Symantec 2014 Annual Report Download - page 100

in which we compete, the extensive patent coverage of existing technologies, and the rapid rate of issuance of
new patents, it is possible that the number of these claims may grow. In addition, former employers of our
former, current, or future employees may assert claims that such employees have improperly disclosed to us the
confidential or proprietary information of these former employers. Any such claim, with or without merit, could
result in costly litigation and distract management from day-to-day operations. If we are not successful in
defending such claims, we could be required to stop selling, delay shipments of, or redesign our products, pay
monetary amounts as damages, enter into royalty or licensing arrangements, or satisfy indemnification
obligations that we have with some of our customers. We cannot assure you that any royalty or licensing
arrangements that we may seek in such circumstances will be available to us on commercially reasonable terms
or at all. We have made and expect to continue making significant expenditures to investigate, defend and settle
claims related to the use of technology and intellectual property rights as part of our strategy to manage this risk.
In addition, we license and use software from third parties in our business. These third party software licenses
may not continue to be available to us on acceptable terms or at all, and may expose us to additional liability.
This liability, or our inability to use any of this third party software, could result in shipment delays or other
disruptions in our business that could materially and adversely affect our operating results.
Fluctuations in our quarterly financial results have affected the price of our common stock in the past and
could affect our stock price in the future.
Our quarterly financial results have fluctuated in the past and are likely to vary significantly in the future due to a
number of factors, many of which are outside of our control and which could adversely affect our operations and
operating results. If our quarterly financial results or our predictions of future financial results fail to meet our
expectations or the expectations of securities analysts and investors, our stock price could be negatively affected.
Any volatility in our quarterly financial results may make it more difficult for us to raise capital in the future or
pursue acquisitions that involve issuances of our stock. Our operating results for prior periods may not be
effective predictors of our future performance.
Factors associated with our industry, the operation of our business, and the markets for our products may cause
our quarterly financial results to fluctuate, including:
• Reduced demand for any of our products
• Customer renewal rates
• Entry of new competition into our markets
• Competitive pricing pressure for one or more of our classes of products
• Our ability to timely complete the release of new or enhanced versions of our products
• How well we execute our strategy and operating plans and the impact of changes in our business model
that could result in significant restructuring charges
• Fluctuations in foreign currency exchange rates
• The number, severity, and timing of threat outbreaks (e.g. worms and viruses)
• Our resellers making a substantial portion of their purchases near the end of each quarter
• Enterprise customers’ tendency to negotiate site licenses near the end of each quarter
• Cancellation, deferral, or limitation of orders by customers
• Changes in the mix or type of products sold
• Movements in interest rates
• The rate of adoption of new product technologies and new releases of operating systems
• Weakness or uncertainty in general economic or industry conditions in any of the multiple markets in
which we operate that could reduce customer demand and ability to pay for our products and services
• Political and military instability, which could slow spending within our target markets, delay sales
cycles, and otherwise adversely affect our ability to generate revenues and operate effectively
• Budgetary constraints of customers, which are influenced by corporate earnings and government
budget cycles and spending objectives
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