23217--7/28/2006--CONAGRA_FOODS_INC_/DE/

related topics
{product, market, service}
{cost, regulation, environmental}
{competitive, industry, competition}
{product, liability, claim}
{system, service, information}
{regulation, government, change}
The Company must identify changing consumer preferences and develop and offer food products to meet their preferences. If the Company does not achieve the appropriate cost structure in the highly competitive food industry, its profitability could decrease. Increased competition may result in reduced sales or margin for the Company. The consolidation of the Company s customers has resulted in large sophisticated customers with increased buying power. The Company may be subject to product liability claims and product recalls, which could negatively impact its profitability. Commodity price increases will increase operating costs and may reduce profits. The Company s information technology resources must provide efficient connections between its business functions, or its results of operations will be negatively impacted. If the Company fails to comply with the many laws applicable to its business, it may incur significant fines and penalties.

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