Amazon's Debt Load Worries Investors
Amazon.com continues to be strong in the eyes of the consumer, but the investor side is a different story completely. The company's debt load increased from $1.5 billion in 1999 to $2.1 billion at the end of June, and the stock's value continues to fall.
Jeff Bezos, Amazon CEO, says consumers are ordering more from the online company, and marketing costs to obtain a new customer are far less than industry standards. So why, then, can't the company turn a profit?
According to Bezos, investors must wait and see a while longer, and continue to change the thinking from the traditional bricks & mortar scenario to an online environment.
But how long are investors willing to wait? AccountingWEB welcomes your feedback. How do you feel about the subject?