% | $
Quotes you view appear here for quick access.

Abercrombie & Fitch Co. Message Board

you are viewing a single comment's thread.

view the rest of the posts
  • leewalter2002 leewalter2002 Oct 7, 2002 12:37 PM Flag


    Berkshire Hathaway and hard assets. That's funny you mention them. Were did Warren Buffett get the name Berkshire Hathaway? Well Berkshire hathaway is the old textile mills up here in Mass. Had lots of hard assets, so where is the company now. Well, Bershire as we knew it is no more, instead Warren used his cash to acquir insurance companies. I think we can all agree that insurance companies aren't all that rich in hard assets. Geico for example has next to none in comparisson to the amount of profits they make. Warren Buffet and Berkshire Hathaway is not a good argument to support your position. If anything it strengthens mine. The point is this what assets will produce the greatest value to shareholders. If its hard assets, then support it, if its renting then show that your revenues can stay ahead of your expenses while providing a excellent rate of return and margins. Abercrombie has shown us it is able to do just that. Warren Buffett has shown that his insurance companies can do just that. He's not falling back on hard assets, he's falling back on businesses with consistant fundamentals.

    Look, owning a house in the middle of knowhere does you no good in finding a job that pays well. In hard times your stuck with property that not only doesn't allow you easy access to good jobs, but also is hard to sell. In hard times I want flexibility and cash. Why are you guys disputing that.

    Why do we have malls in the first place? Have you asked yourself that question. How much business does Abercrombie do because someone looking to buy shoes passes by their mall front. Or better yet, a teenager looking to buy something, anything. You miss the point. You're just not getting it. You can't own the mall, so you have got to do the next best thing. Owning a store accross the street from the mall just doesn't provide you that luxary.

15.08-0.32(-2.08%)Oct 27 4:02 PMEDT