1058027--2/12/2008--STEELCLOUD_INC

related topics
{product, market, service}
{stock, price, operating}
{personnel, key, retain}
{financial, litigation, operation}
{stock, price, share}
{control, financial, internal}
{competitive, industry, competition}
{customer, product, revenue}
The restatements of our consolidated financial statements may subject us to actions or additional litigation which could have an adverse effect on our business, results of operations, financial condition and liquidity. Our internal control and procedures for financial reporting may not ensure that our public filings include timely and reliable financial information. We may not be able to compete successfully against current and future competitors. Rapid change in technology may cause a portion of our inventory to become obsolete. If server appliances are not increasingly adopted as a solution to meet companies computer application needs, the market for our products may not grow and the market price of our common stock could decline as a result of lower revenues or reduced investor expectations. Our future success depends in part on the continued service of our key senior management, sales, marketing, and manufacturing personnel and our ability to identify, hire and retain additional, qualified personnel. We are dependent on significant customers. Fluctuations in our quarterly operating results may cause the market price of our common stock to fluctuate. Our common stock may be subject to substantial price and volume fluctuations due to a number of factors, many of which will be beyond our control that may prevent our stockholders from reselling our Common Stock at a profit. If our common stock is delisted from the Nasdaq Capital Market, the market price of our common stock could decrease significantly.

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