America Online 2011 Annual Report Download - page 28
Download and view the complete annual report
Please find page 28 of the 2011 America Online annual report below. You can navigate through the pages in the report by either clicking on the pages listed below, or by using the keyword search tool below to find specific information within the annual report.-
1 -
2
-
3
-
4
-
5
-
6
-
7
-
8
-
9
-
10
-
11
-
12
-
13
-
14
-
15
-
16
-
17
-
18 -
19 -
20 -
21 -
22 -
23 -
24 -
25 -
26 -
27 -
28 -
29 -
30 -
31 -
32 -
33 -
34 -
35 -
36 -
37 -
38 -
39
-
40
-
41
-
42
-
43
-
44
-
45
-
46
-
47
-
48
-
49
-
50
-
51
-
52
-
53
-
54
-
55
-
56
-
57
-
58
-
59
-
60
-
61
-
62
-
63
-
64
-
65
-
66
-
67
-
68
-
69
-
70
-
71
-
72
-
73
-
74
-
75
-
76
-
77
-
78
-
79
-
80
-
81
-
82
-
83
-
84
-
85
-
86
-
87
-
88
-
89
-
90
-
91
-
92
-
93
-
94
-
95
-
96
-
97
-
98
-
99
-
100
-
101
-
102
-
103
-
104
-
105
-
106
-
107
-
108
-
109
-
110
-
111
-
112
-
113
-
114
-
115
-
116
-
117
-
118
-
119
-
120
-
121
-
122
-
123
-
124
-
125
-
126
-
127
-
128
-
129
 |
 |
Table of Contents
• the difficulty of reconciling potentially conflicting or overlapping contractual rights and duties; and
• the potential impairment of relationships with consumers, partners and employees as a result of the combination of acquired operations and new
management personnel.
We face risks relating to doing business internationally that could adversely affect our business and we face risks from not doing more international
business.
Our business operates and serves consumers globally. There are certain risks inherent in doing business internationally, including:
• economic volatility and the current global economic uncertainty;
• currency exchange rate fluctuations;
• the requirements of local laws and customs relating to the publication and distribution of content and the display and sale of advertising;
• uncertain protection and enforcement of our intellectual property rights;
• import or export restrictions and changes in trade regulations;
• difficulties in developing, staffing and simultaneously managing a large number of foreign operations as a result of distance as well as language
and cultural differences;
• issues related to occupational safety and adherence to local labor laws and regulations;
• potentially adverse tax developments;
• longer payment cycles;
• political or social unrest;
• seasonal volatility in business activity;
• risks related to government regulation;
• the existence in some countries of statutory stockholder minority rights and restrictions on foreign direct ownership;
• the presence of corruption in certain countries; and
• higher than anticipated costs of entry.
One or more of these factors could adversely affect our business.
We have expanded our international operations through the acquisition of goviral, a company that distributes branded online video for media agencies,
creative agencies and content producers. We have also supplemented our international operations through the expansion of The Huffington Post. International
expansion involves increased investment as well as risks associated with doing business abroad, as described above. Furthermore, investments in some
regions can take a long period to generate an adequate return and in some cases there may not be a developed or efficient legal system to protect foreign
investment or intellectual property rights. In addition, as we expand into new international regions, we may have limited experience in operating and
marketing our products and services in such regions and could be at a disadvantage compared to competitors with more experience.
24