CDW: 10-K Risk Factor Changes

Our senior credit facilities and, to a lesser degree, our indentures contain, and any future indebtedness of ours may contain, various covenants that limit our ability to, among other things: •incur or guarantee additional debt; •receive dividends or other payments from our subsidiaries; •enter into transactions with affiliates; •pledge our assets as collateral; •merge or consolidate with other companies or transfer all or substantially all of our assets; and •engage in sale leaseback transactions. As a result of these covenants, we are limited in the manner in which we conduct our business and we may be unable to engage in favorable business activities or finance future operations or capital needs. A breach of any of these covenants or any of the other restrictive covenants would result in a default under our senior credit facilities. Upon the occurrence of an event of default under our senior credit facilities, the lenders: •will not be required to lend any additional amounts to us; •could elect to declare all borrowings outstanding thereunder, together with accrued and unpaid interest and fees, to be due and payable; or •could require us to apply all of our available cash to repay these borrowings. The acceleration of amounts outstanding under our senior credit facilities would likely trigger an event of default under our existing indentures. If the lenders under our senior credit facilities accelerate the repayment of borrowings, we may not have sufficient assets to repay our senior credit facilities and our other indebtedness or the ability to borrow sufficient funds to refinance such 19 19 19 Table of Contents Table of Contents indebtedness. Even if we were able to obtain new financing, it may not be on commercially reasonable terms, or terms that are acceptable to us.