Western Union 2006 Annual Report Download - page 34

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WESTERN UNION 2006 Annual Report 32
|| Forward-Looking Statements
This Annual Report and materials we have filed or will file
with the Securities and Exchange Commission (the “SEC”)
(as well as information included in our other written or oral
statements) contain or will contain certain statements that
are forward-looking within the meaning of the Private
Securities Litigation Reform Act of 1995. These statements
are not guarantees of future performance and involve
certain risks, uncertainties and assumptions that are difficult
to predict. Actual outcomes and results may differ materially
from those expressed in, or implied by, our forward-looking
statements. Words such as “expects,” “intends,”
“anticipates,” “believes,” “estimates” and other similar
expressions or future or conditional verbs such as “will,”
“should,” “would” and “could” are intended to identify
such forward-looking statements. You should not rely solely
on the forward-looking statements and should consider all
uncertainties and risks, as described under “Risk Factors”
in our Annual Report on Form 10-K filed with the SEC on
February 27, 2007. The statements are only as of the date
they are made, and we undertake no obligation to update
any forward-looking statement.
Possible events or factors that could cause results or
performance to differ materially from those expressed in
our forward-looking statements include the following:
|| changes in general economic conditions and
economic conditions in the geographic regions
and industries in which we operate;
|| the impact of our spin-off from First Data Corporation;
|| changes in immigration laws, patterns and other
factors related to immigrants;
|| technological changes, particularly with respect
to e-commerce;
|| our ability to attract and retain qualified key
employees;
|| changes in foreign exchange rates, including
the impact of foreign exchange spreads on money
transfer transactions;
|| adverse movements and volatility in debt and
equity capital markets;
|| political conditions and related actions by the United
States and abroad which may adversely affect our
businesses and economic conditions as a whole;
|| continued growth in the money transfer market
and other markets in which we operate at rates
approximating recent levels;
|| deterioration in consumers’ confidence in
our business, or in traditional money transfer
providers generally;
|| our ability to maintain our agent network;
|| successfully managing credit and fraud risks
from our agents and consumers;
|| liabilities resulting from litigation and
regulatory investigations, including costs,
expenses, settlements and judgments;
|| our ability to protect our brands and our other
intellectual property rights and to defend ourselves
against potential patent infringement claims;
|| changes in domestic or foreign laws, rules
and regulations as well as Internal Revenue
Service or other governmental agencies’
interpretations thereof;
|| changes in accounting standards, rules
and interpretations;
|| competition with banks and other nonbank
money transfer services providers;
|| our ability to grow our core businesses;
|| our ability to develop and introduce new
products, services and enhancements, and
gain market acceptance of such products;
|| mergers, acquisitions and integration of acquired
businesses into our company;
|| decisions to downsize, sell or close units or
otherwise change the business mix;
|| any material breach of security of our systems
or interruptions in our systems;
|| catastrophic events; and
|| management’s ability to manage these
and other risks.
|| Selected Financial Data
The financial information in this Annual Report is presented
on a consolidated basis and includes the accounts of The
Western Union Company (“Western Union” or the “Company”)
and its majority-owned subsidiaries. The financial information
for the periods presented prior to the spin-off by First
Data Corporation (“First Data”) of its money transfer and
consumer payments businesses on September 29, 2006
through a distribution of 100% of the common stock of
the Company to holders of record of First Data’s common
stock (the “Distribution”) is presented on a combined
basis and represents those entities that were ultimately
transferred to the Company as part of the spin-off. The
assets and liabilities presented have been reflected on a
historical basis, as prior to the Distribution such assets and
liabilities presented were 100% owned by First Data.
However, the financial statements for the periods presented
prior to the Distribution do not include all of the actual
expenses that would have been incurred had Western Union
been a stand-alone entity during the periods presented
and do not reflect Western Union’s combined results of
operations, financial position and cash flows had Western
Union been a stand-alone company during the periods
presented.