Eastman Chemical (EMN) risk factors, FY2025 10-K

Risks Related to Global Economy and Industry Conditions

1. 01Continued uncertain conditions in the global economy, labor market, and financial markets could negatively impact the Company32% rewritten
2. 02and ability to access the credit and capital markets under attractive rates and terms, negatively impacting the Company's liquidity or ability to pursue certain growth initiatives
3. 03Volatility in costs for strategic raw material and energy commodities or disruption in the supply and transportation of these commodities and in transportation of Company products could adversely impact the Company's financial results
4. 04The Company's substantial global operations subject it to risks of doing business in other countries that could adversely impact its business, financial condition, and results of operations

Risks Related to the Company's Business and Strategy

1. 05The Company's business is subject to operating risks common to chemical and specialty materials manufacturing businesses, any of which could disrupt manufacturing operations or related infrastructure and adversely impact results of operations
2. 06The Company is subject to operating risks related to its information technology infrastructure, including service interruptions, data corruption, cyber-based attacks, or network security incidents, which could cause operations to be disrupted, product manufacturing to be delayed, or data confidentiality to be impaired
3. 07The Company is subject to risks associated with the potential use of artificial intelligence in the Company’s own operations and by third-party partners that the Company may engage withNew
4. 08Growth initiatives may not achieve desired business or financial objectives and may require significant resources in addition to or different from those available or in excess of those estimated or budgeted for such initiatives
5. 09The Company is the subject of various legal proceedings, and may be subject to future claims, that could have a material adverse effect on the business, financial condition, and results of operations
6. 10If Eastman is unable to protect its intellectual property rights, the Company's competitive position, financial condition, and results of operations could be adversely impacted
7. 11Significant acquisitions or divestitures could expose the Company to risks and uncertainties, the occurrence of any of which could materially adversely affect the Company's business, financial condition, and results of operations56% rewritten
8. 12business, the divestiture could reduce Eastman's revenue and, potentially, margins and increase its costs and liabilities in the form of transition costs and retained liabilities from the operations divested, including environmental liabilitiesNew
9. 13The Company may be subject to indemnity claims relating to properties or businesses it has divested or acquired
10. 14Failure to attract and retain talented personnel could adversely affect the Company's ability to compete and achieve its strategic objectives

Risks Related to Regulatory Changes and Compliance

1. 15Legislative, regulatory, or voluntary actions, or violations thereof, could increase the Company's future health, safety, environmental, and other compliance costs and legal costs or have an adverse impact on the Company's ability to operate in foreign countries
2. 16Financial, regulatory, physical and transition risks associated with climate change could materially adversely affect the Company's business, financial condition, and results of operations
3. 17Changes in tax laws, regulations or treaties or adverse determinations by taxing or other governmental authorities could increase the Company's tax liabilities or otherwise affect its business, financial condition or results of operations23% rewritten
4. 18The Company's insurance may not fully cover all potential exposures