6951--12/14/2006--APPLIED_MATERIALS_INC_/DE

related topics
{condition, economic, financial}
{acquisition, growth, future}
{cost, regulation, environmental}
{customer, product, revenue}
{product, market, service}
{control, financial, internal}
{personnel, key, retain}
{property, intellectual, protect}
{tax, income, asset}
Applied must adapt its business and product offerings to respond to competition and rapid technological changes. Applied is exposed to the risks of operating a global business. Applied is exposed to risks associated with a highly concentrated customer base. Manufacturing interruptions or delays could affect Applied s ability to meet customer demand, while the failure to estimate customer demand accurately could result in excess or obsolete inventory. The failure to successfully implement and conduct offshoring and outsourcing activities could adversely affect results of operations. Applied is exposed to risks associated with acquisitions and strategic investments. The ability to attract, retain and motivate key employees is vital to Applied s success. Changes in tax rates or tax liabilities could affect results. Applied is exposed to various risks related to legal proceedings or claims and protection of intellectual property rights. Applied is subject to risks of non-compliance with environmental and safety regulations. Applied is exposed to various risks related to the regulatory environment. Applied is subject to internal control evaluations and attestation requirements of Section 404 of the Sarbanes-Oxley Act.

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