More Reviews
REVIEWS Boss! Review
PlayStation Vita owners looking to exercise a little frustration can look to this rather low-fi title about creating a monster and destroying everything in your path.

KINGDOM HEARTS HD 2.5 ReMIX Review
Part 2 of Square-Enix and Disney's cooperative compilation cash-cow is ready to milk the series for another go, but does the milk taste sweet or is it spoiled?
More Previews
PREVIEWS Evolve Preview
With multiplayer action set as its focus, Evolve surprised us earlier this month by introducing a single-player campaign mode where you can switch between mercenaries.
Release Dates
NEW RELEASES Kalimba
Release date: Out Now

Persona 5
Release date: 12/31/14

Motorcycle Club
Release date: 01/01/15

Atelier Ayesha Plus: The Alchemist of Dusk
Release date: 01/14/15


LATEST FEATURES Downloadable Content Walks the Line Between Fun and Frenzied in Middle-earth
I don’t even care all that much for the Lords of the Rings brand, which makes the content falling under Shadow of Mordor’s Season Pass a pleasant surprise.

Ugly Christmas Sweaters for Gamers
If this awful trend is going to persist, you may as well do it your way.
MOST POPULAR FEATURES Black Friday 2014 Video Game Deals Buyer's Guide
Looking to score the most bang for your buck the day after Thanksgiving? Well look no further! Our Black Friday guide is just the tool you need.

LEADERBOARD
Read More Member Blogs
FEATURED VOXPOP KevinS
RIP Ralph Baer (1922-2014)
By KevinS
Posted on 12/07/14
RIP Ralph Baer (1922-2014) I really, really hate writing obits. I really do. But I take it as a personal honor to be able to say good things about the men and women I respect, whether in this industry or just in my life, and Ralph Baer is the reason all of this exists in the first...

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
FOLLOW ME ON TWITTER. YOU KNOW YOU WANT TO.


More from the Game Revolution Network




comments powered by Disqus