920527--5/23/2008--PSS_WORLD_MEDICAL

related topics

{condition, economic, financial}

{customer, product, revenue}

{regulation, government, change}

{product, liability, claim}

{acquisition, growth, future}

{operation, natural, condition}

{cost, regulation, environmental}

{debt, indebtedness, cash}

{operation, international, foreign}

{system, service, information}

{control, financial, internal}

{property, intellectual, protect}

{stock, price, share}

{provision, law, control}

{stock, price, operating}

{personnel, key, retain}

{competitive, industry, competition}

{regulation, change, law}

{product, market, service}

{gas, price, oil}

The Company s business is dependent on sophisticated data processing systems that are critical to the business operations. Numerous factors, many of which cannot be controlled by the Company, may cause the Company s net sales and results of operations to fluctuate quarterly, which may adversely affect the market price of the Company s common stock. The Company s ability to carry out its global sourcing strategy, which includes sourcing products from foreign markets that are subject to political, economic and legal uncertainties, may affect the Company s overall profitability. The Company s future results of operations could be adversely affected by operational disruptions due to natural disasters, particularly in regions susceptible to hurricanes. The Company may face increasing, competitive pricing pressures on its sales to national and regional customers and consolidated provider groups. Trends in healthcare spending and competitive bidding may impact the Company s results of operations. The viability of the Company s customers may be threatened by increasing costs of malpractice claims and liability insurance. The Company may not be able to continue to successfully compete with other medical supply companies and direct manufacturers. General economic conditions, a decline in consumer spending or other conditions may materially adversely impact our sales in a disproportionate fashion. Expansion of GPO or hospital purchasing power and the multi-tiered costing structure may place the Company at a competitive disadvantage. The Company depends on the availability of multi-tiered priced products from other distributors at prices lower than the manufacturers list prices. The Company s future operating results can be affected by its relationships with its customers, sales representatives, senior management team. The Company relies extensively on its relationships, significant distribution agreements and other purchasing arrangements with suppliers. The Company s strategy for growth may not result in additional net sales or operating income and may have an adverse effect on working capital, operating cash flow, and results of operations. The operating costs of the Company s delivery fleet could increase due to fuel price fluctuations and/or service interruptions by third parties. The Company s significant investment in inventory may be exposed to risk of product obsolescence or decline in market valuation. Circumstances associated with the Company s acquisition strategy could adversely affect the Company s results of operations and financial condition. The Company s indebtedness may limit its ability to obtain additional financing in the future and may limit its flexibility to react to industry or economic conditions. The price of the Company s common stock and the trading value of the convertible senior notes may be volatile. The Company faces potential litigation and liability exposure for product liability claims, as well as other existing and potential legal claims against the Company. The Company faces risk that its proprietary rights may infringe on the rights of third parties and that the protection offered by its proprietary rights may not be adequate. If environmental claims arise, the Company could incur substantial liabilities and costs. If management fails to maintain an effective system of internal controls, the Company may not be able to accurately report its financial results. The Articles of Incorporation, Bylaws, and Florida law may inhibit a takeover of the Company or could deprive the Company s shareholders of the opportunity to obtain a takeover premium for their shares. Failure to comply with existing and future regulatory and legal requirements could adversely affect the Company s results of operations and financial condition. The Company s investment in available for sale securities is subject to economic and market conditions which could adversely impact the Company s financial condition and results of operations.

Full 10-K form ▸

920527--5/23/2008--PSS_WORLD_MEDICAL_INC