Berkshire Hathaway Inc. - Iscar Ltd. Joint News Release; Berkshire Hathaway Completes Acquisition of Iscar Metalworking Companies

OMAHA, Neb. & TEFEN, Israel--(BUSINESS WIRE)--July 5, 2006--Berkshire Hathaway Inc. (NYSE:BRK.A) (NYSE:BRK.B) and Iscar, Ltd. today announced that Berkshire Hathaway has successfully completed its acquisition of 80% of the Iscar Metalworking Companies (IMC) in a transaction that valued IMC at US $5 billion.

The Iscar Metalworking Companies is an industry leader in the metal cutting tools business through its Iscar, TaeguTec, Ingersoll and other IMC group companies. Berkshire now owns 80% of the business and the Wertheimer family, IMC's former shareholders, own the remaining 20%. IMC will continue to be managed by its current management team, including Chairman Eitan Wertheimer and President and Chief Executive Officer Jacob Harpaz, as well as the rest of its current worldwide management team. IMC will remain headquartered in Tefen, Israel, and its worldwide business operations will continue as usual.

About Berkshire Hathaway

Berkshire Hathaway and its subsidiaries engage in diverse business activities including property and casualty insurance and reinsurance, utilities and energy, finance, manufacturing, retailing and services. Common stock of the company is listed on the New York Stock Exchange, trading symbols BRK.A and BRK.B.

About the Iscar Metalworking Companies (IMC)

The Iscar Metalworking Companies provide a comprehensive range of tools for the full scope of metalworking applications. The group is dedicated to a philosophy of continuous improvement and innovation in all facets of its operations, including manufacturing, product development, distribution, sales, and administrative functions. IMC's products are manufactured in a global network of world-class, technologically advanced manufacturing campuses, the largest located in Tefen, Israel, and including facilities in the United States; Korea; Brazil; China; Germany; India; Italy and Japan; and sold through subsidiary offices and agents located in 61 major industrial countries worldwide.

Berkshire Hathaway Inc., Omaha
Marc D. Hamburg, 402-346-1400
Iscar Metalworking Companies
Dan Goldman, +972-4-997-0302