Hasbro CEO Cocks and Execs Sued for Alleged Securities Violations

[Argyle King]

I have to admit, seeing a bad news story about WotC that is so esoteric that no one really cares is a refreshing change. Haven't had a good WotC is Evil headline in quite a while.

I'm surprised that it's not getting more attention.

In other threads, people seem rather upset about a variety of things like dinosaur bones or the activities of other companies.

That there is so little commentary on WotC and accusations about the mishandling of Cox is surprising.

 

[Scribe]

I'm surprised that it's not getting more attention.

In other threads, people seem rather upset about a variety of things like dinosaur bones or the activities of other companies.

That there is so little commentary on WotC and accusations about the mishandling of Cox is surprising.

Most people are not worried about financials/stocks.

 

[Paul Farquhar]

I'm surprised that it's not getting more attention

It’s because the suit is so preposterous it makes Hasbro look like the good guys. And nobody wants that.

 

[Argyle King]

Most people are not worried about financials/stocks.

True, but it does potentially impact the products.

Also, given that members of the community show an interest in calling out what is perceived as bad behavior on the part of gaming companies, I had thought allegations of fraud and allegations of intentionally ruining the product would garner more attention.

There are people alleging that Cox personally benefitting from fraudulently inflating stock value because his pay included stock options.

Edited to add a quote from a Yahoo article covering it:

"...the plaintiffs claim Hasbro executives "caused the Company substantial harm by causing it to repurchase its own shares at artificially inflated prices," as Hasbro spent $125 million to repurchase approximately 1.4 million shares of its own stock from April 2022 to July 2022, when share values had been "artificially inflated" by the outpouring of new Magic sets."

 

[Scribe]

True, but it does potentially impact the products.

Also, given that members of the community show an interest in calling out what is perceived as bad behavior on the part of gaming companies, I had thought allegations of fraud and allegations of intentionally ruining the product would garner more attention.

There are people alleging that Cox personally benefitting from fraudulently inflating stock value because his pay included stock options.

Edited to add a quote from a Yahoo article covering it:

"...the plaintiffs claim Hasbro executives "caused the Company substantial harm by causing it to repurchase its own shares at artificially inflated prices," as Hasbro spent $125 million to repurchase approximately 1.4 million shares of its own stock from April 2022 to July 2022, when share values had been "artificially inflated" by the outpouring of new Magic sets."

I'm not interested in whataboutism. Corps messing around with stock/shares? Its not going to move the needle, because again most are not in the stock game, and it doesnt impact...well hardly anyone honestly.

Some of us suspect Magic has been propping up Wizards, who has been propping up Hasbro, for some time. There is no outrage, because this is just confirmation of a long held position.

 

[HatWearingFool]

True, but it does potentially impact the products.

Also, given that members of the community show an interest in calling out what is perceived as bad behavior on the part of gaming companies, I had thought allegations of fraud and allegations of intentionally ruining the product would garner more attention.

There are people alleging that Cox personally benefitting from fraudulently inflating stock value because his pay included stock options.

Edited to add a quote from a Yahoo article covering it:

"...the plaintiffs claim Hasbro executives "caused the Company substantial harm by causing it to repurchase its own shares at artificially inflated prices," as Hasbro spent $125 million to repurchase approximately 1.4 million shares of its own stock from April 2022 to July 2022, when share values had been "artificially inflated" by the outpouring of new Magic sets."

I hate to sound resigned but companies making short term legally questionable decisions to boost ceo bonuses and possibly inflate shareholder value is just standard business practice in this late stage capitalism hellscape.

It doesn’t make it ok and we should be outraged but I think we are all too used to this behaviour to be shocked by it.

Finding out a CEO did something bad (even sometimes illegal things) for the long term health of their company in order to boost their bonus… is just meh at this point.

Welcome to late stage capitalism… we have a variety of media you can consume to prepare yourself for where it’s all headed.

 

[Jefe Bergenstein]

Not a reason that's good for play, however (the thing they are theoretically intended for).

Yes it is actually. Cheap commons and uncommons was good for the game and for DM's. I have a 27 gallon tub of minis I bought because of how you could pick up orcs for pennies and ogres for 50 cents.

This was all fueled by rares driving sales. It was good for the consumers and WOTC. When they listened to the geezers who complained about buying things on the newfangled internet and made the packs with visible figures, it killed WOTC's line, because certain monsters pegwarmed while others didnt.

 

[Argyle King]

I'm not interested in whataboutism. Corps messing around with stock/shares? Its not going to move the needle, because again most are not in the stock game, and it doesnt impact...well hardly anyone honestly.

Some of us suspect Magic has been propping up Wizards, who has been propping up Hasbro, for some time. There is no outrage, because this is just confirmation of a long held position.

I'm not interested in whataboutism either. I simply thought it would get more attention based upon the energy given to similar things.

I agree that it's not in any way surprising to learn that Magic is being used to prop up the company. I was, however, surprised at the allegations of "fraud."

Not long ago, there were people (some even here on ENWorld) who felt very positive about Cox. There were stories about how he'd be great for the company and how plays D&D with 30-40 people at a time. Going from that to allegations of "fraud" involving Cox is a sharp contrast.

 

[Zardnaar]

I'm not interested in whataboutism either. I simply thought it would get more attention based upon the energy given to similar things.

I agree that it's not in any way surprising to learn that Magic is being used to prop up the company. I was, however, surprised at the allegations of "fraud."

Not long ago, there were people (some even here on ENWorld) who felt very positive about Cox. There were stories about how he'd be great for the company and how plays D&D with 30-40 people at a time. Going from that to allegations of "fraud" involving Cox is a sharp contrast.

We had done glazers going into bat for WotC.

Few doomers in other threads.

Just a reminder Hasbros an American Corporation. Set your expectations appropriately.