I sold Lithia Automotive in the late morning for the same reason as Group 1 Automotive. Mid-afternoon, I replaced the position with PartnerRe. As I commented at RealMoney:
|Bought Some PartnerRe|
|8/16/2007 3:35 PM EDT|
Position: long PRE
What I didn’t mention was how much not discounting their reserves is worth after-tax: nearly $20/share. Take out a few other items, and you get an adjusted book value of around $85 on a very strong and diversified reinsurer. I can live with that.
Full disclosure: long PRE