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Item 1. Business

2020-10-22 compared with 2019-10-22 · 138 added, 259 removed, 135 unchanged (75% of the section changed)

We are one of the leading providers of worldwide manufacturing services and solutions.

We provide comprehensive electronics

design, production and product management services to companies in various industries and end markets.

Our services enable our customers to reduce manufacturing costs, improve supply-chain management, reduce inventory obsolescence, lower

transportation costs and reduce product fulfillment time.

We provide comprehensive electronics design, production and product management services to companies in various industries and end markets.

Our services enable our customers to reduce manufacturing costs, improve supply-chain management, reduce inventory obsolescence, lower transportation costs and reduce product fulfillment time.

Our manufacturing and supply chain management services and solutions include innovation, design, planning, fabrication and assembly, delivery and managing the flow of resources and products.

We serve our customers primarily through dedicated business units that combine highly automated, continuous flow manufacturing with

advanced electronic design and design for manufacturability.

We depend, and expect to continue to depend, upon a relatively small number of customers for a significant percentage of our net revenue, which in turn depends upon their growth, viability

and financial stability.

Based on net revenue, for the fiscal year ended August 31, 2019, our largest customers include Amazon.com, Inc., Apple, Inc., Cisco Systems, Inc., GoPro, Inc., Hewlett-Packard Company, Ingenico Group, Keysight

Technologies, LM Ericsson Telephone Company, NetApp, Inc.

and Nokia Networks.

We serve our customers primarily through dedicated business units that combine highly automated, continuous flow manufacturing with advanced electronic design and design for manufacturability.

We depend, and expect to continue to depend, upon a relatively small number of customers for a significant percentage of our net revenue, which in turn depends upon their growth, viability and financial stability.

Based on net revenue, for the fiscal year ended August 31, 2020 , our largest customers include Amazon.com, Inc., Apple, Inc., Cisco Systems, Inc., Hewlett-Packard Company, Ingenico Group, Johnson and Johnson, LM Ericsson Telephone Company, NetApp, Inc., SolarEdge Technologies Inc., and Tesla, Inc.

For the fiscal year ended August 31, 2020 , we had net revenues of $27.3 billion and net income attributable to Jabil Inc.

of $53.9 million .

We conduct our operations in facilities that are located worldwide, including but not limited to, China, Hungary, Malaysia, Mexico, Singapore

and the United States.

We conduct our operations in facilities that are located worldwide, including but not limited to, China, Malaysia, Mexico, Singapore, the United States and Vietnam.

Our global manufacturing production sites allow customers to manufacture products simultaneously in the optimal locations for their products.

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We have two reporting segments:

Electronics Manufacturing Services (EMS) and Diversified Manufacturing Services

(DMS), which are organized based on the economic profiles of the services performed, including manufacturing capabilities, market strategy, margins, return on capital and risk profiles.

Our EMS segment is focused around leveraging IT,

supply chain design and engineering, technologies largely centered on core electronics, utilizing our large-scale manufacturing infrastructure and our ability to serve a broad range of end markets.

Our EMS segment is a high-volume business that

produces products at a quicker rate (i.e.

cycle time) and in larger quantities and includes customers primarily in the automotive and transportation, capital equipment, cloud, computing and storage, defense and aerospace, industrial and energy,

networking and telecommunications, print and retail, and smart home and appliances industries.

Electronics Manufacturing Services (“EMS”) and Diversified Manufacturing Services (“DMS”), which are organized based on the economic profiles of the services performed, including manufacturing capabilities, market strategy, margins, return on capital and risk profiles.

Our EMS segment is focused around leveraging IT, supply chain design and engineering, technologies largely centered on core electronics, utilizing our large-scale manufacturing infrastructure and our ability to serve a broad range of end markets.

Our EMS segment includes customers primarily in the automotive and transportation, capital equipment, cloud, networking and storage, defense and aerospace, industrial and energy, print and retail, and smart home and appliances industries.

Our DMS segment is focused on providing engineering solutions, with an emphasis on material sciences, technologies and healthcare.

Our DMS segment

includes customers primarily in the edge devices and accessories, healthcare, mobility and packaging industries.

Additional financial

information regarding our reportable operating segments is included in Item 7 of this report and Note 12 Concentration of Risk and Segment Data to the Consolidated Financial Statements.

Our DMS segment includes customers primarily in the connected devices, healthcare, mobility and packaging industries.

As of September 1, 2020, certain customers have been realigned within our operating segments.

Our operating segments, which are the reporting segments, continue to consist of the DMS and EMS segments.

Beginning in fiscal year 2021, customers within the automotive and transportation and smart home and appliances industries will be presented within the DMS segment.

Additional financial information regarding our reportable operating segments is included in Item 7 of this report and Note 13 – “Concentration of Risk and Segment Data” to the Consolidated Financial Statements.

Industry Background

The industry in

which we operate has historically been composed of companies that provide a range of design and manufacturing services to companies that utilize electronics components in their products.

We monitor the current economic environment and its potential impact on both the customers we serve as well as our end markets and closely

manage our costs and capital resources so that we can respond appropriately as circumstances change.

The industry in which we operate has historically been composed of companies that provide a range of design and manufacturing services to companies that utilize electronics components in their products.

We monitor the current economic environment and its potential impact on both the customers we serve as well as our end markets and closely manage our costs and capital resources so that we can respond appropriately as circumstances change.

Over the long term we believe the factors driving our customers and potential customers to use our industry’s services include:

Efficient Manufacturing.

Manufacturing service providers are often able to manufacture products at

a reduced total cost to companies.

Manufacturing service providers are often able to manufacture products at a reduced total cost to companies.

These cost advantages result from higher utilization of capacity and efficiencies of scale because of diversified product demand and, generally, a greater focus on the components of manufacturing cost.

are increasingly seeking to reduce their investment in inventory, facilities and equipment used in manufacturing and prioritizing capital investments in other activities such as sales and marketing and research and development (R&D).

Companies are increasingly seeking to reduce their investment in inventory, facilities and equipment used in manufacturing and prioritizing capital investments in other activities such as sales and marketing and research and development (“R&D”).

This strategic shift in capital deployment has contributed to increased demand for and interest in outsourcing to external manufacturing service providers.

Accelerated Product

Time-to-Market and Time-to-Volume.

Manufacturing service providers are often able

to deliver accelerated production start-ups and achieve high efficiencies in bringing new products to production.

Providers are also able to more rapidly scale production for changing markets and to position

themselves in global locations that serve the leading world markets.

Accelerated Product Time-to-Market and Time-to-Volume.

Manufacturing service providers are often able to deliver accelerated production start-ups and achieve high efficiencies in bringing new products to production.

Providers are also able to more rapidly scale production for changing markets and to position themselves in global locations that serve the leading world markets.

With increasingly shorter product life cycles, these key services allow new products to be sold in the marketplace in an accelerated time frame.

Access to Advanced Design and Manufacturing Technologies.

By utilizing manufacturing service

providers, customers gain access to additional advanced technologies in manufacturing processes, as well as to product and production design, which can offer customers significant improvements in the performance, quality, cost, time-to-market and manufacturability of their products.

By utilizing manufacturing service providers, customers gain access to additional advanced technologies in manufacturing processes, as well as to product and production design, which can offer customers significant improvements in the performance, quality, cost, time-to-market and manufacturability of their products.

Improved Inventory Management and Purchasing Power.

Manufacturing service providers are often able

to more efficiently manage both procurement and inventory, and have demonstrated proficiency in purchasing components at improved pricing due to the scale of their operations and continuous interaction with the materials marketplace.

vision for the future is to become the worlds most technologically advanced manufacturing services and solutions provider.

Manufacturing service providers are often able to more efficiently manage both procurement and inventory, and have demonstrated proficiency in purchasing components at improved pricing due to the scale of their operations and continuous interaction with the materials marketplace.

Our vision for the future is to become the world’s most technologically advanced manufacturing services and solutions provider.

As we work to achieve our vision, we continue to pursue the following strategies:

Establish and Maintain Long-Term Customer Relationships.

An important element of our strategy is to

establish and maintain long-term relationships with leading companies in expanding industries with size and growth characteristics that can benefit from highly automated, continuous flow manufacturing on a global scale.

We focus on maintaining

long-term relationships with our customers and seek to expand these relationships to include additional product lines and services.

In addition, we focus on identifying and developing relationships with new customers that meet our targeted profile,

which includes financial stability, the need for technology-driven turnkey manufacturing, anticipated unit volume and long-term relationship stability.

An important element of our strategy is to establish and maintain long-term relationships with leading companies in expanding industries with size and growth characteristics that can benefit from highly automated, continuous flow manufacturing on a global scale.

We focus on maintaining long-term relationships with our customers and seek to expand these relationships to include additional product lines and services.

In addition, we focus on identifying and developing relationships with new customers that meet our targeted profile, which includes financial stability, the need for technology-driven turnkey manufacturing, anticipated unit volume and long-term relationship stability.

Product Diversification.

We focus on balancing our portfolio of products and product families to

those that align with higher return areas of our business, including manufacturing, supply chain management services, comprehensive electronics design, production and product management services.

We have made concentrated efforts to diversify our

industry sectors and customer base.

We focus on balancing our portfolio of products and product families to those that align with higher return areas of our business, including manufacturing, supply chain management services, comprehensive electronics design, production and product management services.

We have made concentrated efforts to diversify our industry sectors and customer base.

Because of these efforts, we have experienced business growth from both existing and new customers as well as from acquisitions.

Utilize Customer-Centric Business Units.

Most of our business units are dedicated to serve one

customer each and operate by primarily utilizing dedicated production equipment, production workers, supervisors, buyers, planners and engineers to provide comprehensive manufacturing solutions that are customized to each customers needs.

believe our customer-centric business units promote increased responsiveness to our customers needs, particularly for customer relationships that extend across multiple production locations.

Most of our business units are dedicated to serve one customer each and operate by primarily utilizing dedicated production equipment, production workers, supervisors, buyers, planners and engineers to provide comprehensive manufacturing solutions that are customized to each customer’s needs.

We believe our customer-centric business units promote increased responsiveness to our customers’ needs, particularly for customer relationships that extend across multiple production locations.

Leverage Global Production.

We believe that global production is a key strategy to reduce

obsolescence risk and secure the lowest possible landed costs while simultaneously supplying products of equivalent or comparable quality throughout the world.

Consistent with this strategy, we have established or acquired operations in Europe,

Asia, Latin America and Africa.

We believe that global production is a key strategy to reduce obsolescence risk and secure the lowest possible landed costs while simultaneously supplying products of equivalent or comparable quality throughout the world.

Consistent with this strategy, we have established or acquired operations in the Americas, Europe, Asia and Africa.

Our extensive global footprint positions us well to implement safe and practical solutions in order to select production locations which best serve the needs of our customers.

Offer Systems Assembly, Direct-Order Fulfillment and Configure-to-Order Services.

Our systems assembly, direct-order fulfillment and configure-to-order services allow our

customers to reduce product cost and risk of product obsolescence by reducing total work-in-process and finished goods inventory.

These services are available at all of

our manufacturing locations.

Our systems assembly, direct-order fulfillment and configure-to-order services allow our customers to reduce product cost and risk of product obsolescence by reducing total work-in-process and finished goods inventory.

These services are available at all of our manufacturing locations.

Offer Design Services.

We offer a wide spectrum of

value-add design services to achieve improvements in performance, cost, time-to-market and manufacturability.

We offer a wide spectrum of value-add design services to achieve improvements in performance, cost, time-to-market and manufacturability.

Pursue Acquisition Opportunities Selectively.

Traditionally, electronics manufacturing service

companies have acquired manufacturing capacity from their customers to drive growth, expand their footprint and gain new customers.

In recent years, our acquisition strategy has expanded to include opportunities to acquire competitors who are

focused on our key growth areas, which include specialized manufacturing in key markets, materials technology and design operations, as well as other acquisition opportunities complementary to our services offerings.

The primary goals of our

acquisition strategy are to complement our current capabilities, diversify our business into new industry sectors and with new customers and expand the scope of the services we can offer to our customers.

Traditionally, electronics manufacturing service companies have acquired manufacturing capacity from their customers to drive growth, expand their footprint and gain new customers.

In recent years, our acquisition strategy has expanded to include opportunities to acquire competitors who are focused on our key growth areas, which include specialized manufacturing in key markets, materials technology and design operations, as well as other acquisition opportunities complementary to our services offerings.

The primary goals of

our acquisition strategy are to complement our current capabilities, diversify our business into new industry sectors and with new customers and expand the scope of the services we can offer to our customers.

Our Approach to Manufacturing

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Decentralized Business Unit Model.

Most of our business units are dedicated to serve one customer

each and are empowered to formulate strategies tailored to individual customers needs.

Most of our business units are dedicated to serve one customer each and are empowered to formulate strategies tailored to individual customer’s needs.

Our business units generally have dedicated production lines consisting of equipment, production workers, supervisors, buyers, planners and engineers.

certain circumstances, a production line may serve more than one business unit to maximize resource utilization.

Business units have direct responsibility for manufacturing results and

time-to-volume production, thereby promoting a sense of individual commitment and ownership.

The business unit approach is modular and enables us to grow incrementally

without disrupting the operations of other business units.

Business unit management reviews the customer financial information to assess whether the business units are meeting their designated responsibilities and to ensure that the daily execution

of manufacturing activities is being effectively managed.

The business units aggregate into operating segments based on the economic profiles of the services performed, including manufacturing capabilities, market share strategy, margins, return on

capital and risk profiles.

Under certain circumstances, a production line may serve more than one business unit to maximize resource utilization.

Business units have direct responsibility for manufacturing results and time-to-volume production, thereby promoting a sense of individual commitment and ownership.

The business unit approach is modular and enables us to grow incrementally without disrupting the operations of other business units.

Business unit management reviews the customer financial information to assess whether the business units are meeting their designated responsibilities and to ensure that the daily execution of manufacturing activities is being effectively managed.

The business units aggregate into operating segments based on the economic profiles of the services performed, including manufacturing capabilities, market share strategy, margins, return on capital and risk profiles.

Automated Continuous Flow.

We use a highly automated, continuous flow approach to manufacturing,

whereby different pieces of equipment are joined directly or by conveyor to create an in-line assembly process.

This process contrasts with a batch approach, whereby individual pieces of assembly equipment are

operated as freestanding work-centers.

The elimination of waiting time prior to sequential operations results in faster manufacturing, which improves production efficiencies and quality control, and reduces inventory

work-in-process.

We use a highly automated, continuous flow approach to manufacturing, whereby different pieces of equipment are joined directly or by conveyor to create an in-line assembly process.

This process contrasts with a batch approach, whereby individual pieces of assembly equipment are operated as freestanding work-centers.

The elimination of waiting time prior to sequential operations results in faster manufacturing, which improves production efficiencies and quality control, and reduces inventory work-in-process.

We believe continuous flow manufacturing provides cost reductions and quality improvement when applied to high volumes of product.

Computerized Control and Monitoring.

We support all aspects of our manufacturing activities with

advanced computerized control and monitoring systems.

We support all aspects of our manufacturing activities with advanced computerized control and monitoring systems.

Component inspection and vendor quality are monitored electronically in real-time.

Materials planning, purchasing, stockroom and shop floor control systems are supported through a computerized

manufacturing resource planning system, which provides customers with the ability to continuously monitor material availability and track work-in-process on a real-time

Materials planning, purchasing, stockroom and shop floor control systems are supported through a computerized manufacturing resource planning system, which provides customers with the ability to continuously monitor material availability and track work-in-process on a real-time basis.

In addition, manufacturing processes are supported by a computerized statistical process control system, whereby customers can remotely access our computer systems to monitor real-time yields, inventory positions, work-in-process status and vendor quality data.

Electronic Supply Chain Management.

We make available to our customers and suppliers an electronic

commerce system/electronic data interchange and web-based tools to implement a variety of supply chain management programs.

Our customers use these tools to share demand and product forecasts and deliver

purchase orders, and we use these tools with our suppliers for just-in-time delivery, supplier-managed inventory and consigned supplier-managed inventory.

We make available to our customers and suppliers an electronic commerce system/electronic data interchange and web-based tools to implement a variety of supply chain management programs.

Our customers use these tools to share demand and product forecasts and deliver purchase orders, and we use these tools with our suppliers for just-in-time delivery, supplier-managed inventory and consigned supplier-managed inventory.

Our Design Services

We offer a wide spectrum of value-add design services to enhance our relationships with current

customers and to help develop relationships with our new customers.

We offer a wide spectrum of value-add design services to enhance our relationships with current customers and to help develop relationships with our new customers.

Our teams are strategically staffed to support Jabil customers for all development projects, including turnkey system design and design for manufacturing activities.

services include:

These design services include:

Electronic Design.

Our Electronic Design team provides electronic circuit design services,

including application-specific integrated circuit design, firmware development and rapid prototyping services.

These services have been used by our customers for a variety of products including smart phones and accessory products, notebook and

personal computers, servers, radio frequency products, video set-top boxes, optical communications products, communication and broadband products, and automotive and consumer appliance controls.

Our Electronic Design team provides electronic circuit design services, including application-specific integrated circuit design, firmware development and rapid prototyping services.

These services have been used by our customers for a variety of products including smart phones and accessory products, notebook and personal computers, servers, radio frequency products, video set-top boxes, optical communications products, communication and broadband products, and automotive and consumer appliance controls.

Industrial Design.

Our Industrial Design team designs the look and feel of the plastic

and metal enclosures that house the products electro-mechanics, including the printed circuit board assemblies (PCBA).

Our Industrial Design team designs the “look and feel” of the plastic and metal enclosures that house the products’ electro-mechanics, including the printed circuit board assemblies (“PCBA”).

Mechanical Design.

Our Mechanical Design team specializes in three-dimensional mechanical design

with the analysis of electronic, electro-mechanical and optical assemblies using state of the art modeling and analytical tools.

This team has extended Jabils product design offering capabilities to include all aspects of industrial design,

advance mechanism development and tooling management.

Our Mechanical Design team specializes in three-dimensional mechanical design with the analysis of electronic, electro-mechanical and optical assemblies using state of the art modeling and analytical tools.

This team has extended Jabil’s product design offering capabilities to include all aspects of industrial design, advance mechanism development and tooling management.

Computer-Assisted Design.

Our Computer-Assisted Design (CAD) team provides PCBA design

services using advanced CAD engineering tools, PCBA design validation and verification services, and other consulting services, which include generating a bill of materials, approved vendor list and assembly equipment configuration for a particular

We believe that our CAD services result in PCBA designs that are optimized for manufacturability and cost efficiencies and accelerate a products

time-to-market and time-to-volume production.

Our Computer-Assisted Design (“CAD”) team provides PCBA design services using advanced CAD engineering tools, PCBA design validation and verification services, and other consulting services, which include generating a bill of materials, approved vendor list and assembly equipment configuration for a particular PCBA design.

We believe that our CAD services result in PCBA designs that are optimized for manufacturability and cost efficiencies and accelerate a product’s time-to-market and time-to-volume production.

Product Validation.

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Manufacturing Test Solution Development.

Our Manufacturing Test Solution Development team provides

integral support to the design teams to embed design with testability and to promote efficient capital and resource investment in the manufacturing process.

The use of software driven instrumentation and test process design and management has

enhanced our product quality and reduced our operating costs relative to human dependent test processes.

The full electronic test data-log of customer products has allowed customer product test traceability

and visibility throughout the manufacturing test process.

Our Manufacturing Test Solution Development team provides integral support to the design teams to embed design with testability and to promote efficient capital and resource investment in the manufacturing process.

The use of software driven instrumentation and test process design and management has enhanced our product quality and reduced our operating costs relative to human dependent test processes.

The full electronic test data-log of customer products has allowed customer product test traceability and visibility throughout the manufacturing test process.

Fabrication and Assembly

We offer systems assembly, test, direct-order fulfillment and

configure-to-order services to our customers.

We offer systems assembly, test, direct-order fulfillment and configure-to-order services to our customers.

Our systems assembly services extend our range of assembly activities to include assembly of higher-level sub-systems and systems incorporating multiple PCBAs.

In addition, based on quality assurance programs developed with our customers, we provide testing services for our PCBAs,

sub-systems and systems products.

In addition, based on quality assurance programs developed with our customers, we provide testing services for our PCBAs, sub-systems and systems products.

Our quality assurance programs include circuit testing under various environmental conditions to ensure that our products meet or exceed required customer specifications.

also offer direct-order fulfillment and configure-to-order services for delivery of final products.

We also offer direct-order fulfillment and configure-to-order services for delivery of final products.

Technology and Research and Development

We believe that our manufacturing and testing technologies are among the most advanced in our industry.

To meet our customers

increasingly sophisticated needs, we continuously engage in R&D activities designed to create new and improved products and manufacturing solutions for our customers.

Through our R&D efforts, we intend to continue to offer our customers

highly automated, continuous flow manufacturing process technologies for precise and aesthetic mechanical components and system assembly.

To meet our customers’ increasingly sophisticated needs, we continuously engage in R&D activities designed to create new and improved products and manufacturing solutions for our customers.

Through our R&D efforts, we intend to continue to offer our customers highly automated, continuous flow manufacturing process technologies for precise and aesthetic mechanical components and system assembly.

These technologies and R&D activities include:

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Material processing research (including plastics, metal, glass and ceramic)

Additive manufacturing

We engage in R&D activities for many products including mobile internet devices and associated accessories, multi-media tablets, two-way radios, health care and life science products, server and storage products, set-top and digital home products and printing products.

Customers and Marketing

A key tenet of

our strategy is to establish and maintain long-term relationships with leading companies in expanding industries with the size and growth characteristics that can benefit from highly automated, continuous flow manufacturing on a global scale.

small number of customers and significant industry sectors have historically comprised a major portion of our net revenue.

A key tenet of our strategy is to establish and maintain long-term relationships with leading companies in expanding industries with the size and growth characteristics that can benefit from highly automated, continuous flow manufacturing on a global scale.

A small number of customers and significant industry sectors have historically comprised a major portion of our net revenue.

We also market our services and solutions through our website and our Blue Sky Innovation Centers.

In fiscal year 2019, our five largest customers accounted for approximately 42% of our net revenue and 85 customers accounted for

approximately 90% of our net revenue.

In fiscal year 2020 , our five largest customers accounted for approximately 47% of our net revenue and 73 customers accounted for approximately 90% of our net revenue.

The table below sets forth the respective portion of net revenue attributable to the customers that accounted for approximately 10% or more of our net revenue during the periods indicated:

Fiscal Year Ended August 31,

* Amount was less than 10% of total.

Our business is highly competitive.

We compete against numerous domestic and foreign electronic manufacturing service providers, diversified

manufacturing service providers and design providers.

We also face competition from the manufacturing operations of our current and potential customers, who are continually evaluating the merits of manufacturing products internally against the

advantages of outsourcing.

We compete with different companies depending on the type of service we are providing or the geographic area

in which an activity takes place.

We compete against numerous domestic and foreign electronic manufacturing service providers, diversified manufacturing service providers and design providers.

We also face competition from the manufacturing operations of our current and potential customers, who are continually evaluating the merits of manufacturing products internally against the advantages of outsourcing.

We compete with different companies depending on the type of service we are providing or the geographic area in which an activity takes place.

We believe that the principal competitive factors in the manufacturing services market are:

accelerated production

time-to-market;

accelerated production time-to-market;

higher efficiencies;

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advanced technologies;

improved pricing of components.

We believe we are

extremely competitive with regard to all of these factors.

and improved pricing of components.

We believe we are extremely competitive with regard to all of these factors.

Our order backlog as of August 31, 2020 and 2019 was valued at approximately $7.4 billion and $6.2 billion , respectively.

order backlog is expected to be filled within the current fiscal year.

Our order backlog is expected to be filled within the current fiscal year.

Although our backlog consists of firm purchase orders, the level of backlog at any particular time may not be necessarily indicative of future sales.

Given the nature of our

relationships with our customers, and the fact that we generally do not enter into long-term purchase commitments with our customers, we frequently allow our customers to cancel or reschedule deliveries, and therefore, backlog is often not a

meaningful indicator of future financial results.

Given the nature of our relationships with our customers, and the fact that we generally do not enter into long-term purchase commitments with our customers, we frequently allow our customers to cancel or reschedule deliveries, and therefore, backlog is often not a meaningful indicator of future financial results.

Components Procurement

We procure components from a broad group of suppliers, determined on an

assembly-by-assembly basis.

We procure components from a broad group of suppliers, determined on an assembly-by-assembly basis.

Our global sourcing and purchasing locations are strategically placed in various countries throughout the world along with our global commodity management and supplier relationship teams.

These locations manage our end-to-end procurement lifecycle.

This regionalized expertise along with our supplier relationships provide efficient procurement operations.

Some of the products we manufacture contain one or more components that are only available from a single source.

Some of these components are

allocated from time to time in response to supply shortages.

Some of these components are allocated from time to time in response to supply shortages.

In some cases, supply shortages will substantially curtail production of all assemblies using a particular component.

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We regard certain aspects of our design, production and product management services as proprietary intellectual property.

To protect our trade

secrets, manufacturing know-how and other proprietary rights, we rely largely upon a combination of intellectual property laws, non-disclosure agreements with our

customers, employees, and suppliers and our internal security systems, policies and procedures.

To protect our trade secrets, manufacturing know-how and other proprietary rights, we rely largely upon a combination of intellectual property laws, non-disclosure agreements with our customers, employees, and suppliers and our internal security systems, policies and procedures.

We currently have a relatively modest number of patents for various innovations.

We believe that our research and design activities, along with

developments relating thereto, may result in growth of our patent portfolio and its importance to us, particularly as we expand our business activities.

Other factors significant to our proprietary rights include the knowledge and

experience of our management and personnel and our ability to develop, enhance and market manufacturing services.

We license some

technology and intellectual property rights from third parties that we use in providing some of our design, production and product management services to our customers.

Generally, the license agreements that govern such third-party technology and

intellectual property rights grant us the right to use the subject technology anywhere in the world and terminate upon a material breach by us.

As of August 31, 2019, we

employed approximately 200,000 people worldwide.

We believe that our research and design activities, along with developments relating thereto, may result in growth of our patent portfolio and its importance to us, particularly as we expand our business activities.

Other factors significant to our proprietary rights include the knowledge and experience of our management and personnel and our ability to develop, enhance and market manufacturing services.

We license some technology and intellectual property rights from third parties that we use in providing some of our design, production and product management services to our customers.

Generally, the license agreements that govern such third-party technology and intellectual property rights grant us the right to use the subject technology anywhere in the world and terminate upon a material breach by us.

As of August 31, 2020 , we employed approximately 240,000 people worldwide.

None of our U.S.

domestic employees are represented by a labor union.

domestic employees have chosen to be represented by a labor union.

In certain international locations, our employees are represented by labor unions and by works councils.

We have never experienced

a significant work stoppage or strike and we believe that our employee relations are good.

We have never experienced a significant work stoppage or strike and promote a culture of positive employee relations.

Environmental

We are subject to a variety of federal, state, local and foreign environmental, health and safety, product stewardship and producer

responsibility laws and regulations, including those relating to the use, storage, discharge and disposal of hazardous chemicals used during our manufacturing process, those governing worker health and safety, those requiring design changes, supply

chain investigation or conformity assessments or those relating to the recycling or reuse of products we manufacture.

Information about our Executive

We are subject to a variety of federal, state, local and foreign environmental, health and safety, product stewardship and producer responsibility laws and regulations, including those relating to the use, storage, discharge and disposal of hazardous chemicals used during our manufacturing process, those governing worker health and safety, those requiring design changes, supply chain investigation or conformity assessments or those relating to the recycling or reuse of products we manufacture.

Information about our Executive Officers

Executive officers are appointed by the Board of Directors and serve at the discretion of the Board.

Except as otherwise

noted below, each executive officer is a full-time employee of Jabil.

Except as otherwise noted below, each executive officer is a full-time employee of Jabil.

There are no family relationships among our executive officers and directors.

There are no arrangements or understandings between any of our executive officers and any other

persons pursuant to which any of such executive officers were selected.

There are no arrangements or understandings between any of our executive officers and any other persons pursuant to which any of such executive officers were selected.

Below is a list of our executive officers:

(age 51) was named Executive Vice President, Chief Executive Officer, Healthcare in September 2016.

Borges joined Jabil in 1993 and has global experience in positions of increasing responsibility in Operations, Business Development,

Manufacturing Operations and Supply Chain Management.

Borges (age 52 ) was named Executive Vice President, Chief Executive Officer, Regulated Industries in September 2020 with additional responsibility for Additive Manufacturing.

Borges served as Executive Vice President, Chief Executive Officer, Healthcare from September 2016 through August 2020.

Borges joined Jabil in 1993 and has global experience in positions of increasing responsibility in Operations, Business Development, Manufacturing Operations and Supply Chain Management.

He holds a Bachelor’s Degree in Business Administration and Management from Fitchburg State University.

Cadavid (age 64 ) was named Senior Vice President, Treasurer in September 2013.

Cadavid joined Jabil in 2006 as

Cadavid joined Jabil in 2006 as Treasurer.

Prior to joining Jabil, Mr.

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He has also held various positions with The Quaker Oats Company, Arthur Andersen & Co.

Enterprises, Inc.

Family Enterprises, Inc.

He holds an M.B.A.

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from Florida International University.

Chamulak (age 48) was named Senior Vice President, Chief Executive Officer, Jabil Packaging Solutions in July 2018.

Prior to joining Jabil, Ms.

Chamulak was Vice President and General Manager of Personal

Care & Home Care, a business unit of Aptar Inc., a global supplier of dispensing and sealing solutions based in Crystal Lake, Illinois.

Chamuluk served as the President, Global Market Development for Aptars Beauty +

Home, Personal Care Business Unit from 2016 to 2017 and served as the General Manager, Aptar Midland from 2013 to 2016.

She joined Aptar in 1992 and held positions of increasing responsibility with Aptar.

Chamulak has a B.A.

Marketing and International Business from Carthage College and an MBA from Marquette University.

Michael Dastoor (age 54) was named

Executive Vice President, Chief Financial Officer effective September 2018.

Michael Dastoor (age 55 ) was named Executive Vice President, Chief Financial Officer effective September 2018.

Dastoor joined Jabil in 2000 as Regional Controller – Asia Pacific and was named Controller in June 2004 and Senior Vice President, Controller in July 2010.

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He holds a degree in Finance and Accounting from the University of Bombay.

Dastoor is a Chartered Accountant from the Institute of Chartered

Accountants in England and Wales.

Johnson (age 63) was named Senior Vice President, Chief Human Resources

Officer in January 2017.

Johnson joined Jabil in 2015 as Vice President, Human Resources.

Dastoor is a Chartered Accountant from the Institute of Chartered Accountants in England and Wales.

Johnson (age 64 ) was named Executive Vice President, Chief Human Resources Officer in January 2019.

Johnson joined Jabil in 2015 as Vice President, Human Resources and was promoted to Senior Vice President, Chief Human Resources Officer in 2017.

Prior to joining Jabil, Mr.

Johnson was Chief Organizational Effectiveness Officer/Executive Vice President, Human Resources for C&S

Wholesale Grocers, Inc., a wholesale distributor of food and grocery items with headquarters in Keene, New Hampshire from 2007 to 2014.

Johnson also served in senior roles at The Timberland Company, a footwear and apparel designer, retailer

and manufacturer in New Hampshire, and E.I.

Johnson was Chief Organizational Effectiveness Officer/Executive Vice President, Human Resources for C&S Wholesale Grocers, Inc., a wholesale distributor of food and grocery items with headquarters in Keene, New Hampshire from 2007 to 2014.

Johnson also served in senior roles at The Timberland Company, a footwear and apparel designer, retailer and manufacturer in New Hampshire, and E.I.

Du Pont De Nemours and Company (Du Pont) in Delaware.

He holds a Bachelor of Arts in History from Middlebury College in Vermont.

Katz (age 57) joined Jabil in March 2016 and was named Executive Vice President, General Counsel and Corporate Secretary in

September 2016.

Katz (age 58 ) joined Jabil in March 2016 and was named Executive Vice President, General Counsel and Corporate Secretary in September 2016.

Katz transitioned the Corporate Secretary role to a member of his staff in April 2017.

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Prior to joining Jabil, Mr.

Katz served as Executive Vice

President, General Counsel and Secretary of SharkNinja, a vacuum and kitchen appliance manufacturer.

Katz served as Executive Vice President, General Counsel and Secretary of SharkNinja, a vacuum and kitchen appliance manufacturer.

He was previously Senior Vice President and General Counsel of Ingersoll Rand plc, a diversified industrial manufacturer, from 2010 to 2015.

Katz served as Senior Vice President, General Counsel, Corporate Secretary and Chief Compliance Officer of Federal-Mogul Corporation from 2007 to 2010.

From 1999 to 2007 he was General CounselEMEA for Delphi Corporation in Paris,

From 1999 to 2007 he was General Counsel—EMEA for Delphi Corporation in Paris, France.

He began his career with Milbank, Tweed, Hadley & McCloy working in the Mergers and Acquisitions and General Corporate Group in New York and London.

He earned a Bachelor of Laws (LL.B.) and a Bachelor of Civil Law (B.C.L.) from

McGill University.

He earned a Bachelor of Laws (LL.B.) and a Bachelor of Civil Law (B.C.L.) from McGill University.

He is a member of the New York Bar.

Loparco (age 48) was named Executive Vice President, Chief

Executive Officer, Engineered Solutions Group in January 2016.

Loparco (age 49 ) was named Executive Vice President, Chief Executive Officer, Electronic Manufacturing Services (EMS) in September 2020;

and currently also has responsibility for Jabil’s Enterprise Supply Chain Strategies and Global IT.

Previously, Mr.

Loparco served as Executive Vice President, Chief Executive Officer, Industrial and Energy, Senior Vice President, Global Business Units in Jabils High

Velocity business and held a variety of global management positions.

Loparco served as Executive Vice President, Chief Executive Officer.

Engineered Solutions Group since January 2016;

and also had responsibility for Jabil’s Enterprise Supply Chain, Procurement and

certain strategic investments.

Prior to that, Mr.

Loparco served as President, Chief Executive Officer of Jabil’s High Velocity and Energy & Industrial Division and held a variety of global management positions.

Before joining Jabil in 1999, Mr.

Loparco was an attorney at Holland & Knight, LLP, practicing corporate and commercial litigation.

He holds a Juris Doctorate

from Stetson University College of Law.

He holds a Bachelor of Arts in International Business, with minor degrees in Spanish and Business Management, from Eckerd College.

Loparco was an attorney at Holland & Knight, LLP, practicing corporate and commercial litigation and serving as a certified mediator.

He holds a Juris Doctorate from Stetson University College of Law.

He holds a Bachelor of Arts in International Business, with minor degrees in Business Management and Spanish, from Eckerd College.

Mark Mondello (age 56 ) has served as Chief Executive Officer and a member of the Board of Directors since March 2013.

joined Jabil in 1992 as a manufacturing supervisor.

Mondello was promoted to Project Manager in 1993, named Vice President, Business Development in 1997, Senior Vice President, Business Development in 1999 and served as Chief Operating

Officer from 2002 to 2013.

Mondello served as Chief Operating Officer from 2002 to 2013.

Mondello joined Jabil in 1992 as a manufacturing supervisor and has held various leadership roles, including SVP, Business Development.

Prior to joining Jabil, Mr.

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in Mechanical Engineering from the University of South Florida.

Alessandro Parimbelli (age 51) was named Executive Vice President, Chief Executive Officer, Enterprise and Infrastructure in July 2013.

Parimbelli joined Jabil in 1998 as a Test Engineering Manager.

At Jabil, Mr.

Parimbelli served in business management positions in Boise, Idaho and Paris, France before being promoted to Vice President, Global Business Units in 2006.

From 2010 through 2012, Mr.

Parimbelli was Senior Vice President, Global Business Units and was responsible for Jabils Enterprise and Infrastructure business.

Prior to joining Jabil, Mr.

Parimbelli held various engineering positions

within Hewlett-Packard and other software engineering companies.

He holds an MBA from Colorado State University and a Software Engineering degree from Politecnico of Milan, Italy.

Ryan (age 49) was named Executive Vice President, Corporate Development/Chief of Staff in July 2016.

Jabil in 1993 as a Quality Engineer and worked his way through various operations and business development management positions.

He was named Senior Vice President, Global Business Units in 2007.

Ryan served as Executive Vice President,

Chief Executive Officer, Nypro from July 2013 to June 2016.

Ryan holds an MBA with a concentration in Decision and Information Science and a Bachelor of Arts in Economics, both from the University of Florida.

He also serves on the

University of Floridas MBA and Supply Chain Advisory Board.

Daryn Smith (age 49) was named Senior Vice President,

Enterprise & Commercial Controller effective September 2018.

Daryn Smith (age 50 ) was named Senior Vice President, Enterprise & Commercial Controller effective September 2018.

Smith served as Chief Financial Officer of EMS from June 2013 through June 2018.

Smith joined Jabil in 2002 and he has held various leadership roles in Risk and

Assurance, Financial Planning and Analysis, and Controllership for Jabil.

Smith joined Jabil in 2002 and he has held various leadership roles in Risk and Assurance, Financial Planning and Analysis, and Controllership for Jabil.

Prior to joining Jabil, Mr.

Smith was with the Assurance and Advisory Services practice for Arthur Andersen.

He holds a Bachelors degree in Accounting from the

University of South Florida and an MBA from the University of Florida.

Wilson (age 54) was named Executive Vice

President and CEO of Jabil Green Point in 2017.

He holds a Bachelor’s degree in Accounting from the University of South Florida and an MBA from the University of Florida.

Wilson (age 55 ) was named Executive Vice President and CEO of Jabil Green Point in 2017 and assumed responsibility for Consumer Packaging and Corporate Procurement in September 2020.

Prior to that, Mr.

Wilson was Senior Vice President of the Telecommunications Infrastructure Sector within Jabil’s Enterprise & Infrastructure group.

He first joined Jabil in 2000 as

a business unit manager;

He first joined Jabil in 2000 as a business unit manager;

and has held various leadership roles, including VP of Global Business Units, running businesses such as consumer electronics and telecommunications.

Prior to Jabil, he spent 8 years at Motorola, where he served as

Operations Director in their Handset Division.

Prior to Jabil, he spent 8 years at Motorola, where he served as Operations Director in their Handset Division.

Wilson has a Bachelor’s degree in Manufacturing Engineering and a MBA from Edinburgh Business School.

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Street North, St.

Petersburg, Florida 33716, and our

telephone number is (727) 577-9749.

Petersburg, Florida 33716, and our telephone number is (727) 577-9749.

We were incorporated in Delaware in 1992.

Our website is located at http://www.jabil.com.

Through a link on the Investors section of our website, we make

available our Annual Report on Form 10-K, our Quarterly Reports on Form 10-Q, our Current Reports on Form 8-K and any amendments

to those reports, free of charge, as soon as reasonably practicable after they are electronically filed with, or furnished to, the SEC.

The SEC maintains an Internet site that contains reports, proxy and information statements, and other information

regarding issuers that file electronically with the SEC (http://www.sec.gov).

Through a link on the “Investors” section of our website, we make available our Annual Report on Form 10-K, our Quarterly Reports on Form 10-Q, our Current Reports on Form 8-K and any amendments to those reports, free of charge, as soon as reasonably practicable after they are electronically filed with, or furnished to, the SEC.

The “Investors” section of our website contains a significant amount of information about our Company, including financial and other information for investors.

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We encourage investors, the media and others interested in Jabil to visit our website.

Information on our website,

however, is not a part of this report.

Information on our website, however, is not a part of this report.

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.

What changed 10-K

Item 1. Business