1308085--4/1/2009--VISANT

related topics

{debt, indebtedness, cash}

{customer, product, revenue}

{condition, economic, financial}

{regulation, government, change}

{system, service, information}

{acquisition, growth, future}

{competitive, industry, competition}

{cost, operation, labor}

{operation, natural, condition}

{cost, contract, operation}

{personnel, key, retain}

{product, market, service}

{property, intellectual, protect}

{stock, price, operating}

{cost, regulation, environmental}

Risks Relating to Our Business If we fail to implement our business strategy, our business, financial condition and results of operations could be materially and adversely affected. We may not be able to consummate additional acquisitions and dispositions on acceptable terms, and future acquisitions and dispositions may be disruptive. The recent global market and economic conditions, as well as the effects of these conditions on our material suppliers and customers businesses and their demand for our products and services, could have an adverse effect on our business, results of operations and access to capital. We are subject to direct competition in each of our respective industries which may have an adverse effect on our business, financial condition and results of operations. We are subject to fluctuations in the cost and availability of raw materials and the possible loss of suppliers. The seasonality of our industries could have a material adverse effect on our business, financial condition and results of operations. A substantial decrease or interruption in business from our significant customers could adversely affect our business, financial condition and results of operations. Changes in Jostens relationships with its independent sales representatives may adversely affect our business, financial condition and results of operations. Our businesses depend on numerous complex information systems, and any failure to successfully maintain these systems or implement new systems could materially harm our operations. We may be required to make significant capital expenditures for our businesses in order to remain technologically and economically competitive. Our businesses are subject to changes arising from developments in technology that could render our products obsolete or reduce product consumption. Any disruption at our principal production facilities could adversely affect our results of operations. Actions taken by the U.S. Postal Service could have a material adverse effect on our business. A deterioration in labor relations or labor availability could have an adverse impact on our operations. We are subject to environmental obligations and liabilities that could impose substantial costs upon us and may adversely affect our financial results and our ability to service our debt. We are subject to risks that our intellectual property may not be adequately protected, and we may be adversely affected by the intellectual property rights of others. Changes in the rules and regulations to which we and our customers are subject may impact demand for our products and services. Our results of operations in our educational textbook cover and component business are subject to variations due to the textbook adoption cycle and government funding for education spending. Declines in the market value of the securities held by our pension plans could materially reduce the funded status of the plans and affect the level of pension expense and required contributions in future years. Our controlling stockholders, affiliates of Kohlberg Kravis Roberts Co. L.P. ( KKR ) and DLJ Merchant Banking Partners III, L.P. ( DLJMBP III and together with KKR, the Sponsors ), may have interests that conflict with other investors. We are dependent upon certain members of our senior management. Risks Relating to Our Indebtedness Our high level of indebtedness could adversely affect our cash flow and our ability to operate our business, limit our ability to react to changes in the economy or our industry and prevent us from meeting our obligations with respect to our indebtedness. To service our indebtedness, we will require a significant amount of cash. Our ability to generate cash depends on many factors beyond our control, and any failure to meet our debt service obligations could harm our business, financial condition and results of operations. Repayment of our debt, including the Visant term loans, revolving credit facilities, Visant senior subordinated notes and the Holdings senior notes and senior discount notes, is dependent on cash flow generated by our subsidiaries. Restrictive covenants in our and our subsidiaries debt instruments may restrict our current and future operations, particularly our ability to respond to changes in our business or to take certain actions.

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1308085--4/1/2009--VISANT_CORP