Apple CEO faces first test with cash mountainApple isn't the only one. LOTS of companies are sitting on mountains of cash.
By Poornima Gupta | Reuters
25 Jan 2012
SAN FRANCISCO (Reuters) - Apple CEO Tim Cook has a problem, a $98 billion problem.
Just 18 months ago, Apple's $46 billion mountain of cash - while huge by most standards - attracted only muted complaints from investors, who did call for a dividend or share buyback, but were mostly happy with the meteoric rise in the stock price.
But with the growing cash balance now a much bigger overhang on the stock, widely considered to be undervalued, investors are clamoring more vocally for Cook to put the money to work.
Recall: GOP talking point - "cut taxes on corporations so's they can create JOBS!"
They're SITTING on mountains of cash, but still no jobs.
AND this $$$ is effectively sequestered - it's just SITTING there!
It's not in the economy.
It's not generating demand.
It's not being invested.
It's just SITTING THERE!
... and the GOP wants 'em to just SIT ON even more, via tax breaks!
... drives me up a wall!