Atari 2010 Annual Report Download - page 3

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ANNUAL FINANCIAL REPORT – REGISTRATION DOCUMENT
3
CONTENTS
ANNUAL FINANCIAL REPORT ------------------------------------------------------------------------------------------------------------------- 2
REGISTRATION DOCUMENT --------------------------------------------------------------------------------------------------------------------- 2
GENERAL INFORMATION ------------------------------------------------------------------------------------------------------------------------- 4
CORPORATE
PROFILE -------------------------------------------------------------------------------------------------------------------------- 4
STRATEGY ------------------------------------------------------------------------------------------------------------------------------------------ 5
HISTORY --------------------------------------------------------------------------------------------------------------------------------------------- 7
THE
MARKET
FOR
INTERACTIVE
ENTERTAINMENT
SOFTWARE ---------------------------------------------------------------- 8
BUSINESS ------------------------------------------------------------------------------------------------------------------------------------------ 10
FRANCHISES
AND
LICENSES ---------------------------------------------------------------------------------------------------------------- 10
MATERIAL
CONTRACTS ----------------------------------------------------------------------------------------------------------------------- 11
CAPITAL
PROJECTS ---------------------------------------------------------------------------------------------------------------------------- 13
FUTURE
PROSPECTS -------------------------------------------------------------------------------------------------------------------------- 14
RISK
EXPOSURE --------------------------------------------------------------------------------------------------------------------------------- 14
MEASURES
TAKEN
TO
PROTECT
THE
BUSINESS ------------------------------------------------------------------------------------ 14
NON-RECURRING
EVENTS
AND
LITIGATION ------------------------------------------------------------------------------------------- 15
HUMAN
RESOURCES
AND
PERSONNEL ------------------------------------------------------------------------------------------------- 15
GROUP
PREMISES ------------------------------------------------------------------------------------------------------------------------------ 16
SIMPLIFIED GROUP ORGANIZATION CHART AS OF MARCH 31, 2010 ---------------------------------------------------------- 16
INFORMATION ON MANAGEMENT AND THE FINANCIAL STATEMENTS ------------------------------------------------------- 17
1.
ECONOMIC
ENVIRONMENT
AND
HIGHLIGHTS
OF
THE
YEAR ----------------------------------------------------------------- 17
2.
ANALYSIS
OF
THE
CONSOLIDATED
FINANCIAL
STATEMENTS --------------------------------------------------------------- 20
3.
PARENT
COMPANY
BUSINESS
AND
FINANCIAL
RESULTS
(ATARI
S.A.) --------------------------------------------------- 26
4.
BUSINESS
AND
FINANCIAL
RESULTS
OF
SUBSIDIARIES ----------------------------------------------------------------------- 27
5.
SHAREHOLDERS ------------------------------------------------------------------------------------------------------------------------------ 27
6.
ALLOCATION
OF
NET
LOSS --------------------------------------------------------------------------------------------------------------- 28
7.
CORPORATE
OFFICERS -------------------------------------------------------------------------------------------------------------------- 28
8.
RISKS
TO
WHICH
THE
BUSINESS
IS
EXPOSED ------------------------------------------------------------------------------------- 39
9.
INFORMATION
CONCERNING
THE
WORKFORCE --------------------------------------------------------------------------------- 48
10.
CAPITAL
PROJECTS
–
RESEARCH
AND
DEVELOPMENT ---------------------------------------------------------------------- 49
11.
SUBSEQUENT
EVENTS ------------------------------------------------------------------------------------------------------------------- 49
12.
COMPANY
PROSPECTS ------------------------------------------------------------------------------------------------------------------ 50
13.
ATARI
SA
FIVE-YEAR
FINANCIAL
SUMMARY--------------------------------------------------------------------------------------- 50
14.
SUMMARY
OF
AUTHORITY
CURRENTLY
GRANTED
TO
INCREASE
CAPITAL
AND
USE
MADE
OF
SAID
AUTHORITY
DURING
FISCAL
2008-2009
(ARTICLE
L.225-
100
OF
THE
FRENCH
COMMERCIAL
CODE) ------------- 51
CONSOLIDATED FINANCIAL STATEMENTS AS OF MARCH 31, 2010 ------------------------------------------------------------ 55
CONTENTS ----------------------------------------------------------------------------------------------------------------------------------------- 54
STATUTORY
AUDITORS'
REPORT
ON
THE
CONSOLIDATED
FINANCIAL
STATEMENTS ------------------------------ 108
INFORMATION CONCERNING THE PARENT COMPANY ---------------------------------------------------------------------------- 110
APPENDIX ---------------------------------------------------------------------------------------------------------------------------------------- 111
STATUTORY
AUDITORS
REPORT
ON
THE
ANNUAL
FINANCIAL
STATEMENTS ------------------------------------------ 134
GENERAL INFORMATION CONCERNING THE COMPANY -------------------------------------------------------------------------- 136
GENERAL
INFORMATION
CONCERNING
THE
COMPANY'S
CAPITAL -------------------------------------------------------- 140
INFORMATION
ON
TRADING
IN
THE
COMPANY'S
SHARES ---------------------------------------------------------------------- 155
DIVIDENDS --------------------------------------------------------------------------------------------------------------------------------------- 158
CORPORATE GOVERNANCE ----------------------------------------------------------------------------------------------------------------- 158
MANAGEMENT,
SUPERVISORY
AND
OVERSIGHT
BODIES ---------------------------------------------------------------------- 158
SUPERVISORY
AND
OVERSIGHT
BODIES --------------------------------------------------------------------------------------------- 165
STATUTORY
AUDITORS'
FEES ------------------------------------------------------------------------------------------------------------ 167
INFORMATION
CONCERNING
EMPLOYEE
PROFIT
SHARINGPROFIT-SHARING
PLAN -------------------------------- 167
RELATED
PARTY
AGREEMENTS --------------------------------------------------------------------------------------------------------- 168
STATUTORY
AUDITORS'
SPECIAL
REPORT
ON
RELATED PARTY AGREEMENTS AND COMMITMENT
Y
EAR ENDED
M
ARCH
31,
2010 ------------------------------------------------------------------------------------------------------------------------------------------------- 168
REPORT
BY
THE
CHAIRMAN
OF
THE
BOARD
OF
DIRECTORS
ON
THE
PREPARATION
AND
ORGANIZATION
OF
THE
BOARD’S
ACTIVITIES
AND
ON
INTERNAL
CONTROL
PROCEDURES,
PRESENTED
IN
ACCORDANCE
WITH
ARTICLE
L.
225-37
OF
THE
FRENCH
COMMERCIAL
CODE ----------------------------------------------------------------------- 172
STATUTORY
AUDITORS’
REPORT,
PREPARED
IN
ACCORDANCE
WITH
ARTICLE
L.
225-235
OF THE
FRENCH
COMMERCIAL
CODE
ON
THE
REPORT
PREPARED
BY
THE
CHAIRMAN
OF
THE
BOARD
OF
DIRECTORS
OF
ATARI ----------------------------------------------------------------------------------------------------------------------------------------------- 179
TO THE SHAREHOLDERS, --------------------------------------------------------------------------------------------------------------------- 179
RECENT DEVELOPMENTS --------------------------------------------------------------------------------------------------------------------- 180
PRESS
RELEASE
OF
J
ULY
23,
2010 ------------------------------------------------------------------------------------------------------- 180
PARTIES RESPONSIBLE FOR THE REGISTRATION DOCUMENT AND STATEMENTS ----------------------------------- 181
STATEMENT
BY
THE
PERSON
RESPONSIBLE
FOR
THE
REGISTRATION
DOCUMENT -------------------------------- 181
INFORMATION ----------------------------------------------------------------------------------------------------------------------------------- 182
ANNUAL
INFORMATION
DOCUMENT ---------------------------------------------------------------------------------------------------- 183
CROSS-REFERENCE TO THE PRESENTATION REQUIRED UNDER EUROPEAN REGULATION 809/2004 -------- 185
CROSS-REFERENCE TO THE ANNUAL FINANCIAL REPORT --------------------------------------------------------------------- 187