This excerpt taken from the ATVI 10-Q filed Aug 4, 2005.
Distribution Net Revenue (in thousands)
Distribution net revenues for the three months ended June 30, 2005 decreased 4% from the prior fiscal year, from $49.6 million to $47.5 million. The decrease was primarily due to weaker first quarter business related to third party publishers causing a shift in product mix. This decrease was offset by a positive impact of the year-over-year strengthening of the EUR and the GBP in relation to the U.S. dollar. Excluding the impact of the changing foreign currency rates, our distribution net revenue decreased $3.6 million or 7%. The mix of future distribution net revenues will be driven by a number of factors including the occurrence of further hardware price reductions instituted by hardware manufacturers, the introduction of new hardware platforms, our ability to establish and maintain distribution agreements with hardware manufacturers and third-party software publishers and the success of third-party published titles. We are expecting our fiscal 2006 distribution revenues to decrease slightly when compared with fiscal 2005 due mainly to shifting product mix.