Sublime

In April, we returned to the theme in a piece titled “Generational Arbitrage.” As the name implies, a historic price disparity had broken out between the two fuels in North America. This was driven by global oil prices being held artificially high by the Organization of the Petroleum Exporting Countries (OPEC) and the fact that marginal oil product

imported natural gas are high, is naphtha derived by the distillation of crude oil.

Each quarter we try to study an admirable company and discuss it with our Operating Group managers and board members. We focus on high performance conglomerates that have demonstrated at least a decade of superior shareholder returns.