Eversource Energy (ES) risk factors, FY2024 10-K

Other

1. 01Cyberattacks, including acts of war or terrorism, targeted directly on or indirectly affecting our systems or the systems of third parties on which we rely, could severely impair operations, negatively impact our business, lead to the disclosure of confidential information and adversely affect our reputation
2. 02The unauthorized access to, and the misappropriation of, confidential and proprietary Company, customer, employee, financial or system operating information could adversely affect our business operations and adversely impact our reputation
3. 03The actions of regulators and legislators could result in outcomes that may adversely affect our earnings and liquidity
4. 04We are exposed to significant reputational risks, which make us vulnerable to increased regulatory oversight or other sanctions
5. 05Costs of compliance with environmental laws and regulations, including those related to climate change, may increase and have an adverse effect on our business and results of operations
6. 06For further information, see Item 1, Business – Other Regulatory and Environmental Matters, included in this Annual Report on Form 10-K

Risks Related to the Environment and Catastrophic Events

1. 07The effects of climate change, including severe storms, could cause significant damage to any of our facilities requiring extensive expenditures, the recovery for which is subject to approval by regulators
2. 08Transitional impacts related to climate change may have an adverse effect on our business and results of operations due to costs associated with new technologies, evolving customer expectations and changing workforce needs
3. 09Physical attacks, including acts of war or terrorism, both threatened and actual, could adversely affect our ability to operate our systems and could adversely affect our financial results and liquidity
4. 10Strategic development or investment opportunities in electric transmission, distributed generation, or clean-energy technologies may not be successful, which could have a material adverse effect on our business prospects
5. 11Our transmission and distribution systems may not operate as expected, and could require unplanned expenditures, which could adversely affect our financial position, results of operations, and cash flows
6. 12New technology and alternative energy sources could adversely affect our operations and financial results
7. 13We rely on third-party suppliers for equipment, materials, and services and we outsource certain business functions to third-party suppliers and service providers, and substandard performance or inability to fulfill obligations by those third parties could harm our business, reputation and results of operations
8. 14The loss of key personnel, the inability to hire and retain qualified employees, or the failure to maintain a positive relationship with our workforce could have an adverse effect on our business, financial position and results of operations
9. 15Limits on our access to, or increases in, the cost of capital may adversely impact our ability to execute our business plan
10. 16Market performance or changes in assumptions may require us to make significant contributions to our pension and other postretirement benefit plans
11. 17Goodwill, investments in equity method investments, and long-lived assets if impaired and written down, could adversely affect our future operating results and total capitalization
12. 18Our counterparties may not meet their obligations to us or may elect to exercise their termination rights, which could adversely affect our earnings
13. 19As a holding company with no revenue-generating operations, Eversource parent's liquidity is dependent on dividends from its subsidiaries, its commercial paper program, and its ability to access the long-term debt and equity capital markets