8-K/AOther EventsExhibits & Filings

BERKSHIRE HATHAWAY INC 8-K/A Report, Corporate Update (Dec 16, 2010)

Filed December 16, 2010For Securities:BRK-BBRK-A

Summary

This 8-K/A filing from Berkshire Hathaway Inc. serves as an amendment to a prior 8-K, primarily to include Exhibit 4.3, which is the form of the 2.45% Senior Notes due 2015. The amendment clarifies that on December 15, 2010, Berkshire Hathaway Finance Corporation (BHFC), a subsidiary, issued $500 million in aggregate principal amount of these Senior Notes. These notes are fully and unconditionally guaranteed by Berkshire Hathaway Inc. The issuance was made under a registration statement filed earlier in the year and pursuant to an underwriting agreement with Goldman, Sachs & Co. This filing is largely administrative, confirming the details of a debt issuance by a subsidiary that strengthens Berkshire Hathaway's overall financial structure.

Key Highlights

  • 1Amendment to a previous 8-K filing to include Exhibit 4.3, the form of the 2.45% Senior Notes due 2015.
  • 2Berkshire Hathaway Finance Corporation (BHFC) issued $500,000,000 in aggregate principal amount of Senior Notes.
  • 3The Senior Notes mature in 2015 and carry a coupon of 2.45%.
  • 4The notes are fully and unconditionally guaranteed by the parent company, Berkshire Hathaway Inc.
  • 5The issuance occurred under a previously filed Form S-3 registration statement.
  • 6Goldman, Sachs & Co. acted as the underwriter for the debt issuance.
  • 7This filing confirms a debt financing activity by a Berkshire Hathaway subsidiary.

Frequently Asked Questions

This filing is an amendment to a previous 8-K report. Its primary purpose is to formally include Exhibit 4.3, which is the document detailing the terms of Berkshire Hathaway Finance Corporation's 2.45% Senior Notes due 2015.

The Senior Notes were issued by Berkshire Hathaway Finance Corporation (BHFC), a subsidiary. Yes, the notes are fully and unconditionally guaranteed by the parent company, Berkshire Hathaway Inc., meaning Berkshire Hathaway Inc. is responsible for the repayment of these notes.

BHFC issued $500,000,000 in aggregate principal amount of Senior Notes. These notes mature in 2015 and have a fixed interest rate of 2.45% per annum.

Issuing debt through a subsidiary like BHFC is a common corporate finance strategy. It can offer benefits such as segregating debt at the subsidiary level, potentially optimizing financing costs, and managing financial risk. The guarantee from the parent company, however, ensures the ultimate creditworthiness of the debt.