Cracker Barrel 2013 Annual Report Download - page 13
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Please find page 13 of the 2013 Cracker Barrel annual report below. You can navigate through the pages in the report by either clicking on the pages listed below, or by using the keyword search tool below to find specific information within the annual report.• Our reliance on certain signicant vendors, particularly
for foreign-sourced retail products, subjects us to numerous
risks, including possible interruptions in supply, which
could adversely aect our business.
• Our ability to manage our retail inventory levels
and changes in merchandise mix may adversely aect
our business.
• Our plans depend signicantly on initiatives designed to
improve the eciencies, costs and eectiveness of our
operations, and failure to achieve or sustain these plans
could adversely aect our results of operations.
• Our capital structure contains substantial indebtedness,
which may decrease our exibility, increase our borrowing
costs and adversely aect our liquidity. In addition, we
cannot provide any guaranty of future cash dividend
payments or that we will be able to repurchase our
common stock pursuant to our share repurchase program.
• Our advertising is heavily dependent on billboards, which
are highly regulated; our evolving marketing strategy poses
a risk of increased advertising and marketing costs that
could adversely aect our results of operations.
• We outsource certain business processes to third-party
vendors that subject us to risks, including disruptions in
business and increased costs; our use of third party
technologies has increased and if we are unable to maintain
our rights to these technologies our business may be harmed.
• Our business is somewhat seasonal and also can be aected
by extreme weather conditions and natural disasters.
• If we fail to execute our business strategy, which includes
our ability to nd new store locations and open new stores
that are protable, our business could suer.
• Individual store locations are aected by local conditions
that could change and adversely aect the carrying value of
those locations.
• Health concerns, government regulation relating to the
consumption of food products and widespread infectious
diseases could aect consumer preferences and could
negatively aect our results of operations.
• Failure to maximize or to successfully assert our intellectual
property rights could adversely aect our business and
results of operations.
• Litigation may adversely aect our business, nancial
condition and results of operations.
• Unfavorable publicity could harm our business.
• e loss of key executives or diculties in recruiting and
retaining qualied personnel could jeopardize our future
growth and success.
• We are subject to a number of risks relating to federal, state
and local regulation of our business, including the areas of
health care reform and environmental maers, and an insuf-
cient or ineective response to government regulation
may increase our costs and decrease our prot margins.
• Our current insurance programs may expose us to
unexpected costs, which could have a material adverse
eect on our nancial condition and results of operations.
• A material disruption in our information technology,
network infrastructure and telecommunication
systems could adversely aect our business and results
of operations.
• A privacy breach could adversely aect our business.
• Our reported results can be aected adversely and unexpect-
edly by the implementation of new, or changes in the
interpretation of existing, accounting principles or nancial
reporting requirements.
• Failure of our internal control over nancial reporting could
adversely aect our business and nancial results.
• Our annual and quarterly operating results may uctuate
signicantly and could fall below the expectations of
investors and securities analysts due to a number of factors,
some of which are beyond our control, resulting either in
volatility or a decline in the price of our securities.
• Our business could be negatively aected as a result of a
proxy ght and the actions of activist shareholders.
• Provisions in our charter, Tennessee law and our share-
holder rights plan may discourage potential acquirers of
our company.
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