's investment company Berkshire Hathaway (
) disclosed its position of 1.6 million shares in Lee Enterprises
). This position is worth $2.1 million as of March 31, 2012.
Berkshire intended to keep the position confidential initially.
But his request to keep it confidential was rejected by the SEC.
Berkshire disclosed this position yesterday.
Lee is a provider of local news, information and advertising in
primarily mid-size markets, with 48 daily newspapers and a joint
interest in four others. It owns nearly 300 specialty
publications in 23 states. In the latest shareholder meeting,
Buffett said that the local newspaper will do okay in the digital
age. He also
bought newspapers from Media General (
. The stock of LEE closed yesterday at $1.15. It has lost 95% of
its market value over the past five years. The stock is up more
than 30% today.
In the past,
had kept positions while he was accumulating them confidential.
He did this with Burlington Northern and IBM (
). Eventually Berkshire bought all of the shares of Burlington
Northern. Today LEE has a market cap of only $58 million, which
is extremely small compared with the other investments
usually makes. Since Buffett tried to keep it confidential, it is
conceivable that he will continue to buy the shares.
To learn more about LEE, please read History of Lee Enterprises -
Buffett Is a 4% Owner of My Newspaper Company.
Apparently LEE is a cigar butt investment that Buffett does not
do that much of these days. What drives him to buy newspapers
now? Is Buffett Way off Base on Newspapers?About GuruFocus:
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