Buffett buys hometown newspaper

@CNNMoney November 30, 2011: 4:27 PM ET
Warren Buffett's Berkshire Hathaway announced plans on Wednesday to purchase his hometown Omaha World-Herald newspaper.

Investment guru Warren Buffett is buying his hometown newspaper.

NEW YORK (CNNMoney) -- The Oracle of Omaha is making an old-media buy.

Warren Buffett's Berkshire Hathaway (BRKA, Fortune 500) announced plans on Wednesday to purchase the Omaha World-Herald Company, which owns the Omaha World-Herald and several other newspapers in Nebraska and Iowa.

In 2009, Buffett reportedly told shareholders at Berkshire's annual meeting that the firm would not buy most newspapers in the U.S. "at any price," and that the industry faces "the possibility of nearly unending losses." On Wednesday, however, he struck an optimistic tone in discussing his latest asset.

"The World-Herald delivers solid profits and is one of the best-run newspapers in America," Buffett said in a statement, adding that he was pleased to continue the tradition of local ownership at the World-Herald and that its editorial independence would continue.

No purchase price was disclosed, though the companies said the transaction would likely be completed in late December. Shares of Berkshire Hathaway were up 4% in trading Wednesday.

Bufffett's firm already owns the Buffalo News and also has 21% of publicly traded shares in the Washington Post Company. He served on the Washington Post board on and off for 37 years before stepping down in May. To top of page

CNNMoney Sponsors
Market indexes are shown in real time, except for the DJIA, which is delayed by two minutes. All times are ET. Disclaimer LIBOR Warning: Neither BBA Enterprises Limited, nor the BBA LIBOR Contributor Banks, nor Reuters, can be held liable for any irregularity or inaccuracy of BBA LIBOR. Disclaimer. Morningstar: © 2014 Morningstar, Inc. All Rights Reserved. Disclaimer The Dow Jones IndexesSM are proprietary to and distributed by Dow Jones & Company, Inc. and have been licensed for use. All content of the Dow Jones IndexesSM © 2014 is proprietary to Dow Jones & Company, Inc. Chicago Mercantile Association. The market data is the property of Chicago Mercantile Exchange Inc. and its licensors. All rights reserved. FactSet Research Systems Inc. 2014. All rights reserved. Most stock quote data provided by BATS.