GIS » Topics » Price changes for the commodities we depend on for raw materials, packaging, and energy may adversely affect our profitability.

These excerpts taken from the GIS 10-K filed Jul 11, 2008.
Price changes for the commodities we depend on for raw materials, packaging, and energy may adversely affect our profitability.
 
The principal raw materials that we use are commodities that experience price volatility caused by external conditions such as weather and product scarcity, limited sources of supply,

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commodity market fluctuations, currency fluctuations, and changes in governmental agricultural and energy programs. Commodity price changes may result in unexpected increases in raw material, packaging, and energy costs. If we are unable to increase productivity to offset these increased costs or increase our prices, we may experience reduced margins and profitability. We do not fully hedge against changes in commodity prices, and the hedging procedures that we do use may not always work as we intend.
 
Price
changes for the commodities we depend on for raw materials,
packaging, and energy may adversely affect our
profitability.



 



The principal raw materials that we use are commodities that
experience price volatility caused by external conditions such
as weather and product scarcity, limited sources of supply,















6







Table of Contents








commodity market fluctuations, currency fluctuations, and
changes in governmental agricultural and energy programs.
Commodity price changes may result in unexpected increases in
raw material, packaging, and energy costs. If we are unable to
increase productivity to offset these increased costs or
increase our prices, we may experience reduced margins and
profitability. We do not fully hedge against changes in
commodity prices, and the hedging procedures that we do use may
not always work as we intend.


 




EXCERPTS ON THIS PAGE:

10-K (2 sections)
Jul 11, 2008
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