McKesson 2011 Annual Report Download - page 17

McKESSON CORPORATION
11
Forward-Looking Statements
This Annual Report to Stockholders, including the Chairman’s 2011 letter, “Management’s Discussion and
Analysis of Financial Condition and Results of Operations” in Item 7 of Part II of this report and the “Risk Factors”
in Item 1A of Part I of this report, contains forward-looking statements within the meaning of section 27A of the
Securities Act of 1933, as amended and section 21E of the Securities Exchange Act of 1934, as amended. Some of
these statements can be identified by use of forward-looking words such as “believes,” “expects,” “anticipates,”
“may,” “will,” “should,” “seeks,” “approximately,” “intends,” “plans” or “estimates,” or the negative of these
words, or other comparable terminology. The discussion of financial trends, strategy, plans or intentions may also
include forward-looking statements. Forward-looking statements involve risks and uncertainties that could cause
actual results to differ materially from those projected, anticipated, or implied. Although it is not possible to predict
or identify all such risks and uncertainties, they may include, but are not limited to, the factors discussed in Item 1A
of Part I of this report under “Risk Factors.” The reader should not consider the list to be a complete statement of all
potential risks and uncertainties.
These and other risks and uncertainties are described herein and in other information contained in our publicly
available SEC filings and press releases. Readers are cautioned not to place undue reliance on these forward-
looking statements, which speak only as of the date such statements were first made. Except to the extent required
by federal securities laws, we undertake no obligation to publicly release the result of any revisions to these forward-
looking statements to reflect events or circumstances after the date hereof, or to reflect the occurrence of
unanticipated events.
Item 1A. Risk Factors
The risks described below could have a material adverse impact on our financial position, results of operations,
liquidity and cash flows. Although it is not possible to predict or identify all such risks and uncertainties, they may
include, but are not limited to, the factors discussed below. Our business operations could also be affected by
additional factors that are not presently known to us or that we currently consider not to be material to our
operations. The reader should not consider this list to be a complete statement of all risks and uncertainties.
We are subject to legal proceedings that could have a material adverse impact on our financial position and
results of operations.
From time-to-time and in the ordinary course of our business, we and certain of our subsidiaries may become
involved in various legal proceedings involving antitrust, commercial, employment, environmental, intellectual
property, regulatory, tort and other various claims. All such legal proceedings are inherently unpredictable, and the
outcome can result in excessive verdicts and/or injunctive relief that may affect how we operate our business or we
may enter into settlements of claims for monetary damages. In some cases, substantial non-economic remedies or
punitive damages may be sought. For some complaints filed against the Company, we are currently unable to
estimate the amount of possible losses that might be incurred should these legal proceedings be resolved against the
Company.
The outcome of litigation and other legal matters is always uncertain and outcomes that are not justified by the
evidence or existing law can occur. The Company believes that it has valid defenses to the legal matters pending
against it and is defending itself vigorously. Nevertheless, it is possible that resolution of one or any combination of
more than one legal matter could result in a material adverse impact on our financial position or results of
operations. For example, we are involved in a number of legal proceedings described in Financial Note 17, “Other
Commitments and Contingent Liabilities,” to the accompanying consolidated financial statements that could have
such an impact, including class actions and other legal proceedings alleging that we engaged in illegal conduct that
caused average wholesale prices to rise for certain prescription drugs during specified periods.
Litigation is costly, time-consuming and disruptive to normal business operations. The defense of these matters
could also result in continued diversion of our management’s time and attention away from business operations,
which could also harm our business. Even if these matters are not resolved against us, the uncertainty and expense
associated with unresolved legal proceedings could harm our business and reputation. For additional information
regarding certain of the legal proceedings in which we are involved, see Financial Note 17, “Other Commitments
and Contingent Liabilities,” to the accompanying consolidated financial statements.