There have been concerns for some time that IBM Corp was fast running out of cash – the UK subsidiary was reportedly ordered to factor its receivables by its parent at the end of last year after it ran out of cash for its operations, hardly a cheap way of borrowing for a blue chip company, and the Reuter report that it and IBM Credit Corp are seeking $4,600m of revolving credit in the international syndicated loan market (see page seven), seems to confirm it; at least one source told the news wire that IBM is trying to keep the arrangement very quiet, presumably to avoid generating more alarm than there already is about progress of its business.
