In June, Kraft Heinz Co. will "almost certainly" redeem the preferred shares Berkshire owns, which pay Berkshire $720 million a year. Berkshire lists the shares as worth $7.7 billion, and Kraft will pay $8.32 billion to retire the shares.
The property-casualty insurance industry as a whole "will continue its dismal record of earning subnormal returns on tangible net worth as compared to other American businesses" because intense competition is driving down premium prices companies charge.
Berkshire paid $24.5 billion on more than 6 million insurance claims in 2015 but still made money on the premiums it charges.
"Circulation of our print newspapers will continue to fall, a certainty we allowed for when purchasing them," Buffett wrote.