Feb 6th, 2008 by Martin Lee
Dispelling rumors running in the market, Berkshire Hathaway (BRK.A) chief Warren Buffett says they have no plans to bail out troubled bond insurers MBIA (MBI) and Ambac (ABK).
In an interview with FOX Business anchor Liz Claman, Warren Buffett said his strategy is to create new companies in the sector, rather than bailing out existing troubled ones.
“We could have some kind of insurance transaction with them but we will not be investing in them or any other bond insurer. We’ve got our own bond insurer.”
Berkshire Hathaway Assurance, Warren Buffett’s newly created bond-insurance company, is already up and running in New York State and has done “a couple” of deals.