Amazon Bags $8B Loan To Beat Market Headwinds

Amazon.Com, Inc AMZN bagged an $8 billion loan from DBS Bank, Mizuho Bank, and others, the loan which will mature in 364 days (January 3, 2024).
The loan carried an option to extend for another 364 days will serve general corporate purposes.
Amazon told TechCrunch that the loan adds to the range of financing options the company has tapped recently to hedge against the “uncertain macroeconomic environment.”
“Like all companies, we regularly evaluate our operating plan and make financing decisions — like entering into term loan agreements or issuing bonds — accordingly,” the spokesperson.
Slower e-commerce sales compelled Amazon to shut down or delay plans for over a dozen facilities. The soaring energy prices also impacted Amazon’s business significantly, as its shipping spending climbed 10% to $19.9 billion in Q3 2022.
Amazon has frozen hiring for corporate roles in its retail business, shut down its Amazon Care telehealth service, closed most of its U.S. call centers, and scaled back Amazon Scout.
To cut costs, Amazon reduced its workforce in early 2023, reportedly by up to 10,000 employees.
Amazon held $59 billion in cash and equivalents as of September 30.
Price Action: AMZN shares traded higher by 0.82% at $86.52 in the premarket on the last check Wednesday.