Hasbro Inc., the world’s second-largest toymaker, said Monday second-quarter profit tumbled 82% after costs to repurchase warrants from “Star Wars” director George Lucas’ film venture. But its sales surged on Transformers and Spider-Man toys, according to MarketWatch.

The Lucas warrants are part of an agreement Hasbro has had with Lucasfilm that gave it rights to make and sell toys tied to Star Wars entertainment. It paid Lucasfilm and its licensing operation $200 million in May to buy back the remaining warrants that Lucas held. Those warrants would have given Lucas the rights to buy a specific amount of Hasbro shares at a given price.

“They prevent Lucas from taking the stock” by buying back the warrants, Conder said.

Toys tied to Star Wars dropped during the quarter, though less than the company expected. In 2005, Star Wars toys, helped by that year’s movie release, represented 16% of Hasbro’s total revenue before their sales declined last year, the company said in its annual filing



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