More Reviews
REVIEWS Wayward Manor Review
Not even the power of Neil Gaiman and The Odd Gentlemen could save this game from a fate worse than death: a terrible score.

ONE PIECE Unlimited World Red Review
"Unlimited World Red"? More like "Sorta Limited Town and Extended Areas... Red. And Blue. And Some Yellow."
More Previews
PREVIEWS Pillars of Eternity Preview
For Obsidian's crowdfunded love letter to Infinity Engine games like Icewind Dale and Baldur's Gate, I was impressed by its willingness to pull back the curtain and let me see the machinery behind it.
Release Dates
NEW RELEASES Sacred 3
Release date: 08/05/14

CounterSpy
Release date: 08/19/14

Tales of Xillia 2
Release date: 08/19/14

Plants Vs. Zombies: Garden Warfare
Release date: 08/19/14


LATEST FEATURES How Bioware Creates Romances
Bioware's games have romances where you might save the world, on the side of course.

We Absolutely Should Be Upset With Club Nintendo's Latest Elite Rewards
Surveys out the wazoo and I get a code for Dr. Luigi?
MOST POPULAR FEATURES Picking Your Gender: 5 Industry Professionals Discuss Queer Identity in Gaming
Women from Naughty Dog, ArenaNet, Harmonix, and Gamespot unite to talk about what they want from games in terms of diversity.
 
Coming Soon

LEADERBOARD
Read More Member Blogs
FEATURED VOXPOP Kakulukia
Why Sunset Overdrive Can Go Suck A Lemon
By Kakulukia
Posted on 07/14/14
Yesterday, while cleaning up my media center, I found my copy of Ratchet & Clank: Into The Nexus, which I bought sometime before Christmas last year. I had been pretty excited about this game pre-release, what with it being the first "traditional", albeit shorter than usual,...

GAMING NEWS

Atari Files Chapter 11 Bankruptcy

Posted on Monday, January 21 @ 07:55:00 Eastern by Keri_Honea

Atari has indeed filed for Chapter 11 bankruptcy, but its reasons for doing so aren't as dire as they seem. Atari Inc. and three of its affiliates filed for Chapter 11 reorganization as a method to break the American-based business away from its French parent, Atari S.A. They also hope to find a buyer in the next few months to make the company private. According to the LA Times, their plan is to grow a "modest business focused on digital and mobile platforms."

Atari itself has been steeped in financial troubles for several decades. Atari in the US has slowly been improving over the last few years, mostly thinaks to developing an Atari "greatest hits" compliation for smart phones and the web. The French parent has also been steadily improving over the last couple years, but hasn't been largely profitable due to its subsidiary, Eden Games, which has been up for sale and continually loses money.

What has really killed Atari's profitability is its practically complete reliance upon a London financial company, BlueBay Asset Management, for liquid assets. On December 31st, a $28-million credit with BlueBay lapsed, which halted Atari's work on releasing games currently in progress.

As part of Atari Inc's reorganization plan, it has secured a commitement for $5.25 million in debtor-in-possession financing in order to continue operations and release these games. As soon as the Chapter 11 is complete, and assuming it is successful, Atari Inc. could walk away with little to no debt owed to BlueBay. As a result, Atari's businesses in France would either hunt down a buyer or dissolve altogether.
Tags:   Atari


More from the Game Revolution Network




comments powered by Disqus

More On GameRevolution