03.05.2013 02:36 Uhr, Quelle: The Unofficial Apple Weblog

The clever economics behind Apple's $17 billion bond offering

Apple on Tuesday raised $17 billion via a bond offering as part of its recently announced capital program which aims to return $100 billion to shareholders by the end of 2015. Apple's capital return program is comprised of two components: an increased quarterly dividend of $3.05 a share and a $55 billion stock repurchasing program. To help finance its new plan, Apple decided to issue debt, prompting many to wonder why the company didn't dip into its $145 million cash hoard. The answer is that $100 billion of Apple's cash lies overseas. Consequently, if Apple would be subject to unfavorable income tax rates if it brought that cash back to the U.S. So instead, Apple chose to borrow money

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