Warren Buffet recently announced that he had taken a five percent stake in IBM, one of our largest long-time holdings.  IBM is his second largest individual stock position behind Coca-Cola, so you can be sure that he has conviction in 'Big Blue' and he will talk about it extensively in his next annual report.

From our perspective, IBM is a wonderful company, but isn't particularly cheap.  We don't believe IBM is exactly over-priced either, but Buffet's investment may say more about how hard it is for an investor that size to take a position that will move the needle on their portfolio than it does about IBM itself. 

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