Summary
Take-Two Interactive Software, Inc. filed its Form 10-K/A for the fiscal year ended October 31, 2003, providing insights into its executive leadership, compensation, and significant ownership. The company has undergone recent leadership changes, with Jeffrey C. Lapin appointed CEO in January 2003 and Trevor Drinkwater becoming COO in November 2003. The filing details the compensation packages for its top executives, including substantial bonuses and stock options, particularly for Chairman Ryan A. Brant and the newly appointed CEO. Significant stock ownership is held by institutional investors such as FMR Corp. (14.4%), and J & W Seligman & Co. Incorporated (6.4%), with Chairman Ryan A. Brant holding a notable, albeit smaller, direct stake. Investors should note the company's accounting fees, which increased significantly in fiscal year 2003, notably due to an SEC investigation and financial statement restatement. The Audit Committee, composed of independent directors and chaired by a financial expert, oversees these matters. The report also highlights related-party transactions, including a lease agreement with a company controlled by the Chairman's father, though the terms are presented as no less favorable than market rates.
Key Highlights
- 1Jeffrey C. Lapin appointed Chief Executive Officer in January 2003, bringing experience from THQ.
- 2Significant stock ownership by institutional investors: FMR Corp. (14.4%), J & W Seligman & Co. Incorporated (6.4%), and Waddell & Reed Investment Management Company (5.4%).
- 3Executive compensation includes substantial salaries, bonuses, and stock option grants, with Chairman Ryan A. Brant receiving significant bonuses and options in FY 2003.
- 4The company incurred increased auditor fees in FY 2003 due to an SEC investigation and financial statement restatement.
- 5The Audit Committee is composed of independent directors, with Richard W. Roedel identified as a 'financial expert'.
- 6A related-party transaction exists with a lease agreement for office space from a company controlled by the father of Chairman Ryan A. Brant.
- 7As of January 30, 2004, there were 44,578,611 shares of common stock outstanding.