Unless otherwise specifically indicated, all dollar or share amounts within tables herein are expressed in millions of dollars or shares, except for per share amounts.

During each of the periods presented in this Form 10-Q there were certain charges incurred which impacted operating results. These charges are detailed below in the Results of Operations - Consolidated.

D&D Beyond Acquisition

•Consumer Products segment net revenues increased 7% to $734.2 million. Wizards of the Coast and Digital Gaming segment net revenues increased 3% to $419.8 million; and Entertainment segment net revenues declined 18% to $185.2 million.

•Net revenues from Franchise Brands increased 7%; Partner Brands net revenues increased 6%; Emerging brands net revenues increased 3%; Hasbro Gaming net revenues decreased 5%; and Entertainment segment net revenues decreased 10% during the first six months of 2022.

A summary of the results of operations is illustrated below for the quarters and six-month periods ended June 26, 2022 and June 27, 2021.

RESULTS OF OPERATIONS - CONSOLIDATED

The quarters ended June 26, 2022 and June 27, 2021 were each 13-week periods.

The following table presents net revenues by brand and entertainment portfolio for the quarters ended June 26, 2022 and June 27, 2021.

The six-month periods ended June 26, 2022 and June 27, 2021 were each 26-week periods.

The following table presents net revenues by product category for the first six months of 2022 and 2021.

PARTNER BRANDS: Net revenues from the Partner Brands portfolio increased 6% during the first six months of 2022 compared to 2021.

The following table presents the Consumer Products segment net revenues by major geographic region for the quarters ended June 26, 2022 and June 27, 2021.

Wizards of the Coast and Digital Gaming Segment

The following table presents Entertainment segment net revenues by category for the quarters ended June 26, 2022 and June 27, 2021.

*Music and Other category net revenues for the quarter ended June 27, 2021 includes $33.4 million related to eOne Music, which was sold at the beginning of the third quarter of 2021.

programming delivered during the second quarter of 2022, lower advertising and administrative costs and the allocation of $9.6 million of intangible asset amortization costs to the Consumer Products segment in 2022, as described above.

* Entertainment segment net revenues and operating loss, for the six-month period ended June 27, 2021 include $65.2 million and ($91.8) million, respectively, from eOne Music, which was sold at the beginning of the third quarter of 2021.

Wizards of the Coast and Digital Gaming Segment

The following table presents Entertainment segment net revenues by category for the six-month periods ended June 26, 2022 and June 27, 2021.

The Company's costs and expenses, stated as percentages of net revenues, are illustrated below for the quarters ended June 26, 2022 and June 27, 2021.

The loss on assets held for sale of $101.8 million, or 7.7% of net revenues during the second quarter of 2021, represents a non-cash impairment charge associated with the disposition of eOne Music.

The loss on disposal of business of $101.8 million, or 4.2% of net revenues during the first six months of 2021, represents a non-cash impairment charge associated with the disposition of eOne Music.

Unlike the Company's retail sales patterns, revenue patterns from the Company's entertainment businesses fluctuate based on the timing and popularity of television, film, streaming and digital content releases. Release dates are determined by factors including the timing of holiday periods, geographical release dates and competition in the market.

beginning March 12, 2020 through December 31, 2022. The change from LIBOR to an alternate rate has not had a material impact on the Company's consolidated financial statements.

As of June 26, 2022, the Company's cash and cash equivalents totaled $628.2 million, of which $41.9 million is restricted under the Company's production financing facilities.

The table below outlines key financial information (in millions of dollars) pertaining to our consolidated balance sheets including the period-over-period changes.

The following table summarizes the changes in the Consolidated Statement of Cash Flows, expressed in millions of dollars, for the six-month periods ended June 26, 2022 and June 27, 2021.

Net cash provided by (utilized for):

The Company also had letters of credit and other similar instruments of approximately $12.8 million and purchase commitments of approximately $413.3 million outstanding at June 26, 2022.

CRITICAL ACCOUNTING POLICIES AND SIGNIFICANT ESTIMATES

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