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http://www.nytimes.com/2014/04/26/business/amazons-shrinking-profit-sets-off-a-seismic-shock-to-its-shares.html?_r=0 http://www.nytimes.com/2014/04/26/business/
by fweespee_ch 10y ago
http://www.nytimes.com/2014/04/26/business/amazons-shrinking-profit-sets-off-a-seismic-shock-to-its-shares.html?_r=0 http://www.nytimes.com/2014/04/26/business/amazons-shrinking...
I think a couple years ago they got tired of their stock tanking every time they reported a lower profit than previous quarters.
- deegles 10y agoEmployee compensation is heavily tied to stock, especially at the higher levels. You might be right!
- koluft 10y agoWhat are they going to doing they can't sustain these profits in future quarters?
- fweespee_ch 10y agoMassive capex.
- justinhj 10y agoWonder if they wouldn't be better off going private again
- dpark 10y agoSure. Bezos can just borrow ~250 billion to buy the rest of the company. Seems easy.
- bwilliams18 10y agoA private equity firm would find the money in a heartbeat.
- harryh 10y agoThat would be over 4x bigger than the biggest PE buyout of all time. I'm not so sure it would be that easy.
- dpark 10y agoThat's absurd. Ignoring the sheer scale of the loan, there's no path for repayment. People don't tend to make loans when they don't expect to get the money back (with interest). Assuming someone lined up to loan Bezos $250 billion and gave him a ridiculously-generous 1% APR and 30-year term, the quarterly payments would be over 2.4 billion, or nearly 5 times as much as they just posted in their best profit ever. So who exactly do you think has pockets deep enough to fund this 250 billion loan and accountants so terrible they can't see how badly it's going to go?