This might come as a shock to many of you! Peter Moore will resign from his position as Corporate Vice President of IEB at Microsoft. He will now be heading to EA where he will be the President of the EA SPORTS Label. Moore will report to EA CEO John Riccitiello.
Peter Moore said, “The people at EA SPORTS have created one of the strongest brands in the entertainment industry and John Riccitiello is building an organization which will extend the company’s leadership to new platforms and new audiences all over the world. I couldn’t be more eager about joining EA and moving my family back to the San Francisco Bay Area.”
John Riccitiello, CEO, EA says, “Peter Moore’s proven record of leadership in games and sports makes him a terrific fit for heading up EA SPORTS.As a partner at Microsoft and earlier, as a competitor, we’ve learned to respect his vision and leadership.”
Robbie Bach, President of Entertainment & Devices Division, Microsoft explains, “Peter has contributed extremely to the games business since joining Microsoft in 2003 and we are sad to see him go. Since that time, he presided over the global launch of the Xbox 360, spearheaded a revitalized and rebranded Games for Windows business, and helped steer the console’s ascent.”
Peter Moore will be replaced by Don Mattrick, who is a former president at Electronic Arts! Mattrick will take over as the senior vice president of IEB at Microsoft from July 30, 2007. If you are wondering what Moore will be paid at EA, here is the list. It was out up on the official United States Securities and Exchange Commission (SEC) website:
Mr. Moore’s annual base salary will be $550,000 and his discretionary target bonus percentage will be 75% of his annual base salary.
EA has agreed to pay Mr. Moore a one-time bonus of $1,500,000 (minus applicable taxes) in recognition of the future compensation value he would be foregoing by leaving his position at Microsoft. Although Mr. Moore will earn this one-time bonus at the completion of his second year of employment with EA, he will receive it within 30 days of starting employment. If Mr. Moore voluntarily leaves his employment with EA before the completion of two years, he has agreed to repay to EA the full net amount of the bonus.
EA has agreed to grant Mr. Moore a stock option to purchase 350,000 shares of the company’s common stock pursuant to EA’s 2000 Equity Incentive Plan. The stock option will vest as to 24% of the shares twelve months from the first day of the month in which the grant is made, and will then vest in additional 2% increments each month thereafter for the following 38 months.
EA has agreed to grant Mr. Moore 50,000 restricted stock units, which vest as to 50% of the shares on the second anniversary of the grant date, and as to the remaining shares on the fourth anniversary of the grant date.
EA will assist Mr. Moore with relocation-related expenses, which are currently estimated to be approximately $330,000. In the event Mr. Moore voluntarily leaves his employment with EA or is terminated for any reason other than a reduction in force that eliminates his job position (a) prior to the one-year anniversary of his date of hire, he has agreed to pay EA an amount equal to all relocation and gross-up expenses incurred by EA through the date of his termination; or (b) on or after the one-year anniversary of his date of hire and prior to the second anniversary of his date of hire, he has agreed to pay EA an amount equal to a pro-rata portion (24 minus number of full months of employment / 24 months) of all relocation and gross-up expenses incurred by EA through his date of termination.
In accordance with EA’s standard equity grant policies, Mr. Moore’s stock option and restricted stock units are scheduled to be granted on September 17, 2007, the first regularly-scheduled date following Mr. Moore’s start date for which EA’s Compensation Committee will approve equity grants.
Mr. Moore will participate in the compensation and benefit programs generally available to EA’s executive officers.
Well it seems that it will be an end of an era at Microsoft. But EA must be grinning all the way as Peter Moore has been very instrumental in shaping up Microsoft’s gaming ventures. The English born executive has a master’s degree from California State University. Before joining Microsoft, he applied his trade at Sega during the Dreamcast era. He became famous for tattoos of Halo 2 and Grand Theft Auto IV that he has. Who knows, now he might put an FIFA or Cricket tattoo!