Electronic Arts 2007 Annual Report Download - page 35

PROPOSAL 5. RATIFICATION OF THE APPOINTMENT OF KPMG LLP, INDEPENDENT REGIS-
TERED PUBLIC ACCOUNTING FIRM
KPMG LLP has audited the financial statements of EA and its consolidated subsidiaries since fiscal 1987. The
Board, through the Audit Committee, has appointed KPMG LLP as EA’s independent registered public
accounting firm (“independent auditors”) for fiscal 2008. The Audit Committee and the Board believe that
KPMG LLP’s long-term knowledge of EA and its subsidiaries is valuable to the Company. Representatives of
KPMG LLP have direct access to members of the Audit Committee and the Board. Representatives of KPMG
LLP will attend the Annual Meeting in order to respond to appropriate questions from stockholders, and may
make a statement if they desire to do so.
Ratification of the appointment of KPMG LLP as our independent auditors is not required by our bylaws or
otherwise. The Board of Directors has determined to submit this proposal to the stockholders as a matter of
good corporate practice. If the stockholders do not ratify the appointment, the Audit Committee will review
their future selection of auditors. Even if the appointment is ratified, the Audit Committee may, in its
discretion, direct the appointment of different independent auditors at any time during the year if they
determine that such a change would be in the best interests of the Company and the stockholders.
Fees of Independent Auditors
The aggregate fees billed for the last two fiscal years for each of the following categories of services are set
forth below:
Description of Fees
Year Ended
March 31, 2007
Year Ended
March 31, 2006
Audit
(1)
– Worldwide audit fee ........................................ $4,175,000 $4,428,000
– Accounting concurrence and regulatory matters .................... 157,000 67,000
Total audit fees . . . .......................................... 4,332,000 4,495,000
Audit-Related Fees
(2)
– Benefit plan audit .......................................... 29,000 27,000
Total audit-related fees ........................................ 29,000 27,000
Tax
(3)
– Compliance ............................................... 410,000 618,000
– Planning ................................................. — 55,000
Total tax fees ............................................... 410,000 673,000
All Other Fees
(4)
Total all other fees . .......................................... 216,000 —
Total All Fees ................................................ $4,987,000 $5,195,000
(1)
Audit Fees: This category includes the annual audit of the Company’s financial statements and manage-
ment’s assessment of internal control over financial reporting (including required quarterly reviews of finan-
cial statements included in the Company’s quarterly reports on Form 10-Q), and services normally
provided by the independent auditors in connection with regulatory filings. This category also includes con-
sultation on matters that arose during, or as a result of the audit or review of financial statements, statutory
audits required for our non-US subsidiaries, and services associated with our periodic reports and other
documents filed with the SEC and foreign filings, as well as Sarbanes-Oxley Section 404 (“Section 404”)
compliance consultation.
(2)
Audit-Related Fees: This category consists primarily of fees related to the annual audit of our 401(k) bene-
fit plan.
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