Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Non-Tech : Kirk's Market Thoughts -- Ignore unavailable to you. Want to Upgrade?

To: Kirk © who wrote (1939)	9/23/2014 3:14:17 PM
From: Jerome	Read Replies (1) \| Respond to of 26781

Hi Kirk,......your statement.... in fact, if you check, they take out loans to pay dividends rather than bring the cash back. If the cash was here in the US, they would not need to do this You are half right.....Interest rates in the US are lower than in other countries....so it makes sense to borrow here, and earn a better rate overseas. Apple, Intel and GE have good accountants that figure out these angles. There is nothing to stop INTC from borrowing money from an Irish bank to pay dividends, and then repay that loan from money already overseas. From Irish Bank....http://ireland.deposits.org/providers/national-irish-bank.html Now you can earn 2.75% APR in Ireland.....or about 11/2 % here in the US The following is a quiz. Now if you are a corporate treasurer with lots of extra money to park....Do you want an Irish bank that pays at least 2.75% interest or an American bank that pays about 1.5%? cdrates.bankaholic.com I believe that American companies repatriate just enough money from overseas to keep their Federal tax rate at ZERO. About 35% of the S&P companies pay Zero in Federal taxes. We have had this discussion before. You talk about Foxconn bringing jobs to the US.... OK but tell why a Taiwanese company would be inclined to shut down production in Taiwan and start production in the US? crunchbase.com