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This excerpt taken from the ATVI 10-Q filed Nov 10, 2008. Change
in Segment Presentation– In
conjunction with the Business Combination, we changed the manner in which
senior management assesses the operating performance of, and allocates resources
to, its operating segments. As a result, we operate four business segments: (i) Blizzard
Entertainment, Inc. and its subsidiaries – publishing of traditional games
and online subscription-based games in the massively multiplayer online game (“MMOG”)
category (“Blizzard”), (ii) Activision Publishing - publishing interactive
entertainment software and peripherals which includes certain studios, assets,
and titles previously included in Vivendi Games’ Sierra Entertainment prior to
the Business Combination (“Activision”),
(iii) Activision Blizzard Distribution - distribution of interactive
entertainment software and hardware products (“Distribution”) (these three
business segments form Activision Blizzard’s core operations) and (iv) Activision
Blizzard’s non-core exit operations. Activision Blizzard’s non-core exit
operations represent legacy Vivendi Games’ divisions or business units that the
Company has begun to exit or wind down as part of our restructuring and
integration efforts as a result of the Business Combination, but do not meet
the criteria for separate reporting of discontinued operations. In accordance with the provisions of Statement of
Financial Standards, No. 131, “Disclosures about Segments of an Enterprise
and Related Information,” (“SFAS No. 131”), all prior period segment
information has been restated, when practical, to conform to this new financial
statement presentation (see Note 14 for details).
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