In 1970, with the dissolution of Buffett Partnership, Buffett personally became the owner of 29 percent of Berkshire’s stock. He installed himself as chairman and, for the first time, composed the letter to shareholders in Berkshire’s annual report.
Writing to the investors, Buffett used the same yardstick as he had in private with Ken Chace: the return on equity capital—that is, the percentage profit on each dollar invested. Buffett was extremely consistent abut such things. He did not have one yardstick in Kiewit Plaza, another in New Bedford, and another for the public.