McKesson 2012 Annual Report Download - page 15

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McKESSON CORPORATION
11
The liability for environmental remediation and other environmental costs is accrued when the Company
considers it probable and can reasonably estimate the costs. Environmental costs and accruals, including that related
to our legacy chemical distribution operations, are presently not material to our operations or financial position.
Although there is no assurance that existing or future environmental laws applicable to our operations or products
will not have a material adverse impact on our operations or financial condition, we do not currently anticipate
material capital expenditures for environmental matters. Other than the expected expenditures that may be required
in connection with our legacy chemical distribution operations, we do not anticipate making substantial capital
expenditures either for environmental issues, or to comply with environmental laws and regulations in the future.
The amount of our capital expenditures for environmental compliance was not material in 2012 and is not expected
to be material in the next year.
Employees: On March 31, 2012, we employed approximately 37,700 persons compared to 36,400 and 32,500
on March 31, 2011 and 2010.
Financial Information About Foreign and Domestic Operations: Information as to foreign and domestic
operations is included in Financial Notes 1 and 22, “Significant Accounting Policies” and “Segments of Business,”
to the consolidated financial statements appearing in this Annual Report on Form 10-K.
Forward-Looking Statements
This Annual Report to Stockholders, including the Chairman’s 2012 letter, “Management’s Discussion and
Analysis of Financial Condition and Results of Operations” in Item 7 of Part II of this report and the “Risk Factors”
in Item 1A of Part I of this report, contains forward-looking statements within the meaning of section 27A of the
Securities Act of 1933, as amended and section 21E of the Securities Exchange Act of 1934, as amended. Some of
these statements can be identified by use of forward-looking words such as “believes,” “expects,” “anticipates,”
“may,” “will,” “should,” “seeks,” “approximately,” “intends,” “plans” or “estimates,” or the negative of these
words, or other comparable terminology. The discussion of financial trends, strategy, plans or intentions may also
include forward-looking statements. Forward-looking statements involve risks and uncertainties that could cause
actual results to differ materially from those projected, anticipated, or implied. Although it is not possible to predict
or identify all such risks and uncertainties, they may include, but are not limited to, the factors discussed in Item 1A
of Part I of this report under “Risk Factors.” The reader should not consider the list to be a complete statement of all
potential risks and uncertainties.
These and other risks and uncertainties are described herein and in other information contained in our publicly
available SEC filings and press releases. Readers are cautioned not to place undue reliance on these forward-
looking statements, which speak only as of the date such statements were first made. Except to the extent required
by federal securities laws, we undertake no obligation to publicly release the result of any revisions to these forward-
looking statements to reflect events or circumstances after the date hereof, or to reflect the occurrence of
unanticipated events.
Item 1A. Risk Factors.
The risks described below could have a material adverse impact on our financial position, results of operations,
liquidity and cash flows. Although it is not possible to predict or identify all such risks and uncertainties, they may
include, but are not limited to, the factors discussed below. Our business operations could also be affected by
additional factors that are not presently known to us or that we currently consider not to be material to our
operations. The reader should not consider this list to be a complete statement of all risks and uncertainties.
We are subject to legal proceedings that could have a material adverse impact on our financial position and
results of operations.
From time-to-time and in the ordinary course of our business, we and certain of our subsidiaries may become
involved in various legal proceedings involving antitrust, commercial, employment, environmental, intellectual
property, regulatory, tort and other various claims. All such legal proceedings are inherently unpredictable, and the
outcome can result in excessive verdicts and/or injunctive relief that may affect how we operate our business or we
may enter into settlements of claims for monetary damages. In some cases, substantial non-economic remedies or
punitive damages may be sought. For some complaints filed against the Company, we are currently unable to
estimate the amount of possible losses that might be incurred should these legal proceedings be resolved against the
Company.