Lets Be Honest -- Nintendo Is Simply Unable To Support Two Hardware Platforms At Once

[ECM]

darkknightkryta said:

Vinniegambini said:

darkknightkryta said:

Vinniegambini said:

 

http://www.nintendo.co.jp/ir/pdf/2013/130130e.pdf

They have 5.5 Billion Cash + 4.5 Billion in Short Term Securities = 10 B$

What's short term securities?

Most companies in a strong cash position have a short-term investments account on the balance sheet. This means that a company can afford to invest excess cash in stocks and bonds to earn higher interest than what would be earned from a normal savings account.

But wouldn't that money still be considered tied up and not cash on hands?

Sure, but the operative words there are "short term"--nobody with excess cash is going to keep it parked in a savings account where it's immediately liquid. Worst case they dump it into a CD that 'locks up' that money for 12-18 months, but you can certainly make it liquid in an emergency if you're willing to pay some penalties, and the same goes for NCL's situation.

(And let's get real: there is *no* scenario where Nintendo torchces 5+ billion dollars and suddenly needs access to an additional 4+ billion.)