BUSINESS BRIEFS
BUSINESS
Buffett, Munger talk about failure
Advertiser news services
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OMAHA, Neb. — Billionaires Warren Buffett and Charlie Munger said yesterday the most important lessons of the recent financial turmoil are that companies should borrow less and build a system that imposes severe disincentives for failure.
Berkshire Hathaway Inc.'s top two executives offered that frank assessment of what led to the current recession at a news conference held a day after 35,000 attended the company's annual meeting in Omaha. The two men also said most of the nation's biggest banks are not too big to fail, but consumers shouldn't be worried about bank failures because of protections built into the system.
Buffett said having severe disincentives for failure and proper incentives for success are key to ensuring large financial institutions are run well.
FIAT CONFIRMS BID FOR GM EUROPE
ROME — Fiat Group SpA confirmed yesterday that it is in talks to buy General Motors' European operations, in a move that, combined with its planned takeover of Chrysler LLC, would form one of the world's biggest car and truck makers.
The new auto manufacturer would have $105 billion in annual revenue, Fiat said in a statement.
GLOBE'S TALKS GO PAST DEADLINE
BOSTON — Amid threats of a shutdown and allegations of bullying, talks between The Boston Globe's unions and its owner continued early today — well past a midnight deadline — as the sides sought to agree on $20 million in concessions to keep the newspaper open.
The Globe's owner, The New York Times Co., said it had given the Globe's biggest union a copy of a notice it was prepared to file today if it was unable to agree on the concessions by midnight last night. The 60-day shutdown notice is required under federal law. The Boston Newspaper Guild called the move a "bullying" tactic by the Times Co., which last month threatened to close the Globe unless its unions agreed to $20 million in cuts, half from the guild. The guild said it had proposed more than the $10 million in cuts sought by the Times Co.
TV NETWORKS' AD SALES BLITZ BEGINS
HOLLYWOOD — The call marking the start of the TV advertising sales season began a little early this year.
Yesterday, CBS Corp. unleashed a marketing blitz to tell advertisers, viewers and Wall Street that CBS stands out because it draws more viewers than any other network.
Today, rival NBC planned to unveil its fall prime-time schedule — two weeks before the traditional kickoff of the television "upfront" season and two weeks before the other networks are to announce their fall lineups.
