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Braeburn Capital, Apple’s fruitful reserve

Filed under: Did you know that...

The braeburncapital.com url redirects to Apple’s main website, apple.com

How come?
Who is this Braeburn Capital and what relationship does it have with Apple?

Some of the answers come from a simple enquiry to the WhoIs database.
There we can see that the domain was registered in the October of 2005 and, more to the point, read that the “Registrant” is:

Apple Inc.        
1 Infinite Loop
Cupertino CA 95014
US

Also, under “Technical Contact” the address is:

c/o Apple Computer Treasury
Braeburn Capital, Inc.
1 Infinite Loop
Cupertino CA 95014
US

From this and a series of other searches it comes out that in the autumn of 2005 Apple created and incorporated a firm to manage its cash and short-term investments.

Between 2003 and 2005 Apple’s cash reserve almost doubled, growing from 4.6 to $8.7 billion, mostly thanks to the enormous success of the iPod. To manage these assets in the best possible way Braeburn Capital has been set up in Reno, Nevada.

Nevada was chosen because -unlike California- the state has no corporate income tax, no capital-gains tax, and the state doesn’t share information with the U.S. Internal Revenue Service.

And the name? This also looks to be a very conscious choice from Apple. Like the McIntosh, the Braeburn is a type of apple, known for a unique combination of sweet and tart flavour and its ability to store well.

Image taken from Wikipedia.

Tuesday 17 November 2009, 1:41 pm

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