Tuesday, November 3, 2009

Buffett, Burlington and the North American Union (BRK.A; BNI)

Well it looks like my conspiracy buff buddies are right.
The new currency will be called the Amero, the North American Carbon Market will happen and the Illuminati win again.
Damn you Queen Elizabeth (II).
From John Mugarian's Dynamic Growth:

Why Warren Buffett is buying Burlington Northern (BNI)

Let us examine a few reasons why the world's greatest investor is buying Burlington Northern (BNI).

Does Mr. Buffett know something we don't? You can bet he does!

Since Burlington Northern doesn't qualify under the normal investment parameters that Mr. Buffet uses, why is he so interested in accumulating 25% the stock?

Here are some of Buffett's parameters before buying a company;

1) Buffett identified the average rate of return on equity of American companies at 11%, and basically said he would not consider buying a company with an ROE of under 14%.

Burlington Northern ROE

2010- 11% as projected by Value line***
2006- 13%
2004- 11.6%
2003- 9.1%
2002- 9.6%

On the other hand, Coca-Cola's (KO) ROE looks like this;

2010- 32% as projected by Value line***
2006- 31%
2005- 31%
2004- 31.5%
2003- 34%
2002- 34.7%

This being said, what does Buffett know that you don't?

Globalism & The North American Union

1) Burlington Northern is a Ft. Worth, Texas based railroad that strategically lies in the middle of the NAFTA super highway. It even goes thru his home-town of Omaha!


Burlington Northern will be a big beneficiary of shipping goods from Mexico to the United States and Canada.

Last week, I reported that President Bush, Canadian Prime Minister Stephen Harper and President Felipe Calderon of Mexico to put the finishing touches on the “Security and Prosperity Partnership” (SPP) agreement, which essentially merges the United States, Canada and Mexico into one entity....MORE