AVNT

New in FY2025

• We conduct a substantial portion of our business outside the U.S., with approximately 61% of our sales outside the U.S.
• However, it is always possible an employee's or agent's unlawful actions may avoid detection.
• Any of these risks could have an adverse effect on our international operations by reducing demand for our products. 7 AVIENT CORPORATION Changes to foreign trade policy, including new or increased tariffs and changing import/export regulations, could adversely affect our operating results, and the impacts could be material.
• Changes in foreign trade policy, regulatory or economic conditions or in laws governing international trade could materially adversely affect our business.
• The U.S. has instituted certain changes, and may propose additional changes, in trade policies that include the negotiation or termination of trade agreements, the imposition of higher tariffs on goods exported from the U.S. or imported into the U.S., and other government regulations affecting trade between the U.S. and other countries (such as Canada, Mexico, China, and the European Union) where we conduct our business.
• Global trade disruption or significant introduction of trade barriers, together with any future downturns in the global economy, could further materially and adversely affect our financial performance.
• As a result of policy changes and government proposals, there may be greater restrictions and economic disincentives on international trade.
• The new tariffs and other changes in U.S. trade policy have triggered retaliatory actions by affected countries, and foreign governments have instituted or are considering imposing tariffs and trade sanctions.
• Such changes have the potential to adversely impact the global economy, our industry and the global demand for our products, and as a result, could have a negative impact on our business, financial condition and results of operations.
• Business Risks Demand for and supply of our products and services have in the past been, and may in the future be, adversely affected by several factors, some of which we cannot predict or control.
• Several factors have in the past and may in the future affect the demand for and supply of of products and services, including: • economic downturns, inflation or other uncertainty or volatility in the significant end markets that we serve; • product obsolescence or technological changes that unfavorably alter the value/cost proposition of our products and services; • competition from existing and unforeseen polymer and non-polymer based products; • declines in general economic conditions or reductions in industrial production growth rates, both domestically and globally, which could impact customer confidence and demand, and our customers’ ability to pay amounts owed to us; • changes in environmental regulations that limit our ability to purchase materials or sell our products and services in specific markets; • changes in demand for, and laws and regulations regarding, plastic materials; and • inability to obtain raw materials or supply products to customers due to factors such as supplier work stoppages or insolvency, supply shortages, plant outages or regulatory changes that may limit or prohibit overland transportation of certain hazardous materials and exogenous factors, like severe weather.
• Our property and casualty insurance, which we believe are of the types and in the amounts that are customary for the industry, may not fully insure us against all potential hazards that are incident to our business or otherwise could occur. 8 AVIENT CORPORATION Environmental, health and safety laws and regulations impact our operations and financial statements.
• Our operations on, and ownership of, real property are subject to environmental, health and safety laws and regulations at the national, state and local governmental levels (including, but not limited to, the Regulation, Evaluation, Authorization, and Restriction of Chemicals (REACH), the Classification, Labeling, and Packaging Regulation (CLP), Restriction of Hazardous Substances (RoHS) and the Consumer Product Safety Improvement Act of 2008).
• Our accruals for such costs and associated liabilities are subject to changes in estimates on which the accruals are based.
• For example, any amounts accrued for environmental matters reflect the best information available and our assumptions about remediation requirements at the applicable site, the nature of the remedy, the outcome of discussions with regulatory agencies and other potentially responsible parties at multi-party sites.
• Changes in estimates on which accruals are based, unanticipated government actions, or changes in health, safety, environmental or chemical control regulations could result in higher costs.
• We source certain strategic raw materials that may be difficult to replace or for our customers to requalify, which could result in the need to accept price increases.
• Other external factors beyond our control, including, but not limited to, trade barriers due to geopolitical tensions, can also cause fluctuations in raw materials prices, which could negatively impact demand for our products and cause volatility in our results.
• Increased competition can negatively impact sales, earnings and cash flow performance.
• Avient's IT capabilities are delivered through a combination of internal and external services and service providers.
• In addition, some of our systems, tools and resources use, integrate, or will integrate some form of artificial intelligence (AI), which has the potential to result in bias, miscalculations, data errors, and intellectual property infringement, and introduces additional risk associated with unauthorized access to our intellectual property, data security events, and disruption to our business.
• Further, we store sensitive data, including proprietary business information, intellectual property and confidential employee or other personal data, on our servers and databases. 9 AVIENT CORPORATION Cybersecurity breaches, global information systems security threats and more sophisticated and targeted computer crime, including from threat actors who are increasingly leveraging AI for cyberattacks, pose a risk to the security of our systems and networks and the confidentiality, availability and integrity of our data and communications.
• We are currently involved in various legal proceedings, and may be subject to future claims or other liability that could negatively impact our business and results of operations.
• From time to time, we are involved in various legal proceedings or in commercial disputes and other legal and regulatory proceedings related to our business.
• Additionally, our development, manufacture and sale of specialty materials, including those sold to medical, automotive, consumer packaging, and construction end markets, involves risk of exposure to product liability claims, warranty claims, product recalls and related adverse publicity.
• While management establishes reserves based on assessments of the contingencies related to legal claims asserted against the Company, subsequent developments may affect such assessments and our estimates of the loss contingency and require payments in excess of the Company's reserves.
• An adverse judgment or significant product liability, warranty, or recall action could result in substantial expenditures, affect consumer confidence in our products and divert management's attention from other matters.
• While we maintain product liability insurance, insurance coverage may not be adequate.
• Failure to develop new products and protect our intellectual property could negatively impact our future performance and growth.
• Innovation and product development are foundational to our strategy and important to our future growth.
• Failure to create or acquire new technologies and new products could negatively impact our ability to deliver strong financial results.
• We may face challenges in customer qualification and adoption of new technologies, and failure of our products to work as predicted could lead to liability and damage to customer relationships and our reputation.
• We continually apply for and obtain U.S. and foreign patents to protect the results of our research and development efforts.
• Failure to protect our intellectual property could negatively affect our future performance and growth.
• We are subject to risks associated with climate change and climate change legislation, regulation and international agreements.
• Carbon emissions have become the subject of state and local, regional, national, and international attention.
• Concerns about climate change have resulted and may continue to result in the imposition of additional regulations or restrictions to which we may become subject.
• As of December 31, 2025, we had goodwill of $1,757.6 million.
• For additional information on the results of our annual impairment testing, see Note 2, Goodwill and Intangible Assets , to the accompanying consolidated financial statements and “Critical Accounting Policies and Estimates” included in Item 7, " Management’s Discussion and Analysis of Financial Condition and Results of Operations .” Avient may be subject to risks relating to changes in tax rates, changes in global tax laws and regulations, or exposure to additional income tax liabilities.
• Avient is subject to income taxes in many jurisdictions around the world.

and 4 more.

Gone since FY2024

• We conduct a substantial portion of our business outside the U.S., with approximately 60% of our sales outside the U.S.
• It is always possible an employee's or agent's unlawful actions may avoid detection.
• Any of these risks could have an adverse effect on our international operations by reducing demand for our products. 8 AVIENT CORPORATION Business Risks Demand for and supply of our products and services have in the past been, and may in the future be, adversely affected by several factors, some of which we cannot predict or control.
• Several factors have in the past and may in the future affect the demand for and supply of our products and services, including: • economic downturns, inflation or other volatility in the significant end markets that we serve; • product obsolescence or technological changes that unfavorably alter the value/cost proposition of our products and services; • competition from existing and unforeseen polymer and non-polymer based products; • declines in general economic conditions or reductions in industrial production growth rates, both domestically and globally, which could impact customer demand and our customers’ ability to pay amounts owed to us; • changes in environmental regulations that limit our ability to sell our products and services in specific markets; • changes in demand for and laws and regulations regarding plastic materials; and • inability to obtain raw materials or supply products to customers due to factors such as supplier work stoppages or insolvency, supply shortages, plant outages or regulatory changes that may limit or prohibit overland transportation of certain hazardous materials and exogenous factors, like severe weather.
• We are subject to present claims and potential future claims with respect to workplace exposure, workers’ compensation and other matters.
• Our property and casualty insurance, which we believe are of the types and in the amounts that are customary for the industry, may not fully insure us against all potential hazards that are incident to our business or otherwise could occur.
• Environmental, health and safety laws and regulations impact our operations and financial statements.
• Our operations on, and ownership of, real property are subject to environmental, health and safety laws and regulations at the national, state and local governmental levels (including, but not limited to, the Restriction of Hazardous Substances (RoHS) and the Consumer Product Safety Improvement Act of 2008).
• Other external factors beyond our control, including, but not limited to, trade barriers due to geopolitical tensions, can also cause fluctuations in raw materials prices, which could negatively impact demand for our products and cause volatility in our results. 9 AVIENT CORPORATION Increased competition can negatively impact sales, earnings and cash flow performance.
• In addition, some of our systems, tools and resources use, integrate, or will integrate some form of artificial intelligence, which has the potential to result in bias, miscalculations, data errors, intellectual property infringement and other unintended consequences.
• Further, we store sensitive data, including proprietary business information, intellectual property and confidential employee or other personal data, on our servers and databases.
• Cybersecurity breaches, global information systems security threats and more sophisticated and targeted computer crime pose a risk to the security of our systems and networks and the confidentiality, availability and integrity of our data and communications.
• We are subject to risks associated with climate change and potential climate change legislation, regulation and international agreements.
• Carbon emissions have become the subject of an increasing amount of state and local, regional, national, and international attention.
• Growing concerns about climate change have resulted and may continue to result in the imposition of additional regulations or restrictions to which we may become subject.
• As of December 31, 2024, we had goodwill of $1,659.7 million.
• For additional information on the results of our annual impairment testing, see Note 3, Goodwill and Intangible Assets , to the accompanying consolidated financial statements and “Critical Accounting Policies and Estimates” included in Item 7, " Management’s Discussion and Analysis of Financial Condition and Results of Operations .”