20629--6/1/2010--CSS_INDUSTRIES

related topics

{operation, international, foreign}

{condition, economic, financial}

{cost, operation, labor}

{acquisition, growth, future}

{operation, natural, condition}

{property, intellectual, protect}

{personnel, key, retain}

{system, service, information}

{debt, indebtedness, cash}

{capital, credit, financial}

{competitive, industry, competition}

{cost, regulation, environmental}

Increases in raw material and energy costs, resulting from general economic conditions, acts of nature, such as hurricanes, earthquakes or pandemics, or other factors, may raise our cost of goods sold and adversely affect our business, results of operations and financial condition. Risks associated with our use of foreign suppliers may adversely affect our business, results of operations and financial condition. Increased overseas sourcing by our competitors and our customers may reduce our market share and profit margins, adversely affecting our business, results of operations and financial condition. Difficulties encountered by our key customers may cause them to reduce their purchases from us and/or increase our exposure to losses from bad debts, and adversely affect our business, results of operations and financial condition. Our business, results of operations and financial condition may be adversely affected by volatility in the demand for our products. Our business, results of operations and financial condition may be adversely affected if we are unable to compete successfully against our competitors. Our business, results of operations and financial condition may be adversely affected if we are unable to hire and retain sufficient qualified personnel. Our business, results of operations and financial condition may be adversely affected if we fail to extend or renegotiate our collective bargaining contracts with our labor unions as they expire from time to time, or if our unionized employees were to engage in a strike, or other work stoppage. Employee benefit costs may adversely affect our business, results of operations and financial condition. Our acquisition strategy involves risks, and difficulties in integrating potential acquisitions may adversely affect our business, results of operations and financial condition. Our inability to protect our intellectual property rights, or infringement claims asserted against us by others, may adversely affect our business, results of operations and financial condition. Various laws and governmental regulations applicable to a manufacturer or distributor of consumer products may adversely affect our business, results of operations and financial condition. Our business, results of operations and financial condition may be adversely affected by national or global changes in economic or political conditions. Our business, results of operations and financial condition may be adversely affected by our ability to successfully implement our enterprise resource planning systems standardization project. We are subject to a number of restrictive covenants under our borrowing and accounts receivable securitization financing arrangements, including customary operating restrictions and customary financial covenants. Our business, results of operations and financial condition may be adversely affected if we are unable to maintain compliance with such covenants.

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20629--6/1/2010--CSS_INDUSTRIES_INC