877212--3/1/2007--ZEBRA_TECHNOLOGIES_CORP/DE

related topics
{customer, product, revenue}
{product, market, service}
{property, intellectual, protect}
{personnel, key, retain}
{acquisition, growth, future}
{operation, international, foreign}
{cost, contract, operation}
{operation, natural, condition}
{regulation, change, law}
Zebra could encounter difficulties in any acquisition it undertakes, including unanticipated integration problems and business disruption. Acquisitions could also dilute stockholder value and adversely affect operating results. Proposed acquisitions that are not consummated may result in the write-off of certain acquisition costs. Zebra may not be able to continue to develop products to address user needs effectively in an industry characterized by rapid technological change. Zebra competes in a highly competitive market, which is likely to become more competitive. Competitors may be able to respond more quickly to new or emerging technology and changes in customer requirements. Zebra is vulnerable to the potential difficulties associated with the rapid increase in the complexity of its business Zebra sources some of its component parts from sole source suppliers. Infringement by Zebra or Zebra suppliers on the proprietary rights of others could put Zebra at a competitive disadvantage, and any related litigation could be time consuming and costly. The inability to protect intellectual property could harm Zebra s reputation, and its competitive position may be materially damaged. Zebra may incur liabilities as a result of product failures due to actual or apparent design or manufacturing defects The planned retirement of Zebra s chief executive officer could cause dislocations in management and changes in strategic direction. Added risks are associated with our international operations which may have a material adverse effect on Zebra s business. Zebra sells a significant portion of its products internationally and purchases important components from foreign suppliers. These circumstances create a number of risks. Economic factors, which are outside Zebra s control, could lead to deterioration in the quality of Zebra s accounts receivables. Zebra depends on the ongoing service of its senior management and ability to attract and retain other key personnel. Terrorist attacks or war could lead to further economic instability and adversely affect Zebra s stock price, operations, and profitability. Taxing authority challenges may lead to tax payments exceeding current reserves.

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