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TEXAS INSTRUMENTS 2010 ANNUAL REPORT
48
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“Safe Harbor” Statement under the Private Securities Litigation Reform Act of 1995:
This report includes forward-looking statements intended to qualify for the safe harbor from liability established by the Private
Securities Litigation Reform Act of 1995. These forward-looking statements generally can be identified by phrases such as TI or its
management “believes,” “expects,” “anticipates,” “foresees,” “forecasts,” “estimates” or other words or phrases of similar import.
Similarly, statements herein that describe TI’s business strategy, outlook, objectives, plans, intentions or goals also are forward-looking
statements. All such forward-looking statements are subject to certain risks and uncertainties that could cause actual results to differ
materially from those in forward-looking statements.
We urge you to carefully consider the following important factors that could cause actual results to differ materially from the
expectations of TI or its management:
•฀ ฀Market฀demand฀for฀semiconductors,฀particularly฀in฀key฀markets฀such฀as฀communications,฀computing,฀industrial฀and฀consumer฀
electronics;
•฀ ฀TI’s฀ability฀to฀maintain฀or฀improve฀profit฀margins,฀including฀its฀ability฀to฀utilize฀its฀manufacturing฀facilities฀at฀sufficient฀levels฀to฀
cover its fixed operating costs, in an intensely competitive and cyclical industry;
•฀ ฀TI’s฀ability฀to฀develop,฀manufacture฀and฀market฀innovative฀products฀in฀a฀rapidly฀changing฀technological฀environment;฀
•฀ ฀TI’s฀ability฀to฀compete฀in฀products฀and฀prices฀in฀an฀intensely฀competitive฀industry;฀
•฀ ฀TI’s฀ability฀to฀maintain฀and฀enforce฀a฀strong฀intellectual฀property฀portfolio฀and฀obtain฀needed฀licenses฀from฀third฀parties;฀
•฀ ฀Expiration฀of฀license฀agreements฀between฀TI฀and฀its฀patent฀licensees,฀and฀market฀conditions฀reducing฀royalty฀payments฀to฀TI;฀
•฀ ฀Economic,฀social฀and฀political฀conditions฀in฀the฀countries฀in฀which฀TI,฀its฀customers฀or฀its฀suppliers฀operate,฀including฀security฀
risks, health conditions, possible disruptions in transportation networks and fluctuations in foreign currency exchange rates;
•฀ ฀Natural฀events฀such฀as฀severe฀weather฀and฀earthquakes฀in฀the฀locations฀in฀which฀TI,฀its฀customers฀or฀its฀suppliers฀operate;฀
•฀ ฀Availability฀and฀cost฀of฀raw฀materials,฀utilities,฀manufacturing฀equipment,฀third-party฀manufacturing฀services฀and฀manufacturing฀
technology;
•฀ ฀Changes฀in฀the฀tax฀rate฀applicable฀to฀TI฀as฀the฀result฀of฀changes฀in฀tax฀law,฀the฀jurisdictions฀in฀which฀profits฀are฀determined฀to฀be฀
earned and taxed, the outcome of tax audits and the ability to realize deferred tax assets;
•฀ ฀Changes฀in฀laws฀and฀regulations฀to฀which฀TI฀or฀its฀suppliers฀are฀or฀may฀become฀subject,฀such฀as฀those฀imposing฀fees฀or฀reporting฀
or substitution costs relating to the discharge of emissions into the environment or the use of certain raw materials in our
manufacturing processes;
•฀ ฀Losses฀or฀curtailments฀of฀purchases฀from฀key฀customers฀and฀the฀timing฀and฀amount฀of฀distributor฀and฀other฀customer฀inventory฀
adjustments;
•฀ ฀Customer฀demand฀that฀differs฀from฀our฀forecasts;฀
•฀ ฀The฀financial฀impact฀of฀inadequate฀or฀excess฀TI฀inventory฀that฀results฀from฀demand฀that฀differs฀from฀projections;฀
•฀ ฀Impairments฀of฀our฀non-financial฀assets;฀
•฀ ฀Product฀liability฀or฀warranty฀claims,฀claims฀based฀on฀epidemic฀or฀delivery฀failure฀or฀recalls฀by฀TI฀customers฀for฀a฀product฀
containing a TI part;
•฀ ฀TI’s฀ability฀to฀recruit฀and฀retain฀skilled฀personnel;฀and฀
•฀ ฀Timely฀implementation฀of฀new฀manufacturing฀technologies,฀installation฀of฀manufacturing฀equipment฀and฀the฀ability฀to฀obtain฀
needed third-party foundry and assembly/test subcontract services.
For a more detailed discussion of these factors see the Risk Factors discussion in Item 1A of our most recent Form 10-K. The
forward-looking statements included in this report are made only as of the date of publication of this report (March 2011), and we
undertake no obligation to update the forward-looking statements to reflect subsequent events or circumstances.