Motorola 2015 Annual Report Download - page 23

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We may be unable to obtain components and parts that are verified to be Democratic Republic of Congo ("DRC")
Conflict Free, which could result in reputational damage if we disclose that our products include minerals that have
been identified as “not found to be DRC conflict free” or if we disclose that we are unable to determine whether such
minerals are included in our products.
The Dodd-Frank Wall Street Reform and Consumer Protection Act included disclosure requirements regarding the use of
tin, tantalum, tungsten and gold (which are defined as “conflict minerals”) in our products and if the origin of these materials were
from the DRC or an adjoining country. If the minerals originated from the DRC or an adjoining country then a company must
disclose the measures it has taken to exercise due diligence and chain of custody to prevent the sourcing of such minerals that
have been found to be financing conflict in the DRC. There is a limited pool of suppliers who can provide verifiable DRC Conflict
Free components and parts, particularly since our supply chain is complex. As a result, we may be required to publicly disclose
that we are not currently able to determine if the products we manufactured in 2015 are DRC Conflict Free. For future reporting
years, if the industry systems that we are relying on are not mature enough for us to make a definitive Conflict Free
determination, we may have to declare our products as “not found to be DRC conflict free,” or such other definitional standard as
determined by the SEC and/or the judicial system and we may face reputational challenges with our customers, other
stockholders and the activist community as a result. In addition, the European Union is in the process of drafting conflict minerals
legislation which may have an impact on our reporting obligations and compliance programs in Europe.
Item 1B: Unresolved Staff Comments
None.
Item 2: Properties
Motorola Solutions' principal executive offices are located at 1303 East Algonquin Road, Schaumburg, Illinois 60196.
Motorola Solutions also operates manufacturing facilities and sales offices in other U.S. locations and in many other countries.
As of December 31, 2015, we: (i) owned 10 facilities (manufacturing, sales, service, and office), seven of which were
located in North America and three of which were located in other countries; (ii) leased 154 facilities, 66 of which were located in
North America and South America and 88 of which were located in other countries; and (iii) primarily utilized four major facilities
for the manufacturing and distribution of our products, located in: Penang, Malaysia; Schaumburg, Illinois; Elgin, Illinois; and
Berlin, Germany. Motorola Solutions sold its Penang, Malaysia facility and manufacturing operations to Sanmina Corporation
("Sanmina") on February 1, 2016.
We generally consider the productive capacity of our manufacturing facilities to be adequate and sufficient for our
requirements. The extent of utilization of each manufacturing facility varies throughout the year.
In 2015, a substantial portion of our products were manufactured in our owned facilities in Malaysia and Illinois.
Approximately 25% of our manufacturing, based on volume, is done by a small number of non-affiliated electronics
manufacturing suppliers and distribution and logistics services providers, most of which are outside the U.S. We rely on these
third-party providers in order to enhance our ability to lower costs and deliver products that meet demand. If manufacturing in
Malaysia, Illinois, or by third-parties were disrupted, our overall productive capacity could be significantly reduced.
Item 3: Legal Proceedings
We are a defendant in various lawsuits, claims, and actions, which arise in the normal course of business. In the opinion of
management, the ultimate disposition of these matters will not have a material adverse effect on our consolidated financial
position, liquidity, or results of operations. However, an unfavorable resolution could have a material adverse effect on our
consolidated financial position, liquidity, or results of operations in the periods in which the matters are ultimately resolved, or in
the periods in which more information is obtained that changes management's opinion of the ultimate disposition.
Item 4: Mine Safety Disclosures
Not applicable.
Executive Officers of the Registrant
The following are the persons who were the executive officers of Motorola Solutions, their ages, and their current titles as
of February 22, 2016 and the positions they have held during the last five years with the Company:
Gregory Q. Brown; age 55; Chairman and Chief Executive Officer since May 3, 2011; President and Chief Executive
Officer from January 2011 to May 2011.
Gino A. Bonanotte; age 51; Executive Vice President and Chief Financial Officer since November 13, 2013; Corporate Vice
President and Acting Chief Financial Officer from August 2013 to November 2013; Corporate Vice President, Finance, Sales and
Field Operations, from October 2012 to August 2013; and Corporate Vice President, Finance, Product and Business Operations
and Americas Field Operations from September 2010 to October 2012.
Bruce W. Brda; age 53; Executive Vice President, Products & Services since January 4, 2016; Executive Vice President,
Systems & Products from May 2015 to January 2016; Senior Vice President, Systems & Products from December 2014 to May
2015; Senior Vice President, Government Solutions from March 2014 to December 2014; Senior Vice President, Global
Solutions & Services from January 2013 to March 2014; Senior Vice President, Global Services from July 2011 to January 2013;
and Senior Vice President and General Manager, Advanced Services from January 2011 to July 2011.