Warren Buffett steps down as Berkshire Hathaway chairman at 96
Buffett becomes chairman emeritus after six decades leading Berkshire, with son Howard Buffett taking over as chairman.
Warren Buffett, known as one of the world's biggest investors, has announced his retirement at the age of 96. Buffett, widely known as the world's most famous investor, is now also stepping down as chairman of Berkshire Hathaway. His decision to step down from the top post of such a large company has triggered wide discussion in investment circles.
Buffett led the trillion dollar company from 1965, meaning he steered it for more than six decades. The 96 year old veteran investor announced his decision in a letter to shareholders on September 18. In a separate statement, the company said Buffett will become chairman emeritus with immediate effect, but will remain on the board of directors as a director. In other words, even after stepping down as chairman, he will not be completely removed from the company's affairs.
Berkshire clarified that as part of a long term succession plan, Buffett's son Howard Buffett will succeed him as chairman. This means the responsibility of leading the company will now pass to Howard Buffett. Susan Decker will continue as lead independent director.
Speaking on behalf of Berkshire's board of directors, chief executive officer Greg Abel said, "Warren's influence on Berkshire and its owners is unparalleled in American business history. The culture and values Warren Buffett created will remain central to Berkshire, and Howard will be their custodian. We are grateful to Howard for the care, discipline and deep understanding he is bringing to Berkshire in his new role, and we are also grateful to Sue Decker for her consistent leadership and significant contributions as lead independent director."
Berkshire also said in a statement, "As chairman emeritus, Mr. Buffett will remain a member of the board of directors and will continue to offer his valuable opinions and perspective." This means that even after retirement, the company will continue to have access to Buffett's experience and advice. Last year, Buffett had announced that he would also step down as chief executive officer, so this decision to step down as chairman is seen as the next stage of that earlier announcement.
Over his 61 year career, Buffett has generated wealth of about 96 lakh crore rupees from the stock market. Given the length of his career and the scale of wealth created, Buffett is regarded as one of the few investors in the world to have achieved this.
