LabCorp 2013 Annual Report Download - page 24

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LABORATORY CORPORATION OF AMERICA
Management’s Discussion and Analysis
of Financial Condition and Results of Operations (in millions)
16. business interruption, increased costs, and other adverse
effects on the Company’s operations due to the unionization
of employees, union strikes, work stoppages, or general
labor unrest;
17. failure to maintain the Company’s days sales outstanding
and/or bad debt expense levels;
18. decrease in the Company’s credit ratings by Standard & Poor’s
and/or Moody’s;
19. discontinuation or recalls of existing testing products;
20. failure to develop or acquire licenses for new or improved
technologies, or if customers use new technologies to perform
their own tests;
21. substantial costs arising from the inability to commercialize
newly licensed tests or technologies or to obtain appropriate
coverage or reimbursement for such tests;
22. failure to identify and successfully close and integrate strategic
acquisition targets;
23. changes in government regulations or policies, including
regulations and policies of the Food and Drug Administration,
affecting the approval, availability of, and the selling and
marketing of diagnostic tests;
24. inability to obtain and maintain adequate patent and other
proprietary rights for protection of the Company’s products
and services and successfully enforce the Company’s
proprietary rights;
25. the scope, validity and enforceability of patents and other
proprietary rights held by third parties which might have
an impact on the Company’s ability to develop, perform,
or market the Company’s tests or operate its business;
26. failure in the Company’s information technology systems
resulting in an increase in testing turnaround time or
billing processes or the failure to meet future regulatory or
customer information technology, data security and
connectivity requirements;
27. failure to meet required financial reporting deadlines arising
from a failure of the Company’s financial information systems;
28. failure of the Company’s disaster recovery plans to provide
adequate protection against the interruption of business
and/or to permit the recovery of business operations;
29. business interruption or other impact on the business due
to adverse weather (including hurricanes), fires and/or other
natural disasters, terrorism or other criminal acts, and/or
widespread outbreak of influenza or other pandemic illness;
30. liabilities that result from the inability to comply with corporate
governance requirements;
31. impact on the Company’s testing volumes, cash collections
and the availability of credit for general liquidity or other
financing needs arising from a significant deterioration in the
economy or financial markets;
32. changes in reimbursement by foreign governments and
foreign currency fluctuations; and
33. expenses and risks associated with international operations,
including but not limited to compliance with the Foreign
Corrupt Practices Act, the U.K. Bribery Act, as well as laws and
regulations that differ from those of the U.S., and economic,
political, legal and other operational risks associated with
foreign markets.