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Fanatics Confirms Randomness in Topps Card Distributions with Independent KPMG Audit

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In a significant move toward transparency, Fanatics/Topps has enlisted the services of KPMG, a prestigious auditing firm, to conduct a thorough review of its card distribution processes. This initiative, announced by Fanatics Collectibles CEO Mike Mahan at the Industry Conference in Atlanta, aims to dispel ongoing suspicions among collectors that high-value cards are selectively placed in packs. The audit by KPMG revealed that the company’s procedures robustly prevent any manipulation that would favor specific customers.

For years, concerns have circulated within the collector community about whether prominent breakers and social media influencers receive preferentially packed boxes to enhance excitement or reward high-volume purchases. These concerns have been fueled by videos and posts showcasing breakers unboxing multiple valuable cards. However, Greg Abovsky, CFO of Fanatics Collectibles, explained that the likelihood of breakers finding high-value cards is purely statistical, given the large number of cases they open, and not due to any biased distribution.

During the audit, KPMG's team visited the Texas facility where Topps cards are printed, closely examining the collation process and scrutinizing production logs to ensure the randomness of the card distribution. This audit is reportedly the first of its kind in the trading card industry, with Fanatics aiming to establish a new standard in business practices within the sector.

Moreover, Abovsky responded to queries about whether Fanatics ever seeded boxes with valuable cards for promotion, categorically denying such practices. He highlighted that this audit and future annual audits are part of Fanatics' commitment to actively listen to and address customer concerns, not merely to provide assurances without substance.

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