GameStop 2007 Annual Report Download - page 97

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The following table presents a summary of the Company’s restricted stock awards activity:
Shares
Weighted-
Average
Grant Date
Fair Value
(Thousands of shares)
Nonvested shares at January 29, 2005................................ — $ —
Granted .................................................... 100 17.94
Nonvested shares at January 28, 2006................................ 100 17.94
Granted .................................................... 532 20.86
Vested ..................................................... (50) 17.94
Nonvested shares at February 3, 2007................................ 582 20.61
Granted .................................................... 974 27.09
Vested ..................................................... (223) 20.07
Forfeited ................................................... (32) 24.28
Nonvested shares at February 2, 2008................................ 1,301 $25.46
The 100 shares of restricted stock granted in fiscal 2005 vested in equal installments over two years. In fiscal
2006, the 532 shares of restricted stock granted vest in either equal installments over three years or in total at the end
of three years depending on the grant. In fiscal 2007, the 974 shares of restricted stock granted vest in equal
installments over three years.
During the 52 weeks ended February 2, 2008, the 53 weeks ended February 3, 2007 and the 52 weeks ended
January 28, 2006, the Company included compensation expense relating to the grant of these restricted shares in the
amounts of $11,108, $4,349 and $347, respectively, in selling, general and administrative expenses in the
accompanying consolidated statements of operations. As of February 2, 2008, there was $18,800 of unrecognized
compensation expense related to nonvested restricted stock awards that is expected to be recognized over a
weighted average period of 1.9 years.
Subsequent to the fiscal year ended February 2, 2008, an additional 534 shares of restricted stock were granted
under the Incentive Plan, which vest over three years.
14. Employees’ Defined Contribution Plan
The Company sponsors a defined contribution plan (the “Savings Plan”) for the benefit of substantially all of
its U.S. employees who meet certain eligibility requirements, primarily age and length of service. The Savings Plan
allows employees to invest up to 60%, up to a maximum of $15,500 a year, of their eligible gross cash compensation
invested on a pre-tax basis. The Company’s optional contributions to the Savings Plan are generally in amounts
based upon a certain percentage of the employees’ contributions. The Company’s contributions to the Savings Plan
during the 52 weeks ended February 2, 2008, the 53 weeks ended February 3, 2007 and the 52 weeks ended
January 28, 2006, were $2,235, $1,992 and $1,333, respectively.
15. Certain Relationships and Related Transactions
The Company operates departments within nine bookstores operated by Barnes & Noble, a stockholder of
Historical GameStop until November 2004 and an affiliate through a common stockholder who is the Chairman of
the Board of Directors of Barnes & Noble and a member of the Company’s Board of Directors. The Company pays a
license fee to Barnes & Noble on the gross sales of such departments. Management deems the license fee to be
reasonable and based upon terms equivalent to those that would prevail in an arm’s length transaction. During the
F-30
GAMESTOP CORP.
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS — (Continued)