Callaway 2014 Annual Report Download - page 13

Important Notice to Investors Regarding Forward-Looking Statements: This report contains "forward-looking statements"
as defined under the Private Securities Litigation Reform Act of 1995. Forward-looking statements can be identified by words
such as: "may," "should," "will," "could," "would," "anticipate," "plan," "believe," "project," "estimate," "expect," "strategy,"
"future," "likely," "on track," and similar references to future periods. Forward-looking statements include, among others, statements
that relate to future plans, events, liquidity, financial results or performance including, but not limited to, statements relating to
future stock repurchases, cash flows and liquidity, compliance with debt covenants, estimated unrecognized stock compensation
expense, projected capital expenditures and depreciation and amortization expense, market conditions, future contractual
obligations, the realization of deferred tax assets, including loss and credit carryforwards, the reversal of the deferred tax valuation
allowance in future periods, future income tax expense, and the continued success of the Company's turnaround plan and the
Company's recovery, as well as improved financial results during 2015. These statements are based upon current information and
the Company's current beliefs, expectations and assumptions regarding the future of the Company's business, future plans and
strategies, projections, anticipated events and trends, the economy and other future conditions. Because forward-looking statements
relate to the future, they are subject to inherent uncertainties, risks and changes in circumstances that are difficult to predict and
many of which are outside of the Company's control. As a result of these uncertainties and because the information on which these
forward-looking statements is based may ultimately prove to be incorrect, actual results may differ materially from those anticipated.
Important factors that could cause actual results to differ include, among others, the following:
• certain risks and uncertainties, including changes in capital market or economic conditions, delays, difficulties, changed
strategies, or increased costs in implementing the Company’s turnaround plans;
• consumer acceptance of and demand for the Company’s products;
• future retailer purchasing activity, which can be significantly affected by adverse industry conditions and overall retail
inventory levels;
• the level of promotional activity in the marketplace;
• future consumer discretionary purchasing activity, which can be significantly adversely affected by unfavorable economic
or market conditions;
• the ability of the Company to manage international business risks;
• future changes in foreign currency exchange rates and the degree of effectiveness of the Company’s hedging programs;
• adverse changes in the credit markets or continued compliance with the terms of the Company’s credit facilities;
• delays, difficulties or increased costs in the supply of components needed to manufacture the Company’s products or in
manufacturing the Company’s products, including the Company's dependence on a limited number of suppliers for some
of its products;
• adverse weather conditions and seasonality;
• any rule changes or other actions taken by the USGA or other golf association that could have an adverse impact upon
demand or supply of the Company’s products;
• the ability of the Company to protect its intellectual property rights;
• a decrease in participation levels in golf;
• the effect of terrorist activity, armed conflict, natural disasters or pandemic diseases on the economy generally, on the
level of demand for the Company’s products or on the Company’s ability to manage its supply and delivery logistics in
such an environment; and
• the general risks and uncertainties applicable to the Company and its business.
For details concerning these and other risks and uncertainties, see Part I, Item IA, “Risk Factors” contained in this report,
as well as the Company’s other reports on Forms 10-Q and 8-K subsequently filed with the Commission from time to time. Investors
should not to place undue reliance on these forward-looking statements, which are based on current information and speak only
as of the date hereof. The Company undertakes no obligation to update any forward-looking statements to reflect new information
or events or circumstances after the date hereof or to reflect the occurrence of unanticipated events. Investors should also be aware
that while the Company from time to time does communicate with securities analysts, it is against the Company’s policy to disclose
to them any material non-public information or other confidential commercial information. Furthermore, the Company has a policy
against distributing or confirming financial forecasts or projections issued by analysts and any reports issued by such analysts are
not the responsibility of the Company. Investors should not assume that the Company agrees with any report issued by any analyst
or with any statements, projections, forecasts or opinions contained in any such report.