Berkshire Hathaway Reports Shaw Annual Earnings

Dalton, GA, March 3, 2008–Shaw Industries net income in 2007 fell 26 percent compared to 2006, according to the latest filing with the Securities and Exchange Commission by parent company Berkshire Hathaway Inc.

Revenues for Shaw fell about 8 percent for the year, from $5.83 billion to $5.37 billion.

Net income fell from $594 million to $436 million.

Berkshire Hathaway cited lower sales due to problems in the housing market, as well as higher costs and lower efficiency from a lowered output.

Shaw also decreased capital expenditures from $189 million in 2006to $144 million last year.

Parent Berkshire Hathaway saw its annual earnings rise from $11 billion in 2006 to $13.2 billion last year.

However, for the fourth quarter, earnings fell 17.8 percent from $3.58 billion to $2.95 billion.