Subject: Re: Back of the envelope
Regarding the repurchase method, 1.565x BV, or $456/B-share, might be a better estimate of IV since Warren repurchased shares in March of this year at that P/BV and also issued shares at that P/BV in September (as partial payment for BHE shares). Buffett has said that he would not repurchase shares at a "mere" 5% discount to IV, but we have to reconcile repurchasing shares and issuing shares at the same P/B.