Most often, workers need to be wary when big investors purchase their workplace. Most often this means worker lay-offs, downsizing, or even selling off the assets of a business. With Mitt Romney, this was a big issue with his Bain Capital purchasing big companies including steel mills, laying off workers, and parting out the remaining assets for cash. But, Warren Buffet does business differently. When he acquires a large company, he likes to keep the workforce intact and make the business even more profitable. This means purchasing better businesses, that stand well on their own, and improving them.
Surprisingly, Warren Buffet only needed a half hour meeting with Precision Castparts CEO Mark Donegan, to decide to offer $32 billion for the manufacturer of precise aerospace products. Buffet’s investment company, Berkshire Hathaway produces handsome returns to it’s shareholders when Buffet carefully hand selects solid companies with bright futures.
Warren Buffet makes good use of a right hand man, Todd Combs, to search out good business matches for Berkshire Hathaway’s portfolio of companies under their belt. The Portland, Oregon based aerospace parts company is an important tech employer in that community.