Key Quotes from 1997 Shareholder Letter

1. "In a bull market, one must avoid the error of the preening duck that quacks boastfully after a torrential rainstorm, thinking that its paddling skills have caused it to rise in the world."

2. "Berkshire paid or accrued $4.2 billion for federal income tax, or about 18% of our beginning net worth."

3. "The business 'pitches' we now see are just catching the lower outside corner. If we swing, we will be locked into low returns."

4. "Prices are high for both businesses and stocks. That does not mean that the prices of either will fall — we have absolutely no view on that matter — but it does mean that we get relatively little in prospective earnings when we commit fresh money."

5. "For anyone deploying capital, nothing recedes like success."

6. "Why get upset? Everyone has a bad century now and then."

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Source: Full Letter