Company: BRK-A
Filing Date: 2025-03-25
Form Type: PX14A6G
Source: 0001214659-25-004756
Chunk: 6

Company: BERKSHIRE HATHAWAY INC
Filing Date: 2025-03-25
Form: PX14A6G
Chunk 6
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/CID/1_Bulletins/Bulletin-FS-44.pdf

https://www.insurancejournal.com/news/east/2021/11/15/642291.htm

| 4 |

| 2025                                                 
 Proxy Memo                                           
 Berkshire                                            
 Hathaway Inc | Disclose Clean Energy Financing Ratio |

Berkshire’s oversized investment in fossil fuel stocks undermines
its financial position not only by increasing its climate-related risk but also by generating subpar returns. In 2023, fossil fuel stocks
underperformed the equity market, with the S&P 500’s fossil fuel components seeing a 5.72% return in compared to 25.02% returns
for the whole index. In seven of the past ten years, the fossil fuel sector has exhibited the poorest performance and highest
volatility of all S&P sectors, according to the Institute for Energy Economics and Financial Analysis.

Given the regulatory and physical risks associated with climate change,
particularly in the context of a developing insurance crisis, Berkshire’s investment in fossil fuels poses clear risks to the Company
and to shareholders.

| 2. | Berkshire Hathaway’s failure to disclose the proportion of its investments that lie in high-risk fossil fuel energy versus 
 low-carbon energy obfuscates investors’ ability to assess the Company’s climate risk and impact.                           |

Underwriting performance and investment return are the two principal
drivers of insurance industry profitability. As an industry, the Property & Casualty industry has had only one underwriting profit
year since 1978. Thus, managing climate risk to the companies’ investment portfolios is a relevant and material question
for the insurance industry at large.

Companies can reduce climate risk by rebalancing energy investments.
Clean energy financing ratios provide a measure of progress for reducing risk. BloombergNEF reports that to limit average global temperature
rise to no more than 1.5°C – a global goal set to minimize the catastrophic impacts of climate change -- the clean energy financing
ratio (investment in low carbon to fossil fuel energy supply) needs to reach 4:1 by 2030. Thus, every dollar invested in fossil fuel supply
by 2030 should be matched with four dollars of investment in low-carbon energy supply.

The State of California Department of Insurance (CDI), from 2015 to
2019, required insurers with over $100 million in annual premiums to disclose their investments in fossil-fuel related assets, “recognizing
the potential significant financial risks posed to insurers' investments in oil