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Commitments And Contingencies | 12 Months Ended
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Mar. 31, 2020
Commitments and Contingencies Disclosure [Abstract] |
Commitments And Contingencies | (13) COMMITMENTS AND CONTINGENCIES Development, Celebrity, League and Content Licenses: Payments and Commitments The products we produce in our studios are designed and created by our employee designers, artists, software programmers and by non-employee software developers (“independent artists” or “third-party developers”). We typically advance development funds to the independent artists and third-party developers during development of our games, usually in installment payments made upon the completion of specified development milestones. Contractually, these payments are generally considered advances against subsequent royalties on the sales of the products. These terms are set forth in written agreements entered into with the independent artists and third-party developers. In addition, we have certain celebrity, league and content license contracts that contain minimum guarantee payments and marketing commitments that may not be dependent on any deliverables. Celebrities and organizations with whom we have contracts include, but are not limited to: FIFA (Fédération Internationale de Football Association), FIFPRO Foundation, FAPL (Football Association Premier League Limited), and DFL Deutsche Fußball Liga E.V. (German Soccer League) (professional soccer); Liga Nacional De Futbol Profesional (professional soccer); National Basketball Association and National Basketball Players Association (professional basketball); National Hockey League and NHL Players’ Association (professional hockey); National Football League Properties and PLAYERS Inc. (professional football); William Morris Endeavor Entertainment LLC (professional mixed martial arts); ESPN (content in EA SPORTS games); Disney Interactive (Star Wars); and Fox Digital Entertainment, Inc. (The Simpsons). These developer and content license commitments represent the sum of (1) the cash payments due under non-royalty-bearing licenses and services agreements and (2) the minimum guaranteed payments and advances against royalties due under royalty-bearing licenses and services agreements, the majority of which are conditional upon performance by the counterparty. These minimum guarantee payments and any related marketing commitments are included in the table below. The following table summarizes our minimum contractual obligations as of March 31, 2020 (in millions):
|  |  | Fiscal Year Ending March 31, |  |  |  |  |  |  |  |  |  |  |  |
| Total |  | 2021 |  | 2022 |  | 2023 |  | 2024 |  | 2025 |  | Thereafter |  |
Unrecognized commitments |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Developer/licensor commitments |  | $ | 665 |  |  | $ | 178 |  |  | $ | 248 |  |  | $ | 90 |  |  | $ | 87 |  |  | $ | 58 |  |  | $ | 4 |  |  |
Marketing commitments |  | 282 |  |  | 95 |  |  | 85 |  |  | 39 |  |  | 37 |  |  | 26 |  |  | — |  |  |
Senior Notes interest | 134 |  |  | 38 |  |  | 20 |  |  | 19 |  |  | 19 |  |  | 19 |  |  | 19 |  |  |
Operating lease imputed interest | 18 |  |  | 6 |  |  | 4 |  |  | 3 |  |  | 2 |  |  | 1 |  |  | 2 |  |  |
Operating leases not yet commenced | 169 |  |  | — |  |  | — |  |  | 8 |  |  | 12 |  |  | 12 |  |  | 137 |  |  |
Other purchase obligations | 105 |  |  | 46 |  |  | 45 |  |  | 10 |  |  | 2 |  |  | 2 |  |  | — |  |  |
Total unrecognized commitments | 1,373 |  |  | 363 |  |  | 402 |  |  | 169 |  |  | 159 |  |  | 118 |  |  | 162 |  |  |
Recognized commitments |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Senior Notes principal and interest | 1,003 |  |  | 603 |  |  | — |  |  | — |  |  | — |  |  | — |  |  | 400 |  |  |
Operating leases | 224 |  |  | 68 |  |  | 54 |  |  | 30 |  |  | 26 |  |  | 20 |  |  | 26 |  |  |
Transition Tax and other taxes | 66 |  |  | 22 |  |  | 24 |  |  | 3 |  |  | 4 |  |  | 4 |  |  | 9 |  |  |
Licensing commitments | 53 |  |  | 26 |  |  | 27 |  |  | — |  |  | — |  |  | — |  |  | — |  |  |
Total recognized commitments | 1,346 |  |  | 719 |  |  | 105 |  |  | 33 |  |  | 30 |  |  | 24 |  |  | 435 |  |  |
Total Commitments | $ | 2,719 |  |  | $ | 1,082 |  |  | $ | 507 |  |  | $ | 202 |  |  | $ | 189 |  |  | $ | 142 |  |  | $ | 597 |  |  |
The unrecognized amounts represented in the table above reflect our minimum cash obligations for the respective fiscal years, but do not necessarily represent the periods in which they will be recognized and expensed in our Consolidated Financial Statements. In addition, the amounts in the table above are presented based on the dates the amounts are contractually due as of March 31, 2020; however, certain payment obligations may be accelerated depending on the performance of our operating results. Furthermore, up to $20 million of the unrecognized amounts in the table above may be payable, at the licensor’s election, in shares of our common stock, subject to a $10 million maximum during any fiscal year. The number of shares to be issued will be based on their fair market value at the time of issuance. In addition to what is included in the table above, as of March 31, 2020, we had a liability for unrecognized tax benefits and an accrual for the payment of related interest totaling $352 million, of which we are unable to make a reasonably reliable estimate of when cash settlement with a taxing authority will occur. Legal Proceedings We are subject to claims and litigation arising in the ordinary course of business. We do not believe that any liability from any reasonably foreseeable disposition of such claims and litigation, individually or in the aggregate, would have a material adverse effect on our Consolidated Financial Statements.

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