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��ࡱ�>�� C�� !"#$%&'()*+,-./0123456789:;<=>?@ABCDEFGHIJKLMNOPQRSTUVWXYZ[\]^_`abcdefghijklmnopqrstuvwxyz{|}~�Root Entry��p""�/��D@Workbook��}SummaryInformation(��DocumentSummaryInformation8�� !"#$%&'()*+,-./0123456789:;<=>?@AB�� F��\psshxbrlB�a�=@ ��=�ZL,�8X@�"��1��Tahoma1��Tahoma1��Tahoma1��Tahoma1��Tahoma1��!Tahoma1��Tahoma7"$"#,##0_);\( "$"#,##0\ )A"$"#,##0_);[Red]\( "$"#,##0\ )C"$"#,##0.00_);\( "$"#,##0.00\ )M$"$"#,##0.00_);[Red]\( "$"#,##0.00\ )q*6_("$"* #,##0_);_("$"* \( #,##0\ );_("$"* "-"_);_( @_ )_)-_(* #,##0_);_(* \( #,##0\ );_(* "-"_);_( @_ )�,>_("$"* #,##0.00_);_("$"* \( #,##0.00\ );_("$"* "-"??_);_( @_ )o+5_(* #,##0.00_);_(* \( #,##0.00\ );_(* "-"??_);_( @_ )#�$#,##0;($#,##0)� #,##0;(#,##0)/�$#,##0.##;($#,##0.##)+�#,##0.##;(#,##0.##)�� A �� A �� A �� A �� A �� A �� A �� A �� A �� A �� A �� A �� A �� A � � �+�� A �)�� A �,�� A �*�� A � �� A � � �(� �*� �(� � � � (� � � �� (X) � @) �� H) �� `�0�Document Information�,�Entity Information�>�Consolidated Balance Sheets�FConsolidated Statements of Earn�F01_Consolidated Statements of Ea�FC3Consolidated Statements of Cash�FBConsolidated Statements of Chan�F�IConsolidated Statements of Comp�F�NSignificant accounting policies�F�PSignificant business acquisitio�F�RAcquisition of Burlington North�F�TInvestments in fixed maturity s�F�VInvestments in equity securitie�*�XOther Investments�>�ZInvestment gains and losses�u\Receivables�h^Inventories�[`Goodwill�BNbProperty, plant and equipment�0AdDerivative contracts�F4fSupplemental cash flow informat�F'hUnpaid losses and loss adjustme�FjNotes payable and other borrowi� lIncome taxes�FnDividend restrictions - Insuran�6�oFair value measurements� �qCommon stock�"�s Pension plans�B�uContingencies and Commitments�2�wBusiness segment data�$�yQuarterly Data�F�{Schedule I - Condensed Financia��T�� Document Information 12 Months Ended Dec. 31, 2009 !Document information [Line Items] Document type10-KAmendment flagfalseDocument period end date 2009-12-31Entity Information (USD $)In Millions, except Share dataFeb. 18, 2010 Jun. 30, 2009 Entity Information [Line Items]Entity registrant nameBERKSHIRE HATHAWAY INCEntity Central Index Key 0001067983Current fiscal year end date--12-31!Entity well-known seasoned issuerYesEntity voluntary filersNoEntity current reporting statusEntity filer categoryLarge Accelerated FilerEntity public floatEntity Listings [Line Items]'Entity common stock, shares outstandingClass AClass B#Consolidated Balance Sheets (USD $)In MillionsDec. 31, 2009 Dec. 31, 2008 ASSETSCash and cash equivalentsTotal assetsLIABILITIES"Income taxes, principally deferredTotal liabilitiesSHAREHOLDERS' EQUITYCommon stockCapital in excess of par value&Accumulated other comprehensive incomeRetained earnings'Berkshire Hathaway shareholders' equityNoncontrolling interestsTotal shareholders' equity*Total liabilities and shareholders' equityInsurance and Other [Member](Investments in fixed maturity securities Investments in equity securitiesOther investmentsReceivablesInventoriesProperty, plant and equipmentGoodwillOther#Losses and loss adjustment expensesUnearned premiums"Life and health insurance benefits0Accounts payable, accruals and other liabilities"Notes payable and other borrowingsUtilities and Energy [Member]'Finance and Financial Products [Member]Loans and finance receivablesDerivative contract liabilities+Consolidated Statements of Earnings (USD $) 12 Months Ended Dec. 31, 2008 12 Months Ended Dec. 31, 2007 Revenues:Total revenuesCosts and expenses:Total costs and expenses7Earnings before income taxes and equity method earningsIncome tax expense'Earnings from equity method investmentsNet earnings7Less: Earnings attributable to noncontrolling interests/Net earnings attributable to Berkshire Hathaway%Average common shares outstanding [1][1]GNet earnings per share attributable to Berkshire Hathaway shareholders:JNet earnings per share attributable to Berkshire Hathaway shareholders [1]Insurance premiums earnedSales and service revenues.Interest, dividend and other investment incomeInvestment gains/losses5Other-than-temporary impairment losses on investments-Insurance losses and loss adjustment expensesInsurance underwriting expensesCost of sales and services,Selling, general and administrative expensesInterest expenseOperating revenues$Cost of sales and operating expensesDerivative gains/lossesQ[1]Average shares outstanding include average Class A common shares and average Class B common shares determined on an equivalent Class A common stock basis. Net earnings per share attributable to Berkshire Hathaway shareholders shown above represents net earnings per equivalent Class A common share. Net earnings per Class B common share is equal to one-fifteen-hundredth (1/1,500) of such amount or $3.46 per share for 2009, $2.15 per share for 2008 and $5.70 per share for 2007 after giving effect to the 50-for-1 Class B stock split that became effective on January 21, 2010. See Note 19.1Consolidated Statements of Earnings Parenthetical.12 Months Ended Dec. 31, 2009 USD / shares .12 Months Ended Dec. 31, 2008 USD / shares .12 Months Ended Dec. 31, 2007 USD / shares Jan. 21, 2010 ARatio of earnings per Class B share to earnings per Class A share6Stock split conversion rate for a Class B common share-Consolidated Statements of Cash Flows (USD $)%Cash flows from operating activities:>Adjustments to reconcile net earnings to operating cash flows:DInvestment (gains) losses and other-than-temporary impairment lossesDepreciationIChanges in operating assets and liabilities before business acquisitions:$Deferred charges reinsurance assumed Receivables and originated loans*Derivative contract assets and liabilitiesIncome taxesOther assets and liabilities(Net cash flows from operating activities< %Cash flows from investing activities:&Purchases of fixed maturity securitiesPurchases of equity securitiesPurchases of other investments"Sales of fixed maturity securities7Redemptions and maturities of fixed maturity securitiesSales of equity securities*Purchases of loans and finance receivables6Principal collections on loans and finance receivables0Acquisitions of businesses, net of cash acquired*Purchases of property, plant and equipment(Net cash flows from investing activities%Cash flows from financing activities:%Changes in short term borrowings, net2Acquisitions of noncontrolling interests and other(Net cash flows from financing activities1Effects of foreign currency exchange rate changes0Increase (decrease) in cash and cash equivalentsCash and cash equivalents:.Cash and cash equivalents at beginning of year(Cash and cash equivalents at end of yearProceeds from borrowingsRepayments of borrowingsBConsolidated Statements of Changes in Shareholders' Equity (USD $)1Common stock and capital in excess of par value (Accumulated other comprehensive income Retained earnings /Total Berkshire Hathaway shareholders' equity Non-controlling interests Total Balance at Dec. 31, 2006Other comprehensive income, net/Issuance of common stock and other transactions)Adoption of new accounting pronouncements$Changes in noncontrolling interests:)Interests acquired and other transactionsBalance at Dec. 31, 2007Adoption of equity methodBusiness acquisitionsBalance at Dec. 31, 2008Balance at Dec. 31, 20097Consolidated Statements of Comprehensive Income (USD $)/Comprehensive income attributable to Berkshire:Other comprehensive income:4Net change in unrealized appreciation of investmentsApplicable income taxes;Reclassification of investment appreciation in net earningsForeign currency translationFPrior service cost and actuarial gains/losses of defined benefit plans.Comprehensive income attributable to Berkshire0Comprehensive income of noncontrolling interests-Significant accounting policies and practices8Significant accounting policies and practices [Abstract]� (1) Significant accounting policies and practices (a) Nature of operations and basis of consolidation Berkshire Hathaway Inc. (Berkshire) is a holding company owning subsidiaries engaged in a number of diverse business activities, including property and casualty insurance and reinsurance, utilities and energy, finance, manufacturing, service and retailing. In these notes the terms us, we, or our refer to Berkshire and its consolidated subsidiaries. Further information regarding our reportable business segments is contained in Note 22. Significant business acquisitions completed over the past three years are discussed in Note 2. The accompanying Consolidated Financial Statements include the accounts of Berkshire consolidated with the accounts of all subsidiaries and affiliates in which we hold a controlling financial interest as of the financial statement date. Normally a controlling financial interest reflects ownership of a majority of the voting interests. Other factors considered in determining whether a controlling financial interest is held include whether we possess the authority to purchase or sell assets or make other operating decisions that significantly affect the entitys results of operations and whether we bear a majority of the financial risk of the entity. Intercompany accounts and transactions have been eliminated. Certain amounts in prior year presentations have been reclassified to conform with the current year presentation. In 2009, the Financial Accounting Standards Board established the FASB Accounting Standards Codification (the Codification) as the source of accounting principles generally accepted in the United States of America (GAAP) through the integration of then current accounting standards from several sources into a single source. The Codification did not affect the content or application of GAAP that was in effect and had no material impact on our Consolidated Financial Statements. In these notes,< relevant accounting principles are identified by Accounting Standards Codification number or ASC. As of January1, 2009, we adopted certain provisions of ASC 810 Consolidation which require that noncontrolling interests (formerly known as minority interests) be displayed in the balance sheet as a separate component of shareholders equity and that net earnings attributable to the noncontrolling interests be indentified and presented in the statement of earnings. In addition, changes in ownership interests where the parent retains a controlling interest are to be reported as transactions affecting shareholders equity. Previously such transactions were reportable as additional investment purchases (potentially resulting in recognition of additional other assets, including goodwill, or liabilities) or sales (potentially resulting in gains or losses). During 2009, we acquired certain noncontrolling interests in subsidiaries that resulted in a reduction to shareholders equity attributable to Berkshire of approximately $121 million. The reduction represents the excess of consideration paid over the previously recorded balance sheet carrying amount of the acquired noncontrolling (minority) interests. !Significant business acquisitions,Significant business acquisitions [Abstract]� (2) Significant business acquisitions Our long-held acquisition strategy is to purchase businesses with consistent earning power, good returns on equity and able and honest management at sensible prices. We had no significant business acquisitions in 2009. During 2008, we acquired approximately 64% of Marmon Holdings, Inc. (Marmon), a private company owned by trusts for the benefit of members of the Pritzker Family of Chicago, for approximately $4.8 billion in the aggregate. Marmon is an international association of approximately 130 manufacturing and service businesses that operate independently within diverse business sectors. Under the terms of the purchase agreement, we will acquire the remaining equity interests in Marmon between 2011 and 2014 for consideration to be based on the future earnings of Marmon. We also acquired several other relatively small businesses during 2008. Consideration paid for all businesses acquired in 2008 was approximately $6.1 billion. In 2007, we acquired TTI, Inc., a privately held electronic components distributor headquartered in Fort Worth, Texas. TTI, Inc. is a leading distributor specialist of passive, interconnect and electromechanical components. Effective April1, 2007, we acquired the intimate apparel business of VF Corporation. We also acquired several other relatively smaller businesses during 2007. Consideration paid for all businesses acquired in 2007 was approximately $1.6 billion. 7Acquisition of Burlington Northern Santa Fe CorporationBAcquisition of Burlington Northern Santa Fe Corporation [Abstract] (3) Acquisition of Burlington Northern Santa Fe Corporation On February12, 2010, we acquired all of the outstanding common stock of the Burlington Northern Santa Fe Corporation (BNSF) that we did not already own (about 264.5million shares or 77.5%) for a combination of cash and Berkshire stock consideration of $100 per BNSF share. On that date, BNSF became a wholly-owned subsidiary. BNSF is based in Fort Worth, Texas and operates one of the largest railroad systems in North America with approximately 32,000 route miles of track in 28 states and two Canadian provinces. The aggregate consideration paid of $26.5 billion consisted of cash of approximately $15.9 billion with the remainder in Berkshire ClassA and B stock (about 95,000 shares on an equivalent ClassA basis). Approximately 50% of the cash component was funded with existing cash balances and the remaining 50% was funded with the proceeds from newly issued debt. At December31, 2009, we already owned 76.8million shares of BNSF (22.5% of the outstanding shares), which were acquired over time beginning in 2006, and we accounted for those shares pursuant to the equity method. See Note 6. As of December31, 2009, our investment in BNSF had< a carrying value of $6.6 billion. Upon completion of the acquisition of the remaining BNSF shares, as required under ASC 805 Business Combinations, we will re-measure our previously owned investment in BNSF at fair value (approximately $7.7 billion based upon the market price of the BNSF stock at the acquisition date). In the first quarter of 2010, we will record a one-time holding gain of approximately $1.1 billion for the difference between the fair value and our carrying value immediately prior to the acquisition date. We will account for the BNSF transaction pursuant to the acquisition method. Due to the relatively short period of time between the BNSF acquisition date and the date our Consolidated Financial Statements were issued, and given that our evaluations of the fair values of certain significant assets and liabilities of BNSF as of the acquisition date are not sufficiently completed, it is impracticable for us to disclose the allocation of the aggregate purchase price to the assets and liabilities of BNSF at this time. Since the pro forma statement of earnings data is dependent on the purchase price allocation, we are also unable to provide pro forma information for the year ending December31, 2009 at this time. We expect to include these disclosures in our interim Consolidated Financial Statements for the period ending March31, 2010. 3Investments in fixed maturity securities [Abstract]U (4) Investments in fixed maturity securities Investments in securities with fixed maturities as of December31, 2009 and 2008 are summarized below (in millions). Amortized Cost Unrealized Gains Unrealized Losses * Fair Value December31, 2009 U.S. Treasury, U.S. government corporations and agencies $ 2,362 $ 46 $ (1 ) $ 2,407 States, municipalities and political subdivisions 3,689 275 (1 ) 3,963 Foreign governments 11,518 368 (42 ) 11,844 Corporate bonds 13,094 2,080 (502 ) 14,672 Mortgage-backed securities 3,961 310 (26 ) 4,245 $ 34,624 $ 3,079 $ (572 ) $ 37,131 Insurance and other $ 30,512 $ 2,553 $ (542 ) $ 32,523 Finance and financial products 4,112 526 (30 ) 4,608 $ 34,624 $ 3,079 $ (572 ) $ 37,131 December31, 2008 U.S. Treasury, U.S. government corporations and agencies $ 2,107 $ 123 $ (2 ) $ 2,228 States, municipalities and political subdivisions 4,504 242 (5 ) 4,741 Foreign governments 9,106 343 (59 ) 9,390 Corporate bonds 10,798 394 (1,568 ) 9,624 Mortgage-backed securities 5,400 338 (89 ) 5,649 $ 31,915 $ 1,440 $ (1,723 ) $ 31,632 Insurance and other $ 27,618 $ 1,151 $ (1,654 ) $ 27,115 Finance and financial products 4,297 289 (69 ) 4,517 $ 31,915 $ 1,440 $ (1,723 ) $ 31,632 * Includes $471 million at December31, 2009 and $176 million at December31, 2008 related to securities that have been in an unrealized loss position for 12 months or more. The amortized cost and estimated fair value of securities with fixed maturities at December31, 2009 are summarized below by contractual maturity dates. Actual maturities will differ from contractual maturities because issuers of certain of the securities retain early call or prepayment rights. Amounts are in millions. Dueinone yearorless Dueafterone year through five years Dueafterfive yearsthrough ten years Dueafter ten years Mortgage-backed securities Total Amortized cost $ 5,149 $ 15,910 $ 6,289 $ 3,315 $ 3,961 $ 34,624 Fair value 5,361 16,752 6,805 3,968 4,245 37,131+Investments in equity securities [Ab< stract]� (5) Investments in equity securities Investments in equity securities as of December31, 2009 and December31, 2008 are summarized below (in millions). CostBasis Unrealized Gains Unrealized Losses Fair Value December31, 2009 American Express Company $ 1,287 $ 4,856 $ $ 6,143 The Coca-Cola Company 1,299 10,101 11,400 Kraft Foods Inc. 4,330 (789 ) 3,541 The Procter Gamble Company 4,962 78 5,040 Wells Fargo Company 7,394 2,721 (1,094 ) 9,021 Other 17,935 7,118 (1,164 ) 23,889 $ 37,207 $ 24,874 $ (3,047 ) $ 59,034 Insurance and other $ 36,538 $ 23,070 $ (3,046 ) $ 56,562 Utilities and energy * 232 1,754 1,986 Finance and financial products * 437 50 (1 ) 486 $ 37,207 $ 24,874 $ (3,047 ) $ 59,034 December31, 2008 American Express Company $ 1,287 $ 1,525 $ $ 2,812 The Coca-Cola Company 1,299 7,755 9,054 Kraft Foods Inc. 4,330 (832 ) 3,498 The Procter Gamble Company 5,484 200 5,684 Wells Fargo Company 6,703 2,850 (580 ) 8,973 Other 21,037 2,452 (4,437 ) 19,052 $ 40,140 $ 14,782 $ (5,849 ) $ 49,073 * Included in Other assets. Unrealized losses at December31, 2009 included $1,864 million related to securities that have been in an unrealized loss position for 12 months or more. Approximately 90% of the gross unrealized losses at December31, 2009 were concentrated in four issuers. We use no bright-line test in determining whether impairments are temporary or other than temporary. We consider several factors in determining other-than-temporary impairment losses including the current and expected long-term business prospects of the issuer, the length of time and relative magnitude of the price decline and our ability and intent to hold the investment until the price recovers. In our judgment, the future earnings potential and underlying business economics of these companies are favorable and we possess the ability and intent to hold these securities until their prices recover. Changing market conditions and other facts and circumstances may change the business prospects of these issuers as well as our ability and intent to hold these securities until the prices recover. Accordingly, other-than-temporary impairment charges may be recorded in future periods with respect to one or more of these securities.Other InvestmentsOther Investments [Abstract]� (6) Other Investments A summary of other investments follows (in millions). Cost Unrealized Gains/Losses Fair Value Carrying Value December31, 2009 Fixed maturity and equity $ 21,089 $ 5,879 $ 26,968 $ 26,014 Equity method 5,851 1,721 7,572 6,586 $ 26,940 $ 7,600 $ 34,540 $ 32,600 Insurance and other $ 23,738 $ 7,094 $ 30,832 $ 28,980 Finance and financial products 3,202 506 3,708 3,620 $ 26,940 $ 7,600 $ 34,540 $ 32,600 December31, 2008 Fixed maturity and equity $ 14,452 $ 36 $ 14,488 $ 14,675 Equity method 5,919 352 6,271 6,860 $ 20,371 $ 388 $ 20,759 $ 21,535 Insurance and other $ 17,269 $ 391 $ 17,660 $ 18,419 Finance and financial products 3,102 (3 ) 3,099 3,116 $ 20,371 $ 388 $ 20,759 $ 21,535 Fixed maturity and equity investments in the< preceding table include our investments in The Goldman Sachs Group, Inc. (GS) and The General Electric Company (GE), which were acquired in 2008 and investments in Swiss Reinsurance Company Ltd. (Swiss Re) and The Dow Chemical Company (Dow) that were made in 2009. In addition, fixed maturity and equity investments include investments in Wm. Wrigley Jr. Company (Wrigley) that we acquired in both 2008 and 2009. Additional information regarding these investments follows. We own 50,000 shares of 10% Cumulative Perpetual Preferred Stock of GS (GS Preferred) and Warrants to purchase 43,478,260 shares of common stock of GS (GS Warrants) which were acquired for a combined cost of $5 billion. The GS Preferred may be redeemed at any time by GS at a price of $110,000 per share ($5.5 billion in aggregate). The GS Warrants expire in 2013 and can be exercised for an additional aggregate cost of $5 billion ($115/share). We also own 30,000 shares of 10% Cumulative Perpetual Preferred Stock of GE (GE Preferred) and Warrants to purchase 134,831,460 shares of common stock of GE (GE Warrants) which were acquired for a combined cost of $3 billion. The GE Preferred may be redeemed by GE beginning in October 2011 at a price of $110,000 per share ($3.3 billion in aggregate). The GE Warrants expire in 2013 and can be exercised for an additional aggregate cost of $3 billion ($22.25/share). We own $4.4 billion par amount of 11.45% subordinated notes due 2018 of Wrigley (Wrigley Notes) and $2.1 billion of 5% preferred stock of Wrigley (Wrigley Preferred). The Wrigley Notes and Wrigley Preferred were acquired in 2008 in connection with Mars, Incorporateds acquisition of Wrigley. During 2009, we also acquired $1.0 billion par amount of Wrigley senior notes due in 2013 and 2014. The Wrigley subordinated and senior notes are classified as held-to-maturity and accordingly we are carrying such investments at cost. On March23, 2009, we acquInvestment gains and losses"Investment gains/losses [Abstract]� (7) Investment gains/losses Investment gains/losses are summarized below (in millions). 2009 2008 2007 Fixed maturity securities Gross gains from sales and other disposals $ 357 $ 212 $ 657 Gross losses from sales and other disposals (54 ) (20 ) (35 ) Equity securities Gross gains from sales and other disposals 701 1,256 4,880 Gross losses from sales (617 ) (530 ) (7 ) Other (69 ) 255 103 $ 318 $ 1,173 $ 5,598 Net investment gains/losses are reflected in the Consolidated Statements of Earnings as follows. Insurance and other $ 251 $ 1,166 $ 5,405 Finance and financial products 67 7 193 $ 318 $ 1,173 $ 5,598 Receivables [Abstract]� (8) Receivables Receivables of insurance and other businesses are comprised of the following (in millions). 2009 2008 Insurance premiums receivable $ 5,295 $ 4,961 Reinsurance recoverables 2,922 3,235 Trade and other receivables 6,977 7,141 Allowances for uncollectible accounts (402 ) (412 ) $ 14,792 $ 14,925 Loans and finance receivables of finance and financial products businesses are comprised of the following (in millions). 2009 2008 Consumer installment loans and finance receivables $ 12,779 $ 13,190 Commercial loans and finance receivables 1,558 1,050 Allowances for uncollectible loans (348 ) (298 ) $ 13,989 $ 13,942 Allowances for uncollectible loans primarily relate to consumer installment loans. Provisions for consumer loan losses were $380 million in 2009 and $305 million in 2008. Loan charge-offs were $335 million in 2009 and $215 million in 2008. Consumer loan amounts are net o< f acquisition discounts of $594 million at December31, 2009 and $684 million at December31, 2008.Inventories [Abstract]K (9) Inventories Inventories are comprised of the following (in millions). 2009 2008 Raw materials $ 924 $ 1,161 Work in process and other 438 607 Finished manufactured goods 1,959 2,580 Purchased goods 2,826 3,152 $ 6,147 $ 7,500 Goodwill [Abstract]J (10) Goodwill A reconciliation of the change in the carrying value of goodwill is as follows (in millions). 2009 2008 Balance at beginning of year $ 33,781 $ 32,862 Acquisitions of businesses and other 191 919 Balance at end of year $ 33,972 $ 33,781 (Property, plant and equipment [Abstract]� (11) Property, plant and equipment Property, plant and equipment of our insurance and other businesses is comprised of the following (in millions). Rangesof estimatedusefullife 2009 2008 Land $ 740 $ 751 Buildings and improvements 340years 4,606 4,351 Machinery and equipment 325years 10,845 11,009 Furniture, fixtures and other 320years 1,595 1,856 Assets held for lease 1230years 5,706 5,311 23,492 23,278 Accumulated depreciation (7,772 ) (6,575 ) $ 15,720 $ 16,703 Assets held for lease consist primarily of railroad tank cars, intermodal tank containers and other equipment in the transportation and equipment services businesses of Marmon. As of December31, 2009, the minimum future lease rentals to be received on the equipment lease fleet (including rail cars leased from others) were as follows (in millions): 2010 $597; 2011 $458; 2012 $329; 2013 $216; 2014 $133; and thereafter $291. Property, plant and equipment of utilities and energy businesses is comprised of the following (in millions). Rangesof estimatedusefullife 2009 2008 Utility generation, distribution and transmission system 585years $ 35,616 $ 32,795 Interstate pipeline assets 367 years 5,809 5,649 Independent power plants and other assets 330 years 1,157 1,228 Construction in progress 2,152 1,668 44,734 41,340 Accumulated depreciation (13,798 ) (12,886 ) $ 30,936 $ 28,454 The utility generation, distribution and transmission system and interstate pipeline assets are the regulated assets of public utility and natural gas pipeline subsidiaries. At December31, 2009 and 2008, accumulated depreciation and amortization related to regulated assets was $13.3 billion and $12.5 billion, respectively. Substantially all of the construction in progress at December31, 2009 and 2008 related to the construction of regulated assets.Derivative contractsDerivative contracts [Abstract]� (12) Derivative contracts We enter into derivative contracts primarily through our finance and financial products businesses and our energy and utilities businesses. The derivative contracts of our finance and financial products businesses, with limited exceptions, are not designated as hedges for financial reporting purposes. These contracts were initially entered into with the expectation that the premiums received would exceed the amounts ultimately paid to counterparties. Changes in the fair values of such contracts are reported in earnings as derivative gains/losses. A summary of derivative contracts of our finance and financial products businesses follows (in millions). December31, 2009 December31, 2008 Assets(3) Liabilities Notional Value Assets(3) Liabilities Notional Value Equity index put options $ $ 7,309 $ 37,990 (1) $ $ 10,022 $ 37,134 (1) Cred< it default obligations: High yield indexes 781 5,533 (2) 3,031 7,892 (2) States/municipalities 853 16,042 (2) 958 18,364 (2) Individual corporate 81 3,565 (2) 105 3,900 (2) Other 378 360 503 528 Counterparty netting and funds held as collateral (193 ) (34 ) (295 ) (32 ) $ 266 $ 9,269 $ 208 $ 14,612 (1) Represents the aggregate undiscounted amount payable at the contract expiration dates assuming that the value of each index is zero at the contract expiration date. (2) Represents the maximum undiscounted future value of losses payable under the contracts, assuming a sufficient number of credit defaults occur. The number of losses required to exhaust contract limits under substantially all of the contracts is dependent on the loss recovery rate related to the specific obligor at the time of the default. (3) Included in Other assets of finance and financial products businesses. A summary of derivative gains/losses included in the Consolidated Statements of Earnings are as follows (in millions). 2009 2008 Equity index put options $ 2,713 $ (5,028 ) Credit default obligations 789 (1,774 ) Other 122 (19 ) $ 3,624 $ (6,821 ) From 2004 until the first quarter of 2008, we wrote equity index put option contracts on four major equity indexes including three indexes outside of the United States. These contracts are European style options and will be settled on the contract expiration dates, which occur between June 2018 and January 2028. Future payments, if any, under these contracts will be required if the underlying index value is below the strike price at the contract expiration dates. We received the premiums on these contracts in full at the contract inception dates and therefore we have no counterparty credit risk. At December31, 2009, the aggregate"Supplemental cash flow information-Supplemental cash flow information [Abstract] (13) Supplemental cash flow information A summary of supplemental cash flow information for each of the three years ending December31, 2009 is presented in the following table (in millions). 2009 2008 2007 Cash paid during the year for: Income taxes $ 2,032 $ 3,530 $ 5,895 Interest of finance and financial products businesses 622 537 569 Interest of utilities and energy businesses 1,142 1,172 1,118 Interest of insurance and other businesses 138 182 182 Non-cash investing and financing activities: Investments received in connection with the Equitas reinsurance transaction 6,529 Liabilities assumed in connection with acquisitions of businesses 278 4,763 612 Fixed maturity securities sold or redeemed offset by decrease in directly related repurchase agreements 599 Equity/fixed maturity securities exchanged for other securities/investments 2,329 258*Unpaid losses and loss adjustment expenses5Unpaid losses and loss adjustment expenses [Abstract]� (14) Unpaid losses and loss adjustment expenses The liabilities for unpaid losses and loss adjustment expenses are based upon estimates of the ultimate claim costs associated with property and casualty claim occurrences as of the balance sheet dates including estimates for incurred but not reported (IBNR) claims. Considerable judgment is required to evaluate claims and establish estimated claim liabilities. A reconciliation of the changes in liabilities for unpaid losses and loss adjustment expenses of our property/casualty insurance subsidiaries is as follows (in millions). 2009 2008 2007 Unpaid losses and < loss adjustment expenses: Gross liabilities at beginning of year $ 56,620 $ 56,002 $ 47,612 Ceded losses and deferred charges at beginning of year (7,133 ) (7,126 ) (4,833 ) Net balance at beginning of year 49,487 48,876 42,779 Incurred losses recorded during the year: Current accident year 19,156 17,399 22,488 Prior accident years (905 ) (1,140 ) (1,478 ) Total incurred losses 18,251 16,259 21,010 Payments during the year with respect to: Current accident year (7,207 ) (6,905 ) (6,594 ) Prior accident years (8,315 ) (8,486 ) (8,865 ) Total payments (15,522 ) (15,391 ) (15,459 ) Unpaid losses and loss adjustment expenses: Net balance at end of year 52,216 49,744 48,330 Ceded losses and deferred charges at end of year 6,879 7,133 7,126 Foreign currency translation adjustment 232 (616 ) 534 Acquisitions 89 359 12 Gross liabilities at end of year $ 59,416 $ 56,620 $ 56,002 Incurred losses prior accident years reflects the amount of estimation error charged or credited to earnings in each calendar year with respect to the liabilities established as of the beginning of that year. We reduced the beginning of the year net losses and loss adjustment expenses liability by $1,507 million in 2009, $1,690 million in 2008 and $1,793 million in 2007, which excludes the effects of prior years discount accretion and deferred charge amortization referred to below. In each year, the reductions in loss estimates for occurrences in prior years were primarily due to lower than expected severities and frequencies on reported and settled claims in primary private passenger and commercial auto lines and lower than expected reported reinsurance losses in both property and casualty lines. Accident year loss estimates are regularly adjusted to consider emerging loss development patterns of prior years losses, whether favorable or unfavorable. Incurred losses for prior accident years also include amortization of deferred charges related to retroactive reinsurance contracts incepting prior to the beginning of the year and the accretion o-Notes payable and other borrowings [Abstract]� (15) Notes payable and other borrowings Notes payable and other borrowings are summarized below (in millions). 2009 2008 Insurance and other: Issued or guaranteed by Berkshire due 2010-2035 $ 2,021 $ 2,275 Issued by subsidiaries and not guaranteed by Berkshire due 2010-2038 1,698 2,074 $ 3,719 $ 4,349 Debt issued or guaranteed by Berkshire includes short-term borrowings of $1.6 billion as of December31, 2009 and $1.8 billion as of December31, 2008. In February 2010, Berkshire issued $8.0 billion aggregate par amount of senior notes consisting of $2.0 billion par amount of floating rate notes due in 2011; $1.1 billion par amount of floating rate notes due in 2012; $1.2 billion par amount of floating rate notes due in 2013; $600 million par amount of 1.4% notes due in 2012; $1.4 billion par amount of 2.125% notes due in 2013; and $1.7 billion par amount of 3.2% notes due in 2015. These notes were issued in connection with the BNSF acquisition. 2009 2008 Utilities and energy: Issued by MidAmerican Energy Holdings Company (MidAmerican) and its subsidiaries and not guaranteed by Berkshire: MidAmerican senior unsecured debt due 2012-2037 $ 5,371 $ 5,121 Subsidiary and other debt due 2010-2039 14,208 14,024 $ 19,579 $ 19,145 MidAmerican senior debt is unsecured and has a weighted average interest rate of about 6.2% as of December31, 2< 009. Subsidiary debt of utilities and energy businesses represents amounts issued by subsidiaries of MidAmerican pursuant to separate financing agreements and has a weighted average interest rate of about 6% as of December31, 2009. All or substantially all of the assets of certain MidAmerican subsidiaries are or may be pledged or encumbered to support or otherwise secure the debt. These borrowing arrangements generally contain various covenants including, but not limited to, leverage ratios, interest coverage ratios and debt service coverage ratios. As of December31, 2009, MidAmerican and its subsidiaries were in compliance with all applicable covenants. 2009 2008 Finance and financial products: Issued by Berkshire Hathaway Finance Corporation (BHFC) and guaranteed by Berkshire $ 12,051 $ 10,778 Issued by other subsidiaries and guaranteed by Berkshire due 2010-2027 776 706 Issued by other subsidiaries and not guaranteed by Berkshire 2010-2036 1,784 1,904 $ 14,611 $ 13,388 BHFC is a 100% owned finance subsidiary of Berkshire, which has fully and unconditionally guaranteed its securities. Debt issued by BHFC matures between 2010 and 2018 and has a weighted average interest rate of approximately 4.2% as of December31, 2009. In January 2010, BHFC issued $1 billion par amount of senior notes consisting of $750 million par of 5.75% notes due in 2040 and $250 million par of floating rate notes due in 2012. In January 2010, BHFC repaid $1.5 billion par amount of senior notes that matured. Our subsidiaries have approximately $4.7 billion of available unused lIncome taxes [Abstract]� (16) Income taxes The liability for income taxes as of December31, 2009 and 2008 as reflected in our Consolidated Balance Sheets is as follows (in millions). 2009 2008 Payable currently $ (396 ) $ 161 Deferred 18,695 9,316 Other 926 803 $ 19,225 $ 10,280 The tax effects of temporary differences that give rise to significant portions of deferred tax assets and deferred tax liabilities at December31, 2009 and 2008 are shown below (in millions). 2009 2008 Deferred tax liabilities: Investments unrealized appreciation and cost basis differences $ 11,880 $ 4,805 Deferred charges reinsurance assumed 1,385 1,373 Property, plant and equipment 8,135 7,004 Other 4,236 4,024 25,636 17,206 Deferred tax assets: Unpaid losses and loss adjustment expenses (1,010 ) (896 ) Unearned premiums (500 ) (495 ) Accrued liabilities (1,643 ) (1,698 ) Derivative contract liabilities (875 ) (2,144 ) Other (2,913 ) (2,657 ) (6,941 ) (7,890 ) Net deferred tax liability $ 18,695 $ 9,316 We have not established deferred income taxes with respect to undistributed earnings of certain foreign subsidiaries. Earnings expected to remain reinvested indefinitely were approximately $3.8 billion as of December31, 2009. Upon distribution as dividends or otherwise, such amounts would be subject to taxation in the United States as well as foreign countries. However, U.S. income tax liabilities could be offset, in whole or in part, by tax credits allowable from taxes paid to foreign jurisdictions. Determination of the potential net tax due is impracticable due to the complexities of hypothetical calculations involving uncertain timing and amounts of taxable income and the effects of multiple taxing jurisdictions. The Consolidated Statements of Earnings reflect charges for income taxes as shown below (in millions). 2009 2008 2007 Federal $ 2,833 $ 915 $ 5,740 State 124 249 234 Foreign 581 814 620 $ 3,538 $ 1,978 $ 6,594 < Current $ 1,619 $ 3,811 $ 5,708 Deferred 1,919 (1,833 ) 886 $ 3,538 $ 1,978 $ 6,594 Charges for income taxes are reconciled to hypothetical amounts computed at the U.S. federal statutory rate in the table shown below (in millions). 2009 2008 2007 Earnings before income taxes $ 11,552 $ 7,574 $ 20,161 Hypothetical amounts applicable to above computed at the federal statutory rate $ 4,043 $ 2,651 $ 7,056 Tax-exempt interest income (33 ) (88 ) (33 ) Dividends received deduction (479 ) (415 ) (306 ) State income taxes, less federal income tax benefit 81 162 .Dividend restrictions - Insurance subsidiaries9Dividend restrictions - Insurance subsidiaries [Abstract]� (17) Dividend restrictions Insurance subsidiaries Payments of dividends by our insurance subsidiaries are restricted by insurance statutes and regulations. Without prior regulatory approval, our principal insurance subsidiaries may declare up to approximately $7 billion as ordinary dividends before the end of 2010. Combined shareholders equity of U.S. based property/casualty insurance subsidiaries determined pursuant to statutory accounting rules (Statutory Surplus as Regards Policyholders) was approximately $64 billion at December31, 2009 and $51 billion at December31, 2008. Statutory surplus differs from the corresponding amount determined on the basis of GAAP. The major differences between statutory basis accounting and GAAP are that deferred charges reinsurance assumed, deferred policy acquisition costs, unrealized gains and losses on investments in fixed maturity securities and related deferred income taxes are recognized under GAAP but not for statutory reporting purposes. In addition, statutory accounting for goodwill of acquired businesses requires amortization of goodwill over 10 years, whereas under GAAP, goodwill is not amortized and is subject to periodic tests for impairment. Fair value measurements"Fair value measurements [Abstract]� (18) Fair value measurements The estimated fair values of our financial instruments as of December31, 2009 and 2008 are shown in the following table (in millions). The carrying values of cash and cash equivalents, accounts receivable and accounts payable, accruals and other liabilities are deemed to be reasonable estimates of their fair values. Carrying Value Fair Value 2009 2008 2009 2008 Insurance and other: Investments in fixed maturity securities $ 32,523 $ 27,115 $ 32,523 $ 27,115 Investments in equity securities 56,562 49,073 56,562 49,073 Other investments 28,980 18,419 30,832 17,660 Notes payable and other borrowings 3,719 4,349 3,723 4,300 Utilities and energy: Investments in equity securities (1) 1,986 1,986 Derivative contract assets (1) 188 324 188 324 Notes payable and other borrowings 19,579 19,145 20,868 19,144 Derivative contract liabilities (2) 581 729 581 729 Finance and financial products: Investments in fixed maturity securities 4,608 4,517 4,608 4,517 Investments in equity securities (1) 486 486 Other investments 3,620 3,116 3,708 3,099 Derivative contract assets (1) 266 208 266 208 Loans and finance receivables 13,989 13,942 12,415 14,016 Notes payable and other borrowings 14,611 13,388 15,301 13,820 Derivative contract liabilities 9,269 14,612 9,269 14,612 (1) Included in Other assets (2) Included in Accounts payable, accruals and other liabilities Fair value is the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction betwe< en market participants as of the measurement date. Fair value measurements assume the asset or liability is exchanged in an orderly manner; the exchange is in the principal market for that asset or liability (or in the most advantageous market when no principal market exists); and the market participants are independent, knowledgeable, able and willing to transact an exchange. Fair values for substantially all of our financial instruments were measured using market or income approaches. Considerable judgment may be required in interpreting market data used to develop the estimates of fair value. Accordingly, the estimates presented herein are not necessarily indicative of the amounts that could be realized in an actual current market exchange. The use of different market assumptions and/or estimation methodologies may have a material effect on the estimated fair value. The hierarchy for measuring fair value consists of Levels 1 through 3. Level 1 Inputs represent unadjusted quoted prices for identical assets or liabilities exchanged in active markets. Substantially all of our equity investments are traded on an exchange in active markets and fair value is based on the closing prices as of the balance sheet date. Level 2 Inputs include diCommon stock [Abstract]c (19) Common stock On January20, 2010, our shareholders approved proposals to increase the authorized number of Class B common shares from 55,000,000 to 3,225,000,000 and to effect a 50-for-1 split of the Class B common stock which became effective on January21, 2010. The ClassA common stock was not split. Thereafter, each share of ClassA common stock became convertible, at the option of the holder, into 1,500 shares of Class B common stock. Class B common stock is not convertible into ClassA common stock. The Class B share data in the following table and the related disclosures regarding Class B shares are presented on a post-split basis for all periods. Changes in issued and outstanding Berkshire common stock during the three years ended December31, 2009 are shown in the table below. ClassA,$5ParValue ClassB,$0.0033ParValue (1,650,000 shares authorized) SharesIssuedandOutstanding (3,225,000,000sharesauthorized) SharesIssuedandOutstanding Balance December31, 2006 1,117,568 637,621,550 Conversions of ClassA common stock to Class B common stock and other (36,544 ) 62,382,450 Balance December31, 2007 1,081,024 700,004,000 Conversions of ClassA common stock to Class B common stock and other (22,023 ) 35,345,800 Balance December31, 2008 1,059,001 735,349,800 Conversions of ClassA common stock to Class B common stock and other (3,720 ) 9,351,500 Balance December31, 2009 1,055,281 744,701,300 Class B common stock possesses dividend and distribution rights equal to one-fifteen-hundredth (1/1,500)of such rights of ClassA common stock. Each ClassA common share is entitled to one vote per share. Each Class B common share possesses voting rights equivalent to one-ten-thousandth (1/10,000)of the voting rights of a ClassA share. Unless otherwise required under Delaware General Corporation Law, ClassA and Class B common shares vote as a single class. On an equivalent ClassA common stock basis, there were 1,551,749 shares outstanding as of December31, 2009 and 1,549,234 shares outstanding as of December31, 2008. The Class B stock split had no effect on the number of equivalent ClassA common shares outstanding. In addition to our common stock, we have 1,000,000 shares of preferred stock authorized, none of which are issued and outstanding. Pension plansPension plans [Abstract]� (20) Pension plans Several of our subsidiaries individually sponsor defined benefit pension plans covering certain employees. Benefits under the plans are generally based on years of service and compensation, although benefits under certain plans are based on years of service and fixed benefit rates. Contributions to the plans are made, generally, to meet re< gulatory requirements. Additional amounts may be contributed as determined by management based on actuarial valuations. The components of net periodic pension expense for each of the three years ending December31, 2009 are as follows (in millions). 2009 2008 2007 Service cost $ 162 $ 176 $ 202 Interest cost 455 452 439 Expected return on plan assets (417 ) (463 ) (444 ) Other 35 20 65 Net pension expense $ 235 $ 185 $ 262 The accumulated benefit obligation is the actuarial present value of benefits earned based on service and compensation prior to the valuation date. As of December31, 2009 and 2008, the accumulated benefit obligation was $7,379 million and $6,693 million, respectively. The projected benefit obligation is the actuarial present value of benefits earned based upon service and compensation prior to the valuation date and, if applicable, includes assumptions regarding future compensation levels. Information regarding the projected benefit obligations is shown in the table that follows (in millions). 2009 2008 Projected benefit obligation, beginning of year $ 7,587 $ 7,683 Service cost 162 176 Interest cost 455 452 Benefits paid (408 ) (455 ) Business acquisitions 249 Actuarial (gain) or loss and other 340 (518 ) Projected benefit obligation, end of year $ 8,136 $ 7,587 Benefit obligations under qualified U.S. defined benefit plans are funded through assets held in trusts and are not included as assets in our Consolidated Financial Statements. Pension obligations under certain non-U.S. plans and non-qualified U.S. plans are unfunded. As of December31, 2009, projected benefit obligations of non-qualified U.S. plans and non-U.S. plans which are not funded through assets held in trusts were $653 million. A reconciliation of the changes in plan assets and a summary of plan assets held as of December31, 2009 and 2008 is presented in the table that follows (in millions). 2009 2008 2009 2008 Plan assets at beginning of year $ 5,322 $ 7,063 Cash and equivalents $ 408 $ 535 Employer contributions 224 279 Government obligations 674 426 Benefits paid (408 ) (455 ) Investment funds 1,470 877 Actual return on plan assets 749 (1,244 ) Corporate obligations 744 715 Business acquisitions 188 Equity securities 2,152 2,213 Other and expenses 39 (509 ) Other 478 556 PlanContingencies and Commitments(Contingencies and Commitments [Abstract]� (21) Contingencies and Commitments We are parties in a variety of legal actions arising out of the normal course of business. In particular, such legal actions affect our insurance and reinsurance businesses. Such litigation generally seeks to establish liability directly through insurance contracts or indirectly through reinsurance contracts issued by Berkshire subsidiaries. Plaintiffs occasionally seek punitive or exemplary damages. We do not believe that such normal and routine litigation will have a material effect on its financial condition or results of operations. Berkshire and certain of its subsidiaries are also involved in other kinds of legal actions, some of which assert or may assert claims or seek to impose fines and penalties in substantial amounts. a) Governmental Investigations On January19, 2010, General Re Corporation (General Re), a wholly-owned subsidiary of Berkshire Hathaway Inc. (Berkshire), entered into settlements with the U.S. Department of Justice (the DOJ) and the Securities and Exchange Commission (the SEC) related to the investigations of non-traditional products previously disclosed by Berkshire. Berkshire, General Re and certain of Berk< shires insurance subsidiaries had been fully cooperating in these investigations since General Re originally received subpoenas in January 2005. As part of the settlements, General Re entered into a non-prosecution agreement (the Non-Prosecution Agreement) with the DOJ. Under the terms of the Non-Prosecution Agreement, among other things, the DOJ has agreed not to prosecute General Re for any crimes committed by General Re relating to General Res previously disclosed transaction with American International Group, Inc. (AIG) initially effected in 2000 (the AIG Transaction), and General Re has paid a monetary amount equal to $19.5 million to the United States. The Non-Prosecution Agreement provides that General Res agreement to pay $60.5 million, exclusive of attorneys fees and expenses, through the pending civil class action settlement with AIG shareholders more fully described below, when combined with the amounts to be paid by AIG and the other defendants, satisfies restitution with regard to the AIG Transaction. General Re also has agreed to continue to cooperate fully with the DOJ and the SEC in any ongoing investigations of individuals who may have been involved with the AIG Transaction. The Non-Prosecution Agreement acknowledges that General Re has instituted a number of internal corporate remediation measures applicable to itself and its subsidiaries and, under the terms of the Non-Prosecution Agreement, General Re has agreed to maintain such remediation measures at least during the three-year term thereof. General Re has also agreed to toll the statute of limitations for the term of the Non-Prosecution Agreement on crimes related to the AIG Transaction, and that neither it nor its directors, executive officers or representatives will make, cause others to make or acknowledge as true any statements inconsistent with the agreed statement of facts in the Non-Prosecution Agreement. The Non-Prosecution Agreement provides that if the DOJ determines that GeneBusiness segment data Business segment data [Abstract]� (22) Business segment data Our reportable business segments are organized in a manner that reflects how management views those business activities. Certain businesses have been grouped together for segment reporting based upon similar products or product lines, marketing, selling and distribution characteristics, even though those business units are operated under separate local management. The tabular information that follows shows data of reportable segments reconciled to amounts reflected in the Consolidated Financial Statements. Intersegment transactions are not eliminated in instances where management considers those transactions in assessing the results of the respective segments. Furthermore, our management does not consider investment and derivative gains/losses or amortization of purchase accounting adjustments in assessing the performance of reporting units. Collectively, these items are included in reconciliations of segment amounts to consolidated amounts. Business Identity Business Activity GEICO Underwriting private passenger automobile insurance mainly by direct response methods General Re Underwriting excess-of-loss, quota-share and facultative reinsurance worldwide Berkshire Hathaway Reinsurance Group Underwriting excess-of-loss and quota-share reinsurance for property and casualty insurers and reinsurers Berkshire Hathaway Primary Group Underwriting multiple lines of property and casualty insurance policies for primarily commercial accounts BH Finance, Clayton Homes, XTRA, CORT and other financial services (Finance and financial products) Proprietary investing, manufactured housing and related consumer financing, transportation equipment leasing, furniture leasing, life annuities and risk management products Marmon An association of approximately 130 manufacturing and service businesses that operate within 11 diverse business sectors McLane Company Wholesale distribution of groceries and non-food items MidAmerican Regulated electric and gas utility< , including power generation and distribution activities in the U.S. and internationally; domestic real estate brokerage Shaw Industries Manufacturing and distribution of carpet and floor coverings under a variety of brand names Other businesses not specifically identified with reportable business segments consist of a large, diverse group of manufacturing, service and retailing businesses. Business Identity Business Activity Manufacturing Acme Building Brands, Benjamin Moore, H.H. Brown Shoe Group, CTB, Fechheimer Brothers, Forest River, Fruit of the Loom, Garan, IMC, Johns Manville, Justin Brands, Larson-Juhl, MiTek, Richline and Scott Fetzer Service Buffalo News, Business Wire, FlightSafety, International Dairy Queen, Pampered Chef, NetJets and TTI Retailing Ben Bridge Jeweler, Borsheims, Helzberg Diamond Shops, Jordans Furniture, Nebraska Furniture Mart, Sees Candies, Star Furniture and R.C. Willey A disaggregation of our consolidated data for each of the three most recent years is presented in the tables which follow on this and the following two pages (in millions). Quarterly DataQuarterly Data [Abstract]� (23) Quarterly data A summary of revenues and earnings by quarter for each of the last two years is presented in the following table. This information is unaudited. Dollars are in millions, except per share amounts. 1st Quarter 2nd Quarter 3rd Quarter 4th Quarter 2009 Revenues $ 22,784 $ 29,607 $ 29,904 $ 30,198 Net earnings attributable to Berkshire * (1,534 ) 3,295 3,238 3,056 Net earnings attributable to Berkshire per equivalent Class A common share (990 ) 2,123 2,087 1,969 2008 Revenues $ 25,175 $ 30,093 $ 27,926 $ 24,592 Net earnings attributable to Berkshire * 940 2,880 1,057 117 Net earnings attributable to Berkshire per equivalent Class A common share 607 1,859 682 76 * Includes investment and derivative gains/losses, which, for any given period have no predictive value and variations in amount from period to period have no practical analytical value. Derivative gains/losses include significant amounts related to non-cash changes in the fair value of long-term contracts arising from short-term changes in equity prices, interest rates and foreign currency rates, among other factors. After-tax investment and derivative gains/losses for the periods presented above are as follows (in millions): 1st Quarter 2nd Quarter 3rd Quarter 4th Quarter Investment and derivative gains/losses 2009 $ (3,239 ) $ 1,515 $ 1,183 $ 1,027 Investment and derivative gains/losses 2008 (991 ) 610 (1,012 ) (3,252 ),Schedule I - Condensed Financial Information6Schedule of Condensed Financial Information [Abstract]Condensed Financial Information� BERKSHIRE HATHAWAY INC. (Parent Company) Condensed Financial Information (Dollars in millions) Schedule I Balance Sheets December31, 2009 2008 Assets: Cash and cash equivalents $ 5,985 $ 2,913 Investments in fixed maturity securities 200 127 Investments in and advances to/from consolidated subsidiaries 125,436 106,541 Other assets 18 9 $ 131,639 $ 109,590 Liabilities and Shareholders Equity: Accounts payable and accrued expenses $ 7 $ 10 Income taxes 190 69 Other borrowings 340 244 537 323 Shareholders equity 131,102 109,267 $ 131,639 $ 109,590 Statements of Earnings Year ended December31, 2009 2008 2007 Income items: From consolidated subsidiaries: Dividends $ 3,068 $ 4,483 $ 2,335 Undistributed earnings 5,045 341 10,991 8,<�113 4,824 13,326 Other income 8 342 118 8,121 5,166 13,444 Cost and expense items: General and administrative 27 8 32 Interest to affiliates, net 7 60 105 Other interest 6 7 23 Income taxes 26 97 71 66 172 231 Net earnings $ 8,055 $ 4,994 $ 13,213 Statements of Cash Flows Year ended December31, 2009 2008 2007 Cash flows from operating activities: Net earnings $ 8,055 $ 4,994 $ 13,213 Adjustments to reconcile net earnings to cash flows from operating activities: Undistributed earnings of subsidiaries (5,045 ) (341 ) (10,991 ) Income taxes payable 102 (18 ) 47 Other (12 ) 6 3 Net cash flows from operating activities 3,100 4,641 2,272 Cash flows from investing activities: Purchases of fixed maturity securities (200 ) (3,257 ) Sales of fixed maturity securities 127 2,216 Redemptions and maturities of fixed maturity securities 914 Investments in and advances to subsidiaries (4 ) (5,050 ) (354 ) Net cash flows from investing activities (77 ) (5,177 ) (354 ) Cash flows from financing activities: Proceeds from borrowings 196 46 5 Repayments of borrowings (100 ) (52 ) (649 ) Other (47 ) 49 441 Net cash flows from financing activities 49 43 (203 ) Increase (decrease) in cash and cash equivalents 3,072 (493 ) 1,715 Cash and cash equivalents at beginning of year 2,913 3,406 1,691 Cash and cash equivalents at end of year $ 5,985 $ 2,9��N�F��F�bZ*� �v�� ~ <:#��%HT,8/��1S.4��6��99�;5 ~=%h@g�է��hSp? �|� r��e�t F�� d��MbP?_*+��%��" dFXX�?�?U}�<}�}�$ �� d>�@�dd�7 F��q d��MbP?_*+��%��" dFXX�?�?U}�<}�}�$ �� ~ @��@� � ~ ��0A� � � � ~ ��0A� �� 0�D�A�*nh8>�@�dd�7 F��=`� d��MbP?_*+��%��" dFXX�?�?U}�<}�}�$ =�� !� "� #� $� %��@��@� &� |"A RA� '� (�@��@�@� )� ��A ��A� *� +� @ @� ,� �p�@@�@� -�@`�@�@� .�0 �@��@� /� �A 0��@� 0�K�@X�@� 1� H�A ��@� 2� |"A RA� 3� � $� %�@C�@��@� 4��@�z�@� 5�@��@ ��@� 6�M�@��@� 7��@�&�@� 8��@L�@� 9��@�O�@� :��@@��@� ;��@��@� &� �BA �CA� '� <��@��@� =��@��@�Dzl*$$$$$$$$$$$$$$$$$$$$$$$ �!�"�#�$�%�&�'�(�)�*�+�,�-�.�/�0�1�2�3�4�5�6�7�8�9�:�;�<�� >� ��@F�@� !?�!� �@�E�@� "@�"�@��@� #)�# �@ �X�@� $A� $� %$� &%�&�z@�q@� '9�'6�@��@� (:�(ִ@��@� );�)��@��@� *&�* `��@ @L�@� +'� ,?�,�@�@� -@�-��@@��@� .)�. ��@ ��@� /B� /� 0$� 1%�1H�@�@� 24�2�@��@� 36�3H�@X�@� 4C�4�R�@;�@� 5:�5�@�@� 6;�6�@\�@� 7&�7 �W�@ �l�@� 8'� 9?�9��@��@� :D�:��@��@� ;@�;��@&�@� <)�<!��@!��@�>�0$$$$$$$$$$$$$$$$$$$$$$>�@�dd�7 F��8�&/ d��MbP?_*+��%��" dFXX�?�?U}�<}�}�}�}�}�}�}�$ 8�� E� � � F� G� H"""� I~ !�v�@"~ !�P�@"~ !P��@"� J"""� K~ Ф�@"~ @w�@"~ @��@"� L~ ��@"~ ��@"~ @��@"� M~ ��@"~ �@"~ ¹@"� N~ �z@"""� O~ �|�@ "~ ܵ@ "~ ��@ "� P~ x@ "~ Ђ@ "~ v@ "� Q~ w�@"~ ��@"~ ��@"� R~ �^� "S~ ��7A� "S~ ^X^� "S� � %%%� T"""� U~ !I�@"~ !0�@"~ !��@"� �%%%� T"""� U~ $�u@"~ $�j@"~ $Ё@"� 3�%%%� H"""� V~ ;�@"~ @��@"~ � �@"� W~ `��@"~ ��@"~ `p�@"� X~ }�@"~ f�@"~ s�@"� Y~ `o@"~ 8�@"~ �@"� Z~ ��"~ T��""� I~ ��@"~ ]�@"~ ��@"� J"""� [~ ��@"~ ��@"~ ��@"� >~ ��@"~ ��@"~ �@"� \~ \�@"~ �@"~ ��@"� ]~ ��@"~ �j�@"~ �.�@"�D*l8,V,VVV:VVVb$,V$,V$,VVVVHV,VVV �!�"�#�$�%�&�'�(�)�*�+�,�-�.�/�0�1�2�3�4�5�6�7�� ^~ ��@ "~ t�@ "~ ��@ "� !_~ !@`@!"~ !�c@!"~ !�d@!"� "K~ " 0K�@""~ " @��@""~ " �L�@""� #A�#%%%� $H$"$"$"� %`~ %��@%"~ %��@%"~ %,�@%"� &;~ &�m@&"~ &\�@&"~ &�o@&"� 'I~ ' �Y�@'"~ ' �I�@'"~ ' ��@'"� (J("("("� )a~ )��@)"~ )8�@)"~ )��@)"� *_~ *`�@*"~ *@�@*"~ *�@*"� +K~ + �]�@+"~ + ��@+"~ + 3�@+"� ,B�,%%%� -H-"-"-"� .X~ .x�@."~ .��@."~ .Ԛ@."� /Y~ /�P@/"~ /@/"~ / h@/"� 0b~ 0P�@0"~ 0��0"~ 0@V�0"� 1;~ 1 �@1"~ 1��@1"~ 1t�@1"� 2I~ 2 '�@2"~ 2 l��2"~ 2 W�@2"� 3J3"3"3"� 4_~ 4p�@4"~ 4��@4"~ 4`�@4"� 5;~ 5b�@5"~ 5��@5"~ 5L�@5"� 6K~ 6!��@6"~ 6!@�@6"~ 6!�@6"� 7c�4��VVV$,VVV,VVV$,VVVVV,VVV>�@�dd� 77�7 F��2 d��MbP?_*+��%��" dFXX�?�?U}�<}�}�$ �� d� e� f� g� h� �� U�I�@0�@��@� �� i&�ݗ3�E?&�ݗ3�E?&�ݗ3�E?� U�#�u@#�j@#Ё@� j~ I@��B * D*>�@�dd�7 F��<k;�A d��MbP?_*+��%��" dFXX�?�?U}�<}�}�$ <�� k� !� � F� G� l� O��|�@ܵ@��@� m� n�*�@�@޵�� o�n�@��@΢@� ;��b��p�� p� <� �@�@0�� q� �C�P@�h@� =�5�|�@H�� r�ȅ@\�� s� A��@��@� t�̟@��H�@� u�$�@��$�@� v� ��@ ��@ ��@� w� x��c��)�� y�ڱ�� z��:�� {��@��@��@� |�r�@��@��@� }��@��@v�@� ~�� @ �@4�@� ��[�� I�� ;�p�@��@��@� �� P�� :�� |�@��D l8**************$********* �!�"�#�$�%�&�'�(�)�*�+�,�-�.�/�0�1�2�3�4�5�6�7�8�9�:�;�� y��`�0x@� !��! 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