More Reviews
REVIEWS Animal Crossing: amiibo Festival Review
Amiibo Crossing is (not very much) fun for the whole family!

Mario Tennis: Ultra Smash Review
[Update] Mario’s latest tennis game can be a multiplayer blast, but the single player experience is pretty shallow.
More Previews
PREVIEWS Stellaris Preview
Paradox Interactive turns their lends from history to space, with their 4X/grand strategy hybrid.
Release Dates
NEW RELEASES Eiyuu Senki - The World Conquest
Release date: Out Now

MOP: Operation Cleanup
Release date: 12/01/15

JoJo no Kimyou na Bouken Eyes of Heaven
Release date: 12/17/15

Read More Member Blogs
Windows 10 Review for Dummies
By Ivory_Soul
Posted on 08/11/15
After all these years, and growing up with Windows 3.1, I have seen an entire evolution of computers and software. Touch screens and large resolutions were a pipe dream just 15 years ago. Now it's the norm. Going from a Packard Bell (yes, before HP) that couldn't run 3D Ultra Mini...


Atari Files Chapter 11 Bankruptcy

Posted on Monday, January 21 @ 07:55:00 PST 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