The Most Indebted Companies In The World

The Most Indebted Companies In The World

During the ongoing coronavirus pandemic, corporate debt levels have increased in the UK according to recent government authored reports. This has increased the amount of arrears companies owe to contractors and other companies and has generally made the economy more vulnerable to borrowing-related maladies. Corporate debt is nothing new. Borrowing is a fundamental part of the modern neoliberal capitalist structure, and companies are encouraged to borrow beyond their means just as individuals are. Loans and bonds are considered to be sensible ways of raising money, and they can be when taken responsibly by companies that have forecast their future income and outgoings correctly. 

Some companies have found themselves in extremely serious debt indeed. This article is a quick rundown of some of the vastest corporate debts in the world. All of these companies are based in the USA, where corporate debt is $11 trillion

Comcast

Comcast is the largest cable and satellite television provider in the United States of America. It is also pretty free and easy with accruing debt. It has been on a rather wild spending spree of late – purchasing NBC, United Artists and DreamWorks Studios. Although it has been intent on cutting operational costs of late it has been unable to pay back most of the debtors it owes money to. If a company’s culture has been unwilling to pay back money to a contractor, they usually call upon a corporate debt recovery agency, such as Advocate. It will, however, take many years for debtors to recover the 105.7 billion dollars owed by Comcast. 

Verizon

Mobile telecommunications company Verizon is one of the most expansive and popular providers of communication technology and networks in the USA and has funded this dominance by taking on a huge quantity of debt: somewhere in the region of 106.5 billion dollars. Verizon executives have publicly stated that their leadership in the rollout of 5G networks will help to eventually reduce their reliance upon debt for funding new projects. Technological innovation is one-way companies reassure debtors that they can pay back loans and bonds. 

Ford 

The greatest American car manufacturer is also the most debt-reliant automotive giant in the world. Facing increasing competition and nearing bankruptcy, the company has recently received a significant downgrade in credit ratings, meaning that it will find it harder to take out loans in the future. The 114.4 billion dollars of debt owed by Ford Motor Company does not look like it will be going away any time in the future. Ford was one of the pioneering motor vehicle companies, but it looks well past its prime in the modern market. 

AT&T

The telecommunications giant AT&T is the most indebted company in the world. It owes 147.2 billion dollars in debt and has a habit of taking out new bonds in order to increase liquidity. Profits barely outweigh total debt for the company, but that has not stopped it from growing in size and making plenty of new acquisitions. The company recently purchased a controlling share in the vast Time Warner entertainment empire.