CHS (CHSCP) Financial Report Summaries

Risks

• Our revenues, results of operations and cash flows could be materially and adversely affected by changes in commodity prices.
• We are subject to political, economic, legal and other risks of doing business globally.
• Ongoing wars and global conflicts may adversely affect our business, financial condition and results of operations.
• Our business and operations and demand for our products are highly dependent on certain global and regional factors that are outside our control and could adversely impact our business.
• Inflation may result in increased costs, which could have a material and adverse effect on our results of operations.
• We participate in highly competitive business markets and we may not be able to continue to compete successfully, which could have a material adverse effect on us.
• Our revenues, margins, results of operations and cash flows could be materially and adversely affected if our members were to do business with other companies rather than with us.
• If our customers choose alternatives to our refined petroleum products, our revenues, results of operations and cash flows could be materially and adversely affected.
• Consolidation among producers of products we purchase and customers for products we sell could materially and adversely affect our revenues, results of operations and cash flows.
• We are exposed to risk of nonperformance and nonpayment by counterparties.
• Our business, profitability and liquidity may be adversely affected by deterioration in the credit quality of, or defaults by, third parties who owe us money.
• Our risk management strategies may not be effective.
• Actual or perceived quality, safety or health risks associated with our products could subject us to significant liability and damage our business and reputation.
• Our business and operations have been, and may in the future, be adversely affected by epidemics, pandemics, outbreaks of disease and other adverse public health developments.
• Technological improvements and sustainability initiatives could decrease demand for our agronomy and energy products.
• Increasing scrutiny and changing expectations from stakeholders with respect to our environmental, social and governance practices may expose us to new or additional risks.
• Failures or delays in achieving our strategies or expectations related to climate change and other environmental matters could adversely affect our business, operations and reputation, and increase risk of litigation.
• Acquisitions, strategic alliances, joint ventures, mergers, divestitures and other nonordinary course-of-business events resulting from portfolio management actions and other evolving business strategies could affect future results.
• Government policies, mandates, regulations and trade agreements could adversely affect our operations and profitability.
• Changes in federal income tax laws or in our tax status, or changes to tax rules in jurisdictions in which we operate, could increase our tax liability and reduce our net income significantly.
• We incur significant costs in complying with applicable laws and regulations. Any failure to comply with these laws and regulations, or to make capital or other investments necessary to comply with these laws and regulations, could expose us to unanticipated expenditures and liabilities.
• We are subject to extensive anti-corruption, anti-bribery, anti-kickback and trade laws and regulations, and any noncompliance with those laws and regulations could have a material adverse effect on our business, financial condition and results of operations.
• Environmental and energy laws and regulations may result in increased operating costs and capital expenditures, and may have a material and adverse effect on us.
• Environmental liabilities and litigation could have a material adverse effect on us.
• Our financial results are susceptible to seasonality.
• If any of our long-lived assets become impaired, we could be required to record a significant impairment charge, which would negatively impact our results of operations.
• Our business is capital-intensive and we rely on cash generated from our operations and external financing to fund our strategies and ongoing capital needs.
• Our access to capital could be affected by financial institutions' and other capital sources' policies concerning energy-related businesses.
• Our cooperative structure limits our ability to access equity capital.