Telling it straight…

November 12, 2003

Speaking of VIEs, many companies breathed a huge sigh of relief when FASB extended the deadline for disclosure last month. That extension means that investors in many companies won’t have a true sense until the beginning of next year of what’s likely to find its way back onto balance sheets. Still, some companies have been open and honest with their investors. Berkshire Hathaway (BRKa) , always a good model for the way a company should treat its investors, filed its Q on Monday and disclosed that its investment in Value Capital will likely add $23 billion to its balance sheet. That’s up from the $16 billion Berkshire disclosed in its second quarter Q. Like many other companies, Berkshire did note that it was still reviewing its VIE investments. But unlike the majority of companies out there, it didn’t use the “still reviewing” excuse as a way to hide the info from its investors.

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