Apple Sitting On Pile Of Cash, Will Pay Out Dividends

Subject: General Tech | March 19, 2012 - 01:44 PM |
Tagged: finance, computer, apple

Apple inc, the popular consumer electronics and computer company behind such brushed aluminum products as the MacBook and iPad is currently sitting on a huge pile of cash. Specifically, they have $97.6 billion dollars on hand in cash and securities (!). Allegedly, former CEO Steve Jobs maintained these liquid assets in the event that they needed to buy out a company to make any problems go away.

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Apparently, current CEO Tim Cook has other ideas about what to do with the company's money, including giving a small portion of it back to shareholders in the form of dividends. In light of this announcement, the company expects their stock price a grow over the long term. After generating $31 billion in cash last year (September to September), and on track to rake in even more profits this year Tim Cook does not foresee a dividend having any negative impact on their liquid assets. The quarterly dividend in question is set to be $2.65 per share stating July 1, 2012.

Apple is further instituting a $10 billion share buyback program that is reportedly being implemented to offset shares issues to employees. The buyback program will last for three years and begins on September 30, 2012.

After the release of the iPad 3 new iPad (sigh) and positive reaction to dividend announcement, their stock price is rising and they are still sitting on quite the pile of money even with the new dividend!

Source: PhysOrg

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March 19, 2012 | 02:31 PM - Posted by CrankyHippo (not verified)

Thanks for the update, the photoshop job made me lol.

March 19, 2012 | 04:01 PM - Posted by Tim Verry

Thanks, I think the crappy 'shop I did makes it even funnier! I can't stop laughing whenever i look at it!

March 20, 2012 | 08:10 PM - Posted by 3dbomb (not verified)

With money just flowing in like that, they still can't use anything but slave labour to make the products?

I don't mean just to blame Apple for that, as far as I can see, almost all of the bigger and smaller companies that make products do exactly the same thing.

I wonder what the public reaction would be if Apple were to announce they were sourcing components or just assembling final products with components made elsewhere in the actual countries they're selling the gear. So an iPad 3 (to hell with it, it's what it is) sold in the US would be made in the US. Less profit but imagine the mind share they'd gain. I think even I, a PC die hard would be all over buying an ipad there just in the hope it would spark some kind of betterment of working conditions war between companies who could then use it as a marketing plus. Made in the USA or UK or wherever you're buying it.

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