ADT 2005 Annual Report Download - page 137

Forward-Looking Information
Certain statements in this report are ‘‘forward-looking statements’’ within the meaning of the U.S.
Private Securities Litigation Reform Act of 1995. All forward-looking statements involve risks and
uncertainties. All statements contained herein that are not clearly historical in nature are forward-
looking, and the words ‘‘anticipate,’’ ‘‘believe,’’ ‘‘expect,’’ ‘‘estimate,’’ ‘‘project’’ and similar expressions
are generally intended to identify forward-looking statements. Any forward-looking statement contained
herein, in press releases, written statements or other documents filed with the SEC, or in Tyco’s
communications and discussions with investors and analysts in the normal course of business through
meetings, webcasts, phone calls and conference calls, regarding expectations with respect to sales,
earnings, cash flows, operating efficiencies, product expansion, backlog, the consummation and benefits
of acquisitions and divestitures or other matters, as well as financings and repurchases of debt or equity
securities, are subject to known and unknown risks, uncertainties and contingencies. Many of these
risks, uncertainties and contingencies are beyond our control, and may cause actual results,
performance or achievements to differ materially from anticipated results, performance or
achievements. Factors that might affect such forward-looking statements include, among other things:
• overall economic and business conditions;
• the demand for Tyco’s goods and services;
• competitive factors in the industries in which Tyco competes;
• changes in tax requirements (including tax rate changes, new tax laws and revised tax law
interpretations);
• results and consequences of Tyco’s internal investigation and governmental investigations
concerning the Company’s governance, management, internal controls and operations;
• the outcome of litigation and governmental proceedings as a result of actions taken by our
former senior corporate management;
• effect of income tax audit settlements;
• the ratings on our debt and our ability to repay or refinance our outstanding indebtedness as it
matures;
• our ability to operate within the limitations imposed by financing arrangements and to maintain
our credit ratings;
• interest rate fluctuations and other changes in borrowing costs;
• other capital market conditions, including foreign currency rate fluctuations;
• availability of and fluctuations in the prices of key raw materials, including steel and resin;
• economic and political conditions in international markets, including governmental changes and
restrictions on the ability to transfer capital across borders;
• the ability to achieve cost savings in connection with the Company’s strategic restructuring and
Six Sigma initiatives;
• potential further impairment of our goodwill and/or our long-lived assets;
• the impact of fluctuations in the price of Tyco common shares;
• changes in U.S. and non-U.S. government regulations in general, and in particular changes in
rules and regulations regarding the safety, efficacy, sales, promotions, insurance reimbursement
and pricing of Tyco’s disposable medical products and other specialty products, as well as
changes in rules and regulations regarding the retirement and disposal of certain electrical
products;
• the possible effects on Tyco of future legislation in the U.S. that may limit or eliminate potential
U.S. tax benefits resulting from Tyco’s incorporation in Bermuda or deny U.S. government
contracts to Tyco based upon its incorporation in Bermuda; and
• the potential distraction costs associated with negative publicity relating to actions of our former
senior corporate management.
2005 Financials 61