We now know what corporations are doing with their surplus cash - buying back their outstanding shares - not plowing it back into business infrastructure.  Last month saw more corporate buyback authorizations than at any point since February 2008. According to a report by Birinyi Associates, there were 198 new buyback authorizations last month.  Birinyi analyst Rob Leiphart said the volatility in August helped prompt many companies to order buybacks.  Obviously, the money isn't going to things like hiring. Leiphart expects buybacks to continue in coming months, especially if market volatility remains high.  Some companies that are actively buying back include:  Lowe's Companies, CVS Caremark, Celgene Corp., Covidien, Intuit, Discovery Communications, Harris Corp. and Lockheed Martin.  In most companies say they think their stock is undervalued.  Of course, that doesn't mean that such companies are not still enthusiastic about their earnings potential.  They are, but feel this is the best utilization of its excess funds.  [Traders Magazine Online, 9/2/11]