16040--12/14/2006--CABOT_CORP

related topics
{cost, contract, operation}
{operation, international, foreign}
{cost, regulation, environmental}
{cost, operation, labor}
{property, intellectual, protect}
{customer, product, revenue}
{financial, litigation, operation}
{operation, natural, condition}
{acquisition, growth, future}
{tax, income, asset}
Changes in supply-demand balance at our plants and the industries in which we operate may adversely affect our financial results. We depend on a group of key customers for a significant portion of our sales. A significant adverse change in a customer relationship or in a customer s performance or financial position could harm our business and financial condition. Increases in the price of raw materials or their reduced availability could increase our cost of goods and decrease our profitability. Fluctuations in foreign currency exchange and interest rates could affect our financial results. We are exposed to political or country risk inherent in doing business in some countries. Plant capacity expansions may be delayed and not achieve the expected benefits. Our efforts to maintain or increase our margins may not be successful. We spend a significant amount of money developing new businesses. Any failure to realize benefits from joint ventures, acquisitions or alliances could adversely affect future financial results. We may be required to impair or write-off certain assets if our assumptions about future sales and profitability prove incorrect. Our operations involve the handling of hazardous materials, and we are subject to extensive safety, health and environmental requirements, which could increase our costs and/or reduce our revenues. Litigation or legal proceedings could expose us to significant liabilities and thus negatively affect our financial results. The continued protection of our patents and other proprietary intellectual property rights are important to our success. Changes in our effective tax rate may have an adverse effect on our results of operations. Natural disasters could affect our operations and financial results Our business is subject to other general business risks.

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