Sysco 2009 Annual Report Download - page 24

our suppliers. We are also subject to the Public Health Security and Bioterrorism Preparedness and Response Act of 2002, which imposes certain
registration and record keeping requirements on facilities that manufacture, process, pack or hold food for human or animal consumption.
In Canada, the Canadian Food Inspection Agency administers and enforces the food safety and nutritional quality standards established by
Health Canada under the Canadian Food and Drugs Act and under other related federal legislation, including the Canada Agricultural Products Act,
the Meat Inspection Act, the Fish Inspection Act and the Consumer Packaging and Labeling Act (as it relates to food). These laws regulate the
processing, storing, grading, packaging, marking, transporting and inspection of certain Sysco product lines as well as the packaging, labeling, sale,
importation and advertising of pre-packaged and certain other products.
We and our products are also subject to state, provincial and local regulation through such measures as the licensing of our facilities;
enforcement by state, provincial and local health agencies of state, provincial and local standards for our products; and regulation of our trade
practices in connection with the sale of our products. Our facilities are subject to inspections and regulations issued pursuant to the U.S. Occu-
pational Safety and Health Act by the U.S. Department of Labor, together with similar occupational health and safety laws in each Canadian province.
These regulations require us to comply with certain manufacturing, health and safety standards to protect our employees from accidents and to
establish hazard communication programs to transmit information on the hazards of certain chemicals present in products we distribute.
We are also subject to regulation by numerous U.S. and Canadian federal, state, provincial and local regulatory agencies, including, but not
limited to, the U.S. Department of Labor and each Canadian provincial ministry of labour, which set employment practice standards for workers, and
the U.S. Department of Transportation and the Canadian Transportation Agency, which regulate transportation of perishable and hazardous
materials and waste, and similar state, provincial and local agencies.
Most of our distribution facilities have ammonia-based refrigeration systems and tanks for the storage of diesel fuel and other petroleum
products which are subject to laws regulating such systems and storage tanks. Other U.S. and Canadian federal, state, provincial and local provisions
relating to the protection of the environment or the discharge of materials do not materially impact the use or operation of our facilities.
Compliance with these laws has not had, and is not anticipated to have, a material effect on our capital expenditures, earnings or competitive
position.
General
We have numerous trademarks which are of significant importance to the company. We believe that the loss of the Sysco(R) trademark would
have a material adverse effect on our results of operations.
We are not engaged in material research and development activities relating to the development of new products or the improvement of
existing products.
Our sales do not generally fluctuate significantly on a seasonal basis; therefore, the business of the company is not deemed to be seasonal.
As of June 27, 2009, we operated 186 distribution facilities throughout the United States, Canada and Ireland.
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