The Royal County of Berkshire
Shown within England
Geography
Status	Non-metropolitan and ceremonial county
Origin	Historic
Region	South East England
Area - Total	Ranked 40th 1,262 km2 (487 sq mi)
ISO 3166-2	Consists of GB-BRC, GB-RDG, GB-SLG, GB-WBK, GB-WNM, GB-WOK
ONS code	Formerly 10
NUTS 3	UKJ11
Demography
Population - Total (2005) - Density	Ranked 26th 812,200 643 /km2 (1,670 /sq mi)
Ethnicity	88.7% White 6.8% S.Asian 2.0% Black.
Politics
No county council
Members of Parliament	Adam Afriyie (C) Richard Benyon (C) Phillip Lee (C) Fiona Mactaggart (L) Theresa May (C) John Redwood (C) Alok Sharma (C) Rob Wilson (C)
Districts
West Berkshire (Unitary) Reading (Unitary) Wokingham (Unitary) Bracknell Forest (Unitary) Windsor and Maidenhead (Unitary) Slough (Unitary)

Berkshire ( /ˈbɑrkʃər/ or /ˈbɑrkʃɪər/, abbreviated Berks) is both a ceremonial county and a historic county of England. The administrative county of Berkshire including the Berkshire County Council were abolished in 1998. The county is often referred to as the Royal County of Berkshire because of the presence of the royal residence of Windsor Castle in the county; this usage, which dates to the 19th century at least, was recognised by the Queen in 1957, and letters patent issued confirming this in 1974.^[1][2]

The ceremonial county has the same boundaries as the former administrative county, but historically the county was not co-terminous with this. The county borders the counties of Oxfordshire, Buckinghamshire, Surrey, Wiltshire and Hampshire. Historically the county included several towns to the northwest of the county (including Abingdon, Didcot and Wantage) that were moved into Oxfordshire in 1974 boundary changes. At the same time the town of Slough was moved into Berkshire from Buckinghamshire.^[3]

Under boundary changes in 1995, the county also acquired a boundary with Greater London.^[4] A later reorganisation, in 1998, abolished the county council. The highest tier of local government in Berkshire are now the unitary authorities of Bracknell Forest, Reading, Slough, West Berkshire, Windsor and Maidenhead and Wokingham.

History[link]

Windsor Castle, viewed from the Long Walk

The county is one of the oldest in England. It may date from the 840s, the probable period of the unification of "Sunningum" (East Berkshire) and "Ashdown" (the Berkshire Downs, probably including the Kennet Valley). The county is first mentioned by name in 860. According to Asser, it takes its name from a large forest of box trees that was called Bearroc (believed, in turn, to be a Celtic word meaning "hilly").^[5]

Berkshire has been the scene of many battles throughout history, during Alfred the Great's campaign against the Danes, including the Battle of Englefield, the Battle of Ashdown and the Battle of Reading. Newbury was the site of two Civil War battles, the First Battle of Newbury (at Wash Common) in 1643 and the Second Battle of Newbury (at Speen) in 1644. The nearby Donnington Castle was reduced to a ruin in the aftermath of the second battle. The Battle at Reading took place on 9 December 1688 in Reading. It was the only substantial military action in England during the Glorious Revolution and ended in a decisive victory for forces loyal to William of Orange. It was celebrated in Reading for hundreds of years afterwards.

Reading became the new county town in 1867, taking over from Abingdon which remained in the county. Under the Local Government Act 1888, Berkshire County Council took over functions of the Berkshire Quarter Sessions, covering an area known as the administrative county of Berkshire, which excluded the county borough of Reading. Boundary alterations in the early part of the 20th century were minor, with Caversham from Oxfordshire becoming part of the Reading county borough, and cessions in the Oxford area.

On 1 April 1974 Berkshire's boundaries changed under the Local Government Act 1972. Berkshire took over administration of Slough and Eton and part of the former Eton Rural District from Buckinghamshire.^[3] The northern part of the county became part of Oxfordshire, with Faringdon, Wantage and Abingdon and hinterland becoming the Vale of White Horse district, and Didcot and Wallingford added to South Oxfordshire district.^[3] 94 (Berkshire Yeomanry) Signal Squadron still keep the Uffington White Horse in their insignia, even though the White Horse is now in Oxfordshire. The original Local Government White Paper would have transferred Henley-on-Thames from Oxfordshire to Berkshire: this proposal did not make it into the Bill as introduced.^{[citation needed]}

On 1 April 1998 Berkshire County Council was abolished under a recommendation of the Banham Commission, and the districts became unitary authorities. Unlike similar reforms elsewhere at the same time, the non-metropolitan county was not abolished.^[6][7] Signs saying "Welcome to the Royal County of Berkshire" have all but disappeared but may still be seen on the borders of West Berkshire District, on the east side of Virginia Water and on the M4 motorway. There are also signs at the south side of Sonning Bridge on the B478 and going north on the A33 at the start of the dual carriageway just past Stratfield Saye.

Geography[link]

Aerial view of Virginia Water Lake on the southern edge of Windsor Great Park

From a landscape perspective, Berkshire divides into two clearly distinct sections with the boundary lying roughly on a north-south line through the centre of Reading.

The eastern section of Berkshire lies largely to the south of the River Thames, with that river forming the northern boundary of the county. In two places (Slough and Reading) the county now includes land to the north of the river. Tributaries of the Thames, including the Loddon and Blackwater increase the amount of low lying riverine land in the area. Beyond the flood plains, the land rises gently to the county boundaries with Surrey and Hampshire. Much of this area is still well wooded, especially around Bracknell and Windsor Great Park.

In the west of the county and heading upstream, the Thames veers away to the north of the (current) county boundary, leaving the county behind at the Goring Gap. This is a narrow part of the otherwise quite broad river valley where, at the end of the last Ice Age, the Thames forced its way between the Chiltern Hills (to the north of the river in Oxfordshire) and the Berkshire Downs.

View from Combe Gibbet, looking north over the Kennet Valley

As a consequence, the western portion of the county is situated around the valley of the River Kennet, which joins the Thames in Reading. Fairly steep slopes on each side delineate the river's flat floodplain. To the south, the land rises steeply to the nearby county boundary with Hampshire, and the highest parts of the county lie here. The highest of these is Walbury Hill at 297 m (974 ft), which is also the highest point in South East England region and between London and South Wales.

To the north of the Kennet, the land rises again to the Berkshire Downs. This is a hilly area, with smaller and well-wooded valleys draining into the River Lambourn, River Pang and their tributaries, and open upland areas famous for their involvement in horse racing and the consequent ever-present training gallops.

As part of a 2002 marketing campaign, the plant conservation charity Plantlife chose the Summer Snowflake (a.k.a. the 'Loddon Lily') as the county flower.

Demographics[link]

According to 2003 estimates there were 803,657 people in Berkshire, or 636 people/km². The population is mostly based in the urban areas to the east and centre of the county (Reading, Slough, Bracknell, Maidenhead, Wokingham, Windsor, Sandhurst, Crowthorne and Twyford being the largest towns) with West Berkshire being much more rural and sparsely populated, with far fewer towns (Newbury, Thatcham, Hungerford and Lambourn). The Reading/Wokingham Urban Area alone has a population of more than 350,000, making it south east England's second largest 'city' in all but name.

The population has increased massively since 1831; this is largely due to Berkshire's proximity to an expanding London^{[citation needed]}. In 1831, there were 146,234 people living in Berkshire; by 1901 the population had risen to 252,571 (of whom 122,807 were male and 129,764 were female).

Population of Berkshire:

• 1831: 146,234
• 1841: 161,759
• 1851: 170,065
• 1861: 176,256
• 1871: 196,475
• 1881: 218,363
• 1891: 238,709
• 1901: 252,571

Ceremonial County[link]

The ceremonial county of Berkshire consists of the area controlled by the six unitary authorities, each of which is independent of the rest. Berkshire has no county council. The ceremonial county has a Lord Lieutenant and a High Sheriff. The Lord Lieutenant of Berkshire is Mary Selina Bayliss, appointed in May 2008^[8] and the High Sheriff of Berkshire for the year 2011 is Robert Barclay Woods CBE.^[9]

Population figures for 2007 estimates [1]. See List of English districts by population for a full list of every English district.

Politics[link]

Berkshire is a ceremonial county and non-metropolitan county and it is unique in England in that it has no county council, or district council covering its entire area; rather it is divided into several unitary authorities, which do not have county status. It is the only non-metropolitan county to function in such a manner.

The Conservative Party controls the unitary authorities of West Berkshire, Windsor and Maidenhead, Wokingham and Bracknell Forest, whilst the Labour Party controls Reading and Slough.

In the 2010 general election, Conservative Party candidates were elected in seven of the eight parliamentary constituencies. Slough is the exception, being represented by a Labour MP.

Economy[link]

This is a chart of trend of regional gross value added of Berkshire at current basic prices published (pp. 240–253) by Office for National Statistics with figures in millions of British pounds sterling.

Notes

1. Components may not sum to totals due to rounding
2. Includes hunting and forestry
3. Includes energy and construction
4. Includes financial intermediation services indirectly measured

Industry[link]

The Oracle Corporation campus

Reading has a significant historical involvement in the information technology industry, largely as a result of the early presence in the town of sites of International Computers Limited and Digital. Whilst both these companies have been swallowed by other groups, their respective descendents in Fujitsu and Hewlett-Packard both still have local operations. More recently Microsoft and Oracle have established multi-building campuses in the borough. Other technology companies with a significant presence in the town include Agilent Technologies, Assuria, Audio & Design (Recording) Ltd, Bang & Olufsen, Cisco, Comptel, DediPower Managed Hosting, Ericsson, Harris Corporation, Intel, Nvidia, Rockwell Collins, Sage, Sagem Orga, SGI, Symantec, Symbol Technologies, Verizon Business, Virgin Media, Websense, Xansa (now Steria), and Xerox. The financial company ING Direct has its headquarters in Reading, as does the directories company Yell Group and the natural gas major BG Group. The insurance company Prudential has an administration centre in the town, whilst PepsiCo and Holiday Inn have offices. As with most major cities, Reading also has offices of the big 4 accounting firms Deloitte, KPMG, Ernst and Young, and PricewaterhouseCoopers.

Slough Trading Estate plays a major part in making Slough an important business centre in South East England

Slough is home to Europes largest trading estate and the world 2nd largest trading estate. Slough has more company HQ's than any other town or city in the UK. Slough is also home to the UK's biggest Business Park and is to be increased by Segro over the next few years. The global headquarters of Reckitt Benckiser and the UK headquarters of Mars, Incorporated are based in Slough. One of the Mars factories has been redeveloped and some production moved to the Czech Republic. The European head offices of major IT companies such as Research In Motion, Network Associates, Computer Associates, PictureTel and Compusys (amongst others) are all in the town. O₂ is headquartered here across four buildings. The town is also home to the National Foundation for Educational Research, which is housed in The Mere. Other major brands include Nintendo, Black and Decker, Amazon.co.uk, Honda, HTC and Abbey Business Centres and many more.^[10] Dulux paints are still manufactured in Slough by AkzoNobel which bought Imperial Chemical Industries in 2008. Slough is also home to popular companies such as Blackberry, HTC, Scottish and Southern Energy and many more world wide organisations. The Slough Trading Estate attracts many worldwide organisations due to its distance from London Heathrow Airport. Slough has seen major companies such as Burger King, Black and Decker, LG Electronics and many more move into the trading estate over the past few years. More details on the trading estate are available on the Segro website.

Bracknell is another base for high-tech industries, home to companies such as Panasonic, Fujitsu (formerly ICL) and Fujitsu-Siemens Computers, Dell, Hewlett-Packard, Siemens (originally Nixdorf), Honeywell, Cable and Wireless, Avnet Technology Solutions and Novell. Its success subsequently spread into the surrounding Thames Valley or M4 corridor, attracting IT firms such as Cable and Wireless, DEC (subsequently Hewlett-Packard), Microsoft, Sharp Telecommunications, Oracle Corporation, Sun Microsystems and Cognos. Bracknell is also home to the central Waitrose distribution centre and head office which is on a 70-acre (280,000 m²) site on the Southern Industrial Estate. Waitrose has operated from the town since the 1970s. The town is also home to the UK headquarters of BMW Group.^[11]

Newbury is home to the world headquarters of the mobile network operator Vodafone, which is the town's largest employer with over 6,000 people. Before moving to their £129 million headquarters in the outskirts of the town in 2002, Vodafone used 64 buildings spread across the town centre.^[12] As well as Vodafone, Newbury is also home to the UK headquarters of the pharmaceutical company Bayer AG, National Instruments, Micro Focus, NTS Express Road Haulage, Jokers' Masquerade, Newbury Parcels and Quantel. It also is home to the Newbury Building Society which operates in the region.

Agricultural produce[link]

Berkshire has a number of traditional dairy farming areas and has been famous of its cheese production for centuries. Abingdon Abbey once had many dairy-based granges in the Vale of the White Horse (now Oxfordshire) and in the south-east of the county, Red Windsor Cheese was developed with elderberry marbling. Today, a number of distinctive cheeses are exclusively produced in Berkshire, including Wigmore, Waterloo and Spenwood (named after Spencers Wood) cheeses from the Wigmore family at Village Maid Cheese in Riseley [2] (adjoining the Duke of Wellington's estate); and Barkham Blue, Barkham Chase and Loddon Blewe from Two Hoots Cheese at Barkham. [3]

Sport[link]

Horse racing[link]

The new grandstand at Royal Ascot

Ascot Racecourse is used for thoroughbred horse racing. It is one of the leading racecourses in the United Kingdom, hosting 9 of the UK's 32 annual Group 1 races, the same number as Newmarket. The course is closely associated with the British Royal Family, being approximately six miles from Windsor Castle, and owned by the Crown Estate.^[13]

Ascot today stages twenty-five days of racing over the course of the year, comprising sixteen Flat meetings held in the months of May and October. The Royal Meeting, held in June, remains a major draw, the highlight being the Ascot Gold Cup. The most prestigious race is the King George VI and Queen Elizabeth Stakes run over the course in July.

Newbury Racecourse in the civil parish of Greenham, adjoining the town of Newbury. It has courses for flat races and over jumps. It hosts one of Great Britain's 31 Group 1 flat races, the Lockinge Stakes.

Windsor Racecourse, also known as Royal Windsor Racecourse is a thoroughbred horse racing venue located in Windsor. It is one of only two figure-of-eight courses in the United Kingdom, the other being at Fontwell Park. It abandoned National Hunt jump racing in December 1998, switching entirely to Flat racing.

Lambourn also has a rich history in horse racing, the well drained, spongy grass, open downs and long flats make the Lambourn Downs ideal for training racehorses.

Football[link]

Reading vs Swansea in the The Championship at the Madejski Stadium

Reading F.C. is the only Berkshire football club to play professional football. Formed in 1871, the club is one of the oldest teams in England, but did not join the Football League until 1920, and first played in the top tier of English football in the 2006–07 season.

Newbury was home to A.F.C. Newbury, which was for a period one of only two football clubs to be sponsored by Vodafone (the other being Manchester United). In May 2006 Vodafone ended its sponsorship of the club,^[14] following which the club collapsed. A local pub team from the Old London Apprentice took over the ground temporarily and now compete in the Hellenic Football League as Newbury F.C..

There are several amateur and semi-professional football clubs in the county. These include Slough Town, Thatcham Town, Ascot United, A.F.C. Aldermaston, Sandhurst Town and Windsor F.C.

Rugby[link]

Reading is a centre for rugby union football, with the Aviva Premiership team London Irish as tenants at the Madejski Stadium.

Newbury's rugby union club, Newbury R.F.C. (the Newbury 'Blues'), is based in the town. In the 2004/05 season, the club finished second in the National Two division earning promotion to National One. Newbury had previously won National Four South (now renamed as National Three South) in 1996/97 with a 100% win record. In 2010/11 the club finished bottom of National League 2S,^[15] with a single win and twenty-nine defeats. The club was founded in 1928 and in 1996 moved to a new purpose-built ground at Monks Lane,^[16] which has since hosted England U21 fixtures.

Slough Rugby Club play in the Berks, Bucks & Oxon Southern Premier League (5 leagues away from the Aviva Premiership)

Ice hockey[link]

The Bracknell Bees Ice Hockey Club are former national champions, who currently play in the English Premier League.

Slough Jets also play in the English Premier League winning the title in 2007. Slough Jets also won the play-offs in 2005/2006, 2007/2008, 2009/2010 & 2011/2012. they have finished in the top 4 in the last 9 seasons. They also won the EPIH Cup in 2010-11. Slough Jets have been in the Premier League since 1999.

Hockey[link]

Slough Hockey Club is home to the Slough Ladies who play in the Women's Premier League. Slough Hockey club have 10 teams, The Ladies First and Mens 3rd play in their respective Division 1 leagues.

Towns and villages[link]

See the List of places in Berkshire and the List of civil parishes in Berkshire

Notable people[link]

King Edward III of England

David Cameron

Ricky Gervais

Berkshire has many notable people associated with it.

• Henry Addington, Viscount Sidmouth (1757–1844; former Prime Minister; donor of land for Royal Berkshire Hospital)^[17]
• Alexander Pope (1688–1744; poet)
• Prince Albert Victor (1864–1892; eldest son of Albert Edward, Prince of Wales, later King Edward VII)
• George Alexander (1858–1918; actor and theatre manager)
• Jane Austen (1775–1817; author)
• Francis Baily (1774–1844; astronomer)
• Lucy Benjamin (1970; actress)
• Michael Bond (b1926; author, creator of Paddington Bear)
• Kenneth Branagh (b1960; actor & film director)^[18]
• Charlie Brooker (b1971; journalist)
• Richard Burns (1971–2005; rally driver)^[19]
• David Cameron (b1966; Prime Minister of the United Kingdom and Leader of the Conservative Party since December 2005)
• Jimmy Carr (b1972; comedian)
• King Edward III of England (b1312–1377; one of the most successful English monarchs of the Middle Ages)
• Emma Crosby (1977; television presenter)
• Uri Geller (b1946; mentalist)
• Ricky Gervais (b1961; comedian)^[20]
• Dani Harmer (b1989; actress)
• Chesney Hawkes (b1971; pop singer)
• King Henry I of England (1068/1069–1135; founded and buried at Reading Abbey)
• King Henry VI of England (1421–1471; King of England, born at Windsor)
• Lenny Henry (b1958; comedian)
• Nicholas Hoult (b1989; actor)
• Kate Humble (b1968; television presenter)
• Joseph Huntley (1775-?; innovative biscuit maker; founder of Huntley & Palmers)^[21]
• Elton John (b1947; lives in Old Windsor)
• Peter Jones (b1966; entrepreneur)
• William Laud (1573–1645; former Archbishop of Canterbury)^[17]
• John Kendrick (1573–1624; merchant and mayor)^[17]
• John Madejski (b1941; entrepreneur and philanthropist)^[22]
• Sam Mendes (b1965; director)^[23]
• A. P. McCoy (b1974; jockey and winner of the 2010 Grand National and the 2010 BBC Sports Personality of the Year)
• Catherine, Duchess of Cambridge (b1982; spouse of Prince William, Duke of Cambridge)
• William Penn (1644–1718; founder of Pennsylvania)^[24]
• Lawrie Sanchez (b1959; former footballer and manager)^[25]
• Ayrton Senna (1960–1994; racing driver, Formula One champion)^[26]
• Mark Stephens, solicitor and broadcaster, mediator, writer, educator and patron of the arts (b. Old Windsor 1957)
• Chris Tarrant (b1946; radio broadcaster and host of Who Wants to Be a Millionaire?)^[27]
• Jethro Tull (1674–1741; agriculturist)
• Theo Walcott (b1989; footballer, originally for A.F.C. Newbury)
• Neil Webb (b1963; professional footballer)^[28]
• Oscar Wilde (1854–1900; poet and playwright, author of The Ballad of Reading Gaol, and prisoner in Reading Gaol)^[17]
• Kate Winslet (b1975; actress)^[29]
• Will Young (b1979; singer-songwriter)

Places of interest[link]

Key
	Abbey/Priory/Cathedral
	Accessible open space
	Amusement/Theme Park
	Castle
	Country Park
	English Heritage
	Forestry Commission
	Heritage railway
	Historic House
	Museum (free/not free)
	National Trust
	Theatre
	Zoo

• Basildon Park National Trust
• Beale Park
• Berkshire Downs
• Bisham Abbey
• Blake's Lock
• California Country Park
• Calleva Atrebatum
• Combe Gibbet
• Donnington Castle
• Eton College
• Frogmore House
• Greenham Common
• Highclere Castle
• Lardon Chase, the Holies and Lough Down National Trust
• The Living Rainforest
• Legoland Windsor
• Museum of English Rural Life
• Museum of Reading
• North Wessex Downs Area of Outstanding Natural Beauty
• Reading Abbey
• Reading School Grade II listed building designed by Alfred Waterhouse
• River Thames
• Shaw House
• REME Museum of Technology
• Slough Museum
• Stanlake Park Wine Estate
• The Ridgeway
• Walbury Hill
• Watermill Theatre
• Welford Park
• Wellington Country Park
• West Berkshire Museum
• Windsor Castle
• Windsor Great Park

See also[link]

Berkshire portal

• Lord Lieutenant of Berkshire
• High Sheriff of Berkshire
• Custos Rotulorum of Berkshire - Keepers of the Rolls
• Berkshire constituency - Historical list of MPs for Berkshire constituency
• Thames Valley
• Berkshire Record Office
• Schools in Berkshire

References[link]

External links[link]

Wikimedia Commons has media related to: Berkshire

• Berkshire at the Open Directory Project
• BBC Berkshire website
• Photographs of Berkshire
• Berkshire Enclosure Maps Digital copies of Berkshire enclosure maps and awards 1738–1883
• "Victoria County History: Berkshire". British History Online. http://www.british-history.ac.uk/subject.aspx?subject=5&gid=2. Retrieved 13 July 2009. 

Neighbouring counties

	Wiltshire	Oxfordshire, Buckinghamshire	Buckinghamshire
	Wiltshire		Greater London
		Berkshire    East
	Wiltshire	Hampshire	Surrey

Coordinates: 51°27′18″N 0°58′09″W / 51.455°N 0.96917°W / 51.455; -0.96917

Warren Buffett
Buffett speaking to students from the University of Kansas School of Business, May 6, 2005
Born	Warren Edward Buffett (1930-08-30) August 30, 1930 (age 81) Omaha, Nebraska, U.S.
Nationality	American
Alma mater	University of Pennsylvania University of Nebraska–Lincoln Columbia University
Occupation	Chairman & CEO of Berkshire Hathaway
Years active	1951–present
Salary	US$100,000[1]
Net worth	US$ 44 billion (2012)[2]
Religion	None (Agnostic [3])
Spouse	Susan Thompson Buffett (1952–2004) Astrid Menks (2006–present)[4]
Children	Susan Alice Buffett Howard Graham Buffett Peter Andrew Buffett
Signature

Warren Edward Buffett (/ˈbʌfɨt/; born August 30, 1930) is an American business magnate, investor, and philanthropist. He is widely considered the most successful investor of the 20th century. He is the primary shareholder, chairman and CEO of Berkshire Hathaway.^[5] He is consistently ranked among the world's wealthiest people. He was ranked as the world's wealthiest person in 2008^[6] and is the third wealthiest person in the world as of 2011.^[7] In 2012, American magazine Time named Buffett one of the most influential people in the world.^[8]

Buffett is called the "Wizard of Omaha", "Oracle of Omaha"^[9], or the "Sage of Omaha"^[10] and is noted for his adherence to the value investing philosophy and for his personal frugality despite his immense wealth.^[11] Buffett is also a notable philanthropist, having pledged to give away 99 percent^[12] of his fortune to philanthropic causes, primarily via the Gates Foundation. On April 11, 2012, he was diagnosed with prostate cancer.^[13]

Early life[link]

Buffett was born in 1930 in Omaha, Nebraska, the second of three children and only son of U.S. Representative Howard Buffett,^[14] a fierce critic of the interventionist New Deal domestic and foreign policy, and his wife Leila (née Stahl). Buffett began his education at Rose Hill Elementary School in Omaha. In 1942, his father was elected to the first of four terms in the United States Congress, and after moving with his family to Washington, D.C., Warren finished elementary school, attended Alice Deal Junior High School, and graduated from Woodrow Wilson High School in 1947, where his senior yearbook picture reads: "likes math; a future stock broker."^[15]

Even as a child, Buffett displayed an interest in making and saving money. He went door to door selling chewing gum, Coca-Cola, or weekly magazines. For a while, he worked in his grandfather's grocery store. While still in high school he was successful in making money by delivering newspapers, selling golfballs and stamps, and detailing cars, among other means. Filing his first income tax return in 1944, Buffett took a $35 deduction for the use of his bicycle and watch on his paper route.^[16] In 1945, in his sophomore year of high school, Buffett and a friend spent $25 to purchase a used pinball machine, which they placed in the local barber shop. Within months, they owned several machines in different barber shops.

Buffett's interest in the stock market and investing also dated to his childhood, to the days he spent in the customers' lounge of a regional stock brokerage near the office of his father's own brokerage company. On a trip to New York City at the age of ten, he made a point to visit the New York Stock Exchange. At the age of 11, he bought three shares of Cities Service Preferred for himself, and three for his sister.^[17][18] While in high school he invested in a business owned by his father and bought a farm worked by a tenant farmer. By the time he finished college, Buffett had accumulated more than $90,000 in savings measured in 2009 dollars.

Buffett entered college as a freshman in 1947 at the Wharton Business School of the University of Pennsylvania and studied there for two years from 1947 to 1949. In the year 1950, when he entered his junior year, he transferred to the University of Nebraska–Lincoln where at the age of nineteen, he graduated with a Bachelor of Science in business administration. After the completion of his undergraduate studies, Buffett enrolled at Columbia Business School after learning that Benjamin Graham (author of "The Intelligent Investor" – one of his favorite books on investing) and David Dodd, two well-known securities analysts, taught there. He earned a Master of Science in economics from Columbia in 1951. Buffett also attended the New York Institute of Finance. In Buffett's own words:

Business career[link]

Warren Buffett was employed from 1951–54 at Buffett-Falk & Co., Omaha as an investment salesman, from 1954–1956 at Graham-Newman Corp., New York as a securities analyst, from 1956–1969 at Buffett Partnership, Ltd., Omaha as a general partner and from 1970 – Present at Berkshire Hathaway Inc, Omaha as its Chairman, CEO.

In 1950, at the age of 20, Buffett had made and saved $9,800 (over $120,000 inflation-adjusted). In April 1952, Buffett discovered Graham was on the board of GEICO insurance. Taking a train to Washington, D.C. on a Saturday, he knocked on the door of GEICO's headquarters until a janitor allowed him in. There he met Lorimer Davidson, Geico's Vice President, and the two discussed the insurance business for hours. Davidson would eventually become Buffett's life-long friend and a lasting influence^[21] and later recall that he found Buffett to be an "extraordinary man" after only fifteen minutes. Buffett graduated from Columbia and wanted to work on Wall Street, however, both his father and Ben Graham urged him not to. He offered to work for Graham for free, but Graham refused.^[22]

Buffett returned to Omaha and worked as a stockbroker while taking a Dale Carnegie public speaking course.^[23] Using what he learned, he felt confident enough to teach an "Investment Principles" night class at the University of Nebraska-Omaha. The average age of his students was more than twice his own. During this time he also purchased a Sinclair Texaco gas station as a side investment. However, this did not turn out to be a successful business venture.

In 1952^[24] Buffett married Susan Thompson at Dundee Presbyterian Church and the next year they had their first child, Susan Alice Buffett. In 1954, Buffett accepted a job at Benjamin Graham's partnership. His starting salary was $12,000 a year (approximately $105,000 adjusted to 2012 dollars). There he worked closely with Walter Schloss. Graham was a tough man to work for. He was adamant that stocks provide a wide margin of safety after weighting the trade-off between their price and their intrinsic value. The argument made sense to Buffett but he questioned whether the criteria were too stringent and caused the company to miss out on big winners that had more qualitative values.^{[citation needed]} That same year the Buffetts had their second child, Howard Graham Buffett. In 1956, Benjamin Graham retired and closed his partnership. At this time Buffett's personal savings were over $174,000 ($1.2 million inflation adjusted to 2009 dollars) and he started Buffett Partnership Ltd., an investment partnership in Omaha.

Buffett's home in Omaha

In 1957, Buffett had three partnerships operating the entire year. He purchased a five-bedroom stucco house in Omaha, where he still lives, for $31,500. In 1958 the Buffett's third child, Peter Andrew Buffett, was born. Buffett operated five partnerships the entire year. In 1959, the company grew to six partnerships operating the entire year and Buffett was introduced to Charlie Munger. By 1960, Buffett had seven partnerships operating: Buffett Associates, Buffett Fund, Dacee, Emdee, Glenoff, Mo-Buff and Underwood. He asked one of his partners, a doctor, to find ten other doctors willing to invest $10,000 each in his partnership. Eventually eleven agreed, and Buffett pooled their money with a mere $100 original investment of his own. In 1961, Buffett revealed that Sanborn Map Company accounted for 35% of the partnership's assets. He explained that in 1958 Sanborn stock sold at only $45 per share when the value of the Sanborn investment portfolio was $65 per share. This meant that buyers valued Sanborn stock at "minus $20" per share and were unwilling to pay more than 70 cents on the dollar for an investment portfolio with a map business thrown in for nothing. This earned him a spot on the board of Sanborn.

As a millionaire[link]

In 1962, Buffett became a millionaire because of his partnerships, which in January 1962 had an excess of $7,178,500, of which over $1,025,000 belonged to Buffett. Buffett merged all partnerships into one partnership. Buffett invested in and eventually took control of a textile manufacturing firm, Berkshire Hathaway. Buffett's partnerships began purchasing shares at $7.60 per share. In 1965, when Buffett's partnerships began purchasing Berkshire aggressively, they paid $14.86 per share while the company had working capital of $19 per share. This did not include the value of fixed assets (factory and equipment). Buffett took control of Berkshire Hathaway at the board meeting and named a new president, Ken Chace, to run the company. In 1966, Buffett closed the partnership to new money. Buffett wrote in his letter: "... unless it appears that circumstances have changed (under some conditions added capital would improve results) or unless new partners can bring some asset to the partnership other than simply capital, I intend to admit no additional partners to BPL."

In a second letter, Buffett announced his first investment in a private business — Hochschild, Kohn and Co, a privately owned Baltimore department store. In 1967, Berkshire paid out its first and only dividend of 10 cents. In 1969, following his most successful year, Buffett liquidated the partnership and transferred their assets to his partners. Among the assets paid out were shares of Berkshire Hathaway. In 1970, as chairman of Berkshire Hathaway, Buffett began writing his now-famous annual letters to shareholders. However, he lived solely on his salary of $50,000 per year, and his outside investment income. In 1979, Berkshire began the year trading at $775 per share, and ended at $1,310. Buffett's net worth reached $620 million, placing him on the Forbes 400 for the first time.

In 1973, Berkshire began to acquire stock in the Washington Post Company. Buffett became close friends with Katharine Graham, who controlled the company and its flagship newspaper, and became a member of its board of directors. In 1974, the SEC opened a formal investigation into Warren Buffett and Berkshire's acquisition of WESCO, due to possible conflict of interest. No charges were brought. In 1977, Berkshire indirectly purchased the Buffalo Evening News for $32.5 million. Antitrust charges started, instigated by its rival, the Buffalo Courier-Express. Both papers lost money, until the Courier-Express folded in 1982.

In 1979, Berkshire began to acquire stock in ABC. Capital Cities announced $3.5 billion purchase of ABC on March 18, 1985 surprised the media industry, as ABC was four times bigger than Capital Cities at the time. Berkshire Hathaway chairman Warren Buffett helped finance the deal in return for a 25% stake in the combined company.^[25] The newly merged company, known as Capital Cities/ABC (or CapCities/ABC), was forced to sell off some stations due to FCC ownership rules. Also, the two companies owned several radio stations in the same markets.^[26]

In 1987, Berkshire Hathaway purchased a 12% stake in Salomon Inc., making it the largest shareholder and Buffett the director. In 1990, a scandal involving John Gutfreund (former CEO of Salomon Brothers) surfaced. A rogue trader, Paul Mozer, was submitting bids in excess of what was allowed by the Treasury rules. When this was discovered and brought to the attention of Gutfreund, he did not immediately suspend the rogue trader. Gutfreund left the company in August 1991.^[27] Buffett became Chairman of Salomon until the crisis passed; on September 4, 1991, he testified before Congress.^[28] In 1988, Buffett began buying stock in Coca-Cola Company, eventually purchasing up to 7% of the company for $1.02 billion. It would turn out to be one of Berkshire's most lucrative investments, and one which it still holds.

As a billionaire[link]

Buffett became a billionaire on paper when Berkshire Hathaway began selling class A shares on May 29, 1990, when the market closed at $7,175 a share.^[29] In 1998, in an unusual move, he acquired General Re (Gen Re) for stock. In 2002, Buffett became involved with Maurice R. Greenberg at AIG, with General Re providing reinsurance. On March 15, 2005, AIG's board forced Greenberg to resign from his post as Chairman and CEO under the shadow of criticism from Eliot Spitzer, former attorney general of the state of New York. On February 9, 2006, AIG and the New York State Attorney General's office agreed to a settlement in which AIG would pay a fine of $1.6 billion.^[30] In 2010, the federal government settled with Berkshire Hathaway for $92 million in return for the firm avoiding prosecution in an AIG fraud scheme, and undergoing 'corporate governance concessions'.^[31]

In 2002, Buffett entered in $11 billion worth of forward contracts to deliver U.S. dollars against other currencies. By April 2006, his total gain on these contracts was over $2 billion. In 2006, Buffett announced in June that he gradually would give away 85% of his Berkshire holdings to five foundations in annual gifts of stock, starting in July 2006. The largest contribution would go to the Bill and Melinda Gates Foundation.^[32] In 2007, in a letter to shareholders, Buffett announced that he was looking for a younger successor, or perhaps successors, to run his investment business.^[33] Buffett had previously selected Lou Simpson, who runs investments at Geico, to fill that role. However, Simpson is only six years younger than Buffett.

Late 2000s recession[link]

Buffett ran into criticism^[34] during the subprime crisis of 2007–2008, part of the late 2000s recession, that he had allocated capital too early resulting in suboptimal deals. "Buy American. I am." he wrote for an opinion piece published recently in the New York Times.^[35] Buffett has called the 2007–present downturn in the financial sector "poetic justice".^[36] Buffett's Berkshire Hathaway suffered a 77% drop in earnings during Q3 2008 and several of his recent deals appear to be running into large mark-to-market losses.^[37]

Berkshire Hathaway acquired 10% perpetual preferred stock of Goldman Sachs.^[38] Some of Buffett's Index put options (European exercise at expiry only) that he wrote (sold) are currently running around $6.73 billion mark-to-market losses.^[39] The scale of the potential loss prompted the SEC to demand that Berkshire produce, "a more robust disclosure" of factors used to value the contracts.^[39] Buffett also helped Dow Chemical pay for its $18.8 billion takeover of Rohm & Haas. He thus became the single largest shareholder in the enlarged group with his Berkshire Hathaway, which provided $3 billion, underlining his instrumental role during the current crisis in debt and equity markets.^[40]

In 2008, Buffett became the richest man in the world, with a total net worth estimated at $62 billion^[41] by Forbes and at $58 billion^[42] by Yahoo, dethroning Bill Gates, who had been number one on the Forbes list for 13 consecutive years.^[43] In 2009, Gates regained the position of number one on the Forbes list, with Buffett second. Their values have dropped to $40 billion and $37 billion, respectively, Buffett having lost $25 billion in 12 months during 2008/2009, according to Forbes.^[44]

In October 2008, the media reported that Warren Buffett had agreed to buy General Electric (GE) preferred stock.^[45] The operation included extra special incentives: he received an option to buy 3 billion GE at $22.25 in the next five years, and also received a 10% dividend (callable within three years). In February 2009, Buffett sold some of the Procter & Gamble Co, and Johnson & Johnson shares from his portfolio.^[46]

In addition to suggestions of mistiming, questions have been raised as to the wisdom in keeping some of Berkshire's major holdings, including The Coca-Cola Company (NYSE:KO) which in 1998 peaked at $86. Buffett discussed the difficulties of knowing when to sell in the company's 2004 annual report:

That may seem easy to do when one looks through an always-clean, rear-view mirror. Unfortunately, however, it's the windshield through which investors must peer, and that glass is invariably fogged.^[47]

In March 2009, Buffett stated in a cable television interview that the economy had "fallen off a cliff... Not only has the economy slowed down a lot, but people have really changed their habits like I haven't seen". Additionally, Buffett fears we may revisit a 1970s level of inflation, which led to a painful stagflation that lasted many years.^[48][49]

In 2009, Warren Buffett invested $2.6 billion as a part of Swiss Re's raising equity capital.^[50][51] Berkshire Hathaway already owns a 3% stake, with rights to own more than 20%.^[52] In 2009, Warren Buffett acquired Burlington Northern Santa Fe Corp. for $34 billion in cash and stock. Alice Schroeder, author of Snowball, stated that a reason for the purchase was to diversify Berkshire Hathaway from the financial industry.^[53] Measured by market capitalization in the Financial Times Global 500 Berkshire Hathaway as of June 2009 was the eighteenth largest corporation on earth.^[54]

In 2009, Buffett divested his failed investment in ConocoPhillips, saying to his Berkshire investors,

I bought a large amount of ConocoPhillips stock when oil and gas prices were near their peak. I in no way anticipated the dramatic fall in energy prices that occurred in the last half of the year. I still believe the odds are good that oil sells far higher in the future than the current $40–$50 price. But so far I have been dead wrong. Even if prices should rise, moreover, the terrible timing of my purchase has cost Berkshire several billion dollars.^[55]

The merger with the Burlington Northern Santa Fe Railway (BNSF) closed upon BNSF shareholder approval in 1Q2010. This deal is valued at approximately $34 billion and reflects an increase of a previously existing stake of about 22%.

In June 2010, Buffett defended the credit rating agencies for their role in the US financial crisis, claiming that:

Very, very few people could appreciate the bubble. That's the nature of bubbles – they're mass delusions.^[56]

On March 18, 2011, Goldman Sachs acquired Federal Reserve approval to buy back Berkshire's preferred stock in Goldman. Buffet has been reluctant to give up the stock which averaged $1.4 million in dividends a day,^[57] stating:^[58]

I'm going to be the Osama bin Laden of capitalism. I'm on my way to an unknown destination in Asia where I'm going to look for a cave. If the U.S. Armed forces can't find Osama bin Laden in 10 years, let Goldman Sachs try to find me.^[59]

In November 2011, it was announced that over the course of the last 8 months, Warren Buffett had bought 64 million shares of International Business Machine Corp (IBM) stock, worth around $11 billion. This unanticipated investment raised his stake in the company to around 5.5 percent—the largest stake in IBM alongside that of State Street Global Advisors. Buffett had said on numerous prior occasions that he would not invest in technology because he did not fully understand it, so the move came as a surprise to many investors and observers. During the interview in which he revealed the investment to the public, Buffet stated that he was impressed by the company's ability to retain corporate clients and said, "I don't know of any large company that really has been as specific on what they intend to do and how they intend to do it as IBM."^[60]

In May 2012, it was announced that Warren Buffett had acquired Media General, owner of 63 newspapers in the south-eastern United States.^[61] It was the second news print purchase made by Buffett in one year.^[62]

Personal life[link]

Buffett married Susan Buffett (née Thompson) in 1952. They had three children, Susie, Howard and Peter. The couple began living separately in 1977, although they remained married until her death in July 2004. Their daughter, Susie, lives in Omaha and does charitable work through the Susan A. Buffett Foundation and is a national board member of Girls, Inc. In 2006, on his seventy-sixth birthday, Warren married his longtime companion, Astrid Menks, who was then 60 years old. She had lived with him since his wife's departure to San Francisco in 1977.^[63] It was Susan Buffett who arranged for the two to meet before she left Omaha to pursue her singing career. All three were close and Christmas cards to friends were signed "Warren, Susie and Astrid".^[64] Susan Buffett briefly discussed this relationship in an interview on the Charlie Rose Show shortly before her death, in a rare glimpse into Buffett's personal life.^[65]

Warren Buffett disowned his son Peter's adopted daughter, Nicole, in 2006 after she participated in the Jamie Johnson documentary, The One Percent. Although his first wife had referred to Nicole as one of her "adored grandchildren",^[66] Buffett wrote her a letter stating, "I have not emotionally or legally adopted you as a grandchild, nor have the rest of my family adopted you as a niece or a cousin." He signed the letter "Warren."^[67][68][69]

His 2006 annual salary was about $100,000, which is small compared to senior executive remuneration in comparable companies.^[70] In 2007 and 2008, he earned a total compensation of $175,000, which included a base salary of just $100,000.^[71][72] He lives in the same house in the central Dundee neighborhood of Omaha that he bought in 1958 for $31,500, today valued at around $700,000 (although he also owns a $4 million house in Laguna Beach, California).^[73] In 1989 after having spent nearly 6.7 million dollars of Berkshire's funds on a private jet, Buffett sheepishly named it "The Indefensible". This act was a break from his past condemnation of extravagant purchases by other CEOs and his history of using more public transportation.^[74]

Buffett is an avid player of bridge, which he plays with fellow fan Gates.^[76] He spends 12 hours a week playing the game.^[77] In 2006, he sponsored a bridge match for the Buffett Cup. Modeled on the Ryder Cup in golf, held immediately before it, and in the same city, a team of twelve bridge players from the United States took on twelve Europeans in the event. He is a dedicated, lifelong follower of Nebraska football, and attends as many games as his schedule permits. He supported the hire of Bo Pelini following the 2007 season stating, "It was getting kind of desperate around here".^[78] He watched the 2009 game against Oklahoma from the Nebraska sideline after being named an honorary assistant coach.^[79]

Warren Buffett worked with Christopher Webber on an animated series with chief Andy Heyward, of DiC Entertainment, and then A Squared Entertainment. The series features Buffett and Munger, and teaches children healthy financial habits for life.^[80][81] Buffett was raised Presbyterian but has since described himself as agnostic.^[82] In December 2006 it was reported that Buffett does not carry a cell phone, does not have a computer at his desk, and drives his own automobile,^[83] a Cadillac DTS.^[84] Buffett wears tailor-made suits from the Chinese label Trands; earlier he wore Ermenegildo Zegna.^[85]

Health[link]

On 11 April 2012, Buffett was diagnosed with stage I prostate cancer during a routine test.^[86] He announced he would begin two months of daily radiation treatment from mid-July; however, in a letter to shareholders, Buffett said he felt "great - as if I were in my normal excellent health - and my energy level is 100 percent".

Lineage[link]

Buffett's DNA report revealed that his paternal ancestors hail from northern Scandinavia, while his maternal ancestors hail from Iberia (present-day Spain^[87]) or Estonia.^[88] It's been also reported that Warren is not related to Jimmy Buffett despite the similar surname.^[87]

Recognition[link]

In 1999, Buffett was named the top money manager of the Twentieth Century in a survey by the Carson Group, ahead of Peter Lynch and John Templeton.^[89] In 2007, he was listed among Time's 100 Most Influential People in the world.^[90] In 2011, President Barack Obama awarded him the Presidential Medal of Freedom.^[91] Most recently, Buffett, along with Bill Gates, was named the most influential global thinker in Foreign Policy's 2010 report.^[92]

Politics[link]

Buffett and President Obama at the Oval Office, July 14, 2010

In addition to other political contributions over the years, Buffett has formally endorsed and made campaign contributions to Barack Obama's presidential campaign. On July 2, 2008, Buffett attended a $28,500 per plate fundraiser for Obama's campaign in Chicago hosted by Obama's National Finance Chair, Penny Pritzker and her husband, as well as Obama advisor Valerie Jarrett.^[93] Buffett backed Obama for president, and intimated that John McCain's views on social justice were so far from his own that McCain would need a "lobotomy" for Buffett to change his endorsement.^[94] During the second 2008 U.S. presidential debate, candidates John McCain and Barack Obama, after being asked first by presidential debate mediator Tom Brokaw, both mentioned Buffett as a possible future Secretary of the Treasury.^[95] Later, in the third and final presidential debate, Obama mentioned Buffett as a potential economic advisor.^[96] Buffett was also finance advisor to California Republican Governor Arnold Schwarzenegger during his 2003 election campaign.^[97]