EXHIBIT 99
CAUTIONARY STATEMENT FOR PURPOSES OF THE "SAFE HARBOR" PROVISIONS
OF THE PRIVATE SECURITIES LITIGATION REFORM ACT OF 1995
In connection with the "safe harbor" provisions of the Private Securities
Litigation Reform Act of 1995 (the "Reform Act"), Huffy Corporation (the
"Company") is hereby filing cautionary statements identifying important factors
that could cause the Company's actual results to differ materially from those
projected in forward-looking statements of the Company made by or on behalf of
the Company, whether oral or written. The Company wishes to ensure that any
forward-looking statements are accompanied by meaningful cautionary statements
in order to maximize to the fullest extent possible the protections of the safe
harbor established in the Reform Act. Statements that are not historical facts
are hereby identified as "forward-looking statements" for the purpose of the
safe harbor provided by Section 21E of the Securities Exchange Act of 1934 and
Section 27A of the Securities Act of 1933. Accordingly, any such statements are
qualified in their entirety by reference to, and are accompanied by, the
following important factors, among others, that could cause the Company's actual
results to differ materially from those projected in forward-looking statements
of the Company made by or on behalf of the Company. The Company cautions that
the following important factors, among others (including but not limited to
factors mentioned from time to time in the Company's reports filed with the
Securities and Exchange Commission), could affect the Company's actual results
and could cause the Company's actual consolidated results to differ materially
from those expressed in any forward-looking statements of the Company made by or
on behalf of the Company:
- risks inherent in new product introductions, particularly the
uncertainty of price-performance relative to products of
competitors, including competitors' responses to the
introductions;
- under utilization of the Company's operating facilities
resulting in production inefficiencies and higher costs;
- changes in levels of competition from current competitors and
potential new competition from international manufacturers;
- risks associated with importing merchandise from abroad;
- new initiatives may be proposed that may have an impact on the
trading status of certain countries and may include
retaliatory duties or other trade sanctions which, if enacted,
would increase the cost of products purchased from suppliers
in such countries;
- loss of a significant vendor, prolonged disruption of material
supply chain, or significant increase in the cost of raw
materials, supplies, fuel, utilities, and other related energy
costs;
- changes in the Federal income tax rules and regulations or
interpretation of existing legislation;
- changes in the cost or availability of labor sufficient to
support the Company's operations or labor strikes, work
stoppages or other interruptions or difficulties in the
employment of labor where the Company purchases material,
components and supplies for its products or where its products
and services are produced or provided;
- changes in the general business and economic conditions in our
operating regions, including the population growth, employment
and job growth in the markets in which we operate may affect
our ability to hire and train qualified employees;
- the ability to achieve the anticipated synergies and cost
savings of the Company's restructuring;
- existence of competitive pricing pressures in several of the
product categories of the Company, which has had and may in
the future have an adverse effect on the Company's revenues
and earnings;
- the loss or bankruptcy of one or more key customers;
- changes in consumer demand for the Company's products
resulting from prolonged periods of unseasonable weather;
- changes in customer preferences or behavior that change their
demand for the Company's products or services;
- the costs and other effects of legal and administrative cases
and proceedings (whether civil, such as environmental and
product-related, or criminal), settlements and investigations,
claims, and changes in those items; developments or assertions
by or against the Company relating to intellectual property
rights and intellectual property licenses; adoption of new, or
changes in, accounting policies and practices and the
application of such policies and practices;
- changes in the general economic conditions in the United
States including, but not limited to, the levels and
availability of consumer debt, the level of interest rates,
and consumer sentiment about the economy in general.
Words such as "estimate," "project," "plan," "intend," "expect," "anticipate,"
"believe" and similar expressions are intended to identify forward-looking
statements. These forward-looking statements are found at various places
throughout this report and the other documents incorporated by reference. You
are cautioned not to place undue reliance on these forward-looking statements,
which speak only as of the date of this report, or in the case of documents
incorporated by reference, as of the date of those documents. The Company does
not undertake any obligation to publicly update or release any revisions to
these forward-looking statements to reflect events or circumstances after the
date hereof or to reflect the occurrence of unanticipated events, except as
required by law.
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