From the link, "You may need to decide for yourself where in-between the band of $49 to $87 billion you want to value the subsidiary."

Reluctantly, and with respect for Bloomstran and others who choose $87B, I'm going with Buffett at $49B. This reduces my estimate of IV from $720K/A-share (1.56x BV) to $695K/A-share (1.51x BV), a reduction of 3.2%.

On another issue from the annual meeting, I am considering how to adjust my IV estimate based on Warren's announcement that he will step down as CEO. Fortunately Warren will still remain Chairman of the Board, and he will give his input on acquisitions and other capital allocation decisions. However, when Warren is no longer available to give his input on acquisitions and capital allocation, I plan to lower my IV estimate, perhaps by several percent. No one is as good as Warren at capital allocation.

Berkshire Hathaway FAQ

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