102729--3/14/2006--VALMONT_INDUSTRIES_INC

related topics
{cost, regulation, environmental}
{operation, international, foreign}
{cost, operation, labor}
{regulation, government, change}
{condition, economic, financial}
{debt, indebtedness, cash}
{competitive, industry, competition}
Increases in prices and reduced availability of key raw materials such as steel, aluminum and zinc will increase our operating costs and likely reduce our profitability. Increases in energy prices will increase our operating costs and likely reduce our profitability. The ultimate consumers of our products operate in cyclical industries that have been subject to significant downturns which have adversely impacted our sales in the past and may again in the future. Demand for our engineered support structures, tubing products and coating services is highly dependent upon the overall level of infrastructure spending. We may lose some of our foreign investment or our foreign sales and profits may be reduced because of risks of doing business in foreign markets. We are subject to currency fluctuations from our international sales, which can negatively impact our reported earnings. We face strong competition in our markets. We could incur substantial costs as the result of violations of, or liabilities under, environmental laws. We may not realize the improved operating results that we anticipate from acquisitions we may make in the future, and we may experience difficulties in integrating the acquired businesses or may inherit significant liabilities related to such businesses. We have a substantial amount of outstanding indebtedness, which could impair our ability to operate our business and react to changes in our business, remain in compliance with debt covenants and make payments on our debt.

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