THQI » Topics » We rely on a relatively small number of licensed brands for a significant portion of our sales.

This excerpt taken from the THQI 10-K filed May 30, 2007.

We rely on a relatively small number of licensed brands for a significant portion of our sales.

Games we develop based upon a small number of licensed brands make up a substantial portion of our sales each year. In fiscal 2007, sales of titles for our three top-selling brands, Disney·Pixar, Nickelodeon and World Wrestling Entertainment (“WWE”) comprised 54% of our net sales; in fiscal 2006, 47% of our net sales were based on titles from such brands; and in fiscal 2005, 52% of our net sales were based on titles from such brands. A limited number of licensed brands may continue to produce a disproportionately large amount of our sales. Due to this dependence on a limited number of brands, the failure of one or more products based on these brands to achieve anticipated results or the loss of a license pursuant to which we develop games for such brands may significantly harm our business and financial results.

We are currently involved in litigation with the WWE with respect to our video game license. Since WWE titles make up a significant portion of our sales, our inability to retain the license could harm us. See, Item 3 “Legal Proceedings” for a more detailed discussion of this litigation.

This excerpt taken from the THQI 10-K filed May 30, 2007.

We rely on a relatively small number of licensed brands for a significant portion of our sales.

Games we develop based upon a small number of licensed brands make up a substantial portion of our sales each year. In fiscal 2006, sales of titles for our three top-selling brands, Disney / Pixar, Nickelodeon and World Wrestling Entertainment (“WWE”) comprised 47% of our net sales; in fiscal 2005, 52% of our net sales were based on titles from such brands; and in fiscal 2004, 50% of our net sales were based on titles from such brands. A limited number of licensed brands may continue to produce a disproportionately large amount of our sales. Due to this dependence on a limited number of brands, the failure of one or more products based on these brands to achieve anticipated results or the loss of a license pursuant to which we develop games for such brands may significantly harm our business and financial results.

We are currently involved in litigation with the WWE with respect to our video game license. Since WWE titles make up a significant portion of our sales, our inability to retain the license could harm us. See, Item 3 “Legal Proceedings” for a more detailed discussion of this litigation.

This excerpt taken from the THQI 10-K filed Jan 19, 2007.

We rely on a relatively small number of licensed brands for a significant portion of our sales.

Games we develop based upon a small number of licensed brands make up a substantial portion of our sales each year. In fiscal 2006, sales of titles for our three top-selling brands, Disney / Pixar, Nickelodeon and World Wrestling Entertainment (“WWE”) comprised 47% of our net sales; in fiscal 2005, 52% of our net sales were based on titles from such brands; and in fiscal 2004, 50% of our net sales were based on titles from such brands. A limited number of licensed brands may continue to produce a disproportionately large amount of our sales. Due to this dependence on a limited number of brands, the failure of one or more products based on these brands to achieve anticipated results or the loss of a license pursuant to which we develop games for such brands may significantly harm our business and financial results.

We are currently involved in litigation with the WWE with respect to our video game license. Since WWE titles make up a significant portion of our sales, our inability to retain the license could harm us. See, Item 3 “Legal Proceedings” for a more detailed discussion of this litigation.

This excerpt taken from the THQI 10-K filed Jun 7, 2006.

We rely on a relatively small number of licensed brands for a significant portion of our sales.

Games we develop based upon a small number of licensed brands make up a substantial portion of our sales each year. In fiscal 2006, sales of titles for our three top-selling brands, Disney / Pixar, Nickelodeon

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and World Wrestling Entertainment (“WWE”) comprised 47% of our net sales; in fiscal 2005, 52% of our net sales were based on titles from such brands; and in fiscal 2004, 50% of our net sales were based on titles from such brands. A limited number of licensed brands may continue to produce a disproportionately large amount of our sales. Due to this dependence on a limited number of brands, the failure of one or more products based on these brands to achieve anticipated results or the loss of a license pursuant to which we develop games for such brands may significantly harm our business and financial results.

We are currently involved in litigation with the WWE with respect to our video game license. Since WWE titles make up a significant portion of our sales, our inability to retain the license could harm us. See, Item 3 “Legal Proceedings” for a more detailed discussion of this litigation.

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