Everybody has heard of Warren Buffett, CEO of Berkshire Hathaway, and the second wealthiest person in the world. He is probably the longest running CEO of one company for over 50 years, in a world where CEOs change every five years. Warren Buffett took control of Berkshire Hathaway in the early sixties.
Warren Buffett and his company own a lot of businesses. Some very well known. Some successful but not known nationally. Buffett has major stakes from ketchup, to computers, and to jewelry. Today we look at Buffett’s investment in the jewelry business.
Boeheim’s Fine Jewelry started its business in Omaha, Nebraska in 1870. In 1947, Louis Friedman and his son bought the business, retaining the Borsheim name. In 1986, the business was relocated to Regency Court Mall. Three years after the move, Warren Buffett bought the majority of Borsheim’s stock. As a result of buying a majority of stock in Borsheim, the business is part of the Bonnett investment company. These layoffs were prompted by slow sales during Christmas season of 2008.
Borsheim’s Fine Jewelry is a large jewelry business occupying 62,500 square feet of retail space. This is also the starring stage for Berkshire Hathaway’s annual shareholder’s meeting. Usually, a tremendous party is held at the shareholders meeting, along with jewelry being sold to attendees of the shareholder meeting at discount.
The business did not fare the recession of 2009 very well. In 2009, Boeheim’s laid off 267 workers. This was the first time in the company’s 100 year history that employees ever had to be let go.
Borshiem’s mission statement is to provide “exemplary customer service”. The business promotes it’s family-oriented environment and considers it’s employees as valuable assets of the company.