Take-Two Takes Out CEO

"The new board plans to put in place strategies designed to revitalize Take-Two, focus on supporting and enhancing its creative output, improve its margins and ensure that the 2007 release pipeline meets expectations," Zelnick said in a statement.

A shareholder proposal requesting that the board of directors' compensation committee include social responsibility, as well as corporate governance and financial criteria, in setting executive compensation failed.

Take-Two had postponed its annual meeting from March 23 to Thursday in a bid to find alternatives, including a possible sale. But the company's efforts came up short.