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Apple 'actively' talking uses for $97.6B in cash reserves

updated 06:15 pm EST, Tue January 24, 2012

Company takes more assertive stance

Apple is "actively discussing" possible uses for its cash reserves, which have swelled to over $97.6 billion following its Q1 2012 results, according to CFO Peter Oppenheimer. Speaking in a post-results Q&A, Oppenheimer suggested that the company isn't "letting it [the cash] burn a hole" in company pockets, although there aren't any specifics to share yet. Some possibilities are said to include acquisitions and investments in the supply chain.

The "actively" comment is more assertive than usual for Apple executives when discussing the company's cash. Reserves are nearing the $100 billion threshold, however, an unusually large amount for any major corporation. Analysts have regularly suggested that Apple should start paying out dividends to shareholders, or engage in a share buyback. Executives have resisted, following the principle that the money can be used to make strategic moves.

by MacNN Staff





  1. mozart11

    Joined: Dec 1969


    Yeah but…

    You are awars something like 80% of that cash is out if the US. Any money Apple brings over here for anything - the first thing to happen is a 35% IRS corporate hit.

    Even Jobs lobbied for a " corporate tax holiday" too Obama. Obama laughed that suggestion off. Many international companies, MS etc… have the same problem. Use the money and first thing to do is give 35% to US government.


  1. Orbifold

    Joined: Dec 1969


    time to pay dividends

    Apple generates more cash than they need for downturns and smart acquisitions. Paying dividends will discourage them from blowing it on companies like Motorola or Autonomy

  1. PJL500

    Joined: Dec 1969


    pay tax

    buy Nuance.

  1. Bobfozz

    Joined: Dec 1969


    Motorola will...

    probably be owned eventually by Google (stupid move on their part).
    I am pretty sure Cook and others will resist the temptation to give money to shareholders. How does that help Apple? It only helps the shareholders and then that emboldens them to start making demands on Apple. If the market should "crash" they still have $95 bln... The analysts only want to sell Apple to their customers. Nobody needs these analysts... nobody. People with a tiny brain can see what's going on. I remember talking to an Am. Express agent years ago. Their report on Apple showed no understanding for what was coming or what happened. Now they are probably staying up at night trying to figure out how to make more.

  1. facebook_Gabe

    Via Facebook

    Joined: Jan 2012


    just buy em...

    samsung that is - why doesn't apple just buy them ?

  1. Foe Hammer

    Joined: Dec 1969


    Perhaps Apple Could Answer This Ad


    Two houses. Duplex. Large connecting domed atrium. Classic architecture. Convenient Washington DC location at end of National Mall. Close to Smithsonian Institution, National Archives. Great facing view of Washington Monument. Some residual historical value.

    535 temporary occupants sold separately. Each surprisingly affordable.

  1. ljmac

    Joined: Dec 1969


    Are You Serious?

    A company with nearly $100 billion sitting in the bank shouldn't have to pay any tax on that?

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