Brexit's Potential Financial Impact on U.S. Companies

The United Kingdom’s (UK) voluntary exit from the European Union (EU) is unprecedented—and with it comes more questions than answers about how it will affect business entities in the UK and beyond. Economists anticipate at least several years of uncertainty, which typically does not bode well for financial markets. U.S. companies that sell to, buy from, or operate in the UK or EU, or are engaged in their financial or stock markets, are likely to experience some financial effects—but the nature and extent of those effects is still to be determined. It will be important for U.S. companies to monitor the developments as they unfold, and stand ready to assess the impact on their operations and financial statements.