THQ, WWE, JAKKS Pacific Reach Settlements

THQ Inc., World Wrestling Entertainment, Inc., and JAKKS Pacific, Inc. have reached settlement agreements with respect to the WWE video game and toy licenses, and the THQ/JAKKS Pacific joint venture.

Under the three-party settlement, all claims have been withdrawn and all litigation ended among the parties without any party admitting any wrongdoing. THQ will pay WWE $13.2 million and, additionally, THQ has entered into a new eight-year video game license directly with WWE starting January 1.  The license is three years longer than the renewal term under the previous arrangement.

THQ will also pay JAKKS Pacific $20 million over the next four year, in addition to its preferred return payment to JAKKS for the period ending December 31, 2009. The payments will be $6 million due June 2010 and June 2011, and $4 million due June 2012 and June 2013. The THQ/JAKKS Pacific joint venture will terminate effective December 31, 2009. For more information regarding the new license agreement between WWE and THQ, visit