Home > Latest News > Tim Cook In $18bn Cash Dilemma

Tim Cook In $18bn Cash Dilemma

Tim Cook In $18bn Cash DilemmaBooming iPhone sales overseas are adding to the cash
pile, pushing the company to embrace offshore affiliates to preserve and invest
the money.

Cook, who was called before US Congress in 2013 to defend Apple against
allegations of dodging taxes, is facing questions on what Apple will do with
the pile and fielding calls from investors, led by billionaire activist Carl
Icahn, to return shareholder capital.

Cook has been vocal about his desire for US lawmakers to amend the country’s
tax laws so that companies can repatriate more cash.

Apple’s overseas cash has climbed 70 percent since Tim Cook spoke to Congress,
and the pile now makes up 89 percent of Apple’s $202.8 billion in cash and

¬†Apple’s share price closed at US$125.22 on Nasdaq yesterday, restoring
$30 billion to its market cap, which had plunged $60 billion to $691 billion in
after-hours trading, following the after-hours release of its Q3 report,
showing big iPhone sales but narrowly missing analyst estimates. The market cap
now stands at $721.4 billion.