Buffett's Bad Moody's

Tough times continue for Berkshire Hathaway , Warren Buffett's perennial cash cow, after Moody's cut its long-term issuer rating to Aa2 from its top Aaa rating. Moody's said the recession and investment losses at Berkshire's insurance interests "reduced its ability to support funding needs," CNN Money reports. Buffett is negotiating one of the worst markets since he took over Berkshire in 1965 and the holding company's shares have dropped 33% over the past year. Earlier this year Berkshire reported a 62% drop in profit, the worst year since Buffett took over 44 years ago, and just last month another ratings agency, Fitch, stripped Berkshire of its top rating. Berkshire has recorded big losses from investments in financial giants like American Express and Wells Fargo, but still the Moody's downgrade must sting - not least because Buffett has a 20% stake in the ratings agency , making him its biggest shareholder, notes the Wall Street Journal . Psst....wanna buy a bank....or a piece of one ... (link)