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BREAKING NEWS: WARREN BUFFETT TELLS CNBC'S BECKY QUICK HE'S FINE WITH KRAFT SPLIT

WHEN: Today, Thursday, August 4th

WHERE: CNBC's "Squawk on the Street"

Following is the unofficial transcript of breaking news from CNBC's Becky Quick. All references must be sourced to CNBC.

MELISSA LEE: WE'VE GOT TO GET TO OUR TOP STORY OF COURSE AND GET TO BECKY QUICK ON THE CNBC NEWSLINE. SHE JUST TALKED TO WARREN BUFFETT OF COURSE KRAFT'S BIGGEST SHAREHOLDER, WHO OWNS SIX PERCENT OF OUTSTANDING SHARES. BECKY WHAT'S THE LATEST?

BECKY QUICK: HEY MELISSA, HEY CARL AND SIMON. I JUST GOT OFF THE PHONE WITH WARREN BUFFETT AND THERE HAVE BEEN ALL KINDS OF STORIES SPECULATING TODAY THAT ACTIVIST SHAREHOLDERS HAD BEEN TALKING WITH KRAFT FOR SOME TIME. WELL BUFFETT AND BERKSHIRE ARE THE OPPOSITE OF ACTIVIST SHAREHOLDERS. BUFFETT TELLS ME THAT TUESDAY MORNING WHEN IRENE ROSENFELD, THE CHAIRMAN AND CEO OF KRAFT, FLEW INTO OMAHA AND HE HAD A BREAKFAST MEETING WITH HER THAT WAS THE VERY FIRST TIME THAT HE HAD SPOKEN ABOUT THAT. AND I SEE THAT WE HAVE ON THE BOTTOM OF THE SCREEN RIGHT NOW THAT ROSENFELD, HE SPOKE TO HER ON MONDAY. THAT WAS MY MISTAKE. IT WAS ON TUESDAY IN OMAHA. AND ON TUESDAY MORNING THEY HAD BREAKFAST AND TALKED IT THROUGH AND HE SAID "I'M FINE WITH IT AND I TOLD HER I'M FINE WITH IT." HE ALSO ADDED THAT "I DON'T SEE ANY NEGATIVES" TO THIS KRAFT BREAKUP -- OR THE SPLIT UP OF TWO PARTS OF THE COMPANY. SO AGAIN, KRAFT HAS SEEN IT SHARES RISE VERY SUBSTANTIALLY THIS MORNING AS WELL. IT HAS GONE UP OVER THE LAST YEAR AND A HALF SINCE THAT CADBURY PURCHASE AND BUFFETT, WHO VOTED NO FOR HIS SHARES WHEN IT CAME TO THE CADBURY PURCHASE BACK IN JANUARY OF 2010, SAYS THAT HE IS FINE WITH THIS SPLIT UP. I DON'T EVEN KNOW IF THIS GOES TO A VOTE, BUT AGAIN, HAVING YOUR BIGGEST SHAREHOLDER ON BOARD CERTAINLY DOESN'T HURT THINGS. AND AGAIN, HE SAID HE DOESN'T SEE ANY DOWN SIDE IN ANY OF THIS HAPPENING. TUESDAY'S THE FIRST HE HEARD OF IT, SAID HE SPOKE WITH IRENE ROSENFELD AND EVERYTHING SEEMS FINE.

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