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. Consumer, core prices inch up
  2. Highmark seeks double-digit increase for more benefits, heavy use
  3. Air-bag deaths draw scrutiny of Congress as recalls widen
  4. FedEx investing another $1.2B in growth projects at FedEx Ground in Moon
  5. SEC approves looser mortgage lending guidelines
  6. Natrona Bottling Co. keeps soda pop operation focused on craft, taste
  7. Chevron puts $20M into educating, training Appalachian workers
  8. High pollution levels found near Ohio gas wells
  9. Nervous investors crunch stocks
  10. Open enrollment puts varied impact of health care law back in focus
  11. Duquesne University business center helping Hispanic startups
Subscribe today! Click here for our subscription offers.