Take a moment to read this story on Sasol holding on to cash. This bit in particular highlights where I'm heading
although the whole article tells a story. Despite wholesome profits and plenty of cash reserves, Sasol does not even plan to pay its dividend in cash, rather considering issuing shares instead.Sasol ended December 2008 with cash of R22.7 billion, an eightfold increase compared with the end of December 2007.
So how much of the local credit crunch is due to the GFM?
What are the cumulative effects of big corporates like Sasol sitting on bigger cash reserves and putting capital projects on hold?