917491--6/29/2006--FARO_TECHNOLOGIES_INC

related topics
{product, market, service}
{customer, product, revenue}
{property, intellectual, protect}
{stock, price, operating}
{acquisition, growth, future}
{operation, international, foreign}
{provision, law, control}
{financial, litigation, operation}
{condition, economic, financial}
{cost, operation, labor}
Our customers buying process for our products is highly decentralized, and therefore, it typically requires significant time and expense for us to further penetrate the potential market of a specific customer, which may delay our ability to generate additional revenue. Others may develop products that make our products obsolete or less competitive. An economic slowdown in manufacturing will affect our growth and profitability. Our inability to protect our patents and proprietary rights in the United States and foreign countries could adversely affect our revenues. Claims from others that we infringe their intellectual property rights may adversely affect our operations. We may not be able to achieve financial results within our target goals, and our operating results may fluctuate due to a number of factors, many of which are beyond our control. The CAM2 market is an emerging market and our growth depends on the ability of our products to attain broad market acceptance. We compete with manufacturers of portable measurement systems and traditional measurement devices, many of which have more resources than us and may develop new products and technologies. We derive a substantial part of our revenues from our international operations, which are subject to greater volatility and often require more management time and expense to achieve profitability than our domestic operations. We may not be able to identify, consummate or achieve expected benefits from acquisitions. We may face difficulties managing growth. Our dependence on suppliers for materials could impair our ability to manufacture our products. We may experience volatility in our stock price. We are a defendant in several shareholder class-action lawsuits. Anti-takeover provisions in our articles of incorporation, our bylaws and provisions of Florida law could delay or prevent a change of control that you

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