Trane Technologies (TT) risk factors, FY2024 10-K

Risks Related to Economic Conditions

1. 01Our global operations subject us to economic risks
2. 02Commodity and raw material shortages, supply chain risks and price increases could adversely affect our financial results
3. 03We face significant competition in the markets that we serve
4. 04Our growth is dependent, in part, on the timely development, commercialization and acceptance of new and enhanced products and services
5. 05Capital and credit market conditions could adversely affect our business operations, investments, and financial performance
6. 06Changes in U.S. or foreign trade policies and other factors beyond our control may adversely impact our business and operating results
7. 07World geopolitical conflicts have created humanitarian crises, materially impacted economic activities, and may materially impact our global and regional operations
8. 08The full extent to which a pandemic, epidemic, or spread of infectious diseases or other public health crises will affect us will depend on future developments that are highly uncertain and cannot be accurately predicted

Risks Related to Litigation

1. 09Material adverse legal judgments, fines, penalties or settlements could adversely affect our results of operations or financial condition
2. 10The Aldrich and Murray Chapter 11 cases involve various risks and uncertainties that could have a material effect on us
3. 11In sum, the outcome of the Chapter 11 cases is uncertain and there is uncertainty as to what extent we may have to contribute to a section 524(g) trust under the Funding Agreements

Risks Related to Cybersecurity and Technology

1. 12We are subject to risks relating to our information technology systems
2. 13Security breaches or disruptions of the technology systems, infrastructure or products of the Company or our vendors could negatively impact our business and financial results
3. 14Data privacy and protection laws are evolving and present increasing compliance challenges
4. 15Intellectual property infringement claims of others and the inability to protect our intellectual property rights could harm our competitive position

Risks Related to Regulatory Matters

1. 16Our reputation, ability to do business and results of operations could be impaired by improper conduct by any of our employees, agents or business partners
2. 17Our operations are subject to regulatory risks
3. 18Global climate change and related regulations could negatively affect our business

Risks Related to Our Business Operations

1. 19Natural disasters or other unexpected catastrophic events may disrupt our operations, adversely affect our results of operations and financial condition, and may not be fully covered by insurance
2. 20Our business success depends on attracting, developing, and retaining highly qualified talent
3. 21Our business may be adversely affected by temporary work stoppages, union negotiations, labor disputes and other matters associated with our labor force

Risks Related to our Reverse Morris Trust Transaction

1. 22If the Distribution as part of our Reverse Morris Trust Transaction is determined to be taxable for Irish tax purposes, significant Irish tax liabilities may arise for the Spin-off Shareholders
2. 23Distribution, and there could be a material adverse impact on our business, financial condition, results of operations and cash flows in future reporting periods
3. 24If the merger does not qualify as a tax-free reorganization under Section 368(a) of the Code, the Spin-off Shareholders may be required to pay substantial U.S. federal income taxes

Risks Related to Our Irish Domicile

1. 25Irish law differs from the laws in effect in the United States and may afford less protection to holders of our securities
2. 26Dividends and share repurchases are subject to uncertainty and could be modified, accelerated, or discontinued, which could affect the price of our common stock
3. 27Dividends received by our shareholders may be subject to Irish dividend withholding tax
4. 28Dividends paid in respect of our shares will generally not be subject to Irish income tax where the beneficial owner of these dividends is exempt from dividend withholding tax, unless the beneficial owner of the dividend has some connection with Ireland other than his or her shareholding in Trane Technologies plc