Texas Instruments 2015 Annual Report Download - page 73

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FORM 10-K
Notice regarding forward-looking statements
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 TI’s 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 markets such as personal electronics and communications equipment;
•฀ 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, communications and information technology networks and
fluctuations in foreign currency exchange rates;
•฀ Natural events such as health epidemics, 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;
•฀ Compliance with or changes in the complex laws, rules and regulations to which TI is or may become subject, or actions of
enforcement authorities, that restrict our ability to manufacture our products or operate our business, or subject us to fines,
penalties, or other legal liability;
•฀ Losses or curtailments of purchases from key customers and the timing and amount of distributor and other customer inventory
adjustments;
•฀ Financial difficulties of our distributors or their promotion of competing product lines to TI’s detriment;
•฀ A loss suffered by a customer or distributor of TI with respect to TI-consigned inventory;
•฀ Customer demand that differs from our forecasts;
•฀ The financial impact of inadequate or excess TI inventory that results from demand that differs from projections;
•฀ Impairments of our non-financial assets;
•฀ Product liability or warranty claims, claims based on epidemic or delivery failure, recalls by TI customers for a product containing
a TI part or other legal proceedings;
•฀ TI’s ability to recruit and retain skilled personnel;
•฀ Timely implementation of new manufacturing technologies and installation of manufacturing equipment, and the ability to obtain
needed third-party foundry and assembly/test subcontract services;
•฀ TI’s obligation to make principal and interest payments on its debt;
•฀ TI’s ability to successfully integrate and realize opportunities for growth from acquisitions, and our ability to realize our
expectations regarding the amount and timing of restructuring charges and associated cost savings; and
•฀ Breaches of our information technology systems or those of our customers or suppliers.
For a more detailed discussion of these factors see the Risk Factors discussion in Item 1A of this report. The forward-looking statements
included in this report are made only as of the date of this report and we undertake no obligation to update the forward-looking
statements to reflect subsequent events or circumstances.