Berkshire Hathaway Closes Burlington Deal (BRK.A, BNI)

Warren Buffett’s Berkshire Hathaway (NYSE: BRK.A) has completed its $26.4 billion purchase of Burlington Northern Santa Fe Corp. (NYSE: BNI). The deal has been funded with $15.87 billion cash and the issuance of 21 million new shares for the balance.

Berkshire Hathaway (BRK.A) is slated to replace Burlington Northern (BNI) in the S&P500 index. However, Berkshire will start trading on the index on Tuesday. Warren Buffett has cautioned the investors that they should not expect Berkshire to perform as well as it did in the past. Berkshire recently lost it triple-A rating.