Texas Instruments 2008 Annual Report Download - page 52

[ 50 ] TEXAS INSTRUMENTS 2008 ANNUAL REPORT
“Safe Harbor” statement under the Private Securities Litigation Reform Act of 1995
This report includes forward-looking statements intended to qualify for the safe harbor from liability established by the Private
Securities Litigation Reform Act of 1995. These forward-looking statements generally can be identified by phrases such as TI or its
management “believes,” “expects,” “anticipates,” “foresees,” “forecasts,” “estimates” or other words or phrases of similar import.
Similarly, statements herein that describe our business strategy, outlook, objectives, plans, intentions or goals also are forward-looking
statements. All such forward-looking statements are subject to certain risks and uncertainties that could cause actual results to differ
materially from those in forward-looking statements.
We urge you to carefully consider the following important factors that could cause actual results to differ materially from the
expectations of TI or its management:
• Market demand for semiconductors, particularly in key markets such as communications, entertainment electronics and
computing;
• TI’s ability to maintain or improve profit margins, including its ability to utilize its manufacturing facilities at sufficient levels to
cover its fixed operating costs, in an intensely competitive and cyclical industry;
• TI’s ability to develop, manufacture and market innovative products in a rapidly changing technological environment;
• TI’s ability to compete in products and prices in an intensely competitive industry;
• TI’s ability to maintain and enforce a strong intellectual property portfolio and obtain needed licenses from third parties;
• Expiration of license agreements between TI and its patent licensees, and market conditions reducing royalty payments to TI;
• Economic, social and political conditions in the countries in which TI, its customers or its suppliers operate, including security
risks, health conditions, possible disruptions in transportation networks and fluctuations in foreign currency exchange rates;
• Natural events such as severe weather and earthquakes in the locations in which TI, its customers or its suppliers operate;
• Availability and cost of raw materials, utilities, manufacturing equipment, third-party manufacturing services and manufacturing
technology;
• Changes in the tax rate applicable to TI as the result of changes in tax law, the jurisdictions in which profits are determined to be
earned and taxed, the outcome of tax audits and the ability to realize deferred tax assets;
• Losses or curtailments of purchases from key customers and the timing and amount of distributor and other customer inventory
adjustments;
• Customer demand that differs from our forecasts;
• The financial impact of inadequate or excess TI inventory that results from demand that differs from projections;
• The ability of TI and its customers and suppliers to access their bank accounts and lines of credit or otherwise access the capital
markets;
• Product liability or warranty claims, claims based on epidemic or delivery failure or recalls by TI customers for a product
containing a TI part;
• TI’s ability to recruit and retain skilled personnel; and
• Timely implementation of new manufacturing technologies, installation of manufacturing equipment and the ability to obtain
needed third-party foundry and assembly/test subcontract services.
For a more detailed discussion of these factors see the Risk Factors discussion in Item 1A of our most recent Form 10-K. The forward-
looking statements included in this report are made only as of the date of publication (February 2009), and we undertake no obligation
to update the forward-looking statements to reflect subsequent events or circumstances.