AOL Time Warner would be written off, basically in evaluatignthe
businesses we own forget about good will, in determing how well we
allocate capital you need to factor in goodwill. if you bought KO
good will would get $100B of goodwill, you have to allow for goodwill
when you are deciding how well one allocates capital. i think
amortizing goodwill makes no sense, look at return on net tangible
assets.
CM - when we buy a business we get 10% net operating return, $60B of
float $6B of earnings isn't so bad
WB - paying $9b for lubrizol, $1B pre tax earnings. you have to judge
us on 9b investment you judge CEO of lubrizol on the capital he
deploys
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