Company: AMKR
Filing Date: 2025-10-28
Form Type: 10-Q
Source: 0001047127-25-000190
Chunk: 206

Company: AMKOR TECHNOLOGY, INC.
Filing Date: 2025-10-28
Form: 10-Q
Item: Part I, Item 8
Chunk 206
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 to existing tax laws, could have a material adverse impact on our liquidity, results of operations, financial condition and cash flows.  

Our tax liabilities are based, in part, on our corporate structure, interpretations of various U.S. and foreign tax laws, including withholding tax, compliance with conditional reduced tax rate requirements, application of changes in tax law to our operations and other relevant laws of applicable taxing jurisdictions.  From time to time, taxing authorities may conduct examinations of our income tax returns and other regulatory filings.  We cannot assure you that the taxing authorities will agree with our interpretations, including whether we continue to qualify for conditional reduced tax rates.  If they do not agree, we may seek to enter into settlements with the taxing authorities.  We may also appeal a taxing authority’s determination to the appropriate governmental authorities, but we cannot be sure we will prevail.  If we do not prevail or if we enter into settlements with taxing authorities, we may have to make significant payments or otherwise record charges (or reduce tax assets) that materially and adversely affect our results of operations, financial condition and cash flows.  Additionally, certain of our subsidiaries operate under conditional reduced tax rates, which will expire in whole or in part at various dates in the future.  As those conditional reduced tax rates expire, we expect that our tax expense will increase as income from those jurisdictions becomes subject to higher statutory income tax rates, thereby reducing our liquidity and cash flow.  

We monitor on an ongoing basis our ability to utilize our deferred tax assets and whether there is a need for a related valuation allowance.  In evaluating our ability to recover our deferred tax assets in the jurisdiction from which they arise, we consider all available positive and negative evidence, including scheduled reversals of deferred tax liabilities, projected future taxable income, tax-planning strategies and recent results of operations.  In the event taxable income falls short of current expectations, we may need to establish a valuation allowance against such deferred tax assets that, if required, could materially and adversely affect our results of operations.

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Environmental, health and safety liabilities and expenditures could have a material adverse effect on our business, results of operation and financial condition.

Environmental, health and safety laws and regulations in places we do business impose various controls on the use, storage, handling, discharge and disposal of chemicals used or generated in, or emitted by, our production processes, on the factories we occupy and on the materials contained in semiconductor products.  For example, at our foreign facilities we produce liquid waste when semiconductor wafers are