American Greetings Identifies More Risk Less Opportunity

American Greetings (AM) posted results which looked like improvements. They made money instead of losing it. They did not write off goodwill like they did last time. Yadda Yadda Yadda. Take a look at what they consider to be risk factors which they feel compelled to include in their press release. This is a classic case of anal retentive management who are afraid of lawsuits. Some of the risk factors include such standard business issues such as

1. Can they comply with their financial covenants
2. Will consumers and the market place accept their products
3. The impact of Technology on their core products
4. The company’s ability to achieved the desired accretive effect from share re-purchase programs.

The last one is my favourite.