"I totally disagree with the idea of putting somebody on the board who has an option on some other people's stock which is only good for two years, it's just not the way to run a business," he added."
That was the response of Warren Buffett (Trades, Portfolio) when asked about GM and the activist investors pushing for Board representation and a share buyback.
Even more interesting were Buffett's comments on Coca-Cola activist investor David Winters (Trades, Portfolio) of the Wintergreen Fund (Trades, Portfolio). Warren brought up Winters without being asked specifically about it and called out Winters for being someone living in a glass house who throws stones.
Warren's reasoning is the Wintergreen record for underperformance and the fact that it charges a management fee of 150 basis points which is much higher than the index funds that he underperforms.
