3 ms·
3-6 months worth of operating expenses is in no way a “massive emergency cash fund.” Around half of that 6 months worth was in cash or cash equivalents (I don’t
by pmiller2 7y ago
3-6 months worth of operating expenses is in no way a “massive emergency cash fund.” Around half of that 6 months worth was in cash or cash equivalents (I don’t remember the exact numbers offhand), not shares or other investments.
You’re actually proving my point when you say our expenses are high relative to net profits. If we can do it, and still be growing at an adequate pace (we grew earnings at, IIRC, 8% last year), what can’t other companies? Before, you claimed it would stifle growth We have way more software engineers on staff than financial engineers. I find it hard to believe we can do this and other companies can’t. You haven’t given me any reason why they can’t, either.
And, BTW, if repurchased stock is so liquid, why are these airlines crying now? It’s because either they didn’t adequately insure against a systemic risk to their business, or they canceled the shares.