Discover 2011 Annual Report Download - page 49

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37
Special Note Regarding Forward-Looking Statements
This annual report on Form 10-K and materials we have filed or will file with the SEC (as well as information included
in our other written or oral statements) contain or will contain certain statements that are forward-looking within the meaning
of the Private Securities Litigation Reform Act of 1995. These statements are not guarantees of future performance and involve
certain risks, uncertainties and assumptions that are difficult to predict. Actual outcomes and results may differ materially from
those expressed in, or implied by, our forward-looking statements. Words such as “expects,” “anticipates,” “believes,”
“estimates” and other similar expressions or future or conditional verbs such as “will,” “should,” “would” and “could” are
intended to identify such forward-looking statements. You should not rely solely on the forward-looking statements and should
consider all uncertainties and risks throughout this annual report on Form 10-K, including those described under “Risk
Factors.” The statements are only as of the date they are made, and we undertake no obligation to update any forward-looking
statement.
Possible events or factors that could cause results or performance to differ materially from those expressed in our
forward-looking statements include the following:
• changes in economic variables, such as the availability of consumer credit, the housing market, energy costs, the
number and size of personal bankruptcy filings, the rate of unemployment, the levels of consumer confidence and
consumer debt, and investor sentiment;
• the impact of current, pending and future legislation, regulation, supervisory guidance, and regulatory and legal
actions, including those related to financial regulatory reform, consumer financial services practices, and funding,
capital and liquidity;
• the actions and initiatives of current and potential competitors;
• our ability to manage our expenses;
• our ability to successfully achieve full card acceptance across our networks and maintain relationships with network
participants;
• our ability to sustain and grow our private student loan portfolio;
• our ability to manage our credit risk, market risk, liquidity risk, operational risk, legal and compliance risk, and
strategic risk;
• the availability and cost of funding and capital;
• access to deposit, securitization, equity, debt and credit markets;
• the impact of rating agency actions;
• the level and volatility of equity prices, commodity prices and interest rates, currency values, investments, other
market fluctuations and other market indices;
• losses in our investment portfolio;
• limits on our ability to pay dividends and repurchase our common stock;
• fraudulent activities or material security breaches of key systems;
• our ability to increase or sustain Discover card usage or attract new customers;
• our ability to attract new merchants and maintain relationships with current merchants;
• the effect of political, economic and market conditions, geopolitical events and unforeseen or catastrophic events;
• our ability to introduce new products or services;
• our ability to manage our relationships with third-party vendors;
• our ability to maintain current technology and integrate new and acquired systems;
• our ability to collect amounts for disputed transactions from merchants and merchant acquirers;
• our ability to attract and retain employees;
• our ability to protect our reputation and our intellectual property;
• difficulty obtaining regulatory approval for, financing, closing, transitioning, integrating or managing the expenses
of acquisitions of or investments in new businesses, products or technologies; and
• new lawsuits, investigations or similar matters or unanticipated developments related to current matters.
We routinely evaluate and may pursue acquisitions of or investments in businesses, products, technologies, loan
portfolios or deposits, which may involve payment in cash or our debt or equity securities.
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