Given the Sokol mention: Atlas (ATCO) off topic

David Sokol is now chairman of Atlas (ATCO). Anybody following Atlas who would want to rant a tad one way or another about it?

David Sokol is now chairman of Atlas (ATCO). Anybody following Atlas who would want to rant a tad one way or another about it?

I was glad to see this first positive (or at least non-negative) reference to Sokol and his contributions to Berkshire.

I have followed Atlas’s progress largely because this has become one Fairfax’s biggest investments (Fairfax owns almost half) and Fairfax’s CEO thinks very highly of Sokol.

It is quite remarkable to me how quickly Atlas has become one of the world’s leading container shippers. Their basic strategy seems to be to focus on long-term contracts which give stable and predictable cash flows over economic cycles, avoiding bankruptcy which is so common in this industry when things slow down, at the expense of high earnings in times like now when the industry can command high prices.

Time will tell whether this anti-cyclical strategy will work, i.e. whether these long-term contracts can be relied upon when times are tough.

dtb

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