887596--2/27/2009--CHEESECAKE_FACTORY

related topics

{condition, economic, financial}

{financial, litigation, operation}

{regulation, change, law}

{competitive, industry, competition}

{product, market, service}

{debt, indebtedness, cash}

{system, service, information}

{stock, price, operating}

{cost, operation, labor}

{property, intellectual, protect}

{personnel, key, retain}

{stock, price, share}

{product, candidate, development}

The global economic crisis adversely impacted our business and financial results in fiscal 2008 and a prolonged recession could materially affect us in the future. The current economic crisis could have a material adverse impact on our landlords or other tenants in shopping centers in which we are located, which in turn could negatively affect our financial results. Our growth in revenues and earnings per share depend on strategic capital allocation decisions, including those related to new restaurant openings, the magnitude, timing and form of excess capital returned to shareholders, and a reduction in our debt. We may be unable to appropriately scale our infrastructure in a timely manner. Inflation and other conditions may increase our operating expenses. Failure to satisfy financial covenants and/or repayment requirements under our credit facility could have a material adverse effect on our financial condition. Changes in, or any failure to comply with, applicable laws or regulations could adversely affect our business, financial position and results. Litigation could have a material adverse impact on our business. Our success depends substantially on the value of our brands and our reputation for offering guests an unparalleled total experience. Competition in the restaurant industry in general, and specifically within the upscale casual segment of the restaurant industry, may adversely affect guest traffic at our restaurants. Adverse weather conditions could unfavorably affect our restaurant sales. We are investing in marketing, but our marketing programs may not be successful. New information or attitudes regarding diet and health could result in changes in regulations and consumer eating habits that could adversely affect our revenues. Adverse public or medical opinions about the health effects of consuming our products as well as negative publicity about us, our restaurants or bakery products, and about others across the food industry supply chain, whether or not accurate, could negatively affect us. Our inability to successfully and sufficiently raise menu prices could result in a decline in profitability. Our business and future development could be hurt if we are unable to retain key personnel or have difficulties in recruiting qualified personnel. System failure or breaches of our network security could subject us to increased operating costs as well as litigation and other liabilities. New restaurant openings may negatively impact sales at our existing restaurants. Seasonality of our business and the timing of new restaurant openings could result in fluctuations in our financial performance from quarter-to-quarter within a fiscal year. Our ability to successfully operate our bakery business will have an impact on our ability to grow our third party bakery sales and profits. Our failure to establish, maintain and apply adequate internal control over our financial reporting could affect our reported results of operations. In addition, changes in financial accounting standards or interpretations of existing standards could affect our reported results of operations Failure to meet market expectations for our financial performance will likely have a negative impact on the market price of our common stock. There may be future sales or other dilution of our equity, which may adversely affect the market price of our common stock.

Full 10-K form ▸

887596--2/27/2009--CHEESECAKE_FACTORY_INC