783412--12/27/2007--DAILY_JOURNAL

related topics

{product, market, service}

{customer, product, revenue}

{capital, credit, financial}

{regulation, change, law}

{cost, regulation, environmental}

{investment, property, distribution}

{tax, income, asset}

{financial, litigation, operation}

Advertising represents the largest portion of our revenues, and trends that impact the demand for advertising are often beyond our control The decline in circulation that we have experienced in recent years is likely to continue and may impact our ability to attract and retain advertisers A substantial majority of Sustain s consulting revenues come from one customer Our expenditures in support of the Sustain software are highly significant Paper and postage costs may be volatile and difficult to predict and control We have credit exposure if our advertising customers become unable to pay We are sometimes subject to litigation We are regularly audited by federal and state taxing authorities, and our utilization of a research and development credit is currently under review by the IRS We rely heavily on our president and chief executive officer, Gerald Salzman Changes in accounting standards could significantly impact reported earnings and operating results

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783412--12/27/2007--DAILY_JOURNAL_CORP