Take Two protects employees from EA takeover - MCV

Take Two protects employees from EA takeover

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Take Two announced a generous severance package for its employees as a result of

EA's $2 billion bid

for the company.

The Financial Times reports that in a regulatory filing late on Friday, Take Two said its Board had approved a package for employees in the event that they lose their jobs as a result of a takeover.

They would receive as much as 1.5 times their salary and bonus for up to 18 months.

According to the FT, EA has already expressed its "surprise" at the compensation package Take Two's management team – incuding chief exec Strauss Zelnick – won for itself last month while talks with EA were being held in private.

Salaries and possible bonuses were more than tripled and restricted shares were awarded worth millions of dollars. The executive team is not included in the new severance terms.

EA has said it sees synergies in Take-Two's corporate and publishing organisations, meaning there would be opportunities for job cuts as EA's more powerful publishing arm takes over distribution of the titles from Take-Two's studios.

However, EA CFO Warren Jenson has spoken of how he values Take Two's creative workforce, referring to them as diamonds” last week.

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