Polaris 2008 Annual Report Download - page 27

Download and view the complete annual report

Please find page 27 of the 2008 Polaris 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 90

  • 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
  • 69
  • 70
  • 71
  • 72
  • 73
  • 74
  • 75
  • 76
  • 77
  • 78
  • 79
  • 80
  • 81
  • 82
  • 83
  • 84
  • 85
  • 86
  • 87
  • 88
  • 89
  • 90

manufacturer to supply four-stroke engines that meet emission requirements for certain snowmobile models. In
2008, the EPA modified the snowmobile emission standards for model year 2012 and the Company has developed
engine and emission technologies to meet these requirements nationwide by 2012. The EPA announced its intention
to issue a future rulemaking on snowmobiles in or around 2010 and any emission standards under this rule would
become effective after 2012.
Victory motorcycles are also subject to EPA and CARB emission standards. Polaris believes that its
motorcycles have always complied with these standards. The CARB regulations require additional motorcycle
emission reductions in model year 2008 which the Company meets. The EPA adopted the CARB emission limits in
a January 2004 rulemaking that allows an additional two model years to meet these new CARB emission
requirements on a nationwide basis. The Company has developed engine and emission technologies to meet
these requirements nationwide by 2010.
Polaris products are also subject to international laws and regulations related to emissions in places where it
sells its products outside the United States. Europe currently regulates emissions from certain of the Company’s
ATV-based products and motorcycles and the Company meets these requirements. Canada’s emission regulations
for motorcycles are similar to those in the U.S. In December 2006 Canada proposed a new regulation that would
essentially adopt the U.S. emission standards for ATVs, off-road side-by-side vehicles, and snowmobiles. These
regulations are expected to become effective in 2009.
Polaris believes that its Victory motorcycles, ATVs, off-road side-by-side vehicles and snowmobiles have
always complied with applicable emission standards and related regulations in the United States and internationally.
Polaris is unable to predict the ultimate impact of the adopted or proposed regulations on Polaris and its business.
Polaris is currently developing and obtaining engine and emission technologies to meet the requirements of the
future emission standards.
Use regulation. State and federal laws and regulations have been promulgated or are under consideration
relating to the use or manner of use of Polaris’ products. Some states and localities have adopted, or are considering
the adoption of, legislation and local ordinances which restrict the use of ATVs, snowmobiles and off-road
side-by-side vehicles to specified hours and locations. The federal government also has restricted the use of ATVs,
snowmobiles and side-by-side vehicles in some national parks and federal lands. In several instances this restriction
has been a ban on the recreational use of these vehicles.
Polaris is unable to predict the outcome of such actions or the possible effect on its business. Polaris believes
that its business would be no more adversely affected than those of its competitors by the adoption of any pending
laws or regulations. Polaris continues to monitor these activities in conjunction with industry associations and
supports balanced and appropriate programs that educate the product user on safe use of its products and how to
protect the environment.
Employment
Due to the seasonality of the Polaris business and certain changes in production cycles, total employment
levels vary throughout the year. Despite such variations in employment levels, employee turnover has not been high.
During 2008, Polaris employed an average of approximately 3,300 persons. Approximately 1,250 of its employees
are salaried. Polaris considers its relations with its employees to be excellent. Polaris’ employees have not been
represented by a union since July 1982.
Available Information
Polaris’ Internet website is http://www.polarisindustries.com. Polaris makes available free of charge, on or
through its website, its annual, quarterly and current reports, and any amendments to those reports, as soon as
reasonably practicable after electronically filing such reports with the Securities and Exchange Commission.
Polaris also makes available through its website its corporate governance materials, including its Corporate
Governance Guidelines, the charters of the Audit Committee, Compensation Committee, Corporate Governance
and Nominating Committee and Technology Committee of its Board of Directors and its Code of Business Conduct
and Ethics. Any shareholder or other interested party wishing to receive a copy of these corporate governance
9