23 unchanged sentences
An overall labor shortage, lack of skilled labor, increased turnover, or higher labor costs could adversely impact our operations and profitability.
−Removed: A disruption in the movement of rail traffic has impaired and could continue to impair our ability to deliver railcars and other products to our customers in a timely manner, which could prevent us from meeting customer demand, reduce our sales, and negatively impact our results of operations.
+Added: A disruption in the movement of rail traffic could impair our ability to deliver railcars and other products to our customers in a timely manner, which could prevent us from meeting customer demand, reduce our sales, and negatively impact our results of operations.
Once a railcar or other product is manufactured in one of our plants, it must be moved by rail to a customer delivery point.
1 unchanged sentence
Many different and unrelated factors could cause a delay in our ability to move our goods in a timely manner from the manufacturing plant to the delivery point, including physical disruptions such as armed conflict, natural disasters and power outages;
−Removed: strikes, labor stoppages or shortages hindering the operation of railroads and related transportation infrastructure;
+Added: strikes, labor stoppages, border closures, or shortages hindering the operation of railroads and related transportation infrastructure;
regulatory and bureaucratic inefficiency and unresponsiveness;
2 unchanged sentences
A material disruption in the movement of rail traffic could negatively impact our business and results of operations.
−Removed: In September and December 2023, the U.S.
−Removed: Customs and Border Patrol suspended U.S.
−Removed: bound cross-border traffic in Eagle Pass, Texas, the primary border crossing we use for railcar deliveries from our manufacturing facilities in Sabinas and Monclova, Mexico.
−Removed: These closings negatively impacted our deliveries of railcars.
−Removed: Although rail traffic operations have resumed at Eagle Pass, there is ongoing instability at the border, and there can be no assurance that similar border closings or congestion will not occur in the future.
Fluctuations in the price and supply of materials used in the production of our products, including inflationary pressures, could have a material adverse effect on our ability to cost-effectively manufacture and sell our products.
In some instances, we rely on a limited number of suppliers for certain materials required in our production.
−Removed: A significant portion of our business depends on the adequate supply of numerous specialty and other parts and components at competitive prices such as brakes, wheels, side frames, bolsters, and bearings for the railcar business.
−Removed: During 2023, we experienced significantly elevated commodity and supply chain costs, including the costs of labor, raw materials, energy, fuel, materials and other inputs necessary for the production of our products, and elevated levels of volatility may continue in 2024.
+Added: A significant portion of our business depends on the adequate supply of numerous specialty and other parts and components at competitive prices, such as brakes, wheels, side frames, bolsters, and bearings for the railcar manufacturing business.
+Added: Additionally, from time to time, we have experienced volatility in commodity and supply chain costs, including the costs of labor, raw materials, energy, fuel, materials and other inputs necessary for the production of our products.
Our manufacturing operations partially depend on our ability to obtain timely deliveries of materials in acceptable quantities and quality from our suppliers.
10 unchanged sentences
Many items manufactured by us in Mexico are sold in the U.S., and the transportation and import of such products may be disrupted.
−Removed: As noted above, closings of the U.S.-Mexico border to cross-border rail traffic in Eagle Pass, Texas in 2023 negatively impacted our deliveries of railcars.
−Removed: In addition, increased state vehicular inspections at the border in 2023 resulted in truck traffic congestion, negatively impacting the Company’s supply chain.
The countries in which we operate, including Canada and Mexico, have regulatory authorities that regulate products sold or used in those countries.
6 unchanged sentences
and restrictions or regulations affecting cross-border rail and vehicular traffic could limit operations, affecting production throughput and making the manufacture and distribution of our products less timely or more difficult.
−Removed: Furthermore, any material change in the quotas, regulations, or duties on imports imposed by the U.S.
+Added: Furthermore, any material change in the quotas, regulations, tariffs, or duties on imports imposed by the U.S.
government and agencies, or on exports by the government of Mexico or its agencies, could affect our ability to export products that we manufacture in Mexico.
46 unchanged sentences
Any material failure or interruption of service, including potential disruption from periodic financial or operating system upgrades, could adversely affect our relations with suppliers and customers, place us in violation of confidentiality and data protection laws, rules, and regulations, and result in negative impacts to our market share, operations, profitability, and reputation.
−Removed: We face risks related to cybersecurity attacks and other breaches of our systems and information technology.
+Added: We face risks related to cybersecurity attacks and other breaches of our information systems and technology.
We rely on the proper functioning and availability of our information technology systems, some of which are dependent on services provided by third parties, in operating our business.
3 unchanged sentences
These incidents have not had a material adverse impact on our operations, and, to date, the Company has not experienced a material information security breach itself.
−Removed: However, failure to prevent or mitigate data loss or system intrusions from cybersecurity attacks or other security breaches could expose us, our vendors, or our customers to a risk of loss or misuse of such information, adversely affect our operating and financial results, restrict or prevent operations or financial reporting, result in litigation or potential liability and otherwise harm our business.
+Added: However, failure to prevent or mitigate data loss or system intrusions from cybersecurity attacks or other security breaches could expose us, our vendors, or our customers to a risk of loss or misuse of such information, adversely affect our operating and financial results, restrict or prevent operations or financial reporting, result in litigation, potential liability, or regulatory risk and otherwise harm our business.
Likewise, data privacy breaches from our systems could expose personally identifiable information of our employees or contractors, sensitive customer data, or vendor data to unauthorized persons, adversely impacting our customer service, employee relationships, and our reputation.
32 unchanged sentences
We are currently, and may from time to time be, involved in various claims or legal proceedings arising out of our operations.
−Removed: We provide a variety of railcar-related products and services, including, among others, leasing, manufacturing, components and parts, and maintenance.
+Added: We provide a variety of railcar-related products and services, including, among others, leasing, manufacturing, components and parts, maintenance, and digital and logistics products and services.
Accidents, including derailments, involving our products or services could lead to litigation and subject us to significant civil, regulatory, or criminal liability.
2 unchanged sentences
As a result, there could be a material adverse effect on our business, operations, or financial condition.
−Removed: See Note 15 of the Consolidated Financial Statements for more detailed information on any material pending legal proceedings other than ordinary routine litigation incidental to our business, including the current status of the highway products litigation for which the Company retained certain obligations following the sale of the highway products business.
+Added: See Note 15 of the Consolidated Financial Statements for more detailed information on any material pending legal proceedings other than ordinary routine litigation incidental to our business.
While state and federal procedural rules exist to curtail the filing of claims against the Company in jurisdictions unrelated to the underlying claims, courts may not enforce these rules, exposing us to a greater likelihood of unfavorable results and increased litigation costs.
16 unchanged sentences
In addition, insurance may not adequately compensate us for any losses incurred as a result of natural or other disasters, which may adversely affect our financial condition.
−Removed: Any significant delay in deliveries not otherwise contractually mitigated by favorable force majeure provisions could result in cancellation of all or a portion of our orders, cause us to lose future sales, and negatively affect our reputation and our results of operations.
+Added: Any significant delay in deliveries not otherwise contractually mitigated by favorable force majeure provisions could result in cancellation of all or a portion of our orders, late delivery penalties, cause us to lose future sales, and negatively affect our reputation and our results of operations.
Climate change and business, regulatory, and legal developments regarding climate change may affect the demand for our products or the ability of our critical suppliers to meet our needs.
26 unchanged sentences
Railcars as a significant mode of transporting freight could decline, experience a shift in types of modal transportation, and/or certain railcar types could become obsolete.
−Removed: As the freight transportation markets we serve continue to evolve, the use of railcars may decline in favor of other more economic transportation modalities or the number of railcars needed to transport current or an increasing volume of goods may decline.
+Added: As the freight transportation markets we serve continue to evolve, the use of railcars may decline in favor of other more economical transportation modalities or the number of railcars needed to transport current or an increasing volume of goods may decline.
Features and functionality specific to certain railcar types could result in those railcars becoming obsolete as customer requirements for freight delivery change or as regulatory mandates are promulgated that affect railcar design, configuration, and manufacture.
5 unchanged sentences
Disputes with regard to the terms of these agreements or our potential inability to negotiate acceptable contracts with these unions in the future could result in, among other things, strikes, work stoppages or other slowdowns by the affected workers.
−Removed: We cannot be assured that our relations with our workforce will remain positive or that union organizers will not be successful in future attempts to organize at some of our facilities.
+Added: We cannot be assured that our relations with our workforce will remain positive or that union organizers will not be successful in future attempts to organize at some of our U.S.
If our workers were to engage in a strike, work stoppage or other slowdown, or other employees were to become unionized, or the terms and conditions in future labor agreements were renegotiated, we could experience a significant disruption of our operations and higher ongoing labor costs.
1 unchanged sentence
Similar risks may exist with respect to our suppliers.
−Removed: We may be unable to effectively implement organizational redesigns, cost reductions, or restructuring efforts and our business might be adversely affected.
+Added: We may be unable to effectively implement organizational redesigns, cost reductions, and/or restructuring efforts and our business might be adversely affected.
From time to time we engage in organizational redesigns, cost reductions, and/or similar restructuring plans, which may include organizational changes, workforce reductions, facility consolidations or closures, and other cost reduction initiatives.
3 unchanged sentences
The Company could potentially fail to successfully integrate new businesses or products into its current business.
−Removed: The Company routinely engages in the search for growth opportunities, including assessment of merger and acquisition prospects in new markets and/or products.
+Added: The Company routinely searches for growth opportunities, including assessment of merger and acquisition prospects in new markets and/or products.
Any merger or acquisition into which the Company enters is subject to integration into the Company's businesses and culture.
24 unchanged sentences
Any material and untimely changes in interest rates or exchange rates could result in significant losses to us.
−Removed: Interest rate increases in 2022 and 2023 resulted in increases in our interest costs, and the strengthening of the Mexican peso relative to the U.S.
−Removed: dollar during 2023 unfavorably impacted the operating results in our Rail Products Group.
Risks Related to Laws and Regulations
12 unchanged sentences
government actions relative to the federal budget, taxation policies, government expenditures, U.S.
−Removed: borrowing/debt ceiling limits, and trade policies could adversely affect our business and operating results.
+Added: borrowing/debt ceiling limits, and trade policies, including tariffs, could adversely affect our business and operating results.
Periods of impasse, deadlock, and last-minute accords may continue to permeate many aspects of U.S.
2 unchanged sentences
Such periods could negatively impact U.S.
−Removed: domestic and global financial markets thereby reducing customer demand for our products and services and potentially result in reductions in our revenues, increased price competition, or increased operating costs, any of which could adversely affect our business, results of operations, and financial condition.
+Added: domestic and global financial markets thereby reducing customer demand for our products and services and potentially resulting in reductions in our revenues, increased price competition, or increased operating costs, any of which could adversely affect our business, results of operations, and financial condition.
We produce many of our products at our manufacturing facilities in Mexico.
1 unchanged sentence
Any changes in trade or tax policies by the U.S.
−Removed: or foreign governments in jurisdictions in which we do business, as well as any embargoes, quotas or tariffs imposed on our products and services, could adversely and significantly affect our financial condition and results of operations.
+Added: or foreign governments in jurisdictions in which we do business, as well as any embargoes, quotas, tariffs, or retaliatory tariffs imposed on our products and services, could adversely and significantly affect our financial condition and results of operations, our costs, the demand for our products and services, and the broader North American industrial economy and rail market.
We have potential exposure to environmental liabilities that may increase costs and lower profitability.
19 unchanged sentences
There is no assurance that the U.S.
−Removed: government will reauthorize, modify, or otherwise not allow the expiration of tax benefits, such as accelerated depreciation.
−Removed: Changes to income tax laws and regulations have resulted in the phase-out of bonus depreciation, which began in 2023 and will continue through 2026.
+Added: government will reauthorize, modify, or otherwise not allow the expiration of tax benefits.
+Added: For example, changes to income tax laws and regulations have resulted in the phase-out of bonus depreciation, which began in 2023 and will continue through 2026.
In such instances where benefits are allowed to expire or are otherwise modified or discontinued, the demand for our products could decrease, thereby creating the potential for a material adverse effect on our financial condition or results of operations.
27 unchanged sentences
The initiation of any such litigation or an unfavorable result could have a material adverse effect on our financial condition and results of operations.
−Removed: See Note 15 of the Consolidated Financial Statements for more detailed information on any material pending legal proceedings other than ordinary routine litigation incidental to our business, including the current status of the Company's highway products litigation.
+Added: See Note 15 of the Consolidated Financial Statements for more detailed information on any material pending legal proceedings other than ordinary routine litigation incidental to our business.
There can be no assurance that we will continue to pay dividends at current levels or will repurchase shares of our common stock.
4 unchanged sentences
A small number of stockholders could significantly influence our business.
−Removed: A small number of stockholders collectively control more than 20% of our outstanding common stock.
+Added: A small number of stockholders collectively control a significant amount of our outstanding common stock.
Accordingly, a small number of stockholders could affect matters that require stockholder approval, such as the election of directors and the approval of significant business transactions.
8 unchanged sentences
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.