VSEC VSE Corp.

Risks

• Uncertain government budgets and shifting government priorities could delay contract awards and funding and adversely affect our ability to continue work under our government contracts. Additionally, federal procurement directives could result in our loss of work on current programs to small business set-asides and large multiple award contracts.
• Increased market competition resulting from decreases in government spending for contract services and government contracting award criteria could adversely affect our ability to sustain our revenue levels.
• Certain programs comprise a material portion of our revenue. Our work on large government programs presents a risk to revenue growth and sustainability and profit margins.
• Global economic conditions and political factors could adversely affect our revenues.
• Due to the nature of our work we could potentially be exposed to legal actions arising from our operations.
• Technology security and cyber-attack risks could potentially impact our financial results.
• Acquisitions, which have been a part of our business strategy in recent years, present certain risks.
• The nature of our operations and work performed by our employees present certain challenges related to work force management.
• Our business could be adversely affected by incidents that could cause an interruption in our operations or impose a significant financial liability on us.
• We are subject to numerous government rules and regulations that could expose us to potential liabilities or work loss.
• Our business could be adversely affected by government audits or investigations.
• Investments in facilities could cause losses if certain work is disrupted or discontinued.
• Environmental and pollution risks could potentially impact our financial results.