About 70% of sales from products with leading positions within their respective markets; Above-average product, customer, and geographic diversity; Internal strategy focus on new product development, Six Sigma, lean manufacturing initiatives, and working capital improvement; Substantial discretionary free cash flow generation, because of good and improving operating margins, moderate fixed-capital and working-capital intensity, and nominal dividends. Several possible substantial contingent liabilities, including lawsuits, open tax audits, and SEC investigations that have uncertain outcomes, which create an overhang on financial flexibility; Organizational challenges, including disparate information systems, global training of appropriate staff in areas including accounting, auditing, lean manufacturing, and Six Sigma techniques, and the need to continue to strengthen its corporate culture; Capital structure negatively affected by very high goodwill
