Take-Two CEO Resigns; Company Lowers Guidance

Representatives from Take-Two Interactive have announced that Jeff Lapin has resigned from the company, after just fifteen months as CEO. The move was widely expected after the company amended his employment agreement. Lapin’s departure follows that of chairman and co-founder Ryan Brant who resigned under heavy criticism from investors. Brant’s replacement Richard Roedel will serve as interim CEO until a permanent replacement for Lapin can be found. At the same time the company also reduced its guidance for the second fiscal quarter and fiscal year, citing lower than expected sales and a delayed launch for key titles. The company now forecasts a second quarter net loss of 15 cents a share on sales of $170 million. Less than a month ago, the company forecast a profit of 33 cents a share on sales of $220 million. For the fiscal year, the company said it is expecting a profit of $2 a share on sales of $1.17 billion, down from $2.45 per share on sales of $1.22 billion. Finally, it was also revealed that Paul Eibeler will return to the company as president and director – a role he held from December 2000 through June 2003. In the meantime Eibeler has spent just ten months as president and COO of Acclaim. Source: CNN Money