March 25, 1997: Brother, Can You Spare 700 Million?

Reduced to its most basic level, business is a very simple concept. Produce product or service for price X and sell said product or service for price Y, where Y is hopefully greater than X. A simple concept, but sometimes a difficult one to put into practice.

It was certainly difficult for Apple when they had to announce a 700 million dollar loss. Word has it that the couch cushions were rifled through but no more cash was forthcoming. The news got worse; not only did Apple lose 700 million, but the company had also blown through most of its cash reserves and its remaining operating capital would last a mere five weeks.

It was the closest brush with death Apple had ever faced. The bad news was made public this week in 1997.