TribLIVE

| Business


 
Larger text Larger text Smaller text Smaller text | Order Photo Reprints

Ideas on divvying up $137B Apple pie

On the Grid

From the shale fields to the cooling towers, Trib Total Media covers the energy industry in Western Pennsylvania and beyond. For the latest news and views on gas, coal, electricity and more, check out On the Grid today.

By The Associated Press
Friday, Feb. 8, 2013, 6:22 p.m.
 

Apple Inc. has come under attack for its practice of stockpiling cash. At the end of last year, the company was sitting on $137 billion —and the heap keeps growing.

Corporations normally don't hoard cash the way Apple does. They keep enough around for immediate needs and either invest the rest in their operations or dole it out to shareholders in the form of dividends or stock buybacks. If they need more cash for, say, an acquisition, they borrow it.

Apple has never explained why it is salting away so much money — other than to say the company is preserving its options.

The money belongs to shareholders, so Apple is limited in what it can legally do with it. Leaving legality aside, here are some things Apple could do with $137 billion:

• Give every American a check for $437.

• Buy 213 million iPhones at the average wholesale price, enough for every American who lives east of the Mississippi River, plus Texas.

• Based on market value at Thursday's close, Apple could acquire Facebook, Groupon, LinkedIn, Netflix, Pandora, Research In Motion (Blackberry), Yahoo, Yelp, Zillow and Zynga —and have more than $2 billion to spare.

• Create a stack of dollar bills 9,300 miles high, 38 times higher than the orbit of the International Space Station.

• Buy 100,000 luxury Manhattan apartments, enough to house the population of Omaha.

• Foot the bill for federal spending on education for two years.

• Give every Apple employee a bonus of $1.7 million.

• Double U.S. foreign economic aid to the developing world for 312 years.

• Provide shareholders with a one-time dividend of $145 per share.

 

 
 


Show commenting policy

Most-Read Business Headlines

  1. S&P 500 logs 47th record high close for year
  2. Lower gasoline prices fail to spur consumer spending
  3. Retailers that won’t open on Thanksgiving hope move pays off
  4. Federal agency checking whether Highmark has enough doctors in Medicare plan
  5. Health care, gas drilling industries await Gov.-elect Wolf’s footprint
  6. Housing prices nudge upward as more homes on market
  7. Google applies tech to medical device
  8. Iron ore price decline hurts U.S. Steel’s cost advantage over rivals
  9. Highmark and UPMC feud over canceled physician contracts
  10. CEOs in 10 big mergers to get $430M: Equilar study
  11. Westinghouse to construct colossal nuke plant in Turkey
Subscribe today! Click here for our subscription offers.