785786--12/1/2006--PLEXUS

related topics

{acquisition, growth, future}

{customer, product, revenue}

{product, market, service}

{operation, international, foreign}

{cost, regulation, environmental}

{cost, operation, labor}

{personnel, key, retain}

{product, liability, claim}

{control, financial, internal}

{stock, price, operating}

{regulation, government, change}

{regulation, change, law}

{gas, price, oil}

The majority of our net sales come from a relatively small number of customers, and if we lose any of these customers, our sales and operating results could decline significantly. Our customers may cancel their orders, change production quantities or delay production. Failure to manage growth and contraction, if any, may seriously harm our business. Expansion of our business and operations may negatively impact our business. Operating in foreign countries exposes us to increased risks, including foreign currency risks. We may not be able to maintain our engineering, technological and manufacturing process expertise. We invest in technology to support our operations; developments may impair those assets. Our manufacturing services involve inventory risk. We may not be able to obtain raw materials or components for our assemblies on a timely basis, or at all. Start-up costs and inefficiencies related to new or transferred programs or new facilities can adversely affect our operating results. We and our customers are subject to extensive government regulations. Products we design or manufacture may contain defects that could result in reduced demand for our services and liability claims against us. Our products are for the electronics industry, which produces technologically advanced products with relatively short life cycles. Increased competition may result in decreased demand or reduced prices for our services. We depend on certain key personnel, and the loss of key personnel may harm our business. Energy price increases may reduce our profits. We may fail to successfully complete future acquisitions and may not successfully integrate acquired businesses, which could adversely affect our operating results. We may fail to secure or maintain necessary financing. Changes in the securities laws and regulations have increased our costs. If we are unable to maintain effective internal control over our financial reporting as required by Section 404 of the Sarbanes-Oxley Act, investors could lose confidence in the reliability of our financial statements, which could result in a reduction in the value of our common stock. The price of our common stock has been and may continue to be volatile.

Full 10-K form ▸

785786--12/1/2006--PLEXUS_CORP