Warren Buffett’s Berkshire Hathaway Sells Part of Southwest Airlines Delta

0
39


Warren Buffett’s Berkshire Hathaway said Friday it had sold about 18% of its stake in Delta Air Lines and 4% of its holdings in Southwest Airlines this week, as the coronavirus pandemic pushes the airline industry into its greatest crisis ever.

According to regulatory documents, Berkshire sold nearly 13 million Delta shares for approximately $ 314 million and approximately 2.3 million Southwest shares for approximately $ 74 million.

Sales took place Wednesday and Thursday, according to the file. Berkshire previously held about 11.1 percent of Delta shares and 10.4 percent of southwest shares, according to data from Refinitiv. No reason for sales was given.

Berkshire did not immediately respond to a request for comment sent to Buffett’s assistant.

The Omaha, Nebraska, conglomerate is among the largest shareholders of the four largest US carriers – Delta, Southwest, American Airlines and United Airlines.

Buffett said three of the airline’s issues are overseen by him, while one of his portfolio managers, Todd Combs and Ted Weschler, oversees the fourth.

Berkshire sales were leaked after major U.S. airlines on Friday asked for wage subsidies from the U.S. Treasury to help keep employees.

The pandemic has punished the industry as passengers stay at home and carriers around the world are cutting their schedules and planes on the ground. Delta predicted Friday its second quarter revenue would drop 90%.

LEAVE A REPLY

Please enter your comment!
Please enter your name here