In a statement, Warren Buffett’s Berkshire Hathaway Inc stated, it has sold around 18% of its stake in Delta Air Lines Inc as well as a 4% stake in Southwest Airlines Co earlier this week.
The Wuhan Coronavirus pandemic is causing unprecedented loss to the global airline industry.
Regulatory filings show, Berkshire has sold nearly 13 million shares of Delta for about $314 million and around 2.3 million shares of Southwest for around $74 million.
The sales occured on Wednesday and Thursday, according to the filings.
Berkshire Hathaway did not provide any reasons for the sales in the regulatory filings.
Incidentally, Omaha, Nebraska-based Berkshire Hathaway is is among the biggest shareholders of the four biggest U.S. carriers – Delta, Southwest, American Airlines Group Inc and United Airlines Holdings Inc.
Three of the airline stakes are overseen by him, said Buffett while the remaining is seen by one of his portfolio managers, Todd Combs and Ted Weschler.
Berkshire’s sales were disclosed following major U.S. airlines applying for payroll grants from the U.S. Treasury on Friday to help keep workers employed.
On Friday, Delta projected that its second-quarter revenue would fall by 90%.