3 unchanged sentences
We obtain hardware components, various subsystems and systems from a limited group of suppliers, some of which are sole source suppliers.
−Removed: Although we hold long term non-binding contracts with certain key suppliers that establishes
−Removed: pricing, minimizes lead times and to some degree mitigates risk, we do not have long-term agreements with all suppliers that obligate them to continue to sell components, products required to build our systems or products to us.
+Added: Although we hold long term non-binding contracts with certain key suppliers that establishes pricing, minimizes lead times and to some degree mitigates risk, we do not have long-term agreements with all suppliers that obligate them to continue to sell components, products required to build our systems or products to us.
Our reliance on suppliers without long term non-binding contracts involves significant risks and uncertainties, including whether our suppliers will provide an adequate supply of required components or products of sufficient quality, will increase prices for the components or products and will perform their obligations on a timely basis.
In addition, certain raw materials and components used in the manufacture of our products and in our development programs are periodically subject to supply shortages, and our business is subject to the risk of price increases and periodic delays in delivery.
−Removed: Particularly, the market for electronic components is experiencing increased demand and a global shortage of semiconductors, creating substantial uncertainty regarding our suppliers’ ongoing timely delivery of these components to us.
−Removed: In the quarter ended October 30, 2021, we experienced delays in receiving of certain electronic components for our product lines resulting from the global shortage and began experiencing delays in receiving other components for our products, which caused delays in production and development programs and negatively affected our revenue and results for the period and could negatively impact our revenue and results in future periods.
+Added: Particularly, the market for electronic components is experiencing increased demand and a global shortage of semiconductors, creating substantial uncertainty regarding our suppliers’ ongoing timely delivery of
+Added: these components to us.
+Added: In the quarter ended January 29, 2022, we experienced delays in receiving of certain electronic components for our product lines resulting from the global shortage and began experiencing delays in receiving other components for our products, which caused delays in production and development programs and negatively affected our revenue and results for the period and could negatively impact our revenue and results in future periods.
We expect shortages in certain critical components to continue through at least the remainder of our fiscal year 2022.
17 unchanged sentences
government shutdowns, which could adversely impact our programs and contracts with the U.S.
−Removed: our ability to receive timely payment from U.S.
+Added: government, our ability to receive timely payment from U.S.
government entities and our ability to timely obtain export licenses for our products to fulfill contracts with our international customers.
7 unchanged sentences
If defense transformation or overseas operations slow down further or cease in key operational areas, then our business, financial condition and results of operations could be impacted negatively.
−Removed: In the past 18 months, the operations tempo in the U.S.
+Added: The operations tempo in the U.S.
Department of Defense both of training and deployments, both domestically and overseas, has reduced as a result of the COVID-19 pandemic.
16 unchanged sentences
The future progression of the COVID-19 outbreak and its resulting effects on our business, financial condition and results of operations are uncertain and are continuing to be assessed.
−Removed: Based on current projections, there is a substantial risk that we may be in violation of the financial covenants under our credit agreement which could have a material adverse effect on our business and results of operations.
−Removed: Based upon our current projections, there is a substantial risk that we may be in violation of the financial covenants of our credit agreement during the fiscal quarter ending January 29, 2022 if we do not make a prepayment to reduce the outstanding balance of our outstanding loan or obtain an amendment to the credit agreement to remain in compliance with the covenants.
−Removed: While we are in discussions with the lender regarding obtaining an amendment, there can be no assurance that we will be successful in negotiating a mutually acceptable amendment to the credit agreement.
−Removed: If we are required to make a prepayment in order to stay in compliance with the credit agreement, our business and operations could be negatively affected.
−Removed: If we are unable to make a prepayment or enter into an amendment to the credit agreement to remain in compliance with the covenants, an event of default may occur under the credit agreement, upon the occurrence of which, the lenders may cease making future loans under the agreement and may declare all amounts owing under the credit agreement to be immediately due and payable which would adversely affect our business and results of operations.
We must recruit and retain highly-skilled employees to succeed in our competitive business.
1 unchanged sentence
These employees are in great demand and are likely to remain a limited resource in the foreseeable future.
+Added: The current tight labor market has adversely impacted our ability to recruit qualified personnel, including engineers.
If we are unable to recruit and retain a sufficient number of these employees, then our ability to maintain our competitiveness and grow our business could be negatively affected.
5 unchanged sentences
We cannot predict the extent to which these shortages will continue or the extent to which they could negatively impact our development programs and results of operations in future periods.
−Removed: A recent executive order issued by President Biden generally requires that employees of U.S.
+Added: In September 2021, in furtherance of an executive order issued by President Biden, the U.S.
+Added: Safer Federal Workforce Task Force issued guidance that generally requires that employees of U.S.
government contractors receive COVID-19 vaccinations, unless an employee requests and receives a medical or religious accommodation.
−Removed: While the loss of certain employees due to this vaccine mandate has not had a significant impact on our operations to date, our ability to recruit skilled employees in the future may be negatively impacted by the vaccine mandate.
+Added: The mandate is subject to various legal proceedings.
+Added: While the loss of certain employees due to this vaccine mandate, as well our own vaccine requirements for our employees, has not had a significant impact on our operations to date, our ability to recruit skilled employees in the future may be negatively impacted by vaccine mandates.
+Added: Significant inflation could adversely affect our business and financial results.
+Added: Although historically our operations have not been materially affected by inflation and we have been successful in adjusting prices to our customers to reflect changes in our material and labor costs, the rate of current inflation and resulting pressures on our costs and pricing could adversely impact our business and financial results.
+Added: Inflation can adversely affect us by increasing our operating costs, including our materials, freight and labor costs, which are already under pressure due to supply chain constraints and the continuing effects of the COVID-19 pandemic.
+Added: As interest rates rise to address inflation, such increases will also impact the base rates applicable in our credit arrangements and will result in borrowed funds becoming more expensive to us over time;
+Added: similar financing pressures from inflation also can have a negative impact on customers’ willingness to purchase our products in the same volumes and at the same rates as previously anticipated.
+Added: In a highly inflationary environment, we may be unable to raise the sales prices of our products at or above the rate of inflation, which could reduce our profit margins having a material adverse effect on our financial performance.
Compared sentence by sentence after normalising whitespace, quotation marks, case and digits, so re-formatting and restated figures do not read as changed language. Wording changes appear as one removal and one addition. The current filing and the prior one are authoritative.