By buying companies at a discount, we aim to achieve superior returns.

While great businesses usually demand high purchase prices, we seek to buy them at a discount. To do so, we continuously research and analyze these firms in the belief that over time an attractive opportunity will present itself. We attempt to invest in these businesses when we can purchase them at a 40% discount to their appraisal values. We use two methods to calculate our values. The first method uses the present value of the cash flows after maintenance requirements that the business expects to generate over its remaining life. The second assesses the company's liquidation value based on the economic worth of its assets and liabilities. Our appraisals should represent the price that rational buyers would pay for these businesses in the private market.