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Technology Stocks : Apple Inc.
AAPL 269.05-0.5%9:30 AM EST

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To: Pete_Y_48 who wrote (175396)10/2/2014 3:36:41 AM
From: Ryan Bartholomew  Read Replies (1) of 213172
 
The worst case scenario is that the EU finds that Ireland gave "state aid" to Apple by doing something special with their tax agreement. The commission then slaps Ireland on the wrist and tells them that they can't do that and , Oh, by the way, you (Ireland) need to correct your previous booboos. The expectation is that Ireland would then go to Apple and ask for whatever the EU feels was appropriate for some period of time.

The problem for Apple, per the link Moonray posted, is that this "worst case scenario" isn't far fetched and the appropriate amount they'd ask for is enormous and the cost of the forward-looking changes would be, too. It could take quite a while to resolve, but the politics motivating this probe are intense. It's not just Apple that has been targeted, but Apple is being viewed as a special case as the company that is easiest to make an example out of and wring huge revenues from. That large cash pile will easily be able to handle any penalty, but it could be a much shorter stack when all is said and done.
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