- Effective March 22, 2020 – GameStop will close customer access to U.S. storefronts and will process orders on a digital only basis, moving to curbside pick-up at stores and eCommerce delivery only
- Company to pay employees whose hours have been eliminated for an additional 2 weeks, and will reimburse one full month of employee benefit contributions
GRAPEVINE, Texas, March 21, 2020 (GLOBE NEWSWIRE) -- GameStop Corp. (NYSE: GME), today provided an update related to its United States store operations and customer service related to COVID-19.
Effective Sunday March 22, 2020, for all locations not already closed in accordance with state and local orders, GameStop will temporarily stop customer access to storefronts, processing orders on a digital only basis, moving to curbside pick-up at stores and eCommerce delivery only. This will allow the Company to continue to serve customers who have purchased online at GameStop.com and the GameStop app and have requested a product pick-up at their local store.
George Sherman, GameStop’s Chief Executive Officer said, “This is an unprecedented time and each day brings new information about the COVID-19 pandemic. Our priority has been and continues to be on the well-being of our employees, customers and business partners. We have been steadfast in our adherence to CDC-guided safety and local government orders for retailers in each of our communities. As millions of Americans look to GameStop to adjust to their new normal of increased time at home, for work, learning and play, we have implemented practices to help ensure the safety and health of our employees, customers and partners. We believe it is prudent to institute further safety protocols while meeting this increased demand through curbside pick-up. As such, stores that remain in operation will provide only pick-up at the door or delivery to home activities to further protect our employees and customers.”
The Company will continue to offer its products online at GameStop.com and on the GameStop app for customers to have their products shipped directly to their homes.
All U.S. GameStop employees have been ensured that they do not have to work if they are not comfortable and should stay home if they feel sick. Additionally, the Company has announced it will pay all U.S. employees whose hours have been eliminated an additional two weeks at their regular pay rate based on the average hours worked in the last 10 weeks. In addition, the Company will reimburse all benefit eligible U.S. employees, one month of the employee portion of benefit expenses. The Company noted that it will provide more detail about its operations when it reports fourth quarter and fiscal year 2019 results on March 26, 2020.
About GameStop GameStop Corp., a Fortune 500 company headquartered in Grapevine, Texas, is the world’s largest video game retailer, operates over 5,500 stores across 14 countries, and offers the best selection of new and pre-owned video gaming consoles, accessories and video game titles, in both physical and digital formats. GameStop also offers fans a wide variety of POP! vinyl figures, collectibles, board games and more. Through GameStop’s unique buy-sell-trade program, gamers can trade in video game consoles, games, and accessories, as well as consumer electronics for cash or in-store credit. The company's consumer product network also includes www.gamestop.com and Game Informer® magazine, the world's leading print and digital video game publication.
General information about GameStop Corp. can be obtained at the Company’s corporate website. Follow @GameStop and @GameStopCorp on Twitter and find GameStop on Facebook at www.facebook.com/GameStop .
Safe Harbor This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Such statements are based upon management’s current beliefs, views, estimates and expectations, including as to the Company’s industry, business strategy, goals and expectations concerning its market position, future operations, margins, profitability, capital expenditures, liquidity and capital resources and other financial and operating information, including expectations as to future operating profit improvement. Such statements include without limitation those about the Company’s expectations for fiscal 2020, future financial and operating results, projections, expectations and other statements that are not historical facts. All statements regarding targeted and expected benefits of our transformation, capital allocation, profit improvement and cost-savings initiatives, and expected fiscal 2020 results, are forward-looking statements. Forward-looking statements are subject to significant risks and uncertainties and actual developments, business decisions and results may differ materially from those reflected or described in the forward-looking statements. The following factors, among others, could cause actual results to differ materially from those reflected or described in the forward-looking statements: the uncertain impact, effects and results of pursuit of operating, strategic, financial and structural initiatives, including the Reboot strategic plan; volatility in capital and credit markets, including changes that reduce availability, and increase costs, of capital and credit; the impact of the COVID-19 outbreak on capital markets and our business; our inability to obtain sufficient quantities of product to meet consumer demand, including due to supply chain disruptions on account of trade restrictions, political instability, COVID-19, labor disturbances and product recalls; the timing of release and consumer demand for new and pre-owned products; our ability to continue to expand, and successfully open and operate new stores for our collectibles business; risks associated with achievement of anticipated financial and operating results from acquisitions; our ability to sustain and grow our console digital video game sales; our ability to establish and profitably maintain the appropriate mix of digital and physical presence in the markets we serve; our ability to assess and implement technologies in support of our omnichannel capabilities; the impact of goodwill and intangible asset impairments; cost reduction initiatives, including store closing costs; risks related to changes in, and our continued retention of, executives and other key personnel and our ability to attract and retain qualified employees in all areas of the organization; changes in consumer preferences and economic conditions; increased operating costs, including wages; disruptions to our information technology systems including but not limited to security breaches of systems protecting consumer and employee information or other types of cybercrimes or cybersecurity attacks; risks associated with international operations; increased competition and changing technology in the video game industry; changes in domestic or foreign laws and regulations that reduce consumer demand for, or increase prices of, our products or otherwise adversely affect our business; our effective tax rate and the factors affecting our effective tax rate, including changes in international, federal or state tax, trade and other laws and regulations; the costs and outcomes of legal proceedings and tax audits; our use of proceeds from the sale of our Spring Mobile business; and unexpected changes in the assumptions underlying our outlook for fiscal 2020. Additional factors that could cause our results to differ materially from those reflected or described in the forward-looking statements can be found in GameStop's Annual Report on Form 10-K for the fiscal year ended February 2, 2019 filed with the SEC and available at the SEC's Internet site at http://www.sec.gov or http://investor.GameStop.com. Forward-looking statements contained in this press release speak only as of the date of this release. The Company undertakes no obligation to publicly update any forward-looking statement, whether as a result of new information, future developments or otherwise, except as may be required by any applicable securities laws.
Contact Media: Phil Denning, ICR Inc. (646) 677-1258 Phil.Denning@icrinc.com
Investors: GameStop Corp. Investor Relations (817) 424-2001 investorrelations@gamestop.com
