Home Depot 2012 Annual Report Download - page 16

Download and view the complete annual report

Please find page 16 of the 2012 Home Depot annual report below. You can navigate through the pages in the report by either clicking on the pages listed below, or by using the keyword search tool below to find specific information within the annual report.

Page out of 68

  • 1
  • 2
  • 3
  • 4
  • 5
  • 6
  • 7
  • 8
  • 9
  • 10
  • 11
  • 12
  • 13
  • 14
  • 15
  • 16
  • 17
  • 18
  • 19
  • 20
  • 21
  • 22
  • 23
  • 24
  • 25
  • 26
  • 27
  • 28
  • 29
  • 30
  • 31
  • 32
  • 33
  • 34
  • 35
  • 36
  • 37
  • 38
  • 39
  • 40
  • 41
  • 42
  • 43
  • 44
  • 45
  • 46
  • 47
  • 48
  • 49
  • 50
  • 51
  • 52
  • 53
  • 54
  • 55
  • 56
  • 57
  • 58
  • 59
  • 60
  • 61
  • 62
  • 63
  • 64
  • 65
  • 66
  • 67
  • 68

10
Changes in accounting standards and subjective assumptions, estimates and judgments by management related to
complex accounting matters could significantly affect our financial results or financial condition.
Generally accepted accounting principles and related accounting pronouncements, implementation guidelines and
interpretations with regard to a wide range of matters that are relevant to our business, such as revenue recognition, asset
impairment, impairment of goodwill and other intangible assets, inventories, lease obligations, self-insurance, tax matters and
litigation, are highly complex and involve many subjective assumptions, estimates and judgments. Changes in these rules or
their interpretation or changes in underlying assumptions, estimates or judgments could significantly change our reported or
expected financial performance or financial condition.
We are involved in a number of legal proceedings, and while we cannot predict the outcomes of those proceedings and
other contingencies with certainty, some of these outcomes may adversely affect our operations or increase our costs.
We are involved in a number of legal proceedings, including government inquiries and investigations, and consumer,
employment, tort and other litigation that arise from time to time in the ordinary course of business. Litigation is inherently
unpredictable, and the outcome of some of these proceedings and other contingencies could require us to take or refrain from
taking actions which could adversely affect our operations or could result in excessive verdicts. Additionally, defending
against these lawsuits and proceedings may involve significant expense and diversion of management’s attention and
resources from other matters.
Item 1B. Unresolved Staff Comments.
Not applicable.