An investment in securities involves a high degree of risk. All investors should carefully consider the following factors in addition to the other information in this investor relations website before investing in Marisa’s securities. In general, investing in the securities of issuers in emerging market countries, such as Brazil, involves a higher degree of risk than investing in the securities of U.S. issuers or issuers in other countries with highly developed capital markets. The risks described below are those known to Marisa and are believed to materially affect the Company. Additional risks not known to Marisa or irrelevant may also affect your business. Marisa’s business, financial condition, results of operations and prospects may be materially and adversely affected by any of these risks.
- The Brazilian government has exercised, and continues to exercise, significant influence over the Brazilian economy. This involvement, as well as Brazilian political and economic conditions, may adversely affect the Company and the market price of its common shares;
- The level of unemployment in the country directly influences the flow of customers in the store, and their confidence at the time of purchase, which can negatively impact Marisa’s business;
- Inflation and government efforts to combat inflation may contribute significantly to economic uncertainty in Brazil and could adversely affect Marisa;
- Exchange rate instability may adversely affect the Brazilian economy and the market price of the Company’s common shares;
- Developments and the perception of risk in other countries, especially emerging market countries, may adversely affect the market price of Brazilian securities, including Marisa’s common shares.
- The clothing retail industry is affected by reductions in the purchasing power of lower- income consumers and unfavorable economic cycles;
- The clothing retail industry in Brazil is characterized by intense competition;
- Historically, Marisa’s sales are affected by seasonal fluctuations.
- The Company is exposed to risks associated with the concession of credit;
- Marisa may not react efficiently to changes in fashion trends and consumer preferences;
- The Company depends on the continued service of its senior executive officers;
- The Company’s management is strongly influenced by its controlling shareholder.
- Volatility and lack of liquidity in the Brazilian securities markets may substantially limit your ability to sell Marisa’s common shares at the price and time you desire;
- An active and liquid market for the Company’s common shares may not develop;
- Marisa may need additional capital and may elect to obtain it through the issue of securities. This decision may affect the market price of the Company’s common shares and result in a dilution of your holdings in Marisa’s common shares;
- Marisa’s Bylaws contain provisions that protect the Company’s against hostile takeovers. These provisions may prevent or delay transactions that may be of interest to you. Under certain circumstances, amending Marisa’s Bylaws to eliminate these provisions may also be contrary to the interests of investors;
- Control exercised by the controlling shareholder group limits the ability of investors to influence corporate issues.
Legal Notes
Marisa’s investor relations website includes forward-looking statements that are subject to risks and uncertainties. These statements are based on the beliefs and assumptions of its management, and on information currently available to the Company. Forward-looking statements include statements regarding the Company’s or Management’s current intentions, beliefs or expectations with respect to a number of matters, including the highlights, but not limited to:
- general economic, political and business conditions in Brazil;
- the interests of Marisa’s controlling shareholder;
- changes in customer demand, preferences and purchasing power as well as increased market competition;
- the continued success of the Company’s marketing and sales efforts;
- changes in the costs of its products and operating costs;
- the Company’s customers’ creditworthiness;
- Marisa’s ability to offer its customers competitive credit products;
- the Company’s level of indebtedness and other financial obligations;
- Marisa’s ability to implement its expansion strategies;
- inflation, depreciation of the Brazilian real, interest rate fluctuations and increased rates of unemployment in Brazil;
- changes in current or future Brazilian laws and regulations;
- measures taken by the Brazilian government that result in changes to taxes, tariffs, the Brazilian regulatory framework and the economy;
- other factors or trends affecting the Company’s financial condition or results of operations and the ones discussed under the section Risk Factors; and
- other statements contained in this website regarding matters that are not historical facts.
Investors should understand that the above-mentioned factors, in addition to others discussed in this investor relations website, among others, could affect Marisa’s future results and could cause results to differ materially from those expressed in the forward-looking statements made in this website or files herein posted.
Forward-looking statements also include information concerning the Company’s possible or assumed future results of operations set forth under several sections in this investor relations website, as well as statements preceded by, followed by, or that include the words ‘‘believes,’’ ‘‘may,’’ ‘‘continues,’’ ‘‘expects,’’ ‘‘anticipates,’’ ‘‘intends,’’ ‘‘plans,’’ ‘‘estimates’’ or similar expressions.
Forward-looking statements are not guarantees of performance. They involve risks, uncertainties and assumptions because they relate to future events and therefore depend on circumstances that may or may not occur. Marisa’s future business, financial condition, results of operations, prospects, strategies, market share and shareholder values may differ materially from those expressed in or suggested by these forward-looking statements. Many of the factors that will determine these results and values are beyond the Company’s ability to control or predict.
Investors are cautioned not to put undue reliance on any forward-looking statements.