Tesla Asks Suppliers For Cash Back — What’s Going On?

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Over the weekend, a story was broken by the Wall Street Journal  stating that Tesla had reached out to its suppliers, asking for cash back on certain supplies dating back more than two years. The underlying implications of the news caused Tesla stock to take a pretty big dive in early morning trading on Monday. 

But what is meant by ‘Cash Back’, and is it something that should cause alarm? 

We’ve tried to look through the hyperbole and come to a sensible evaluation that’s unlikely to keep the fanboys or the shorts happy. 

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