Take Two Interactive Software Inc 8-K, filed Jul 16, 2020
Take Two Interactive Software Inc (TTWO)
About this 8-K
Take Two Interactive Software Inc filed this 8-K on July 16, 2020, reporting on events of July 10, 2020.
Items reported
- Item 1.01: Entered into a material agreement
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Item 1.01 Entry into a Material Definitive Agreement
On July 10, 2020, Take-Two Interactive Software, Inc. (the “Company”) and Microsoft Corporation (“Microsoft”) entered into an Xbox Console Publisher License Agreement (together with all exhibits, addendums and amendments thereto, the “Agreement”), with an effective date of July 1, 2020. The Agreement grants the Company the right to develop, publish, have manufactured, market, advertise, distribute and sell Xbox compatible products for the Xbox One and the Xbox Series X platforms, until May 31, 2023 (the “Initial Term”), in the territories as specified in the Agreement. After the Initial Term, the Agreement will automatically renew for successive one-year periods absent written notice from either party. The Agreement replaces the Company’s existing Xbox One Publisher License Agreement, dated October 31, 2013, which expired on June 30, 2020.
Microsoft charges the Company fees and royalties under the Agreement for each physical media product manufactured on behalf of the Company. Microsoft has the right to review, evaluate, and approve each game concept and the final version of the game, including the game’s packaging and marketing materials featuring Microsoft’s marks. Additionally, Microsoft will pay the Company the applicable wholesale price and/or agreed revenue share for any of the Company’s digitally delivered products sold by Microsoft.
The Agreement may be terminated by either party in the event of a material breach or insolvency. Upon expiration or termination of the Agreement, the Company has certain rights to sell off existing inventories.
The foregoing description of the Agreement is a summary only and is qualified in its entirety by reference to the text of the Agreement, which will be filed as an exhibit to the Company’s Quarterly Report on Form 10-Q for the period ending September 30, 2020.
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SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the Registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.
| TAKE-TWO INTERACTIVE SOFTWARE, INC. | ||
| (Registrant) | ||
| By: | /s/ Matthew Breitman | |
| Matthew Breitman | ||
| Senior Vice President, General Counsel Americas & Corporate Secretary | ||
| Date: July 16, 2020 | ||
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