EMC 2010 Annual Report Download - page 11

Table of Contents
We are continuously striving to reduce material use in our products and operations, recycle what cannot be reused, and handle any waste with integrity
and responsibility for the environment and human health. We are working with our suppliers and industry peers to identify substitutes for materials that can
damage ecological and human health. We have eliminated the use of leaded solder in our products and we are actively working to reduce the use of hazardous
substances such as brominated flame retardants and polyvinyl chlorides in our products.
Although we have a relatively small water footprint, with our primary usage in general building operations such as drinking, cooling, and sanitation, we
have taken a conscientious approach to conserving this important resource. In our owned and operated facilities, we minimize water use and control
wastewater streams, and our manufacturing facilities produce no industrial wastewater.
Available Information
Our Annual Report on Form 10-K, Quarterly Reports on Form 10-Q, Current Reports on Form 8-K and amendments to reports filed pursuant to
Sections 13(a) and 15(d) of the Securities Exchange Act of 1934, as amended, are made available free of charge on or through our website at www.emc.com as
soon as reasonably practicable after such reports are filed with, or furnished to, the Securities and Exchange Commission (the SEC). The SEC also maintains a
website, www.sec.gov, that contains reports and other information regarding issuers that file electronically with the SEC. Copies of our (i) Corporate
Governance Guidelines, (ii) charters for the Audit Committee, Leadership and Compensation Committee, Corporate Governance and Nominating Committee,
Mergers and Acquisitions Committee and Finance Committee and (iii) Business Conduct Guidelines (code of business conduct and ethics) are available at
www.emc.com/about/governance. Copies will be provided to any shareholder upon request. Please go to www.emc.com/ir to submit an electronic request, or
send a written request to EMC Investor Relations, 176 South Street, Hopkinton, MA 01748. None of the information posted on our website is incorporated by
reference into this Annual Report.
ITEM 1A. RISK FACTORS
The risk factors that appear below could materially affect our business, financial condition and results of operations. The risks and uncertainties
described below are not the only risks and uncertainties facing us. Our business is also subject to general risks and uncertainties that affect many other
companies.
Our business could be materially adversely affected as a result of general economic and market conditions.
We are subject to the effects of general global economic and market conditions. If these conditions remain challenging or deteriorate, our business,
results of operations or financial condition could be materially adversely affected. Possible consequences from uncertainty or further deterioration due to the
recent global macroeconomic downturn on our business, including insolvency of key suppliers resulting in product delays, inability of customers to obtain
credit to finance purchases of our products, customer insolvencies, increased risk that customers may delay payments, fail to pay or default on credit extended
to them, and counterparty failures negatively impacting our treasury operations, could have a material adverse effect on our results of operations or financial
condition.
Our business could be materially adversely affected as a result of a lessening demand in the information technology market.
Our revenue and profitability depend on the overall demand for our products and services. Delays or reductions in IT spending, domestically or
internationally, could materially adversely affect demand for our products and services which could result in decreased revenues or earnings.
Our customers operate in a variety of markets. Any adverse effects to such markets could materially adversely affect demand for our products and
services which could result in decreased revenues or earnings.
Competitive pricing, sales volume, mix and component costs could materially adversely affect our revenues, gross margins and earnings.
Our gross margins are impacted by a variety of factors, including competitive pricing, component and product design costs as well as the volume and
relative mixture of product and services revenues. Increased component costs, increased pricing pressures, the relative and varying rates of increases or
decreases in component costs and product price, changes in product and services revenue mixture or decreased volume could have a material adverse effect on
our revenues, gross margins or earnings.
The costs of third-party components comprise a significant portion of our product costs. While we generally have been able to manage our component
and product design costs, we may have difficulty managing such costs if supplies of certain components
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