What the changes say
- New risks address product-price pressure from competition, inflation, raw materials, and trade actions, plus sophisticated cyberattacks against ATI and service providers.
- Pension risk now quantifies approximately $40 million of minimum cash funding over ten years.
- Key-customer risk emphasizes deterioration in served markets as a trigger for reduced purchases or supplier changes.
What changed since the prior 10-K
New
- NewRISKS RELATED TO CYCLICAL NATURE OF OUR BUSINESS
Risks Associated with Product Pricing
Competition, excess capacity, inflation, raw-material costs, and trade actions could prevent ATI from raising prices enough or quickly enough.
- NewRISKS RELATED TO INTELLECTUAL PROPERTY, INFORMATION TECHNOLOGY AND SECURITY
Risks Associated with Cybersecurity Threats
Sophisticated cyberattacks could compromise ATI’s systems, networks, facilities, data, or third-party service providers despite defensive efforts.
Reworded
- 60% rewrittenRISKS RELATED TO INTELLECTUAL PROPERTY, INFORMATION TECHNOLOGY AND SECURITY
Risks Associated with Digital Technology
The separate cybersecurity reference was removed from the digital-technology risk and appears as new risk 12.
- 56% rewrittenRISKS RELATED TO CYCLICAL NATURE OF OUR BUSINESS
Risks Associated with Cyclicality in General Industrial Markets
The wording changes oil & gas to oil and gas, with no substantive change to the cyclicality risk.
- 34% rewrittenOTHER OPERATIONAL AND STRATEGIC RISKS
Risks Associated with Retirement Benefits
The prior expectation of no significant funding for at least ten years became approximately $40 million over ten years.
- 30% rewrittenRISKS RELATED TO OUR WORKFORCE
Risks Associated with the Recruitment and Retention of Key Talent and the Sustainability of our Workforce
No substantive change; the risk remains focused on recruiting, retaining, and motivating skilled manufacturing personnel.
- 26% rewrittenRISKS RELATED TO CYCLICAL NATURE OF OUR BUSINESS
Risks Associated with Key Customers
The risk now specifically cites deterioration in served markets as a reason key customers may reduce purchases or change suppliers.
- 22% rewrittenRISK RELATED TO CLIMATE CHANGE AND OTHER ENVIRONMENTAL MATTERS
Risks Associated with Other Environmental Compliance Matters
The environmental risk removes the reference to laws that govern pollutant discharge and waste disposal, without changing the described liabilities.
- 21% rewrittenRISKS RELATED TO THE RAW MATERIALS AND SUPPLIES THAT WE USE
Availability of Energy Resources
The wording now states energy costs have adversely affected profitability in the past, rather than saying they have done so generally.
- 20% rewrittenRISKS RELATED TO THE RAW MATERIALS AND SUPPLIES THAT WE USE
Dependence on Critical Supplies Subject to Price and Availability Fluctuations
The risk clarifies that supplier price increases concern critical supplies and rearranges the discussion of shortages and manufacturing delays.
All 31 risk factors
Headings as the filing states them, in filing order.
RISKS RELATED TO CYCLICAL NATURE OF OUR BUSINESS
- 01Cyclical Demand for Products
- 02Risks Associated with the Commercial Aerospace Industry
- 03Risks Associated with Cyclicality in General Industrial Markets56% rewritten
- 04Risks Associated with Product PricingNew
- 05Risks Associated with Key Customers26% rewritten
RISKS RELATED TO THE RAW MATERIALS AND SUPPLIES THAT WE USE
- 06Dependence on Critical Raw Materials Subject to Price and Availability Fluctuations
- 07Dependence on Critical Supplies Subject to Price and Availability Fluctuations20% rewritten
- 08Availability of Energy Resources21% rewritten
- 09The ongoing conflict between Russia and Ukraine may adversely affect our business and results of operations
RISKS RELATED TO OUR WORKFORCE
- 10Risks Associated with the Recruitment and Retention of Key Talent and the Sustainability of our Workforce30% rewritten
RISKS RELATED TO INTELLECTUAL PROPERTY, INFORMATION TECHNOLOGY AND SECURITY
- 11Risks Associated with our Intellectual Property
- 12Risks Associated with Digital Technology60% rewritten
- 13Risks Associated with Cybersecurity ThreatsNew
RISK RELATED TO CLIMATE CHANGE AND OTHER ENVIRONMENTAL MATTERS
- 14Risks Associated with Climate Change
- 15Regulatory and Other Transition Risks
- 16Market and Reputational Risks
- 17Risks Associated with Other Environmental Compliance Matters22% rewritten
OTHER OPERATIONAL AND STRATEGIC RISKS
- 18Risks Associated with Disruptions to our Manufacturing Processes
- 19Risks Associated with Export Sales and International Trade Matters
- 20Risks Associated with Strategic Capital Projects and Maintenance Activities
- 21Risks Associated with Current or Future Litigation and Claims
- 22Risks Associated with Insurance Coverage
- 23Risks Associated with Acquisition and Disposition Strategies
- 24Risks Associated with Government Contracts
- 25Risks Related to Wide-Spread Public Health Crises
- 26Risks Associated with Political and Social Turmoil
- 27Risks Associated with Indebtedness
- 28Risks Associated with Retirement Benefits34% rewritten
- 29Risks Associated with Goodwill or Long-Lived Asset Impairments
- 30Risks Associated with Internal Controls Over Financial Reporting
- 31Risks Associated with Our Guidance and Other Targets and Expectations
Other ATI 10-Ks
- FY2024 10-K risk factors29 risks
Commercial aerospace demand and stringent customer specifications are major business risks.
Filed Feb 21, 2025
About this page
The headings are the filing's own. The one-line readings and the overview are automated and can be wrong: read Item 1A of the 10-K for the exact wording.