703360--3/16/2006--LSI_LOGIC

related topics

{customer, product, revenue}

{operation, international, foreign}

{property, intellectual, protect}

{stock, price, operating}

{product, market, service}

{product, liability, claim}

Our new products may not achieve market acceptance. The price of our securities may be subject to wide fluctuations. The high technology industry in which we operate is prone to intellectual property litigation. We have announced our intention to sell our semiconductor fabrication facility and to become entirely dependent on independent foundry subcontractors to manufacture a portion of our current product; accordingly, any failure to secure and maintain sufficient foundry capacity could materially and adversely affect our business. We depend on third-party subcontractors to assemble, obtain packaging materials for, and test substantially all of our current semiconductor products. If we lose the services of any of our subcontractors or if these subcontractors are unable to attain sufficient packaging materials, shipments of our products may be disrupted, which could harm our customer relationships and adversely affect our revenues. We are exposed to fluctuations in foreign currency exchange rates.

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703360--3/16/2006--LSI_LOGIC_CORP