1318484--4/14/2010--Citi_Trends

related topics

{stock, price, operating}

{condition, economic, financial}

{customer, product, revenue}

{operation, natural, condition}

{product, market, service}

{loan, real, estate}

{stock, price, share}

{personnel, key, retain}

{control, financial, internal}

{operation, international, foreign}

{system, service, information}

{regulation, change, law}

{provision, law, control}

{property, intellectual, protect}

{cost, operation, labor}

{acquisition, growth, future}

{competitive, industry, competition}

Our success depends on our ability to anticipate, identify and respond rapidly to changes in consumers fashion tastes, and our failure to adequately evaluate fashion trends could have an adverse effect on our business, financial condition and results of operations. in competing with our retail apparel competitors, our market share could decline or our growth could be impaired and, as a result, our financial results could suffer. We could experience a reduction in sales and cash flows if we are unable to fulfill our current and future merchandising needs. As an apparel retailer, we rely on numerous third parties in the supply chain to produce and deliver the products that we sell, and our business may be negatively impacted by their failure to comply with applicable law. If our growth strategy is unsuccessful, our financial condition and results of operations could suffer and the market price of our common stock could decline. A significant disruption to our distribution process or southeastern retail locations could have an adverse effect on our business, financial condition and results of operations. Our sales, inventory levels and earnings fluctuate on a seasonal basis, which makes our business more susceptible to adverse events that occur during the first and fourth quarters. We experience fluctuations and variability in our comparable store sales and quarterly results of operations and, as a result, the market price of our common stock may fluctuate substantially. Our sales could decline as a result of general economic and other factors outside of our control, such as changes in consumer spending patterns and declines in employment levels. If we fail to protect our trademarks, there could be a negative effect on our brand image and limitations on our ability to penetrate new markets. If we fail to implement and maintain effective internal controls in our business, there could be an adverse effect on our business, financial condition, results of operations and stock price. Adverse trade restrictions may disrupt our supply of merchandise. We also face various risks because much of our merchandise is imported from abroad. We may continue to experience market conditions that could adversely affect the valuation and liquidity of our investment portfolio. Failure to attract, train, assimilate and retain skilled personnel could have an adverse effect on our growth strategy and our financial condition. Changes in government regulations could have an adverse effect on our business, financial condition and results of operations. Increases in the minimum wage could have an adverse effect on our business, financial condition and results of operations. Any failure of our management information systems or the inability of third parties to continue to upgrade and maintain our systems could have an adverse effect on our business, financial condition and results of operations. Our ability to attract consumers to our stores depends on the success of the strip shopping centers and downtown business districts where our stores are located. Our stock price is subject to volatility. Securities analysts may not continue to cover our common stock or they may issue negative reports, and this may have an adverse impact on the price of our common stock. We do not currently intend to pay dividends on our common stock. Provisions in our certificate of incorporation and by-laws and Delaware law may delay or prevent our acquisition by a third party.

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1318484--4/14/2010--Citi_Trends_Inc