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Take Two Interactive Software Inc – ‘10-Q’ for 6/30/14 – ‘EX-10.1’

On:  Tuesday, 8/5/14, at 6:48pm ET   ·   As of:  8/6/14   ·   For:  6/30/14   ·   Accession #:  1047469-14-6667   ·   File #:  1-34003

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  As Of               Filer                 Filing    For·On·As Docs:Size             Issuer                      Filing Agent

 8/06/14  Take Two Interactive Software Inc 10-Q        6/30/14   60:7.5M                                   Toppan Merrill-FA

Quarterly Report   —   Form 10-Q   —   Sect. 13 / 15(d) – SEA’34
Filing Table of Contents

Document/Exhibit                   Description                      Pages   Size 

 1: 10-Q        Quarterly Report                                    HTML    476K 
 2: EX-10.1     Material Contract                                   HTML     58K 
 3: EX-31.1     Certification -- §302 - SOA'02                      HTML     24K 
 4: EX-31.2     Certification -- §302 - SOA'02                      HTML     24K 
 5: EX-32.1     Certification -- §906 - SOA'02                      HTML     20K 
 6: EX-32.2     Certification -- §906 - SOA'02                      HTML     20K 
39: R1          Document and Entity Information                     HTML     40K 
30: R2          Condensed Consolidated Balance Sheets               HTML    115K 
37: R3          Condensed Consolidated Balance Sheets               HTML     39K 
                (Parenthetical)                                                  
41: R4          Condensed Consolidated Statements of Operations     HTML     65K 
55: R5          Condensed Consolidated Statements of Comprehensive  HTML     42K 
                Loss                                                             
31: R6          Condensed Consolidated Statements of Cash Flows     HTML    102K 
36: R7          Basis of Presentation and Significant Accounting    HTML     39K 
                Policies                                                         
27: R8          Management Agreement                                HTML     27K 
19: R9          Fair Value Measurements                             HTML     31K 
56: R10         Short-Term Investments                              HTML     47K 
43: R11         Inventory                                           HTML     29K 
42: R12         Software Development Costs and Licenses             HTML     32K 
47: R13         Accrued Expenses and Other Current Liabilities      HTML     29K 
48: R14         Debt                                                HTML     97K 
46: R15         Earnings (Loss) Per Share ("Eps")                   HTML     36K 
49: R16         Accumulated Other Comprehensive Income (Loss)       HTML     46K 
38: R17         Segment and Geographic Information                  HTML     51K 
40: R18         Commitments and Contingencies                       HTML     23K 
45: R19         Share Repurchase                                    HTML     21K 
60: R20         Basis of Presentation and Significant Accounting    HTML     53K 
                Policies (Policies)                                              
52: R21         Fair Value Measurements (Tables)                    HTML     27K 
33: R22         Short-Term Investments (Tables)                     HTML     49K 
44: R23         Inventory (Tables)                                  HTML     28K 
35: R24         Software Development Costs and Licenses (Tables)    HTML     33K 
16: R25         Accrued Expenses and Other Current Liabilities      HTML     29K 
                (Tables)                                                         
53: R26         Debt (Tables)                                       HTML     81K 
57: R27         Earnings (Loss) Per Share ("Eps") (Tables)          HTML     31K 
23: R28         Accumulated Other Comprehensive Income (Loss)       HTML     45K 
                (Tables)                                                         
22: R29         Segment and Geographic Information (Tables)         HTML     50K 
25: R30         Basis of Presentation and Significant Accounting    HTML     41K 
                Policies (Details)                                               
26: R31         Basis of Presentation and Significant Accounting    HTML     24K 
                Policies (Details 2)                                             
28: R32         Management Agreement (Details)                      HTML     63K 
15: R33         Fair Value Measurements (Details)                   HTML     31K 
50: R34         Short-Term Investments (Details)                    HTML     43K 
32: R35         Inventory (Details)                                 HTML     29K 
34: R36         Software Development Costs and Licenses (Details)   HTML     28K 
18: R37         Accrued Expenses and Other Current Liabilities      HTML     36K 
                (Details)                                                        
59: R38         Debt (Details)                                      HTML    262K 
13: R39         Earnings (Loss) Per Share (''Eps'') (Details)       HTML     44K 
29: R40         Accumulated Other Comprehensive Income (Loss)       HTML     29K 
                (Details)                                                        
54: R41         Segment and Geographic Information (Details)        HTML     27K 
17: R42         Segment and Geographic Information (Details 2)      HTML     23K 
21: R43         Segment and Geographic Information (Details 3)      HTML     22K 
24: R44         Share Repurchase (Details)                          HTML     22K 
58: XML         IDEA XML File -- Filing Summary                      XML     83K 
14: EXCEL       IDEA Workbook of Financial Reports                  XLSX    126K 
20: EXCEL       IDEA Workbook of Financial Reports (.xls)            XLS    756K 
 7: EX-101.INS  XBRL Instance -- ttwo-20140630                       XML   1.05M 
 9: EX-101.CAL  XBRL Calculations -- ttwo-20140630_cal               XML    154K 
12: EX-101.DEF  XBRL Definitions -- ttwo-20140630_def                XML   1.02M 
10: EX-101.LAB  XBRL Labels -- ttwo-20140630_lab                     XML   3.93M 
11: EX-101.PRE  XBRL Presentations -- ttwo-20140630_pre              XML   1.77M 
 8: EX-101.SCH  XBRL Schema -- ttwo-20140630                         XSD    279K 
51: ZIP         XBRL Zipped Folder -- 0001047469-14-006667-xbrl      Zip    236K 


‘EX-10.1’   —   Material Contract


This Exhibit is an HTML Document rendered as filed.  [ Alternative Formats ]




Exhibit 10.1

 

 

 

DealPoint#[***]

 

AMENDMENT TO THE

XBOX ONE PUBLISHER LICENSE AGREEMENT

(Xbox Live Incentive Program)

 

This Amendment to the Xbox One Publisher License Agreement (this “Amendment”) is entered into and effective as of the [***] (the “Amendment Effective Date”) by and between Microsoft Licensing, GP, a Nevada general partnership (“Microsoft”), and Take-Two Interactive Software, Inc. (“Publisher”), and supplements the Xbox One Publisher License Agreement between the parties dated as of [***] (the “Xbox One PLA”). Microsoft Corporation, a Washington corporation, is a party to this Amendment with respect to its acknowledgement of Section 5, Exhibit 6.

 

RECITALS

 

A.                                    Microsoft and Publisher entered into the Xbox One PLA, which establishes the terms for publishing on Microsoft’s Xbox One entertainment and video game system;

 

B.                                    Microsoft has amended the Xbox Live Incentive Program (Exhibit 6) of the Xbox One PLA; and

 

C.                                    The parties now wish to enter into this Amendment to the Xbox One PLA.

 

Accordingly, for and in consideration of the mutual covenants and conditions contained herein, and for other good and valuable consideration, receipt of which each party hereby acknowledges, Microsoft and Publisher agree as follows:

 

1.                                      Exhibit 6.  Exhibit 6 of the Xbox One PLA is hereby amended and restated in its entirety as attached hereto.

 

2.                                      Except and to the extent expressly modified by this Amendment, the Xbox One PLA shall remain in full force and effect and is hereby ratified and confirmed. In the event of any conflict between this Amendment and the Xbox One PLA the terms of this Amendment shall control.

 

IN WITNESS WHEREOF, the parties hereto have caused this Amendment to be executed.

 

MICROSOFT CORPORATION

 

Take-Two Interactive Software, Inc.

 

 

 

/s/ Mohammad Shafaqat

 

/s/ Seth Krauss

By (sign)

 

By (sign)

Mohammad Shafaqat

 

Seth Krauss

Name

 

Name

Xbox Program Manager

 

EVP & General Counsel

Title

 

Title

May 15, 2014

 

May 15, 2014

Date

 

Date

 

 

 

MICROSOFT LICENSING, GP

 

 

 

 

 

/s/ Mohammad Shafaqat

 

 

By (sign)

 

 

Mohammad Shafaqat

 

 

Name

 

 

Xbox Program Manager

 

 

Title

 

 

May 15, 2014

 

 

Date

 

 

 

MICROSOFT CONFIDENTIAL

AMENDMENT TO THE XBOX ONE PLA (XBOX LIVE INCENTIVE PROGRAM)

 



 

 

 

DealPoint#[***]

 

EXHIBIT 6 — XBOX LIVE INCENTIVE PROGRAM

 

1.                                      Xbox Live Incentive Program

 

In order to encourage Publisher to support Xbox Live functionality and drive increased usage of Xbox Live, Publisher may qualify for certain [***] incentive payments based on the amount of Xbox Live Share generated by Publisher’s Multiplayer Software Titles.

 

[***]

 

2.                                      Definitions

 

2.1                               Accounting Period” means each Microsoft [***] within the Program Term, provided that if the Program Term ends within such a [***], then the applicable payment calculation set forth below shall be made for a partial Accounting Period.

 

2.2                               Day” means a period of twenty-four hours, commencing at midnight and continuing until midnight the following day using Coordinated Universal Time (UTC).

 

2.3                               Guest(s)” means an individual who accesses Xbox Live and is not a Multiplayer Subscriber or a Subscriber.

 

2.4                               Multiplayer Game Session” means an instance of synchronous game play in which [***] End Users participate across unique Xbox 360 or Xbox One consoles.

 

2.5                               Multiplayer Software Title(s)” means a Software Title for Xbox One or Xbox 360 that supports synchronous multiplayer game play over Xbox Live and initiates a Multiplayer Game Session with participation of [***] Unique Users across unique Xbox 360 or Xbox One consoles during an Accounting Period.

 

2.6                               Multiplayer Subscriber(s)” means the average number of [***] Subscribers during an Accounting Period, each of which must have: (i) created a “gamertag” for use on Xbox Live; (ii) paid a fee to establish, migrate or renew an active, fee-based subscription account to Xbox Live, which is currently branded as “Xbox Live Gold” (excluding any Subscribers in a “free-trial” period); and (iii) an Xbox Live account that is not delinquent (as determined by Microsoft’s standard practices). If a bundled multiplayer subscription includes multiple paid Xbox Live accounts and gamertags, the number of Multiplayer Subscribers attributable to such multiplayer subscription will be [***]. For avoidance of doubt, Subscribers, trial users, and Guests will not be counted as Multiplayer Subscribers.

 

2.7                               Subscriber(s)” means an individual who establishes an account on Xbox Live.

 

2.8                               Unique Users” means the number of unique Subscribers and Guests who have played a Multiplayer Game Session in a Multiplayer Software Title on Xbox Live during a given [***]. Each Subscriber or Guest will count for [***] Unique User for a Multiplayer Software Title per [***],[***].

 

2.9                               Xbox 360 Multiplayer Hours” means the total hours within a given [***] that Multiplayer Software Titles for Xbox 360 have been played in a Multiplayer Game Session.

 

3.                                      Xbox Live Share.  Publisher’s Xbox Live Share will be determined using the following calculation:

 

[***]

 

Daily Unique User Share for Xbox One” means the sum of Unique Users who participated in at least [***] Multiplayer Game Session within [***] for all of Publisher’s Multiplayer Software Titles for Xbox One aggregated over the

 

MICROSOFT CONFIDENTIAL

AMENDMENT TO THE XBOX ONE PLA (XBOX LIVE INCENTIVE PROGRAM)

 

2



 

 

 

DealPoint#[***]

 

Accounting Period divided by the total number of Unique Users who participated in at least [***] Multiplayer Game Session within [***] for all Multiplayer Software Titles for Xbox One aggregated over the Accounting Period.

 

“[***] Multiplayer Hour Share for Xbox 360” means the sum of Xbox 360 Multiplayer Hours for all of Publisher’s Multiplayer Software Titles for Xbox 360 within [***] aggregated over the Accounting Period divided by the sum of Xbox 360 Multiplayer Hours for all Multiplayer Software Titles for Xbox 360 within [***] aggregated over the Accounting Period.

 

“[***] Unique User Share for Xbox 360” means the sum of Unique Users who participated in at least [***] Multiplayer Game Session within [***] for all of Publisher’s Multiplayer Software Titles for Xbox 360 aggregated over the Accounting Period divided by the sum of Unique Users within [***] for all Multiplayer Software Titles for Xbox 360 aggregated over the Accounting Period.

 

“[***] Unique User Share for Xbox One” means the sum of Unique Users who participated in at least [***] Multiplayer Game Session within [***] for all of Publisher’s Multiplayer Software Titles for Xbox One aggregated over the Accounting Period divided by the sum of Unique Users within [***] for all Multiplayer Software Titles for Xbox One aggregated over the Accounting Period.

 

4.                                      Incentive Payment.  The incentive payments shall be determined pursuant to Table 1 below and paid each Accounting Period:

 

 

 

Table 1: [***]

[***]

 

[***]

 

[***]

 

[***]

 

[***]

[***]

 

[***]

 

[***]

 

[***]

 

[***]

[***]

 

[***]

 

[***]

 

[***]

 

[***]

[***]

 

[***]

 

[***]

 

[***]

 

[***]

[***]

 

[***]

 

[***]

 

[***]

 

[***]

[***]

 

[***]

 

[***]

 

[***]

 

[***]

 

Example. [***]

 

5.                                      Payments.  In the event Publisher qualifies for an incentive payment under the Xbox Live Incentive Program during an Accounting Period, Microsoft will provide payment for any amount due to Publisher within [***] after the end of each Accounting Period.

 

6.                                      Other Xbox Live Incentive Program Requirements

 

6.1                               Multiplayer Software Title simship, feature and content parity.  Any Multiplayer Software Title that does not meet the following simship, feature and content parity requirements will not be included in the Xbox Live Share calculation for Publisher:

 

6.1.1                     [***];

 

6.1.2                     [***]; and

 

6.1.3                     [***].

 

6.2                               Minimum WSP.  To qualify for the Xbox Live Incentive Program, the WSP of the Base Game of the Multiplayer Software Title must be [***] or the local currency equivalent (excluding short promotional windows).

 

MICROSOFT CONFIDENTIAL

AMENDMENT TO THE XBOX ONE PLA (XBOX LIVE INCENTIVE PROGRAM)

 

3



 

 

 

DealPoint#[***]

 

6.3                               Minimum Xbox Live Unique User Threshold.  To qualify for the Xbox Live Incentive Program, Publisher’s minimum Unique User total for the applicable Accounting Period must be at least [***] (calculated using an aggregation of all [***] Unique Users for Xbox One and Xbox 360 during the Accounting Period).

 

6.4                               Xbox One Unique Users Requirement.  Only Xbox One Unique Users that participate in a Multiplayer Game Session that has been instrumented in compliance with Section 6.4.1 and/or 6.4.2 during the Accounting Period will be included in the Xbox Live Share calculation for Publisher:

 

6.4.1                     [***]:

 

(i)    [***]; and/or

 

(ii)   [***].

 

6.4.2                     [***].

 

6.5                               Xbox 360 Unique Users Requirement.  [***].

 

7.                                      Program Term, Termination, and Changes.  This Xbox Live Incentive Program will commence on [***], and will be available until [***], unless earlier terminated by Microsoft upon written notice to Publisher (“Program Term”). Microsoft may change or discontinue the Xbox Live Incentive Program by providing Publisher with [***] advance written notice.

 

MICROSOFT CONFIDENTIAL

AMENDMENT TO THE XBOX ONE PLA (XBOX LIVE INCENTIVE PROGRAM)

 

4




Dates Referenced Herein   and   Documents Incorporated by Reference

This ‘10-Q’ Filing    Date    Other Filings
Filed as of:8/6/14
Filed on:8/5/148-K,  UPLOAD
For Period end:6/30/1410-Q/A
5/15/14
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