74058--4/17/2006--OILGEAR_CO

related topics
{cost, regulation, environmental}
{operation, international, foreign}
{product, liability, claim}
{cost, operation, labor}
{customer, product, revenue}
{personnel, key, retain}
{operation, natural, condition}
{competitive, industry, competition}
{debt, indebtedness, cash}
{product, candidate, development}
Some of our products are sold to a relatively small number of customers; if we lose any of those customers, sales and operating results could decline. Our financial resources may not be sufficient to permit us to effectively compete in some of our core product lines, and intense competition may result in reduced sales and profitability. We could be subject to product liability claims, product recalls and increased warranty costs, which could negatively impact our profitability and corporate image. Commodity and energy price increases or material shortages may reduce our profits. There are many laws and regulations applicable to the manufacturing industry. Compliance with those requirements is costly to us and can affect our operations. Failure to comply could also be costly and disruptive. Environmental compliance may be costly to us. We manufacture and sell some of our products outside of the United States, which may present additional risks to our business. We are exposed to the risk of foreign currency fluctuations. Our operations and profitability could suffer if we experience labor relations problems. We depend on certain key personnel, and the loss or retirement of these persons may harm our business. World events and natural disasters are beyond our control and could affect our results. Our leverage may impair our operations and financial condition.

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