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Subsequent Events
9 Months Ended
Dec. 31, 2011
Subsequent Events [Abstract]  
Subsequent Events [Text Block]
Subsequent Events

Restructuring

On January 25, 2012, we announced an updated business strategy to exit the traditional kids' licensed video games market and focus on our core video game franchises and digital initiatives for the future. On January 26, 2012, we initiated a plan of restructuring in connection with the updated business strategy in order to better align our operating expenses with the lower expected revenues under the updated strategy. The restructuring plan includes a realignment of the organizational structure resulting in reductions of up to 240 selling, general and administrative personnel worldwide. The majority of the restructuring plan is expected to be implemented by March 31, 2012, with the remainder completed by September 30, 2012. In addition, subsequent to December 31, 2011, we entered into agreements with two of our kids' movie-based licensors which reduced certain of our future financial commitments.

We estimate that implementation of the restructuring plan will result in special charges of up to $11.0 million, which will be recorded primarily during the fourth quarter of fiscal 2012. These charges will primarily be severance costs for affected employees, which are estimated at approximately $8.0 million, potential charges related to other fixed assets that may be abandoned, which are estimated to be up to $2.5 million, and contract terminations, which are estimated at approximately $0.5 million. Of the total charges, $8.5 million are expected to be cash expenditures. Of the cash expenditures, approximately $4.5 million are expected to be paid in the quarter ending March 31, 2012; approximately $2.5 million are expected to be paid in the quarter ending June 30, 2012; with the remainder to be paid thereafter.

The amounts stated above are preliminary and subject to change as we finalize our assessment of the charges and costs associated with the above items. These charges and cash expenditures do not take into consideration any potential cost savings associated with the plan of restructuring.

Licensor Agreements

Subsequent to December 31, 2011, we entered into agreements with two of our kids' property licensors which reduced our future financial commitments with respect to certain of our kids' movie-based licensed console titles in development. We estimate these actions will result in reductions of $5.0 million, $5.1 million and $13.0 million to our balances in licenses, software development, and accrued and other current liabilities, respectively, as well as a benefit of $2.9 million to be recorded within "Cost of sales — License amortization and royalties," during the quarter ending March 31, 2012. An additional $2.0 million reduction of accrued and other current liabilities is possible, contingent upon the actions of a third-party developer.

Nasdaq Notice

On January 25, 2012, we received a written notification from Nasdaq notifying us that we fail to comply with Nasdaq's Marketplace Rule 5450(a)(1) (the “Rule”) because the bid price for our common stock, over the last 30 consecutive business days, has closed below the minimum $1.00 per share requirement for continued listing. The notification has no immediate effect on the listing of our common stock.

In accordance with Marketplace Rule 5810(c)(3)(A), we have a period of 180 calendar days, or until July 23, 2012, to regain compliance with the Rule. If at any time before July 23, 2012, the bid price of our common stock closes at or above $1.00 per share for a minimum of 10 consecutive business days, Nasdaq will provide written notification that we have achieved compliance with the Rule. If compliance with the Rule cannot be demonstrated by July 23, 2012, our common stock will be subject to delisting from The Nasdaq Global Market. In the event that we receive notice that our common stock is subject to being delisted from The Nasdaq Global Select Market, Nasdaq rules permit us to appeal any delisting determination by the Nasdaq staff to a Nasdaq hearings panel. Alternatively, Nasdaq may permit us to transfer our securities to The Nasdaq Capital Market if we satisfy the requirements for initial inclusion set forth in Marketplace Rule 5505, except for the bid price requirement. If our application for transfer is approved, we would have an additional 180 calendar days to comply with the Rule in order to remain on The Nasdaq Capital Market.

We will continue to monitor the bid price for our common stock and consider various options available to us if our common stock does not trade at a level that is likely to regain compliance.