On May 28, the Wall Street Journal’s “CFO Report” published an article titled “Free-Cash Flow Falls at Big Companies.” The article mentions statistics and comments concerning the free cash flow trends at the largest 1000 publicly-traded companies in the U.S.
The amount of free-cash flow recorded by 1,000 of the largest public companies in the U.S. by revenue fell to $565 billion for 2012, down 14% from 2011, according to REL, a division of Hackett Group. Free-cash flow measures the cash that companies have after they have paid off all their expenses. The decline recorded between 2011 and 2012 is the first since 2007.
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