Kraft 2006 Annual Report Download - page 15

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Canada,Pebbles ready-to-eat cereals,Tazo teas for sale in grocery stores in the United States, andSouth Beach Diet pizzas, meals, breakfast wraps, lunch wrap
kits, crackers, cookies, snack bars, cereals and dressings for sale in grocery stores in the United States. The Company also has a license agreement to make
Seattle's Best coffee andTazo teas T-Discs for use in the Company Tassimo hot beverage system.
Similarly, the Company owns thousands of patents worldwide, and the patent portfolio as a whole is material to the Company's business; however, no one
patent or group of related patents is material to the Company. In addition, the Company has proprietary trade secrets, technology, know-how processes and other
intellectual property rights that are not registered.
Seasonality
Demand for certain of the Company's products may be influenced by holidays, changes in seasons or other annual events. Due to the offsetting nature of
demands for the Company's diversified product portfolio, however, sales of the Company's products are generally evenly balanced throughout the year.
Environmental Regulation
The Company is subject to various federal, state, local and foreign laws and regulations concerning the discharge of materials into the environment, or
otherwise related to environmental protection, including, in the United States, the Clean Air Act, the Clean Water Act, the Resource Conservation and Recovery
Act and the Comprehensive Environmental Response, Compensation and Liability Act of 1980 (commonly known as "Superfund"), which imposes joint and
several liability on each responsible party. As of December 31, 2006, subsidiaries of the Company were involved in 75 active Superfund and other actions in the
United States related to current operations and certain former or divested operations for which the Company retains liability.
Outside the United States, the Company is subject to applicable multi-national, national and local environmental laws and regulations in the host countries
in which the Company does business. The Company has specific programs across its international business units designed to meet applicable environmental
compliance requirements.
Although it is not possible to predict precisely the estimated costs for environmental-related expenditures, compliance with such laws and regulations,
including the payment of any remediation costs and the making of such expenditures, has not had, and is not expected to have, a material adverse effect on the
Company's results of operations, capital expenditures, financial position, earnings, cash flows or competitive position.
Forward-Looking Statements
The Company and its representatives may from time to time make written or oral forward-looking statements, including statements contained in the
Company's filings with the SEC, in its reports to shareholders and in press releases and investor webcasts. One can identify these forward-looking statements by
use of words such as "strategy," "expects," "plans," "anticipates," "believes," "will," "continues," "estimates," "intends," "projects," "goals," "targets" and other
words of similar meaning. One can also identify them by the fact that they do not relate strictly to historical or current facts. The Company cannot guarantee that
any forward-looking statement will be realized, although it believes that it has been prudent in its plans and assumptions. Achievement of future results is subject
to risks, uncertainties, and the possibility of inaccurate assumptions. Should known or unknown risks or uncertainties materialize, or should underlying
assumptions prove inaccurate, actual results could vary materially from those anticipated, estimated, or projected. Investors should bear this in mind as they
consider forward-looking statements and whether to invest in or remain invested in the Company's securities. In connection with the "safe harbor" provisions of
the Private Securities Litigation Reform Act of 1995, the Company identifies from time to time important factors that could cause actual results and
11
Source: KRAFT FOODS INC, 10-K, March 01, 2007