What Conduent, Inc. told the SEC could break it.

Conduent's low-cost delivery model concentrates ~66% of its ~51,000 associates outside North America (India, the Philippines, Latin America/Caribbean, Europe), exposing operations to foreign political/economic instability, FX swings and regulatory change (16% of 2025 revenue is ex-US).

“We have operations in 24 countries including India, the Philippines, Jamaica, Guatemala, Mexico, Romania, the United Kingdom and several locations within the United States, providing our customers the option for "onshore", "nearshore" or "offshore" outsourced business process services. This global delivery model allows us to leverage lower-cost production locations, consistent methodologies and processes, time zone advantages and business continuity plans.”

Conduent depends on third-party voice and data (telecom) services to run its contact/BPO operations; a non-recoverable cost increase, plus inconsistent electricity/water at offshore facilities, could materially harm operations.

“A significant increase in the cost of voice or data services that is not recoverable through an increase in the price of our services could materially adversely affect our results of operations and financial condition.”