Salient to Investors:

Warren Buffett and Charles Munger favor stock buybacks when two conditions are met:

  1. the company has ample funds to take care of operational and liquidity needs
  2. the stock is selling at a material discount to the company’s intrinsic business value, conservatively calculated.

Read the full article at http://www.bloomberg.com/news/2012-12-12/berkshire-expands-buyback-will-pay-up-to-120-of-book-value.html