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by phil21
108 days ago
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Is a 20 cent on the dollar or so payment for the new tariff expense really going to save a company that much on the bubble? I'm sure there are a few exceptional cases, but that doesn't seem to me like it would be the typical cases. A company needing to pay $100 in tariffs but then the $20 of cash infusion being the thing that saves the day seems rather unlikely. I'd say it's more likely this was a profit center to more companies than it was a life line. As in they passed the tariff down to their consumers, and also collected the 20% as a cash payment to juice the bottom line. More common though would be simply a way to help defray some costs and provide certainty. |
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