SEC Filing Summary: Take-Two Interactive Software Inc. (8-K)
Business Context and Reporting Period
This Form 8-K Current Report was filed on February 13, 2008, regarding events occurring on February 7, 2008. The filing concerns Take-Two Interactive Software, Inc., a Delaware corporation, and details an amendment to its existing credit facility.
Key Financial Metrics
The filing does not provide specific revenue, profit, cash flow, or margin figures. The primary financial data disclosed relates to the terms of the company's debt facility:
- Credit Facility Interest Margins: The amended agreement sets interest rates at:
- 2.00% to 2.50% above a certain base rate, or
- 3.25% to 3.75% above the LIBOR Rate.
- Margin Determinants: These margins are variable and subject to the achievement of certain levels of a 30-day average liquidity amount by the Company and its subsidiaries.
Material Changes Versus Prior Period
The material change reported is the execution of a First Amendment to the Amended and Restated Credit Agreement originally dated November 16, 2007. This amendment was entered into in connection with the syndication of the Credit Agreement. Except for the specific interest margin adjustments described, the original Credit Agreement remains in full force and effect.
Guidance, Outlook, and Risks
The filing contains no forward-looking guidance, management commentary on future performance, or specific risk factors beyond the standard terms of the credit agreement. The primary contingency noted is that the interest rate margins depend on the Company's ability to maintain specific 30-day average liquidity levels as reported in periodic compliance certificates.
Investor Verification Checklist
- Verify the specific 30-day average liquidity thresholds required to achieve the lower end of the interest rate margins (2.00% base / 3.25% LIBOR).
- Review the full text of the First Amendment (Exhibit 10.1) for any covenants or conditions not summarized in the 8-K.
- Confirm the total outstanding principal balance under the syndicated Credit Agreement to assess the impact of the new interest rates on future interest expense.
- Check subsequent filings for the Company's compliance certificates regarding liquidity levels.