890634--12/14/2010--ALLIED_HEALTHCARE_INTERNATIONAL

related topics

{regulation, government, change}

{system, service, information}

{provision, law, control}

{condition, economic, financial}

{cost, operation, labor}

{control, financial, internal}

{competitive, industry, competition}

{product, liability, claim}

{loss, insurance, financial}

We operate in a highly competitive market and our success depends on our ability to obtain and retain customers. Our branch structure could result in unforeseen costs and could adversely impact our business. We are dependent on the proper functioning of our information systems. Our business may be adversely affected by the current economic recession. Lower U.K. government spending arising from the Comprehensive Spending Review may result in lower training support grants being awarded which may increase our training costs. Fluctuations in patient occupancy at the hospitals, nursing homes and care homes of our customers may adversely affect the demand for our services and therefore our financial performance. NHS reforms may have a substantial negative impact upon us. Our insurance may not be adequate to protect us from claims for which we may become liable. Our ability to use our net operating loss carryforward in the future is limited. If provisions in our corporate documents and New York law delay or prevent a change in control of our company, we may be unable to consummate a transaction that our shareholders consider favorable.

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890634--12/14/2010--ALLIED_HEALTHCARE_INTERNATIONAL_INC