Polaris 2011 Annual Report Download - page 41

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Item 3. Legal Proceedings
On January 5, 2010, Fabiola Esparza (Plaintiff) sued Polaris in California State District Court in Los
Angeles County. In her Complaint, Plaintiff alleges that she was injured in a July 4, 2008 accident involving a
collision between a 2001 Polaris Virage personal watercraft (PWC) and a boat. Plaintiff was a passenger on the
PWC at the time of the accident and incurred serious, permanent injuries as a result of the accident. Plaintiff
alleges that the PWC was defective and unreasonably dangerous in that it lacked sufficient steerage while being
operated off-throttle and lacked sufficient warnings regarding this alleged condition. Plaintiff is seeking general,
special, and punitive damages. The case is currently scheduled for trial on May 8, 2012. Management believes
the claim to be without merit and intends to defend vigorously against this action but there can be no assurance
that the ultimate outcome of the lawsuit will be favorable to us or that the defense of the suit or its outcome will
not have a material adverse effect on our financial condition.
We are involved in a number of other legal proceedings incidental to our business, none of which is
expected to have a material effect on the financial results of our business.
Item 4. Mine Safety Disclosures
Not applicable.
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