Feeds

Xerox mortgages leases for $435m

Debt relief

  • alert
  • submit to reddit

Top 5 reasons to deploy VMware with Tegile

Xerox, the deeply troubled everything-to-do-with-documents firm, has raised a $435m loan from GE Capital, part of the world's most untroubled company, backed by its UK equipment leases. The secured loan is repayable over 18 months and the two companies are talking about GE maybe taking over Xerox's lease financing in Europe.

Xerox says it now has a cash balance of $1.8 billion. Equipment financing is hugely profitable - but it has to be backed by a lot of cash - something Xerox does not have (it's in the red to the tune of $18bn).

By getting out of this financial service (the move was signalled in October when the full extent of the company's financial plight was first revealed), Xerox will remove $11bn of debt from its balance sheet. This will get it out of a pickle today, but it will ensure that it won't get so much jam tomorrow. But at least there maybe a tomorrow. ®

Related stories

Xerox poo poos bankruptcy claims
Debt-ridden Xerox promises 'aggressive turnaround'

Internet Security Threat Report 2014

More from The Register

next story
Facebook pays INFINITELY MORE UK corp tax than in 2012
Thanks for the £3k, Zuck. Doh! you're IN CREDIT. Guess not
DOUBLE BONK: Testy fanbois catch Apple Pay picking pockets
Users wail as tapcash transactions are duplicated
Happiness economics is bollocks. Oh, UK.gov just adopted it? Er ...
Opportunity doesn't knock; it costs us instead
Google Glassholes are UNDATEABLE – HP exec
You need an emotional connection, says touchy-feely MD... We can do that
YARR! Pirates walk the plank: DMCA magnets sink in Google results
Spaffing copyrighted stuff over the web? No search ranking for you
In the next four weeks, 100 people will decide the future of the web
While America tucks into Thanksgiving turkey, the world will be taking over the net
prev story

Whitepapers

Choosing cloud Backup services
Demystify how you can address your data protection needs in your small- to medium-sized business and select the best online backup service to meet your needs.
Forging a new future with identity relationship management
Learn about ForgeRock's next generation IRM platform and how it is designed to empower CEOS's and enterprises to engage with consumers.
Security for virtualized datacentres
Legacy security solutions are inefficient due to the architectural differences between physical and virtual environments.
Reg Reader Research: SaaS based Email and Office Productivity Tools
Read this Reg reader report which provides advice and guidance for SMBs towards the use of SaaS based email and Office productivity tools.
Storage capacity and performance optimization at Mizuno USA
Mizuno USA turn to Tegile storage technology to solve both their SAN and backup issues.