Volkswagen’s debt exceeds that of all of South AfricaJuly 20, 2020
The Volkswagen Group becomes the world’s largest organization, owing more than the entire South African continent.
With $ 192 billion in debt, Volkswagen is the world’s # 1 most indebted company, according to a recent survey of 900 leading companies. This means it has more debt than countries like South Africa ($ 180.1 billion) and Hungary ($ 101.9 billion). Most of these debts of the German concern are associated with its large financial division.
In fact, Volkswagen is not alone in its position as a carmaker with a huge debt pit. Another German auto giant, Daimler, is in fact the third most indebted company at $ 151 billion. Toyota with a debt of $ 138 billion, Ford with $ 122 billion and BMW with $ 114 billion are not lagging behind the above. Of the ten most indebted companies in the world, five are automakers.
In comparison, there are many large organizations that are out of debt and that actually have huge cash reserves. Alphabet is in first place in terms of sales, with $ 104 billion in cash. It beats companies like Samsung ($ 78 billion), Microsoft ($ 47 billion), Facebook ($ 44 billion), Song ($ 14 billion) and Alibaba Group ($ 13 billion).
After the coronavirus pandemic, global corporate debt jumped from 12% to $ 9.3 trillion. “COVID has changed everything,” said Portfolio Manager at Janus Henderson, Seth Meyer. “Now it’s about preserving capital and creating a strengthened balance sheet.”
- Android Auto was first launched on a Tesla electric car
- Vertical batteries will increase the range of electric vehicles by 30%
- Innovative lithium battery for air taxi charges in 10 minutes
- Zaha Hadid Architects to Design Hyperloop for Italy
- Musk’s underground tunnel near Las Vegas opens for first passengers