Hasbro 2007 Annual Report Download - page 80

option compensation in 2006 related to unvested options as of that date as well as grants made in 2006.
The Company did not restate any of the prior years but has adjusted the operating profit (loss) of each of
its segments for 2005 to reflect compensation for that period based on the Company’s 2005 pro forma dis-
closures under SFAS 123. As such, the above amounts represent the removal of the amounts included in
the segment disclosures to reconcile to the 2005 reported consolidated operating profit for 2005. The
$23,044 of 2005 pro forma stock option expense was allocated as follows: $15,417 to North America,
$4,309 to International, $1,774 to Global Operations and $1,544 to Other Segment.
The following table presents consolidated net revenues by classes of principal products for the three fiscal
years ended December 30, 2007:
2007 2006 2005
Games and puzzles ............................... $1,323,641 1,294,110 1,246,422
Boys’ toys ...................................... 1,024,023 575,841 721,770
Girls’ toys ...................................... 697,304 540,298 446,822
Preschool toys ................................... 434,893 406,663 334,729
Tweens toys .................................... 252,055 266,844 269,826
Other.......................................... 105,641 67,725 68,058
Net revenues .................................... $3,837,557 3,151,481 3,087,627
During the 2007 fiscal year, revenues generated from the sale of TRANSFORMERS products accounted
for 12.6% of consolidated net revenues. During 2005, revenues from STAR WARS related products accounted
for 16% of consolidated net revenues. No other individual product lines accounted for 10% or more of
consolidated net revenues in 2007 or 2005. No individual product lines accounted for 10% or more of
consolidated net revenues during 2006.
Information as to Hasbro’s operations in different geographical areas is presented below on the basis the
Company uses to manage its business. Net revenues are categorized based on location of the customer, while
long-lived assets (property, plant and equipment, goodwill and other intangibles) are categorized based on their
location:
2007 2006 2005
Net revenues
United States .................................. $2,210,840 1,898,865 1,846,217
International .................................. 1,626,717 1,252,616 1,241,410
$3,837,557 3,151,481 3,087,627
Long-lived assets
United States .................................. $1,011,660 1,051,124 1,127,100
International .................................. 133,709 132,797 117,439
$1,145,369 1,183,921 1,244,539
Principal international markets include Europe, Canada, Mexico, Australia, and Hong Kong.
Other Information
Hasbro markets its products primarily to customers in the retail sector. Although the Company closely
monitors the creditworthiness of its customers, adjusting credit policies and limits as deemed appropriate, a
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HASBRO, INC. AND SUBSIDIARIES
Notes to Consolidated Financial Statements — (Continued)
(Thousands of Dollars and Shares Except Per Share Data)