Companies stashing cash as profits increase

USA Today is reporting that our largest companies are sitting on huge piles of cash, but aren’t spending it.

Indeed, the report says the largest companies in the Standard & Poor’s 500 index are sitting on a record $902.4 billion in cash, up 10 per cent from a year earlier. That’s expected to rise to another record when the sum is tallied for the end of 2010 and represents a huge potential stimulus should these companies decide to start using it.

Read: Companies stash more cash as profits increase