Berkshire Hathaway Inc.

BRK.A – NYSE
Sell Insurance: Standard/Specialty/Brokers
From (Previous) To (Current) Sell — $5,685 $6,097 $121.91B $125.19B
$119,889.00 $125,252 – $84,600 197,457 1.6 937 $0.00 0.0% 89,374 89,374 134% 59,799 200% 1,060.27

July 8, 2010

Changes

Blah-Shaped Recovery Not Priced in – Downgrading to Sell
Meyer Shields, FCAS Vincent M. DeAugustino Arash Soleimani, CPA (443) 224-1331 (443) 224-1330 (443) 224-1377 mshields@stifel.com deaugustinov@stifel.com soleimania@stifel.com Company Update

Rating Hold Target Price — FY10E EPS (Net) $5,764 FY11E EPS (Net) $6,241 FY10E Revenue (Net) $122.37B FY11E Revenue (Net) $126.84B
Stock Data Price (07/07/10): 52-Week Range: Market Cap.(mm): Shr.O/S-Diluted (mm): Avg Daily Vol (3 Mo): Dividend ($): Yield (%): Book Value/Share: Stated Book: Price/Stated Book: Tangible Book: Price/Tangible Book: S&P Index:

We’re downgrading the shares of Berkshire Hathaway to Sell from Hold as our weak macroeconomic outlook implies poor 2H10 earnings. In this note we outline the signs we see for a 2H10 economic retreat, and why BRK should outpace market declines. • We think declining consumer confidence will slow consumer spending, as employment very slowly recovers. Additionally, a shrinking appetite for increased public spending should limit the size of any future economic stimulus packages. Middle Eastern political instability could also drive real oil prices above $85 a barrel, further impacting consumers’ discretionary expenditures. • Aside from Berkshire’s operating units’ exposure to economic weakness, its shares face a “double whammy,” as its equity portfolio and derivative positions expose it to additional book value pressure. Investors’ focus on Berkshire’s book value for valuation imply that its shares could outpace broader market’s declines. • BRK’s YTD outperformance versus the S&P 500 is nearing an apex that seems poised for a correction based on the shares' history. • Berkshire’s property/casualty reserve releases have recently ramped up, but we see that as unsustainable in an enduring soft market, implying additional earnings pressure as releases slow. We’ve reduced our EPS estimates to reflect the expected challenging 2H10 environment, with modest economic growth expected in 2011. Our EPS estimates move to $5,685 from $5,764 (2010E), and to $6,097 from $6,241 (2011E). Our sum-of-the-parts valuation method suggests fair value for the shares at about $104,000, about 13% downside from current levels.

EPS (Net) Q1 Q2 Q3 Q4 FY Dec P/E

2009A 1,147 1,325 1,306 $4,878A 24.6x

2010E 1,319 1,459 1,518 $5,685 21.1x 2010E

2011E $1,488 1,437 1,564 1,608 $6,097 19.7x 2011E

$1,100 $1,390A

Revenue (Net) 2009A FY Dec

$112.49B $121.91B $125.19B

1 Year Price History for BRK/A
135,000 120,000 105,000 90,000 75,000
Q2 Q3 Q1 Q2 Q3

60,000

2010

Created by BlueMatrix

All relevant disclosures and certifications appear on pages 10 - 11 of this report.

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Berkshire Hathaway Inc. (BRK.A)

July 8, 2010

(1) Economic Pullback Investor and Consumer Expectations Poised for Disappointment: We think the market’s recent 13% pullback and deteriorating consumer confidence reflect investors’ and consumers’ disillusioned hopes for a robust economic recovery that looks less likely, primarily because of steadily high unemployment data. Our skepticism stems from recent recessions' pattern of slowing employment recovery highlighted in Figure 1. Figure 1: Employment Recovery Takes Increasingly Longer Each Time
75 73 71 69 $1,000 Employment Ratio 67 65 63 $100 61
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$10,000

59 57 55 $10

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Employment to Population Ratio (12MMA)

SPX Price

Source: FactSet Research and BLS, Stifel Nicolaus analyst Barry Bannister’s format Figure 2 traces the employment headcount trajectory for the current and recent recessions (i.e., headcounts indexed to the point of initial employment decline), which illustrates the severity of the current employment environment, and the likely protracted recovery timeline. Figure 2: Employment Recovery Trajectories during Past Recessions
1970 1974 101% 100% 99% 98% 97% 96% 95% 94% 93% 1 3 5 7 9 11 13 15 17 19 21 23 25 27 29 31 33 35 37 39 41 43 45 47 49 51 Months Since R ecession Start 1970 Current excl. census 1974 1981 1990 2001 1981 1991 2001 2008

Source: BLS, Stifel Nicolaus analyst Michael Widner’s Format

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SPX (Log Scale)

Berkshire Hathaway Inc. (BRK.A)

July 8, 2010

Given that we think the current employment situation will take longer than most consumers and many investors are expecting, consumer confidence will probably suffer as expectations reconcile with reality. Figure 3 tracks the inverse relationship between unemployment and consumer confidence. Figure 3: Slower-than-Expected Employment Recovery Likely to Drag on Consumer Confidence
Unemployment Rate (SA) 13% 11% 9% 7% 5% 3% 8% 6% 4% 2% 0% -2% -4%

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Unemployment Rate

Expenditures

Source: BLS and Consumer Conference Board, via FactSet Research, Inc. In turn, weak consumer confidence tends to go hand-in-hand with weak personal expenditures (Figure 4), which would otherwise be the key to a sustained economic recovery, as the “shot in the arm” of increased government spending subsides. Figure 4: Consumer Confidence and Personal Spending 8%

Ju n

-0

8

6% 4% 2% 0% -2% -4% 1980M6 1982M6 1984M6 1986M6 1988M6 1990M6 1992M6 1994M6 1996M6 1998M6 2000M6 2002M6 2004M6 2006M6 2008M6

160 140 120 100 80 60 40 20 0

Y/Y Expenditures

Personal Consumption Expenditures, (Bil. $, SAAR)
Source: BLS and Consumer Conference Board, via FactSet Research, Inc.

CCI

The Chicken and the Egg: We think consumers are waiting for an employment recovery, while the employment recovery is waiting on increased consumer spending. We’re concerned government spending won’t provide the same relative stimulus strength as a temporary proxy for consumer spending this time around, for two reasons. First, even though the drop in personal expenditures, and consequently GDP, is much deeper than in other recent recessions, the increase in government spending is trailing off (Figure 5). Second, we don’t see much political appetite for additional stimulus spending without either offsetting budget reductions, or at least definitive repayment plans. Although fiscal responsibility is (temporarily) great for voter support, zero-sum spending initiatives do little to stimulate increased spending (the recently failed Senate extension of unemployment benefits is a good example of a faltering appetite for increased stimulus spending, in our view).

CCI
Page 3

Expenditures

Berkshire Hathaway Inc. (BRK.A)

July 8, 2010

Figure 5: Y/Y Personal Consumption and Government Spending (Treasury Outlays) 30% 25% 20% 15% 10% 5% 0% -5% -10% -15%
2005Q1 2005Q2 2005Q3 2005Q4 2006Q1 2006Q2 2006Q3 2006Q4 2007Q1 2007Q2 2007Q3 2007Q4 2008Q1 2008Q2 2008Q3 2008Q4 2009Q1 2009Q2 2009Q3 2009Q4 2010Q1

Treasury Outlays

Personal Consumption & Gross Investment

Source: BLS, Department of Treasury Further, in no recent recessions have households deleveraged to the same degree (Figure 6) as they have in this recession. Even if we were to assume the U.S. government can keep issuing paper at ultra-low rates (in fact, we don’t) to effectively jump-start the economy, we think consumers won’t take the lead in driving GDP growth, as favorable financing terms and a housing bubble likely won't work this time around. We believe consumers' spending growth will slow as they gradually work off the last decade of added leverage (regardless of low interest rates), which we think widens the gap between investors’ expectations and economic reality. Figure 6: Y/Y Debt Balance Changes

30% 15% 0% -15% 2005Q1 2005Q3 2006Q1 2006Q3 2007Q1 2007Q3 2008Q1 2008Q3 2009Q1 2009Q3 2010Q1

10% 5% 0% -5%

Federal Government
Source: BLS

Households

The Oil Wild Card: While the U.S. is not directly dependent on Iranian oil, any Iranian/Israeli conflict intensification could induce a worldwide oil supply shock. We think such a scenario could push real oil prices well above $85 a barrel. Figure 7 illustrates that rising oil prices have foretold recessions, with oil above $85 per barrel leading to particularly deep recessions (late 70’s and current recession). Rising oil prices deter GDP growth even without a shock, but the situation could get far worse if geopolitical tensions worsen.

Household Debt Balance Change, Y/Y
Page 4

Fed. Govt. Debt Balance Change, Y/Y

45%

15%

Berkshire Hathaway Inc. (BRK.A)

July 8, 2010

Figure 7: Real Crude Oil Prices vs. GDP Growth

$160 $140 $120 $100 $80 $60 $40 $20 $Jan-75 Jan-77 Jan-79 Jan-81 Jan-83 Jan-85 Jan-87 Jan-89 Jan-91 Jan-93 Jan-95 Jan-97 Jan-99 Jan-01 Jan-03 Jan-05 Jan-07

10% 8% 6% 4% 2% 0% -2% -4% -6%

Real Crude Oil $ per Barrel
Source: EIA, and BLS

Real GDP Y/Y%

(2) Double-Dip's Double-Whammy Impact to Book Value We’ve taken our EPS estimates down to $5,685 from $5,764 (2010E) and $6,097 from $6,241 (2011E). Using the sum-of-the-parts calculator built into our model (available for clients to alter per their assumptions), our more conservative earnings outlook and float-based valuation assumption changes produce an estimated fair value of $104,000 (Table 1) - implying 13% downside from current levels. Table 1: Sum-of-the-Parts Valuation $ in millions, except per share data
Step Float Valuation (1) Estimated "float" (Insurance Float at 3/31/10, Derivative Float at 12/31/09) (2) After-tax "look-though" investment return on float (3) Projected "look-through" investment growth (4) (5) (6) (7) (8) Risk-free rate (R f) Beta ( ) Equity Risk Premium (ERP) Required rate of return (R f+ *ERP) "Float" perpetuity = ((1)X(2))/((7)-(4)) Operating companies GEICO Other insurance/reinsurance Investment income (excluding float) Railroads, Utilities and Energy Manufacturing, Service and Retailing Finance and Financial Products Total valuation, operating companies Total valuation, float Total Shares outstanding (est. 2011) Valuation, Class A Valuation, Class B 2011E After-tax Earnings 472 (90) 2,427 3,334 1,356 445 7,944 Input 69,800.0 7.50% 2.0% 3.85% 0.90 6.75% 9.93% 66,057 Peer P/E Valuation 10.0x 4,716 7.0x (629) 15.0x 36,405 12.8x 42,671 13.0x 17,630 10.0x 4,453 13.2x 105,246 66,057 171,303 1.651 103,742 69.16 Result

Source: Stifel Nicolaus estimates

Page 5

Berkshire Hathaway Inc. (BRK.A)

July 8, 2010

In particular, we think that widespread institutional ownership of BRK's Class B shares means that the stock will behave less like a cult stock, and more like a "normal" stock following earnings beats and misses - in other words, we expect a much higher 'beta' than in the past. Given Berkshire’s sizable investment portfolio and derivative positions, many investors use book value as a valuation basis. In that vein, we adjust Berkshire’s investment portfolio (and book value) for an expected 8% market pullback in 2H10. Table 2 includes a +/-10% scale for its equity and derivative portfolios, while we assume its fixed income portfolio remains unchanged, reflecting expected sustained low yields. Table 2: Book Value Impact from Declining Equity Markets $ millions except per share amounts
Base Case

Equity Related Investments: Equity securities Derivatives (Assuming no F/X change) GS Warrants Fixed Income (No Price Change): Fixed Income and Other Total BVPS Impact Price Change w/ 1.3x P/BVPS % of Current

2Q10E Value $51,863 -$7,947 707

-10% -$5,186 -568 -571

-8% -$4,149 -429 -457

-6% -$3,112 -291 -342

Equity Market Price Change Assumption Range -4% -2% 0% 2% 4% -$2,075 -$1,037 $0 $1,037 $2,075 -152 -14 0 263 401 -228 -114 0 114 228

6% $3,112 540 342

8% $4,149 678 457

10% $5,186 817 571

60,121 112,691

0 -2,496 -3,245 -2.8%

0 -1,987 -2,583 -2.2%

0 -1,478 -1,921 -1.7%

0 -969 -1,260 -1.1%

0 -460 -598 -0.5%

0 0 0 0.0%

0 558 726 0.6%

0 1,067 1,387 1.2%

0 1,576 2,049 1.8%

0 2,085 2,711 2.3%

0 2,594 3,373 2.9%

Source: Stifel Nicolaus estimates (3) Relative Performance Correction We think BRK's 13% outperformance since early June leaves the shares poised for a correction. YTD, the shares have outperformed the S&P by about 26%; over the past 20 years, 30% annual outperformance has typically been a turning point for a correction (Figure 8). Additionally, while we've speculated that Berkshire should be a perpetual Hold based on its size and diversification, Figure 8 contradicts this thesis, highlighting that the shares either outperform or underperform the S&P 500 by at least 10% about 75% of the time. Figure 8: Annual BRK Relative Performance

75% of Years' Relative Performance > +/- 10% 50% 40% 30% 20% 10% 0% -10% -20% -30% -40% -50% 12/31/1991 12/31/1992 12/31/1993 12/30/1994 12/29/1995 12/31/1996 12/31/1997 12/31/1998 12/31/1999 12/29/2000 12/31/2001 12/31/2002 12/31/2003 12/31/2004 12/30/2005 12/29/2006 12/31/2007 12/31/2008 12/31/2009 2009 YTD $160,000 $140,000 $120,000 $100,000 $80,000 $60,000 $40,000 $20,000 $0 Relative Performance

BRK Relative Performance -10% Threshold
Source: FactSet Research Systems, Inc.

+10% Threshold BRK.A Price

BRK.A Price

Page 6

Berkshire Hathaway Inc. (BRK.A)

July 8, 2010

Table 3 shows Berkshire’s performance vs. the S&P since several key dates. Most recently the shares have outperformed the S&P since the beginning of June without much of a catalyst, putting it at risk for a correction, in our view. Table 3: Relative Performance from Key Dates Event Start of Relative Outperformance Resurgence Recent Market High BRK Addition to S&P Announcement Year Ago BRK Bear Market Low Source: FactSet Research Systems, Inc. Estimate Changes Table 4 includes a summary of our earnings model and estimate changes. Table 4: Model and Estimate Change Summary
($ in millions, except per share data) 2008 Revenues Insurance and Other: Utilities and Energy: Finance and Financial Products: Total revenues Cost and expenses Insurance and Other: Utilities and Energy: Finance and Financial Products: Total Costs and Expenses Pretax operating income Income tax on operating income Minority shareholders' interests Operating income W eighted average common shares outstanding (Class A basis) Operating EPS Non-operating EPS Net EPS Book value per share TTM Operating ROE TTM Net ROE $95,698 13,971 (1,883) 107,786 2009 $92,780 11,443 8,270 112,493 2010E $92,572 24,448 4,891 121,910 2011E $93,172 27,535 4,483 125,190 Previous Estimates 2010E 2011E $92,649 24,809 4,907 122,365 $94,118 28,217 4,500 126,835 % Change 2010E 0% -1% 0% 0% 2011E -1% -2% 0% -1%

Date June 7th, 2010 April 23rd, 2010 January 26th, 2010 July 7th, 2009 March 5th, 2009

BRK.A 14.2% 1.3% 17.8% 37.5% 65.6%

SPX 0.9% -12.9% -2.9% 20.3% 55.3%

Diff 13.3% 14.2% 20.8% 17.2% 10.3%

85,044 11,008 4,160 100,212 15,035 4,794 602 9,639 1.549 $6,223 ($2,999) $3,224 $70,530 6.5% 6.9%

87,219 9,915 3,807 100,941 10,765 2,812 386 7,567 1.551 $4,878 $313 $5,190 $84,487 6.5% 6.9%

82,531 20,175 3,759 106,465 13,716 3,698 479 9,540 1.636 $5,685 $973 $6,658 $90,883 6.4% 7.5%

84,290 22,406 3,765 110,461 14,729 4,242 420 10,067 1.651 $6,097 $121 $6,218 $96,914 6.5% 6.6%

82,515 20,432 3,774 106,721 13,915 3,767 479 9,669 1.636 $5,764 $973 $6,737 $93,702 6.4% 7.5%

85,052 22,899 3,780 111,731 15,104 4,378 420 10,306 1.651 $6,241 $121 $6,363 $99,871 6.5% 6.6%

0% -1% 0% 0% -1% -2% 0% -1% 0% -1% 0% -1% -3% 1% 1%

-1% -2% 0% -1% -2% -3% 0% -2% 0% -2% 0% -2% -3% 1% 1%

Source: Company reports and Stifel Nicolaus estimates Consistent with our unenthusiastic 2H10 outlook, and slower anticipated 2011 economic growth, we’ve adjusted our estimates for many of Berkshire’s non-insurance subsidiaries' revenues and earnings. While its insurance businesses are typically more insulated from macroeconomic fluctuation, recent reserve release increases (Figure 9) are probably unsustainable (reserve redundancies tend to fade as soft markets persist), leading to additional earnings pressure as reserve releases slow.

Page 7

Berkshire Hathaway Inc. (BRK.A)

July 8, 2010

Figure 9: Recent Reserve Releases Likely to Decelerate as Soft Market Persists $ in millions
a a 2,000 a a 1,500 a a a 1,000 a a a500 a a 0 a a a (500) a a (1,000) a a a (1,500) a a a a a a a a a a a a a a a 60 a a a (229) a a a a a a a a a a 1Q02 a a a a a a a a 1,453 a a a a a a a a a a a a a a 193 20 a a a(20) a (96) (126) a a (287) (296) a a a a a a a a a a a a a a a a a a a a 3Q02 4Q02 1Q03 2Q03 3Q03 4Q03 1Q04 a a a a a a a a a a a a a a a a a a a a a a a a a a a a a a a a a a a a a a a a a a 1,026 a a a a a a a a a a a a a a a a a a a a a a a a a a a a a a a a a a a 46 a a a a a a a a a a a a a (11) a (88) (163) a a a ( ( a a (139) a a (196) (204) (211) 204) 205) a a (314) a a (391) (311) a a a (388) (406) (418) (449) (502) a a a a a a (587) a a a a a a a a (892) a a a a a a a a a a a a a a (1,270) a a a a a a a a a a a a a a a a a a a a a a a a a a a a a a a a a a a 4Q04 1Q05 2Q05 3Q05 4Q05 1Q06 2Q06 3Q06 4Q06 1Q07 2Q07 3Q07 4Q07 1Q08 2Q08 3Q08 4Q08 1Q09 2Q09 3Q09 4Q09 1Q10 a a a a a a a a a a a a a a a a a a a a a a a a

55

2Q02

2Q04

Source: Highline data and Stifel Nicolaus analysis Company Description Berkshire Hathaway Inc. is the holding company of a diverse group of businesses including personal and commercial insurance and reinsurance, energy generation, transmission, and distribution, consumer and commercial lending, and an extensive array of manufacturing, retail, and service businesses. Its primary strategy is to grow earnings through acquisitions.

3Q04

Page 8

Berkshire Hathaway Inc. (BRK.A)

July 8, 2010

Berkshire Hathaway Inc.
$ in millions, except per share data Revenues Insurance and Other: Insurance premiums earned Sales and service revenues Interest, dividend, and other investment income Investment gains/(losses) Other-than-temporary impairments of investments Total, insurance and other Railroads, Utilities and Energy: Operating revenues Other Total, utilities and energy Finance and Financial Products: Interest income Investment gains/(losses) Derivative gains/(losses) Other Total, finance and financial products Total Revenues Cost and expenses Insurance and Other: Insurance losses and LAE Life, annuity and health insurance benefits Insurance underwriting expenses Cost of sales and services Selling, general and administrative expenses Interest expense Total, insurance and other Railroads, Utilities and Energy: Cost of sales and operating expenses Interest expense Total, utilities and energy Finance and Financial Products: Interest expense Other Total, finance and financial products Total Costs and Expenses Earnings before income taxes and minority interests Income taxes Earnings from equity method investments Net earnings Earnings attributable to noncontrolling interests Net earnings attributable to Berkshire Hathaway Pretax operating income Income tax on operating income Minority shareholders' interests Operating income Weighted average common shares outstanding (Class A basis) Operating EPS Non-operating EPS Net EPS Book value per share TTM Operating ROE TTM Net ROE Source: Company reports and Stifel Nicolaus estimates

6,223 6,223 0 2008

4,878 4,878 0 2009

5,685 5,739 (53) 2010E

6,097 6,240 (143) 2011E

1,100 1,100 0 1Q09

1,147 1,147 0 2Q09

1,325 1,325 0 3Q09

1,306 1,306 0 4Q09

1,390 1,262 128 1Q10

1,319 1,415 (97) 2Q10E

1,459 1,513 (54) 3Q10E

1,518 1,549 (31) 4Q10E

1,488 1,433 55 1Q11E

1,437 1,495 (58) 2Q11E

1,564 1,626 (62) 3Q11E

1,608 1,686 (79) 4Q11E

$25,525 65,854 4,966 (647) 0 95,698

$27,884 62,555 5,245 251 (3,155) 92,780

$27,167 59,290 4,800 1,315 0 92,572

$26,902 61,242 5,029 0 0 93,172

$8,183 14,310 1,374 (370) (3,096) 20,401

$6,485 15,587 1,454 33 (30) 23,529

$6,595 16,178 1,361 115 (25) 24,224

$6,621 16,480 1,056 473 (4) 24,626

$7,426 15,531 1,295 1,315 0 25,567

$6,446 14,462 1,143 0 0 22,051

$6,672 14,983 1,168 0 0 22,823

$6,623 14,314 1,193 0 0 22,131

$6,478 16,086 1,219 0 0 23,783

$6,614 14,928 1,244 0 0 22,786

$6,921 15,468 1,270 0 0 23,659

$6,888 14,760 1,296 0 0 22,944

12,668 1,303 13,971

11,204 239 11,443

24,243 205 24,448

27,358 177 27,535

2,969 (20) 2,949

2,502 153 2,655

2,741 71 2,812

2,992 35 3,027

5,010 40 5,050

5,922 55 5,976

6,444 70 6,514

6,868 40 6,907

7,160 12 7,172

6,222 55 6,277

6,799 70 6,869

7,177 40 7,217

1,790 7 (6,821) 3,141 (1,883) 107,786

1,886 67 3,624 2,693 8,270 112,493

1,444 3 411 3,033 4,891 121,910

1,390 0 0 3,093 4,483 125,190

362 0 (1,517) 589 (566) 22,784

419 (30) 2,357 677 3,423 29,607

420 (5) 1,732 721 2,868 29,904

685 102 1,052 706 2,545 30,198

401 3 411 605 1,420 32,037

348 0 0 722 1,070 29,097

348 0 0 769 1,116 30,454

348 0 0 937 1,285 30,322

348 0 0 635 983 31,938

348 0 0 734 1,081 30,144

348 0 0 791 1,139 31,667

348 0 0 932 1,280 31,441

16,259 1,840 4,634 54,103 8,052 156 85,044

18,251 1,838 6,236 52,647 8,117 130 87,219

17,352 1,492 7,430 48,709 7,189 360 82,531

18,004 0 8,310 50,099 7,486 390 84,290

6,014 508 1,348 11,958 1,963 48 21,839

4,072 403 1,885 13,128 2,073 38 21,599

4,125 435 1,475 13,614 2,015 29 21,693

4,040 492 1,528 13,947 2,066 15 22,088

4,186 1,492 1,403 12,906 1,839 67 21,893

4,323 0 1,943 11,833 1,768 98 19,965

4,500 0 2,004 12,243 1,829 98 20,674

4,343 0 2,080 11,727 1,752 98 19,999

4,335 0 2,034 13,210 1,974 98 21,650

4,453 0 2,009 12,205 1,824 98 20,587

4,678 0 2,090 12,617 1,885 98 21,368

4,539 0 2,177 12,068 1,803 98 20,686

9,840 1,168 11,008

8,739 1,176 9,915

18,262 1,913 20,175

20,318 2,088 22,406

2,355 291 2,646

1,955 298 2,253

2,080 291 2,371

2,349 296 2,645

3,832 347 4,179

4,513 522 5,035

4,768 522 5,290

5,149 522 5,671

5,298 522 5,820

4,641 522 5,163

5,014 522 5,536

5,365 522 5,887

639 3,521 4,160 100,212 7,574 1,978 0 5,596 602 4,994 15,035 4,794 602 9,639 1.549 $6,223 (2,999) $3,224 $70,530 6.5% 6.9%

686 3,121 3,807 100,941 11,552 3,538 427 8,441 386 8,055 10,765 2,812 386 7,567 1.551 $4,878 313 $5,190 $84,487 6.5% 6.9%

723 3,036 3,759 106,465 15,445 4,303 200 11,343 479 10,864 13,716 3,698 479 9,540 1.636 $5,685 973 $6,658 $90,883 6.4% 7.5%

726 3,040 3,765 110,461 14,729 4,242 200 10,687 420 10,267 14,729 4,242 420 10,067 1.651 $6,097 121 $6,218 $96,914 6.5% 6.6%

149 693 842 25,327 (2,543) (1,014) 83 (1,446) 88 (1,534) 2,440 648 88 1,704 1.549 $1,100 (2,090) ($990) $66,248 8.3% 2.2%

174 790 964 24,816 4,791 1,520 113 3,384 89 3,295 2,461 592 89 1,780 1.552 $1,147 976 $2,123 $73,806 7.9% 2.6%

174 827 1,001 25,065 4,839 1,601 111 3,349 111 3,238 3,022 855 111 2,056 1.552 $1,325 762 $2,087 $81,247 7.8% 4.5%

189 811 1,000 25,733 4,465 1,431 120 3,154 98 3,056 2,842 717 98 2,027 1.552 $1,306 665 $1,969 $84,487 6.5% 6.9%

179 688 867 26,939 5,098 1,336 50 3,812 179 3,633 3,369 968 179 2,222 1.59917 $1,390 882 $2,272 $89,374 6.5% 10.7%

181 751 932 25,931 3,166 893 50 2,323 100 2,223 3,166 893 100 2,173 1.648 $1,319 30 $1,349 $87,936 6.4% 9.2%

181 789 971 26,935 3,518 1,014 50 2,554 100 2,454 3,518 1,014 100 2,404 1.648 $1,459 30 $1,489 $89,380 6.3% 8.2%

181 808 989 26,659 3,663 1,060 50 2,653 100 2,553 3,663 1,060 100 2,503 1.649 $1,518 30 $1,548 $90,883 6.4% 7.5%

181 702 883 28,354 3,584 1,024 50 2,610 105 2,505 3,584 1,024 105 2,455 1.650 $1,488 30 $1,518 $92,356 6.4% 6.6%

181 749 931 26,681 3,463 986 50 2,528 105 2,423 3,463 986 105 2,373 1.651 $1,437 30 $1,467 $93,777 6.5% 6.6%

181 794 975 27,879 3,788 1,100 50 2,738 105 2,633 3,788 1,100 105 2,583 1.652 $1,564 30 $1,594 $95,324 6.5% 6.6%

181 794 976 27,548 3,893 1,132 50 2,811 105 2,706 3,893 1,132 105 2,656 1.652 $1,608 30 $1,638 $96,914 6.5% 6.6%

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Berkshire Hathaway Inc. (BRK.A) Important Disclosures and Certifications

July 8, 2010

I, Meyer Shields, certify that the views expressed in this research report accurately reflect my personal views about the subject securities or issuers; and I, Meyer Shields, certify that no part of my compensation was, is, or will be directly or indirectly related to the specific recommendation or views contained in this research report.
Rating and Price Target History for: Berkshire Hathaway Inc. (BRK/A) as of 07-02-2010
10/01/09 I:H:NA

175,000 150,000 125,000 100,000 75,000 Q1 Q2 Q3 2008 Q1 Q2 Q3 2009 Q1 Q2 Q3 2010 Q1 Q2 50,000 Q3

Rating Key B - Buy H - Hold S - Sell I - Initiation D - Dropped UR - Under Review NR - No Rating NA - Not Applicable RS - Rating Suspended

Created by BlueMatrix

For a price chart with our ratings and target price changes for BRK.A go to http://sf.bluematrix.com/bluematrix/Disclosure?ticker=BRK.A Stifel, Nicolaus & Company, Inc.'s research analysts receive compensation that is based upon (among other factors) Stifel Nicolaus' overall investment banking revenues. Our investment rating system is three tiered, defined as follows: BUY -We expect this stock to outperform the S&P 500 by more than 10% over the next 12 months. For higher-yielding equities such as REITs and Utilities, we expect a total return in excess of 12% over the next 12 months. HOLD -We expect this stock to perform within 10% (plus or minus) of the S&P 500 over the next 12 months. A Hold rating is also used for those higher-yielding securities where we are comfortable with the safety of the dividend, but believe that upside in the share price is limited. SELL -We expect this stock to underperform the S&P 500 by more than 10% over the next 12 months and believe the stock could decline in value. Of the securities we rate, 43% are rated Buy, 54% are rated Hold, and 3% are rated Sell. Within the last 12 months, Stifel, Nicolaus & Company, Inc. or an affiliate has provided investment banking services for 17%, 11% and 8% of the companies whose shares are rated Buy, Hold and Sell, respectively. Additional Disclosures Please visit the Research Page at www.stifel.com for the current research disclosures applicable to the companies mentioned in this publication that are within Stifel Nicolaus' coverage universe. For a discussion of risks to target price please see our stand-alone company reports and notes for all Buy-rated stocks. The information contained herein has been prepared from sources believed to be reliable but is not guaranteed by us and is not a complete summary or statement of all available data, nor is it considered an offer to buy or sell any securities referred to herein. Opinions expressed are subject to change without notice and do not take into account the
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Berkshire Hathaway Inc. (BRK.A)

July 8, 2010

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