Yesterday, Warren Buffett purchased the Burlington Northern Railroad. Some asked "why would he do that?"

According to one analyst, the reason for Buffett made the purchase is because what he is wagering is that oil will be going to $200 per barrel in the next few years. This will damage the trucking industry to the benefit of the railroads, which are three times more fuel efficient. Warren is planning to make a bundle on this.

The implication to HNI is that with the destruction of the distributed manufacturing model that Stan Howe put together, the business is now slaved to "logistics providers"; said another way --- TRUCKS.

The landed cost of HNI products will consequently increase and further damage any hopes of growth for the company. What will cost less in Detroit, Boston, NY, etc; a container from China or a truck from Muscatine?