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    Berkshire Hathaway Reports Profit of $97 Billion Last Year, a Record

    The conglomerate saw major gains in its insurance operations and in investment income. But revenues at its railroad and utility businesses declined from 2022.Berkshire Hathaway, the conglomerate run for decades by Warren E. Buffett, recorded its highest-ever annual profit last year. But its chief executive found reason to blame government regulation for hurting the results of some of its biggest businesses.In his letter to investors that traditionally accompanies the annual report, Mr. Buffett also paid tribute to Charlie Munger, his longtime lieutenant and Berkshire’s vice chairman until his death in November at age 99.The company — whose divisions include insurance, the BNSF railroad, an expansive power utility, Brooks running shoes, Dairy Queen and See’s candy — disclosed $97.1 billion in net earnings last year, a sharp swing from its $22 billion loss in 2022 because of investment declines.Berkshire also reported $37.4 billion in operating earnings, the financial metric that Mr. Buffett prefers because it excludes paper investment gains and losses, for the year, up 21 percent from 2022. (Investors often see Berkshire as a bellwether of the American economy, given the breadth of its business.)Those gains arose from the powerful engine at the heart of Berkshire, its vast insurance operations that include Geico car insurance and reinsurance. The division reported $5.3 billion in after-tax earnings for 2023, reversing from a loss in the previous year thanks to fewer significant catastrophic events, rate increases and fewer claims at Geico.The business that Berkshire is best known for, stock investments using the enormous cash that the insurance business throws off, also performed well last year. Investment income jumped nearly 48 percent amid rising market valuations. (About 79 percent of the conglomerate’s investment income comes from just five companies: Apple, Bank of America, American Express, Coca-Cola and Chevron.)We are having trouble retrieving the article content.Please enable JavaScript in your browser settings.Thank you for your patience while we verify access. If you are in Reader mode please exit and log into your Times account, or subscribe for all of The Times.Thank you for your patience while we verify access.Already a subscriber? Log in.Want all of The Times? Subscribe. More

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    The Sunday Read: ‘The Great Freight-Train Heists of the 21st Century’

    Adrienne Hurst and Sophia Lanman and Listen and follow The DailyApple Podcasts | SpotifyOf all the dozens of suspected thieves questioned by the detectives of the Train Burglary Task Force at the Los Angeles Police Department during the months they spent investigating the rise in theft from the city’s freight trains, one man stood out. What made him memorable wasn’t his criminality so much as his giddy enthusiasm for trespassing. That man, Victor Llamas, was a self-taught expert of the supply chain, a connoisseur of shipping containers. Even in custody, as the detectives interrogated him numerous times, after multiple arrests, in a windowless room in a police station in spring 2022, a kind of nostalgia would sweep over the man. “He said that was the best feeling he’d ever had, jumping on the train while it was moving,” Joe Chavez, who supervised the task force’s detectives, said. “It was euphoric for him.”Some 20 million containers move through the ports of Los Angeles and Long Beach every year, including about 35 percent of all the imports into the United States from Asia. Once these steel boxes leave the relative security of a ship at port, they are loaded onto trains and trucks — and then things start disappearing. The Los Angeles basin is the country’s undisputed capital of cargo theft, the region with the most reported incidents of stuff stolen from trains and trucks and those interstitial spaces in the supply chain, like rail yards, warehouses, truck stops and parking lots.In the era of e-commerce, freight train robberies are going through a strange revival.There are a lot of ways to listen to ‘The Daily.’ Here’s how.We want to hear from you. Tune in, and tell us what you think. Email us at thedaily@nytimes.com. Follow Michael Barbaro on X: @mikiebarb. And if you’re interested in advertising with The Daily, write to us at thedaily-ads@nytimes.com.Additional production for The Sunday Read was contributed by Isabella Anderson, Anna Diamond, Sarah Diamond, Elena Hecht, Emma Kehlbeck, Tanya Pérez and Krish Seenivasan. More

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    Norfolk Southern Agrees to Try Out Federal Safety Reporting Program

    The company, which operated the train that derailed in East Palestine, Ohio, is the first major freight railroad to join a federal program that allows workers to report safety issues.Norfolk Southern, the operator of the freight train carrying toxic chemicals that derailed in East Palestine, Ohio, nearly a year ago, has agreed to participate in a federal program that allows employees to report safety issues confidentially, the company and federal officials announced on Monday.In the aftermath of the derailment, Transportation Secretary Pete Buttigieg called on Norfolk Southern and the nation’s other major freight railroads to join the program, one of a series of steps he urged them to take to improve safety.The railroads committed in March to participating, but in the months that followed, they pushed for changes to the program to address concerns about how it functions. None of the largest freight rail companies, known as Class I railroads, had officially agreed to join until the announcement on Monday.Norfolk Southern’s participation in the program, known as the Confidential Close Call Reporting System, or C3RS, will be limited in scope. The railroad will carry out a one-year pilot program that will apply to about 1,000 employees in Atlanta; Elkhart, Ind.; and Roanoke, Va., who are members of two unions, a small fraction of the company’s work force of roughly 20,000 people.“Norfolk Southern has taken a good first step, and it’s time for the other Class I railroads to back up their talk with action and make good on their promises to join this close call reporting system and keep America’s rail network safe,” Mr. Buttigieg said in a statement.Alan H. Shaw, the chief executive of Norfolk Southern, said in a statement that the company was “committed to setting the gold standard for rail safety, and we are proud to be the first Class I railroad to deliver on our promise to co-develop and launch a C3RS program.”The federal program, which is modeled after a similar one for pilots and other aviation personnel, allows railroad employees to report safety issues without worrying about potential discipline. But the freight rail companies raised concerns that workers might be able to take advantage of the program as a way to shield themselves from punishment after making dangerous mistakes.The Association of American Railroads, an industry group, said on Monday that the other major freight rail companies were still committed to joining the program.“This commitment remains unchanged,” said Jessica Kahanek, a spokeswoman for the group. She added, “A.A.R. and its member railroads collectively and individually have engaged in good-faith conversations with the administration and rail labor about strengthening the program.” More

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    German Rail Workers Strike Over Pay and Hours

    The walkout, one of the most significant to hit the country’s train service in years, is expected to affect long-distance and commuter travel nationwide.Passenger train drivers in Germany walked off the job on Wednesday and vowed not to return for six days in a strike over working conditions and pay that is expected to halt most long-distance and commuter rail travel across the country.The strike, one of the most significant on the national rail service in years, was announced on Monday by Claus Weselsky, the chairman of the G.D.L., a union that represents German train drivers. Mr. Weselsky, in a terse news conference, said that negotiations with rail bosses had broken down and accused the chief negotiator of the national rail company, Deutsche Bahn, of “trickery and deception,” especially with regard to the latest offer.The rail strike, the fourth in two months, comes amid a risk of reduced funding for the rail system after a court decision that stopped the government from repurposing money from a coronavirus pandemic fund for green projects. It also comes amid a trend of worsening performance of German trains. More broadly, there is general dissatisfaction with the administration of Chancellor Olaf Scholz, which is plagued by infighting and seen by some as being removed from the problems facing regular Germans.This time, the walkout is scheduled to run through the weekend and will therefore affect more leisure travelers than the recent previous strikes, which have taken place during the week and lasted no longer than three days. Drivers of cargo trains started the strike on Tuesday evening.About 7.3 million people ride trains in Germany operated by Deutsche Bahn every day, and the number is growing as more travelers switch to rail amid concerns about climate change. Deutsche Bahn trains also move roughly 600,000 tonnes of freight each day, according to federal data.Deutsche Bahn tried to obtain an emergency injunction before a three-day walkout this month, but a court in Frankfurt found that the union had the right to strike. The company said on Monday that it would not go back to the courts to try to force employees back to work.We are having trouble retrieving the article content.Please enable JavaScript in your browser settings.Thank you for your patience while we verify access. If you are in Reader mode please exit and log into your Times account, or subscribe for all of The Times.Thank you for your patience while we verify access.Already a subscriber?  More

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    This Is Not How Pete Buttigieg Wanted to Visit Ohio

    Gail Collins: Bret, Democratic strategists are worried about hanging on to support in the working class. The good news, from my perspective, is that it looks like the big problem is economic concerns, not cultural ones.Saying that’s good news because the Biden administration can respond to those worries by pointing to a ton of effort to create jobs and fight inflation.Guessing you may, um, disagree?Bret Stephens: In the immortal words of the “Airplane” sequel: “Just a tad.”The big problem for Democrats is that their economic message — that happy times are here again — isn’t landing in the places where they need to win, particularly factory towns where elections in states like Wisconsin or Ohio are sometimes decided. Inflation is still too high and probably means the Fed will continue to raise interest rates. Unemployment is low in part because so many people have dropped out of the labor force. Years of lax border control creates a perception that cheap immigrant labor will further undercut working-class wages. And a lot of the projects that President Biden’s spending bills are supposed to fund will take years to get off the ground because there’s rarely such a thing as a “shovel-ready” project.Gail: Yeah, gearing up for a big construction effort does take time. But people who’ve suffered with terrible transportation problems for years do know the shovels are coming. Like the bridge project over the Ohio River that Democrats in Cincinnati have joined hands with Mitch McConnell to celebrate.Bret: The other problem for Democrats is that if they aren’t winning the messaging battle when it comes to the economy, they are losing it badly when it comes to cultural issues. You and I often rue the collapse of the moderate wing of the G.O.P. that was occasionally willing to break with right-wing orthodoxies, but Democrats could also do more to embrace candidates who depart from progressive orthodoxies on issues like guns, immigration, school choice, trans issues and so on.Gail: “Depart from progressive orthodoxies” is a nice way of saying “embrace the bad.” I appreciate that it would be strategic for some purple-state Democrats to take moderate positions on guns, immigration, etc. But I’m not gonna be applauding somebody who, for instance, votes against an assault weapon ban.Bret: You’re reminding me of the story, probably apocryphal, of the supporter who told Adlai Stevenson, during one of his presidential runs in the 1950s, that “Every thinking person in America will be voting for you.”“I’m afraid that won’t do,” he supposedly replied. “I need a majority.”Gail: Let’s go back to infrastructure for a minute. Big story about that train wreck in Ohio. Do you agree with me that the whole thing is the fault of Republicans caving in to pressure from the rail industry to loosen regulations?Bret: Er, no. I read recently that there were more than 1,000 train derailments last year, which averages out to more than two a day, and that there’s been a 60 percent decline in railroad safety incidents since 1990. Accidents happen. When they do, they shouldn’t become a partisan issue.Gail: When major accidents happen in an industry that’s both necessarily regulated and greatly lobbied over, it should be a call for investigation.And while we’re on this subject, please let’s talk about our transportation secretary, Pete Buttigieg ….Bret: So, to illustrate my point, I’m not going to raise an accusing finger at him. Not even remotely his fault, even if Republicans are trying hard to pin him with the blame. Although, for someone with presidential aspirations, he didn’t exactly help himself by showing up a day after Donald Trump did.Gail: Sort of embarrassed that while I was trying to ponder rail regulation, my thoughts kept drifting off to Buttigieg the possible presidential candidate.He’s one of the guys we always mention when we talk about who might be nominated if Biden doesn’t go for a second term. But Buttigieg’s performance in Ohio was definitely not the work of a guy who knows how to run for that job.Steve McCurry/Magnum PhotosBret: Switching subjects again, we should talk about the legacy of President Jimmy Carter. I was a 7-year-old child living in Mexico City when he left office, so your recollections of him are much more valuable and interesting than mine.Gail: I distinctly remember bemoaning the energy shortage that left drivers waiting in long lines at the gas stations, but that’s hardly an insider’s story.Bret: Those lines put last year’s spike in gas prices in perspective.Gail: And every Democrat worried about Carter’s minimal talent for communication. He made a big TV appearance to promote energy conservation, wearing a sweater and sitting next to a fire, looking more silly than inspiring.Now, when I recall some of the stuff he did — environmental protection, promoting diversity, negotiating a peace agreement between Israel and Egypt — I appreciate him a lot more.Bret: Airline deregulation, too. Made air travel affordable to middle-class America for the first time. And he had the guts to nominate Paul Volcker to the Federal Reserve in 1979 to jack up interest rates and finally tame inflation, even though it would help cost him his presidency the next year.Gail: But the biggest thing he’s leaving us, Bret, is the story of his post-presidency. Campaigning endlessly for human rights, fair voting around the world and housing for the poor. Rather than holding press conferences to make his point, he’d swing a hammer with the crew at low-income housing construction sites.If high-ranking politicians see retirement from their top jobs as just a path to giving big-money speeches and writing the occasional memoir, they set a bad example for every older American. Carter showed how the later stages of life can actually be the richest and most rewarding.Bret: There’s a lot about Carter’s policy views that didn’t square with my own, and his persona sometimes struck me as … immodestly modest. But he was a unique figure in American political life, and he single-handedly disproved F. Scott Fitzgerald’s contention about there being no second acts in American lives.Gail: Not to mention third acts!Bret: He also showed how much more valuable a purpose- and values-driven life can be than one consumed by the culture of celebrity, wealth and pleasure — something that seriously tarnished the post-presidential legacy of a certain Southern Democrat who succeeded him, to say nothing of an even more saturnalian Republican president.Totally different topic, Gail, but I want to recommend our colleague Michelle Goldberg’s terrific column on the terrible mental-health effects of social media, particularly for teenagers. She mentions a proposal by Senator Josh Hawley of Missouri to totally ban social media for kids under 16. It’s one to which, as a father of three teenagers, I’m pretty sympathetic. Your thoughts?Gail: I read Michelle’s great piece and remembered how paranoid I was as a teenager when I thought two of my friends might be talking about me on the phone after school. Can’t imagine how I’d have felt if they had the capacity to do it as a group, while they were supposed to be studying after dinner. With a transcript available to the entire class later in the evening.Bret: Not only frequently abusive but also addictive. Someone once said that there are only two industries that speak of their customers as “users” — drug dealers and social-media companies.Gail: Just saying that kids can’t use social media sounds very attractive. But somehow I have my doubts it’ll work. Wonder if the more likely outcome might be a system the more sophisticated kids could use while the poorer, or less technologically cool ones, got sidelined.Am I being overly paranoid?Bret: No ban works perfectly. But if we were able to more or less end teenage cigarette smoking over the last 20 years, it shouldn’t be out of the question to try to do the same with social-media use. I can’t imagine that it’s beyond the technological reach of a company like Apple to write some code that stops social-media apps from being downloaded to phones whose primary users they know are under the age of 16.Gail: Well, happy to insist they do that. Even if they don’t know how, it’d increase pressure for them to find a way.Bret: I would welcome it, and I suspect most teenagers would, too. It’s hard enough being 14 or 15 without needing to panic about some embarrassing Instagram pic or discovering too late that something stupid or awful you wrote on Facebook or Twitter at 16 comes back to haunt you at 20.Gail: Hey, it’s traumatic enough being haunted by what I said last month.Bret: Or last week.As columnists, we volunteered to have a paper trail for our critics to pick through. We owe it to the kids to shield them from creating public records of their own indiscretions and idiocies. Life will come roaring at them soon enough. I say no social media till they’re old enough to vote, smoke and maybe even buy a drink. Full-frontal stupidity should be left to the grown-ups — like us!The Times is committed to publishing a diversity of letters to the editor. We’d like to hear what you think about this or any of our articles. Here are some tips. And here’s our email: letters@nytimes.com.Follow The New York Times Opinion section on Facebook, Twitter (@NYTopinion) and Instagram. More