64670--6/23/2009--MEDTRONIC

related topics

{regulation, government, change}

{customer, product, revenue}

{product, liability, claim}

{product, market, service}

{system, service, information}

{condition, economic, financial}

{loss, insurance, financial}

{property, intellectual, protect}

{operation, international, foreign}

{acquisition, growth, future}

{regulation, change, law}

{financial, litigation, operation}

The medical device industry is highly competitive and we may be unable to compete effectively. Reduction or interruption in supply and an inability to develop alternative sources for supply may adversely affect our manufacturing operations and related product sales. Our industry is experiencing greater scrutiny and regulation by governmental authorities, which may lead to greater governmental regulation in the future. We are subject to many laws and governmental regulations and any adverse regulatory action may materially adversely affect our financial condition and business operations. Our failure to comply with strictures relating to reimbursement and regulation of healthcare goods and services may subject us to penalties and adversely impact our reputation and business operations. Quality problems with our processes, goods, and services could harm our reputation for producing high quality products and erode our competitive advantage. We are substantially dependent on patent and other proprietary rights and failing to be successful in patent or other litigation may result in our payment of significant money damages and/or royalty payments, negatively impact our ability to sell current or future products, or prohibit us from enforcing our patent and proprietary rights against others. Product liability claims could adversely impact our financial condition and our earnings and impair our reputation. Our self-insurance program may not be adequate to cover future losses. If we experience decreasing prices for our goods and services and we are unable to reduce our expenses, our results of operations will suffer. We are subject to a variety of risks due to our international operations that could adversely affect those operations or our profitability and operating results. Consolidation in the healthcare industry could have an adverse effect on our revenues and results of operations. Healthcare policy changes, including pending proposals to reform the U.S. healthcare system, may have a material adverse effect on us. Our business is indirectly subject to healthcare industry cost containment measures that could result in reduced sales of medical devices containing our components. Our research and development efforts rely upon investments and alliances, and we cannot guarantee that any previous or future investments or alliances will be successful. The success of many of our products depends upon strong relationships with physicians. Negative conditions in the global credit market may impair our commercial paper program, our auction rate securities and our other fixed income securities, which may cause losses and cause us to face liquidity issues.

Full 10-K form ▸

64670--6/23/2009--MEDTRONIC_INC