Berkshire Hathaway Inc. Chief Executive Warren Buffett said hehas stage 1 prostate cancer but his condition “is not remotelylife-threatening or even debilitating in any meaningful way.”

Buffett, the world's third-richest man, will begin a two-monthtreatment consisting of daily radiation treatments starting inmid-July, he said in a statement on Tuesday. This will limit hisability to travel during that time, Buffett added.

The news from the 81-year-old “Oracle of Omaha” is likely tointensify the already brewing debate about the succession plan atBerkshire Hathaway, a conglomerate that employs more than 270,000people in more than 70 businesses around the world.

Doctors say he has a very good prognosis, given the disease'searly stage, though some questioned whether he even neededtreatment at all given his age.

Buffett told investors in late February that Berkshire hadidentified his successor, but in typically circumspect fashion,declined to say who it was – and ultimately admitted that even thechosen one does not know, himself.

The news comes one day after Republicans in the U.S. Senateblocked the “Buffett rule,” a tax on millionaires whose idea wasborn of a now-famous editorial Buffett wrote in the New York Timeslast year, saying the rich had an obligation to pay more incometax.

That debate ensnared Buffett's secretary as well. After Buffettsaid she paid more taxes than he did, President Barack Obamainvited Debbie Bosanek to attend this year's State of the Unionaddress.

Berkshire shares fell 1.5 percent in after-hours tradingfollowing Buffett's announcement. The widely held Class B sharesare up 5.9 percent year-to-date, half the gains of the broaderS&P 500.

PANIC EXPECTED, NOT NEEDED

Stifel Nicolaus analyst Meyer Shields, in a note to clients,said he expected some weakness in the stock on Wednesday but addedthe news did not necessarily make the succession worries behind his“hold” rating any more imminent.

One Berkshire investor said it was reasonable to assume peoplewould panic at the news of Buffett's illness, but that nothing hadactually changed in the case for the stock.

“Despite the news, this is not a reason to sell (Berkshire).Fundamentals are still good at the company and the clear successionplan does give clarity about the future path of the firm,” saidMichael Yoshikami, chief executive of Destination Wealth Managementin California.

Another Berkshire investor who has written books about Buffett'sinvestment strategies said the news could have been much worse andwas, ultimately, not a surprise.

“He's mortal, we knew that,” said Jeff Matthews, author of thebook “Secrets in Plain Sight.” “I think it means zero for Berkshireinvestors. He's been getting the company ready for the day hedies.”

There were skeptics, though, who said the news could at leastput a cap on the stock, which has underperformed in recentyears.

“The uncertainty will diminish the upside to this company,” saidDoug Kass of Seabreeze Partners in Palm Beach, Florida, which ownsB shares.

GOOD PROGNOSIS

The situation may not be that uncertain, though. Medicalprofessionals said Buffett faces good odds, even at his age.

Any man diagnosed with stage 1 prostate cancer “has an excellentlong-term prognosis,” said Jonathan Wright, a urological oncologistat the University of Washington and the Seattle Cancer CareAlliance. “The cancer is in a very curable stage.”

Buffett's radiation therapy is standard care. Since the beam isextremely focused, there should be minimal side effects, thoughmild fatigue and a temporary worsening of urinary and bowelfunction are not uncommon, according to Mark Litwin, a researcherat UCLA's Jonsson Comprehensive Cancer Center and chairman of theDepartment of Urology.

“Those dissipate quickly,” said Litwin. “A patient is usuallyable to work while receiving radiation treatment.”

One in six American men will get prostate cancer, but only onein 36 will die of it, according to the American Cancer Society.Some doctors even questioned why Buffett was receiving treatment,given his age and since 'active surveillance' is often anoption.

“A good number of men with low risk cancer of the prostate canbe observed without needing to be treated,” said Louis Potters,chairman of radiation medicine at North Shore-LIJ in New York.

Buffett would also not be the first person to keep running amajor company while being treated for cancer. AIG CEO Bob Benmoschewas diagnosed with an undisclosed cancer 18 months ago andcontinues to run the bailed-out insurer.

ANNUAL MEETING SCALED BACK

Buffett's condition will now be center stage at Berkshire'sannual meeting on May 5. The festival-like event draws more than40,000 shareholders to the company's headquarters in Omaha,Nebraska.

This year's meeting was expected to focus to some degree onsuccession, as well as the investment case for Berkshire. For thefirst time ever, Buffett is expected to take questions fromsell-side analysts at the meeting.

Even before the news of Buffett's illness, Berkshire was alreadyscaling back this year's festivities, however.

Among other changes, the company canceled the Sunday pressconference Buffett and Vice Chairman Charlie Munger used to holdwith international press.

But he is not slowing down much. Fortune writer Carol Loomis, along-time friend of Buffett's who helps edit his annual letter,reported on Tuesday that Buffett was out on the town one day afterhis diagnosis, having dinner with the (unrelated) entertainer JimmyBuffett.

The only major change in his schedule? He skipped his regularMonday night online bridge game, Loomis said.