933036--3/1/2007--RENT_A_CENTER_INC_DE

related topics
{debt, indebtedness, cash}
{regulation, change, law}
{loss, insurance, financial}
{provision, law, control}
{personnel, key, retain}
{acquisition, growth, future}
{stock, price, share}
{stock, price, operating}
If we fail to effectively manage the growth and integration of our new rent-to-own stores, our financial results may be adversely affected. There are legal proceedings pending against us seeking material damages. The costs we incur in defending ourselves or associated with settling any of these proceedings, as well as a material final judgment or decree against us, could materially adversely affect our financial condition by requiring the payment of the settlement amount, a judgment or the posting of a bond. Our debt agreements impose restrictions on us which may limit or prohibit us from engaging in certain transactions. If a default were to occur, our lenders could accelerate the amounts of debt outstanding, and holders of our secured indebtedness could force us to sell our assets to satisfy all or a part of what is owed. A change of control could accelerate our obligation to pay our outstanding indebtedness, and we may not have sufficient liquid assets to repay these amounts. Rent-to-own transactions are regulated by law in most states. Any adverse change in these laws or the passage of adverse new laws could expose us to litigation or require us to alter our business practices. Financial services transactions are regulated by federal law as well as the laws of certain states. Any adverse changes in these laws or the passage of adverse new laws with respect to the financial services business could slow our growth opportunities, expose us to litigation or alter our business practices in a manner that we may deem to be unacceptable. Our business depends on a limited number of key personnel. The loss of any one of these individuals could disrupt our business. Our organizational documents and debt instruments contain provisions that may prevent or deter another group from paying a premium over the market price to our stockholders to acquire our stock. We are a holding company and are dependent on the operations and funds of our subsidiaries. Our stock price is volatile, and you may not be able to recover your investment if our stock price declines.

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