View Filing Data

Document and Entity Information - USD ($)	12 Months Ended
Document and Entity Information - USD ($)	Mar. 31, 2014	May 07, 2014	Sep. 30, 2013
Document and Entity Information
Entity Registrant Name	TAKE TWO INTERACTIVE SOFTWARE INC
Entity Central Index Key	0000946581
Document Type	10-K
Document Period End Date	Mar. 31, 2014
Amendment Flag	false
Current Fiscal Year End Date	--03-31
Entity Well-known Seasoned Issuer	Yes
Entity Voluntary Filers	No
Entity Current Reporting Status	Yes
Entity Filer Category	Large Accelerated Filer
Entity Public Float			$ 1,690,851,000
Entity Common Stock, Shares Outstanding		98,970,156
Document Fiscal Year Focus	2014
Document Fiscal Period Focus	FY

CONSOLIDATED BALANCE SHEETS - USD ($) $ in Thousands	Mar. 31, 2014	Mar. 31, 2013
Current assets:
Cash and cash equivalents	$ 935,400	$ 402,502
Restricted cash	193,839	7,489
Accounts receivable, net of allowances of $75,518 and $64,081 at March 31, 2014 and 2013, respectively	53,143	189,596
Inventory	29,780	30,218
Software development costs and licenses	116,203	198,955
Prepaid expenses and other	71,075	37,392
Total current assets	1,399,440	866,152
Fixed assets, net	42,572	25,362
Software development costs and licenses, net of current portion	109,506	95,241
Goodwill	226,705	225,992
Other intangibles, net	5,113	8,827
Other assets	16,294	56,265
Total assets	1,799,630	1,277,839
Current liabilities:
Accounts payable	16,452	79,932
Accrued expenses and other current liabilities	396,617	228,916
Deferred revenue	61,195	26,919
Liabilities of discontinued operations	556	1,232
Total current liabilities	474,820	336,999
Long-term debt	454,031	335,202
Other long-term liabilities	68,973	17,087
Liabilities of discontinued operations, net of current portion		556
Total liabilities	997,824	689,844
Commitments and contingencies
Stockholders' equity:
Preferred stock, $.01 par value, 5,000 shares authorized
Common stock, $.01 par value, 200,000 shares authorized; 105,156 and 93,743 shares issued and 88,918 and 93,743 outstanding at March 31, 2014 and 2013, respectively	1,052	937
Additional paid-in capital	954,699	832,460
Treasury stock, at cost (16,238 common shares at March 31, 2014)	(276,836)
Retained earnings (accumulated deficit)	120,775	(240,830)
Accumulated other comprehensive income (loss)	2,116	(4,572)
Total stockholders' equity	801,806	587,995
Total liabilities and stockholders' equity	$ 1,799,630	$ 1,277,839

CONSOLIDATED BALANCE SHEETS (Parenthetical) - USD ($) shares in Thousands, $ in Thousands	Mar. 31, 2014	Mar. 31, 2013
CONSOLIDATED BALANCE SHEETS
Accounts receivable, allowances (in dollars)	$ 75,518	$ 64,081
Preferred stock, par value (in dollars per share)	$ 0.01	$ 0.01
Preferred stock, shares authorized	5,000	5,000
Common stock, par value (in dollars per share)	$ 0.01	$ 0.01
Common stock, shares authorized	200,000	200,000
Common stock, shares issued	105,156	93,743
Common stock, shares outstanding	88,918	93,743
Treasury stock, shares	16,238

CONSOLIDATED STATEMENTS OF OPERATIONS - USD ($) $ in Thousands	3 Months Ended								12 Months Ended
	Mar. 31, 2014	Dec. 31, 2013	Sep. 30, 2013	Jun. 30, 2013	Mar. 31, 2013	Dec. 31, 2012	Sep. 30, 2012	Jun. 30, 2012	Mar. 31, 2014	Mar. 31, 2013	Mar. 31, 2012
CONSOLIDATED STATEMENTS OF OPERATIONS
Net revenue	$ 195,208	$ 1,863,869	$ 148,824	$ 142,667	$ 299,487	$ 415,773	$ 273,084	$ 226,139	$ 2,350,568	$ 1,214,483	$ 825,823
Cost of goods sold	108,288	1,119,734	92,463	93,842	154,320	216,299	158,487	186,731	1,414,327	715,837	528,855
Gross profit	86,920	744,135	56,361	48,825	145,167	199,474	114,597	39,408	936,241	498,646	296,968
Selling and marketing	27,577	70,476	101,342	41,601	51,747	60,724	65,851	79,007	240,996	257,329	183,749
General and administrative	50,773	34,718	43,023	32,860	40,369	32,880	30,809	43,202	161,374	147,260	121,200
Research and development	28,632	29,233	26,520	20,871	21,183	22,369	19,320	15,312	105,256	78,184	64,162
Depreciation and amortization	3,522	3,413	3,367	3,057	2,806	2,509	2,550	2,769	13,359	10,634	12,123
Total operating expenses	110,504	137,840	174,252	98,389	116,105	118,482	118,530	140,290	520,985	493,407	381,234
Income (loss) from operations	(23,584)	606,295	(117,891)	(49,564)	29,062	80,992	(3,933)	(100,882)	415,256	5,239	(84,266)
Interest and other, net	(7,535)	(5,949)	(10,747)	(9,322)	(7,789)	(8,094)	(7,419)	(8,049)	(33,553)	(31,351)	(19,571)
Loss on extinguishment of debt			(9,014)						(9,014)
Gain on convertible note hedge and warrants, net			5,372	(1,911)					3,461
Income (loss) from continuing operations before income taxes	(31,119)	600,346	(132,280)	(60,797)	21,273	72,898	(11,352)	(108,931)	376,150	(26,112)	(103,837)
Provision for income taxes	(345)	21,902	(8,185)	1,087	103	2,021	1,085	1,841	14,459	5,050	3,863
Income (loss) from continuing operations	(30,744)	578,444	(124,095)	(61,884)	21,170	70,877	(12,437)	(110,772)	361,691	(31,162)	(107,700)
(Loss) income from discontinued operations, net of taxes	(13)	(18)	(25)	(30)	1,303	488	(54)	(66)	(86)	1,671	(1,116)
Net income (loss)	$ (30,787)	$ 578,426	$ (124,120)	$ (61,914)	$ 22,473	$ 71,365	$ (12,491)	$ (110,838)	$ 361,605	$ (29,491)	$ (108,816)
Earnings (loss) per share:
Continuing operations (in dollars per share)	$ (0.40)	$ 5.88	$ (1.40)	$ (0.71)	$ 0.23	$ 0.76	$ (0.15)	$ (1.30)	$ 3.79	$ (0.36)	$ (1.30)
Discontinued operations (in dollars per share)					0.01					0.02	(0.01)
Basic earnings (loss) per share (in dollars per share)	(0.40)	5.88	(1.40)	(0.71)	0.24	0.76	(0.15)	(1.30)	3.79	(0.34)	(1.31)
Continuing operations (in dollars per share)	(0.40)	4.69	(1.40)	(0.71)	0.23	0.66	(0.15)	(1.30)	3.20	(0.36)	(1.30)
Discontinued operations (in dollars per share)					0.01					0.02	(0.01)
Diluted earnings (loss) per share (in dollars per share)	$ (0.40)	$ 4.69	$ (1.40)	$ (0.71)	$ 0.24	$ 0.66	$ (0.15)	$ (1.30)	$ 3.20	$ (0.34)	$ (1.31)

CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (LOSS) - USD ($) $ in Thousands	12 Months Ended
	Mar. 31, 2014	Mar. 31, 2013	Mar. 31, 2012
CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (LOSS)
Net income (loss)	$ 361,605	$ (29,491)	$ (108,816)
Other comprehensive income (loss):
Foreign currency translation adjustment	6,447	(11,590)	(3,785)
Change in unrealized gains on cash flow hedges, net	241	285	59
Other comprehensive income (loss)	6,688	(11,305)	(3,726)
Comprehensive income (loss)	$ 368,293	$ (40,796)	$ (112,542)

- Definition

The portion of profit or loss for the period, net of income taxes, which is attributable to the parent.

+ References

Reference 1: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Glossary Net Income
-URI http://asc.fasb.org/extlink&oid=6518256

Reference 2: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 230
-SubTopic 10
-Section 45
-Paragraph 28
-URI http://asc.fasb.org/extlink&oid=31042434&loc=d3e3602-108585

Reference 3: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 944
-SubTopic 225
-Section S99
-Paragraph 1
-Subparagraph (SX 210.7-04.19)
-URI http://asc.fasb.org/extlink&oid=6879464&loc=d3e573970-122913

Reference 4: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 260
-SubTopic 10
-Section 50
-Paragraph 1
-URI http://asc.fasb.org/extlink&oid=6371337&loc=d3e3550-109257

Reference 5: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 225
-SubTopic 10
-Section S99
-Paragraph 2
-Subparagraph (SX 210.5-03.18)
-URI http://asc.fasb.org/extlink&oid=26872669&loc=d3e20235-122688

Reference 6: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 944
-SubTopic 225
-Section S99
-Paragraph 1
-Subparagraph (SX 210.7-04.22)
-URI http://asc.fasb.org/extlink&oid=6879464&loc=d3e573970-122913

Reference 7: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Glossary Other Comprehensive Income
-URI http://asc.fasb.org/extlink&oid=6519514

Reference 8: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 220
-SubTopic 10
-Section 45
-Paragraph 6
-URI http://asc.fasb.org/extlink&oid=28358780&loc=d3e565-108580

Reference 9: http://www.xbrl.org/2003/role/presentationRef
-Publisher SEC
-Name Regulation S-X (SX)
-Number 210
-Section 03
-Paragraph 19
-Article 5

Reference 10: http://www.xbrl.org/2003/role/presentationRef
-Publisher SEC
-Name Regulation S-X (SX)
-Number 210
-Section 04
-Paragraph 20
-Article 9

+ Details

CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) $ in Thousands	12 Months Ended
	Mar. 31, 2014	Mar. 31, 2013	Mar. 31, 2012
Operating activities:
Net income (loss)	$ 361,605	$ (29,491)	$ (108,816)
Adjustments to reconcile net income (loss) to net cash provided by (used in) operating activities:
Amortization and impairment of software development costs and licenses	265,533	230,748	150,700
Depreciation and amortization	13,359	10,634	12,123
Loss (income) from discontinued operations	86	(1,671)	1,116
Amortization and impairment of intellectual property	3,558	7,000	983
Stock-based compensation	78,118	35,765	33,494
Gain on sale of intellectual property			(2,200)
Deferred income taxes	(19,036)	(841)	1,878
Amortization of discount on Convertible Notes	22,801	18,862	11,728
Amortization of debt issuance costs	1,947	2,021	1,527
Loss on extinguishment of debt	9,014
Gain on convertible note hedge and warrants, net	(3,461)
Other, net	(208)	778	1,231
Changes in assets and liabilities:
Restricted cash	(186,350)	8,975	3,627
Accounts receivable	136,453	(144,561)	39,182
Inventory	438	(7,741)	2,101
Software development costs and licenses	(192,357)	(216,893)	(191,223)
Prepaid expenses, other current and other non-current assets	(18,424)	(14,669)	(1,090)
Deferred revenue	34,276	13,055	430
Accounts payable, accrued expenses and other liabilities	194,228	83,734	(39,748)
Net cash used in discontinued operations	(1,318)	(272)	(2,007)
Net cash provided by (used in) operating activities	700,262	(4,567)	(84,964)
Investing activities:
Purchase of fixed assets	(29,813)	(16,820)	(10,786)
Net cash used in discontinued operations			(1,475)
Cash received from sale of intellectual property			2,200
Payments in connection with business combinations, net of cash acquired	(1,000)		(4,101)
Net cash used in investing activities	(30,813)	(16,820)	(14,162)
Financing activities:
Proceeds from exercise of employee stock options			239
Repurchase of common stock	(276,836)
Proceeds from issuance of Convertible Notes	283,188		250,000
Payment for extinguishment of 4.375% Convertible Notes	(165,999)
Proceeds from termination of convertible note hedge transactions	84,429
Payment for termination of convertible note warrant transactions	(55,651)
Payment of debt issuance costs	(2,815)		(6,875)
Net cash (used in) provided by financing activities	(133,684)		243,364
Effects of foreign currency exchange rates on cash and cash equivalents	(2,867)	3,610	(4,318)
Net increase (decrease) in cash and cash equivalents	532,898	(17,777)	139,920
Cash and cash equivalents, beginning of year	402,502	420,279	280,359
Cash and cash equivalents, end of year	935,400	402,502	420,279
Supplemental data:
Interest paid	9,095	11,230	6,992
Income taxes paid	$ 10,025	$ 4,702	$ 1,018

CONSOLIDATED STATEMENTS OF STOCKHOLDERS' EQUITY - USD ($) $ in Thousands	Total	Common Stock	Additional Paid-in Capital	Treasury Stock	Retained Earnings (Accumulated Deficit)	Accumulated Other Comprehensive Income (Loss)
Balance at Mar. 31, 2011	$ 615,279	$ 861	$ 706,482		$ (102,523)	$ 10,459
Balance (in shares) at Mar. 31, 2011		86,119,000
Increase (Decrease) in Stockholders' Equity
Net income (loss)	(108,816)				(108,816)
Change in cumulative foreign currency translation adjustment	(3,785)					(3,785)
Change in unrealized gains on derivative instruments, net	59					59
Exercise of stock options	239	$ 1	238
Exercise of stock options (in shares)		21,000
Stock-based compensation	39,571		39,571
Issuance of 1.00% and 1.75% Convertible Notes for the period ended March 31, 2014 and March 31, 2012, respectively	51,180		51,180
Issuance of restricted stock, net of forfeitures and cancellations		$ 39	(39)
Issuance of restricted stock, net of forfeitures and cancellations (in shares)		3,947,000
Issuance of common stock in connection with acquisition	$ 2,000	$ 1	1,999
Issuance of common stock in connection with acquisition (in shares)	128,439	128,000
Balance at Mar. 31, 2012	$ 595,727	$ 902	799,431		(211,339)	6,733
Balance (in shares) at Mar. 31, 2012		90,215,000
Increase (Decrease) in Stockholders' Equity
Net income (loss)	(29,491)				(29,491)
Change in cumulative foreign currency translation adjustment	(11,590)					(11,590)
Change in unrealized gains on derivative instruments, net	285					285
Stock-based compensation	32,664		32,664
Issuance of restricted stock, net of forfeitures and cancellations		$ 35	(35)
Issuance of restricted stock, net of forfeitures and cancellations (in shares)		3,497,000
Issuance of common stock in connection with acquisition	$ 400		400
Issuance of common stock in connection with acquisition (in shares)	30,726	31,000
Balance at Mar. 31, 2013	$ 587,995	$ 937	832,460		(240,830)	(4,572)
Balance (in shares) at Mar. 31, 2013	93,743,000	93,743,000
Increase (Decrease) in Stockholders' Equity
Net income (loss)	$ 361,605				361,605
Change in cumulative foreign currency translation adjustment	6,447					6,447
Change in unrealized gains on derivative instruments, net	241					241
Exercise of stock options		$ 6	(6)
Exercise of stock options (in shares)		557,000
Stock-based compensation	80,285		80,285
Tax benefit associated with stock awards	7,416		7,416
Issuance of 1.00% and 1.75% Convertible Notes for the period ended March 31, 2014 and March 31, 2012, respectively	35,784		35,784
Extinguishment of 4.375% Convertible Notes	(26,448)	$ 32	(26,480)
Extinguishment of 4.375% Convertible Notes (in shares)		3,217,000
Termination of convertible note hedge transactions	67,170		67,170
Termination of convertible note warrant transactions	(41,853)		(41,853)
Issuance of restricted stock, net of forfeitures and cancellations		$ 77	(77)
Issuance of restricted stock, net of forfeitures and cancellations (in shares)		7,639,000
Repurchased common stock	(276,836)			$ (276,836)
Repurchased common stock (in shares)				(16,238,000)
Balance at Mar. 31, 2014	$ 801,806	$ 1,052	$ 954,699	$ (276,836)	$ 120,775	$ 2,116
Balance (in shares) at Mar. 31, 2014	88,918,000	105,156,000		(16,238,000)

CONSOLIDATED STATEMENTS OF STOCKHOLDERS' EQUITY (Parenthetical)	Mar. 31, 2014	Jun. 18, 2013	Mar. 31, 2012	Nov. 16, 2011	Jun. 30, 2009
1.75% Convertible Notes due 2016
Issuance of convertible notes, interest rate (as a percent)	1.75%		1.75%	1.75%
1.00% Convertible Notes due 2018
Issuance of convertible notes, interest rate (as a percent)	1.00%	1.00%
4.375% Convertible Notes Due 2014
Issuance of convertible notes, interest rate (as a percent)	4.375%				4.375%

BASIS OF PRESENTATION AND SIGNIFICANT ACCOUNTING POLICIES

12 Months Ended

Mar. 31, 2014

BASIS OF PRESENTATION AND SIGNIFICANT ACCOUNTING POLICIES

BASIS OF PRESENTATION AND SIGNIFICANT ACCOUNTING POLICIES

1. BASIS OF PRESENTATION AND SIGNIFICANT ACCOUNTING POLICIES

Take-Two Interactive Software, Inc. (the "Company," "we," "us," or similar pronouns) was incorporated in the state of Delaware in 1993. We are a leading developer, publisher and marketer of interactive entertainment for consumers around the globe. The Company develops and publishes products through its two wholly-owned labels Rockstar Games and 2K. Our products are designed for console systems, handheld gaming systems and personal computers, including smart phones and tablets, and are delivered through physical retail, digital download, online platforms and cloud streaming services.

Principles of Consolidation

The Consolidated Financial Statements include the financial statements of the Company and its wholly-owned subsidiaries. All material inter-company balances and transactions have been eliminated in consolidation.

Reclassifications

Certain amounts in the financial statements of the prior years have been reclassified to conform to the current year presentation for comparative purposes.

Discontinued Operations

In February 2010, we completed the sale to SYNNEX Corporation ("Synnex") of our Jack of All Games third-party distribution business, which primarily distributed third-party interactive entertainment software, hardware and accessories in North America. The financial results of our distribution business have been classified as discontinued operations in the Consolidated Statements of Operations for all of the periods presented. The liabilities of this business are reflected as liabilities of discontinued operations in the Consolidated Balance Sheets for all periods presented. See Note 2 for additional information regarding discontinued operations. Unless otherwise noted, amounts and disclosures throughout the Notes to Consolidated Financial Statements relate to the Company's continuing operations.

Use of Estimates

The preparation of financial statements in conformity with U.S. generally accepted accounting principles ("U.S. GAAP") requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and the disclosure of contingent assets and liabilities at the dates of the financial statements and the reported amounts of net revenue and expenses during the reporting periods. Our most significant estimates and assumptions relate to the recoverability of software development costs, licenses and intangibles, valuation of inventories, realization of deferred income taxes, the adequacy of allowances for sales returns, price concessions and doubtful accounts, accrued liabilities, the service period for deferred net revenue, fair value estimates, the valuation of stock-based compensation and assumptions used in our goodwill impairment test. These estimates generally involve complex issues and require us to make judgments, involve analysis of historical and the prediction of future trends, and are subject to change from period to period. Actual amounts could differ significantly from these estimates. The Company considers transactions or events that occur after the balance sheet date, but before the financial statements are issued, to provide additional evidence relative to certain estimates or to identify matters that require additional disclosures.

Financial Instruments

The carrying amounts of our financial instruments, including cash and cash equivalents, accounts receivable, restricted cash, accounts payable and accrued liabilities, approximate fair value because of their short maturities. We consider all highly liquid instruments purchased with original maturities of three months or less to be cash equivalents. Our restricted cash balance is primarily related to a dedicated account limited to the payment of certain royalty obligations.

As of March 31, 2014, the estimated fair value of the Company's 1.75% Convertible Notes due 2016 and the Company's 1.00% Convertible Notes due 2018 was $328,825 and $352,763, respectively. See Note 10 for additional information regarding our Convertible Notes. The fair value was determined using observable market data for the Convertible Notes and its embedded option feature.

We transact business in various foreign currencies and have significant sales and purchase transactions denominated in foreign currencies, subjecting us to foreign currency exchange rate risk. From time to time, we use hedging programs in an effort to mitigate the effect of currency exchange rate movements.

Cash Flow Hedging Activities

We use foreign currency forward contracts to mitigate foreign currency exchange rate risk associated with forecasted transactions involving non-functional currency denominated expenditures. These transactions, which are designated and qualify as cash flow hedges, are accounted for as derivatives whereby the fair value of the contracts is reported as either assets or liabilities on our Consolidated Balance Sheets. The effective portion of gains or losses resulting from changes in the fair value of these hedges is initially reported, net of tax, as a component of accumulated other comprehensive income (loss) in stockholders' equity. The gross amount of the effective portion of gains or losses resulting from changes in the fair value of these hedges is subsequently reclassified into cost of goods sold or research and development expenses, as appropriate, in the period when the forecasted transaction is recognized in our Consolidated Statements of Operations. In the event that the gains or losses in accumulated other comprehensive income (loss) are deemed to be ineffective, the ineffective portion of gains or losses resulting from changes in fair value, if any, is reclassified to interest and other, net, in our Consolidated Statements of Operations. In the event that the underlying forecasted transactions do not occur, or it becomes probable that they will not occur, within the defined hedge period, the gains or losses on the related cash flow hedges are reclassified from accumulated other comprehensive income (loss) to interest and other, net, in our Consolidated Statements of Operations. During the reporting periods presented, all forecasted transactions occurred, and therefore, there were no such gains or losses reclassified into interest and other, net. We do not enter into derivative financial contracts for speculative or trading purposes. At March 31, 2014 and 2013, we had $890 and $7,906, respectively, of forward contracts outstanding to buy foreign currencies in exchange for U.S. dollars all of which have maturities of less than one year. As of March 31, 2014 and 2013, the fair value of these outstanding forward contracts was immaterial and is included in prepaid expenses and other. The fair value of these outstanding forward contracts is estimated based on the prevailing exchange rates of the various hedged currencies as of the end of the period.

Balance Sheet Hedging Activities

We use foreign currency forward contracts to mitigate foreign currency exchange rate risk associated with non-functional currency denominated cash balances and inter-company funding loans, non-functional currency denominated accounts receivable and non-functional currency denominated accounts payable. These transactions are not designated as hedging instruments and are accounted for as derivatives whereby the fair value of the contracts is reported as either assets or liabilities on our Consolidated Balance Sheets, and gains and losses resulting from changes in the fair value are reported in interest and other, net, in our Consolidated Statements of Operations. We do not enter into derivative financial contracts for speculative or trading purposes. At March 31, 2014, we had $68,520 of forward contracts outstanding to sell foreign currencies in exchange for U.S. dollars all of which have maturities of less than one year. At March 31, 2013, we had $55,397 of forward contracts outstanding to sell foreign currencies in exchange for U.S. dollars all of which have maturities of less than one year. For the fiscal years ended March 31, 2014, 2013 and 2012, we recorded a loss of $18,425, gain of $2,163 and gain of $746, respectively, related to foreign currency forward contracts in interest and other, net on the Consolidated Statements of Operations. As of March 31, 2014 and 2013, the fair value of these outstanding forward contracts was immaterial and is included in prepaid expenses and other at March 31, 2014 and accrued expenses and other current liabilities at March 31, 2013. The fair value of these outstanding forward contracts is estimated based on the prevailing exchange rates of the various hedged currencies as of the end of the period.

Concentration of Credit Risk and Accounts Receivable

We maintain cash balances at several major financial institutions. While we attempt to limit credit exposure with any single institution, balances often exceed insurable amounts.

If the financial condition and operations of our customers deteriorate, our risk of collection could increase substantially. A majority of our trade receivables are derived from sales to major retailers and distributors. Our five largest customers accounted for 39.4%, 52.5%, and 43.9% of net revenue during the fiscal years ended March 31, 2014, 2013 and 2012, respectively. As of March 31, 2014 and 2013, five customers accounted for 68.3% and 57.2% of our gross accounts receivable, respectively. Customers that individually accounted for more than 10% of our gross accounts receivable balance comprised 59.8% and 30.5% of such balances at March 31, 2014 and 2013, respectively. Based upon performing ongoing credit evaluations, maintaining trade credit insurance on a majority of our customers and our past collection experience, we believe that the receivable balances from these largest customers do not represent a significant credit risk.

Inventory

Inventory consists of materials, including manufacturing royalties paid to console manufacturers, and is stated at the lower of average cost or market. Estimated product returns are included in the inventory balance at their cost. We regularly review inventory quantities on-hand and in the retail channels and record an inventory provision for excess or obsolete inventory based on the future expected demand for our products. Significant changes in demand for our products would affect management's estimates in establishing our inventory provision.

Software Development Costs and Licenses

Capitalized software development costs include direct costs incurred for internally developed titles and payments made to third-party software developers under development agreements.

We capitalize internal software development costs (including stock-based compensation, specifically identifiable employee payroll expense and incentive compensation costs related to the completion and release of titles), third-party production and other content costs, subsequent to establishing technological feasibility of a software title. Technological feasibility of a product includes the completion of both technical design documentation and game design documentation. Significant management judgments and estimates are utilized in the assessment of when technological feasibility is established. For products where proven technology exists, this may occur early in the development cycle. Technological feasibility is evaluated on a product by product basis.

We enter into agreements with third-party developers that require us to make payments for game development and production services. In exchange for our payments, we receive the exclusive publishing and distribution rights to the finished game title as well as, in some cases, the underlying intellectual property rights. Such agreements typically allow us to fully recover these payments to the developers at an agreed upon royalty rate earned on the subsequent retail sales of such software, net of any agreed upon costs. Prior to establishing technological feasibility of a product we record any costs incurred by third-party developers as research and development expenses. Subsequent to establishing technological feasibility of a product we capitalize all development and production service payments to third-party developers as software development costs and licenses. We typically enter into agreements with third-party developers after completing the technical design documentation for our products and therefore record the design costs leading up to a signed development contract as research and development expense. When we contract with third-party developers, we generally select those that have proven technology and experience in the genre of the software being developed, which often allows for the establishment of technological feasibility early in the development cycle. In instances where the documentation of the design and technology are not in place prior to an executed contract, we monitor the software development process and require our third-party developers to adhere to the same technological feasibility standards that apply to our internally developed products.

Licenses consist of payments and guarantees made to holders of intellectual property rights for use of their trademarks, copyrights or other intellectual property rights in the development of our products. Agreements with license holders generally provide for guaranteed minimum payments for use of their intellectual property. Guaranteed minimum payments are initially recorded as an asset (licenses) and as a liability (accrued licenses) upon execution of a licensing agreement, provided that no significant performance remains to be completed by the licensor. When significant performance remains to be completed by the licensor, we record payments when actually paid.

Certain licenses, especially those related to our sports products, extend over multi-year periods and encompass multiple game titles. In addition to guaranteed minimum payments, these licenses frequently contain provisions that could require us to pay royalties to the license holder based on pre-agreed unit sales thresholds.

Amortization of capitalized software development costs and licenses commences when a product is released and is recorded on a title-by-title basis in cost of goods sold. For capitalized software development costs, amortization is calculated using (1) the proportion of current year revenues to the total revenues expected to be recorded over the life of the title or (2) the straight-line method over the remaining estimated useful life of the title, whichever is greater. For capitalized licenses, amortization is calculated as a ratio of (1) current period revenues to the total revenues expected to be recorded over the remaining life of the title or (2) the contractual royalty rate based on actual net product sales as defined in the licensing agreement, whichever is greater.

We evaluate the future recoverability of capitalized software development costs and licenses on a quarterly basis. Recoverability is primarily assessed based on the actual title's performance. For products that are scheduled to be released in the future, recoverability is evaluated based on the expected performance of the specific products to which the cost or license relates. We utilize a number of criteria in evaluating expected product performance, including: historical performance of comparable products developed with comparable technology; market performance of comparable titles; orders for the product prior to its release; general market conditions; and, past performance of the franchise. When management determines that the value of the title is unlikely to be recovered by product sales, capitalized costs are charged to cost of goods sold in the period in which such determination is made.

We have established profit and unit sales based internal royalty programs that allow selected employees to each participate in the success of software titles that they assist in developing. Royalties earned by employees under this program are recorded as a component of cost of goods sold as the related revenues are recognized.

Fixed Assets, net

Office equipment, furniture and fixtures are depreciated using the straight-line method over their estimated useful life of five years. Computer equipment and software are generally depreciated using the straight-line method over three to five years. Leasehold improvements are amortized over the lesser of the term of the related lease or seven years. The cost of additions and betterments are capitalized, and repairs and maintenance costs are charged to operations, in the periods incurred. When depreciable assets are retired or sold, the cost and related allowances for depreciation are removed from the accounts and the gain or loss is recognized. The carrying amounts of these assets are recorded at historical cost.

Goodwill and Intangible Assets

Goodwill is the excess of purchase price paid over identified intangible and tangible net assets of acquired companies. Intangible assets consist of trademarks, intellectual property, non-compete agreements, customer lists and acquired technology. Certain intangible assets acquired in a business combination are recognized as assets apart from goodwill.

We use either the income, cost or market approach to aid in our conclusions of such fair values and asset lives. The income approach presumes that the value of an asset can be estimated by the net economic benefit to be received over the life of the asset, discounted to present value. The cost approach presumes that an investor would pay no more for an asset than its replacement or reproduction cost. The market approach estimates value based on what other participants in the market have paid for reasonably similar assets. Although each valuation approach is considered in valuing the assets acquired, the approach ultimately selected is based on the characteristics of the asset and the availability of information.

Identified intangibles other than goodwill are generally amortized using the straight-line method over the period of expected benefit ranging from two to ten years, except for intellectual property, which is a usage-based intangible asset that is amortized using the shorter of the useful life or expected revenue stream.

We perform an annual test for impairment of goodwill as of the beginning of August, or whenever events or changes in circumstances indicate the fair value of a reporting unit is below its carrying amount. In the evaluation of goodwill for impairment, we first perform a qualitative assessment to determine whether it is more likely than not that the fair value of the reporting unit is less than the carrying amount. If it is determined through the qualitative assessment that a reporting unit's fair value is more likely than not greater than its carrying value, the remaining impairment steps would be unnecessary. If however it is determined through the qualitative assessment that a reporting unit's fair value is more likely than not less than its carrying value, we perform a quantitative assessment and compare the fair value of the reporting unit to the carrying value.

In performing the quantitative assessment we measure the fair value of the reporting unit using a combination of the income approach, which uses discounted cash flows, and the market approach, which uses market capitalization and comparable companies' data. Each step requires us to make judgments and involves the use of significant estimates and assumptions. These estimates and assumptions include long-term growth rates and operating margins used to calculate projected future cash flows, risk-adjusted discount rates based on our weighted average cost of capital, future economic and market conditions and the determination of appropriate market comparables. These estimates and assumptions have to be made for each reporting unit evaluated for impairment. Our estimates for market growth are based on historical data, various internal estimates and observable external sources when available, and are based on assumptions that are consistent with the plans and estimates we use to manage the underlying business. If the carrying value of a reporting unit exceeds its fair value, the goodwill of that reporting unit is potentially impaired and we proceed to step two of the impairment analysis. In step two of the analysis, we will record an impairment loss equal to the excess of the carrying value of the reporting unit's goodwill over its implied fair value should such a circumstance arise.

Long-lived Assets

We review all long-lived assets whenever events or changes in circumstances indicate that the carrying amount of an asset may not be recoverable. We compare the carrying amount of the asset to the estimated undiscounted future cash flows expected to result from the use of the asset. If the carrying amount of the asset exceeds estimated expected undiscounted future cash flows, we record an impairment charge for the difference between the carrying amount of the asset and its fair value. The estimated fair value is generally measured by discounting expected future cash flows using our incremental borrowing rate or fair value, if available.

Income Taxes

We record a tax provision for the anticipated tax consequences of the reported results of operations. Our provision for income taxes is computed using the asset and liability method, under which deferred income taxes are recognized for differences between the financial statement and tax bases of assets and liabilities at currently enacted statutory tax rates for the years in which the differences are expected to reverse. The effect on deferred taxes of a change in tax rates is recognized in income in the period that includes the enactment.

Valuation allowances are established when we determine that it is more likely than not that such deferred tax assets will not be realized. We do not record income tax expense related to foreign withholding taxes or United States income taxes which may become payable upon the repatriation of undistributed earnings of foreign subsidiaries, as such earnings are expected to be reinvested indefinitely outside of the United States.

We use estimates and assumptions to compute the provision for income taxes including allocations of certain transactions to different tax jurisdictions, amounts of permanent and temporary differences, the likelihood of deferred tax assets being recovered and the outcome of contingent tax risks. These estimates and assumptions are revised as new events occur, more experience is acquired and additional information is obtained. The effect of these revisions is recorded in income tax expense or benefit in the period in which they become known.

We recognize and measure uncertain tax positions and record tax benefits when it is more likely than not that the tax position will be sustained on examination by the taxing authorities, based on the technical merits of the position. The tax benefits recognized in the financial statements from such positions are then measured based on the largest benefit that has a greater than 50% likelihood of being realized upon ultimate settlement.

Revenue Recognition

We earn our revenue from the sale of internally developed interactive software titles and from the sale of titles developed by and/or licensed from third-party developers.

We recognize revenue on the sales of software products upon the transfer of title and risk of loss to our customers. Accordingly, we recognize revenue for software titles when there is (1) persuasive evidence that an arrangement with the customer exists, which is generally based on a customer purchase order, (2) the product is delivered, (3) the selling price is fixed or determinable and (4) collection of the customer receivable is deemed probable. Certain products are sold to customers with a street date (i.e., the earliest date these products may be sold by retailers). For these products we recognize revenue on the later of the street date or the sale date. In addition, some of our software products are sold as full game downloads and digital add-on content for which the consumer takes possession of the digital content for a fee. Revenue from product downloads is generally recognized when the download is made available (assuming all other recognition criteria are met).

In providing credit terms to our customers, our payment arrangements typically provide net 30 and 60 day terms. Advances received for licensing and exclusivity arrangements are reported on the balance sheet as deferred revenue until we meet our performance obligations, at which point we recognize the revenue.

For some of our software products, we enter into multiple element revenue arrangements in which we may provide a combination of full game software, additional add-on content, maintenance or support. When all other recognition criteria are met, for our software and software- related multiple element arrangements, we determine the fair value of each delivered and undelivered element using vendor-specific objective evidence ("VSOE") and allocate the total price among the various elements. Absent VSOE for each element, revenue is deferred until the earlier of the point at which VSOE of fair value exists for any undelivered element or until all elements of the arrangement have been delivered. For arrangements which require that revenue recognition is deferred, the cost of goods sold is deferred and recognized as the related net revenue is recognized. Deferred cost of goods sold includes product costs, software development costs and royalties and licenses. However, if the only undelivered element is maintenance and support, the entire arrangement fee is recognized ratably over the performance period. Changes in assumptions or judgments or changes to the elements in a software arrangement could cause a material increase or decrease in the amount of revenue that we report in a particular period. We determine VSOE for each element based on historical stand-alone sales to third parties. In determining VSOE, we require that a substantial majority of the selling prices for a product or service fall within a reasonably narrow pricing range.

We establish whether our software products contain more-than-inconsequential online functionality by evaluating the significance of the development effort and the nature of the online features, the extent of anticipated marketing focus on the online features, the significance of the online features to the consumers' anticipated overall gameplay experience, and the significance of our post sale obligations to consumers. Determining whether the online functionality for a particular game constitutes more-than-an- inconsequential deliverable is subjective and requires management's judgment.

When software products provide online functionality that has a more-than-inconsequential separate service deliverable, we recognize the software-related revenues and the related cost of sales ratably over the estimated service period of the title (assuming all other recognition criteria are met). When our software products provide limited online functionality at no additional cost to the consumer, we generally consider such features to be incidental to the overall product offering and an inconsequential deliverable. Accordingly, we do not defer revenue related to products containing such online features.

Certain of our software products include in-game advertising for third-party products. Advance payments received for in-game advertising are reported on our Consolidated Balance Sheets as deferred revenue until we meet our performance obligations, at which point we recognize the revenue, which is generally at the time of the initial release of the product.

Revenue is recognized after deducting estimated reserves for returns, price concessions and other allowances. In circumstances when we do not have a reliable basis to estimate returns and price concessions or are unable to determine that collection of a receivable is probable, we defer the revenue until such time as we can reliably estimate any related returns and allowances and determine that collection of the receivable is probable.

Allowances for Returns, Price Concessions and Other Allowances

We accept returns and grant price concessions in connection with our publishing arrangements. Following reductions in the price of our products, we grant price concessions to permit customers to take credits against amounts they owe us with respect to merchandise unsold by them. Our customers must satisfy certain conditions to entitle them to return products or receive price concessions, including compliance with applicable payment terms and confirmation of field inventory levels.

Generally, our distribution arrangements with customers do not give them the right to return titles or to cancel firm orders. However, we occasionally accept returns from our customers for stock balancing and make accommodations to customers, which include credits and returns, when demand for specific titles falls below expectations.

We make estimates of future product returns and price concessions related to current period product revenue. We estimate the amount of future returns and price concessions for published titles based upon, among other factors, historical experience and performance of the titles in similar genres, historical performance of the hardware platform, customer inventory levels, analysis of sell-through rates, sales force and retail customer feedback, industry pricing, market conditions and changes in demand and acceptance of our products by consumers.

Significant management judgments and estimates must be made and used in connection with establishing the allowance for returns and price concessions in any accounting period. We believe we can make reliable estimates of returns and price concessions. However, actual results may differ from initial estimates as a result of changes in circumstances, market conditions and assumptions. Adjustments to estimates are recorded in the period in which they become known.

Consideration Given to Customers and Received from Vendors

We have various marketing arrangements with retailers and distributors of our products that provide for cooperative advertising and market development funds, among others, which are generally based on single exchange transactions. Such amounts are accrued as a reduction to revenue at the later of: (1) the date at which the related revenue is recognized by us, or (2) the date at which the sales incentive is offered, except for cooperative advertising which is included in selling and marketing expense if there is a separate identifiable benefit and the benefit's fair value can be established.

We receive various incentives from our manufacturers, including up-front cash payments as well as rebates based on a cumulative level of purchases. Such amounts are generally accounted for as a reduction in the price of the manufacturer's product and included as a reduction of inventory or cost of goods sold, based on (1) a ratio of current period revenue to the total revenue expected to be recorded over the remaining life of the product or (2) an agreed upon per unit rebate, based on actual units manufactured during the period.

Advertising

We expense advertising costs as incurred. Advertising expense for the fiscal years ended March 31, 2014, 2013 and 2012 amounted to $153,732, $185,162 and $122,932, respectively, and are included in "Selling and marketing expense" in the Consolidated Statements of Operations.

Earnings (Loss) per Share ("EPS")

Basic EPS is computed by dividing the net income (loss) applicable to common stockholders for the period by the weighted average number of shares of common stock outstanding during the same period. Diluted EPS is computed by dividing the net income (loss) applicable to common stockholders for the period by the weighted average number of shares of common stock and common stock equivalents outstanding.

The following table sets forth the computation of basic and diluted EPS (shares in thousands):

	Fiscal Year Ended March 31,

	2014			2013			2012
Computation of Basic EPS:
Net income (loss)	$	361,605		$	(29,491	)	$	(108,816	)


Less: net income allocated to participating securities		(41,065	)		—			—


Net income (loss) for basic EPS calculation	$	320,540		$	(29,491	)	$	(108,816	)




Total weighted average shares outstanding—basic		95,347			85,581			83,356
Less: weighted average participating securities outstanding		(10,828	)		—			—


Weighted average common shares outstanding—basic		84,519			85,581			83,356




Basic EPS	$	3.79		$	(0.34	)	$	(1.31	)




Computation of Diluted EPS:
Net income (loss)	$	361,605		$	(29,491	)	$	(108,816	)
Less: net income allocated to participating securities		(31,397	)		—			—
Add: interest expense, net of tax, on Convertible Notes		33,718			—			—


Net income (loss) for diluted EPS calculation	$	363,926		$	(29,491	)	$	(108,816	)




Weighted average shares outstanding—basic		84,519			85,581			83,356
Add: dilutive effect of common stock equivalents		29,363			—			—


Weighted average common shares outstanding—diluted		113,882			85,581			83,356




Diluted EPS	$	3.20		$	(0.34	)	$	(1.31	)

The Company incurred a net loss for the fiscal years ended March 31, 2013 and 2012; therefore, the basic and diluted weighted average shares outstanding exclude the effect of unvested share-based awards that are considered participating securities and all common stock equivalents because their effect would be antidilutive.

Our unvested restricted stock awards (including restricted stock units, time-based and market-based restricted stock awards) are considered participating securities since these securities have non-forfeitable rights to dividends or dividend equivalents during the contractual period of the award, and thus require the two-class method of computing EPS. The calculation of EPS for common stock shown above excludes the income attributable to the unvested restricted stock awards from the numerator and excludes the dilutive effect of those awards from the denominator. For the fiscal years ended March 31, 2013 and 2012, we had 7,357,000 and 5,724,000, respectively, of unvested share-based awards that are considered participating securities which are excluded due to the net loss for those periods.

The Company defines common stock equivalents as unexercised stock options, common stock equivalents underlying the Convertible Notes (see Note 10) and warrants outstanding during the period. Common stock equivalents are measured using the treasury stock method, except for the Convertible Notes, which are assessed for their effect on diluted EPS using the more dilutive of the treasury stock method or the if-converted method. Under the provisions of the if-converted method, the Convertible Notes are assumed to be converted and included in the denominator of the EPS calculation and the interest expense, net of tax, recorded in connection with the Convertible Notes is added back to the numerator.

In connection with the issuance of our 4.375% Convertible Notes in June 2009, the Company purchased convertible note hedges (see Note 10) which were excluded from the calculation of diluted EPS because their effect is always considered antidilutive since the call option would be exercised by the Company when the exercise price is lower than the market price. Also in connection with the issuance of our 4.375% Convertible Notes, the Company entered into warrant transactions (see Note 10). On June 12, 2013, the Company entered into Unwind Agreements with respect to the convertible note hedge transactions and Unwind Agreements with respect to the warrant transactions with each of the hedge counterparties (see Note 10).

Other common stock equivalents excluded from the diluted EPS calculation were unexercised stock option awards of approximately 2,009,000 and 2,164,000 for the fiscal years ended March 31, 2013 and 2012 due to the net loss for those periods.

Stock-based Compensation

We have issued stock-based compensation to employees and non-employee consultants, such as ZelnickMedia Corporation.

We value time-based restricted stock awards to employees using our closing stock price on the date of grant. Time-based restricted stock awards are amortized and recorded as expense on a straight-line basis over their expected vesting period, which is typically three years, and reduced for estimated forfeitures. We apply variable accounting to our non-employee time-based restricted stock awards, whereby we remeasure the value of such awards at each balance sheet date and adjust the value of the awards based on the closing price of our common stock at the end of the reporting period. Changes in the value of the awards from period to period are recorded as stock- based compensation expense over the vesting period, which typically ranges from three to four years.

Estimated forfeitures are adjusted, if necessary, in subsequent periods if actual forfeitures differ from our estimates.

Market-based restricted stock awards are typically awarded to executives and non-employee consultants. We estimate the fair value of market-based awards using the Monte Carlo Simulation method which takes into account the probability that the market conditions of the awards will be achieved. We apply variable accounting to our non-employee market-based awards. We have granted market-based awards that vest based on a variety of conditions. Our employee and non-employee market-based awards are amortized over their estimated derived service period, which typically ranges from three to four years.

See Note 13 for a full discussion of our stock-based compensation arrangements.

Foreign Currency

The functional currency for our foreign operations is primarily the applicable local currency. Accounts of foreign operations are translated into U.S. dollars using exchange rates for assets and liabilities at the balance sheet date and average prevailing exchange rates for the period for revenue and expense accounts. Adjustments resulting from translation are included in accumulated other comprehensive income (loss). Realized and unrealized transaction gains and losses are included in our Consolidated Statements of Operations in the period in which they occur, except on inter-company balances considered to be long term. Transaction gains and losses on inter-company balances which are considered to be long term are recorded in accumulated other comprehensive income (loss).

Comprehensive Income (Loss)

Comprehensive income (loss) is defined to include all changes in equity except those resulting from investments by owners and distributions to owners. The Company's items of accumulated other comprehensive income (loss) include foreign currency translation adjustments, which relate to investments that are permanent in nature and therefore do not require tax adjustments, and the net of tax amounts for unrealized gains (losses) on derivative instruments designated as cash flow hedges.

Recently Issued Accounting Pronouncements

Reclassification of Accumulated Other Comprehensive Income

In February 2013, new guidance was issued requiring new disclosures about reclassifications from accumulated other comprehensive income to net income. This new guidance requires an entity to provide information about the amounts reclassified out of accumulated other comprehensive income by component. In addition, an entity is required to present, either on the face of the statement where net income is presented or in the notes, significant amounts reclassified out of accumulated other comprehensive income by the respective line items of net income but only if the amount reclassified is required under U.S. GAAP to be reclassified to net income in its entirety in the same reporting period. For other amounts that are not required under U.S. GAAP to be reclassified in their entirety to net income, an entity is required to cross-reference to other disclosures required under U.S. GAAP that provide additional detail about those amounts. This new guidance became effective prospectively for annual and interim periods beginning after December 15, 2012 (April 1, 2013 for the Company). Since there were no reclassifications during the year ending March 31, 2014, the adoption of this new guidance did not have an effect on our Consolidated Financial Statements.

Presentation of Unrecognized Tax Benefits

In July 2013, new guidance was issued requiring that entities that have an unrecognized tax benefit and a net operating loss carryforward or similar tax loss or tax credit carryforward in the same jurisdiction as the uncertain tax position present the unrecognized tax benefit as a reduction of the deferred tax asset for the loss or tax credit carryforward rather than as a liability when the uncertain tax position would reduce the loss or tax credit carryforward under the tax law. The disclosure requirements will be effective for annual periods (and interim periods within those annual periods) beginning after December 15, 2013 (April 1, 2014 for the Company), and will require prospective application. While early adoption is permitted, we will adopt the guidance beginning April 1, 2014. The adoption is not expected to have a material effect on our Consolidated Financial Statements.

DISCONTINUED OPERATIONS

12 Months Ended

Mar. 31, 2014

DISCONTINUED OPERATIONS

DISCONTINUED OPERATIONS

2. DISCONTINUED OPERATIONS

In February 2010, we completed the sale of our Jack of All Games third-party distribution business, which primarily distributed third-party interactive entertainment software, hardware and accessories in North America, for approximately $44,000, including $37,250 in cash, subject to purchase price adjustments, and up to an additional $6,750, subject to the achievement of certain items, which were not met. In April 2011, we settled on the purchase adjustments and as a result the purchase price was lowered by $1,475. Consequently, the net purchase price after the settlement was $35,775. The sale has allowed us to focus our resources on our publishing operations. The financial information of our distribution business has been classified as discontinued operations in the Consolidated Financial Statements for all of the periods presented.

The following is a summary of the results of the discontinued operations:

	Fiscal Year Ended March 31,

	2014			2013		2012
(Loss) income before income taxes	$	(86	)	$	355	$	(1,116	)
Gain on sale		—			1,316		—


Net (loss) income	$	(86	)	$	1,671	$	(1,116	)

The following is a summary of the liabilities of discontinued operations primarily related to a liability for a lease assumption without economic benefit less estimates of sublease income. The lease matures on September 30, 2014.

	March 31, 2014		March 31, 2013

Liabilities of discontinued operations:
Current:
Accrued expenses and other current liabilities	$	556	$	1,232


Total current liabilities		556		1,232
Other non-current liabilities		—		556


Total liabilities of discontinued operations	$	556	$	1,788

- Definition

The entire disclosure for the facts and circumstances leading to the completed or expected disposal, manner and timing of disposal, the gain (loss) recognized in the income statement and the income statement caption that includes that gain (loss), amounts of revenues and pretax profit or loss reported in discontinued operations, the segment in which the disposal group was reported, and the classification (whether sold or classified as held for sale) and carrying value of the assets and liabilities comprising the disposal group. Includes all disposal groups, including those classified as components of the entity (discontinued operations).

+ References

Reference 1: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 205
-SubTopic 20
-Section 50
-Paragraph 2
-URI http://asc.fasb.org/extlink&oid=6360339&loc=d3e1436-107760

Reference 2: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 205
-SubTopic 20
-Section 50
-Paragraph 1
-URI http://asc.fasb.org/extlink&oid=6360339&loc=d3e1361-107760

Reference 3: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 205
-SubTopic 20
-Section 50
-Paragraph 3
-URI http://asc.fasb.org/extlink&oid=6360339&loc=d3e1474-107760

Reference 4: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 205
-SubTopic 20
-Section 50
-Paragraph 5
-URI http://asc.fasb.org/extlink&oid=6360339&loc=d3e1510-107760

Reference 5: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 205
-SubTopic 20
-Section 45
-Paragraph 3
-URI http://asc.fasb.org/extlink&oid=6892542&loc=d3e957-107759

Reference 6: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 205
-SubTopic 20
-Section 45
-Paragraph 5
-URI http://asc.fasb.org/extlink&oid=6892542&loc=d3e1020-107759

Reference 7: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 205
-SubTopic 20
-Section 45
-Paragraph 4
-URI http://asc.fasb.org/extlink&oid=6892542&loc=d3e1012-107759

Reference 8: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 360
-SubTopic 10
-Section 45
-Paragraph 5
-URI http://asc.fasb.org/extlink&oid=8077374&loc=d3e2443-110228

Reference 9: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 360
-SubTopic 10
-Section 50
-Paragraph 3
-URI http://asc.fasb.org/extlink&oid=6391110&loc=d3e2941-110230

+ Details

MANAGEMENT AGREEMENT	12 Months Ended
MANAGEMENT AGREEMENT	Mar. 31, 2014
MANAGEMENT AGREEMENT
MANAGEMENT AGREEMENT	3. MANAGEMENT AGREEMENT In March 2007, we entered into a management services agreement (as amended, the "Management Agreement") with ZelnickMedia Corporation ("ZelnickMedia"), whereby ZelnickMedia provides us with certain management, consulting and executive level services. In May 2011, we entered into an amended management agreement (the "2011 Management Agreement") with ZelnickMedia pursuant to which ZelnickMedia will continue to provide management, consulting and executive level services to the Company through May 2015. As part of the 2011 Management Agreement, Strauss Zelnick, the President of ZelnickMedia, continues to serve as Executive Chairman and Chief Executive Officer and Karl Slatoff, a partner of ZelnickMedia, serves as President. In September 2011, the 2011 Management Agreement, which upon effectiveness, superseded and replaced the Management Agreement was approved by the Company's stockholders at the Company's 2011 Annual Meeting. The 2011 Management Agreement provides for the annual management fee to remain at $2,500, subject to annual increases in the amount of 3% over the term of the agreement, and the maximum annual bonus was increased to $3,500 from $2,500, subject to annual increases in the amount of 3% over the term of the agreement, based on the Company achieving certain performance thresholds. In consideration for ZelnickMedia's services, we recorded consulting expense (a component of general and administrative expenses) of $6,365, $6,180 and $2,500 for the fiscal years ended March 31, 2014, 2013 and 2012, respectively. In March 2014, we entered into a Management Agreement, (the "New Management Agreement"), with ZelnickMedia pursuant to which ZelnickMedia will continue to provide management, consulting and executive level services to the Company through March 13, 2019. As part of the New Management Agreement, Strauss Zelnick will continue to serve as Executive Chairman and Chief Executive Officer and Karl Slatoff will continue to serve as President of the Company. The New Management Agreement, which became effective April 1, 2014 will supersede and replace the 2011 Management Agreement. The New Management Agreement provides for an annual management fee of $2,970 which will not be increased or decreased over the term of the agreement, and a maximum annual bonus of $4,752 which will not be increased or decreased over the term of the agreement, based on the Company achieving certain performance thresholds. In connection with the New Management Agreement, on April 1, 2014 the Company granted ZelnickMedia 619,490 restricted units that are eligible to vest on April 1, 2016, subject to adjustment, forfeiture and the other terms and conditions of the New Management Agreement and the related restricted unit agreement. Pursuant to the Management Agreement and 2011 Management Agreement, we also issued stock-based awards to ZelnickMedia. See Note 13 for a discussion of such awards.

FAIR VALUE MEASUREMENTS

12 Months Ended

Mar. 31, 2014

FAIR VALUE MEASUREMENTS

FAIR VALUE MEASUREMENTS

4. FAIR VALUE MEASUREMENTS

We follow a three-level fair value hierarchy that prioritizes the inputs used to measure fair value. This hierarchy requires entities to maximize the use of "observable inputs" and minimize the use of "unobservable inputs." The three levels of inputs used to measure fair value are as follows:

•

Level 1—Quoted prices in active markets for identical assets or liabilities.

•

Level 2—Observable inputs other than quoted prices included in Level 1, such as quoted prices for markets that are not active or other inputs that are observable or can be corroborated by observable market data.

•

Level 3—Unobservable inputs that are supported by little or no market activity and that are significant to the fair value of the assets or liabilities. This includes certain pricing models, discounted cash flow methodologies and similar techniques that use significant unobservable inputs.

The table below segregates all assets that are measured at fair value on a recurring basis (which is measured at least annually) into the most appropriate level within the fair value hierarchy based on the inputs used to determine the fair value at the measurement date.

	March 31, 2014		Quoted prices in active markets for identical assets (level 1)		Significant other observable inputs (level 2)		Significant unobservable inputs (level 3)		Balance Sheet Classification

Money market funds	$	683,087	$	683,087	$	—	$	—	Cash and cash equivalents
Bank-time deposits	$	88,525	$	88,525	$	—	$	—	Cash and cash equivalents

- Definition

The entire disclosure for the fair value of financial instruments (as defined), including financial assets and financial liabilities (collectively, as defined), and the measurements of those instruments as well as disclosures related to the fair value of non-financial assets and liabilities. Such disclosures about the financial instruments, assets, and liabilities would include: (1) the fair value of the required items together with their carrying amounts (as appropriate); (2) for items for which it is not practicable to estimate fair value, disclosure would include: (a) information pertinent to estimating fair value (including, carrying amount, effective interest rate, and maturity, and (b) the reasons why it is not practicable to estimate fair value; (3) significant concentrations of credit risk including: (a) information about the activity, region, or economic characteristics identifying a concentration, (b) the maximum amount of loss the entity is exposed to based on the gross fair value of the related item, (c) policy for requiring collateral or other security and information as to accessing such collateral or security, and (d) the nature and brief description of such collateral or security; (4) quantitative information about market risks and how such risks are managed; (5) for items measured on both a recurring and nonrecurring basis information regarding the inputs used to develop the fair value measurement; and (6) for items presented in the financial statement for which fair value measurement is elected: (a) information necessary to understand the reasons for the election, (b) discussion of the effect of fair value changes on earnings, (c) a description of [similar groups] items for which the election is made and the relation thereof to the balance sheet, the aggregate carrying value of items included in the balance sheet that are not eligible for the election; (7) all other required (as defined) and desired information.

+ References + Details

INVENTORY

12 Months Ended

Mar. 31, 2014

INVENTORY

INVENTORY

5. INVENTORY

Inventory balances by category are as follows:

	March 31,

	2014		2013
Finished products	$	28,418	$	28,026
Parts and supplies		1,362		2,192


Inventory	$	29,780	$	30,218

Estimated product returns included in inventory at March 31, 2014 and 2013 were $578 and $1,505, respectively.

SOFTWARE DEVELOPMENT COSTS AND LICENSES

12 Months Ended

Mar. 31, 2014

SOFTWARE DEVELOPMENT COSTS AND LICENSES

SOFTWARE DEVELOPMENT COSTS AND LICENSES

6. SOFTWARE DEVELOPMENT COSTS AND LICENSES

Details of our capitalized software development costs and licenses are as follows:

	March 31, 2014				March 31, 2013

	Current		Non-current		Current		Non-current
Software development costs, internally developed	$	53,041	$	60,196	$	178,297	$	38,592
Software development costs, externally developed		51,643		49,310		10,469		53,649
Licenses		11,519		—		10,189		3,000


Software development costs and licenses	$	116,203	$	109,506	$	198,955	$	95,241

Software development costs and licenses as of March 31, 2014 and 2013 included $211,302 and $270,488, respectively, related to titles that have not been released.

Amortization and impairment of software development costs and licenses are as follows:

	Fiscal Year Ended March 31,

	2014			2013			2012
Amortization of software development costs and licenses	$	236,759		$	231,423		$	144,385
Impairment of software development costs and licenses		52,863			9,385			11,459
Less: Portion representing stock-based compensation		(24,089	)		(10,060	)		(5,144	)


Amortization and impairment, net of stock-based compensation	$	265,533		$	230,748		$	150,700

FIXED ASSETS, NET

12 Months Ended

Mar. 31, 2014

FIXED ASSETS, NET

FIXED ASSETS, NET

7. FIXED ASSETS, NET

Fixed asset balances by category are as follows:

	March 31,

	2014		2013
Computer equipment	$	55,751	$	36,152
Computer software		38,111		31,466
Leasehold improvements		33,968		31,339
Office equipment		5,672		5,819
Furniture and fixtures		5,865		5,334


		139,367		110,110
Less: accumulated depreciation		96,795		84,748


Fixed assets, net	$	42,572	$	25,362

Depreciation expense related to fixed assets for the fiscal years ended March 31, 2014, 2013 and 2012 was $13,203, $10,200 and $11,467, respectively.

GOODWILL AND INTANGIBLE ASSETS, NET

12 Months Ended

Mar. 31, 2014

GOODWILL AND INTANGIBLE ASSETS, NET

GOODWILL AND INTANGIBLE ASSETS, NET

8. GOODWILL AND INTANGIBLE ASSETS, NET

We perform an annual test for impairment of goodwill as of the beginning of August or whenever events or changes in circumstances indicate the fair value of a reporting unit is below its carrying amount. In the evaluation of goodwill for impairment, we first perform a qualitative assessment to determine whether it is more likely than not that the fair value of the reporting unit is less than the carrying amount. If it is determined through the qualitative assessment that a reporting unit's fair value is more likely than not greater than its carrying value, the remaining impairment steps would be unnecessary. If however it is determined through the qualitative assessment that a reporting unit's fair value is more likely than not less than its carrying value, we must then perform a quantitative assessment and compare the fair value of the reporting unit to the carrying value. The first step of the quantitative assessment measures impairment by applying fair value-based tests at the reporting unit level. The second step (if necessary) measures the amount of impairment by applying fair value-based tests to individual assets and liabilities within each reporting unit. Prior to the sale of our Jack of All Games third-party distribution business, which closed in February 2010 (see Note 2), we managed our business primarily based on our publishing and distribution businesses. Accordingly, after the sale of the assets of our distribution business, the Company operates as a single reporting unit.

For the fiscal years ended March 31, 2014, 2013 and 2012, we did not recognize an impairment loss on goodwill.

The change in our goodwill balance is as follows:

	Total

Balance at March 31, 2012	$	228,169
Additions and adjustments		1,500
Currency translation adjustment		(3,677	)


Balance at March 31, 2013		225,992


Additions and adjustments		—
Currency translation adjustment		713


Balance at March 31, 2014	$	226,705

The following table sets forth the components of the intangible assets subject to amortization:

			March 31, 2014							March 31, 2013

	Estimated Useful Lives (Years)		March 31, 2014							March 31, 2013
	Estimated Useful Lives (Years)		Gross Carrying Amount		Accumulated Amortization			Net Book Value		Gross Carrying Amount		Accumulated Amortization			Net Book Value
Intellectual property		2-6	$	26,949	$	(21,836	)	$	5,113	$	26,949	$	(18,718	)	$	8,231
Trademarks		7-10		13,839		(13,839	)		—		13,838		(13,682	)		156
Technology		3		3,200		(3,200	)		—		3,200		(2,760	)		440
Non-compete		5-10		5,249		(5,249	)		—		5,160		(5,160	)		—


			$	49,237	$	(44,124	)	$	5,113	$	49,147	$	(40,320	)	$	8,827

Amortization of intangible assets is included in our Consolidated Statements of Operations as follows:

	Fiscal Year Ended March 31,

	2014		2013		2012
Cost of goods sold	$	3,558	$	7,000	$	983
Depreciation and amortization		156		434		656


Total amortization of intangible assets	$	3,714	$	7,434	$	1,639

Estimated future amortization of intangible assets that will be recorded in cost of goods sold and operating expenses for the years ending March 31, are as follows:


2015	$	425
2016		79
2017		4,023
2018		561
2019		25


Total	$	5,113

- Definition

The entire disclosure for the aggregate amount of goodwill and a description of intangible assets, which may include (a) for amortizable intangible assets (also referred to as finite-lived intangible assets), the carrying amount, the amount of any significant residual value, and the weighted-average amortization period, (b) for intangible assets not subject to amortization (also referred to as indefinite-lived intangible assets), the carrying amount, and (c) the amount of research and development assets acquired and written off in the period, including the line item in the income statement in which the amounts written off are aggregated, if not readily apparent from the income statement. Also discloses (a) for amortizable intangibles assets in total and by major class, the gross carrying amount and accumulated amortization, the total amortization expense for the period, and the estimated aggregate amortization expense for each of the five succeeding fiscal years, (b) for intangible assets not subject to amortization the carrying amount in total and by major class, and (c) for goodwill, in total and for each reportable segment, the changes in the carrying amount of goodwill during the period (including the aggregate amount of goodwill acquired, the aggregate amount of impairment losses recognized, and the amount of goodwill included in the gain (loss) on disposal of a reporting unit). If any part of goodwill has not been allocated to a reportable segment, discloses the unallocated amount and the reasons for not allocating. For each impairment loss recognized related to an intangible asset (excluding goodwill), discloses: (a) a description of the impaired intangible asset and the facts and circumstances leading to the impairment, (b) the amount of the impairment loss and the method for determining fair value, (c) the caption in the income statement or the statement of activities in which the impairment loss is aggregated, and (d) the segment in which the impaired intangible asset is reported. For each goodwill impairment loss recognized, discloses: (a) a description of the facts and circumstances leading to the impairment, (b) the amount of the impairment loss and the method of determining the fair value of the associated reporting unit, and (c) if a recognized impairment loss is an estimate not finalized and the reasons why the estimate is not final. May also disclose the nature and amount of any significant adjustments made to a previous estimate of an impairment loss.

+ References + Details

ACCRUED EXPENSES AND OTHER CURRENT LIABILITIES

12 Months Ended

Mar. 31, 2014

ACCRUED EXPENSES AND OTHER CURRENT LIABILITIES

ACCRUED EXPENSES AND OTHER CURRENT LIABILITIES

9. ACCRUED EXPENSES AND OTHER CURRENT LIABILITIES

Accrued expenses and other current liabilities consisted of:

	March 31,

	2014		2013
Software development royalties	$	258,129		64,840
Compensation and benefits		44,255		33,564
Licenses		16,917		12,268
Marketing and promotions		16,552		21,601
Income tax payable and deferred tax liability		15,362		53,261
Professional fees		8,781		7,733
Rent and deferred rent obligations		8,111		8,456
Sales tax liability		6,592		3,950
Deferred consideration for acquisitions		1,498		2,498
Other		20,420		20,745


Accrued expenses and other current liabilities	$	396,617	$	228,916

LONG-TERM DEBT

12 Months Ended

Mar. 31, 2014

LONG-TERM DEBT

LONG-TERM DEBT

10. LONG-TERM DEBT

Credit Agreement

In October 2011, we entered into a Second Amended and Restated Credit Agreement (the "Credit Agreement") which amended and restated our July 2007 Credit Agreement. The Credit Agreement provides for borrowings of up to $100,000 which may be increased by up to $40,000 pursuant to the terms of the Credit Agreement, and is secured by substantially all of our assets and the equity of our subsidiaries. The Credit Agreement expires on October 17, 2016. Revolving loans under the Credit Agreement bear interest at our election of (a) 1.50% to 2.00% above a certain base rate (4.75% at March 31, 2014), or (b) 2.50% to 3.00% above the LIBOR Rate (approximately 2.65% at March 31, 2014), with the margin rate subject to the achievement of certain average liquidity levels. We are also required to pay a monthly fee on the unused available balance, ranging from 0.375% to 0.50% based on availability. We had no outstanding borrowings at March 31, 2014 and 2013.

Availability under the Credit Agreement is restricted by our United States and United Kingdom based accounts receivable and inventory balances. The Credit Agreement also allows for the issuance of letters of credit in an aggregate amount of up to $25,000.

Information related to availability on our Credit Agreement is as follows:

	March 31, 2014		March 31, 2013

Available borrowings	$	63,630	$	73,565
Outstanding letters of credit		1,664		1,664

We recorded interest expense and fees related to the Credit Agreement of $637, $638 and $1,248 for the fiscal years ended March 31, 2014, 2013 and 2012, respectively.

The Credit Agreement contains covenants that substantially limit us and our subsidiaries' ability to: create, incur, assume or be liable for indebtedness; dispose of assets outside the ordinary course of business; acquire, merge or consolidate with or into another person or entity; create, incur or allow any lien on any of their respective properties; make investments; or pay dividends or make distributions (each subject to certain limitations); or optionally prepay any indebtedness (subject to certain exceptions, including an exception permitting the redemption of the Company's Convertible Notes (as defined herein) upon the meeting of certain minimum liquidity requirements). In addition, the Credit Agreement provides for certain events of default such as nonpayment of principal and interest, breaches of representations and warranties, noncompliance with covenants, acts of insolvency, default on indebtedness held by third-parties and default on certain material contracts (subject to certain limitations and cure periods). The Credit Agreement also contains a requirement that we maintain an interest coverage ratio of more than one to one for the trailing twelve month period, if certain average liquidity levels fall below $30,000. As of March 31, 2014, we were in compliance with all covenants and requirements outlined in the Credit Agreement.

4.375% Convertible Notes Due 2014

In June 2009, we issued $138,000 aggregate principal amount of 4.375% Convertible Notes due 2014 (the "4.375% Convertible Notes"). The issuance of the 4.375% Convertible Notes included $18,000 related to the exercise of an over-allotment option by the underwriters. Interest on the 4.375% Convertible Notes was paid semi-annually in arrears on June 1^st and December 1^st of each year, and commenced on December 1, 2009. The 4.375% Convertible Notes were scheduled to mature on June 1, 2014, unless earlier redeemed or repurchased by the Company or converted. As further described below, on June 12, 2013, we issued a notice of redemption calling all of our outstanding 4.375% Convertible Notes for redemption on August 29, 2013.

The 4.375% Convertible Notes were convertible at an initial conversion rate of 93.6768 shares of our common stock per $1 principal amount of 4.375% Convertible Notes (representing an initial conversion price of approximately $10.675 per share of common stock for a total of approximately 12,927,000 underlying conversion shares) subject to adjustment in certain circumstances. Holders could have converted the 4.375% Convertible Notes at their option prior to the close of business on the business day immediately preceding December 1, 2013 only if certain conditions were met. Upon conversion, the 4.375% Convertible Notes could have been settled, at our election, in cash, shares of our common stock, or a combination of cash and shares of the Company's common stock.

We recorded approximately $3,410 of banking, legal and accounting fees related to the issuance of the 4.375% Convertible Notes which were capitalized as debt issuance costs and were being amortized to interest and other, net over the term of the 4.375% Convertible Notes.

At any time on or after June 5, 2012, the Company could have redeemed all of the outstanding 4.375% Convertible Notes for cash, but only if the last reported sale of our common stock for 20 or more trading days in a period of 30 consecutive trading days ending on the trading day prior to the date we provided notice of redemption to holders of the 4.375% Convertible Notes exceeded 150% of the conversion price in effect on each such trading day. This condition was met on June 12, 2013. The redemption price equaled 100% of the principal amount of the 4.375% Convertible Notes to be redeemed, plus all accrued and unpaid interest (including additional interest, if any) to, but excluding, the redemption date.

On June 12, 2013, we issued a notice of redemption calling all of our outstanding 4.375% Convertible Notes, in the aggregate principal amount of $138,000, for redemption on August 29, 2013 at a redemption price of $1 per $1 principal amount, plus accrued and unpaid interest up to, but not including, the redemption date (the period from June 12, 2013 to August 29, 2013 is the "Notice Period"). Holders who elected to convert during the Notice Period were entitled to make-whole shares in addition to such shares they would otherwise be entitled to receive upon conversion. The notice of redemption specified that we would settle any 4.375% Convertible Notes surrendered for conversion in connection with the redemption on a combination settlement basis by paying cash up to a cash amount equal to $166,000 in the aggregate of converted notes and delivering shares of our common stock in respect of the amount, if any, by which our conversion obligation exceeded such cash amount. During the Notice Period, $137,993 of 4.375% Convertible Notes were converted for $165,992 in cash and 3,217,000 shares of our common stock. On August 29, 2013, we paid $7 in cash and we redeemed $7 of 4.375% Convertible Notes. During the fiscal year ended March 31, 2014, we recorded a loss on extinguishment, net of capitalized debt issuance costs, totaling $9,014 related to these transactions.

In connection with the offering of the 4.375% Convertible Notes, we entered into convertible note hedge transactions which were expected to reduce the potential dilution to our common stock upon conversion of the 4.375% Convertible Notes. The transactions included options to purchase approximately 12,927,000 shares of common stock at $10.675 per share, expiring on June 1, 2014, for a total cost of approximately $43,600, which was charged to additional paid-in capital.

Separately, the Company entered into warrant transactions with a strike price of $14.945 per share. The warrants covered approximately 12,927,000 shares of the Company's common stock and were scheduled to expire on August 30, 2014, for total proceeds of approximately $26,300, which was credited to additional paid-in capital.

On June 12, 2013, the Company entered into Unwind Agreements with respect to the convertible note hedge transactions and Unwind Agreements with respect to the warrant transactions with each of the hedge counterparties (collectively, the "Unwind Agreements"). Pursuant to the terms of the Unwind Agreements, and in connection with the Company's issuance of a notice of redemption for all the 4.375% Convertible Notes, the Company had the right to deliver a notice to the hedge counterparties, prior to the redemption date set forth in such redemption notice, designating an early termination date for the convertible note hedge transactions and warrant transactions. The hedge counterparties owed a cash payment to the Company as a result of the early termination of the convertible note hedge transactions that was calculated based on its current fair market value. The Company owed a cash payment to the warrant holders, as applicable, as a result of the early termination of the warrant transactions that was calculated based on its current fair market value. As a result of the Unwind Agreements, the convertible note hedge transactions and warrant transactions were accounted for as derivatives whereby the fair values of these transactions were reported as a convertible note hedge receivable and as a convertible note warrant liability with an offsetting impact to additional paid-in capital. Gains and losses on the derivatives resulting from their unwinding were reported in gain on convertible note hedge and warrants, net, in our Consolidated Statements of Operations. In August 2013, the payment received from unwinding the associated convertible note hedge transactions resulted in proceeds to us of $84,429, offset by $55,651 we paid the warrant holders.

During the fiscal year ended March 31, 2014, we recorded a gain of approximately $17,259 resulting from the unwinding of our convertible note hedge transactions and a loss of approximately $13,798 resulting from the unwinding of our convertible note warrant transactions to gain on convertible note hedge and warrants, net, in our Consolidated Statements of Operations.

The following table provides additional information related to our 4.375% Convertible Notes:

	March 31, 2013

Additional paid-in capital	$	42,018


Principal amount of 4.375% Convertible Notes	$	138,000
Unamortized discount of the liability component		12,819


Net carrying amount of 4.375% Convertible Notes	$	125,181


Carrying amount of debt issuance costs	$	797

The following table provides the components of interest expense related to our 4.375% Convertible Notes:

	Fiscal Year Ended March 31,

	2014		2013		2012
Cash interest expense (coupon interest expense)	$	2,516	$	6,038	$	6,038
Non-cash amortization of discount on 4.375% Convertible Notes		4,358		9,550	$	8,392
Amortization of debt issuance costs		284		682	$	682


Total interest expense related to 4.375% Convertible Notes	$	7,158	$	16,270	$	15,112

1.75% Convertible Notes Due 2016

On November 16, 2011, we issued $250,000 aggregate principal amount of 1.75% Convertible Notes due 2016 (the "1.75% Convertible Notes"). The issuance of the 1.75% Convertible Notes included $30,000 related to the exercise of an over-allotment option by the underwriters. Interest on the 1.75% Convertible Notes is payable semi-annually in arrears on June 1^st and December 1^st of each year, commencing on June 1, 2012. The 1.75% Convertible Notes mature on December 1, 2016, unless earlier repurchased by the Company or converted. The Company does not have the right to redeem the 1.75% Convertible Notes prior to maturity.

The 1.75% Convertible Notes are convertible at an initial conversion rate of 52.3745 shares of our common stock per $1 principal amount of 1.75% Convertible Notes (representing an initial conversion price of approximately $19.093 per share of common stock for a total of approximately 13,094,000 underlying conversion shares) subject to adjustment in certain circumstances. Holders may convert the 1.75% Convertible Notes at their option prior to the close of business on the business day immediately preceding June 1, 2016 only under the following circumstances: (1) during any fiscal quarter commencing after March 31, 2012, if the last reported sale price of the common stock for at least 20 trading days (whether or not consecutive) during a period of 30 consecutive trading days ending on the last trading day of the preceding fiscal quarter is greater than or equal to 130% of the applicable conversion price on each applicable trading day; (2) during the five business day period after any 10 consecutive trading day period (the "measurement period") in which the trading price per $1 principal amount of 1.75% Convertible Notes for each day of that measurement period was less than 98% of the product of the last reported sale price of our common stock and the applicable conversion rate on each such day; or (3) upon the occurrence of specified corporate events. On and after June 1, 2016 until the close of business on the business day immediately preceding the maturity date, holders may convert their 1.75% Convertible Notes at any time, regardless of the foregoing circumstances. Upon conversion, the 1.75% Convertible Notes may be settled, at our election, in cash, shares of our common stock, or a combination of cash and shares of the Company's common stock.

Upon the occurrence of certain fundamental changes involving the Company, holders of the 1.75% Convertible Notes may require us to purchase all or a portion of their 1.75% Convertible Notes for cash at a price equal to 100% of the principal amount of the notes to be purchased, plus accrued and unpaid interest (including additional interest, if any) to, but excluding, the fundamental change purchase date.

The indenture governing the 1.75% Convertible Notes contains customary terms and covenants and events of default. If an event of default (as defined therein) occurs and is continuing, the Trustee by notice to the Company, or the holders of at least 25% in aggregate principal amount of the 1.75% Convertible Notes then outstanding by notice to the Company and the Trustee, may, and the Trustee at the request of such holders shall, declare 100% of the principal of and accrued and unpaid interest (including additional interest, if any) on all the 1.75% Convertible Notes to be due and payable. In the case of an event of default arising out of certain bankruptcy events, 100% of the principal of and accrued and unpaid interest (including additional interest, if any), on the 1.75% Convertible Notes will automatically become due and payable immediately. As of March 31, 2014, we were in compliance with all covenants and requirements outlined in the indenture governing the 1.75% Convertible Notes.

The 1.75% Convertible Notes are senior unsecured obligations and rank senior in right of payment to our existing and future indebtedness that is expressly subordinated in right of payment to the 1.75% Convertible Notes; equal in right of payment to our existing and future indebtedness that is not so subordinated; effectively junior in right of payment to any of our secured indebtedness to the extent of the value of the assets securing such indebtedness; and structurally junior to all existing and future indebtedness incurred by our subsidiaries.

In accounting for the $6,875 of banking, legal and accounting fees related to the issuance of the 1.75% Convertible Notes, we allocated $5,428 to the liability component and $1,447 to the equity component. Debt issuance costs attributable to the liability component are being amortized to interest and other, net over the term of the 1.75% Convertible Notes, and issuance costs attributable to the equity component were netted with the equity component in additional paid-in capital.

The following table provides additional information related to our 1.75% Convertible Notes:

	March 31, 2014		March 31, 2013

Additional paid-in capital	$	51,180	$	51,180


Principal amount of 1.75% Convertible Notes	$	250,000	$	250,000
Unamortized discount of the liability component		30,025		39,979


Net carrying amount of 1.75% Convertible Notes	$	219,975	$	210,021


Carrying amount of debt issuance costs	$	2,716	$	3,821

The following table provides the components of interest expense related to our 1.75% Convertible Notes:

	Fiscal Year Ended March 31,

	2014		2013		2012
Cash interest expense (coupon interest expense)	$	4,375	$	4,375	$	1,641
Non-cash amortization of discount on 1.75% Convertible Notes		9,954	$	9,312	$	3,336
Amortization of debt issuance costs		1,105	$	1,158	$	449


Total interest expense related to 1.75% Convertible Notes	$	15,434	$	14,845	$	5,426

1.00% Convertible Notes Due 2018

On June 18, 2013, we issued $250,000 aggregate principal amount of 1.00% Convertible Notes due 2018 (the "1.00% Convertible Notes" and together with the 4.375% Convertible Notes and the 1.75% Convertible Notes, the "Convertible Notes"). The 1.00% Convertible Notes were issued at 98.5% of par value for proceeds of $246,250. Interest on the 1.00% Convertible Notes is payable semi-annually in arrears on July 1^st and January 1^st of each year, commencing on January 1, 2014. The 1.00% Convertible Notes mature on July 1, 2018, unless earlier repurchased by the Company or converted. The Company does not have the right to redeem the 1.00% Convertible Notes prior to maturity. The Company also granted the underwriters a 30-day option to purchase up to an additional $37,500 principal amount of 1.00% Convertible Notes to cover overallotments, if any. On July 17, 2013, the Company closed its public offering of $37,500 principal amount of the Company's 1.00% Convertible Notes as a result of the underwriters exercising their overallotment option in full on July 12, 2013, bringing the total proceeds to $283,188.

The 1.00% Convertible Notes are convertible at an initial conversion rate of 46.4727 shares of our common stock per $1 principal amount of 1.00% Convertible Notes (representing an initial conversion price of approximately $21.52 per share of common stock for a total of approximately 13,361,000 underlying conversion shares) subject to adjustment in certain circumstances. Holders may convert the 1.00% Convertible Notes at their option prior to the close of business on the business day immediately preceding January 1, 2018 only under the following circumstances: (1) during any fiscal quarter commencing after September 30, 2013, if the last reported sale price of the common stock for at least 20 trading days (whether or not consecutive) during a period of 30 consecutive trading days ending on the last trading day of the preceding fiscal quarter is greater than or equal to 130% of the applicable conversion price on each applicable trading day; (2) during the five business day period after any 10 consecutive trading day period (the "measurement period") in which the trading price per $1 principal amount of 1.00% Convertible Notes for each day of that measurement period was less than 98% of the product of the last reported sale price of our common stock and the applicable conversion rate on each such day; or (3) upon the occurrence of specified corporate events. On and after January 1, 2018 until the close of business on the business day immediately preceding the maturity date, holders may convert their 1.00% Convertible Notes at any time, regardless of the foregoing circumstances. Upon conversion, the 1.00% Convertible Notes may be settled, at our election, in cash, shares of our common stock, or a combination of cash and shares of the Company's common stock.

Upon the occurrence of certain fundamental changes involving the Company, holders of the 1.00% Convertible Notes may require us to purchase all or a portion of their 1.00% Convertible Notes for cash at a price equal to 100% of the principal amount of the notes to be purchased, plus accrued and unpaid interest (including additional interest, if any) to, but excluding, the fundamental change purchase date.

The indenture governing the 1.00% Convertible Notes contains customary terms and covenants and events of default. If an event of default (as defined therein) occurs and is continuing, the Trustee by notice to the Company, or the holders of at least 25% in aggregate principal amount of the 1.00% Convertible Notes then outstanding by notice to the Company and the Trustee, may, and the Trustee at the request of such holders shall, declare 100% of the principal of and accrued and unpaid interest (including additional interest, if any) on all the 1.00% Convertible Notes to be due and payable. In the case of an event of default arising out of certain bankruptcy events, 100% of the principal of and accrued and unpaid interest (including additional interest, if any), on the 1.00% Convertible Notes will automatically become due and payable immediately. As of March 31, 2014, we were in compliance with all covenants and requirements outlined in the indenture governing the 1.00% Convertible Notes.

The 1.00% Convertible Notes are senior unsecured obligations and rank senior in right of payment to our existing and future indebtedness that is expressly subordinated in right of payment to the 1.00% Convertible Notes; equal in right of payment to our existing and future indebtedness that is not so subordinated; effectively junior in right of payment to any of our secured indebtedness to the extent of the value of the assets securing such indebtedness; and structurally junior to all existing and future indebtedness incurred by our subsidiaries.

We separately account for the liability and equity components of the 1.00% Convertible Notes in a manner that reflects the Company's nonconvertible debt borrowing rate. We estimated the fair value of the 1.00% Convertible Notes to be $225,567 upon issuance of our 1.00% Convertible Notes, assuming a 6.15% non-convertible borrowing rate. The carrying amount of the equity component was determined to be approximately $57,621 by deducting the fair value of the liability component from the net proceeds of the 1.00% Convertible Notes. The excess of the principal amount of the liability component over its carrying amount is amortized to interest and other, net over the term of the 1.00% Convertible Notes using the effective interest method. The equity component is not remeasured as long as it continues to meet the conditions for equity classification. In accounting for the $2,815 of banking, legal and accounting fees related to the issuance of the 1.00% Convertible Notes, we allocated $2,209 to the liability component and $606 to the equity component. Debt issuance costs attributable to the liability component are being amortized to interest and other, net over the term of the 1.00% Convertible Notes, and issuance costs attributable to the equity component were netted with the equity component in additional paid-in capital.

The following table provides additional information related to our 1.00% Convertible Notes:

	March 31, 2014

Additional paid-in capital	$	35,784


Principal amount of 1.00% Convertible Notes	$	287,500
Unamortized discount of the liability component		53,444


Net carrying amount of 1.00% Convertible Notes	$	234,056


Carrying amount of debt issuance costs	$	1,831

The following table provides the components of interest expense related to our 1.00% Convertible Notes:

	Fiscal Year Ended March 31, 2014

Cash interest expense (coupon interest expense)	$	2,259
Non-cash amortization of discount on 1.00% Convertible Notes		8,489
Amortization of debt issuance costs		378


Total interest expense related to 1.00% Convertible Notes	$	11,126

COMMITMENTS AND CONTINGENCIES

12 Months Ended

Mar. 31, 2014

COMMITMENTS AND CONTINGENCIES.

COMMITMENTS AND CONTINGENCIES

11. COMMITMENTS AND CONTINGENCIES

A summary of annual minimum contractual obligations and commitments as of March 31, 2014 is as follows:

Fiscal Year Ending March 31,	Licensing and Marketing		Software Development		Operating Leases		Purchase Obligations		Convertible Notes Interest		Convertible Notes		Total

2015	$	36,830	$	82,113	$	22,180	$	9,890	$	8,688	$	—	$	159,701
2016		20,096		12,210		18,723		4,238		7,250		—		62,517
2017		38,632		9,345		16,315		639		7,250		250,000		322,181
2018		14,632		—		14,440		—		2,875		—		31,947
2019		11,920		—		15,119		—		1,438		287,500		315,977
Thereafter		—		—		43,986		—		—		—		43,986


Total	$	122,110	$	103,668	$	130,763	$	14,767	$	27,501	$	537,500	$	936,309

Licensing and Marketing Agreements: Our licensing commitments primarily consist of obligations to holders of intellectual property rights for use of their trademarks, copyrights, technology or other intellectual property rights in the development of our products. In addition, we have certain minimum marketing support commitments where we commit to spend specified amounts related to marketing our products. Licensing and marketing commitments expire at various times through September 2018 and primarily reflect our agreements with major sports leagues and players' associations.

Software Development Agreements: We make payments to third-party software developers that include contractual payments to developers under several software development agreements that expire at various times through September 2016. Our aggregate outstanding software development commitments assume satisfactory performance by third-party software developers.

Lease Commitments: Our offices are occupied under non-cancelable operating leases expiring at various times through fiscal year 2025. We also lease certain furniture, equipment and automobiles under non-cancelable leases expiring through fiscal year 2020. Some of the leases have fixed rent increases and also include inducements to enter into the lease. The effect of such amounts are deferred and recognized on a straight-line basis over the related lease term. Included in the cash commitments for operating leases above is a lease assumption without economic benefit related to our discontinued operations. See Note 2 to our Consolidated Financial Statements for additional information regarding discontinued operations. Rent expense amounted to $15,574, $15,107 and $16,018 for the fiscal years ended March 31, 2014, 2013 and 2012, respectively.

Purchase obligations: These obligations are primarily related to agreements to purchase services that are enforceable and legally binding on the Company that specifies all significant terms, including fixed, minimum or variable pricing provisions; and the approximate timing of the transactions, expiring at various times through August 2016.

Contingent Consideration: Part of our business acquisition strategy has been to make a portion of the purchase price of certain acquisitions dependent on product delivery or future product sales. The amounts and timing of these payments are currently not fixed or determinable. Our acquisition of 2K Czech a.s., formerly known as Illusion Softworks, a.s, in December 2007, had contingent payments in cash and stock based on future product sales of up to $10,000, of which $8,601 was paid as of March 31, 2014. Under the terms of our acquisition of the assets of Rockstar New England, Inc., formerly known as Mad Doc Software LLC, in March 2008 up to $15,000 payable in cash or stock, based on meeting certain employment provisions and future product sales, of which $2,650 was paid as of March 31, 2014. During the fiscal years ended March 31, 2014 and 2012, we paid contingent consideration of $1,000 and $4,101, respectively, for our prior acquisitions. During the fiscal years ended March 31, 2013 and 2012, we paid $400 and $2,000 by issuing 30,726 and 128,439 shares, respectively, of our unregistered common stock as contingent consideration for our prior year acquisitions.

Employee Savings Plans: For our United States employees we maintain a 401(k) retirement savings plan and trust. Our 401(k) plan is offered to all eligible employees and participants may make voluntary contributions. We also have various pension plans for our non-U.S. employees, some of which are required by local laws, and allow or require Company contributions. Employer contributions under all defined contribution and pension plans during the fiscal years ended March 31, 2014, 2013 and 2012 were $7,476, $6,089 and $5,570, respectively.

Income Taxes: At March 31, 2014, the Company had recorded a liability for gross unrecognized tax benefits of $24,880 for which we are unable to make a reasonable and reliable estimate of the period in which these liabilities will be settled with the respective tax authorities, therefore, these liabilities have not been included in the contractual obligations table.

Legal and Other Proceedings: We are, or may become, subject to demands and claims (including intellectual property claims) and are involved in routine litigation in the ordinary course of business which we do not believe to be material to our business or financial statements. We have appropriately accrued amounts related to certain of these claims and legal and other proceedings. While it is reasonably possible that a loss may be incurred in excess of the amounts accrued in our financial statements, we believe that such losses, unless otherwise disclosed, would not be material.

INCOME TAXES

12 Months Ended

Mar. 31, 2014

INCOME TAXES

INCOME TAXES

12. INCOME TAXES

Components of income (loss) before income taxes are as follows:

	Fiscal Year Ended March 31,

	2014		2013			2012
Domestic	$	197,992	$	16,924		$	(62,655	)
Foreign		178,158		(43,036	)		(41,182	)


Income (loss) from continuing operations before income taxes	$	376,150	$	(26,112	)	$	(103,837	)

Provision for current and deferred income taxes consists of the following:

	Fiscal Year Ended March 31,

	2014			2013			2012
Current:
U.S. federal	$	16,340		$	3,705		$	(729	)
U.S. state and local		4,527			456			(55	)
Foreign		12,628			1,730			2,769


Total current income taxes		33,495			5,891			1,985
Deferred:
U.S. federal		(14,216	)		(1,821	)		1,712
U.S. state and local		(3,462	)		134			126
Foreign		(1,358	)		846			40


Total deferred income taxes		(19,036	)		(841	)		1,878


Provision for income taxes	$	14,459		$	5,050		$	3,863

A reconciliation of our effective tax rate to the U.S. statutory federal income tax rate is as follows:

	Fiscal Year Ended March 31,

	2014			2013			2012
U.S. federal statutory rate		35.0	%		(35.0	)%		(35.0	)%
Foreign tax rate differential		(10.4	)%		41.5	%		10.6	%
Tax amortization of goodwill		0.5	%		7.7	%		1.8	%
Foreign earnings		1.6	%		4.0	%		(2.3	)%
State and local taxes, net of U.S. federal benefit		0.3	%		2.3	%		0.0	%
Valuation allowance—domestic		(19.8	)%		(28.4	)%		20.5	%
Valuation allowance—foreign		(5.1	)%		22.2	%		5.0	%
Other		1.7	%		5.0	%		3.1	%


Effective tax rate		3.8	%		19.3	%		3.7	%

The effects of temporary differences that gave rise to our deferred tax assets and liabilities were as follows:

	March 31,

	2014			2013
Deferred tax assets:
Current deferred tax assets:
Sales returns and allowances (including bad debt)	$	8,757		$	7,823
Inventory reserves		1,120			1,054
Deferred rent		3,364			4,017
Deferred revenue		15,157			6,790
Bonus		20,586			2,159
Equity compensation		17,232			17,605
Other		6,545			(2,001	)


Total current deferred tax assets		72,761			37,447
Less: Valuation allowance		(26,689	)		(20,858	)


Net current deferred tax assets		46,072			16,589
Noncurrent deferred tax assets:
Equity compensation		2,552			2,598
Domestic net operating loss carryforward		3,645			142,385
Tax credit carryforward		17,368			8,724
Foreign net operating loss carryforwards		8,083			29,682


Total noncurrent deferred tax assets		31,648			183,389
Less: Valuation allowance		(14,085	)		(112,054	)


Net noncurrent deferred tax assets		17,563			71,335
Deferred tax liabilities:
Current deferred tax liabilities:
Capitalized software and depreciation		(25,806	)		(65,808	)


Total current deferred tax liabilities		(25,806	)		(65,808	)


Net current deferred tax asset (liability)	$	20,266		$	(49,219	)




Noncurrent deferred tax liabilities:
Convertible debt		(29,222	)		(19,471	)
Intangible amortization		(4,408	)		(2,703	)
Capitalized software and depreciation		(6,983	)		(3,940	)


Total noncurrent deferred tax liabilities		(40,613	)		(26,114	)


Net noncurrent deferred tax (liability) asset	$	(23,050	)	$	45,221

The valuation allowance is primarily attributable to deferred tax assets for which no benefit is provided due to uncertainty with respect to their realization. The net deferred tax liability is primarily the result of deferred tax liabilities related to indefinite lived intangibles, which cannot be used to offset deferred tax assets.

At March 31, 2014, we had domestic net operating loss carryforwards totaling $9,788, which will begin to expire in 2015. In addition, we had foreign net operating loss carryforwards of $63,280, of which $4,607 will begin to expire in 2015, $45,248 will expire in 2020, and the remainder may be carried forward indefinitely.

The total amount of undistributed earnings of foreign subsidiaries was approximately $315,700 at March 31, 2014 and $104,100 at March 31, 2013. It is our intention to reinvest undistributed earnings of our foreign subsidiaries and thereby indefinitely postpone their remittance. Accordingly, no provision has been made for foreign withholding taxes or U.S. income taxes which may become payable if undistributed earnings of foreign subsidiaries are repatriated. It is not practicable to estimate the tax liability that would arise if these earnings were remitted.

We are regularly audited by domestic and foreign taxing authorities. Audits may result in tax assessments in excess of amounts claimed and the payment of additional taxes. We believe that our tax return positions comply with applicable tax law and that we have adequately provided for reasonably foreseeable assessments of additional taxes. Additionally, we believe that any assessments in excess of the amounts provided for will not have a material adverse effect on the Consolidated Financial Statements.

As of March 31, 2014 and 2013, we had gross unrecognized tax benefits, including interest and penalties, of $24,880 and $21,712, respectively, of which $24,880 and 14,302, respectively, would affect our effective tax rate if realized.

The aggregate changes to the liability for gross uncertain tax positions, excluding interest and penalties, were as follows:

	Fiscal Year Ended March 31,

	2014			2013			2012
Balance, beginning of period	$	20,400		$	20,328		$	13,352
Additions:
Current year tax positions		5,069			73			1,741
Prior year tax positions		2,008			2,812			5,805
Reduction of prior year tax positions		(3,219	)		(2,605	)		—
Lapse of statute of limitations		(667	)		(81	)		(750	)
Other, net		(55	)		(127	)		180


Balance, end of period	$	23,536		$	20,400		$	20,328

We recognize interest and penalties related to uncertain tax positions in the provision for income taxes in our Consolidated Statements of Operations. For the fiscal years ended March 31, 2014 and 2012, we recognized an increase in interest and penalties of approximately $32 and $339, respectively. For the fiscal year ended March 31, 2013, we recognized a decrease in interest and penalties of approximately $766. The gross amount of interest and penalties accrued as of March 31, 2014 and 2013 was approximately $1,344 and $1,312, respectively.

We are generally no longer subject to audit for U.S. federal income tax returns for periods prior to our fiscal year ended October 31, 2010 and state income tax returns for periods prior to the fiscal year ended October 31, 2007. With few exceptions, we are no longer subject to income tax examinations in non-U.S. jurisdictions for years prior to our fiscal year ended October 31, 2010. U.S. federal taxing authorities have completed examinations of our income tax returns through the fiscal years ended October 31, 2009. Certain U.S. state taxing authorities are currently examining our income tax returns for fiscal years ending October 31, 2004 through October 31, 2010. The determination as to further adjustments to our gross unrecognized tax benefits during the next 12 months is not practicable.

We believe that we have provided for any reasonably foreseeable outcomes related to our tax audits and that any settlement will not have a material adverse effect on our consolidated financial statements. However, there can be no assurances as to the possible outcomes.

STOCK-BASED COMPENSATION

12 Months Ended

Mar. 31, 2014

STOCK-BASED COMPENSATION

STOCK-BASED COMPENSATION

13. STOCK-BASED COMPENSATION

Our stock-based compensation plans are broad-based, long-term retention programs intended to attract and retain talented employees and align stockholder and employee interests. For similar reasons, we also granted non-employee equity awards, which are subject to variable accounting, to ZelnickMedia in connection with their contract to provide executive management services to us. We issue shares to employees on the date the restricted stock awards are granted and therefore shares granted have voting rights, participate in dividends and are considered issued and outstanding.

In April 2009, our stockholders approved our 2009 Stock Incentive Plan (the "2009 Plan"). The aggregate number of shares issuable under this plan was 6,409,000, representing 4,900,000 new shares available for grant approved by our stockholders and 1,509,000 shares allocated from the Incentive Stock Plan and 2002 Stock Option Plan. Our stockholders have further approved amendments to the 2009 Plan to increase the available shares for issuance by 2,750,000 in April 2010, by 5,000,000 in September 2011, by 2,800,000 in September 2012, and by 5,250,000 in September 2013. The 2009 Plan is administered by the Compensation Committee of the Board of Directors and allows for awards of restricted stock, deferred stock and other stock-based awards of our common stock to employees and non-employees. As of March 31, 2014, there were approximately 4,694,000 shares available for issuance under the 2009 Plan.

Subject to the provisions of the plans, the Board of Directors or any Committee appointed by the Board of Directors, has the authority to determine the individuals to whom the equity awards are to be granted, the number of shares to be covered by each equity award, the vesting period, restrictions, if any, on the equity award, the terms and conditions of the equity award.

The following table summarizes stock-based compensation expense included in our Consolidated Statements of Operations:

	Fiscal Year Ended March 31,

	2014		2013		2012
Cost of goods sold	$	30,124	$	10,060	$	5,144
Selling and marketing		10,136		5,562		5,042
General and administrative		28,991		17,824		19,963
Research and development		8,867		2,319		3,345


Stock-based compensation expense	$	78,118	$	35,765	$	33,494




Capitalized stock-based compensation expense	$	26,156	$	6,964	$	11,220

During the fiscal years ended March 31, 2014, 2013 and 2012, we recorded $16,807, $8,789 and $13,365, respectively, of stock-based compensation expense for non-employee awards, which was included in general and administrative expenses.

We capitalize and amortize stock-based compensation awards in accordance with our software development cost accounting policy.

Restricted Stock

Restricted stock awards granted to employees under our stock-based compensation plans generally vest over 3 years from the date of grant. Certain restricted stock awards granted to key officers, senior-level employees, and key employees vest based on market conditions, primarily related to the performance of the price of our common stock.

In June 2008, pursuant to the Management Agreement, we granted 600,000 shares of restricted stock to ZelnickMedia that vested annually over a three year period and 900,000 shares of market-based restricted stock that could have vested over a four year period through June 2012, provided that the Company's Total Shareholder Return (as defined in the relevant grant agreements) was at or higher than the 75^th percentile of the NASDAQ Industrial Index measured annually on a cumulative basis. Because the price of our common stock did not achieve its performance targets, the 900,000 shares of market-based restricted stock were forfeited in June 2012. For the fiscal year ended March 31, 2012, we recorded expenses of $499 of stock-based compensation (a component of general and administrative expenses) related to the shares of restricted stock granted pursuant to the Management Agreement.

In April 2011, pursuant to the 2011 Management Agreement, we granted 1,100,000 shares of restricted stock to ZelnickMedia that will vest annually through April 1, 2015 and 1,650,000 shares of market-based restricted stock that will be eligible to vest through April 1, 2015, based on the Company's Total Shareholder Return (as defined in the relevant grant agreements) relative to the Total Shareholder Return of the companies that constitute the NASDAQ Composite Index measured annually on a cumulative basis. To earn all of the shares of market-based restricted stock, the Company must perform at the 75th percentile, or top quartile, of the NASDAQ Composite Index. The unvested portion of the shares of restricted stock granted pursuant to the 2011 Management Agreement as of March 31, 2014 and 2013 was 1,894,750 and 2,169,750 shares, respectively. For the fiscal years ended March 31, 2014, 2013 and 2012, we recorded expenses of $16,807, $8,789 and $12,866 of stock-based compensation (a component of general and administrative expenses) related to the shares of restricted stock granted pursuant to the 2011 Management Agreement.

We measure the fair value of our market-based awards to employees and non-employees using the Monte Carlo Simulation method, which takes into account assumptions such as the expected volatility of our common stock, the risk-free interest rate based on the contractual term of the award, expected dividend yield, vesting schedule and the probability that the market conditions of the award will be achieved. The estimated value of market-based restricted stock awards granted to employees during the fiscal years ended March 31, 2014, 2013 and 2012 was $15.73, $9.36 and $16.29 per share, respectively.

Each reporting period, we remeasure the fair value of the unvested portion of the market-based restricted stock awards granted to ZelnickMedia. For the fiscal years ended March 31, 2014, 2013 and 2012, the estimated value of the awards granted to ZelnickMedia during the fiscal year ended March 31, 2012 was $11.83, $7.65 and $12.10 per share, respectively. For the fiscal year ended March 31, 2012, the estimated value of the awards granted to ZelnickMedia during the fiscal year ended October 31, 2008 was $0.02 per share.

The following table summarizes the weighted-average assumptions used in the Monte Carlo Simulation method:

	Fiscal Year Ended March 31,

	2014						2013						2012
	Employee Market-Based			Non-Employee Market-Based			Employee Market-Based			Non-Employee Market-Based			Employee Market-Based			Non-Employee Market-Based
Risk-free interest rate		0.6	%		0.2	%		0.6	%		0.3	%		0.4	%		0.4	%
Expected stock price volatility		39.1	%		36.5	%		49.3	%		40.0	%		58.2	%		46.3	%
Expected service period (years)		2.0			3.4			2.8			3.3			2.0			3.1
Dividends		None			None			None			None			None			None

The following table summarizes the activity in non-vested restricted stock awards to employees and ZelnickMedia under our stock-based compensation plans:

			Weighted Average Fair Value on Grant Date

Non-vested restricted stock at March 31, 2013	7,357		$	11.33
Granted	8,035			16.87
Vested	(3,863	)		14.18
Forfeited	(374	)		12.42


Non-vested restricted stock at March 31, 2014	11,155		$	11.38

As of March 31, 2014, the total future unrecognized compensation cost, net of estimated forfeitures, related to outstanding unvested restricted stock awards were approximately $125,984 and will be recognized as compensation expense on a straight-line basis over the remaining vesting period, or capitalized as software development costs.

Stock Options

Pursuant to the Management Agreement, in August 2007, we issued stock options to ZelnickMedia to acquire 2,009,075 shares of our common stock at an exercise price of $14.74 per share, which vested over 36 months and expire 10 years from the date of grant. In November 2013, we entered into an amendment to the stock option agreement permitting ZelnickMedia to exercise the stock options on a "net exercise" basis. Each month, we remeasured the fair value of the unvested portion of such options and recorded compensation expense for the difference between total earned compensation at the end of the period and total earned compensation at the beginning of the period. As a result, changes in the price of our common stock affected compensation expense or benefit recognized from period to period. In a net exercise of stock options, an optionee receives the number of shares equal to the number of options being exercised less the number of shares necessary to satisfy the cost to exercise the options. A net exercise of stock options results in fewer shares being issued and no cash proceeds provided to us when the net exercise option is exercised. On February 18, 2014, ZelnickMedia exercised its 2,009,075 stock options on a net exercise basis in exchange for 557,410 shares of the Company's common stock.

The following table summarizes the activity in stock options awarded to employees and ZelnickMedia under our stock-based compensation plans and also includes non-plan options:

	Fiscal Year Ended March 31,

	2014					2013					2012
(options in thousands)	Options			Weighted Average Exercise Price		Options			Weighted Average Exercise Price		Options			Weighted Average Exercise Price
Outstanding at beginning of period		2,009		$	14.74		2,164		$	15.16		2,317		$	15.37
Exercised⁽¹⁾		(2,009	)		14.74		—			—		(22	)		10.96
Forfeited		—			—		(155	)		20.59		(131	)		19.52


Outstanding at end of period		—		$	—		2,009		$	14.74		2,164		$	15.16




Exercisable at period-end		—		$	—		2,009		$	14.74		2,164		$	15.16




Remaining weighted average contractual life of options exercisable (years)					—					4.4					5.0
Aggregate intrinsic value				$	—				$	2,833				$	1,296

(1): Includes options that were exercised through net share settlement. As a result, only 557 thousand shares were issued with no corresponding option cost in fiscal year ending March 31, 2014.

Valuation Assumptions

Generally, our assumptions are based on historical information and judgment is required to determine if historical trends could be indicators of future outcomes. For the fiscal years ended March 31, 2014, 2013 and 2012, we estimated stock price volatility of all stock-based compensation awards using a combination of historical volatility and implied volatility for publicly traded options on our common stock. In addition, stock-based compensation expense is calculated based on the number of awards that are ultimately expected to vest, and therefore are reduced for estimated forfeitures. Our estimate of expected forfeitures is based on our historical annual forfeiture rate of 5%. The estimated forfeiture rate, which is evaluated at each balance sheet date throughout the life of the award, provides a time-based adjustment of forfeited shares. The estimated forfeiture rate is reassessed at each balance sheet date and may have changed based on new facts and circumstances.

Share Repurchase Program

In January 2013, our Board of Directors authorized the repurchase of up to 7,500,000 shares of our common stock. The authorization permits the Company to purchase shares from time to time through a variety of methods, including in the open market or through privately negotiated transactions, in accordance with applicable securities laws. It does not obligate the Company to make any purchases at any specific time or situation. Repurchases are subject to the availability of stock, prevailing market conditions, the trading price of the stock, the Company's financial performance and other conditions. The program may be suspended or discontinued at any time for any reason. During the fiscal year ended March 31, 2014, the Company repurchased approximately 4,217,000 shares of our common stock in the open market for approximately $73,325, including commissions of $42, as part of the program. As of March 31, 2014, up to approximately 3,283,000 shares of our common stock remain available for repurchase under the Company's share repurchase authorization.

Repurchase from Icahn Group

In November 2013, the Company entered into a Purchase Agreement with High River Limited Partnership, Icahn Partners LP, Icahn Partners Master Fund LP, Icahn Partners Master Fund II LP and Icahn Partners Master Fund III LP (collectively, the "Icahn Group"), pursuant to which the Company repurchased approximately 12,021,000 shares of the Company's common stock owned by the Icahn Group, at a price per share of $16.93, resulting in an aggregate purchase price of approximately $203,511 (the "Repurchase Transaction"). The closing of the Repurchase Transaction occurred on November 26, 2013. The Repurchase Transaction was conducted outside the Company's share repurchase program described above.

All of the repurchased shares described in this note have been classified as treasury stock in our Consolidated Balance Sheets.

SEGMENT AND GEOGRAPHIC INFORMATION

12 Months Ended

Mar. 31, 2014

SEGMENT AND GEOGRAPHIC INFORMATION

SEGMENT AND GEOGRAPHIC INFORMATION

14. SEGMENT AND GEOGRAPHIC INFORMATION

We operate in one reportable segment in which we are a publisher of interactive software games designed for console systems, handheld gaming systems and personal computers, including smart phones and tablets, and are delivered through physical retail, digital download, online platforms and cloud streaming services. Our reporting segment is based upon our internal organizational structure, the manner in which our operations are managed and the criteria used by our Chief Executive Officer, our Chief Operating Decision Maker ("CODM") to evaluate performance. The Company's operations involve similar products and customers worldwide. We are centrally managed and the CODM primarily uses consolidated financial information supplemented by sales information by product category, major product title and platform to make operational decisions and assess financial performance. Our business consists of our Rockstar Games and 2K labels which have been aggregated into a single reportable segment (the "publishing segment") based upon their similar economic characteristics, products and distribution methods. Revenue earned from our publishing segment is primarily derived from the sale of internally developed software titles and software titles developed on our behalf by third-parties.

We attribute net revenue to geographic regions based on product destination. Net revenue by geographic region was as follows:

	Fiscal Year Ended March 31,

Net revenue by geographic region:	2014		2013		2012
United States	$	1,093,918	$	710,488	$	449,189
Europe		903,610		328,003		246,260
Canada and Latin America		178,816		88,427		61,773
Asia Pacific		174,224		87,565		68,601


Total net revenue	$	2,350,568	$	1,214,483	$	825,823

Net revenue by product platform was as follows:

	Fiscal Year Ended March 31,

Net revenue by product platform:	2014		2013		2012
Console	$	2,148,494	$	975,994	$	703,188
PC and other		192,361		216,321		87,318
Handheld		9,713		22,168		35,317


Total net revenue	$	2,350,568	$	1,214,483	$	825,823

Our products are delivered through physical retail and digital online services (digital download, online platforms and cloud streaming). Net revenue by distribution channel was as follows:

	Fiscal Year Ended March 31,

Net revenue by distribution channel:	2014		2013		2012
Physical retail and other	$	1,978,598	$	958,355	$	719,179
Digital online		371,970		256,128		106,644


Total net revenue	$	2,350,568	$	1,214,483	$	825,823

- Definition

The entire disclosure for reporting segments including data and tables. Reportable segments include those that meet any of the following quantitative thresholds a) it's reported revenue, including sales to external customers and intersegment sales or transfers is 10 percent or more of the combined revenue, internal and external, of all operating segments b) the absolute amount of its reported profit or loss is 10 percent or more of the greater, in absolute amount of 1) the combined reported profit of all operating segments that did not report a loss or 2) the combined reported loss of all operating segments that did report a loss c) its assets are 10 percent or more of the combined assets of all operating segments.

+ References

Reference 1: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 280
-SubTopic 10
-Section 50
-Paragraph 34
-URI http://asc.fasb.org/extlink&oid=6534315&loc=d3e8981-108599

Reference 2: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 280
-SubTopic 10
-Section 50
-Paragraph 41
-URI http://asc.fasb.org/extlink&oid=6534315&loc=d3e9038-108599

Reference 3: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 280
-SubTopic 10
-Section 50
-Paragraph 33
-URI http://asc.fasb.org/extlink&oid=6534315&loc=d3e8971-108599

Reference 4: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 280
-SubTopic 10
-Section 50
-Paragraph 12
-URI http://asc.fasb.org/extlink&oid=6534315&loc=d3e8595-108599

Reference 5: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 280
-SubTopic 10
-Section 50
-Paragraph 1
-URI http://asc.fasb.org/extlink&oid=6534315&loc=d3e8380-108599

Reference 6: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 280
-SubTopic 10
-Section 50
-Paragraph 32
-URI http://asc.fasb.org/extlink&oid=6534315&loc=d3e8933-108599

Reference 7: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 280
-SubTopic 10
-Section 50
-Paragraph 26
-URI http://asc.fasb.org/extlink&oid=6534315&loc=d3e8844-108599

Reference 8: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 280
-SubTopic 10
-Section 50
-Paragraph 35
-URI http://asc.fasb.org/extlink&oid=6534315&loc=d3e8984-108599

Reference 9: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 280
-SubTopic 10
-Section 50
-Paragraph 40
-URI http://asc.fasb.org/extlink&oid=6534315&loc=d3e9031-108599

Reference 10: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 280
-SubTopic 10
-Section 50
-Paragraph 42
-URI http://asc.fasb.org/extlink&oid=6534315&loc=d3e9054-108599

Reference 11: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 280
-SubTopic 10
-Section 50
-Paragraph 10
-URI http://asc.fasb.org/extlink&oid=6534315&loc=d3e8538-108599

Reference 12: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 280
-SubTopic 10
-Section 50
-Paragraph 29
-URI http://asc.fasb.org/extlink&oid=6534315&loc=d3e8864-108599

Reference 13: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 280
-SubTopic 10
-Section 50
-Paragraph 31
-URI http://asc.fasb.org/extlink&oid=6534315&loc=d3e8924-108599

Reference 14: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 280
-SubTopic 10
-Section 50
-Paragraph 30
-URI http://asc.fasb.org/extlink&oid=6534315&loc=d3e8906-108599

+ Details

INTEREST AND OTHER, NET

12 Months Ended

Mar. 31, 2014

INTEREST AND OTHER, NET

INTEREST AND OTHER, NET

15. INTEREST AND OTHER, NET

	Fiscal Year Ended March 31,

	2014			2013			2012
Interest expense, net	$	(33,961	)	$	(30,763	)	$	(20,616	)
Gain on sale		—			—			2,200
Foreign currency exchange gain (loss)		209			(778	)		(1,311	)
Other		199			190			156


Interest and other, net	$	(33,553	)	$	(31,351	)	$	(19,571	)

During the fiscal year ended March 31, 2012, we sold certain intellectual property assets for $2,200 in cash and additional contingent royalties, resulting in a gain on sale of $2,200. The disposition did not involve a significant amount of assets or materially affect our operating results.

OTHER COMPREHENSIVE INCOME

12 Months Ended

Mar. 31, 2014

OTHER COMPREHENSIVE INCOME

OTHER COMPREHENSIVE INCOME

16. OTHER COMPREHENSIVE INCOME

The following table provides the components of accumulated other comprehensive income (loss):

	Foreign currency translation adjustments			Unrealized gain on derivative instruments		Total

Balance at March 31, 2013	$	(4,916	)	$	344	$	(4,572	)
Other comprehensive income before reclassifications		6,447			241		6,688
Amounts reclassified from accumulated other comprehensive income (loss)		—			—		—


Balance at March 31, 2014	$	1,531		$	585	$	2,116

	Foreign currency translation adjustments			Unrealized gain on derivative instruments		Total

Balance at March 31, 2012	$	6,674		$	59	$	6,733
Other comprehensive income before reclassifications		(11,590	)		285		(11,305	)
Amounts reclassified from accumulated other comprehensive income (loss)		—			—		—


Balance at March 31, 2013	$	(4,916	)	$	344	$	(4,572	)

- Definition

The entire disclosure for comprehensive income, which includes, but is not limited to, 1) the amount of income tax expense or benefit allocated to each component of other comprehensive income, including reclassification adjustments, 2) the reclassification adjustments for each classification of other comprehensive income and 3) the ending accumulated balances for each component of comprehensive income.

+ References

Reference 1: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 220
-SubTopic 10
-Section 45
-Paragraph 15
-URI http://asc.fasb.org/extlink&oid=28358780&loc=d3e689-108580

Reference 2: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 220
-SubTopic 10
-Section 45
-Paragraph 1A
-URI http://asc.fasb.org/extlink&oid=28358780&loc=SL7669619-108580

Reference 3: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 220
-SubTopic 10
-Section 45
-Paragraph 12
-URI http://asc.fasb.org/extlink&oid=28358780&loc=d3e640-108580

Reference 4: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 220
-SubTopic 10
-Section 45
-Paragraph 17
-URI http://asc.fasb.org/extlink&oid=28358780&loc=d3e716-108580

Reference 5: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 220
-SubTopic 10
-Section 45
-Paragraph 16
-URI http://asc.fasb.org/extlink&oid=28358780&loc=d3e709-108580

Reference 6: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 505
-SubTopic 10
-Section S99
-Paragraph 1
-Subparagraph (SX 210.3-04)
-URI http://asc.fasb.org/extlink&oid=27012166&loc=d3e187085-122770

Reference 7: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 220
-SubTopic 10
-Section 45
-Paragraph 11
-URI http://asc.fasb.org/extlink&oid=28358780&loc=d3e637-108580

Reference 8: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 220
-SubTopic 10
-Section 45
-Paragraph 14
-URI http://asc.fasb.org/extlink&oid=28358780&loc=d3e681-108580

Reference 9: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Glossary Reclassification Adjustments
-URI http://asc.fasb.org/extlink&oid=6522872

+ Details

SUPPLEMENTARY FINANCIAL INFORMATION

12 Months Ended

Mar. 31, 2014

SUPPLEMENTARY FINANCIAL INFORMATION

SUPPLEMENTARY FINANCIAL INFORMATION

17. SUPPLEMENTARY FINANCIAL INFORMATION

The following table provides details of our valuation and qualifying accounts:

	Beginning Balance		Additions⁽¹⁾		Deductions			Other			Ending Balance

*Fiscal Year Ended March 31, 2014*
Valuation allowance for deferred income taxes	$	132,912	$	—	$	(92,138	)	$	—		$	40,774




Sales returns, price protection and other allowances	$	62,880	$	138,050	$	(127,458	)	$	606		$	74,078
Allowance for doubtful accounts		1,201		736		(497	)		—			1,440


Total accounts receivable allowances	$	64,081	$	138,786	$	(127,955	)	$	606		$	75,518




Fiscal Year Ended March 31, 2013
Valuation allowance for deferred income taxes	$	134,168	$	—	$	(1,256	)	$	—		$	132,912




Sales returns, price protection and other allowances	$	50,290	$	109,107	$	(95,901	)	$	(616	)	$	62,880
Allowance for doubtful accounts		712		487		—			2			1,201


Total accounts receivable allowances	$	51,002	$	109,594	$	(95,901	)	$	(614	)	$	64,081




Fiscal Year Ended March 31, 2012
Valuation allowance for deferred income taxes	$	114,643	$	19,525	$	—		$	—		$	134,168




Sales returns, price protection and other allowances	$	42,104	$	119,462	$	(110,085	)	$	(1,191	)	$	50,290
Allowance for doubtful accounts		796		—		(84	)		—			712


Total accounts receivable allowances	$	42,900	$	119,462	$	(110,169	)	$	(1,191	)	$	51,002

(1): Includes price concessions of $65,996, $66,207 and $85,977; returns of $23,299, $14,976 and $9,608; and other sales allowances including rebates, discounts and cooperative advertising of $48,755, $27,924 and $23,877 for the fiscal years ended March 31, 2014, 2013 and 2012, respectively.

QUARTERLY FINANCIAL INFORMATION (UNAUDITED)

12 Months Ended

Mar. 31, 2014

QUARTERLY FINANCIAL INFORMATION (UNAUDITED)

QUARTERLY FINANCIAL INFORMATION (UNAUDITED)

18. QUARTERLY FINANCIAL INFORMATION (UNAUDITED)

The following tables set forth quarterly supplementary data for each of the years in the two-year period ended March 31, 2014:

	Quarter

Fiscal Year Ended March 31, 2014	First			Second			Third			Fourth
Net revenue	$	142,667		$	148,824		$	1,863,869		$	195,208
Software development costs and royalties		53,728			51,090			200,333			28,299
Product costs		30,987			33,142			374,710			39,022
Licenses		6,187			2,969			42,522			12,734
Internal royalties		2,940			5,262			502,169			28,233


Cost of goods sold		93,842			92,463			1,119,734			108,288


Gross profit		48,825			56,361			744,135			86,920


Selling and marketing		41,601			101,342			70,476			27,577
General and administrative		32,860			43,023			34,718			50,773
Research and development		20,871			26,520			29,233			28,632
Depreciation and amortization		3,057			3,367			3,413			3,522


Total operating expenses		98,389			174,252			137,840			110,504


(Loss) income from operations		(49,564	)		(117,891	)		606,295			(23,584	)
Interest and other, net		(9,322	)		(10,747	)		(5,949	)		(7,535	)
Loss on extinguishment of debt		—			(9,014	)		—			—
Gain on convertible note hedge and warrants, net		(1,911	)		5,372			—			—


(Loss) income from continuing operations before income taxes		(60,797	)		(132,280	)		600,346			(31,119	)


Provision (benefit) for income taxes		1,087			(8,185	)		21,902			(345	)


Loss (income) from continuing operations		(61,884	)		(124,095	)		578,444			(30,774	)
Loss from discontinued operations, net of taxes		(30	)		(25	)		(18	)		(13	)


Net (loss) income	$	(61,914	)	$	(124,120	)	$	578,426		$	(30,787	)




Earnings (loss) per share:
Continuing operations	$	(0.71	)	$	(1.40	)	$	5.88		$	(0.40	)
Discontinued operations		—			—			—			—


Basic earnings (loss) per share	$	(0.71	)	$	(1.40	)	$	5.88		$	(0.40	)




Continuing operations	$	(0.71	)	$	(1.40	)	$	4.69		$	(0.40	)
Discontinued operations		—			—			—			—


Diluted earnings (loss) per share	$	(0.71	)	$	(1.40	)	$	4.69		$	(0.40	)

	Quarter

Fiscal Year Ended March 31, 2013	First			Second			Third			Fourth
Net revenue	$	226,139		$	273,084		$	415,773		$	299,487
Software development costs and royalties		105,004			77,535			77,641			57,576
Product costs		72,259			73,314			99,020			71,479
Licenses		8,520			7,228			31,735			9,802
Internal royalties		948			410			7,903			15,463


Cost of goods sold		186,731			158,487			216,299			154,320


Gross profit		39,408			114,597			199,474			145,167


Selling and marketing		79,007			65,851			60,724			51,747
General and administrative		43,202			30,809			32,880			40,369
Research and development		15,312			19,320			22,369			21,183
Depreciation and amortization		2,769			2,550			2,509			2,806


Total operating expenses		140,290			118,530			118,482			116,105


(Loss) income from operations		(100,882	)		(3,933	)		80,992			29,062
Interest and other, net		(8,049	)		(7,419	)		(8,094	)		(7,789	)


(Loss) income from continuing operations before income taxes		(108,931	)		(11,352	)		72,898			21,273


Provision for income taxes		1,841			1,085			2,021			103


(Loss) income from continuing operations		(110,772	)		(12,437	)		70,877			21,170
(Loss) income from discontinued operations, net of taxes		(66	)		(54	)		488			1,303


Net (loss) income	$	(110,838	)	$	(12,491	)	$	71,365		$	22,473




Earnings (loss) per share:
Continuing operations	$	(1.30	)	$	(0.15	)	$	0.76		$	0.23
Discontinued operations		—			—			—			0.01


Basic earnings (loss) per share	$	(1.30	)	$	(0.15	)	$	0.76		$	0.24




Continuing operations	$	(1.30	)	$	(0.15	)	$	0.66		$	0.23
Discontinued operations		—			—			—			0.01


Diluted earnings (loss) per share	$	(1.30	)	$	(0.15	)	$	0.66		$	0.24

Basic and diluted earnings per share are computed independently for each of the quarters presented. Therefore, the sum of quarterly basic and diluted earnings per share information may not equal annual basic and diluted earnings per share.

BASIS OF PRESENTATION AND SIGNIFICANT ACCOUNTING POLICIES (Policies)

12 Months Ended

Mar. 31, 2014

BASIS OF PRESENTATION AND SIGNIFICANT ACCOUNTING POLICIES

Principles of Consolidation

Principles of Consolidation

Reclassifications

Reclassifications

Certain amounts in the financial statements of the prior years have been reclassified to conform to the current year presentation for comparative purposes.

Discontinued Operations

Discontinued Operations

Use of Estimates

Use of Estimates

Financial Instruments

Financial Instruments

Cash Flow and Balance Sheet Hedging Activities

Cash Flow Hedging Activities

Balance Sheet Hedging Activities

Concentration of Credit Risk and Accounts Receivable

Concentration of Credit Risk and Accounts Receivable

We maintain cash balances at several major financial institutions. While we attempt to limit credit exposure with any single institution, balances often exceed insurable amounts.

Inventory

Inventory

Software Development Costs and Licenses

Software Development Costs and Licenses

Capitalized software development costs include direct costs incurred for internally developed titles and payments made to third-party software developers under development agreements.

Fixed Assets, net

Fixed Assets, net

Goodwill and Intangible Assets

Goodwill and Intangible Assets

Long-lived Assets

Long-lived Assets

Income Taxes

Income Taxes

Revenue Recognition

Revenue Recognition

We earn our revenue from the sale of internally developed interactive software titles and from the sale of titles developed by and/or licensed from third-party developers.

Allowances for Returns, Price Concessions and Other Allowances

Allowances for Returns, Price Concessions and Other Allowances

Consideration Given to Customers and Received from Vendors

Consideration Given to Customers and Received from Vendors

Advertising

Advertising

Earnings (Loss) per Share ("EPS")

Earnings (Loss) per Share ("EPS")

The following table sets forth the computation of basic and diluted EPS (shares in thousands):

	Fiscal Year Ended March 31,

	2014			2013			2012
Computation of Basic EPS:
Net income (loss)	$	361,605		$	(29,491	)	$	(108,816	)


Less: net income allocated to participating securities		(41,065	)		—			—


Net income (loss) for basic EPS calculation	$	320,540		$	(29,491	)	$	(108,816	)




Total weighted average shares outstanding—basic		95,347			85,581			83,356
Less: weighted average participating securities outstanding		(10,828	)		—			—


Weighted average common shares outstanding—basic		84,519			85,581			83,356




Basic EPS	$	3.79		$	(0.34	)	$	(1.31	)




Computation of Diluted EPS:
Net income (loss)	$	361,605		$	(29,491	)	$	(108,816	)
Less: net income allocated to participating securities		(31,397	)		—			—
Add: interest expense, net of tax, on Convertible Notes		33,718			—			—


Net income (loss) for diluted EPS calculation	$	363,926		$	(29,491	)	$	(108,816	)




Weighted average shares outstanding—basic		84,519			85,581			83,356
Add: dilutive effect of common stock equivalents		29,363			—			—


Weighted average common shares outstanding—diluted		113,882			85,581			83,356




Diluted EPS	$	3.20		$	(0.34	)	$	(1.31	)

Stock-based Compensation

Stock-based Compensation

We have issued stock-based compensation to employees and non-employee consultants, such as ZelnickMedia Corporation.

Estimated forfeitures are adjusted, if necessary, in subsequent periods if actual forfeitures differ from our estimates.

See Note 13 for a full discussion of our stock-based compensation arrangements.

Foreign Currency

Foreign Currency

Comprehensive Income (Loss)

Comprehensive Income (Loss)

Recently Issued Accounting Pronouncements

Recently Issued Accounting Pronouncements

Reclassification of Accumulated Other Comprehensive Income

Presentation of Unrecognized Tax Benefits

BASIS OF PRESENTATION AND SIGNIFICANT ACCOUNTING POLICIES (Tables)

12 Months Ended

Mar. 31, 2014

BASIS OF PRESENTATION AND SIGNIFICANT ACCOUNTING POLICIES

Schedule of computation of basic and diluted EPS

The following table sets forth the computation of basic and diluted EPS (shares in thousands):

	Fiscal Year Ended March 31,

	2014			2013			2012
Computation of Basic EPS:
Net income (loss)	$	361,605		$	(29,491	)	$	(108,816	)


Less: net income allocated to participating securities		(41,065	)		—			—


Net income (loss) for basic EPS calculation	$	320,540		$	(29,491	)	$	(108,816	)




Total weighted average shares outstanding—basic		95,347			85,581			83,356
Less: weighted average participating securities outstanding		(10,828	)		—			—


Weighted average common shares outstanding—basic		84,519			85,581			83,356




Basic EPS	$	3.79		$	(0.34	)	$	(1.31	)




Computation of Diluted EPS:
Net income (loss)	$	361,605		$	(29,491	)	$	(108,816	)
Less: net income allocated to participating securities		(31,397	)		—			—
Add: interest expense, net of tax, on Convertible Notes		33,718			—			—


Net income (loss) for diluted EPS calculation	$	363,926		$	(29,491	)	$	(108,816	)




Weighted average shares outstanding—basic		84,519			85,581			83,356
Add: dilutive effect of common stock equivalents		29,363			—			—


Weighted average common shares outstanding—diluted		113,882			85,581			83,356




Diluted EPS	$	3.20		$	(0.34	)	$	(1.31	)

DISCONTINUED OPERATIONS (Tables)

12 Months Ended

Mar. 31, 2014

DISCONTINUED OPERATIONS

Summary of results and assets and liabilities of discontinued operations

	Fiscal Year Ended March 31,

	2014			2013		2012
(Loss) income before income taxes	$	(86	)	$	355	$	(1,116	)
Gain on sale		—			1,316		—


Net (loss) income	$	(86	)	$	1,671	$	(1,116	)

	March 31, 2014		March 31, 2013

Liabilities of discontinued operations:
Current:
Accrued expenses and other current liabilities	$	556	$	1,232


Total current liabilities		556		1,232
Other non-current liabilities		—		556


Total liabilities of discontinued operations	$	556	$	1,788

- Definition

Tabular disclosure of disposal groups, which may include the gain (loss) recognized in the income statement and the income statement caption that includes that gain (loss), amounts of revenues and pretax profit or loss reported in discontinued operations, the classification and carrying value of the assets and liabilities comprising the disposal group, and the segment in which the disposal group was reported. Also may include the amount of adjustments to amounts previously reported in discontinued operations such as resolution of contingencies arising from the disposal transaction or the operations of the component prior to disposal.

+ References + Details

FAIR VALUE MEASUREMENTS (Tables)

12 Months Ended

Mar. 31, 2014

FAIR VALUE MEASUREMENTS

Segregation of all assets measured at fair value on a recurring basis

	March 31, 2014		Quoted prices in active markets for identical assets (level 1)		Significant other observable inputs (level 2)		Significant unobservable inputs (level 3)		Balance Sheet Classification

Money market funds	$	683,087	$	683,087	$	—	$	—	Cash and cash equivalents
Bank-time deposits	$	88,525	$	88,525	$	—	$	—	Cash and cash equivalents

INVENTORY (Tables)

12 Months Ended

Mar. 31, 2014

INVENTORY

Inventory balances by category

	March 31,

	2014		2013
Finished products	$	28,418	$	28,026
Parts and supplies		1,362		2,192


Inventory	$	29,780	$	30,218

SOFTWARE DEVELOPMENT COSTS AND LICENSES (Tables)

12 Months Ended

Mar. 31, 2014

SOFTWARE DEVELOPMENT COSTS AND LICENSES

Schedule of capitalized software development costs and licenses

	March 31, 2014				March 31, 2013

	Current		Non-current		Current		Non-current
Software development costs, internally developed	$	53,041	$	60,196	$	178,297	$	38,592
Software development costs, externally developed		51,643		49,310		10,469		53,649
Licenses		11,519		—		10,189		3,000


Software development costs and licenses	$	116,203	$	109,506	$	198,955	$	95,241

Schedule of amortization and impairment of software development costs and licenses

	Fiscal Year Ended March 31,

	2014			2013			2012
Amortization of software development costs and licenses	$	236,759		$	231,423		$	144,385
Impairment of software development costs and licenses		52,863			9,385			11,459
Less: Portion representing stock-based compensation		(24,089	)		(10,060	)		(5,144	)


Amortization and impairment, net of stock-based compensation	$	265,533		$	230,748		$	150,700

FIXED ASSETS, NET (Tables)

12 Months Ended

Mar. 31, 2014

FIXED ASSETS, NET

Schedule of fixed asset balances by category

	March 31,

	2014		2013
Computer equipment	$	55,751	$	36,152
Computer software		38,111		31,466
Leasehold improvements		33,968		31,339
Office equipment		5,672		5,819
Furniture and fixtures		5,865		5,334


		139,367		110,110
Less: accumulated depreciation		96,795		84,748


Fixed assets, net	$	42,572	$	25,362

GOODWILL AND INTANGIBLE ASSETS, NET (Tables)

12 Months Ended

Mar. 31, 2014

GOODWILL AND INTANGIBLE ASSETS, NET

Schedule of change in goodwill balance

	Total

Balance at March 31, 2012	$	228,169
Additions and adjustments		1,500
Currency translation adjustment		(3,677	)


Balance at March 31, 2013		225,992


Additions and adjustments		—
Currency translation adjustment		713


Balance at March 31, 2014	$	226,705

Schedule of components of the intangible assets subject to amortization

			March 31, 2014							March 31, 2013

	Estimated Useful Lives (Years)		March 31, 2014							March 31, 2013
	Estimated Useful Lives (Years)		Gross Carrying Amount		Accumulated Amortization			Net Book Value		Gross Carrying Amount		Accumulated Amortization			Net Book Value
Intellectual property		2-6	$	26,949	$	(21,836	)	$	5,113	$	26,949	$	(18,718	)	$	8,231
Trademarks		7-10		13,839		(13,839	)		—		13,838		(13,682	)		156
Technology		3		3,200		(3,200	)		—		3,200		(2,760	)		440
Non-compete		5-10		5,249		(5,249	)		—		5,160		(5,160	)		—


			$	49,237	$	(44,124	)	$	5,113	$	49,147	$	(40,320	)	$	8,827

Schedule of amortization of intangible assets

	Fiscal Year Ended March 31,

	2014		2013		2012
Cost of goods sold	$	3,558	$	7,000	$	983
Depreciation and amortization		156		434		656


Total amortization of intangible assets	$	3,714	$	7,434	$	1,639

Schedule of estimated future amortization of intangible assets


2015	$	425
2016		79
2017		4,023
2018		561
2019		25


Total	$	5,113

ACCRUED EXPENSES AND OTHER CURRENT LIABILITIES (Tables)

12 Months Ended

Mar. 31, 2014

ACCRUED EXPENSES AND OTHER CURRENT LIABILITIES

Components of accrued expenses and other current liabilities

	March 31,

	2014		2013
Software development royalties	$	258,129		64,840
Compensation and benefits		44,255		33,564
Licenses		16,917		12,268
Marketing and promotions		16,552		21,601
Income tax payable and deferred tax liability		15,362		53,261
Professional fees		8,781		7,733
Rent and deferred rent obligations		8,111		8,456
Sales tax liability		6,592		3,950
Deferred consideration for acquisitions		1,498		2,498
Other		20,420		20,745


Accrued expenses and other current liabilities	$	396,617	$	228,916

LONG-TERM DEBT (Tables)

12 Months Ended

Mar. 31, 2014

LONG-TERM DEBT

	March 31, 2014		March 31, 2013

Available borrowings	$	63,630	$	73,565
Outstanding letters of credit		1,664		1,664

4.375% Convertible Notes Due 2014

LONG-TERM DEBT

Schedule of additional information related to convertible notes

	March 31, 2013

Additional paid-in capital	$	42,018


Principal amount of 4.375% Convertible Notes	$	138,000
Unamortized discount of the liability component		12,819


Net carrying amount of 4.375% Convertible Notes	$	125,181


Carrying amount of debt issuance costs	$	797

Schedule of components of interest expense related to convertible notes

	Fiscal Year Ended March 31,

	2014		2013		2012
Cash interest expense (coupon interest expense)	$	2,516	$	6,038	$	6,038
Non-cash amortization of discount on 4.375% Convertible Notes		4,358		9,550	$	8,392
Amortization of debt issuance costs		284		682	$	682


Total interest expense related to 4.375% Convertible Notes	$	7,158	$	16,270	$	15,112

1.75% Convertible Notes Due 2016

LONG-TERM DEBT

Schedule of additional information related to convertible notes

	March 31, 2014		March 31, 2013

Additional paid-in capital	$	51,180	$	51,180


Principal amount of 1.75% Convertible Notes	$	250,000	$	250,000
Unamortized discount of the liability component		30,025		39,979


Net carrying amount of 1.75% Convertible Notes	$	219,975	$	210,021


Carrying amount of debt issuance costs	$	2,716	$	3,821

Schedule of components of interest expense related to convertible notes

	Fiscal Year Ended March 31,

	2014		2013		2012
Cash interest expense (coupon interest expense)	$	4,375	$	4,375	$	1,641
Non-cash amortization of discount on 1.75% Convertible Notes		9,954	$	9,312	$	3,336
Amortization of debt issuance costs		1,105	$	1,158	$	449


Total interest expense related to 1.75% Convertible Notes	$	15,434	$	14,845	$	5,426

1.00% Convertible Notes Due 2018

LONG-TERM DEBT

Schedule of additional information related to convertible notes

	March 31, 2014

Additional paid-in capital	$	35,784


Principal amount of 1.00% Convertible Notes	$	287,500
Unamortized discount of the liability component		53,444


Net carrying amount of 1.00% Convertible Notes	$	234,056


Carrying amount of debt issuance costs	$	1,831

Schedule of components of interest expense related to convertible notes

	Fiscal Year Ended March 31, 2014

Cash interest expense (coupon interest expense)	$	2,259
Non-cash amortization of discount on 1.00% Convertible Notes		8,489
Amortization of debt issuance costs		378


Total interest expense related to 1.00% Convertible Notes	$	11,126

COMMITMENTS AND CONTINGENCIES (Tables)

12 Months Ended

Mar. 31, 2014

COMMITMENTS AND CONTINGENCIES.

Summary of the annual minimum contractual obligations and commitments

Fiscal Year Ending March 31,	Licensing and Marketing		Software Development		Operating Leases		Purchase Obligations		Convertible Notes Interest		Convertible Notes		Total

2015	$	36,830	$	82,113	$	22,180	$	9,890	$	8,688	$	—	$	159,701
2016		20,096		12,210		18,723		4,238		7,250		—		62,517
2017		38,632		9,345		16,315		639		7,250		250,000		322,181
2018		14,632		—		14,440		—		2,875		—		31,947
2019		11,920		—		15,119		—		1,438		287,500		315,977
Thereafter		—		—		43,986		—		—		—		43,986


Total	$	122,110	$	103,668	$	130,763	$	14,767	$	27,501	$	537,500	$	936,309

INCOME TAXES (Tables)

12 Months Ended

Mar. 31, 2014

INCOME TAXES

Schedule of components of income (loss) before income taxes

	Fiscal Year Ended March 31,

	2014		2013			2012
Domestic	$	197,992	$	16,924		$	(62,655	)
Foreign		178,158		(43,036	)		(41,182	)


Income (loss) from continuing operations before income taxes	$	376,150	$	(26,112	)	$	(103,837	)

Schedule of provision for current and deferred income taxes

	Fiscal Year Ended March 31,

	2014			2013			2012
Current:
U.S. federal	$	16,340		$	3,705		$	(729	)
U.S. state and local		4,527			456			(55	)
Foreign		12,628			1,730			2,769


Total current income taxes		33,495			5,891			1,985
Deferred:
U.S. federal		(14,216	)		(1,821	)		1,712
U.S. state and local		(3,462	)		134			126
Foreign		(1,358	)		846			40


Total deferred income taxes		(19,036	)		(841	)		1,878


Provision for income taxes	$	14,459		$	5,050		$	3,863

Schedule of reconciliation of effective tax rate to the U.S. statutory federal income tax rate

	Fiscal Year Ended March 31,

	2014			2013			2012
U.S. federal statutory rate		35.0	%		(35.0	)%		(35.0	)%
Foreign tax rate differential		(10.4	)%		41.5	%		10.6	%
Tax amortization of goodwill		0.5	%		7.7	%		1.8	%
Foreign earnings		1.6	%		4.0	%		(2.3	)%
State and local taxes, net of U.S. federal benefit		0.3	%		2.3	%		0.0	%
Valuation allowance—domestic		(19.8	)%		(28.4	)%		20.5	%
Valuation allowance—foreign		(5.1	)%		22.2	%		5.0	%
Other		1.7	%		5.0	%		3.1	%


Effective tax rate		3.8	%		19.3	%		3.7	%

Schedule of effects of temporary differences that gave rise to deferred tax assets and liabilities

	March 31,

	2014			2013
Deferred tax assets:
Current deferred tax assets:
Sales returns and allowances (including bad debt)	$	8,757		$	7,823
Inventory reserves		1,120			1,054
Deferred rent		3,364			4,017
Deferred revenue		15,157			6,790
Bonus		20,586			2,159
Equity compensation		17,232			17,605
Other		6,545			(2,001	)


Total current deferred tax assets		72,761			37,447
Less: Valuation allowance		(26,689	)		(20,858	)


Net current deferred tax assets		46,072			16,589
Noncurrent deferred tax assets:
Equity compensation		2,552			2,598
Domestic net operating loss carryforward		3,645			142,385
Tax credit carryforward		17,368			8,724
Foreign net operating loss carryforwards		8,083			29,682


Total noncurrent deferred tax assets		31,648			183,389
Less: Valuation allowance		(14,085	)		(112,054	)


Net noncurrent deferred tax assets		17,563			71,335
Deferred tax liabilities:
Current deferred tax liabilities:
Capitalized software and depreciation		(25,806	)		(65,808	)


Total current deferred tax liabilities		(25,806	)		(65,808	)


Net current deferred tax asset (liability)	$	20,266		$	(49,219	)




Noncurrent deferred tax liabilities:
Convertible debt		(29,222	)		(19,471	)
Intangible amortization		(4,408	)		(2,703	)
Capitalized software and depreciation		(6,983	)		(3,940	)


Total noncurrent deferred tax liabilities		(40,613	)		(26,114	)


Net noncurrent deferred tax (liability) asset	$	(23,050	)	$	45,221

Schedule of aggregate changes to the liability for gross uncertain tax positions, excluding interest and penalties

	Fiscal Year Ended March 31,

	2014			2013			2012
Balance, beginning of period	$	20,400		$	20,328		$	13,352
Additions:
Current year tax positions		5,069			73			1,741
Prior year tax positions		2,008			2,812			5,805
Reduction of prior year tax positions		(3,219	)		(2,605	)		—
Lapse of statute of limitations		(667	)		(81	)		(750	)
Other, net		(55	)		(127	)		180


Balance, end of period	$	23,536		$	20,400		$	20,328

STOCK-BASED COMPENSATION (Tables)

12 Months Ended

Mar. 31, 2014

STOCK-BASED COMPENSATION

Schedule of stock-based compensation expenses

	Fiscal Year Ended March 31,

	2014		2013		2012
Cost of goods sold	$	30,124	$	10,060	$	5,144
Selling and marketing		10,136		5,562		5,042
General and administrative		28,991		17,824		19,963
Research and development		8,867		2,319		3,345


Stock-based compensation expense	$	78,118	$	35,765	$	33,494




Capitalized stock-based compensation expense	$	26,156	$	6,964	$	11,220

Schedule of weighted-average assumptions used to value outstanding market-based restricted shares

	Fiscal Year Ended March 31,

	2014						2013						2012
	Employee Market-Based			Non-Employee Market-Based			Employee Market-Based			Non-Employee Market-Based			Employee Market-Based			Non-Employee Market-Based
Risk-free interest rate		0.6	%		0.2	%		0.6	%		0.3	%		0.4	%		0.4	%
Expected stock price volatility		39.1	%		36.5	%		49.3	%		40.0	%		58.2	%		46.3	%
Expected service period (years)		2.0			3.4			2.8			3.3			2.0			3.1
Dividends		None			None			None			None			None			None

Schedule of activity in non-vested restricted stock awards to employees and ZelnickMedia

			Weighted Average Fair Value on Grant Date

Non-vested restricted stock at March 31, 2013	7,357		$	11.33
Granted	8,035			16.87
Vested	(3,863	)		14.18
Forfeited	(374	)		12.42


Non-vested restricted stock at March 31, 2014	11,155		$	11.38

Schedule of activity in stock options awarded to employees and ZelnickMedia

	Fiscal Year Ended March 31,

	2014					2013					2012
(options in thousands)	Options			Weighted Average Exercise Price		Options			Weighted Average Exercise Price		Options			Weighted Average Exercise Price
Outstanding at beginning of period		2,009		$	14.74		2,164		$	15.16		2,317		$	15.37
Exercised⁽¹⁾		(2,009	)		14.74		—			—		(22	)		10.96
Forfeited		—			—		(155	)		20.59		(131	)		19.52


Outstanding at end of period		—		$	—		2,009		$	14.74		2,164		$	15.16




Exercisable at period-end		—		$	—		2,009		$	14.74		2,164		$	15.16




Remaining weighted average contractual life of options exercisable (years)					—					4.4					5.0
Aggregate intrinsic value				$	—				$	2,833				$	1,296

(1): Includes options that were exercised through net share settlement. As a result, only 557 thousand shares were issued with no corresponding option cost in fiscal year ending March 31, 2014.

SEGMENT AND GEOGRAPHIC INFORMATION (Tables)

12 Months Ended

Mar. 31, 2014

SEGMENT AND GEOGRAPHIC INFORMATION

Net revenue by geographic region

	Fiscal Year Ended March 31,

Net revenue by geographic region:	2014		2013		2012
United States	$	1,093,918	$	710,488	$	449,189
Europe		903,610		328,003		246,260
Canada and Latin America		178,816		88,427		61,773
Asia Pacific		174,224		87,565		68,601


Total net revenue	$	2,350,568	$	1,214,483	$	825,823

Net revenue by product platform

	Fiscal Year Ended March 31,

Net revenue by product platform:	2014		2013		2012
Console	$	2,148,494	$	975,994	$	703,188
PC and other		192,361		216,321		87,318
Handheld		9,713		22,168		35,317


Total net revenue	$	2,350,568	$	1,214,483	$	825,823

Schedule of net revenue by distribution channel

	Fiscal Year Ended March 31,

Net revenue by distribution channel:	2014		2013		2012
Physical retail and other	$	1,978,598	$	958,355	$	719,179
Digital online		371,970		256,128		106,644


Total net revenue	$	2,350,568	$	1,214,483	$	825,823

INTEREST AND OTHER, NET (Tables)

12 Months Ended

Mar. 31, 2014

INTEREST AND OTHER, NET

Schedule of interest and other, net

	Fiscal Year Ended March 31,

	2014			2013			2012
Interest expense, net	$	(33,961	)	$	(30,763	)	$	(20,616	)
Gain on sale		—			—			2,200
Foreign currency exchange gain (loss)		209			(778	)		(1,311	)
Other		199			190			156


Interest and other, net	$	(33,553	)	$	(31,351	)	$	(19,571	)

OTHER COMPREHENSIVE INCOME (Tables)

12 Months Ended

Mar. 31, 2014

OTHER COMPREHENSIVE INCOME

Schedule of components of accumulated other comprehensive income (loss)

	Foreign currency translation adjustments			Unrealized gain on derivative instruments		Total

Balance at March 31, 2013	$	(4,916	)	$	344	$	(4,572	)
Other comprehensive income before reclassifications		6,447			241		6,688
Amounts reclassified from accumulated other comprehensive income (loss)		—			—		—


Balance at March 31, 2014	$	1,531		$	585	$	2,116

	Foreign currency translation adjustments			Unrealized gain on derivative instruments		Total

Balance at March 31, 2012	$	6,674		$	59	$	6,733
Other comprehensive income before reclassifications		(11,590	)		285		(11,305	)
Amounts reclassified from accumulated other comprehensive income (loss)		—			—		—


Balance at March 31, 2013	$	(4,916	)	$	344	$	(4,572	)

SUPPLEMENTARY FINANCIAL INFORMATION (Tables)

12 Months Ended

Mar. 31, 2014

SUPPLEMENTARY FINANCIAL INFORMATION

Schedule of details of valuation and qualifying accounts

	Beginning Balance		Additions⁽¹⁾		Deductions			Other			Ending Balance

*Fiscal Year Ended March 31, 2014*
Valuation allowance for deferred income taxes	$	132,912	$	—	$	(92,138	)	$	—		$	40,774




Sales returns, price protection and other allowances	$	62,880	$	138,050	$	(127,458	)	$	606		$	74,078
Allowance for doubtful accounts		1,201		736		(497	)		—			1,440


Total accounts receivable allowances	$	64,081	$	138,786	$	(127,955	)	$	606		$	75,518




Fiscal Year Ended March 31, 2013
Valuation allowance for deferred income taxes	$	134,168	$	—	$	(1,256	)	$	—		$	132,912




Sales returns, price protection and other allowances	$	50,290	$	109,107	$	(95,901	)	$	(616	)	$	62,880
Allowance for doubtful accounts		712		487		—			2			1,201


Total accounts receivable allowances	$	51,002	$	109,594	$	(95,901	)	$	(614	)	$	64,081




Fiscal Year Ended March 31, 2012
Valuation allowance for deferred income taxes	$	114,643	$	19,525	$	—		$	—		$	134,168




Sales returns, price protection and other allowances	$	42,104	$	119,462	$	(110,085	)	$	(1,191	)	$	50,290
Allowance for doubtful accounts		796		—		(84	)		—			712


Total accounts receivable allowances	$	42,900	$	119,462	$	(110,169	)	$	(1,191	)	$	51,002

(1): Includes price concessions of $65,996, $66,207 and $85,977; returns of $23,299, $14,976 and $9,608; and other sales allowances including rebates, discounts and cooperative advertising of $48,755, $27,924 and $23,877 for the fiscal years ended March 31, 2014, 2013 and 2012, respectively.

QUARTERLY FINANCIAL INFORMATION (UNAUDITED) (Tables)

12 Months Ended

Mar. 31, 2014

QUARTERLY FINANCIAL INFORMATION (UNAUDITED)

Schedule of quarterly supplementary data

	Quarter

Fiscal Year Ended March 31, 2014	First			Second			Third			Fourth
Net revenue	$	142,667		$	148,824		$	1,863,869		$	195,208
Software development costs and royalties		53,728			51,090			200,333			28,299
Product costs		30,987			33,142			374,710			39,022
Licenses		6,187			2,969			42,522			12,734
Internal royalties		2,940			5,262			502,169			28,233


Cost of goods sold		93,842			92,463			1,119,734			108,288


Gross profit		48,825			56,361			744,135			86,920


Selling and marketing		41,601			101,342			70,476			27,577
General and administrative		32,860			43,023			34,718			50,773
Research and development		20,871			26,520			29,233			28,632
Depreciation and amortization		3,057			3,367			3,413			3,522


Total operating expenses		98,389			174,252			137,840			110,504


(Loss) income from operations		(49,564	)		(117,891	)		606,295			(23,584	)
Interest and other, net		(9,322	)		(10,747	)		(5,949	)		(7,535	)
Loss on extinguishment of debt		—			(9,014	)		—			—
Gain on convertible note hedge and warrants, net		(1,911	)		5,372			—			—


(Loss) income from continuing operations before income taxes		(60,797	)		(132,280	)		600,346			(31,119	)


Provision (benefit) for income taxes		1,087			(8,185	)		21,902			(345	)


Loss (income) from continuing operations		(61,884	)		(124,095	)		578,444			(30,774	)
Loss from discontinued operations, net of taxes		(30	)		(25	)		(18	)		(13	)


Net (loss) income	$	(61,914	)	$	(124,120	)	$	578,426		$	(30,787	)




Earnings (loss) per share:
Continuing operations	$	(0.71	)	$	(1.40	)	$	5.88		$	(0.40	)
Discontinued operations		—			—			—			—


Basic earnings (loss) per share	$	(0.71	)	$	(1.40	)	$	5.88		$	(0.40	)




Continuing operations	$	(0.71	)	$	(1.40	)	$	4.69		$	(0.40	)
Discontinued operations		—			—			—			—


Diluted earnings (loss) per share	$	(0.71	)	$	(1.40	)	$	4.69		$	(0.40	)

	Quarter

Fiscal Year Ended March 31, 2013	First			Second			Third			Fourth
Net revenue	$	226,139		$	273,084		$	415,773		$	299,487
Software development costs and royalties		105,004			77,535			77,641			57,576
Product costs		72,259			73,314			99,020			71,479
Licenses		8,520			7,228			31,735			9,802
Internal royalties		948			410			7,903			15,463


Cost of goods sold		186,731			158,487			216,299			154,320


Gross profit		39,408			114,597			199,474			145,167


Selling and marketing		79,007			65,851			60,724			51,747
General and administrative		43,202			30,809			32,880			40,369
Research and development		15,312			19,320			22,369			21,183
Depreciation and amortization		2,769			2,550			2,509			2,806


Total operating expenses		140,290			118,530			118,482			116,105


(Loss) income from operations		(100,882	)		(3,933	)		80,992			29,062
Interest and other, net		(8,049	)		(7,419	)		(8,094	)		(7,789	)


(Loss) income from continuing operations before income taxes		(108,931	)		(11,352	)		72,898			21,273


Provision for income taxes		1,841			1,085			2,021			103


(Loss) income from continuing operations		(110,772	)		(12,437	)		70,877			21,170
(Loss) income from discontinued operations, net of taxes		(66	)		(54	)		488			1,303


Net (loss) income	$	(110,838	)	$	(12,491	)	$	71,365		$	22,473




Earnings (loss) per share:
Continuing operations	$	(1.30	)	$	(0.15	)	$	0.76		$	0.23
Discontinued operations		—			—			—			0.01


Basic earnings (loss) per share	$	(1.30	)	$	(0.15	)	$	0.76		$	0.24




Continuing operations	$	(1.30	)	$	(0.15	)	$	0.66		$	0.23
Discontinued operations		—			—			—			0.01


Diluted earnings (loss) per share	$	(1.30	)	$	(0.15	)	$	0.66		$	0.24

BASIS OF PRESENTATION AND SIGNIFICANT ACCOUNTING POLICIES (Details) $ in Thousands	12 Months Ended
	Mar. 31, 2014 USD ($) item	Jun. 18, 2013 USD ($)	Mar. 31, 2012	Nov. 16, 2011
BASIS OF PRESENTATION AND SIGNIFICANT ACCOUNTING POLICIES
Wholly-owned labels \| item	2
1.75% Convertible Notes due 2016
LONG-TERM DEBT
Estimated fair value of convertible notes	$ 328,825
Interest rate on convertible notes (as a percent)	1.75%		1.75%	1.75%
1.00% Convertible Notes due 2018
LONG-TERM DEBT
Estimated fair value of convertible notes	$ 352,763	$ 225,567
Interest rate on convertible notes (as a percent)	1.00%	1.00%

BASIS OF PRESENTATION AND SIGNIFICANT ACCOUNTING POLICIES (Details 2) - Foreign Currency Forward Contract - USD ($) $ in Thousands	12 Months Ended
	Mar. 31, 2014	Mar. 31, 2013	Mar. 31, 2012
Designated As Hedging Instrument
Significant Accounting Policies
Maximum maturity period for some outstanding foreign currency forward contracts	1 year
Designated As Hedging Instrument \| Long
Significant Accounting Policies
Outstanding forward contracts to purchase or sell foreign currency in exchange for U.S. dollars	$ 890	$ 7,906
Not Designated As Hedging Instrument
Significant Accounting Policies
Maximum maturity period for some outstanding foreign currency forward contracts	1 year	1 year
Not Designated As Hedging Instrument \| Interest and other, net
Significant Accounting Policies
Gains (losses) related to foreign currency forward contracts	$ (18,425)	$ 2,163	$ 746
Not Designated As Hedging Instrument \| Short
Significant Accounting Policies
Outstanding forward contracts to purchase or sell foreign currency in exchange for U.S. dollars	$ 68,520	$ 55,397

BASIS OF PRESENTATION AND SIGNIFICANT ACCOUNTING POLICIES (Details 3) - item	12 Months Ended
	Mar. 31, 2014	Mar. 31, 2013	Mar. 31, 2012
Concentration of Credit Risk and Accounts Receivable
Number of largest customers	5	5	5
Net revenue \| Customer concentration risk \| Five largest customers
Concentration of Credit Risk and Accounts Receivable
Concentration risk (as a percent)	39.40%	52.50%	43.90%
Gross accounts receivable \| Credit concentration risk \| Five largest customers
Concentration of Credit Risk and Accounts Receivable
Concentration risk (as a percent)	68.30%	57.20%
Gross accounts receivable \| Credit concentration risk \| Customers individually accounting for more than 10%
Concentration of Credit Risk and Accounts Receivable
Concentration risk (as a percent)	59.80%	30.50%

BASIS OF PRESENTATION AND SIGNIFICANT ACCOUNTING POLICIES (Details 4)	12 Months Ended
	Mar. 31, 2014
Office equipment
Fixed assets
Estimated useful life	5 years
Furniture and fixtures
Fixed assets
Estimated useful life	5 years
Computer equipment \| Minimum
Fixed assets
Estimated useful life	3 years
Computer equipment \| Maximum
Fixed assets
Estimated useful life	5 years
Software \| Minimum
Fixed assets
Estimated useful life	3 years
Software \| Maximum
Fixed assets
Estimated useful life	5 years
Leasehold improvements
Fixed assets
Estimated useful life	7 years

BASIS OF PRESENTATION AND SIGNIFICANT ACCOUNTING POLICIES (Details 5)	12 Months Ended
	Mar. 31, 2014
Minimum
Goodwill and Intangible Assets
Estimated useful life	2 years
Maximum
Goodwill and Intangible Assets
Estimated useful life	10 years

BASIS OF PRESENTATION AND SIGNIFICANT ACCOUNTING POLICIES (Details 6)	12 Months Ended
	Mar. 31, 2014
Revenue recognition
Minimum payment arrangements with customers	30 days
Maximum payment arrangements with customers	60 days

BASIS OF PRESENTATION AND SIGNIFICANT ACCOUNTING POLICIES (Details 7) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands	3 Months Ended								12 Months Ended
	Mar. 31, 2014	Dec. 31, 2013	Sep. 30, 2013	Jun. 30, 2013	Mar. 31, 2013	Dec. 31, 2012	Sep. 30, 2012	Jun. 30, 2012	Mar. 31, 2014	Mar. 31, 2013	Mar. 31, 2012
BASIS OF PRESENTATION AND SIGNIFICANT ACCOUNTING POLICIES
Advertising expense									$ 153,732	$ 185,162	$ 122,932
Computation of Basic EPS:
Net income (loss)	$ (30,787)	$ 578,426	$ (124,120)	$ (61,914)	$ 22,473	$ 71,365	$ (12,491)	$ (110,838)	361,605	(29,491)	(108,816)
Less: net income allocated to participating securities									(41,065)
Net income (loss) for basic EPS calculation									$ 320,540	$ (29,491)	$ (108,816)
Total weighted average shares outstanding - basic									95,347	85,581	83,356
Less: weighted average participating securities									(10,828)
Weighted average common shares outstanding - basic									84,519	85,581	83,356
Basic EPS (in dollars per share)	$ (0.40)	$ 5.88	$ (1.40)	$ (0.71)	$ 0.24	$ 0.76	$ (0.15)	$ (1.30)	$ 3.79	$ (0.34)	$ (1.31)
Computation of Diluted EPS:
Net income (loss)	$ (30,787)	$ 578,426	$ (124,120)	$ (61,914)	$ 22,473	$ 71,365	$ (12,491)	$ (110,838)	$ 361,605	$ (29,491)	$ (108,816)
Less: net income allocated to participating securities									(31,397)
Add: interest expense, net of tax, on Convertible Notes									33,718
Net income (loss) for diluted EPS calculation									$ 363,926	$ (29,491)	$ (108,816)
Weighted average shares outstanding - basic									84,519	85,581	83,356
Add: dilutive effect of common stock equivalents (in shares)									29,363
Weighted average common shares outstanding - diluted									113,882	85,581	83,356
Diluted EPS (in dollars per share)									$ 3.20	$ (0.34)	$ (1.31)

BASIS OF PRESENTATION AND SIGNIFICANT ACCOUNTING POLICIES (Details 8) - shares	12 Months Ended
	Mar. 31, 2013	Mar. 31, 2012	Mar. 31, 2014
Unvested restricted stock
Antidilutive shares
Antidilutive shares excluded from calculation of EPS	7,357,000	5,724,000
4.375% convertible notes due 2014 ("4.375% Convertible Notes")
Antidilutive shares
Issuance of convertible notes, interest rate (as a percent)			4.375%
Stock option awards
Antidilutive shares
Antidilutive shares excluded from calculation of EPS	2,009,000	2,164,000

BASIS OF PRESENTATION AND SIGNIFICANT ACCOUNTING POLICIES (Details 9) $ in Thousands	12 Months Ended
	Mar. 31, 2014 USD ($)
Reclassification of Accumulated Other Comprehensive Income
Amounts reclassified from accumulated other comprehensive income (loss)	$ 0
Stock options \| Minimum
Stock-based compensation
Vesting period	3 years
Stock options \| Maximum
Stock-based compensation
Vesting period	4 years
Time-based restricted shares
Stock-based compensation
Vesting period	3 years
Market-based restricted shares \| Minimum
Stock-based compensation
Vesting period	3 years
Market-based restricted shares \| Maximum
Stock-based compensation
Vesting period	4 years

DISCONTINUED OPERATIONS (Details) - USD ($) $ in Thousands	1 Months Ended		3 Months Ended								12 Months Ended
DISCONTINUED OPERATIONS (Details) - USD ($) $ in Thousands	Apr. 30, 2011	Feb. 28, 2010	Mar. 31, 2014	Dec. 31, 2013	Sep. 30, 2013	Jun. 30, 2013	Mar. 31, 2013	Dec. 31, 2012	Sep. 30, 2012	Jun. 30, 2012	Mar. 31, 2014	Mar. 31, 2013	Mar. 31, 2012
Discontinued operations
Cash proceeds from the sale of discontinued operation, subject to purchase price adjustments													$ (1,475)
Results of the discontinued operations
Net (loss) income			$ (13)	$ (18)	$ (25)	$ (30)	$ 1,303	$ 488	$ (54)	$ (66)	$ (86)	$ 1,671	(1,116)
Liabilities of discontinued operations - Current:
Total current liabilities			556				1,232				556	1,232
Long-term:
Other non-current liabilities							556					556
Jack of All Games
Discontinued operations
Sale price of discontinued operation	$ 35,775	$ 44,000
Cash proceeds from the sale of discontinued operation, subject to purchase price adjustments	$ (1,475)	37,250
Results of the discontinued operations
(Loss) income before income taxes											(86)	355	(1,116)
Gain on sale												1,316
Net (loss) income											(86)	1,671	$ (1,116)
Liabilities of discontinued operations - Current:
Accrued expenses and other current liabilities			556				1,232				556	1,232
Total current liabilities			556				1,232				556	1,232
Long-term:
Other non-current liabilities							556					556
Total liabilities of discontinued operations			$ 556				$ 1,788				$ 556	$ 1,788
Jack of All Games \| Maximum
Discontinued operations
Additional cash proceeds from the sale of discontinued operation, subject to achievement of certain items		$ 6,750

MANAGEMENT AGREEMENT (Details) - Zelnick Media Corporation ("ZelnickMedia") - USD ($) $ in Thousands		1 Months Ended			12 Months Ended
	Apr. 02, 2014	Mar. 31, 2014	May 31, 2011	Mar. 31, 2007	Mar. 31, 2014	Mar. 31, 2013	Mar. 31, 2012
Management Agreement
Consulting expense benefit					$ 6,365	$ 6,180	$ 2,500
Management Agreement
Management Agreement
Annual management fee				$ 2,500
Management Agreement \| Maximum
Management Agreement
Bonus per fiscal year based on the achievement of certain performance thresholds				$ 2,500
New Management Agreement
Management Agreement
Annual management fee			$ 2,500
Annual management fee, annual increase (as a percent)			3.00%
Annual bonus, annual increase (as a percent)			3.00%
New Management Agreement \| Maximum
Management Agreement
Bonus per fiscal year based on the achievement of certain performance thresholds			$ 3,500
New Management Agreement
Management Agreement
Annual management fee		$ 2,970
New Management Agreement \| Maximum
Management Agreement
Bonus per fiscal year based on the achievement of certain performance thresholds		$ 4,752
New Management Agreement \| Restricted units
Management Agreement
Granted (in shares)	619,490

FAIR VALUE MEASUREMENTS (Details) - Recurring basis $ in Thousands	Mar. 31, 2014 USD ($)
Total
Assets measured at fair value on a recurring basis
Money market funds	$ 683,087
Bank-time deposits	88,525
Quoted prices in active markets for identical assets (level 1)
Assets measured at fair value on a recurring basis
Money market funds	683,087
Bank-time deposits	$ 88,525

INVENTORY (Details) - USD ($) $ in Thousands	Mar. 31, 2014	Mar. 31, 2013
INVENTORY
Finished products	$ 28,418	$ 28,026
Parts and supplies	1,362	2,192
Inventory	29,780	30,218
Estimated product returns included in inventory	$ 578	$ 1,505

SOFTWARE DEVELOPMENT COSTS AND LICENSES (Details) - USD ($) $ in Thousands	12 Months Ended
	Mar. 31, 2014	Mar. 31, 2013	Mar. 31, 2012
Capitalized software development costs and licenses
Software development costs and licenses, Current	$ 116,203	$ 198,955
Software development costs and licenses, Non-current	109,506	95,241
Software development costs and licenses related to titles that have not been released	211,302	270,488
Amortization and impairment of software development costs and licenses
Amortization of software development costs and licenses	236,759	231,423	$ 144,385
Impairment of software development costs and licenses	52,863	9,385	11,459
Less: Portion representing stock-based compensation	(24,089)	(10,060)	(5,144)
Amortization and impairment, net of stock-based compensation	265,533	230,748	$ 150,700
Software development costs, internally developed
Capitalized software development costs and licenses
Software development costs and licenses, Current	53,041	178,297
Software development costs and licenses, Non-current	60,196	38,592
Software development costs, externally developed
Capitalized software development costs and licenses
Software development costs and licenses, Current	51,643	10,469
Software development costs and licenses, Non-current	49,310	53,649
Licenses
Capitalized software development costs and licenses
Software development costs and licenses, Current	$ 11,519	10,189
Software development costs and licenses, Non-current		$ 3,000

FIXED ASSETS, NET (Details) - USD ($) $ in Thousands	12 Months Ended
FIXED ASSETS, NET (Details) - USD ($) $ in Thousands	Mar. 31, 2014	Mar. 31, 2013	Mar. 31, 2012
Fixed assets
Fixed assets, gross	$ 139,367	$ 110,110
Less: accumulated depreciation	96,795	84,748
Fixed assets, net	42,572	25,362
Depreciation expense	13,203	10,200	$ 11,467
Computer equipment
Fixed assets
Fixed assets, gross	55,751	36,152
Computer software
Fixed assets
Fixed assets, gross	38,111	31,466
Leasehold improvements
Fixed assets
Fixed assets, gross	33,968	31,339
Office equipment
Fixed assets
Fixed assets, gross	5,672	5,819
Furniture and fixtures
Fixed assets
Fixed assets, gross	$ 5,865	$ 5,334

GOODWILL AND INTANGIBLE ASSETS, NET (Details) - USD ($) $ in Thousands	12 Months Ended
	Mar. 31, 2014	Mar. 31, 2013	Mar. 31, 2012
GOODWILL AND INTANGIBLE ASSETS, NET
Impairment loss on goodwill	$ 0	$ 0	$ 0
Change in the goodwill balance
Balance at the beginning of the period	225,992	228,169
Additions and adjustments		1,500
Currency translation adjustment	713	(3,677)
Balance at the end of the period	226,705	225,992	228,169
Components of the intangible assets subject to amortization
Gross Carrying Amount	49,237	49,147
Accumulated Amortization	(44,124)	(40,320)
Net Book Value	5,113	8,827
Amortization of intangible assets
Cost of goods sold	3,558	7,000	983
Depreciation and amortization	156	434	656
Total amortization of intangible assets	3,714	7,434	$ 1,639
Estimated future amortization of intangible assets
2015	425
2016	79
2017	4,023
2018	561
2019	25
Net Book Value	$ 5,113	8,827
Minimum
Components of the intangible assets subject to amortization
Estimated useful life	2 years
Maximum
Components of the intangible assets subject to amortization
Estimated useful life	10 years
Intellectual property
Components of the intangible assets subject to amortization
Gross Carrying Amount	$ 26,949	26,949
Accumulated Amortization	(21,836)	(18,718)
Net Book Value	5,113	8,231
Estimated future amortization of intangible assets
Net Book Value	$ 5,113	8,231
Intellectual property \| Minimum
Components of the intangible assets subject to amortization
Estimated useful life	2 years
Intellectual property \| Maximum
Components of the intangible assets subject to amortization
Estimated useful life	6 years
Trademarks
Components of the intangible assets subject to amortization
Gross Carrying Amount	$ 13,839	13,838
Accumulated Amortization	$ (13,839)	(13,682)
Net Book Value		156
Estimated future amortization of intangible assets
Net Book Value		156
Trademarks \| Minimum
Components of the intangible assets subject to amortization
Estimated useful life	7 years
Trademarks \| Maximum
Components of the intangible assets subject to amortization
Estimated useful life	10 years
Technology
Components of the intangible assets subject to amortization
Estimated useful life	3 years
Gross Carrying Amount	$ 3,200	3,200
Accumulated Amortization	(3,200)	(2,760)
Net Book Value		440
Estimated future amortization of intangible assets
Net Book Value		440
Non-compete
Components of the intangible assets subject to amortization
Gross Carrying Amount	5,249	5,160
Accumulated Amortization	$ (5,249)	$ (5,160)
Non-compete \| Minimum
Components of the intangible assets subject to amortization
Estimated useful life	5 years
Non-compete \| Maximum
Components of the intangible assets subject to amortization
Estimated useful life	10 years

ACCRUED EXPENSES AND OTHER CURRENT LIABILITIES (Details) - USD ($) $ in Thousands	Mar. 31, 2014	Mar. 31, 2013
ACCRUED EXPENSES AND OTHER CURRENT LIABILITIES
Software development royalties	$ 258,129	$ 64,840
Compensation and benefits	44,255	33,564
Licenses	16,917	12,268
Marketing and promotions	16,552	21,601
Income tax payable and deferred tax liability	15,362	53,261
Professional fees	8,781	7,733
Rent and deferred rent obligations	8,111	8,456
Sales tax liability	6,592	3,950
Deferred consideration for acquisitions	1,498	2,498
Other	20,420	20,745
Accrued expenses and other current liabilities	$ 396,617	$ 228,916

LONG-TERM DEBT (Details)				1 Months Ended				3 Months Ended		12 Months Ended
LONG-TERM DEBT (Details)	Aug. 29, 2013 USD ($)	Jul. 17, 2013 USD ($)	Jun. 18, 2013 USD ($) shares d $ / shares	Aug. 31, 2013 USD ($)	Nov. 30, 2011 USD ($) shares d	Oct. 31, 2011 USD ($)	Jun. 30, 2009 USD ($) shares $ / shares	Sep. 30, 2013 USD ($)	Aug. 29, 2013 USD ($) shares	Mar. 31, 2014 USD ($)	Mar. 31, 2013 USD ($)	Mar. 31, 2012 USD ($)	Jun. 12, 2013 USD ($)	Nov. 16, 2011 USD ($) $ / shares
Convertible Notes
Proceeds from issuance of debt										$ 283,188,000		$ 250,000,000
Proceeds from unwinding of convertible note hedge				$ 84,429,000						84,429,000
Payments to warrant holders				$ 55,651,000						55,651,000
Cash payable for convertible notes surrendered for conversion in connection with the redemption on a combination settlement basis										165,999,000
Loss on extinguishment, net of capitalized debt issuance costs								$ 9,014,000		9,014,000
Loss from the unwinding of the convertible note warrant										13,798,000
Gain from the unwinding of the convertible note hedge										17,259,000
Additional information related to convertible notes
Net carrying amount of Convertible Notes										537,500,000
Components of interest expense
Non-cash amortization of discount on Convertible Notes										22,801,000	$ 18,862,000	11,728,000
Amortization of debt issuance costs										1,947,000	2,021,000	1,527,000
Credit Agreement
Credit Agreement
Maximum borrowing capacity						$ 100,000,000
Amount of additional borrowings by which maximum borrowing capacity may be increased						$ 40,000,000
Outstanding borrowings										0	0
Credit Agreement Availability
Available borrowings										63,630,000	73,565,000
Outstanding letters of credit										1,664,000	1,664,000
Interest expense and fees										$ 637,000	638,000	1,248,000
Trailing period for measurement of interest coverage ratio										12 months
Maximum liquidity level triggering the requirement to maintain an interest coverage ratio of one to one										$ 30,000,000
Credit Agreement \| Minimum
Credit Agreement
Monthly fee on unused available balance (as a percent)						0.375%
Credit Agreement Availability
Interest coverage ratio										1
Credit Agreement \| Maximum
Credit Agreement
Monthly fee on unused available balance (as a percent)						0.50%
Credit Agreement \| Base rate
Credit Agreement
Interest rate, variable rate basis										Base Rate
Interest rate at end of period (as a percent)										4.75%
Credit Agreement \| Base rate \| Minimum
Credit Agreement
Interest rate added to base rate (as a percent)						1.50%
Credit Agreement \| Base rate \| Maximum
Credit Agreement
Interest rate added to base rate (as a percent)						2.00%
Credit Agreement \| LIBOR
Credit Agreement
Interest rate, variable rate basis										LIBOR
Interest rate at end of period (as a percent)										2.65%
Credit Agreement \| LIBOR \| Minimum
Credit Agreement
Interest rate added to base rate (as a percent)						2.50%
Credit Agreement \| LIBOR \| Maximum
Credit Agreement
Interest rate added to base rate (as a percent)						3.00%
Letter of Credit
Credit Agreement
Maximum borrowing capacity										$ 25,000,000
4.375% Convertible Notes Due 2014
Convertible Notes
Aggregate principal amount							$ 138,000,000
Interest rate on convertible notes (as a percent)							4.375%			4.375%
Amount pertaining to exercise of over-allotment of debt by underwriters							$ 18,000,000
Initial conversion rate of common stock per $1000 of principal amount of Convertible Notes (in shares)							93.6768
Principal amount used for debt instrument conversion ratio							$ 1,000
Initial conversion price of convertible notes into common stock (in dollars per share) \| $ / shares							$ 10.675
Number of shares to be converted into common stock \| shares							12,927,000
Banking, legal and accounting fees related to issuance of convertible notes							$ 3,410,000
Redemption price of debt instrument for each $1 principal amount													$ 1
Principal amount used for ratio of debt instrument redemption price													$ 1
Cash payable for convertible notes surrendered for conversion in connection with the redemption on a combination settlement basis	$ 7,000
Debt redeemed	7,000								$ 7,000
Loss on extinguishment, net of capitalized debt issuance costs										$ 9,014,000
Additional information related to convertible notes
Additional paid-in capital											42,018,000
Principal amount of Convertible Notes											138,000,000
Unamortized discount of the liability component											12,819,000
Net carrying amount of Convertible Notes											125,181,000
Carrying amount of debt issuance costs											797,000
Components of interest expense
Cash interest expense (coupon interest expense)										2,516,000	6,038,000	6,038,000
Non-cash amortization of discount on Convertible Notes										4,358,000	9,550,000	8,392,000
Amortization of debt issuance costs										284,000	682,000	682,000
Total interest expense related to Convertible Notes										$ 7,158,000	16,270,000	$ 15,112,000
4.375% Convertible Notes Due 2014 \| 4.375% Convertible Note hedge options
Convertible Notes
Derivative nonmonetary notional amount (in shares) \| shares							12,927,000
Investment options exercise price (in dollars per share) \| $ / shares							$ 10.675
Total cost charged to additional paid-in capital for options to purchase common stock							$ 43,600,000
4.375% Convertible Notes Due 2014 \| 4.375% Convertible Note hedge warrants
Convertible Notes
Investment warrants exercise price (in dollars per share) \| $ / shares							14.945
Number of shares of common stock that will be settled against warrants \| shares							12,927,000
Total proceeds from warrants credited to additional paid-in capital							$ 26,300,000
4.375% Convertible Notes Due 2014 \| Maximum
Convertible Notes
Cash payable for convertible notes surrendered for conversion in connection with the redemption on a combination settlement basis	$ 166,000,000
4.375% Convertible Notes Due 2014 \| Conversion Terms at Holder's Option
Convertible Notes
Cash payable for convertible notes surrendered for conversion in connection with the redemption on a combination settlement basis									165,992,000
Amount of debt converted									$ 137,993,000
Number of shares issued upon conversion \| shares									3,217,000
4.375% Convertible Notes Due 2014 \| Redemption Terms at Company Option
Convertible Notes
Target ratio of closing share price to conversion price as a condition for conversion or redemption of Convertible Notes (as a percent)										150.00%
Redemption price as percentage of principal amount of notes plus accrued and unpaid interest										100.00%
4.375% Convertible Notes Due 2014 \| Redemption Terms at Company Option \| Minimum
Convertible Notes
Number of trading days triggering conversion of redemption feature										20 days
4.375% Convertible Notes Due 2014 \| Redemption Terms at Company Option \| Maximum
Convertible Notes
Number of trading days triggering conversion of redemption feature										30 days
1.75% Convertible Notes Due 2016
Convertible Notes
Aggregate principal amount														$ 250,000,000
Interest rate on convertible notes (as a percent)										1.75%		1.75%		1.75%
Amount pertaining to exercise of over-allotment of debt by underwriters					$ 30,000,000
Initial conversion rate of common stock per $1000 of principal amount of Convertible Notes (in shares)					52.3745
Principal amount used for debt instrument conversion ratio														$ 1,000
Initial conversion price of convertible notes into common stock (in dollars per share) \| $ / shares														$ 19.093
Number of shares to be converted into common stock \| shares					13,094,000
Estimated fair value of convertible notes										$ 328,825,000
Banking, legal and accounting fees related to issuance of convertible notes														$ 6,875,000
Banking, legal and accounting fees related to issuance of convertible notes allocated to the liability component					$ 5,428,000
Banking, legal and accounting fees related to issuance of convertible notes allocated to the equity component					$ 1,447,000
Additional information related to convertible notes
Additional paid-in capital										51,180,000	51,180,000
Principal amount of Convertible Notes										250,000,000	250,000,000
Unamortized discount of the liability component										30,025,000	39,979,000
Net carrying amount of Convertible Notes										219,975,000	210,021,000
Carrying amount of debt issuance costs										2,716,000	3,821,000
Components of interest expense
Cash interest expense (coupon interest expense)										4,375,000	4,375,000	$ 1,641,000
Non-cash amortization of discount on Convertible Notes										9,954,000	9,312,000	3,336,000
Amortization of debt issuance costs										1,105,000	1,158,000	449,000
Total interest expense related to Convertible Notes										$ 15,434,000	$ 14,845,000	$ 5,426,000
1.75% Convertible Notes Due 2016 \| Conversion Terms at Holder's Option
Convertible Notes
Target ratio of closing share price to conversion price as a condition for conversion or redemption of Convertible Notes (as a percent)					130.00%
Ratio of closing share price to conversion price as a condition for conversion of Convertible Notes (as a percent)					98.00%
1.75% Convertible Notes Due 2016 \| Conversion Terms at Holder's Option \| Minimum
Convertible Notes
Number of trading days triggering conversion of redemption feature					20 days
Number of trading days in the measurement period that the entity's common stock closing price to conversion price must exceed a specified percentage of conversion price to trigger conversion feature of notes \| d					5
1.75% Convertible Notes Due 2016 \| Conversion Terms at Holder's Option \| Maximum
Convertible Notes
Number of trading days triggering conversion of redemption feature					30 days
Number of trading days in the measurement period that the entity's common stock closing price to conversion price must exceed a specified percentage of conversion price to trigger conversion feature of notes \| d					10
1.75% Convertible Notes Due 2016 \| Conversion Terms upon Occurrence of Certain Fundamental Company Changes
Convertible Notes
Redemption price as percentage of principal amount of notes plus accrued and unpaid interest					100.00%
1.75% Convertible Notes Due 2016 \| Conversion Terms, Event of Default
Convertible Notes
Minimum percentage of aggregate principal amount held by bondholders to declare notes due and payable					25.00%
In event of default arising out of certain bankruptcy events, the percentage of principal amount due and payable					100.00%
1.00% Convertible Notes Due 2018
Convertible Notes
Aggregate principal amount			$ 250,000,000
Interest rate on convertible notes (as a percent)			1.00%							1.00%
Percentage of par value at which debt was issued			98.50%
Period of overallotment option to purchase additional amount of debt granted to underwriters			30 days
Amount pertaining to exercise of over-allotment of debt by underwriters		$ 37,500,000
Proceeds from issuance of debt		$ 283,188,000	$ 246,250,000
Initial conversion rate of common stock per $1000 of principal amount of Convertible Notes (in shares)			46.4727
Principal amount used for debt instrument conversion ratio			$ 1,000
Initial conversion price of convertible notes into common stock (in dollars per share) \| $ / shares			$ 21.52
Number of shares to be converted into common stock \| shares			13,361,000
Estimated fair value of convertible notes			$ 225,567,000							$ 352,763,000
Non-convertible borrowing rate (as a percent)			6.15%
Carrying amount of the equity component of convertible notes			$ 57,621,000
Banking, legal and accounting fees related to issuance of convertible notes			2,815,000
Banking, legal and accounting fees related to issuance of convertible notes allocated to the liability component			2,209,000
Banking, legal and accounting fees related to issuance of convertible notes allocated to the equity component			606,000
Additional information related to convertible notes
Additional paid-in capital										35,784,000
Principal amount of Convertible Notes										287,500,000
Unamortized discount of the liability component										53,444,000
Net carrying amount of Convertible Notes										234,056,000
Carrying amount of debt issuance costs										1,831,000
Components of interest expense
Cash interest expense (coupon interest expense)										2,259,000
Non-cash amortization of discount on Convertible Notes										8,489,000
Amortization of debt issuance costs										378,000
Total interest expense related to Convertible Notes										$ 11,126,000
1.00% Convertible Notes Due 2018 \| Maximum
Convertible Notes
Additional amount of debt for purchase of which overallotment option is granted to underwriters			$ 37,500,000
1.00% Convertible Notes Due 2018 \| Conversion Terms at Holder's Option
Convertible Notes
Target ratio of closing share price to conversion price as a condition for conversion or redemption of Convertible Notes (as a percent)			130.00%
Ratio of closing share price to conversion price as a condition for conversion of Convertible Notes (as a percent)			98.00%
1.00% Convertible Notes Due 2018 \| Conversion Terms at Holder's Option \| Minimum
Convertible Notes
Number of trading days triggering conversion of redemption feature			20 days
Number of trading days in the measurement period that the entity's common stock closing price to conversion price must exceed a specified percentage of conversion price to trigger conversion feature of notes \| d			5
1.00% Convertible Notes Due 2018 \| Conversion Terms at Holder's Option \| Maximum
Convertible Notes
Number of trading days triggering conversion of redemption feature			30 days
Number of trading days in the measurement period that the entity's common stock closing price to conversion price must exceed a specified percentage of conversion price to trigger conversion feature of notes \| d			10
1.00% Convertible Notes Due 2018 \| Conversion Terms upon Occurrence of Certain Fundamental Company Changes
Convertible Notes
Redemption price as percentage of principal amount of notes plus accrued and unpaid interest			100.00%
1.00% Convertible Notes Due 2018 \| Conversion Terms, Event of Default
Convertible Notes
Minimum percentage of aggregate principal amount held by bondholders to declare notes due and payable			25.00%
In event of default arising out of certain bankruptcy events, the percentage of principal amount due and payable			100.00%

COMMITMENTS AND CONTINGENCIES (Details) $ in Thousands	Mar. 31, 2014 USD ($)
Operating Leases
2015	$ 22,180
2016	18,723
2017	16,315
2018	14,440
2019	15,119
Thereafter	43,986
Total	130,763
Purchase Obligations
2015	9,890
2016	4,238
2017	639
Total	14,767
Convertible Notes Interest
2015	8,688
2016	7,250
2017	7,250
2018	2,875
2019	1,438
Total	27,501
Convertible Notes
2017	250,000
2019	287,500
Net carrying amount of Convertible Notes	537,500
Annual minimum contractual obligations and commitments
2015	159,701
2016	62,517
2017	322,181
2018	31,947
2019	315,977
Thereafter	43,986
Total	936,309
Licensing and Marketing
Annual minimum contractual obligations and commitments
2015	36,830
2016	20,096
2017	38,632
2018	14,632
2019	11,920
Total	122,110
Software Development
Annual minimum contractual obligations and commitments
2015	82,113
2016	12,210
2017	9,345
Total	$ 103,668

COMMITMENTS AND CONTINGENCIES (Details 2) - USD ($) $ in Thousands	12 Months Ended			73 Months Ended	76 Months Ended
	Mar. 31, 2014	Mar. 31, 2013	Mar. 31, 2012	Mar. 31, 2014	Mar. 31, 2014	Mar. 31, 2008	Dec. 31, 2007
COMMITMENTS AND CONTINGENCIES.
Rent expense	$ 15,574	$ 15,107	$ 16,018
Contingent consideration
Contingent consideration paid	$ 1,000		4,101
Amount of issuance of common stock in connection with acquisition		$ 400	$ 2,000
Issuance of common stock in connection with acquisition (in shares)		30,726	128,439
2K Czech a.s., formerly known as Illusion Softworks
Contingent consideration
Contingent Consideration							$ 10,000
Contingent consideration paid					$ 8,601
Rockstar New England, Inc., formerly known as Mad Doc Software LLC
Contingent consideration
Contingent Consideration						$ 15,000
Contingent consideration paid				$ 2,650

COMMITMENTS AND CONTINGENCIES (Details 3) - USD ($) $ in Thousands	12 Months Ended
	Mar. 31, 2014	Mar. 31, 2013	Mar. 31, 2012
COMMITMENTS AND CONTINGENCIES.
Matching contribution expense incurred by the Company	$ 7,476	$ 6,089	$ 5,570
Income Taxes
Gross unrecognized tax benefits for which we were unable to make a reasonable and reliable estimate of the period in which it will be settled with the respective tax authorities	$ 24,880

INCOME TAXES (Details) - USD ($) $ in Thousands	3 Months Ended								12 Months Ended
INCOME TAXES (Details) - USD ($) $ in Thousands	Mar. 31, 2014	Dec. 31, 2013	Sep. 30, 2013	Jun. 30, 2013	Mar. 31, 2013	Dec. 31, 2012	Sep. 30, 2012	Jun. 30, 2012	Mar. 31, 2014	Mar. 31, 2013	Mar. 31, 2012
Components of income (loss) before income taxes
Domestic									$ 197,992	$ 16,924	$ (62,655)
Foreign									178,158	(43,036)	(41,182)
Income (loss) from continuing operations before income taxes	$ (31,119)	$ 600,346	$ (132,280)	$ (60,797)	$ 21,273	$ 72,898	$ (11,352)	$ (108,931)	376,150	(26,112)	(103,837)
Current:
U.S. federal									16,340	3,705	(729)
U.S. state and local									4,527	456	(55)
Foreign									12,628	1,730	2,769
Total current income taxes									33,495	5,891	1,985
Deferred:
U.S. federal									(14,216)	(1,821)	1,712
U.S. state and local									(3,462)	134	126
Foreign									(1,358)	846	40
Total deferred income taxes									(19,036)	(841)	1,878
Provision for income taxes	$ (345)	$ 21,902	$ (8,185)	$ 1,087	$ 103	$ 2,021	$ 1,085	$ 1,841	$ 14,459	$ 5,050	$ 3,863
Reconciliation of effective tax rate to the U.S. statutory federal income tax rate
U.S. federal statutory rate (as a percent)									35.00%	(35.00%)	(35.00%)
Foreign tax rate differential (as a percent)									(10.40%)	41.50%	10.60%
Tax amortization of goodwill (as a percent)									0.50%	7.70%	1.80%
Foreign earnings (as a percent)									1.60%	4.00%	(2.30%)
State and local taxes, net of U.S. federal benefit (as a percent)									0.30%	2.30%	0.00%
Valuation allowance - domestic (as a percent)									(19.80%)	(28.40%)	20.50%
Valuation allowance - foreign (as a percent)									(5.10%)	22.20%	5.00%
Other (as a percent)									1.70%	5.00%	3.10%
Effective tax rate (as a percent)									3.80%	19.30%	3.70%

INCOME TAXES (Details 2) - USD ($) $ in Thousands	Mar. 31, 2014	Mar. 31, 2013
Current deferred tax assets:
Sales returns and allowances (including bad debt)	$ 8,757	$ 7,823
Inventory reserves	1,120	1,054
Deferred rent	3,364	4,017
Deferred revenue	15,157	6,790
Bonus	20,586	2,159
Equity compensation	17,232	17,605
Other	6,545	(2,001)
Total current deferred tax assets	72,761	37,447
Less: Valuation allowance	(26,689)	(20,858)
Net current deferred tax assets	46,072	16,589
Noncurrent deferred tax assets:
Equity compensation	2,552	2,598
Domestic net operating loss carryforward	3,645	142,385
Tax credit carryforward	17,368	8,724
Foreign net operating loss carryforwards	8,083	29,682
Total noncurrent deferred tax assets	31,648	183,389
Less: Valuation allowance	(14,085)	(112,054)
Net noncurrent deferred tax assets	17,563	71,335
Current deferred tax liabilities:
Capitalized software and depreciation	(25,806)	(65,808)
Total current deferred tax liabilities	(25,806)	(65,808)
Net current deferred tax asset (liability)	20,266	(49,219)
Noncurrent deferred tax liabilities:
Convertible debt	(29,222)	(19,471)
Intangible amortization	(4,408)	(2,703)
Capitalized software and depreciation	(6,983)	(3,940)
Total noncurrent deferred tax liabilities	(40,613)	(26,114)
Net noncurrent deferred tax (liability) asset	$ (23,050)	$ 45,221

INCOME TAXES (Details 3) - USD ($) $ in Thousands	12 Months Ended
INCOME TAXES (Details 3) - USD ($) $ in Thousands	Mar. 31, 2014	Mar. 31, 2013
Operating loss carryforwards
Provision for foreign withholding taxes or U.S. income taxes, which may become payable if undistributed earnings of foreign subsidiaries are repatriated	$ 0
Total amount of undistributed earnings of foreign subsidiaries	315,700	$ 104,100
Gross unrecognized tax benefits including interest and penalties	24,880	21,712
Gross unrealized tax benefits, which would affect effective tax rate, if realized	24,880	$ 14,302
Domestic \| Begin to expire in 2015
Operating loss carryforwards
Net operating loss carryforwards	9,788
Foreign
Operating loss carryforwards
Net operating loss carryforwards	63,280
Foreign \| Begin to expire in 2015
Operating loss carryforwards
Net operating loss carryforwards	4,607
Foreign \| Begin to expire in 2020
Operating loss carryforwards
Net operating loss carryforwards	$ 45,248

INCOME TAXES (Details 4) - USD ($) $ in Thousands	12 Months Ended
INCOME TAXES (Details 4) - USD ($) $ in Thousands	Mar. 31, 2014	Mar. 31, 2013	Mar. 31, 2012
Aggregate changes to the liability for gross uncertain tax position, excluding interest and penalties
Balance at the beginning of the period	$ 20,400	$ 20,328	$ 13,352
Additions: Current year tax positions	5,069	73	1,741
Additions: Prior year tax positions	2,008	2,812	5,805
Reduction of prior year tax positions	(3,219)	(2,605)
Lapse of statute of limitations	(667)	(81)	(750)
Other, net	(55)	(127)	180
Balance at the end of the period	23,536	20,400	20,328
Increase (Decrease) in interest and penalties	32	(766)	$ 339
Gross amount of interest and penalties accrued	$ 1,344	$ 1,312

STOCK-BASED COMPENSATION (Details) - 2009 Plan - shares	1 Months Ended
STOCK-BASED COMPENSATION (Details) - 2009 Plan - shares	Sep. 30, 2013	Sep. 30, 2012	Sep. 30, 2011	Apr. 30, 2010	Mar. 31, 2014	Apr. 30, 2009
Stock-based compensation
Number of shares issuable						6,409,000
Number of new shares available for grant						4,900,000
Number of shares allocated from other plan						1,509,000
Increase in the available shares for issuance	5,250,000	2,800,000	5,000,000	2,750,000
Number of shares available for grant					4,694,000

STOCK-BASED COMPENSATION (Details 2) - USD ($) $ in Thousands	12 Months Ended
	Mar. 31, 2014	Mar. 31, 2013	Mar. 31, 2012
Stock-based compensation expense
Stock-based compensation expense	$ 78,118	$ 35,765	$ 33,494
Capitalized stock-based compensation expense	26,156	6,964	11,220
Stock-based compensation expense for non-employee awards	16,807	8,789	13,365
Cost of goods sold
Stock-based compensation expense
Stock-based compensation expense	30,124	10,060	5,144
Selling and marketing
Stock-based compensation expense
Stock-based compensation expense	10,136	5,562	5,042
General and administrative
Stock-based compensation expense
Stock-based compensation expense	28,991	17,824	19,963
Research and development
Stock-based compensation expense
Stock-based compensation expense	$ 8,867	$ 2,319	$ 3,345

STOCK-BASED COMPENSATION (Details 3) - USD ($) $ / shares in Units, $ in Thousands		1 Months Ended			12 Months Ended
	Feb. 18, 2014	Jun. 30, 2012	Jun. 30, 2008	Aug. 31, 2007	Mar. 31, 2014	Mar. 31, 2013	Mar. 31, 2012
Stock-based compensation
Stock-based compensation expense					$ 78,118	$ 35,765	$ 33,494
Weighted Average Fair Value on Grant Date
Cash proceeds received when a net exercise option is exercised							239
General and administrative
Stock-based compensation
Stock-based compensation expense					$ 28,991	$ 17,824	$ 19,963
ZelnickMedia
Stock-based compensation
Estimated value of restricted stock awards granted (in dollars per share)					$ 11.83	$ 7.65	$ 12.10
Weighted Average Fair Value on Grant Date
Shares of the Company's common stock exchanged for stock options exercised on a net exercise basis	557,410
Restricted Stock
Stock-based compensation
Vesting period					3 years
Number of shares granted					8,035,000
Shares
Non-vested restricted stock at the beginning of the year (in shares)					7,357,000
Granted (in shares)					8,035,000
Vested (in shares)					(3,863,000)
Forfeited (in shares)					(374,000)
Non-vested restricted stock at the end of the year (in shares)					11,155,000	7,357,000
Weighted Average Fair Value on Grant Date
Non-vested restricted stock at the beginning of the year (in dollars per share)					$ 11.33
Granted (in dollars per share)					16.87
Vested (in dollars per share)					14.18
Forfeited (in dollars per share)					12.42
Non-vested restricted stock at the end of the year (in dollars per share)					$ 11.38	$ 11.33
Future unrecognized compensation cost, net of estimated forfeitures					$ 125,984
Market-based restricted shares
Stock-based compensation
Estimated value of restricted stock awards granted (in dollars per share)					$ 15.73	$ 9.36	16.29
Market-based restricted shares \| ZelnickMedia
Stock-based compensation
Estimated value of restricted stock awards granted (in dollars per share)							$ 0.02
Employee Market-Based
Weighted-average assumptions
Risk-free interest rate (as a percent)					0.60%	0.60%	0.40%
Expected stock price volatility (as a percent)					39.10%	49.30%	58.20%
Expected service period / Expected term until exercise					2 years	2 years 9 months 18 days	2 years
Dividends (as a percent)					0.00%	0.00%	0.00%
Non-Employee Market-Based
Weighted-average assumptions
Risk-free interest rate (as a percent)					0.20%	0.30%	0.40%
Expected stock price volatility (as a percent)					36.50%	40.00%	46.30%
Expected service period / Expected term until exercise					3 years 4 months 24 days	3 years 3 months 18 days	3 years 1 month 6 days
Dividends (as a percent)					0.00%	0.00%	0.00%
Stock Options
Weighted Average Fair Value on Grant Date
Cash proceeds received when a net exercise option is exercised					$ 0
Options
Outstanding at the beginning of period (in shares)					2,009,000	2,164,000	2,317,000
Exercised (in shares)					(2,009,000)		(22,000)
Forfeited (in shares)						(155,000)	(131,000)
Outstanding at the end of period (in shares)						2,009,000	2,164,000
Exercisable at period-end (in shares)						2,009,000	2,164,000
Weighted Average Exercise Price
Outstanding at the beginning of the period (in dollars per share)					$ 14.74	$ 15.16	$ 15.37
Exercised (in dollars per share)					$ 14.74		10.96
Forfeited (in dollars per share)						20.59	19.52
Outstanding at the end of the period (in dollars per share)						14.74	15.16
Exercisable at period-end (in dollars per share)						$ 14.74	$ 15.16
Remaining weighted average contractual life of options exercisable						4 years 4 months 24 days	5 years
Aggregate intrinsic value						$ 2,833	$ 1,296
Shares issued on exercise of options through net share settlement					557,000
Historical annual forfeiture rate (as a percent)					5.00%
Stock Options \| ZelnickMedia
Options
Exercised (in shares)	(2,009,075)
Amendment to Management Agreement \| Restricted Stock \| ZelnickMedia
Stock-based compensation
Vesting period			3 years
Number of shares granted			600,000
Shares
Granted (in shares)			600,000
Amendment to Management Agreement \| Restricted Stock \| ZelnickMedia \| General and administrative
Stock-based compensation
Stock-based compensation expense							499
Amendment to Management Agreement \| Market-based restricted shares
Stock-based compensation
Vesting period			4 years
Number of shares granted			900,000
Shares
Granted (in shares)			900,000
Forfeited (in shares)		900,000
Amendment to Management Agreement \| Non-Employee Market-Based \| ZelnickMedia
Stock-based compensation
Minimum percentage of companies Total Shareholder Return in the NASDAQ Industrial Index the price of the company's common stock must outperform in order for restricted stock to vest			75.00%
New Management Agreement \| Restricted Stock
Shares
Non-vested restricted stock at the beginning of the year (in shares)					2,169,750
Non-vested restricted stock at the end of the year (in shares)					1,894,750	2,169,750
New Management Agreement \| Restricted Stock \| ZelnickMedia
Stock-based compensation
Number of shares granted					1,100,000
Shares
Granted (in shares)					1,100,000
New Management Agreement \| Restricted Stock \| ZelnickMedia \| General and administrative
Stock-based compensation
Stock-based compensation expense					$ 16,807	$ 8,789	$ 12,866
New Management Agreement \| Market-based restricted shares \| ZelnickMedia
Stock-based compensation
Number of shares granted					1,650,000
Minimum percentage of companies in the NASDAQ Composite Index the price of the company's common stock must outperform in order for restricted stock to vest					75.00%
Shares
Granted (in shares)					1,650,000
Management Agreement \| Stock Options \| ZelnickMedia
Stock-based compensation
Vesting period				36 months
Weighted Average Fair Value on Grant Date
Stock-based compensation award, expiration date of grant				10 years
Stock options issued during the period to acquire shares of common stock				2,009,075
Exercise price of stock options at date of grant (in dollars per share)				$ 14.74

STOCK-BASED COMPENSATION (Details 4) - USD ($) $ / shares in Units, $ in Thousands	1 Months Ended	12 Months Ended
	Nov. 30, 2013	Mar. 31, 2014	Jan. 31, 2013
Share repurchase
Number of shares of common stock repurchased		16,238,000
Amount paid including commissions for repurchase of common stock		$ 276,836
Common Stock
Share repurchase
Number of shares authorized to be repurchased			7,500,000
Number of shares of common stock repurchased		4,217,000
Amount paid including commissions for repurchase of common stock		$ 73,325
Commissions		$ 42
Number of shares of common stock remaining available for repurchase under the entity's share repurchase authorization		3,283,000
Common Stock \| Icahn Group
Share repurchase
Number of shares of common stock repurchased	12,021,000
Amount paid including commissions for repurchase of common stock	$ 203,511
Price per share at which the entity repurchased common stock	$ 16.93

SEGMENT AND GEOGRAPHIC INFORMATION (Details) $ in Thousands	3 Months Ended								12 Months Ended
SEGMENT AND GEOGRAPHIC INFORMATION (Details) $ in Thousands	Mar. 31, 2014 USD ($)	Dec. 31, 2013 USD ($)	Sep. 30, 2013 USD ($)	Jun. 30, 2013 USD ($)	Mar. 31, 2013 USD ($)	Dec. 31, 2012 USD ($)	Sep. 30, 2012 USD ($)	Jun. 30, 2012 USD ($)	Mar. 31, 2014 USD ($) item	Mar. 31, 2013 USD ($)	Mar. 31, 2012 USD ($)
SEGMENT AND GEOGRAPHIC INFORMATION
Number of reportable segments \| item									1
Net revenue by geographic region:
Total net revenue	$ 195,208	$ 1,863,869	$ 148,824	$ 142,667	$ 299,487	$ 415,773	$ 273,084	$ 226,139	$ 2,350,568	$ 1,214,483	$ 825,823
United States
Net revenue by geographic region:
Total net revenue									1,093,918	710,488	449,189
Europe
Net revenue by geographic region:
Total net revenue									903,610	328,003	246,260
Canada and Latin America
Net revenue by geographic region:
Total net revenue									178,816	88,427	61,773
Asia Pacific
Net revenue by geographic region:
Total net revenue									$ 174,224	$ 87,565	$ 68,601

SEGMENT AND GEOGRAPHIC INFORMATION (Details 2) - USD ($) $ in Thousands	3 Months Ended								12 Months Ended
	Mar. 31, 2014	Dec. 31, 2013	Sep. 30, 2013	Jun. 30, 2013	Mar. 31, 2013	Dec. 31, 2012	Sep. 30, 2012	Jun. 30, 2012	Mar. 31, 2014	Mar. 31, 2013	Mar. 31, 2012
Net revenue by product platform:
Total net revenue	$ 195,208	$ 1,863,869	$ 148,824	$ 142,667	$ 299,487	$ 415,773	$ 273,084	$ 226,139	$ 2,350,568	$ 1,214,483	$ 825,823
Console
Net revenue by product platform:
Total net revenue									2,148,494	975,994	703,188
PC and other
Net revenue by product platform:
Total net revenue									192,361	216,321	87,318
Handheld
Net revenue by product platform:
Total net revenue									$ 9,713	$ 22,168	$ 35,317

SEGMENT AND GEOGRAPHIC INFORMATION (Details 3) - USD ($) $ in Thousands	3 Months Ended								12 Months Ended
	Mar. 31, 2014	Dec. 31, 2013	Sep. 30, 2013	Jun. 30, 2013	Mar. 31, 2013	Dec. 31, 2012	Sep. 30, 2012	Jun. 30, 2012	Mar. 31, 2014	Mar. 31, 2013	Mar. 31, 2012
Net revenue by distribution channel:
Net revenue	$ 195,208	$ 1,863,869	$ 148,824	$ 142,667	$ 299,487	$ 415,773	$ 273,084	$ 226,139	$ 2,350,568	$ 1,214,483	$ 825,823
Physical retail and other
Net revenue by distribution channel:
Net revenue									1,978,598	958,355	719,179
Digital online
Net revenue by distribution channel:
Net revenue									$ 371,970	$ 256,128	$ 106,644

INTEREST AND OTHER, NET (Details) - USD ($) $ in Thousands	3 Months Ended								12 Months Ended
INTEREST AND OTHER, NET (Details) - USD ($) $ in Thousands	Mar. 31, 2014	Dec. 31, 2013	Sep. 30, 2013	Jun. 30, 2013	Mar. 31, 2013	Dec. 31, 2012	Sep. 30, 2012	Jun. 30, 2012	Mar. 31, 2014	Mar. 31, 2013	Mar. 31, 2012
Interest and other, net
Interest expense, net									$ (33,961)	$ (30,763)	$ (20,616)
Gain on sale											2,200
Foreign currency exchange gain (loss)									209	(778)	(1,311)
Other									199	190	156
Interest and other, net	$ (7,535)	$ (5,949)	$ (10,747)	$ (9,322)	$ (7,789)	$ (8,094)	$ (7,419)	$ (8,049)	$ (33,553)	$ (31,351)	(19,571)
Cash received from sale of intellectual property											2,200
Gain on sale of intellectual property											$ 2,200

OTHER COMPREHENSIVE INCOME (Details) - USD ($) $ in Thousands	12 Months Ended
	Mar. 31, 2014	Mar. 31, 2013
Changes in accumulated other comprehensive income (loss)
Balance at the beginning of the period	$ (4,572)	$ 6,733
Other comprehensive income before reclassifications	6,688	(11,305)
Balance at the end of the period	2,116	(4,572)
Foreign currency translation adjustments
Changes in accumulated other comprehensive income (loss)
Balance at the beginning of the period	(4,916)	6,674
Other comprehensive income before reclassifications	6,447	(11,590)
Balance at the end of the period	1,531	(4,916)
Unrealized gain on derivative instruments
Changes in accumulated other comprehensive income (loss)
Balance at the beginning of the period	344	59
Other comprehensive income before reclassifications	241	285
Balance at the end of the period	$ 585	$ 344

- Definition

Accumulated change in equity from transactions and other events and circumstances from non-owner sources, net of tax effect, at period end. Excludes Net Income (Loss), and accumulated changes in equity from transactions resulting from investments by owners and distributions to owners. Includes foreign currency translation items, certain pension adjustments, unrealized gains and losses on certain investments in debt and equity securities, other than temporary impairment (OTTI) losses related to factors other than credit losses on available-for-sale and held-to-maturity debt securities that an entity does not intend to sell and it is not more likely than not that the entity will be required to sell before recovery of the amortized cost basis, as well as changes in the fair value of derivatives related to the effective portion of a designated cash flow hedge.

+ References + Details

SUPPLEMENTARY FINANCIAL INFORMATION (Details) - USD ($) $ in Thousands	12 Months Ended
	Mar. 31, 2014	Mar. 31, 2013	Mar. 31, 2012
Movement in valuation and qualifying accounts
Beginning Balance	$ 64,081	$ 51,002	$ 42,900
Additions	138,786	109,594	119,462
Deductions	(127,955)	(95,901)	(110,169)
Other	606	(614)	(1,191)
Ending Balance	75,518	64,081	51,002
Valuation allowance for deferred income taxes
Movement in valuation and qualifying accounts
Beginning Balance	132,912	134,168	114,643
Additions			19,525
Deductions	(92,138)	(1,256)
Ending Balance	40,774	132,912	134,168
Sales returns, price protection and other allowances
Movement in valuation and qualifying accounts
Beginning Balance	62,880	50,290	42,104
Additions	138,050	109,107	119,462
Deductions	(127,458)	(95,901)	(110,085)
Other	606	(616)	(1,191)
Ending Balance	74,078	62,880	50,290
Price concessions
Movement in valuation and qualifying accounts
Additions	65,996	66,207	85,977
Returns
Movement in valuation and qualifying accounts
Additions	23,299	14,976	9,608
Other sales allowances
Movement in valuation and qualifying accounts
Additions	48,755	27,924	23,877
Allowance for doubtful accounts
Movement in valuation and qualifying accounts
Beginning Balance	1,201	712	796
Additions	736	487
Deductions	(497)		(84)
Other		2
Ending Balance	$ 1,440	$ 1,201	$ 712

QUARTERLY FINANCIAL INFORMATION (UNAUDITED) (Details) - USD ($) $ / shares in Units, $ in Thousands	3 Months Ended								12 Months Ended
	Mar. 31, 2014	Dec. 31, 2013	Sep. 30, 2013	Jun. 30, 2013	Mar. 31, 2013	Dec. 31, 2012	Sep. 30, 2012	Jun. 30, 2012	Mar. 31, 2014	Mar. 31, 2013	Mar. 31, 2012
QUARTERLY FINANCIAL INFORMATION (UNAUDITED)
Net revenue	$ 195,208	$ 1,863,869	$ 148,824	$ 142,667	$ 299,487	$ 415,773	$ 273,084	$ 226,139	$ 2,350,568	$ 1,214,483	$ 825,823
Software development costs and royalties	28,299	200,333	51,090	53,728	57,576	77,641	77,535	105,004
Product costs	39,022	374,710	33,142	30,987	71,479	99,020	73,314	72,259
Licenses	12,734	42,522	2,969	6,187	9,802	31,735	7,228	8,520
Internal royalties	28,233	502,169	5,262	2,940	15,463	7,903	410	948
Cost of goods sold	108,288	1,119,734	92,463	93,842	154,320	216,299	158,487	186,731	1,414,327	715,837	528,855
Gross profit	86,920	744,135	56,361	48,825	145,167	199,474	114,597	39,408	936,241	498,646	296,968
Selling and marketing	27,577	70,476	101,342	41,601	51,747	60,724	65,851	79,007	240,996	257,329	183,749
General and administrative	50,773	34,718	43,023	32,860	40,369	32,880	30,809	43,202	161,374	147,260	121,200
Research and development	28,632	29,233	26,520	20,871	21,183	22,369	19,320	15,312	105,256	78,184	64,162
Depreciation and amortization	3,522	3,413	3,367	3,057	2,806	2,509	2,550	2,769	13,359	10,634	12,123
Total operating expenses	110,504	137,840	174,252	98,389	116,105	118,482	118,530	140,290	520,985	493,407	381,234
Income (loss) from operations	(23,584)	606,295	(117,891)	(49,564)	29,062	80,992	(3,933)	(100,882)	415,256	5,239	(84,266)
Interest and other, net	(7,535)	(5,949)	(10,747)	(9,322)	(7,789)	(8,094)	(7,419)	(8,049)	(33,553)	(31,351)	(19,571)
Loss on extinguishment of debt			(9,014)						(9,014)
Gain on convertible note hedge and warrants, net			5,372	(1,911)					3,461
Income (loss) from continuing operations before income taxes	(31,119)	600,346	(132,280)	(60,797)	21,273	72,898	(11,352)	(108,931)	376,150	(26,112)	(103,837)
Provision (benefit) for income taxes	(345)	21,902	(8,185)	1,087	103	2,021	1,085	1,841	14,459	5,050	3,863
Income (loss) from continuing operations	(30,744)	578,444	(124,095)	(61,884)	21,170	70,877	(12,437)	(110,772)	361,691	(31,162)	(107,700)
(Loss) income from discontinued operations, net of taxes	(13)	(18)	(25)	(30)	1,303	488	(54)	(66)	(86)	1,671	(1,116)
Net income (loss)	$ (30,787)	$ 578,426	$ (124,120)	$ (61,914)	$ 22,473	$ 71,365	$ (12,491)	$ (110,838)	$ 361,605	$ (29,491)	$ (108,816)
Earnings (loss) per share:
Continuing operations (in dollars per share)	$ (0.40)	$ 5.88	$ (1.40)	$ (0.71)	$ 0.23	$ 0.76	$ (0.15)	$ (1.30)	$ 3.79	$ (0.36)	$ (1.30)
Discontinued operations (in dollars per share)					0.01					0.02	(0.01)
Basic earnings (loss) per share (in dollars per share)	(0.40)	5.88	(1.40)	(0.71)	0.24	0.76	(0.15)	(1.30)	3.79	(0.34)	(1.31)
Continuing operations (in dollars per share)	(0.40)	4.69	(1.40)	(0.71)	0.23	0.66	(0.15)	(1.30)	3.20	(0.36)	(1.30)
Discontinued operations (in dollars per share)					0.01					0.02	(0.01)
Diluted earnings (loss) per share (in dollars per share)	$ (0.40)	$ 4.69	$ (1.40)	$ (0.71)	$ 0.24	$ 0.66	$ (0.15)	$ (1.30)	$ 3.20	$ (0.34)	$ (1.31)