0% of our long book in our top ten positions. fairly well diversified top ten positions. not just the financials. and so i think it's important. however you invest, you need to communicate to your investors what you're doing. as long as there's communication up front and people go in with their eyes open, you know, we've built our business in a way that's consistent with how we invest. which is we're not at all worried about month to month volatility of our fund. and we're focusing on, you know, a bumpy ride in the short term is fine for us as long as we make very nice money in the long term. >> ron insana, got a question for whitney? >> yeah, whitney. as karen alluded, you have an ultrahigh beta portfolio. volatility of the markets can affect you in a disproportionate manner. goldman sachs came out with a call today raising the possibilit

. >> berkshire hathaway. >> and the major investors involved in this.i will say this, it's like tarp in the sense, the initial tarp plan was that the banks would sell the toxic assets to the federal government. why didn't they do that. >> or the bait and switch. >> why didn't they do it. >> too complicated. >> not only that, every bank would have been declared insolvent immediately and they knew it. >> adam, your quick take on this? >> i think the fha is an embarrassment, still insurancing loans with 3.5% down payments and i agree this is a good idea to get it off the government's books. >> the people who get them love them, that's our problem. >> that's fine, fine, any other thing you want to say. >> no, i'm just saying that people who have the mortgages love them and then complain about the fha being on the rocks. >> and at least, i wasn't banging the table, hello-- >> dagen, mr. gasperino, it was a pleasure, up next, what could be more than the magic bus you saw in the wisconsin and what about the maigic stock? ♪ magic bus, magic bus but with three k