The Financial Times reported on companies' recent Brexit-related risk factor disclosures, with one law firm partner interviewed for the article specifically noting the SEC's recent calls for more detailed disclosure on this topic - which presumably has has an impact.
Example filings and corresponding Form 10-K/10-Q risk factor headings include:
- Lockheed Martin (page 12) - International sales may pose different risks.
- McCormick & Company (page 10) - The decision by British voters to exit the European Union may negatively impact our operations.
- Expedia Group (page 18) - Application of existing tax laws, rules or regulations are subject to interpretation by taxing authorities.
- Mondelez International - We are subject to risks from operating globally. (page 12) Complying with changes in and inconsistencies among laws and regulations in many countries in which we operate could increase our costs. (page 16)
- Cerner Corporation (page 13) The vote by the United Kingdom to leave the European Union could adversely affect our financial results.
- Alphabet Inc. (page 16) - Our international operations expose us to additional risks that could harm our business, operating results, and financial condition.
- EnerSys (page 40) The United Kingdom’s withdrawal from the European Union could harm our business and financial results.
The article observes that "[e]ven US companies with limited UK operations have added Brexit to their risk factors because of the threat of global economic disruption."