(Sacramento Bee) California may never see "hundreds of millions" in Facebook-related tax dollars necessary to balance the state budget as investors spurn the social media giant, the state's top fiscal analyst warned Wednesday.
After its first earnings report failed to energize investors last week, Menlo Park-based Facebook closed Wednesday trading at $20.88 per share. The new low has sunk 45 percent below the company's initial $38 share price.
The nonpartisan Legislative Analyst's Office said Wednesday that "if the company's stock price remains depressed, hundreds of millions of income tax dollars assumed in the 2012-13 state budget plan are at risk."
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