1054290--4/2/2007--US_LEC

related topics

{system, service, information}

{financial, litigation, operation}

{personnel, key, retain}

{condition, economic, financial}

{competitive, industry, competition}

The Company s success depends on its ability to manage and expand operations effectively. The Company faces intense competition that could adversely affect its business. The loss of key personnel could adversely affect the Company s operations and growth. A failure to manage processes and systems for ordering, provisioning and billing effectively, or the failure of third parties to deliver these services on a timely and accurate basis, could have a material adverse effect on the Company s ability to retain existing customers or to attract and retain new customers. A failure to operate switches and other network equipment successfully could have a material adverse effect on the Company s operations and the ability to attract and retain customers or to enter additional markets. We and other industry participants are frequently involved in disputes over issues that are important to our financial and operational success. Further legislation and regulatory rulemaking is expected to occur as the industry continues to deregulate and as we enter new markets or offer new products. Rulings or legislation adverse to us could have a material adverse effect on our operations and financial well being. There are significant uncertainties about the future availability and pricing of unbundled network elements and related elements from incumbent local exchange carriers. If the FCC Adopts the Missoula Plan or otherwise changes its rules on intercompany compensation, our results of operations, cash flow and financial condition could be negatively affected. System disruptions could cause delays or interruptions of service, which could cause the Company to lose customers.

Full 10-K form ▸

1054290--4/2/2007--US_LEC_CORP