Petsmart 2007 Annual Report Download - page 23

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Fluctuations in the stock market, as well as general economic and market conditions may impact our
operations, sales, financial results and market price of our common stock.
Over the last several years, the market price of our common stock has been subject to significant fluctuations.
The market price of our common stock may continue to be subject to significant fluctuations in response to the
impact on our operations, sales and financial results of a variety of factors including, but not limited to:
• General economic changes;
• Actions taken by our competitors, including new product introductions and pricing changes;
• Changes in the strategy and capability of our competitors;
• Our ability to successfully integrate acquisitions;
• The prospects of our industry;
• Natural disasters, hostilities and acts of terrorism; and
• National or regional catastrophes or circumstances, such as a pandemic or other public health or welfare
scare.
In addition, the stock market in recent years has experienced price and volume fluctuations that often have
been unrelated or disproportionate to the operating performance of companies. These fluctuations, as well as
general economic and market conditions, including but not limited to those listed above, may harm the market price
of our common stock.
Our operating and financial performance in any given period may differ from the guidance we have
provided to the public.
We provide public guidance on our expected operating and financial results for future periods. Although we
believe that this guidance provides investors and analysts with a better understanding of management’s expectations
for the future and is useful to our stockholders and potential stockholders, such guidance is comprised of forward-
looking statements subject to the risks and uncertainties described in this report and in our other public filings and
public statements. If our operating or financial results for a particular period differ from our guidance or the
expectations of investment analysts, or if we change our guidance for future periods, the market price of our
common stock could decline.
We have implemented some anti-takeover provisions that may prevent or delay an acquisition of us that may
not be beneficial to our stockholders.
Our restated certificate of incorporation and bylaws include provisions that may delay, defer or prevent a change
in management or control that our stockholders may not believe is in their best interests. These provisions include:
• A classified board of directors consisting of three classes;
• The ability of our board of directors to issue, without stockholder approval, up to 10,000,000 shares of
preferred stock in one or more series with rights, obligations and preferences determined by the board of
directors;
• No right of stockholders to call special meetings of stockholders;
• No right of stockholders to act by written consent;
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