947429--3/12/2009--INTERNATIONAL_WIRE_GROUP

related topics

{customer, product, revenue}

{condition, economic, financial}

{stock, price, share}

{regulation, change, law}

{debt, indebtedness, cash}

{cost, regulation, environmental}

{acquisition, growth, future}

{personnel, key, retain}

{operation, international, foreign}

{stock, price, operating}

{tax, income, asset}

{cost, operation, labor}

{competitive, industry, competition}

{control, financial, internal}

{property, intellectual, protect}

{financial, litigation, operation}

Disruptions in the supply of copper and other raw materials used in our products could cause us to be unable to meet customer demand, which could result in the loss of customers and net sales. We generally do not obtain long-term volume purchase commitments from customers, and, therefore, cancellations, reductions in production quantities and delays in production by our customers could reduce our operating income and cash flows. The loss of a significant customer could significantly reduce our sales and impact our long-lived assets as well. Some of our large customers have in-house wire production facilities and we may be disproportionately affected by an economic downturn. Changes in revenue may not correlate with changes in our business, because the changes in revenue may be caused by changes in the price of copper and other raw materials or the proportion of tolled copper. We have risks associated with inventory. The wire manufacturing industry is highly competitive and we face substantial domestic and foreign competition in each of our business segments. Our inability to continue to achieve productivity improvements may adversely affect profitability. Growth through acquisitions is a significant part of our strategy, and we may not be able to successfully identify, finance or integrate acquisitions in order to grow our business. Our acquisition and expansion plans may fail to perform as expected. We may in the future incur goodwill, other intangible assets and long-lived asset impairment charges. If the financial condition of our customers declines, our credit risks could increase We depend heavily on our key employees, and the loss of key employees could harm our business. If our relationship with our employees deteriorates, our business could suffer. A significant portion of our business depends on sales outside the U.S. We are subject to foreign currency fluctuations. As a U.S. corporation with international operations, we are subject to the Foreign Corrupt Practices Act and a determination that we violated this act may subject us to significant fines and other penalties and damage our reputation. We might have difficulty protecting our intellectual property from use by competitors, or competitors might accuse us of violating their intellectual property rights. We are subject to environmental laws and regulations that expose us to potential financial liability. Changes in industry standards and regulatory requirements may adversely affect our business. General economic factors that are beyond our control may harm our business by causing demand for our products to decline or increasing our costs. Risks Related to Our Financial Position We have substantial debt and other financial obligations, and we may incur even more debt. We have experienced losses in prior fiscal years and may not be able to maintain our current profitability. Our historical financial information is not comparable to our current financial condition and results of operations. We may not have the ability to repurchase our Notes upon a change of control as required by the indenture governing our Notes. Risks Related to Our Common Stock We expect to experience volatility in our stock price, which could negatively affect your investment. Our stock is traded on the Pink Sheets, which may make it make it difficult for you to sell your stock and the liquidity of our stock could decrease further if we deregister our securities. Our principal stockholders could exercise their influence over us to the detriment of the other stockholders. We cannot assure our stockholders that our stock repurchase program will result in a positive return of capital to our stockholders and stock repurchases could increase the volatility of the price of our common stock.

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947429--3/12/2009--INTERNATIONAL_WIRE_GROUP_INC