Category: US Companies

U.S. Firms Earned Record $1.9 Trillion Overseas in 2012

U.S. multinationals boosted their offshore earnings by 15 percent last year to $1.9 trillion, avoiding hefty tax bills by keeping their earnings overseas, according to a report by research firm Audit Analytics.

The U.S. corporate overseas cash stockpile has grown by 70 percent over the past five years, said the company whose data covers the Russell 3000 index of the largest U.S. corporations.

According to the report, General Electric had the most indefinitely reinvested overseas earnings at $108 billion, while pharmaceutical giant Pfizer came in second with $73 billion.

S&P Seeks Dismissal of $5bn Crisis Ratings Lawsuit

Credit ratings agency Standard and Poor’s has asked a U.S. federal judge to dismiss a lawsuit that claims the firm gave inaccurately high ratings to risky mortgage investments, deepening the battle over who bears responsibility for losses suffered by investors during the financial crisis.

AIG May Sue US over Terms of Government Bailout

After paying back its $182 billion bailout, the American International Group is now considering joining a 2011 lawsuit filed against the US government, alleging that federal officials imposed unfair bailout terms on the company while rescuing it from the collapse during the financial crisis.

Goldman Hits Back at Ex-Staff who Denounced the Bank’s “Toxic and Destructive” Culture

Goldman Sachs has moved to combat ex-banker Greg Smith’s vitriol against the bank’s apparent “moral bankruptcy”. In a feisty nine-page report published yesterday, Goldman Sachs alleged that Smith quit not because he felt the company had “lost its way” but rather, he felt he wasn’t sufficiently compensated for his work.

Goldman Sachs has hit back at ex-employee Greg Smith who resigned publicly in March via a scathing op-ed in the New York Times.

Goldman Sachs Q3 Profits Exceed Expectations

Wall Street titan Goldman Sachs brought in $1.5 billion in profits for the third quarter this year, a strong comeback from its rare quarterly loss a year ago.

Goldman Sachs Group, the fifth-largest US bank by assets, reported profit that beat analysts’ estimates on higher underwriting fees and a jump in the value of the firm’s own investments.

Wal-Mart Emerges as Money Laundering Suspect

Two US officials who have been investigating bribery allegations against Wal-Mart revealed yesterday that new findings have emerged, with evidence suggesting the company’s compliance lapses may have extended to “questionable financial behaviour”, including tax evasion and money laundering.

Goldman Sachs Escapes Prosecution for its Role in Subprime Crisis

The United States Justice Department has said it will not pursue criminal charges against Wall Street titan, Goldman Sachs, nor its employees, for its roles in the 2007/08 subprime mortgage crisis.

In a statement, the Justice Department said “the burden of proof” could not be met to prosecute Goldman Sachs criminally based on claims made in an extensive reported prepared by a US Senate panel that had investigated the bank for its role in selling toxic debt.

US Companies Hoarding Less Cash Than Previously Thought

When US President Barack Obama declared last year that American companies are holding nearly $2.3 trillion on their balance sheets, many questions were raised over how that money could be put to use to stimulate the private sector economy. However, new data released by the Fed suggests that corporations are holding on to less cash on hand that previously thought.