GameStop Corp. (NYSE:GME) Files An 8-K Material ImpairmentsItem 2.06Material Impairments
On January 10, 2018, GameStop Corp. concluded that a non-cash, pre-tax impairment charge in the range of $350 million to $400 million will be recorded in the fourth quarter of the fiscal year ending February 3, 2018, primarily associated with acquired dealer agreement intangible assets and goodwill in its Technology Brands segment. The conclusion was made in connection with GameStop Corp.’s annual impairment testing of goodwill and intangible assets, which is not yet finalized. While the Technology Brands segment remains profitable, recent financial performance measures indicate that future sales and profitability no longer support the entire carrying value of its goodwill and intangible assets. No cash expenditures are anticipated as a result of the impairment charge.
Item 7.01Regulation FD Disclosure.
On January 12, 2018, GameStop Corp. issued a press release announcing its sales results for the nine-week holiday period ended December 30, 2017. A copy of the press release is attached hereto as Exhibit 99.1.
Item 9.01Financial Statements and Exhibits.
(d)Exhibits.
Except for the information contained in Item 2.06, the information contained in this Current Report (including Exhibit 99.1) shall not be deemed "filed" for purposes of Section 18 of the Securities Exchange Act of 1934, as amended, or otherwise subject to the liabilities of that section, nor shall it be deemed incorporated by reference in any filing under the Securities Act of 1933, as amended, except as expressly set forth by specific reference in such a filing.
GameStop Corp. ExhibitEX-99.1 2 a991-holidaysales2017.htm EXHIBIT 99.1 Exhibit GameStop Reports 2017 Holiday Sales ResultsGlobal Same Store Sales Increase 11.8%; 13.7% in the U.S. and 7.9% InternationallySales Growth Fueled by Strong Performance in New Hardware,…To view the full exhibit click here
About GameStop Corp. (NYSE:GME)
GameStop Corp. is an omnichannel video game retailer. The Company sells video game hardware, physical and digital video game software, video game accessories, as well as mobile and consumer electronics products and other merchandise through its GameStop, EB Games and Micromania stores. The Company operates its business in four Video Game Brands segments: United States, Canada, Australia and Europe, and Technology Brands segment. Each of the Video Game Brands segments consists of retail operations, with all stores engaged in the sale of new and pre-owned video game systems, software and accessories. Its Video Game Brands stores sell various types of digital products, including downloadable content, network points cards, prepaid digital, prepaid subscription cards and digitally downloadable software, and also sell certain mobile and consumer electronics products and collectible products. Its Technology Brands segment includes its Spring Mobile and Simply Mac businesses.