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Aktiengesellschaft, calendar, consented, electric, elevated, Master, supportive, wage, week
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agreeing, expiring, identification, linking, plaintiff, redeemed, refile, statute, subsequently, toll, tolling
Financial report summary
?Risks
- The ongoing coronavirus pandemic is having, and is expected to continue to have, an adverse effect on our business.
- We may not be able to execute our M2022 Plan.
- We depend on large OEM customers, and loss of sales to these customers or failure to negotiate acceptable terms in contract renewal negotiations, or to obtain new customers, could have an adverse impact on our business.
- Our ability to manage rapidly changing production and sales volume in the commercial vehicle market may adversely affect our results of operations.
- A downturn in the global economy could have a material adverse effect on our results of operations, financial condition and cash flows.
- Our working capital requirements may negatively affect our liquidity and capital resources.
- We operate in an industry that is cyclical and that has periodically experienced significant year-to-year fluctuations in demand for vehicles; we also experience seasonal variations in demand for our products.
- Rising prices for raw materials, as well as labor and transportation costs, are adversely affecting, and are expected to continue adversely affecting, our business and financial results.
- Escalating price pressures from customers may adversely affect our business.
- We operate in a highly competitive industry.
- Technological changes in our industry could materially reduce the demand for our products and services.
- A disruption in supply of raw materials or parts could impact our production and increase our costs.
- Work stoppages or similar difficulties could significantly disrupt our operations.
- Our international operations are subject to a number of risks.
- Certain of our operations are conducted through joint ventures, which have unique risks.
- Our strategic initiatives may be unsuccessful, may take longer than anticipated, or may result in unanticipated costs.
- Shifting trade policies, including the imposition of tariffs and the resulting consequences, could adversely affect our results of operations.
- Our liquidity, including our access to capital markets and financing, could be constrained by limitations in the overall credit market, our credit ratings, our ability to comply with financial covenants in our debt instruments, and our suppliers suspending normal trade credit terms on our purchases, or by other factors beyond our control.
- Disruptions in the financial markets could impact the availability and cost of credit which could negatively affect our business.
- A violation of the financial covenants in our senior secured revolving credit facility could result in a default thereunder and could lead to an acceleration of our obligations under this facility and, potentially, other indebtedness.
- Exchange rate fluctuations could adversely affect our financial condition and results of operations.
- We are exposed to environmental, health and safety and product liabilities.
- Impairment in the carrying value of long-lived assets and goodwill could negatively affect our operating results and financial condition.
- The value of our deferred tax assets could become impaired, which could materially and adversely affect our results of operations and financial condition.
- Our unrecognized tax benefits recorded in accordance with ASC Topic 740 could significantly change.
- We may be restricted on the use of tax attributes from a tax law "ownership change."
- We are exposed to asbestos litigation liability.
- Assertions against us or our customers relating to intellectual property rights could materially impact our business.
- We utilize a significant amount of intellectual property in our business. If we are unable to protect our intellectual property, our business could be adversely affected.
- A breach or failure of our information technology infrastructure could adversely impact our business and operations.
- We are exposed to the rising cost of pension benefits.
Management Discussion
- Item 2. Management’s Discussion and Analysis of Financial Condition and Results of Operations
- Meritor, Inc. (the "company," "our," "we" or "Meritor"), headquartered in Troy, Michigan, is a premier global supplier of a broad range of integrated products, systems, modules and components to original equipment manufacturers ("OEMs") and the aftermarket for the commercial vehicle, transportation and industrial sectors. The company serves commercial truck, trailer, military, bus and coach, construction, and other industrial OEMs and certain aftermarkets. Meritor common stock is traded on the New York Stock Exchange under the ticker symbol MTOR.
- As previously announced, on February 21, 2022, Meritor, Cummins Inc., an Indiana corporation (“Cummins”), and Rose NewCo Inc., an Indiana corporation (“Merger Sub”), entered into an Agreement and Plan of Merger (the “Merger Agreement”) pursuant to which, among other things, Merger Sub will merge with and into the company (the “Merger”), with the company surviving the Merger as a wholly owned subsidiary of Cummins. On May 26, 2022, the company's shareholders voted in favor of the Merger. The companies are working to complete the acquisition in the coming week as all regulatory approvals to close the transaction have been received.