Warren Buffett, the revered 93-year-old chairman of Berkshire Hathaway, has announced a dramatic shift in his estate plans, marking a significant departure from his long-standing commitment to the Bill & Melinda Gates Foundation. In an interview with the Wall Street Journal, Buffett revealed that his posthumous donations will no longer flow to the Gates Foundation but will instead be managed by a newly established charitable trust overseen by his three children.
Buffett’s decision signifies a strategic shift in his philanthropic priorities. “The Gates Foundation has no money coming after my death,” he bluntly stated. Previously, over 99% of his estate was earmarked for the Gates Foundation and four other family-related charities.
Motivated by unwavering trust in his children’s values and their ability to carry on his philanthropic legacy, Buffett stressed his confidence in their respective charitable endeavors. Each of his children already heads a charitable organization. “I feel very, very good about the values of my three children, and I have 100% trust in how they will carry things out,” Buffett affirmed.
Despite the redirection of his posthumous donations, Buffett remains committed to his charitable contributions to the Gates Foundation during his lifetime.
In conjunction with these estate adjustments, Berkshire Hathaway announced a significant restructuring of Buffett’s shares. Approximately 9,000 Class A shares were converted into over 13 million Class B shares, with 9.3 million of these newly created shares designated for the Bill & Melinda Gates Foundation Trust. The remaining shares will bolster the endowments of the four Buffett family charities.
Mark Suzman, CEO of the Gates Foundation, expressed gratitude for Buffett’s long-standing support, acknowledging his contributions of approximately $43 billion over the years. Despite the recent changes, Suzman underscored the foundation’s appreciation for Buffett’s generosity and its enduring impact on their mission.
Following these recent donations, Buffett retains ownership of 207,963 Berkshire Hathaway Class A shares and 2,586 Class B shares, valued collectively at an estimated $128 billion.
