These excerpts taken from the MTRX 10-K filed Aug 5, 2008.
Our backlog is subject to unexpected fluctuations, adjustments and cancellations and is, therefore, an uncertain indicator of our future earnings.
Backlog may not be a reliable indicator of our future performance due to the timing of contract awards by our customers. We cannot guarantee that the revenue projected in our backlog will be realized or profitable. Projects may remain in our backlog for an extended period of time. In addition, project cancellations or scope adjustments may occur from time to time with respect to contracts reflected in our backlog and could reduce the dollar amount of our backlog and the revenue and profits that we actually earn. Many of our contracts have termination for convenience provisions in them. Therefore, project terminations, suspensions or scope adjustments may occur from time to time with respect to contracts in our backlog. Finally, poor project or contract performance could also impact our backlog and profits.
Our backlog is subject to unexpected fluctuations, adjustments and cancellations and is, therefore, an uncertain
Backlog may not be a reliable indicator of our future performance due to the timing of contract awards by our
FACE="Times New Roman" SIZE="2">From time to time due to the size of one or more of our contracts, one or more customers have in the past and may in the future contribute a material portion of our consolidated revenues in any one year. Because these
result in a reduction or elimination of previously reported profits.
A material portion of our revenues are recognized using the
Contract losses are
profit on a contract over several prior periods and later determine, usually near contract completion, that all or a portion of such previously estimated and reported profits were overstated. If this occurs, the full aggregate amount of the
overstatement will be reported for the period in which such determination is made, thereby eliminating all or a portion of any profits from other contracts that would have otherwise been reported in such period or even resulting in a loss being
reported for such period.
Our financial loss exposure on cost-plus contracts is generally limited to a portion of our profit on the contract. However, it
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