Hasbro 2013 Annual Report Download - page 13

From time to time, including in this Annual Report on Form 10-K and in our annual report to shareholders,
we publish “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of
1995. These “forward-looking statements” may relate to such matters as our business and marketing strategies,
anticipated financial performance or business prospects in future periods, including with respect to our planned
cost savings initiative, expected technological and product developments, the expected content of and timing for
scheduled new product introductions or our expectations concerning the future acceptance of products by
customers, the content and timing of planned entertainment releases including motion pictures, television and
digital products; and marketing and promotional efforts, research and development activities, liquidity, and
similar matters. Forward-looking statements are inherently subject to risks and uncertainties. The Private
Securities Litigation Reform Act of 1995 provides a safe harbor for forward-looking statements. These
statements may be identified by the use of forward-looking words or phrases such as “anticipate,” “believe,”
“could,” “expect,” “intend,” “looking forward,” “may,” “planned,” “potential,” “should,” “will” and “would” or
any variations of words with similar meanings. We note that a variety of factors could cause our actual results
and experience to differ materially from the anticipated results or other expectations expressed or anticipated in
our forward-looking statements. The factors listed below are illustrative and other risks and uncertainties may
arise as are or may be detailed from time to time in our public announcements and our filings with the Securities
and Exchange Commission, such as on Forms 8-K, 10-Q and 10-K. We undertake no obligation to make any
revisions to the forward-looking statements contained in this Annual Report on Form 10-K or in our annual
report to shareholders to reflect events or circumstances occurring after the date of the filing of this report.
Unless otherwise specifically indicated, all dollar or share amounts herein are expressed in thousands of dollars
or shares, except for per share amounts.
PART I
Item 1. Business.
General Development and Description of Business and Business Segments
Except as expressly indicated or unless the context otherwise requires, as used herein, “Hasbro”, the
“Company”, “we”, or “us”, means Hasbro, Inc., a Rhode Island corporation organized on January 8, 1926, and its
subsidiaries.
Overview
We are a branded-play company dedicated to fulfilling the fundamental need for play for children and
families through creative expression of the Company’s world class brand portfolio. From toys and games to
television programming, motion pictures, digital gaming and a comprehensive licensing program, Hasbro
executes its brand blueprint in all of its operations. At the center of its brand blueprint, Hasbro re-imagines, re-
invents, and re-ignites its owned and controlled brands, and imagines, invents and ignites new brands, through
toy and game innovation, immersive entertainment offerings, including television programming and motion
pictures, and a broad range of licensed products, ranging from traditional to high-tech and digital, under well-
known brand names structured within the Company’s brand architecture.
The Company’s brand architecture identifies franchise brands, challenger brands, gaming mega brands, key
partner brands and new brands. The Company’s franchise and challenger brands represent Company-owned
brands which if not entirely owned, are broadly controlled by the Company, and which have been successful over
the long term. Franchise brands are the Company’s most significant owned or controlled brands which it believes
have the ability to deliver significant revenue over the long-term. Challenger brands are brands which have not
yet achieved franchise brand status, but which the Company believes have the potential to do so with investment
and time. The Company’s franchise brands are LITTLEST PET SHOP, MAGIC: THE GATHERING,
MONOPOLY, MY LITTLE PONY, NERF, PLAY-DOH and TRANSFORMERS, while challenger brands
include BABY ALIVE, DUEL MASTERS, FURBY, FURREAL FRIENDS and PLAYSKOOL. The Company’s
gaming mega brands are BOP IT!, CONNECT 4, ELEFUN & FRIENDS, JENGA, LIFE, OPERATION and
TWISTER. Hasbro also seeks to imagine, invent and ignite new or archived brands offering engaging branded
play experiences. In addition to product offerings under Hasbro-owned brands, or brands which if not entirely
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