Activision, Inc. — 2004 Annual Report Publishing net revenues for the year ended March 31, 2003 increased 12% from the prior fiscal year, from $549.5 million to $616.0 million. The following table details our publishing net revenues by platform as a percentage of total publishing net revenues for the years ended March 31, 2003 and 2002 (in thousands): Management’s Discussion and Analysis of Financial Condition  and Results of Operations There were several factors that affected the fiscal 2003 net revenue performance of our publishing business. First,  positively impacting our performance, was an improvement in console sales. Our publishing console net revenues for the year ended March 31, 2003 increased 49% from the prior fiscal year, from $313.0 million to $466.1 million. Fiscal 2003 publishing console net revenues reflect the simultaneous cross-platform, multi-national releases of  Spider-Man:  The Movie in the first quarter and  Tony Hawk’s Pro Skater  4 in the third quarter. In addition, publishing console net  revenue performance was also driven by the following releases:  Tenchu: Wrath of Heaven, Street Hoops and  Cabela’s Big Game Hunter for PS2. Second, publishing hand-held net revenues for the year ended March 31, 2003 decreased by 58% from the prior fiscal year, from $119.2 million to $50.0 million. This decrease reflects the fact that the GBA hardware was launched in June 2001. Our GBA software sales for the year ended March 31, 2002 benefited from the related hardware launch. We also released fewer titles for the hand-held platforms in fiscal 2003—11 titles, in comparison to 19 titles in fiscal 2002. Additionally, the average retail price of titles for hand-held devices was lower in fiscal 2003 than in fiscal 2002. Third, PC net revenues for the year ended March 31, 2003 decreased 15% from the prior fiscal year, from $117.3 million to $99.9 million. Though the number of PC titles released in fiscal 2003 was relatively consistent with fiscal 2002, during fiscal 2002, we released  Return to Castle Wolfenstein for the PC, which was one of our top performing titles of fiscal 2002. PC net revenues for the year ended March 31, 2002 reflect that title’s worldwide strong performance. Lastly, net revenues from our international publishing business for the year ended March 31, 2003 benefited by approximately $14.1 million from a year-over-year strengthening of  the EUR and the GBP in relation to the U.S. dollar. Excluding the impact of foreign currency fluctuations, our domes- tic publishing business and our international publishing business experienced similar year-over-year improvements for the reasons detailed above. page 30 Year Ended % of Year Ended % of March 31, Publishing March 31, Publishing Increase/ Percent 2003 Net Revenues 2002 Net Revenues (Decrease) Change Publishing Net Revenues PC $ 99,893 16% $117,345 21% $ (17,452) (15%) Console PlayStation 2 260,307 42% 110,120 20% 150,187 136% Microsoft Xbox 75,329 12% 32,921 6% 42,408 129% Nintendo  GameCube 74,694 12% 16,773 3% 57,921 345% PlayStation 52,722 9% 113,655 21% (60,933) (54%) Other 3,064 1% 39,517 7% (36,453) (92%) Total Console 466,116 76% 312,986 57% 153,130 49% Hand-held Game Boy Advance 44,060 7% 79,168 15% (35,108) (44%) Game Boy Color 5,906 1% 40,009 7% (34,103) (85%) Total Hand-held 49,966 8% 119,177 22% (69,211) (58%) Total Publishing  Net Revenues $615,975 100% $549,508 100% $ 66,467 12%