Risk Factors Update Summary

• Change in wording from "depends" to "depends to a significant extent" emphasizes the criticality of attracting and retaining diverse leadership. This change highlights the importance of leadership in executing the company's strategy.
• Mention of the global minimum tax rate of 15% and potential impact on the effective tax rate indicates a significant regulatory change that could affect the company's tax expenses. This change highlights the importance of monitoring global tax developments for financial planning.
• Increased the percentage of total revenue from sales to U.S. customers from 46% to 53%.
• Addressed the risks associated with cybersecurity incidents and disruptions to enterprise information technology infrastructure.
• Addition of "product recalls, safety or security alerts" and "issuance of credits, warranty or liability claims" indicates potential financial impact from product-related issues. This change highlights the financial risks associated with product safety and security concerns.
• Introduction of potential risks related to data privacy laws, including GDPR and PIPL, underscores the evolving legal landscape and compliance challenges. This change highlights the increasing complexity of data privacy regulations and associated risks.
• Mention of potential impacts from changes in laws and regulations related to environmental, climate change, and health and safety underscores the regulatory risks the company faces. This change highlights the importance of compliance with evolving legal requirements for sustainability and operational practices.
• Added mention of "macroeconomic" factors impacting business and demand for products and services.
• Added the acquisition of Evoqua, highlighting the importance of realizing anticipated benefits and synergies.
• Added the importance of meeting safety performance requirements to access customer sites and execute projects.
• Increase in the percentage of net sales outside the U.S. from 53% to 46% for the year ended December 31, 2023, suggests a shift in revenue sources and potential exposure to foreign exchange fluctuations. This change highlights the company's reliance on international markets for revenue.
• Shift in the percentage of net sales generated outside the U.S. from 53% to 46% for the year ended December 31, 2023, suggests a change in geographic revenue distribution. This change highlights the company's exposure to foreign markets and currency fluctuations.
• Disclosed that 54% of revenues were from sales to U.S. customers in 2023, up from 47% in 2022.
• Discussed the potential impact of geopolitical changes on the global supply chain, including energy supply.