1268671--3/17/2008--TNS

related topics

{product, market, service}

{system, service, information}

{acquisition, growth, future}

{customer, product, revenue}

{property, intellectual, protect}

{regulation, change, law}

{stock, price, operating}

{personnel, key, retain}

{financial, litigation, operation}

{debt, indebtedness, cash}

{cost, contract, operation}

We derive a substantial portion of our revenue from a small number of customers. If one or more of our top five customers were to cease doing business with us, or to substantially reduce its dealings with us, our revenues and earnings could decline. We face significant pressure on the prices for our services from our competitors and customers. Our failure to sustain pricing could impair our ability to maintain profitability or positive cash flow. Our POS business is highly dependent upon our customers' transaction volumes and our ability to expand into new markets. Our strategy to expand internationally may fail, which may impede our growth and harm our operating results. We conduct business in many international markets with complex and evolving tax rules, which subjects us to international tax compliance risks. Our customers may develop in-house networks and divert part or all of their data communications from our networks to their networks. Our reliance on a limited number of telecommunication services providers exposes us to a number of risks over which we have no control, including risks with respect to increased prices and termination of essential services. A slowdown or failure of our networks could cause us to lose customers and revenue. We depend on a limited number of network equipment suppliers and do not have supply contracts. Our inability to obtain necessary network equipment or technical support could harm our business. We may experience fluctuations in quarterly results because of the seasonal nature of our business and other factors outside of our control, which could cause the market price of our common stock to decline. We may not be able to adapt to changing technology and our customers' technology needs. We may be unable to protect our proprietary technology, which would allow competitors to duplicate our services. This would make it more difficult for us to compete with them. We may face claims of infringement of proprietary rights, which could harm our business and operating results. Future acquisitions and investments could negatively affect our operating results and could dilute the interests of existing stockholders. We may not have adequate resources to meet demands resulting from growth. We may lack the capital required to maintain our competitive position or to sustain our growth. Our substantial debt could adversely affect our financial health. If we do not compete effectively, we may lose market share to competitors and suffer a decline in revenues. We depend on key personnel. Regulatory changes may increase our costs or impair our growth. We face risks related to securities litigation that could have a material adverse effect on our business, financial position and results of operations.

Full 10-K form ▸

1268671--3/17/2008--TNS_INC