[lbo-talk] Austerity In The Face Of Weakness

Jordan Hayes jmhayes at j-o-r-d-a-n.com
Wed Sep 1 10:18:59 PDT 2010


Carrol asks:


> What happens to money that isn't spent?

The long-term trend (~30 years?) is for non-financial companies to sit on cash. Typically this gives a nice cushy job for a Comptroller who can come to work every day in a tie pretend he's a banker and buy treasuries.

http://www.ritholtz.com/blog/2010/07/corporate-cash-has-been-piling-up-since-1982/

$73.85B GE $39.86B Cisco $36.56B Microsoft $30.06B Google $24.29B Apple $18.30B Intel $13.27B Exxon Mobil

...

/jordan



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