THQ 2006 Annual Report Download - page 28

20
Securities Authorized for Issuance Under Equity Compensation Plans
Information for our equity compensation plans in effect as of March 31, 2006is as follows (amounts in
thousands, except per share amounts):
(a) (b) (c)
Plan Category
Number of securities
to be issued upon
exercise of
outstanding options,
warrants and rights
Weighted-average
exercise price of
outstanding options,
warrants and rights
Number of securities
remaining available for
future issuance under
equity compensation
plans (excluding
securities reflected in
column (a))
Equity compensation plans approved by
security holders.......................... 8,247,411$16.49 2,007,949
Equity compensation plans not approved by
security holders.......................... 1,237,442(1) $ 11.59 237,031
Total..................................... 9,484,853 $15.85 2,244,980
(1) Represents the aggregate number of shares of THQ common stock to be issued upon exercise of
individual compensation arrangements with employee and non-employee option and warrant holders.
The outstanding options were primarily granted under the Company’s Third Amended and Restated
Nonexecutive Employee Stock Option Plan (the “NEEP Plan”). For a description of the material
features of the NEEP Plan, see “Note 14—Stock-based Compensation” in the notes to the
consolidated financial statements.
Securities Issued in Private Transactions
In fiscal 2005 we granted 240,000 warrants to third parties to purchase up to 240,000 shares of our common
stock at an exercise price of $13.49 per share in connection with a license agreement that allows us to
utilize intellectual propertyowned by such third parties. The warrants vested upon grant and have a six-
year term. The fair value of the warrants was determined using theBlack-Scholes pricing model, assuming
a risk-free rate of 2.9%, a volatility factor of 67% and the six-year term as noted above. The fair value of
these warrants was $2.0 million.
Purchases of EquitySecurities by the Issuer and AffiliatedPurchases
There were no repurchases of our common stock by the Company during the three months ended
March 31, 2006.
Item 6. Selected Consolidated Financial Data
The following table summarizes certain selected consolidated financial data, which should be read in
conjunction with our consolidated financial statements and Notes thereto and with Management’s
Discussion and Analysis of Financial Condition and Results of Operations included elsewhere herein.
Effective January 1, 2003, we changed our fiscal year end from December 31 to March 31. The change
resulted in a three-month transitional period ended March 31, 2003.Referencesto Transition 2003, unless
otherwise indicated, refer to the three-month transitional period ended March 31, 2003. Since the change
in fiscal year end affects the comparability of the information reflected in the selected financial data, we
have included unaudited results for the period from April 1, 2002 through March 31, 2003. Other than this
unaudited period, the selected consolidated financial data presented below as of and for each of the fiscal
years and Transition 2003 in the five-year period ended March 31, 2006 are derived from our audited
consolidated financial statements. The consolidated balance sheets as of March 31, 2006, and 2005, and the