Great pair of articles today on CNBC and


CNBC reports corporate cash as being up around 3.7 Trillion....which is an awfully high and questionable number, but the questions the article raises are good ones nonetheless:  What are corporates going to do with this casha dn when are they going to start drawing it down significantly.  The answer seems to be that long term expenditures (capex, hiring, M&A, etc.) will continue to be cautious & pragmatic for some time.  The article then points out that "From a flows perspective, capital expenditures are being surpassed by internally generated cash flows at a quarterly annualized rate of ~$200 billion. Thus, companies are still adding significantly to their $1.9 trillion cash mountain.


So, with capital outlays continuing at a measured pace which is surpassed by cash flows, FT.Com rightly states: "Whatever happens, that is still an awful lot of liquidity in search of investable ideas"


Until such a time as companies release most or all of that cash into long term, capex-type investments, what are companies to do to earn their investors a return on all that cash?  Check out this blog for an idea how that cash can invest some of that liquidity to earn risk free, double digit annualized returns.  Or, better yet, get your pass to AribaLIVE and come hear how 3 Ariba customers are doing exactly that while also reducing risk in their supply chains!


PS -- IF you register for AribaLIVE using the promo code: LIVECFO, you will receive $800 off the regular price for AribaLIVE! 




Dynamic Discounting: New Opportunities for No-Risk, High-Yield Cash Returns

Thursday, April 12, 2012 - 1:30pm



AP and Treasury leaders are quickly learning that a well-structured discount program can deliver short-term cash returns of 12 percent, 18 percent, and 24 percent or higher, with no risk. Attend this session to learn how to effectively maintain or extend DPO and maximize early payment discounts. Hear how your peers in finance have successfully deployed these strategies to maximize discount capture, optimize payment terms, dynamically capture discount savings, and provide valuable liquidity to key suppliers while maintaining control over their cash flow.


  • Dollar Tree: Tim Bennett, Director of Strategic Sourcing and Procurement
  • Mediafly: John Evarts, CFO
  • ONEOK: T.D. Eureste, Dirctor Treasury and Finance
  • Republic Services: Ariba Platform Supervisor