10 paragraphs in Risk Factors of the 10-K filed May 21, 2026
with nothing like them in the 10-K filed May 22, 2025. Quoted exactly.
Paragraphs that were only edited are under 10-K change.
Compared with the Risk Factors in the latest 10-K of the other 46 Consumer discretionary companies:
a paragraph with at least half its words the same at another company is called similar, and the companies are listed under it.
A paragraph most of them have is marked boilerplate. No line means no other company has one like it.
This counts text; it does not say how serious a risk is.
reduced retail traffic and the potential build-up of excess inventory as a result of store closures, other operational restrictions, and/or lower consumer demand; (iii) operational disruptions at our distribution centers and/or corporate facilities; (iv) potential declines in the level of consumer purchases of discretionary items; (v) our ability to attract, retain, and manage employees; (vi) the financial condition of our significant wholesale customers or licensing partners and their ability to meet obligations; (vii) our ability to successfully negotiate rent concessions and other relief with landlords; (viii) our ability to access capital markets and maintain compliance with debt covenants; and (ix) diversion of management attention and resources from ongoing business activities.
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further development of "private labels" and exclusive product offerings in an effort to differentiate themselves from competitors, could have a material adverse effect on our business.
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Our use and integration of artificial intelligence across our business presents risks and challenges that could adversely affect our business.
Similar paragraph at 4 of 46 other Consumer discretionary companies:
DECK,
MCD,
TSCO,
ULTAWe are increasingly evaluating and deploying AI technologies, including generative AI and machine learning, across various aspects of our business. AI presents evolving risks that may be difficult to predict or mitigate. These risks include heightened data privacy, cybersecurity, and data protection risks, as the use of AI may involve processing sensitive data and, in some cases, sharing data with third-party providers. Such use may increase the risk of unauthorized access to, misuse, or disclosure of confidential information or personal data, introduce system vulnerabilities, and enable more sophisticated fraud and cyber-attacks. Any such event could result in operational disruptions, remediation costs, litigation, regulatory scrutiny, and reputational damage.
AI tools and systems may be unavailable, fail to perform as intended, or produce inaccurate or misleading outputs, and may be vulnerable to manipulation. When incorporated into our business processes, such risks could result in errors, inefficiencies, operational disruptions, or diminished customer experiences, and employees' use of AI tools may not always comply with our policies or controls. Further, we may rely on third-party AI technologies, cloud infrastructure, and data sets that could be subject to outages, security incidents, or changes in pricing or contractual terms, which may result in operational disruptions or the termination of our relationship with the providers of such technologies. AI-related activities also raise intellectual property, confidentiality, and content integrity risks, including potential claims that training data or outputs infringe third-party rights or that AI-generated content is inappropriate or inaccurate. Such risks could result in disputes, liability, regulatory inquiries, and reputational damage.
Our ability to successfully develop and deploy AI depends on attracting, developing, and retaining talent with AI-related skills and expertise. Competition for such talent is intense. If we are unable to build and maintain necessary AI capabilities, including such talent, we may not realize anticipated efficiencies or innovation benefits, or we may be competitively disadvantaged relative to peers that more effectively leverage AI. Conversely, investments in AI may not deliver expected returns, particularly in the near term, if adoption is limited or performance does not meet expectations.
The legal and regulatory environment governing AI is rapidly evolving. Emerging laws and regulations in jurisdictions where we operate may impose new obligations, limit the use of AI, or require changes to our products, processes, or controls. Compliance with such requirements could increase costs and expose us to investigations, enforcement actions, fines, or litigation.
Any perceived or actual failure to use AI responsibly, including with respect to fairness, bias, transparency, or governance, or to meet evolving stakeholder expectations, could harm our brand and reputation, reduce customer trust, negatively impact our workforce, and subject us to increased regulatory scrutiny or litigation, any of which could adversely affect our business, financial condition, and results of operations.
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Executive actions at the U.S. federal level and legislation in multiple U.S. states have sought to restrict or penalize corporate consideration of ESG factors, while jurisdictions in Europe and certain U.S. states have simultaneously expanded ESG-related mandates and disclosure requirements. This increasingly divergent regulatory environment creates operational complexity and legal risk, as actions taken to comply with or advance citizenship and sustainability objectives in one jurisdiction may expose us to criticism, regulatory scrutiny, or potential penalties in another, including limitations on our ability to do business. Any failure to effectively navigate these conflicting requirements, or the perception that we have insufficiently or excessively pursued such initiatives, could adversely affect our reputation, business, financial performance and growth.
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We are involved in certain legal proceedings and regulatory matters and are subject from time to time to various claims involving alleged breach of contract claims, intellectual property and other related claims, escheatment and unclaimed property,
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New in the latest 10-Q
11 paragraphs in the 10-Q filed Nov 5, 2026 with nothing like
them in the 10-Q filed Aug 6, 2026 (at least half the words must differ; new numbers alone do not count).
Quoted exactly, grouped by the item heading above them. This is text that changed, not a judgement of how serious it is.
10-Q
The U.S. has implemented significant changes to its trade policies, including tariffs imposed under various statutory authorities. In February 2026, the U.S. Supreme Court invalidated tariffs previously imposed under the International Emergency Economic Powers Act ("IEEPA"). In March 2026, the U.S. Court of International Trade directed U.S. Customs and Border Protection to refund previously collected IEEPA tariffs. As a result, during the three months ended September 26, 2026, the Company recognized an $ 82.3 million benefit in cost of goods sold in the consolidated statements of operations related to the realization of refunds of tariffs it previously paid under IEEPA. The Company used a portion of these refunds for charitable donations and recognized a related expense of $ 33.2 million within restructuring and other charges, net in the consolidated statements of operations during the three months ended September 26, 2026.
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The Company performed its annual assessment of the recoverability of goodwill assigned to its reporting units using a quantitative approach as of the beginning of the second quarter of Fiscal 2027. The estimated fair values of the Company's reporting units, which were determined with the assistance of an independent third-party valuation firm using discounted cash flows and market comparisons, significantly exceeded their respective carrying amounts; no reporting unit was considered at risk of impairment. Accordingly, no goodwill impairment charges were recorded.
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2026 2025 Expected volatility(a) 36.7% 34.3% Expected dividend yield 1.0% 1.3% Risk-free interest rate 4.1% 3.7%
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(a) Cost of goods sold for the Company's reportable segments includes intercompany sourcing commission expense, which is eliminated in consolidation with an offsetting reduction to corporate expenses, net.
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• the potential impact on our business arising from the development, adoption, implementation, use, governance, and regulation of artificial intelligence, including operational, cybersecurity, data privacy, intellectual property, and third-party risks, as well as our ability to realize anticipated benefits from these technologies;
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The U.S. has implemented significant changes to its trade policies, including tariffs imposed under various statutory authorities. In February 2026, the U.S. Supreme Court invalidated tariffs previously imposed under IEEPA. In March 2026, the U.S. Court of International Trade directed U.S. Customs and Border Protection to refund previously collected IEEPA tariffs. As a result, during the three months ended September 26, 2026, we recognized an $82.3 million benefit in cost of goods sold in our consolidated statement of operations related to the realization of refunds of previously paid IEEPA tariffs. We are strategically reinvesting the refunds to support business growth and to initiatives that strengthen and advance our values and purpose, a portion of which was used for charitable donations of $33.2 million during the second quarter.
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We continue to monitor broader trade and economic developments. Following the U.S. Supreme Court's February 2026 decision, the U.S. imposed new tariffs under other trade authorities, and future trade policy actions remain uncertain. These developments could contribute to higher product costs and inflation, slower economic growth, supply chain disruptions, and volatility in global financial markets and foreign currency exchange rates.
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with U.S. GAAP. Reconciliations between this non-U.S. GAAP financial measure and the most directly comparable U.S. GAAP measure are included in the "Results of Operations" section where applicable.
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Six Months Ended September 26, 2026 Compared to Six Months Ended September 27, 2025
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• a favorable change in income tax receivables and payables driven by lower tax payments due to the absence of certain non-routine tax transactions that occurred in the prior year, as well as the timing of tax payments, partly offset by the higher level of pretax income.
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We performed our annual assessment of the recoverability of goodwill assigned to our reporting units using a quantitative approach as of the beginning of the second quarter of Fiscal 2027. The estimated fair values of our reporting units, which were determined with the assistance of an independent third-party valuation firm using discounted cash flows and market comparisons, significantly exceeded their respective carrying amounts; no reporting unit was considered at risk of impairment. Accordingly, no goodwill impairment charges were recorded.
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The 10-Q's risk factors against the 10-K
Item 1A of the 10-Q filed Nov 5, 2026 against Item 1A of the 10-K filed May 21, 2026.
A 10-Q repeats only the risks that changed, so a 10-K paragraph that is missing from it is not counted as removed.
Added is a paragraph with nothing like it in the 10-K, Reworded a sentence that is in both with several words changed,
Quiet changes a sentence in both where one to four words changed and one is a hedge or a modal
(cut words struck through, new words highlighted and underlined).
Text on the page, not a score; each links to the filing at sec.gov.
Added10-Q 2026-11-05 vs 10-K 2026-05-21
Reference is made to the information disclosed under Part I, Item 1A - "Risk Factors" in the Fiscal 2026 10-K, which contains a detailed discussion of certain risk factors that could materially adversely affect the Company's business, operating results, and/or financial condition. There are no material changes to the risk factors previously disclosed, nor has the Company identified any previously undisclosed risks that could materially adversely affect the Company's business, operating results, and/or financial condition.
Read it in the 10-Q at sec.gov ↗
