Atari 2009 Annual Report Download - page 8

ANNUAL FINANCIAL REPORT – REGISTRATION DOCUMENT
8
HISTORY
1983-2003
The Company is created is 1983 and begins trading shares on the Second Marché of the Paris Bourse in 1993. In 1996 it
moves to the Premier Marché and embarks on a major acquisition program with:
 The creation of subsidiaries in Europe;
 The acquisition of publishers and studios (such as the acquisition of GT Interactive Software Corp. in 1999 which
becomes Infogrames Inc. then in 2003 Atari Inc. and which has the Driver, Unreal, Unreal Tournament and Deer
Hunter franchises; the acquisition of Hasbro Interactive in 2001 which brings with it the Atari brand; and the
acquisition of Eden Studio SA in 2002);
 The development of its portfolio of licenses, through agreements signed with Hasbro, the acquisition of Dragon Ball
Z publishing rights in the United States, agreements signed with Bioware for worldwide publishing rights to
NetWinter Nights (based on the Dungeons & Dragons license) and with C-2 Pictures and Intermedia for exclusive
worldwide rights to Terminator 3.
2003-2007
The Group initiates restructuring through:
 A public exchange offer for OCEANE 2004 and 2005 convertible/exchangeable bonds, resulting in a restructuring of
some €200 million in convertible bond debt;
 Distribution of warrants to shareholders, raising €39 million in new equity;
 Implementation of an asset disposal program resulting in the sale of Games.com, Timeshift, Driver, Stuntman and
others.
In addition, in 2005 the Group enters into a new agreement with Hasbro Inc., covering the sell-back of digital rights to all
Hasbro properties for USD 65 million.
2007
Implementation and completion, on March 16, 2007, of the overall debt restructuring plan under which €165 million in
debt is refinanced. The plan includes an equity issue of €74 million (proceeds are used to redeem all 2006-2008 notes);
an issue of 265.3 million stock warrants, (of which 217.9 million are distributed to the BlueBay Value Recovery Fund and
the Sark Fund); and a public exchange offer for the 2003-2009 OCEANE bonds.
BlueBay Value Recovery Master Fund Limited and GLG together hold 29% of the Company's shares, until the expiration
of the agreement between them. When that agreement expires (April 20, 2007), BlueBay Value Recovery Master Fund
Limited becomes the Group's principal shareholder, with 19.3% of its capital stock; GLG ranks second, with 9.7% of the
shares outstanding.
On April 4, 2007, Patrick Leleu is appointed the Company‟s Chairman and Chief Executive Officer, replacing founding
Chairman Bruno Bonnell.
2008
In January 2008, the Company issues €150 million in ORANE bonds and regains the ability to finance the Group‟s
expansion strategy.
Reverse stock split (March 4, 2008) through the exchange of 1 new share with a par value of €1 for each 100 existing
shares with a par value of 0.01.
The Board of Directors puts together a new management team, with the appointment of David Gardner as Chief
Executive Officer, Phil Harrison as Chief Operating Officer and Michel Combes as non-executive Chairman. Fabrice
Hamaide is appointed Chief Financial Officer for the Group.
In April 2008, the Company announces the restructuring of its US subsidiary and purchases in cash all Atari Inc. shares it
does not already own, making Atari Inc. a wholly-owned subsidiary. The transaction is completed in October 2008.
In 2008, the Company takes action in numerous areas to implement its strategy, in particular:
 In September 2008, the signing of a strategic partnership between the Company‟s subsidiary Atari Europe and
Namco Bandai Games Europe, under which Namco Bandai Games Europe acquires a 34% stake in the new
entity, Namco Bandai Partners (the transaction is completed in February 2009). Namco Bandai Partners is
created in December 2008 and brings together Atari‟s distribution operations in Europe, Asia, Australia, Africa