GameStop 2005 Annual Report Download - page 52

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Company’s disclosure controls and procedures (as defined in Rules 13a-15(e) and 15d-15(e) under the Exchange
Act). Based on this evaluation, the principal executive officer and principal financial officer concluded that, as of the
end of the period covered by this report, the Company’s disclosure controls and procedures are effective.
Notwithstanding the foregoing, a control system, no matter how well designed and operated, can provide only
reasonable, not absolute, assurance that it will detect or uncover failures within the Company to disclose material
information otherwise required to be set forth in the Company’s periodic reports.
(b) Management’s Annual Report on Internal Control Over Financial Reporting
Our management is responsible for establishing and maintaining adequate internal control over financial
reporting, as such term is defined in Exchange Act Rules 13a-15(f). Under the supervision and with the participation
of our management, including our principal executive officer and principal financial officer, we conducted an
evaluation of the effectiveness of our internal control over financial reporting based on the framework in Internal
Control — Integrated Framework issued by the Committee of Sponsoring Organizations of the Treadway Com-
mission. Based on our evaluation under the framework in Internal Control — Integrated Framework, our man-
agement concluded that our internal control over financial reporting was effective as of January 28, 2006. Our
management’s assessment of the effectiveness of our internal control over financial reporting as of January 28, 2006
has been audited by BDO Seidman, LLP, an independent registered public accounting firm, as stated in their report
which is included herein.
The Company completed the mergers on October 8, 2005 and the results of operations of EB are included in
the Company’s consolidated financial statements for the period from the date of the mergers through January 28,
2006. Management excluded from its assessment of the effectiveness of the Company’s internal control over
financial reporting the internal controls of EB. Such exclusion was in accordance with the Securities and Exchange
Commission guidance that an assessment of a recently acquired business may be omitted from management’s report
on internal control over financial reporting in the year of the acquisition. The operations of EB constituted
approximately 60.0% and 65.7% of the Company’s consolidated assets and liabilities, respectively, as of January 28,
2006 and 32.2% of consolidated revenues and 44.9% of operating earnings for the year then ended.
March 29, 2006
Report of Independent Registered Public Accounting Firm
Board of Directors and Stockholders
GameStop Corp.
Grapevine, Texas
We have audited management’s assessment, included in the accompanying Management’s Annual Report on
Internal Control over Financial Reporting appearing under Item 9A of the Annual Report on Form 10-K, that
GameStop Corp. maintained effective internal control over financial reporting as of January 28, 2006, based on the
criteria established in Internal Control — Integrated Framework issued by the Committee of Sponsoring Orga-
nizations of the Treadway Commission (COSO). Management of GameStop Corp. is responsible for maintaining
effective internal control over financial reporting and for its assessment of the effectiveness of internal control over
financial reporting. Our responsibility is to express an opinion on management’s assessment and an opinion on the
effectiveness of the internal control over financial reporting of GameStop Corp. based on our audit.
We conducted our audit in accordance with the standards of the Public Company Accounting Oversight Board
(United States). Those standards require that we plan and perform the audit to obtain reasonable assurance about
whether effective internal control over financial reporting was maintained in all material respects. Our audit
included obtaining an understanding of internal control over financial reporting, evaluating management’s
assessment, testing and evaluating the design and operating effectiveness of internal control, and performing
such other procedures as we considered necessary in the circumstances. We believe that our audit provides a
reasonable basis for our opinions.
A company’s internal control over financial reporting is a process designed to provide reasonable assurance
regarding the reliability of financial reporting and the preparation of financial statements for external purposes in
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