EA Settles Class Action on Overtime

REDWOOD CITY, Calif.--()--Oct. 5, 2005--Electronic Arts (NASDAQ:ERTS) and counsel representing a class of current and former computer graphic artists in Electronic Arts' California studios today announced a settlement agreement on claims for overtime compensation.

Under the terms of the settlement, the claims of the alleged class will be dismissed, and EA will make a total payment of $15.6 million to cover all claims by the class members, plaintiffs' attorney fees, any incentive payments to the named plaintiffs and all administrative costs of the settlement. Any portion of the settlement fund that is unclaimed by class members will go to the Jackie Robinson Foundation, a national nonprofit organization that awards college scholarships to minority students, with a preference toward students interested in studying interactive entertainment.

Settlement of the case, which is pending in the Superior Court of San Mateo County, California, must be approved by the Court before it can become effective.

Plaintiffs and the class were represented in the litigation by Thomas V. Urmy, Jr. and Todd S. Heyman of the Boston law firm Shapiro Haber & Urmy LLP (http://www.shulaw.com) and Robert C. Schubert and Miranda Kolbe of the San Francisco law firm Schubert & Reed LLP (http://www.schubert-reed.com). EA was represented by Lynne C. Hermle and Jessica R. Perry of Orrick, Herrington & Sutcliffe LLP (http://www.orrick.com).

About Electronic Arts

Electronic Arts (EA), headquartered in Redwood City, California, is the world's leading interactive entertainment software company. Founded in 1982, the company develops, publishes, and distributes interactive software worldwide for videogame systems, personal computers and the Internet. Electronic Arts markets its products under four brand names: EA SPORTS(TM), EA(TM), EA SPORTS BIG(TM) and POGO(TM). In fiscal 2005, EA posted revenues of $3.1 billion and had 31 titles that sold more than one million copies. EA's homepage and online game site is www.ea.com. More information about EA's products and full text of press releases can be found on the Internet at http://info.ea.com.

Contacts

Electronic Arts
Trudy Muller, 650-628-7323
tmuller@ea.com

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NASDAQ:ERTS

  • Headquarters: Redwood City, CA
  • Website: info.ea.com/
  • CEO: Lawrence F. Probst III
  • Employees: 6100
  • Organization: Public
  • Ticker: NASDAQ:ERTS
  • Revenues: $3.1 Billion (2005)
  • Net Income: 504 Million (2005)