912908--4/4/2008--FOAMEX_INTERNATIONAL_INC

related topics
{cost, regulation, environmental}
{condition, economic, financial}
{financial, litigation, operation}
{tax, income, asset}
{interest, director, officer}
{debt, indebtedness, cash}
{personnel, key, retain}
{control, financial, internal}
{customer, product, revenue}
An increase in raw material costs may have an adverse effect on us. Our ability to utilize our net operating loss carryforwards may be limited. We depend on a limited number of suppliers of TDI and polyol. Major customers' financial condition and supply decisions may have a material effect on us. The polyurethane foam business has excess capacity and is somewhat cyclical. Certain disputed unliquidated or contingent claims against us, including claims in certain legal proceedings, remain outstanding. We are subject to extensive federal, state, local and foreign environmental laws and regulations. Any failure to be in compliance with any material provision or covenant of our debt instruments could have a material adverse effect on our liquidity and operations. General business and economic conditions could reduce our sales and profitability. If we fail to retain key management and technical personnel we may be unable to implement our business plan. If we fail to maintain an effective system of internal controls, we may not be able to accurately report financial results or prevent fraud.

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