Berkshire Hathaway Inc. Chairman and Chief Executive Officer Warren Buffett announced a stock swap today in which he will exit most of his four-decade investment in the firm that owned the Washington Post newspaper.
Berkshire Hathaway Inc. reached a deal to acquire a Miami television station and some of the company’s own shares in a $1.1 billion swap for Graham Holdings Co. stock that Warren Buffett held for more than four decades.
For more than a decade, Graham Holdings Co., the former Washington Post Co., relied on American students at its Kaplan colleges to fuel growth. With for-profit education under siege in the U.S., the future of the rapidly transforming company may lie abroad.
Matthew Kapral, a student at Education Management Corp. ’s Art Institute of Pittsburgh, was walking to class in July when a school representative sat him in front of a computer and coached him on a letter opposing limits on federal student aid to for-profit colleges.
Strayer Education Inc. , a chain of for-profit colleges that receives three-quarters of its revenue from U.S. taxpayers, paid Chairman and Chief Executive Officer Robert Silberman $41.9 million last year. That’s 26 times the compensation of the highest-paid president of a traditional university.
U.S. higher-education stocks fell 48 percent from April to October last year as the federal government proposed tighter regulation and short sellers led by hedge-fund manager Steve Eisman targeted for-profit colleges.
Investor bets against the stock of the Washington Post Co. have more than tripled over the past year, as the government investigated the for-profit education business and the company’s earnings dropped.