Form S-I Table of Contrail RISK FACTORS Investing in our common stock involves a high degree of risk. You should carefid4i consider each of the following risk factors. as well as the other information in this prospectus. including our comolidated financial statements and the related notes. before deciding whether to invest in shares of our common stock. limy of the following risks actually occurs, our business. results of operations and financial condition may be materially adversely afflicted In that event, the trading price of our common stock could decline and you could lose all or part ofyour investment. Risks Related to Our Business and Industry We may not be able to successfully implement our growth strategy on a timely basis or at alt Our future surress depends, in large part, on our ability to implement our growth strategy. including expanding distribution and improving placement of our products in the stores of our retail partners, attracting new consumers to our brand, introducing new products and product line extensions and expanding into new markets. Our ability to implement this growth strategy depends. among other things. on our ability to: • enter into distribution and other strategic arrangements with retailers and other potential distributors of our products; • continue to efftetively compete in specialty channels: • secure shelf space in the stores of our retail partners: • increase our brand recognition by effectively implementing our marketing strategy and advertising initiatives: • expand and maintain brand loyalty; develop new products and product line extensions that appeal to consumers; • maintain and, to the extent necessary. improve our high standards for product quality, safety and integrity: • maintain sources for the required supply of quality raw ingredients to meet our growing demand: • successfully ramp up operations at our Heartland facility; and identify and successfully enter and market our products in new geographic markets and market segments. We may not be able to successfully implement our growth strategy and may need to change our strategy. If we fail to implement our growth strategy or if we invest resources in a growth strategy that ultimately proves unsuccessful, our business, financial condition and results of operations may be materially adversely affected. The grouth of our business depends on our ability to accurately predict consumer trends and demand and successfully introduce new products and product line extensions and improve existing products. Our growth depends, in part, on our ability to successfully introduce new products and product line extensions and improve and reposition our existing products to meet the requirements of pet parents and the dietary newels of their pets. This, in turn, depends on our ability to predict and respond to evolving consumer trends, demands and preferences. The development and introduction of innovative new products and product line 17 httpiMow.see. gov/Archi valedgar/datatl 609989/000119312515218883/d734898dsl.htm17/20/2015 10:30:13 AM) CONFIDENTIAL - PURSUANT TO FED. R. CRIM. P. 6(e) CONFIDENTIAL DB-SDNY-0080104 SDNY GM_00226288 EFTA01381268