780434--9/13/2006--RESPIRONICS_INC

related topics
{product, market, service}
{cost, regulation, environmental}
{acquisition, growth, future}
{operation, international, foreign}
{competitive, industry, competition}
{product, liability, claim}
{property, intellectual, protect}
{financial, litigation, operation}
{operation, natural, condition}
{condition, economic, financial}
{investment, property, distribution}
The Company participates in a highly competitive environment. The decline in the availability of, or the increase in cost of raw materials could increase the Company s costs of producing its products or limit the Company s ability to meet sales demand. The Company is subject to substantial domestic and international government regulation, including regulatory quality standards applicable to its manufacturing and quality processes. Failure by the Company to comply with these standards could have an adverse effect on the Company s business, financial condition, or results of operations. Sales may decline if the Company s customers do not receive adequate levels of reimbursement from third-party payors for the Company s products and if certain types of healthcare programs are adopted in the Company s key markets. A natural or man-made disaster could have a material adverse effect on the Company s business. The Company s future profitability depends on the success of the Company s principal product lines. The success of the Company depends on its ability to effectively market to home healthcare providers and sleep laboratories. The inability to support continued growth could negatively impact the Company. The Company s revenues are subject to risks arising from currency exchange rate fluctuations, which could adversely affect the Company s results of operations or financial position. The Company is subject to certain risks inherent in managing a global and decentralized organization. The inability to effectively market the Company s products outside the U.S. could adversely impact profitability. The Company s acquisition and strategic investment activity may not be successful. The Company may be adversely affected by the outcome of legal proceedings. The Company s intellectual property rights may expire, or they may not sufficiently protect its products, or the Company s products may infringe on the intellectual property rights of third parties. The Company is exposed to certain credit risks, resulting primarily from customer sales.

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