1144528--11/22/2006--ARAMARK

related topics

{customer, product, revenue}

{cost, regulation, environmental}

{debt, indebtedness, cash}

{acquisition, growth, future}

{competitive, industry, competition}

{cost, contract, operation}

{condition, economic, financial}

{cost, operation, labor}

{regulation, government, change}

{operation, international, foreign}

{personnel, key, retain}

{stock, price, operating}

{financial, litigation, operation}

Unfavorable economic conditions and increased operating costs adversely affect our results of operations and financial condition. Our business may suffer if we are unable to hire and retain sufficient qualified personnel or if labor costs increase. Our expansion strategy involves risks. If we fail to comply with requirements imposed by applicable law or other governmental regulations, we could become subject to lawsuits and other liabilities and restrictions on our operations that could significantly and adversely affect our business. Changes in or new interpretations of the governmental regulatory framework may affect our contract terms and may reduce our sales or profits. Our failure to retain our current clients and renew our existing client contracts could adversely affect our business. We may be adversely affected if customers reduce their outsourcing or use of preferred vendors. Our international business results are influenced by currency fluctuations and other risks that could have an effect on our results of operations and financial condition. Our operations are seasonal and quarter to quarter comparisons may not be a good indicator of our performance. Our indebtedness may restrict certain growth opportunities. Further unionization of our workforce may increase our costs. Environmental regulations may subject us to significant liability and limit our ability to grow. Competition in our industry could adversely affect our results of operations. Sales of sports, entertainment and recreational services would be adversely affected by a decline in attendance at client facilities or by a reduction or cessation of events. The pricing and cancellation terms of our food and support services contracts may constrain our ability to recover costs and to make a profit on our contracts. Our business is contract intensive and may lead to client disputes. Claims of illness or injury associated with the service of food and beverage to the public could adversely affect us. In fiscal 2006, one distributor provided approximately 53% of our food and non-food products in the United States and Canada, and if our relationship or their business were to be disrupted, we could experience disruptions to our operations and cost structure in such countries. Governmental regulations relating to food and beverages may subject us to significant liability. Competition in the uniform rental industry could adversely affect our results of operations. Economic and business conditions affecting our customer base and our operating costs could negatively impact our sales and operating results. Risks Associated with the Merger If the Merger is not completed, there may be a negative impact on our ongoing business. If we complete the merger and the related transactions, we will be a highly leveraged company and our substantial leverage could adversely affect our operations. Our debt agreements after the Merger will contain restrictions that will limit our flexibility in operating our business.

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1144528--11/22/2006--ARAMARK_CORP/DE