Roger Lynch, Former Condé Nast Chief, Takes Over at Mattel

That experience directly relates to the company's strategy. Under Kreiz's leadership, Mattel accelerated its transformation from a toy manufacturer into a company focused on its intellectual property. The company is developing the transfer of physical play into virtual worlds — this summer it announced the launch of Mattel Game Studios.

The board of directors selected Lynch following a succession planning process, noting that he will lead the company's next stage of growth from among its own board members.

The terms of Lynch's contract are disclosed in documents filed with the U.S. Securities and Exchange Commission (SEC). His base salary will be $2.3 million per year. He will be eligible for an annual bonus of 200% of base pay, capped at 400%. The signing bonus in cash is $10.6 million, the restricted stock unit (RSU) award is $6 million, and the relocation compensation is $985,000.

For the period between Kreiz's departure and Lynch taking office, Jonathan Anschell, the company's current general counsel and corporate secretary, will temporarily serve as chief executive. He will retain his current duties while combining them with the interim role.

Mattel also announced that board member Diana Ferguson has become the new independent lead director.

The company approaches the leadership change amid growing revenue. In the latest quarter, net sales rose 10% year over year to $1.1 billion. However, Mattel posted a net loss of $18 million, compared with net income of $53 million a year earlier. Management confirmed its full-year guidance: net sales are expected to grow 3–6%.