Bruce Berkowitz current stock portfolio

Fairholme(FAIRX) has recorded an impressive annualized return of 11.05% since inception in 1999 vs the S&P of just -4.45%. Fairholme's website says that the fund avoids "faddish companies, industries, or trends," while looking for firms with "conservative accounting procedures" and "sustainable competitive advantages." Here is Bruce Berkowitz latest portfolio ended Mar 31, 2009 submitted May 15, 2009. Below is his biggest positions based on a quarterly comparison on sec filing FAIRHOLME CAPITAL MANAGEMENT LLC .




AMERICAN EXPRESS (AXP, increased)
Dec 31: 13,536,450 (value: $251 million, lowest possible buy price: $17.23)
Mar 31: 23,813,050 (value: $324 million, lowest possible buy price: $10.26)

AMERICREDIT (ACF, unchanged)
Dec 31: 32,307,322 (value: $246 million, lowest possible buy price: $4.19)
Mar 31: 32,307,322 (value: $189 million)

BOEING (BA, reduced)
Sept 30: 8,236,177 shares (value: $472 million)
Dec 31: 9,040,828 shares (value: $385 million)
Mar 31: 8,722,727 shares (value: $310 million)

CANADIAN NAT RES LTD (CNQ, reduced)
June 30: 4,774,323 shares (value: $478 million)
Sept 30: 6,961,323 shares (value: $476 million)
Dec 31: 10,699,795 shares (value: $427 million)
Mar 31: 1,329,669 shares (value: $51 million)

FOREST LABS INC (FRX, reduced)
June 30: 12,270,000 (value: $426 million)
Sept 30: 18,094,100 (value: $511 million)
Dec 31: 20,437,332 (value: $520 million)
Mar 31: 20,067,400 (value: $440 million)

GENERAL DYNAMICS (GD, reduced)
Dec 31: 2,278,100 (value: $131 million)
Mar 31: 2,078,100 (value: $86 million)

HERTZ GLOBAL HOLDINGS INC (HTZ, increased)
Dec 31: 34,200,829 (value: $173 million, lowest possible buy price: $1.55)
Mar 31: 42738138 (value: $167 million, lowest possible buy price: $2)

HUMANA (HUM, reduced)
Dec 31:8175600 (value: $304 million, lowest possible buy price: $24.56)
Mar 31: 6757600 (value: $176 million)

LEUCADIA NATL CORP (LUK, increased)
June 30: 11,444,993 shares (value: $537 million)
Sept 30: 15,497,343 shares (value: $704 million: lowest possible buy price: $37.47)
Dec 31: 17,968,944 shares (value: $355 million: lowest possible buy price: $13.51)
Mar 31: 18,249,025 shares (value: $277 million: lowest possible buy price: $10.94)

NORTHROP GRUMMAN CORP (NOC, reduced)
Dec 31: 8972778 shares (value: $404 million, lowest possible buy price: $34.20)
Mar 31: 7319676 shares (vlaue: $319 million)

PFIZER INC (PFE, reduced)
June 30: 73,742,200 (value: $1.28 billion)
Sept 30: 92,993,625 (value: $1.7 billion, lowest possible buy price: $17.81)
Dec 31: 89495624 (value: $1.58 billion)
Mar 31: 88,241,991 (value: $1.2 billion)

SEARS HLDGS CORP (SHLD, increased)
Mar 31: 8,999,590 shares (value: $918 million)
June 30: 12,368,790 (value: $911 million)
Sept 30: 14,596,690 (value: $1.3 billion, lowest possible buy price: $70.45)
Dec 31: 12,799,740(value: $497 million)
Mar 31: 14,338,939 (value: $655 million, lowest possible buy price: $34.95)

SPIRIT AEROSYSTEMS HLDGS (SPR, increased)
Dec 31: 15,693,989 (value: $159 million, lowest possible buy price: $7.80)
Mar 31: 19,012,064 (value: $189 million, lowest possible buy price: $8.22)

ST JOE CO (JOE, increased)
June 30: 9,492,300 shares (value: $325 million)
Sept 30: 11,012,900 shares (value: $430 million, lowest possible buy price: $31.91)
Dec 31: 11,242,676 shares (value: $273 million)
Mar 31: 18,456,326 shares (value: $300 million, lowest possible buy price: $14.59)

UNITED HEALTH GROUP (UNH, reduced)
June 30: 16,899,500 (value: $443 million)
Sept 30: 20,695,583 (value: $525 million)
Dec 31: 18,231,878 (value: $484 million)
Mar 31: 13,158,010 (value: $275 million)

WELLCARE HEALTH PLANS (WCG, reduced)
June 30: 8224500 shares (value: $297 million)
Sept 30: 8325300 shares (value: $299 million)
Dec 31: 8313407 shares (value: $106 million)
Mar 31: 8134413 shares (value: $91 million)

WELLPOINT INC (WLP,reduced)
June 30: 12,303,400 shares (value: $586 million)
Sept 30: 11,827,459 shares (value: $553 million)
"They are the 800-pound gorilla. They and UnitedHealth have one-fifth of the entire insured population in the United States"
Dec 31: 12,016,057 shares (value: $506 million)
Mar 31: 10,061,624 shares (value: $382 million)

Report
"we have lived by the belief that you should be fearful where others are greedy and to be greedy where others are fearful. We continue to ignore the crowd....

On May 31, global pharmaceutical giant Pfizer was about 10% of net assets, making it the Fund’s second largest holding. Also in the top ten is WellPoint, a provider of health maintenance organizations and other forms of medical insurance. These fundamentally sound businesses have become fallen angels, as slowing growth, rising costs, and election-year politics stoke investor fear. Still, these are companies with essential products and services and large free cash flows relative to purchase prices. We expect them to rise again....

We have avoided most banks, brokerage firms, and other highly leveraged financial
companies given our inability to understand what they own and who they owe....

Furthermore, many of these companies are raising capital on terms that are highly
dilutive to existing shareholders...."

-Semi Annual Report 2008