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Business Wire, which issues news releases and advisories on businesses to the news media around the country, will be part of the Berkshire Hathaway conglomerate that includes Geico and Fruit of the Loom. (Bulldog Reporter, 1/17)
BERKSHIRE HATHAWAY TO BUY BUSINESS WIRE Investment firm Berkshire Hathaway announced today that a plan has been set into action to acquire privately held Business Wire by the close of first quarter ‘06. Acting as a wholly owned subsidiary, Business Wire will keep the management team in tact, and company operations will continue as normal. Lorry I. Lockey, who formed the company in 1961 after an extensive career in journalism and public relations will remain with the company as chairman, but will have more time to focus on various philanthropic opportunities. To date, he has made over $160 million in charitable donations, and will continue to dedicate himself to medical research and educational projects. Berkshire Hathaway chairman Warren Buffet had nothing but praise for Business Wire, who fits seamlessly into the profile of companies already held in their portfolio. "In making this acquisition of Business Wire, we have followed our blueprint of buying profitable companies that are industry leaders, yet have significant growth potential," stated Buffet. “We quickly realized that Business Wire was a gem of a company." He later added, "I expect Business Wire to continue to do what it has always done and I'll be there if I can help it in any way." Business Wire president and CEO Cathy Baron Tamraz looked upon the company’s acquisition positively. We are extremely excited to be welcomed into the Berkshire Hathaway family,” began Tamraz. “We are confident that the acquisition will provide myriad benefits for our employees, our clients and our affiliates and business partners worldwide. This is a win-win for all involved By joining Berkshire Hathaway, Business Wire will be in good company along with over 40 other brands, including Fruit of the Loom, Helzberg Diamonds and Geico Auto Insurance.
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