Because we and our equity companies have manufacturing facilities in 38 countries, with products sold in more than 175 countries,
our results may be substantially affected by foreign market risks. We are subject to the impact of economic, social and political
instability in developing countries.
We are exposed to the movement of various currencies against each other and versus the U.S. dollar. A portion of the exposures,
arising from transactions and commitments denominated in non-local currencies, is systematically managed through foreign
currency forward and swap contracts. We do not generally hedge our translation exposure with respect to foreign operations.
Weaker foreign currency exchange rates increase the potential impact of forecasted increases in dollar-based input costs for
operations outside the U.S. There can be no assurance that we will be protected against substantial foreign currency fluctuations.
In addition, we face increased risks in our international operations, including currency exchange restrictions and other limits on
our ability to repatriate earnings from outside the U.S., adverse political and economic conditions, legal and regulatory constraints,
tariffs and other trade barriers, risks of expropriation, difficulties in enforcing contractual and intellectual property rights, and
developing and maintaining successful business alliances, and potentially adverse tax consequences. Each of these factors could
adversely affect our financial results. See MD&A and Item 8, Note 1 for information about the effects of currency restrictions
and related exposures in Venezuela.