Paychex 2011 Annual Report Download - page 17

PART I
“SAFE HARBOR” STATEMENT UNDER THE PRIVATE SECURITIES LITIGATION REFORM ACT
OF 1995
Certain written and oral statements made by management of Paychex, Inc. and its wholly owned subsidiaries
(“we,” “our,” “us,” “Paychex,” or the “Company”) may constitute “forward-looking statements” as defined in the
Private Securities Litigation Reform Act of 1995 (the “Reform Act”). Forward-looking statements are identified by
such words and phrases as “we expect,” “expected to,” “estimates,” “estimated,” “current outlook,” “we look
forward to,” “would equate to,” “projects,” “projections,” “projected to be,” “anticipates,” “anticipated,” “we
believe,” “could be,” and other similar phrases. All statements addressing operating performance, events, or
developments that we expect or anticipate will occur in the future, including statements relating to revenue growth,
earnings, earnings-per-share growth, or similar projections, are forward-looking statements within the meaning of
the Reform Act. Because they are forward-looking, they should be evaluated in light of important risk factors. These
risk factors include, but are not limited to, the following risks as well as those described in “Risk Factors” under
Item 1A and elsewhere in this Annual Report on Form 10-K (“Form 10-K”):
• general market and economic conditions including, among others, changes in United States (“U.S.”)
employment and wage levels, changes in new hiring trends, legislative changes to stimulate the economy,
changes in short- and long-term interest rates, changes in the fair value and the credit rating of securities held
by us, and accessibility of financing;
• changes in demand for our services and products, ability to develop and market new services and products
effectively, pricing changes and the impact of competition, and the availability of skilled workers;
• changes in the laws regulating collection and payment of payroll taxes, professional employer organizations,
and employee benefits, including retirement plans, workers’ compensation, health insurance, state unem-
ployment, and section 125 plans;
• changes in workers’ compensation rates and underlying claims trends;
• the possibility of failure to keep pace with technological changes and provide timely enhancements to
services and products;
• the possibility of failure of our operating facilities, computer systems, and communication systems during a
catastrophic event;
• the possibility of third-party service providers failing to perform their functions;
• the possible failure of internal controls or our inability to implement business processing improvements; and
• potentially unfavorable outcomes related to pending legal matters.
Any of these factors could cause our actual results to differ materially from our anticipated results. The
information provided in this Form 10-K is based upon the facts and circumstances known at this time. We undertake
no obligation to update these forward-looking statements after the date of filing of this Form 10-K with the
Securities and Exchange Commission (“SEC” or “Commission”) to reflect events or circumstances after such date,
or to reflect the occurrence of unanticipated events.
Item 1. Business
We are a leading provider of payroll, human resource, and benefits outsourcing solutions for small- to medium-
sized businesses. As of May 31, 2011, we serviced approximately 564,000 clients and had approximately
12,400 employees. We maintain our corporate headquarters in Rochester, New York, and have more than 100
offices nationwide.
As of May 31, 2011, we serviced approximately 1,900 clients in Germany through four offices.
Our company was formed as a Delaware corporation in 1979. We report our results of operations and financial
condition as one business segment. Our fiscal year ends May 31.
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