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October Cover Revealed: BioShock Infinite - News - GameInformer.com

2010-09-05T10:08:30+00:00

Irrational Games recently revealed BioShock Infinite, but what you already know about the game is just the beginning. Our exclusive cover story is packed with new info about Columbia, protagonist Booker DeWitt, his companion Elizabeth, and the monstrous titan that rules the sky above the city. Our BioShock Infinite covers, which were just unveiled onstage at PAX, are a significant departure from our normal look. Instead of using our traditional layout, we worked with artists at Irraional Games to produce covers that showcase what a video game magazine might have looked like on Columbia in the early 1900s. With illustrations inspired by period publications like The Saturday Evening Post, all three covers also feature unique advertisement for products a citizen of Columbia might need. You can also look forward to several other cool features, including four pages on Call of Duty: Black Ops' multiplayer, an analysis of the gaming industry's upcoming Supreme Court battle, and in-depth impressions of Move and Kinect. This issue also features previews of Fallout: New Vegas and Dead Space 2, along with a review of a little game called Halo: Reach.Click the images below to see high-res versions of all three covers below, and come back throughout the month to visit our BioShock Infinite hub, where you'll find even more exclusive details on Irrational Games' upcoming project.

Linking sites: VG247, Destructoid

IndieGames.com - The Weblog

2010-09-04T07:33:01+00:00

Today's collection of independent game links includes more indie game previews, a couple of development updates, and the usual interviews with developers from around the 'net.The Sydney Morning Herald: GRAPHIC"The free Best of the Independent Games Festival (IGF) 2009 exhibition, curated by the Australian Centre for the Moving Image, will showcase the most intriguing computer games from the Sundance Festival for Games. The exhibition will be open from August 5-8."gamesTM: The Tomorrow Corporation Talks Indie Development"A partnership between 'indie sellouts' Kyle Gabler, Kyle Gray and Allan Blomquist (pictured), Tomorrow Corporation is the kind of collaborative effort we’re seeing with greater frequency in the indie development community. We sit down with the recently formed Tomorrow Corporation to discuss what it really means to be free from publisher pressure."CACTUSQUID.com: The Death Set - Around The World"The Death Set asked me to make them a music video after I borrowed their song for the trailer to Air Pirates. This was about a year ago, and just the other day I realized I really should finish this thing up before it's way too late."Amanita Design: Machinarium Pirate Amnesty"Get the latest version of Machinarium and the fantastic soundtrack for only $5 (instead of $20). The offer runs from August 5th to 12th."GameSetWatch: ACE Team Spams Us With Python-Inspired Rock of Ages"Ace Team talks to GSW's Michael Rose about their history, acclaimed IGF-nominated first-person action title Zeno Clash, and their unique new Python-y Atlus-published digital title, Rock Of Ages."8 Bit Horse: Edmund McMillen and Tommy Refenes Interview"In this ongoing series of developer interviews, we spend some time with Edmund McMillen and Tommy Refenes of Team Meat, developers of Super Meat Boy."The Happy Medium: Paolo Pedercini Interview"You probably know Paolo Pedercini as the man behind Molleindustria, maker of some of the most politically and socially scathing independent games around. He’s also behind one of my favourite games, Every Day The Same Dream, a Prufrock-esque contemplation on the monotony of life."Gamezebo: An interview with Hemisphere Games"Gamezebo recently had the chance to speak with Lead Game Designer Eddy Boxerman and Lead iOS Programmer Aaron Barsky of Hemisphere Games about their experiences in bringing Osmos to Apple’s popular line of iDevices."The Shank Blog: Shank’s Original Score"If we can get to our goal of 1,500 people to show their love for Shank by joining our community on Facebook, we’ll release the entire soundtrack for free." Posted by timw at 8:00 PM | Permalink | Comments (2)

Linking sites: GameSetWatch, Rock, Paper, Shotgun

News: GoldenEye 64 designer slams Activision over Wii remake - Official Nintendo Magazine

2010-09-04T04:02:39+00:00

Activision is remaking the Nintendo 64 classic GoldenEye 007 for the Wii, but one man isn't convinced it's coming from a genuine enthusiasm for the game: original GoldenEye designer Martin Hollis. Speaking to Official Nintendo Magazine, Hollis accused Activision of making the remake primarily for the money. "I imagine it is a business decision isn't it?" Hollis said. "This name is valuable, let's use it. I find it hard to picture Activision's top management being excited about the original and wanting to do it justice. In fact, I find it hard to imagine them being excited about any game. It's my perception that they are trying to be EA, only more so. I think they are doing a fine job at that." Despite doubts about Activision's motivation, Hollis still offered support for remake developer Eurocom. "I know and like Eurocom. I think they are a good company. I'm confident they have done their very best," Hollis said. Elsewhere on the Internet, Rare also revealed that for a while, they never expected GoldenEye to become as big as a commodity as it is today in the first place. "When Nintendo asked if we wanted to do it, we said, 'well not really,'" explained Rare studio head Mark Betteridge in the latest issue of Edge (via CVG). "We were trying to build our own IP, and film tie-ins meant a lot of ownership by the film company." Things got even worse, Betteridge said, when they showed GoldenEye off at E3 for the first time. "We went to E3 at the same time as one of our other games and that was getting loads of attention while GoldenEye just had all these empty stands," he said. "We thought, 'Oh, God, here we go -- this is going to be a disaster. Thank God we've got Banjo.'" And now, a GoldenEye remake is coming out for the Wii 12 years later. Who would have thought.

Linking sites: 1UP RSS feed, GamePolitics News

News: New violent Activision racing game uncovered - ComputerAndVideoGames.com

2010-09-04T00:14:07+00:00

The BBFC’s rated Blood Drive, a violent Activision racer due this year.The game hasn’t been announced by the publisher, but Amazon’s listing it for an October release. This doesn’t seem very likely, quite frankly.It’s racing combat in the desert, from the look of it. Here’s what Amazon has to say:Motorized Vehicles on Steroids ? THE CARS ARE THE STARS! Battle-hardened & itching to be modded with killer weaponry and armor pick-upsZombies with Attitude: Diverse and interesting zombies lifted from the streets of faux Vegas, each replete with unique attitudes and innovative ways to kill themRewarding motorized combat with enemy vehicles, including souped-up muscle cars, hot rods, wreckers, and moreTournament Structured Gameplay: Enter the most gruesome and violent tournament on earth. Battle through 10 plus events and different levels in the ultimate fight for your lifeMultiplayer Bloodbath: With Online and LIVE play, the game is a target-rich environment with drop-in, drop-out playabilityWe’ll ask Activision about it this morning. Thanks, CVG.

Linking sites: VG247, Destructoid, Joystiq

DRAGON AGE: ORIGINS - ULTIMATE EDITION rated 18 by the BBFC

2010-09-03T21:51:27+00:00

The ongoing crumb trail of Dragon Age: Origins: Ultimate Edition continues today, as its revealed the BBFC has rated the title.The UK ratings body gave the game an 18, and was passed with no cuts made.The listing also mentions the additional content you’ll be seeing on the disc – in a similar form to Bad Company 2’s UE – including the new pice of DLC, Witch Hunt.The collection has never been formally announced by EA, but it’s already been rated by the OFLC in Australia and a listing on US retailer GameStop’s website.Sounds like we’re about to hear a lot more of this before Dragon Age 2’s release next March.

Linking sites: VG247, Joystiq

Why is everyone upset the game came out "early"?!? » Forum Post by cattess

2010-09-03T16:41:30+00:00

Sorry for the dissertation, but if you are bored while waiting for Elemental to get fixed and want to contemplate the silliness of the human psyche.... I must admit I don't understand all the anger/people saying Stardock should have delayed releasing Elemental until February 2011. It seems to me that EVERYONE is better off with the game released and in players' hands, rather than having Stardock work on it internally for another 6 months before release: 1.) Stardock Obvious - better off cause they have people's money, and can get players to do their "beta testing", find bugs, etc. without having to pay them...big win. 2.) Players who like the game "Fanboys" or not, there are apparently a lot of people (50%-ish in the poll, and some positive comments in the forums) who are enjoying playing the game, even if they realize it is not perfect. They are happy it is out now so they get 6 months more of enjoyment. Plus the ability to make suggestions, which means the game will be better by Feb 2011 than it would be if it was just in Stardock's hands internally...let's face it, the official beta-testing process was not, and would not have been, as intense as what is happening now that the game is released - i.e. whenever the game got released players would have a lot of complaints/suggestions, and this way they are taken care of now, rather than 6 months from now. So you get to have whatever fun you can have with the game now, PLUS have the game in better shape by next February than it would otherwise be...PLUS have Stardock feeling bad and more likely to give additional free content that they were planning on charging for going forward = big win for this group, as well. 3.) Players who hate/are frustrated by the game in current form Okay, you hate the game. Don't play it until next February, and you are in the same place you'd be if they didn't release it until then. Only you are even BETTER off, becasue of the reasons outlined above....you at least have the chance to make suggestions, and/or have other people climbing all over the game and improving it, so it will be better this way by February 2011 than it would have been if they didn't release it until then. Plus more Stardock effort/free stuff, as above. Okay, you had to put up your $50 now. But since you were going to spend $50 next February, you didn't LOSE $50, you just lost the use of that $50 for 6 months. Left in the bank, at the current .1% interest, that "costs" you $.025 in interest (pre-tax!). That sucks, but only a little. I would think if you were going to plop down $50 in 6 months anyways, plopping down, in effect, $50.025 now to get a more-robust, fully tested and vetted game in 6 months that you can mess around with now if you feel like it (and ignore if you don't), PLUS get Stardock's extra effort to make up the problem stuff, seems like a pretty good deal. So ignore the game, come back in February, and have a better game due to the "early" release than you would have had otherwise. If losing out on the $.025 interest on your money for 6 months really annoys you, get a refund and rebuy later - annoying, but not catastrophic, especially relative to the "free look" at maybe enjoying the game now and definelty enjoying the game more once it's been refined by the rest of the public. Either way, the "pre-mature" release seems like a small win even for this group. I understand if a company releases a game that's not ready, takes your money, and walks away...that REALLY sucks, and no one wants to support the trend of companies doing that. But no one, even those who hate the game in it's current form, appears to think Stardock is going to do that. Feeling like you are going to get something great, and then having to wait, is annoying...but you'd have to wait if they delayed the release, too. And buying something you thought you'd like, and having to go through the hassle of getting a refund cause you need the money to buy something else to amuse yourself, is also annoying. But it also seems that the annoyance is small compared to the CHANCE to get a look at something early...you might like it..you might not like it but like the chance to help reshape it...you probably will like it more in 6 months than you would have if the release was delayed...it just seems to me that if you really THINK about it, we should ALL be glad Stardock released this game now rather than working on it internally until Febrauary of next year... Stardock wins; people who are enjoying the game now win, and even people who dislike the game in it's current format kinda win. So why the hate?!?! ...if you truly believe that they will continue to improve the game as much as they would have if they kept it internal for 6 more months, the "early" release is a GREAT thing for EVERYONE (like how the capital letters make my points so much stronger.."look, it's in capitals..must be right!"). And it gets even better if you STOP writing how much you hate the game in the forums, and let other people help improve it for you without the distraction!! Stardock - KEEP releasing games early, AS LONG AS YOU WORK HARD TO SUPPORT THEM AFTER RELEASE, we all win that way!!!!!!

Linking sites: Rock, Paper, Shotgun, Joystiq

News: Duke Nukem Forever getting unveiled today? - ComputerAndVideoGames.com

2010-09-03T16:05:43+00:00

Come back and check this post at 6pm, basically. The hot word on the hot street is that 2K are unveiling something hot at that time, live from the showfloor of the Penny-Arcade Expo. Hotter still, it’s hotly-tipped to be Gearbox’s rumoured finishing-up of Duke Nukem Forever. Is it? Maybe/probably/everyone on the internet’s saying it is, so don’t blame us if it isn’t. Find out for yourself by pointing those beautiful eyes of yours at the live-streaming videobox below at 6pm GMT, 1pm EST, 10am PST and 7pm CET (It’s DNF. Maybe. Probably. Everyone on the internet’s saying it is anyway, so don’t blame us if it isn’t).The embed code gave me a choice of colours for the border. I chose pink, just for you.

Linking sites: Rock, Paper, Shotgun, Joystiq

Telltale Games - Store - Poker Night at the Inventory

2010-09-03T09:16:00+00:00

Telltale have revealed the game they were teasing last week, and it’s not the Back To The Future series that was announced yesterday. It’s called Poker Night at the Inventory, and features a gaming all-star cast.Sitting down at the green table are Penny Arcade’s Tycho, Team Fortress 2′s Heavy, Strong Bad of Homestar Runner fame, and Sam & Max’s very own Max.Which is an achievement in itself, convincing Valve to come on board with this idea. Telltale describes the game like this:“Prepare for a different kind of poker night in a very different kind of club. In Poker Night at the Inventory, you’ll deal with Penny Arcade’s clever, cunning Tycho, Team Fortress 2′s hulking Heavy, Homestar Runner’s self-proclaimed “awesome icon” Strong Bad and the hyperkinetic “rabbity-thing” from Sam & Max. These characters come together in ways some never thought possible, in a setting few would have predicted. You’ll experience a new style of poker, particularly when hands don’t go the way of the other fiery competitors at the table.”And that’s all that’s known. We are going to investigate further. What you can do, however, is pre-order it. It’s $4.95 from the Telltale site (with an offer to get 25% off other purchases if you do), and currently £2.92 on UK Steam. This is a pre-order without really knowing what the game is, of course.It’ll be interesting, as there’s been very few decent poker games. In fact, I’ve yet to play a decent Hold ‘Em simulator, with AI that can both bluff and read. Presumably if Telltale hasn’t cracked this – and maybe they have – they’ll instead make the experience worthwhile purely by the power of silly. (It’s a technique that can work, but I need to shake thoughts of National Lampoon’s Chess Maniac Five Billion And One from my head). There’s no fixed release date yet, but it will apparently be this “Fall”.Also good to see Strong Bad in there, which presumably means the Bros. Chaps are on board to provide the voice at least, despite their website being left fallow since April this year. Perhaps there’s still hope for a return of Homestar Runner too.I love the idea of characters from various unconnected games getting together. I especially love that they’re all in their own graphical style. I want more of this. And since you’d have a pretty crappy game of poker with only four people playing, presumably there’s some unrevealed characters yet. So who would you like to see get added to the field?

Linking sites: Rock, Paper, Shotgun, Joystiq

Conduit 2 Hits Delay, Coming in 2011 « Nintendojo

2010-09-03T08:04:22+00:00

Agent Ford’s second foray is on hold, at least for a couple more months.In an e-mail exchange with Sega and High Voltage public relations in regard to Conduit 2, we were notified that the game’s release date has been pushed back to the first quarter of 2011. The game was scheduled to hit store shelves Nov. 2.Along with the delay, a couple of new control methods were confirmed for the sequel. Players will be able to use their Classic Controllers or Classic Controller Pros to blast the Drudge or each other in multiplayer, according to High Voltage. The game also takes advantage of Wii MotionPlus, as well as the system standard of Wii Remote and Nunchuk.Conduit 2, a Wii exclusive, will be playable this weekend at PAX in Seattle, Washington.

Linking sites: VG247, Destructoid

News: New violent Activision racing game uncovered - ComputerAndVideoGames.com

2010-09-03T07:40:33+00:00

Linking sites: VG247, Destructoid

GamerNode: News - Dead Space 2 to have online soldiers vs. Necromorphs multiplayer

2010-09-03T06:40:14+00:00

Dead Space 2 to have online soldiers vs. Necromorphs multiplayerCategory: Industry / Multiplatform, Posted: 09/01/2010 at 09:07PM EDT by Jason Fanelli, Associate EditorAt the annual GameStop conference in San Antonio, Texas, EA spilled some beans about Dead Space 2, namely the online multiplayer aspect and the pre-order information.The game will allow players to control the Necromorphs in deathmatch-style combat against standard "soldiers," and vice-versa, along with other multiplayer types to be announced later.Pre-ordering the game at GameStop gets you a free Rivet Gun, but more importantly you also get the downloadable Dead Space: Ignition for free no matter where you pre-order it.We'll have more info on the new additions when EA's official press release goes out (hopefully soon).

Linking sites: VG247, Joystiq

Outland Preview - Xbox 360 Preview at IGN

2010-09-03T00:05:30+00:00

Super Stardust HD was an early favorite PlayStation Network game of ours. Its developer, Housemarque, has been busy prepping the zombie blaster Dead Nation for PSN. But that's not all it's working on -- it's also developing Outland with Ubisoft for both PSN and Xbox Live Arcade. An action platformer with the polarity mechanics of Ikaruga, Outland will be unveiled this weekend at PAX. But I have the early word on it for you right now, because you're special. Outland can best be described as a cross between retro platformers like Prince of Persia or Out of This World and the color-switching of shoot 'em up Ikaruga. You control an acrobatic fellow as he explores a lush, dense jungle. It's a 2D game but there is a great sense of depth in the background with swaying branches and colorful wildlife. The animation for all the characters is really terrific. The world of Outland is lush and vibrant.Our hero can switch between light and dark forms, an ability he'll need to exploit in order to murder the local monsters and avoid sprays of bullets. Just like in Ikaruga, he'll take damage from opposite-colored bullets but will be impervious to those of the same polarity. So if there is a platform you want to get to but it's being blocked by a stream of white bullets, just change to white and you can pass through unharmed. There are instances where you must rapidly switch back and forth to move through multi-colored sprays of bullets, much like Ikaruga. When it comes to battling enemies, you can only harm those of the opposite color. So you'll need to be white in order to defeat a black spider. You'll begin with an energy sword but eventually learn other abilities like a slide attack and an uppercut. Certain objects in the environment will respond to your polarity, too. Elevators will go up when you are dark and down when you are light. A hovering platform may only hold your weight when you are a certain color. Levels are large, sprawling areas with branching paths and secrets like extra health hearts to find. Each area is guarded by a boss and we got to see an early behemoth called Golem that stood the entire height of the screen. Golem is "dark," so you can only inflict damage when you are light. He carries a giant club and will periodically pound the ground, sending a wave of energy towards you. His club will become stuck, though, allowing you to hop up to his head and whack him a few times. When you've dealt enough damage he'll start causing light and dark comets to rain down upon you, which you'll have to dodge. The story will be revealed to the player as they proceed through the jungle. All you know at the beginning is the protagonist has been having visions of some sort of battle taking place here. He is drawn to the jungle with the feeling that he is the only one who can resolve the conflict. The backstory of this mysterious world will be revealed gradually through gameplay.Outland won't be ready until next year but it's already looking great. I haven't gotten to play it, yet, but the idea of throwing a little Ikaruga into Out of This World definitely has me intrigued.

Linking sites: 1UP RSS feed, Joystiq

『KILLZONE 3（キルゾーン 3）』ジェットパックの改良点を解説 - ファミ通.com

2010-09-02T23:53:42+00:00

HOME> ニュース> 『KILLZONE 3（キルゾーン 3）』ジェットパックの改良点を解説ゲームプレイステーション3 ソニー･コンピュータエンタテインメントジャパンは、2011年に発売予定のプレイステーション3用ソフト『KILLZONE 3（キルゾーン 3）』の新情報を公開した。 2010-09-02 Tweet

Linking sites: VG247, Joystiq

Twitter / George Broussard: http://bit.ly/9AF3PE

2010-09-02T20:41:48+00:00

3D Realms’ semi-erstwhile boss George Broussard mysteriously tweeted a picture of the above earlier. In other news, he once said Duke Nukem Forever would be complete “when pigs fly.” In other other news, strong rumour continues to mount that Gearbox have picked up of the broken bits of Duke Nukem Forever and may reveal that they’ve put them back together again at PAX. Lummee.Winged porcine squadron, launch!

Linking sites: Rock, Paper, Shotgun, Video Game News at GiantBomb

Take-Two Interactive Software - Investor Relations - Take-Two News Release

2010-09-02T20:41:47+00:00

Q3 Non-GAAP EPS of $0.28 Exceeds GuidanceGuidance Raised for Fiscal 2010; Company Expects to Report Non-GAAP EPS of $0.60 to $0.70 per Diluted Share for this Fiscal Year NEW YORK, Sep 02, 2010 (BUSINESS WIRE) -- Take-Two Interactive Software, Inc. (NASDAQ:TTWO) today announced financial results for its third quarter ended July 31, 2010. Net revenue for the third fiscal quarter was $354.1 million, a sharp increase compared to $94.9 million reported for the same quarter of fiscal 2009. Take-Two attributed its significantly better-than-expected results for the fiscal 2010 third quarter primarily to the strong performance of Red Dead Redemption, which has sold in more than 6.9 million units worldwide since its launch in May 2010. The Company's catalog also contributed to its third quarter sales, including Grand Theft Auto: Episodes from Liberty City, Grand Theft Auto IV, NBA(R) 2K10 and Borderlands(TM). In addition, digitally delivered content has continued to be a meaningful component of Take-Two's sales. Income from continuing operations for the third quarter was $12.4 million or $0.14 per diluted share, compared to a loss from continuing operations of $58.3 million or $0.76 per share in the third quarter of fiscal 2009. Excluding certain non-cash and non-operational gains and losses identified on the attached reconciliation of GAAP and non-GAAP measures, non-GAAP net income was $26.0 million or $0.28 per diluted share in the third quarter of fiscal 2010, compared to a non-GAAP net loss of $52.3 million or $0.68 per share in the third quarter of 2009. For the nine months ended July 31, 2010, net revenue was $785.3 million, compared to $418.5 million for the same period a year ago. Loss from continuing operations for the first nine months of fiscal 2010 was $4.5 million or $0.06 per share, compared to loss from continuing operations of $122.6 million or $1.60 per share for the 2009 period. Excluding certain non-cash and non-operational gains and losses identified on the attached reconciliation of GAAP and non-GAAP measures, non-GAAP net income was $33.6 million or $0.39 per diluted share in the first nine months of 2010, compared to a non-GAAP net loss of $98.3 million or $1.28 per share in the comparable period of 2009. Product Highlights Rockstar Games launched Red Dead Redemption on May 18, during the Company's third fiscal quarter. The title has sold in over 6.9 million units worldwide to date and has been a commercial and critical success, with a near-perfect score of 95* from Metacritic.com. Rockstar Games announced a robust plan to support Red Dead Redemption with several downloadable content packs. 2K Sports announced that it signed NBA legend, Michael Jordan, to be the cover athlete for NBA(R) 2K11. 2K Games announced new downloadable content packs for BioShock(R) 2 and Borderlands(TM) that are planned for release during the Company's fourth fiscal quarter. The release of L.A. Noire is now expected during the first half of calendar 2011. 2K Games and its studio, Irrational Games, announced that BioShock(R) Infinite is in development and planned for release during calendar 2012. Financial Guidance Take-Two is increasing its guidance for the fourth quarter and fiscal year ending October 31, 2010, and currently expects to be profitable for the full fiscal year. In addition to the continued strength of Red Dead Redemption, this outlook reflects the contributions of Borderlands(TM), NBA(R) 2K10, BioShock(R) 2 and various catalog titles during the first nine months of the fiscal year, as well as a fourth quarter roster led by Mafia(R) II, NBA(R) 2K11 and Sid Meier's Civilization(R) V. This revised guidance also reflects the movement of L.A. Noire out of the fourth quarter of fiscal 2010. Fourth quarter ending Fiscal year ending 10/31/2010 10/31/2010 Revenue $270 to $320 million $1.05 to $1.1 billion Non-GAAP EPS $0.20 to $0.30 $0.60 to $0.70 Stock-based compensation $0.06 $0.30 expense per share (a) Non-cash interest expense related to $0.02 $0.07 convertible debt (b) Business restructuring costs, loss on sale of subsidiary, and $0.00 $0.06 expenses related to unusual legal matters Non-cash tax expense $0.00 $0.05 (a) The Company's stock-based compensation expense for the fourth quarter and fiscal year 2010 includes the cost of approximately 2 million stock options and 1.5 million shares previously issued to ZelnickMedia that are subject to variable accounting. Actual expense to be recorded in connection with these options and shares is dependent upon several factors, including future changes in Take-Two's stock price. (b) The Company adopted a new accounting standard in the first quarter of fiscal 2010 that requires convertible debt to be bifurcated into debt and equity components. As a result of the new standard, the Company has begun to record non-cash interest expense on its convertible notes, in addition to the interest expense already recorded for coupon payments. Key assumptions and dependencies underlying the Company's guidance include continued consumer acceptance of the Xbox 360, PlayStation 3 and Wii; the ability to develop and publish products that capture market share for these current generation systems while continuing to leverage opportunities on certain prior generation platforms; the timely delivery of the titles detailed in this release; as well as no significant changes in foreign exchange rates. Management Comment Strauss Zelnick, Chairman of Take-Two, said, "Our strategic focus on producing a select number of high quality titles, diversifying our product portfolio, and capitalizing on new revenue opportunities has enabled Take-Two to deliver significant growth and profitability in the third quarter and positioned the Company for a strong finish to the fiscal year. At a time when the interactive entertainment industry has continued to feel the impact of an uncertain economy, the exceptional response to Red Dead Redemption shows the value of compelling content and its power to capture consumer interest. These results clearly demonstrate the Company's capacity to translate its world-class creative resources into meaningful financial performance and a solid competitive position in our industry." Ben Feder, Chief Executive Officer of Take-Two, noted, "Our results for the third quarter and our expectations for the remainder of fiscal 2010 reflect significant progress toward achieving our goals. First, we expect to be profitable in a fiscal year without a major multi-platform Grand Theft Auto release. Second, Take-Two's broad array of hit franchises highlights our ability to deliver a diverse product line. Third, Red Dead Redemption has shown that our creative teams can produce multiple mega-hit franchises. Our fourth quarter roster, including Mafia II, Sid Meier's Civilization V and NBA 2K11, demonstrates our continued ability to create a well-balanced lineup across all of our labels and build upon Take-Two's industry-leading franchises. Finally, we are making strides in extending the value of our intellectual property into two key areas, Asia and online distribution." Product Releases The following titles released in the third quarter of fiscal 2010: Title Platform Red Dead Redemption Xbox 360, PS3 Red Dead Redemption: Outlaws To The End Co-Op Mission Pack (DLC) Xbox 360, PS3 The following titles released to date in the fourth quarter of fiscal 2010: Title Platform BioShock(R) 2: Minerva's Den (DLC) Xbox 360, PS3 BioShock(R) 2: Protector Trials (DLC) Xbox 360, PS3 Carnival Games(R) iPhone, iPod touch Mafia(R) II Xbox 360, PS3, PC Mafia(R) II: The Betrayal of Jimmy (DLC) PS3 NHL(R) 2K11 iPhone, iPod touch, Wii Red Dead Redemption: Legends and Killers Pack (DLC) Xbox 360, PS3 Take-Two's lineup of titles announced to date for the remainder of fiscal 2010 includes: Title Platform Borderlands(TM): Claptrap's New Robot Revolution (DLC) Xbox 360, PS3, PC Borderlands(TM) Game of the Year Xbox 360, PS3, PC Grand Theft Auto: Chinatown Wars HD iPad Mafia(R) II: Jimmy's Vendetta (DLC) Xbox 360, PS3, PC NBA(R) 2K11 Xbox 360, PS3, PS2, PSP, Wii, PC New Carnival Games(R) Wii, DS Nickelodeon(R) Fit Wii Red Dead Redemption: Liars and Cheats Pack (DLC) Xbox 360, PS3 Red Dead Redemption: Undead Nightmare Pack (DLC) Xbox 360, PS3 Sid Meier's Civilization(R) V PC Sid Meier's Pirates(TM) Wii Conference Call Take-Two will host a conference call today at 4:30 p.m. Eastern Time to review these results and discuss other topics. The call can be accessed by dialing (877) 407-0984 or (201) 689-8577. A live listen-only webcast of the call will be available by visiting http://ir.take2games.com and a replay will be available following the call at the same location. Non-GAAP Financial Measures In addition to reporting financial results in accordance with U.S. generally accepted accounting principles (GAAP), the Company uses non-GAAP measures of financial performance that exclude certain non-recurring or non-cash items. Non-GAAP gross profit, income (loss) and earnings (loss) per share are measures that exclude certain non-recurring or non-cash items and should be considered in addition to results prepared in accordance with GAAP. They are not intended to be considered in isolation from, as a substitute for, or superior to, GAAP results. These non-GAAP financial measures may be different from similarly titled measures used by other companies. The non-GAAP measures exclude the following items from the Company's statements of operations: Stock-based compensation; Business reorganization, restructuring and related expenses; Gain (loss) on sale of subsidiaries and income (loss) from discontinued operations; Professional fees and expenses associated with unusual legal and other matters; Non-cash interest expense related to convertible debt; and Non-cash tax expense for the impact of deferred tax liabilities associated with tax deductible amortization of goodwill and the impact of the cancellation of stock options. In addition, the Company may consider whether other significant non-recurring items that arise in the future should also be excluded from the non-GAAP financial measures it uses. The Company believes that these non-GAAP financial measures, when taken into consideration with the corresponding GAAP financial measures, are important in gaining an understanding of the Company's ongoing business. These non-GAAP financial measures also provide for comparative results from period to period. Therefore, the Company believes it is appropriate to exclude certain items as follows: Stock-based compensation The Company does not consider stock-based compensation charges when evaluating business performance and management does not contemplate stock-based compensation expense in its short and long-term operating plans. The Company places greater emphasis on stockholder dilution than accounting charges when assessing the impact of stock-based equity awards. Business reorganization, restructuring and related expenses From time to time, the Company may engage in business reorganization and restructuring activities, which may result in costs related to severance, asset write-offs and associated professional fees. The Company does not engage in reorganization activities on a regular basis and therefore believes it is appropriate to exclude business reorganization, restructuring and related expenses from its non-GAAP financial measures. Gain (loss) on sale of subsidiaries and income (loss) from discontinued operations The Company recognized a loss in the third quarter for a post-closing adjustment related to the sale of a subsidiary in the second quarter of fiscal 2010. The Company does not engage in sales of subsidiaries on a regular basis and therefore believes it is appropriate to exclude such gains (losses) from its non-GAAP financial measures. As the company is no longer active in its discontinued operations, it believes it is appropriate to exclude income (losses) thereon from its non-GAAP financial measures. Professional fees and expenses associated with unusual legal and other matters The Company has incurred significant legal and other professional fees associated with both the investigation of its historical stock option granting practices and the Company's responses to related governmental inquiries and civil lawsuits. One of management's primary objectives is to bring conclusion to its outstanding legal matters. The Company has incurred expenses for professional fees and has accrued for legal settlements that are outside its ordinary course of business. As a result, the Company has excluded such expenses from its non-GAAP financial measures. Non-cash interest expense related to convertible debt The Company adopted a new accounting standard in the first quarter of fiscal 2010 that requires convertible debt to be bifurcated into debt and equity components. As a result of the new standard, the Company has begun to record non-cash interest expense on its convertible notes, in addition to the interest expense already recorded for coupon payments. The Company excludes the non-cash portion of the interest expense from its non-GAAP financial measures because these amounts are unrelated to its ongoing business operations. Non-cash tax expense for the impact of deferred tax liabilities associated with tax deductible amortization of goodwill and the impact of the cancellation of stock options The Company recorded non-cash tax expense for the impact of deferred tax liabilities associated with tax deductible amortization of goodwill and the impact of the cancellation of stock options. Due to the nature of the adjustment as well as the expectation that it will not have any cash impact in the foreseeable future, the Company believes it is appropriate to exclude this expense from its non-GAAP financial measures. EBITDA and Adjusted EBITDA Earnings (loss) before interest, taxes, depreciation and amortization ("EBITDA") is a financial measure not calculated and presented in accordance with U.S. GAAP. Management uses EBITDA adjusted for business reorganization and related expenses ("Adjusted EBITDA"), among other measures, in evaluating the performance of the Company's business units. Adjusted EBITDA is also a significant component of the Company's incentive compensation plans. Adjusted EBITDA should not be considered in isolation from, or as a substitute for, net income/(loss) prepared in accordance with GAAP. Reclassifications Certain prior year amounts have been reclassified to conform to current year presentation. *According to Metacritic.com as of 9/1/10. About Take-Two Interactive Software Headquartered in New York City, Take-Two Interactive Software, Inc. is a global developer, marketer and publisher of interactive entertainment software games for the PC, PlayStation(R)3 and PlayStation(R)2 computer entertainment systems, PSP(R) (PlayStation(R)Portable) system, Xbox 360(R) video game and entertainment system from Microsoft, Wii(TM), Nintendo DS(TM), iPhone(R), iPod(R) touch and iPad(TM). The Company publishes and develops products through its wholly owned labels Rockstar Games and 2K, which publishes its titles under 2K Games, 2K Sports and 2K Play. The Company's common stock is publicly traded on NASDAQ under the symbol TTWO. For more corporate and product information please visit our website at http://www.take2games.com. All trademarks and copyrights contained herein are the property of their respective holders. Cautionary Note Regarding Forward-Looking Statements The statements contained herein which are not historical facts are considered forward-looking statements under federal securities laws and may be identified by words such as "anticipates," "believes," "estimates," "expects," "intends," "plans," "potential," "predicts," "projects," "seeks," "will," or words of similar meaning and include, but are not limited to, statements regarding the outlook for the Company's future business and financial performance. Such forward-looking statements are based on the current beliefs of our management as well as assumptions made by and information currently available to them, which are subject to inherent uncertainties, risks and changes in circumstances that are difficult to predict. Actual outcomes and results may vary materially from these forward-looking statements based on a variety of risks and uncertainties including: our dependence on key management and product development personnel, our dependence on our Grand Theft Auto products and our ability to develop other hit titles for current generation platforms, the timely release and significant market acceptance of our games, the ability to maintain acceptable pricing levels on our games, our ability to raise capital if needed and risks associated with international operations. Other important factors and information are contained in the Company's Annual Report on Form 10-K for the fiscal year ended October 31, 2009, in the section entitled "Risk Factors," as updated in the Company's Quarterly Report on Form 10-Q for the fiscal quarter ended April 30, 2010, and the Company's other periodic filings with the SEC, which can be accessed at http://www.take2games.com. All forward-looking statements are qualified by these cautionary statements and apply only as of the date they are made. The Company undertakes no obligation to update any forward-looking statement, whether as a result of new information, future events or otherwise. TAKE-TWO INTERACTIVE SOFTWARE, INC. and SUBSIDIARIESCONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS (Unaudited)(in thousands, except per share amounts) Three months ended July 31, Nine months ended July 31, 2010 2009 2010 2009 (As adjusted)(1) (As adjusted)(1) Net revenue $ 354,076 $ 94,929 $ 785,316 $ 418,530 Cost of goods sold: Product costs 96,986 42,580 227,290 151,614 Software development costs and royalties 61,396 17,156 139,235 68,470 Internal royalties 70,904 368 86,262 30,498 Licenses 10,973 16,835 44,609 38,951 Total cost of goods sold 240,259 76,939 497,396 289,533 Gross profit 113,817 17,990 287,920 128,997 Selling and marketing 46,706 23,686 131,276 91,929 General and administrative 24,786 28,794 78,050 97,146 Research and development 17,582 13,886 45,945 49,589 Depreciation and amortization 4,058 4,218 11,849 13,497 Total operating expenses 93,132 70,584 267,120 252,161 Income (loss) from operations 20,685 (52,594 ) 20,800 (123,164 ) Interest and other, net (4,458 ) (4,160 ) (17,035 ) (3,285 ) Income (loss) from continuing operations before income taxes 16,227 (56,754 ) 3,765 (126,449 ) Provision (benefit) for income taxes 3,848 1,563 8,292 (3,874 ) Income (loss) from continuing operations 12,379 (58,317 ) (4,527 ) (122,575 ) Income (loss) from discontinued operations, net of taxes (6,459 ) 1,852 (6,669 ) 5,643 Net income (loss) $ 5,920 $ (56,465 ) $ (11,196 ) $ (116,932 ) Earnings (loss) per share: Continuing operations $ 0.14 $ (0.76 ) $ (0.06 ) $ (1.60 ) Discontinued operations (0.07 ) 0.03 (0.08 ) 0.07 Basic earnings (loss) per share $ 0.07 $ (0.73 ) $ (0.14 ) $ (1.53 ) Continuing operations $ 0.14 $ (0.76 ) $ (0.06 ) $ (1.60 ) Discontinued operations (0.07 ) 0.03 (0.08 ) 0.07 Diluted earnings (loss) per share $ 0.07 $ (0.73 ) $ (0.14 ) $ (1.53 ) Weighted average shares outstanding: (2) Basic 85,373 76,994 78,798 76,561 Diluted 85,373 76,994 78,798 76,561 (1) As adjusted to reflect the retroactive adoption of new convertible debt accounting guidance and discontinued operations accounting for the sale of Jack of All Games which was completed in February 2010. (2) Basic and diluted include participating shares of 6,013 for the three months ended July 31, 2010. Three months ended July 31, Nine months ended July 31,OTHER INFORMATION 2010 2009 2010 2009 Geographic revenue mix North America 59 % 62 % 64 % 63 % International 41 % 38 % 36 % 37 % Platform revenue mix Microsoft Xbox 360 49 % 32 % 45 % 33 % Sony PlayStation 3 44 % 12 % 35 % 13 % PC 3 % 14 % 7 % 14 % Nintendo Wii 1 % 16 % 5 % 15 % Sony PSP 1 % 10 % 3 % 8 % Sony PlayStation 2 1 % 12 % 3 % 9 % Nintendo DS 1 % 4 % 2 % 8 % TAKE-TWO INTERACTIVE SOFTWARE, INC. and SUBSIDIARIESCONDENSED CONSOLIDATED BALANCE SHEETS(in thousands, except per share amounts) July 31, October 31, 2010 2009 ASSETS (Unaudited) (As adjusted)(1)Current assets: Cash and cash equivalents $ 232,127 $ 102,083 Accounts receivable, net of allowances of $49,113 and $37,191 at July 31, 2010 and October 31, 2009, respectively 96,226 181,065 Inventory 21,267 26,687 Software development costs and licenses 154,674 167,341 Prepaid taxes and taxes receivable 8,468 8,814 Prepaid expenses and other 43,472 47,473 Assets of discontinued operations 2,040 95,104 Total current assets 558,274 628,567 Fixed assets, net 22,122 27,049 Software development costs and licenses, net of current portion 98,006 75,521 Goodwill 216,147 220,881 Other intangibles, net 22,270 23,224 Other assets 27,340 31,886 Total assets $ 944,159 $ 1,007,128 LIABILITIES AND STOCKHOLDERS' EQUITY Current liabilities: Accounts payable $ 33,013 $ 114,379 Accrued expenses and other current liabilities 231,110 172,784 Deferred revenue 12,096 6,334 Liabilities of discontinued operations 5,541 60,796 Total current liabilities 281,760 354,293 Long-term debt 102,217 97,063 Income taxes payable 8,615 10,146 Liabilities of discontinued operations, net of current portion 3,369 - Total liabilities 395,961 461,502 Commitments and contingencies Stockholders' equity: Preferred stock, $.01 par value, 5,000 shares authorized - - Common stock, $.01 par value, 150,000 shares authorized; 84,152 and 81,925 shares issued and outstanding at July 31, 2010 and October 31, 2009, respectively 842 819 Additional paid-in capital 685,017 658,794 Accumulated deficit (133,375 ) (122,179 ) Accumulated other comprehensive income (loss) (4,286 ) 8,192 Total stockholders' equity 548,198 545,626 Total liabilities and stockholders' equity $ 944,159 $ 1,007,128 (1) As adjusted to reflect the following items: - discontinued operations accounting for the sale of Jack of All Games which was completed in February 2010; - the retroactive adoption of new convertible debt accounting guidance; and - the reclassification of certain prior year amounts to conform to current year presentation for comparative purposes. TAKE-TWO INTERACTIVE SOFTWARE, INC. and SUBSIDIARIESCONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (Unaudited)(in thousands) Nine months ended July 31, 2010 2009 (As adjusted)(1)Operating activities: Net loss $ (11,196 ) $ (116,932 ) Adjustments to reconcile net loss to net cash provided by (used in) operating activities: Amortization and impairment of software development costs and licenses 106,568 61,163 Depreciation and amortization 11,849 13,497 Loss (income) from discontinued operations 6,669 (5,643 ) Amortization and impairment of intellectual property 88 448 Stock-based compensation 23,617 16,114 Loss on sale of subsidiary 3,831 - Deferred income taxes 5 (488 ) Amortization of discount on Convertible Notes 5,154 1,045 Amortization of debt issuance costs 939 539 Other, net 1,950 (3,106 ) Changes in assets and liabilities, net of effect from purchases of businesses: Accounts receivable 84,839 55,167 Inventory 5,105 22,984 Software development costs and licenses (119,614 ) (111,602 ) Prepaid expenses, other current and other non-current assets 952 21,934 Deferred revenue 5,762 (30,458 ) Accounts payable, accrued expenses, income taxes payable and other liabilities (27,943 ) (99,536 ) Net cash (used in) provided by discontinued operations (2,741 ) 28,114 Net cash provided by (used in) operating activities 95,834 (146,760 ) Investing activities: Purchase of fixed assets (6,551 ) (7,788 ) Cash received from sale of subsidiary 5,587 - Net cash provided by sale of discontinued operations 37,250 - Payments in connection with business combinations (500 ) (500 ) Net cash provided by (used in) investing activities 35,786 (8,288 ) Financing activities: Proceeds from exercise of employee stock options 53 4 Net payments on line of credit - (70,000 ) Proceeds from issuance of Convertible Notes - 138,000 Purchase of convertible note hedges - (43,592 ) Issuance of warrants to purchase common stock - 26,342 Payment of debt issuance costs - (4,833 ) Net cash provided by financing activities 53 45,921 Effects of exchange rates on cash and cash equivalents (1,629 ) 3,639 Net increase (decrease) in cash and cash equivalents 130,044 (105,488 ) Cash and cash equivalents, beginning of year 102,083 280,277 Cash and cash equivalents, end of period $ 232,127 $ 174,789 (1) As adjusted to reflect the following items: - the sale of Jack of All Games which was completed in February 2010; - the retroactive adoption of new convertible debt accounting guidance; and - the reclassification of certain prior year amounts to conform to current year presentation for comparative purposes. TAKE-TWO INTERACTIVE SOFTWARE, INC. and SUBSIDIARIESNon-GAAP CONDENSED CONSOLIDATED STATEMENT OF OPERATIONS (Unaudited) (in thousands, except per share amounts) Non-GAAP Reconciling Items Three months Sale of subsidiary Professional Business Non-GAAP three ended July 31, and discontinued fees and Stock-based Non-cash Non-cash reorganization months ended July 31, 2010 operations legal matters compensation interest expense tax expense and related 2010 Net revenue $ 354,076 $ - $ - $ - $ - $ - $ - $ 354,076 Cost of goods sold: Product costs 96,986 - - - - - - 96,986 Software development costs and royalties 61,396 - - (5,554 ) - - - 55,842 Internal royalties 70,904 - - - - - - 70,904 Licenses 10,973 - - - - - - 10,973 Total cost of goods sold 240,259 - - (5,554 ) - - - 234,705 Gross profit 113,817 - - 5,554 - - - 119,371 Selling and marketing 46,706 - - (1,115 ) - - - 45,591 General and administrative 24,786 - (81 ) (2,336 ) - - - 22,369 Research and development 17,582 - - (1,052 ) - - (1,106 ) 15,424 Depreciation and amortization 4,058 - - - - - - 4,058 Total operating expenses 93,132 - (81 ) (4,503 ) - - (1,106 ) 87,442 Income (loss) from operations 20,685 - 81 10,057 - - 1,106 31,929 Interest and other, net (4,458 ) 185 - - 1,774 - - (2,499 ) Income (loss) from continuing operations before income taxes 16,227 185 81 10,057 1,774 - 1,106 29,430 Provision (benefit) for income taxes 3,848 - - - - (436 ) 3,412 Income (loss) from continuing operations 12,379 185 81 10,057 1,774 436 1,106 26,018 Income (loss) from discontinued operations, net of taxes (6,459 ) 6,459 - - - - - - Net income (loss) $ 5,920 $ 6,644 $ 81 $ 10,057 $ 1,774 $ 436 $ 1,106 $ 26,018 Earnings (loss) per share:* Basic earnings (loss) per share $ 0.07 $ 0.08 $ 0.00 $ 0.12 $ 0.02 $ 0.01 $ 0.01 $ 0.30 Diluted earnings (loss) per share (1) $ 0.07 $ 0.07 $ 0.00 $ 0.10 $ 0.02 $ 0.00 $ 0.01 $ 0.28 Weighted average shares outstanding (2) Basic 85,373 85,373 85,373 85,373 85,373 85,373 85,373 85,373 Diluted 85,373 98,300 98,300 98,300 98,300 98,300 98,300 98,300 EBITDA: Income (loss) from continuing operations before income taxes $ 16,227 $ 29,430 Interest 3,595 1,821 Depreciation and amortization 4,058 4,058 EBITDA $ 23,880 $ 35,309 Add: Business reorganization and related 1,106 - Adjusted EBITDA $ 24,986 $ 35,309 *Earnings (loss) per share ("EPS") may not add due to rounding (1) For the three months ended July 31, 2010, non-GAAP EPS -- diluted EPS has been calculated using the "if-converted" method as a result of the Convertible Senior Notes ("Convertible Notes")issued in June 2009. Non-GAAP net income used for computing non-GAAP EPS has been adjusted by $1,647 related to interest and debt issuance costs, net of tax. The shares used for computing includes 12,927 shares related to the potential dilution from the Convertible Notes. The "if-converted" method was not used for GAAP EPS presented as the assumed conversion would have been anti-dilutive. (2) Basic and diluted include participating shares of 6,013. TAKE-TWO INTERACTIVE SOFTWARE, INC. and SUBSIDIARIESNon-GAAP CONDENSED CONSOLIDATED STATEMENT OF OPERATIONS (Unaudited)(in thousands, except per share amounts) Non-GAAP Reconciling Items Three months Professional Non-GAAP three ended July 31, Discontinued fees and Stock-based Non-cash months ended July 31, 2009 operations legal matters compensation interest expense 2009 Net revenue $ 94,929 $ - $ - $ - $ - $ 94,929 Cost of goods sold: Product costs 42,580 - - - - 42,580 Software development costs and royalties 17,156 - - (631 ) - 16,525 Internal royalties 368 - - - - 368 Licenses 16,835 - - - - 16,835 Total cost of goods sold 76,939 - - (631 ) - 76,308 Gross profit 17,990 - - 631 - 18,621 Selling and marketing 23,686 - - (501 ) - 23,185 General and administrative 28,794 - (421 ) (3,054 ) - 25,319 Research and development 13,886 - - (430 ) - 13,456 Depreciation and amortization 4,218 - - - - 4,218 Total operating expenses 70,584 - (421 ) (3,985 ) - 66,178 Income (loss) from operations (52,594 ) - 421 4,616 - (47,557 ) Interest and other, net (4,160 ) - - - 992 (3,168 ) Income (loss) from continuing operations before income taxes (56,754 ) - 421 4,616 992 (50,725 ) Provision (benefit) for income taxes 1,563 - - - - 1,563 Income (loss) from continuing operations (58,317 ) - 421 4,616 992 (52,288 ) Income (loss) from discontinued operations, net of taxes 1,852 (1,852 ) - - - - Net income (loss) $ (56,465 ) $ (1,852 ) $ 421 $ 4,616 $ 992 $ (52,288 ) Earnings (loss) per share:* Basic earnings (loss) per share $ (0.73 ) $ (0.02 ) $ 0.01 $ 0.06 $ 0.01 $ (0.68 ) Diluted earnings (loss) per share $ (0.73 ) $ (0.02 ) $ 0.01 $ 0.06 $ 0.01 $ (0.68 ) Weighted average shares outstanding Basic 76,994 76,994 76,994 76,994 76,994 76,994 Diluted 76,994 76,994 76,994 76,994 76,994 76,994 EBITDA: Income (loss) from continuing operations before income taxes $ (56,754 ) $ (50,725 ) Interest 2,920 1,928 Depreciation and amortization 4,218 4,218 EBITDA $ (49,616 ) $ (44,579 ) *Earnings (loss) per share ("EPS") may not add due to rounding TAKE-TWO INTERACTIVE SOFTWARE, INC. and SUBSIDIARIES Non-GAAP CONDENSED CONSOLIDATED STATEMENT OF OPERATIONS (Unaudited) (in thousands, except per share amounts) Non-GAAP Reconciling Items Nine months Sale of subsidiary Professional Business Non-GAAP nine ended July 31, and discontinued fees and Stock-based Non-cash Non-cash reorganization ended July 31, 2010 operations legal matters compensation interest expense tax expense and related 2010 Net revenue $ 785,316 $ - $ - $ - $ - $ - $ - $ 785,316 Cost of goods sold: Product costs 227,290 - - - - - - 227,290 Software development costs and royalties 139,235 - - (8,473 ) - - - 130,762 Internal royalties 86,262 - - - - - - 86,262 Licenses 44,609 - - - - - - 44,609 Total cost of goods sold 497,396 - - (8,473 ) - - - 488,923 Gross profit 287,920 - - 8,473 - - - 296,393 Selling and marketing 131,276 - - (3,082 ) - - (173 ) 128,021 General and administrative 78,050 - 1,098 (8,886 ) - - (1,048 ) 69,214 Research and development 45,945 - - (3,176 ) - - (1,106 ) 41,663 Depreciation and amortization 11,849 - - - - - - 11,849 Total operating expenses 267,120 - 1,098 (15,144 ) - - (2,327 ) 250,747 Income (loss) from operations 20,800 - (1,098 ) 23,617 - - 2,327 45,646 Interest and other, net (17,035 ) 3,831 - - 5,154 - - (8,050 ) Income (loss) from continuing operations before income taxes 3,765 3,831 (1,098 ) 23,617 5,154 - 2,327 37,596 Provision (benefit) for income taxes 8,292 - - - - (4,262 ) - 4,030 Income (loss) from continuing operations (4,527 ) 3,831 (1,098 ) 23,617 5,154 4,262 2,327 33,566 Income (loss) from discontinued operations, net of taxes (6,669 ) 6,669 - - - - - - Net income (loss) $ (11,196 ) $ 10,500 $ (1,098 ) $ 23,617 $ 5,154 $ 4,262 $ 2,327 $ 33,566 Earnings (loss) per share:* Basic earnings (loss) per share $ (0.14 ) $ 0.12 $ (0.01 ) $ 0.28 $ 0.06 $ 0.05 $ 0.03 $ 0.40 Diluted earnings (loss) per share (1) $ (0.14 ) $ 0.11 $ (0.01 ) $ 0.24 $ 0.05 $ 0.04 $ 0.02 $ 0.39 Weighted average shares outstanding (2) Basic 78,798 84,839 84,839 84,839 84,839 84,839 84,839 84,839 Diluted 78,798 97,766 97,766 97,766 97,766 97,766 97,766 97,766 EBITDA: Income (loss) from continuing operations before income taxes $ 3,765 $ 37,596 Interest 11,338 6,184 Depreciation and amortization 11,849 11,849 EBITDA $ 26,952 $ 55,629 Add: Business reorganization and related 2,327 - Adjusted EBITDA $ 29,279 $ 55,629 *Earnings (loss) per share ("EPS") may not add due to rounding (1) For the nine months ended July 31, 2010, non-GAAP EPS -- diluted EPS has been calculated using the "if-converted" method as a result of the Convertible Senior Notes ("Convertible Notes") issued in June 2009. Non-GAAP net income used for computing non-GAAP EPS has been adjusted by $5,007 related to interest and debt issuance costs, net of tax. The shares used for computing includes 12,927 shares related to the potential dilution from the Convertible Notes. The "if-converted" method was not used for GAAP EPS presented as the assumed conversion would have been anti-dilutive. (2) Basic and diluted include participating shares of 6,041. TAKE-TWO INTERACTIVE SOFTWARE, INC. and SUBSIDIARIESNon-GAAP CONDENSED CONSOLIDATED STATEMENT OF OPERATIONS (Unaudited)(in thousands, except per share amounts) Non-GAAP Reconciling Items Nine months Professional Non-GAAP nine ended July 31, Discontinued fees and Stock-based Non-cash ended July 31, 2009 operations legal matters compensation interest expense 2009 Net revenue $ 418,530 $ - $ - $ - $ - $ 418,530 Cost of goods sold: Product costs 151,614 - - - - 151,614 Software development costs and royalties 68,470 - - (3,679 ) - 64,791 Internal royalties 30,498 - - - - 30,498 Licenses 38,951 - - - - 38,951 Total cost of goods sold 289,533 - - (3,679 ) - 285,854 Gross profit 128,997 - - 3,679 - 132,676 Selling and marketing 91,929 - - (1,417 ) - 90,512 General and administrative 97,146 - (7,126 ) (9,000 ) - 81,020 Research and development 49,589 - - (2,018 ) - 47,571 Depreciation and amortization 13,497 - - - - 13,497 Total operating expenses 252,161 - (7,126 ) (12,435 ) - 232,600 Income (loss) from operations (123,164 ) - 7,126 16,114 - (99,924 ) Interest and other, net (3,285 ) - - - 992 (2,293 ) Income (loss) from continuing operations before income taxes (126,449 ) - 7,126 16,114 992 (102,217 ) Provision (benefit) for income taxes (3,874 ) - - - - (3,874 ) Income (loss) from continuing operations (122,575 ) - 7,126 16,114 992 (98,343 ) Income (loss) from discontinued operations, net of taxes 5,643 (5,643 ) - - - - Net income (loss) $ (116,932 ) $ (5,643 ) $ 7,126 $ 16,114 $ 992 $ (98,343 ) Earnings (loss) per share:* Basic earnings (loss) per share $ (1.53 ) $ (0.07 ) $ 0.09 $ 0.21 $ 0.01 $ (1.28 ) Diluted earnings (loss) per share $ (1.53 ) $ (0.07 ) $ 0.09 $ 0.21 $ 0.01 $ (1.28 ) Weighted average shares outstanding Basic 76,561 76,561 76,561 76,561 76,561 76,561 Diluted 76,561 76,561 76,561 76,561 76,561 76,561 EBITDA: Income (loss) from continuing operations before income taxes $ (126,449 ) $ (102,217 ) Interest 5,891 4,899 Depreciation and amortization 13,497 13,497 EBITDA $ (107,061 ) $ (83,821 ) *Earnings (loss) per share ("EPS") may not add due to rounding SOURCE: Take-Two Interactive Software, Inc. Take-Two Interactive Software, Inc.Corporate Press/Investor Relations:Meg Maise, 646-536-2932meg.maise@take2games.com

Linking sites: VG247, Joystiq

Outland Preview - Xbox 360 Preview at IGN

2010-09-02T20:29:52+00:00

Linking sites: Technology: Games blog | guardian.co.uk, VG247

H.A.W.X 2 - The 8-bit Game | HAWX 2 | Ubisoft

2010-09-02T20:17:42+00:00

Click connect and comment instantly! New? SIGN UP - it takes 5 seconds Comments policy Destructoid is an open discussion community. You don't need to "audition" to post a comment - just speak your mind. We respect differing opinions on the site, so have at it. Be smart, funny, insightful, clueless, or cute -- but back it up with substance. Keep your cool, keep it fun. We only ask that you act respectfully and above all: don't be a troll and ruin it for everyone else. Don't bring down gamers or we'll, you know, gently shoot you in the face and stuff you into a flaming mailbox. Each comment is your opportuntity to make this community awesomer. Is that even a word? Avoiding the banhammer only requires common sense: spamming, trolling, racism, NSFW stuff, and other forms of sucking will not be tolerated. If anyone is griefing please report abuse. Be good. Don't suck!

Linking sites: Destructoid, Joystiq

Video Game Pulled Globally From Military Stores Over Taliban Inclusion [Update]

2010-09-02T20:17:41+00:00

Sign up for the Kotaku Daily and get one great story in your inbox each day. Get Kotaku in your inbox:Please enter your email address.Please enter a valid email address.Join Kotaku on Facebook. Click "Like" to get the most important stories in your News Feed. Please confirm your birth date: Please enter a valid date Please enter your full birth year This content is restricted. As of noon today all GameStop stores located on military bases will no longer be advertising or selling copies of Electronic Arts' upcoming military shooter Medal of Honor because an aspect of the game includes playable Taliban characters, sources tell Kotaku.Confirmed by calls to several GameStops located on military bases, the decision was made "out of respect for our past and present men and women in uniform," according to the letter sent to all GameStop employees this morning and obtained by Kotaku.The Army and Air Force Exchange Services has confirmed to Kotaku that they requested the game pulled from the 49 GameStop's located on bases in the continent U.S. The ban, an AAFES representative told Kotaku, also extends to all military PXs worldwide."GameStop has agreed out of respect for our past and present men and women in uniform we will not carry Medal of Honor in any of our AAFES based stores...," the email reads. "As such, GameStop agreed to have all marketing material pulled by noon today and to stop taking reservations. Customers who enter our AAFES stores and wish to reserve Medal of Honor can and should be directed to the nearest GameStop location off base."GameStop fully supports AAFES in this endeavor and is sensitive to the fact that in multiplayer mode one side will assume the role of Taliban fighter."The stores on bases contacted by Kotaku all confirmed that they no longer will be selling the game and referred us to GameStops in town to pick up the title when it comes out.Electronic Arts declined to comment further for this story.They have, though, made their opinion on the matter clear.Send an email to the author of this post at editor@kotaku.com.publish on FacebookUpload an image |Add an image URL×Image URL: ×Youtube URL: ×Choose a file to upload:×Tweet this?Attribute comment to:Please enter an email address.Please enter a valid email address.Dsmvwl |Admin |Promote only |Promote to frontpage |Approve user |Ban user ×Loading comments ... Earlier discussions | Other discussions | Show all discussions | Show featured discussions only | Expand all repliesCollapse all repliesStart a new discussionIn order to view comments on kotaku.com you need to enable JavaScript. If you are using Firefox and NoScript addon, please mark kotaku.com as trusted.

Linking sites: VG247, GamePolitics News

Featured Games

2010-09-02T18:53:34+00:00

Linking sites: GameSpot's News, Joystiq

Exclusive Mega Man Universe Gameplay Trailer Video from GameVideos

2010-09-02T18:29:29+00:00

No way indeed Author: JewUnit, 09/02/2010Edited on 09/02/2010 at 12:15 PMIt looks like a Mega Man Powered-Up game where you can make your own levels. If Ryu is in the game, it's possible that there will be other Capcom folks in there too. Does Capcom Fighting Evolution plus Super Mario Crossover equal success?

Linking sites: Destructoid, Joystiq