Guy Spier, Managing Partner,

1. Guy Spier
May, 2008

2. Cumulative Return (Net of Fees Since Inception Sep, 1997)
300%
200%
100%
0% Historical performance represents Aquamarine Fund, Inc. Returns are based on estimated results as of 12/31/07.
Fund DJIU S&P 500 FT 100

3. Aquamarine Compound Annualized Net Returns
(as of 12/31/07)
Aquamarine Fund S&P 500
30%
20%
10%
0%
10-year 5-year 2-year
Historical performance represents Aquamarine Fund, Inc. Returns are based on estimated results as of 12/31/07.

4. Aquamarine Fund Inc. Portfolio Concentration
(% of net assets)
120%
100%
80%
60%
40%
20%
0%
Top 5 Top 10 Total Invested Cash
Positions Positions

5. Aquam arine Capital Assets Under Managem ent
($ in millions)
$100
$80
$60
$40
$20
$0
1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007
5

6. Aquamarine Capital Management, LLC
Realized gains and losses since inception
Realized Gains
= $45.3 mm
Realized
Losses
= $(1.8)

7. 20 Punch Card
1. Neue Zurcher Zeitung 10. Nestle
2. Edipresse 11. Weetabix
12. Heineken
3. Duff and Phelps
4. Moodys 13. Kinder Morgan
5. Crisil 14. Plains Resources
15. Crosstex Energy
6. Investment Technology
Group 16. DeVry
17. EVCI
7. RLI Insurance 18. Raffles Education
8. Berkshire
9. Aflac
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8. 8

9. Focus on Great Businesses
 Consumer Brands
 Education
 Credit Rating
 Insurance
 Networks/Infrastructure
9

10. 10

11. Common Characteristics
 Our Investment Candidates:
– Are cash generative (not dependent on raising additional capital)
– Have minimal or no leverage
– Are run by honest management (must allocate capital well)
– Publish financial reports in English
– Have a very wide moat
 Low cost operator
 Pricing power/product differentiation
 Other sustainable competitive advantage
– Have a margin of safety between market price and intrinsic value
Uncommon characteristics, but can be found all over the world if one is willing to look
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12. Consumer Brands
Consumables Aspiration Brands
Nestle Nike
Weetabix Puma
Parmalat Adidas
Alaska Milk Asics
Smart Balance K-Swiss
NamYang Dairy Everlast
Under Armor
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14. 14

15. Investment Example – Nestle SA
Purchase
Prices
$120 –
$145
Source: Bloomberg, Aquamarine Fund, Inc., Aquamarine Master Fund, L.P.
*Adjusted for Splits.
15

17. Weetabix
Sold GBP
54.75
Initial
Purchase
Price GBP
21 - 30
Source: Bloomberg, Aquamarine Fund, Inc., Aquamarine Master Fund, L.P.
17

19. 19

20. Education
1. DeVry 1. Raffles Education
2. Corinthian Colleges 2. IBT Education
3. Career Education 3. Nord Anglia Education
4. Laureate 4. Stamford College Berhad
5. Education Management 5. NIIT
6. Argosy Education 6. Kroton
7. EVCI Career Colleges 7. AdvTech
8. UTI 8. Far Eastern University
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21. Investment Example – DeVry, Inc.
Sale Prices
$28.00 – $58.00
Initial
Purchase
Prices
$15.00 –
$32.00
Source: Bloomberg, Aquamarine Fund, Inc., Aquamarine Master Fund, L.P .
21

23. 23

24. 24

26. Investment Example – Raffles Education
Sold 80%
(RLS – Singapore Exchange) of Position
$1.10 - $1.15
Initial
Purchase
Price
$0.25 –
$0.30*
Source: Bloomberg, Aquamarine Fund, Inc., Aquamarine Master Fund, L.P.
*Adjusted for Spin Offs and Splits.
26

28. Consumer Brands
Consumables Aspiration Brands
Nestle Nike
Weetabix Puma
Parmalat Adidas
Alaska Milk Asics
Smart Balance K-Swiss
NamYang Dairy Everlast
Under Armor
28

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30. Investment Example – Nike
Initial
Purchase
Price
$41 - $43
Source: Bloomberg, Aquamarine Fund, Inc., Aquamarine Master Fund, L.P.
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33. Investment Example – Everlast
Acquired
$33
Initial
Purchase
Price
$17 - $20
Source: Bloomberg, Aquamarine Fund, Inc., Aquamarine Master Fund, L.P.
33

34. Credit Rating
 Duff and Phelps
 Dun and Bradstreet
 Moody’s
 Midroog
 Crisil
 ICRA
 Xinhua Finance
 Pefindo
 Kis Info
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35. Duff and Phelps Credit Rating
Sale Price
$100
Purchase
Price $15.15
Source: Bloomberg, Aquamarine Fund, Inc., Aquamarine Master Fund, L.P.
35

36. Moody’s
Initial
Purchase
Price
$10-$12*
Initial Purchase Price Adjusted for Spin Off from Dunn and Bradstreet.
Source: Bloomberg, Aquamarine Fund, Inc., Aquamarine Master Fund, L.P.
36

37. CRISIL
(CRISIL – Credit Rating of India)
Purchase
Prices
$120 –
$550
37

38. Insurance
 Berkshire Hathaway
 AIG
 Aflac
 Bancinsurance
 Direct General
 IDI (Israel Direct Insurance)
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49. Conclusions
Align Incentives With Investors
 90% of my family’s net worth
invested in the fund
 No significant other investments
 Family a substantial proportion of the
fund
 Managers should be principals, not
just agents
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50. Meeting with Buffett – new share class
 0% of the Assets
 25% of the profits above 6%
 1 year rolling lockup
50

51. Gracias !
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