VideoDavid M. Katz, CFO.com | US
June 23, 2009
- Buy backs and when there aren't
Not certain if this was mentioned, however, management isn?t going to be using cash for buy backs in a market where they don?t have traction or think they have it. Buybacks as a strategy to use cash flow has been one of their main ways to eventually line their own pockets and make it look like the stock is doing well, while sort of commandeering a firm resource without thinking of better ways to use it back for the firm. Mercenary professional management is eating a little of what goes around comes around and perhaps they should use the cash to spur domestic production and in turn coordinate more effectively with their domestic market into which they vend also to take steps to spur domestic production and employ more Americans. In the long run that would have been the better reason to find the appropriate corporate targets to which to apply the cash.
Posted by Andrea Psoras | Jun 24, 2009 10:34 AM ET
