For those who haven't read the complete notes from Leucadia's shareholder meeting, Inoculated Investor has posted seven pages worth. Here are my quick notes on the notes:
*The succession plan is basically to focus more on buying great (read: durable) companies, to develop capable managers, and to not die.
*Jeffries shouldn't compensate young know-nothings so highly--and if they use stock as compensation they should buy some back too (in order to cut down on diluting present shareholders).
*Americredit was bought too soon and is heading into a tough time as business shrinks, but it is a viable business, will survive, and at some point will prosper.
*Their top investments, including Fortescue, should outperform as the markets come back.
*Cresud has a great set of assets but the fundamentals in Argentina now are terrible and they're not optimistic.
*Commercial real estate? No thanks, say Steinberg and Cummins. And don't ask again, until they are full of durable companies.
*The company is positioned for inflation as they have borrowed in dollars and invested in hard assets.
*Sangart's Hemospan seems to be working fine but more tests are needed. Nobody has died yet, so that's cool. If it works, it will be a lot cooler.
*Third money managers? Never again, say both collectively. It was a huge mistake--especially the Pershing investment where they lost pretty much everything.
*The two couldn't care less about Moody's rating--and don't think you should either. (Hard to argue on this point.) "They have missed almost everything and been late at each turn."
*They don't have a crystal ball and don't know how long the downturn will last.
*Jeffries (JEF) is in retrospect even a better deal now than what they thought when they first made the deal. The deal was done with LUK stock--when it was trading around $54. (There's a message in that for all the JEF-deal-haters.)
*They buy when something is on sale and start to think about selling when the discount disappears.
*Long-term view on natual gas prices is six to seven dollars per Mcf.
*LUK has cash. Is looking to invest. Have been buying back their debt in the meantime.