Berkshire Hathaway Sitting on Pile of Cash

New York, NY, Dec. 30, 2008--Twenty of the largest listed companies in the world are sitting on a combined cash pile of $570 billion, demonstrating how some of the world’s biggest groups retain substantial firepower in the current downturn.

The list is led by four financial institutions with Warren Buffett’s Berkshire Hathaway, parent company of Shaw Industries, at the top with $106 billion in net cash, defined as cash and short-term investments or marketable securities minus debt.

The next three positions are filled by Chinese banks with Bank of China, ICBC and China Construction Bank having $101bn, $89bn and $82bn, respectively, according to data from Bloomberg.

Executives and analysts are divided on what cash-rich companies are likely to do with their money. Some believe that with company valuations at a relative low compared with recent years the time is ripe for acquisitions.

Berkshire has already invested in blue chips such as General Electric and Goldman Sachs.

Related Topics:Shaw Industries Group, Inc.