Cintas (CTAS) Risk Factor Changes

We are also subject to tax audits, including with respect to transfer pricing, in the U.S.

Our business is subject to complex and stringent state and federal regulations, including employment laws and regulations, minimum wage requirements, overtime requirements, working condition requirements, citizenship…

Our operating cash flows, combined with access to the credit markets, provide us with significant discretionary funding capacity.

The price of fuel and energy needed to run our vehicles and equipment is unpredictable and fluctuates based on events outside of our control, including geopolitical developments, supply and demand fluctuations for fue…

Our outstanding indebtedness along with adverse interest rate fluctuations may have negative consequences on our business, such as requiring us to dedicate a substantial portion of our cash flow from operations to the…

We believe that a key component of our success is our corporate culture, which has been imparted by management throughout our corporate organization.

Effective internal controls are necessary for us to provide reliable financial reports.

We rely extensively on information technology systems, including third-party systems, to process transactions, maintain information and manage our businesses.

The products we sell are sourced from a wide variety of domestic and international suppliers.

In addition, the success of any acquisition, including the ability to realize anticipated cost synergies, depends in part on our ability to integrate the acquired company.

our ability to identify attractive locations, negotiate leases or real estate purchase agreements on acceptable terms, identify and obtain adequate utility and water sources and comply with environmental regulations,…

Increases in labor costs, including the cost to provide employee-partner related healthcare benefits, minimum wages, labor shortages or shortages of skilled labor, regulations regarding the classification of employees…

This Annual Report on Form 10-K contains forward-looking statements.

its actual or perceived effects on our results of operations and financial condition, along with deterioration in general economic conditions, may increase the likelihood that the major independent credit agencies wil…

The world has experienced an exponential level of growth in the availability of potential applications of artificial intelligence (AI).

experienced by our suppliers, the availability of raw materials to suppliers, currency exchange rates, transport availability and cost, inflation and other factors relating to the suppliers and the countries in which…

positions could result in a material adverse effect on our business, consolidated results of operations and consolidated financial condition.

by the current U.S.

legislative and regulatory efforts to limit GHG emissions.

financial reports or prevent fraud.

If we are unable to effectively manage the risks associated with AI and other emerging technologies, including risks relating to data protection, cybersecurity, intellectual property, regulatory compliance, operationa…

In addition, competitors may develop or adopt AI capabilities more rapidly or more effectively than we do, which could impair our ability to compete, improve productivity, enhance customer experiences, attract talent…

Further, AI technologies raise complex intellectual property and ownership issues.

Our use of AI technologies also may increase cybersecurity, privacy and data protection risks.

The regulatory environment governing AI is rapidly evolving in the U.S.

The development, implementation and use of AI technologies present a number of risks.

We are increasingly utilizing artificial intelligence (AI), including generative AI, machine learning, automation and other emerging technologies across various aspects of our business, including customer service, sal…

Our ability to successfully develop, implement and utilize artificial intelligence and other emerging technologies is subject to numerous risks and uncertainties that could adversely affect our business, results of op…

information technology systems, could impact our ability to service our customers and adversely affect our revenue, consolidated results of operations and reputation and expose us to litigation risk.

In connection with the pendency of the Transaction, it is possible that some customers, suppliers and other persons with whom we have a business relationship may delay or defer certain business decisions or might deci…

We are subject to business uncertainties and contractual restrictions while the Transaction is pending, which could adversely affect our business and operations.

In addition, the completion of the Transaction is subject to the expiration or termination of applicable waiting periods (including any extension thereof) and the receipt of certain authorizations or consents from reg…

The anticipated benefits of the Transaction are based on a number of assumptions that may prove to be inaccurate.

Even if the Transaction is completed, we may not realize the anticipated benefits, cost savings, synergies, efficiencies, innovation opportunities, enhanced growth prospects or other strategic objectives expected from…

adverse judgment could result in monetary damages, and a successful claim seeking injunctive relief could prevent or materially delay the completion of the Transaction.

In addition, securities class action litigation, derivative litigation or other legal proceedings are often instituted in connection with significant merger transactions.

The announcement and pendency of the Transaction may also disrupt our business operations and relationships regardless of whether the Transaction is completed.

If the Transaction is not completed, we would not realize any of the anticipated strategic, operational or financial benefits of the acquisition and could be subject to a number of risks and costs, including a decline…

The proposed acquisition of UniFirst is subject to risks and uncertainties, and there can be no assurance that the Transaction will be completed on the anticipated terms, within the expected timeframe, or at all.

We may be unable to complete the proposed acquisition of UniFirst, or, if completed, successfully integrate UniFirst’s business and realize the anticipated benefits of the Transaction, which could adversely affect our…

Historically, a portion of our growth has come from acquisitions.

We plan to expand our presence in existing markets and enter new markets.

Further, geopolitical tensions, armed conflicts, acts of terrorism, military actions and related sanctions or other governmental responses, including developments in the Middle East and other strategically important r…

In addition, changes in U.S.

Negative economic conditions, in North America and our other markets, have in the past and could again in the future, adversely affect our financial performance.

elsewhere in this report and may also be described from time to time in our future reports filed with the SEC.