Warren Buffett Steps Down as Berkshire Chairman and Names Son to Replace Him

Warren E. Buffett, who built one of the most successful investment firms in history and became a sage of American capitalism, is stepping down as chairman of Berkshire Hathaway, the company said on Friday.

Mr. Buffett, who turned 96 on Aug. 30, will remain on Berkshire’s board as chairman emeritus, effective immediately. His older son, Howard G. Buffett, will become chairman under the company’s succession plan.

“Serving as your chairman has been the privilege of a lifetime, and I have never taken your trust for granted,” Mr. Buffett wrote on Friday in a letter to Berkshire shareholders.

The move is the latest step in Berkshire’s long-planned leadership transition. Mr. Buffett stepped down as chief executive of the company at the end of last year, and a longtime lieutenant, Greg Abel, took over.

“Father Time always wins,” Mr. Buffett wrote in his letter. “He has, however, been generous with me.”

In 1965, when a 34-year-old Mr. Buffett first took control of Berkshire, the company was a failing textile manufacturer in Massachusetts. Over the decades, he transformed it into a trillion-dollar powerhouse through a number of acquisitions, often of businesses in unflashy sectors like metal aerospace castings or food distribution.