Seagate 2014 Annual Report Download - page 37
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availablecashandcashflow,capitalandregulatoryrequirements,marketandeconomicconditions,ourordinaryshareprice,andotherfactors.Anyreductionor
discontinuancebyusofthepaymentofquarterlycashdividendsortherepurchaseofourordinarysharespursuanttooursharerepurchaseprogramcouldcausethe
marketpriceofourordinarysharestodeclinesignificantly,Moreover,intheeventourpaymentofquarterlycashdividendsorrepurchasesofourordinaryshares
arereducedordiscontinued,ourfailuretoresumesuchactivitiesathistoricallevelscouldresultinapersistentlowermarketvaluationofourordinaryshares.
Significantfluctuationsinthemarketpriceofourordinarysharescouldresultinsecuritiesclassactionclaimsagainstus.
Significantpriceandvaluefluctuationshaveoccurredwithrespecttothepubliclytradedsecuritiesoftechnologycompanies.Thepriceofourordinaryshares
islikelytobevolatileinthefuture.Inthepast,followingperiodsofdeclineinthemarketpriceofacompany'ssecurities,classactionlawsuitshaveoftenbeen
pursuedagainstthatcompany.Ifsimilarlitigationwerepursuedagainstus,itcouldresultinsubstantialcostsandadiversionofmanagement'sattentionand
resources,whichcouldmateriallyadverselyaffectourresultsofoperations,financialconditionandliquidity.
Ourabilitytouseournetoperatinglossandtaxcreditcarryforwardsmightbelimited.
TheuseofaportionofourU.S.netoperatinglossandtaxcreditcarryforwardsissubjecttoannuallimitationspursuanttoU.S.taxlaw.Section382ofthe
U.S.InternalRevenueCodegenerallyimposesanannuallimitationontheamountofnetoperatinglossortaxcreditcarryforwardsthatmightbeusedtooffset
taxableincomewhenacorporationhasundergonesignificantchangesinownership.Asaresult,futurechangesinownershipcouldputfurtherlimitationsonthe
availabilityofournetoperatinglossortaxcreditcarryforwards.
Failuretocomplywithapplicableenvironmentallawsandregulationscouldhaveamaterialadverseeffectonourbusiness,resultsofoperationsandfinancial
condition.
Thesaleandmanufacturingofproductsincertainstatesandcountriesmaysubjectusandoursupplierstostate,federalandinternationallawsandregulations
governingprotectionoftheenvironment,includingthosegoverningdischargesofpollutantsintotheairandwater,themanagementanddisposalofhazardous
substancesandwastes,thecleanupofcontaminatedsites,restrictionsonthepresenceofcertainsubstancesinelectronicproductsandtheresponsibilityfor
environmentallysafedisposalorrecycling.Weendeavortoensurethatweandoursupplierscomplywithallapplicableenvironmentallawsandregulations,
however,compliancemayincreaseouroperatingcostsandotherwiseimpactfuturefinancialresults.Ifadditionalormorestringentrequirementsareimposedonus
inthefuture,wecouldincuradditionaloperatingcostsandcapitalexpenditures.Ifwefailtocomplywithapplicableenvironmentallaws,regulations,initiatives,or
standardsofconduct,ourcustomersmayrefusetopurchaseourproductsandwecouldbesubjecttofines,penaltiesandpossibleprohibitionofsalesofour
productsintooneormorestatesorcountries,liabilitytoourcustomersanddamagetoourreputation,whichcouldresultinamaterialadverseeffectonthe
financialconditionorresultsofoperations.
Conflictmineralsregulationsmaycauseustoincuradditionalexpensesandcouldlimitthesupplyandincreasethecostofcertainmetalsusedin
manufacturingourproducts.
InAugust2012,theSECadoptednewrulesestablishingadditionaldisclosureandreportingrequirementsregardingtheuseofspecifiedminerals,orconflict
minerals,thatarenecessarytothefunctionalityorproductionofproductsmanufacturedorcontractedtobemanufactured.Thesenewruleswillrequireusto
determine,discloseandreportwhetherornotsuchconflictmineralsoriginatefromtheDemocraticRepublicoftheCongooranadjoiningcountry.Themostrecent
reportwasfiledonMay29,2015.Thesenewrulescouldaffectourabilitytosourcecertainmaterialsusedinourproductsat
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