Euro system flawed, needs more than words-Buffett on CNBC

Mon Nov 21, 2011 3:49am EST

Nov 21 (Reuters) - Billionaire investor Warren Buffett said on Monday that Europe's debt crisis had illustrated a "major flaw" in the 17-member euro zone system and it would take more than words to fix it.

Asked in an interview with CNBC whether the euro zone would still exist in 10-20 years, Buffett said: "There is a major flaw in the euro system ... I do know the system as presently designed has a major flaw and that flaw won't be corrected just by words."

Buffett, dubbed the 'Oracle of Omaha' for his long track record as a value investor, said there were good valuations in Europe "...not in the debt space, but in the equity space there are opportunities. Before I left the U.S., I left an order to buy one European stock.

"We bought Tesco earlier. I can think of a dozen euro stocks that are attractive ... there are stocks I like and wonderful businesses. I could buy more Tesco if the price came down," he said.

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