Inmate Central

Inmate Central, where civil and family-friendly discourse about off-audio topics (other than religion and politics) is welcome.

For Sale Ads

FAQ / News / Events

Use this form to submit comments directly to the Asylum moderators for this forum. We're particularly interested in truly outstanding posts that might be added to our FAQs.
You may also use this form to provide feedback or to call attention to messages that may be in violation of our content rules.

You must login to use this feature.

Inmate Login

By default, logging in will set a session cookie that disappears when you close your browser. Clicking on the 'Remember my Moniker & Password' below will cause a permanent 'Login Cookie' to be set.

Moniker/Username: The Name that you picked or by default, your email. Forgot Moniker?	Examples "Rapper", "Bob W", "joe@aol.com".
Password:	Forgot Password?
	Remember my Moniker & Password ( What's this?)

If you don't have an Asylum Account, you can create one by clicking Here.

Our privacy policy can be reviewed by clicking Here.

Inmate Comments

From:
Your Email:
Subject:

Message Comments

Original Message

RE: Most large enterprises carry debt: is that bad?

Posted by pictureguy on May 22, 2023 at 16:23:30:
The product of corporations is something your or I may purchase. The product of government is not.
Government does not show a profit or expect one. Bonds are paid off with future tax revenue.

Corporations issue stock from which stockholders expect either growth, perhaps an increase in value, or a regular dividend. Companies like INTEL seem to be cyclic. Huge investment in manufacturing equipment to make the next generation of CPU, the profits from which fuel the generation after. Semiconductor equipment is off-scale expensvie and a complete manufacturing facility costs Billions.

You are right about corporate debt. But some companies carry debt to make themselves Less attractive to some form of corporate raiding or takeover. I don't know how common that approach is. Some debt is short-term and might be repaid on that basis....PLEASE see link I provide. They get into more depth than I can manage....
the company I worked for bought a lot of its own stock at one point.