It seems that the most constructive thing Atari does these days is flirt with bankruptcy. A shame that such a cherished retro brand has had such a huge fall from grace. Today, reports are coming in that the company's US operation has filed for Chapter 11, in an attempt to break free from French parent Atari SA.
According to the LA Times, the debts of the French Atari has caused much concern in the States, with New York's subsidiary leaders hoping to escape inevitable financial doom and make a new life for the company under a new private owner. Free from the shackles of debt, it will then focus on mobile and digital platforms.
There is another captor that Team Atari USA also wants to escape from - a London-based financial firm named BlueBay Asset Management, which the outfit is almost entirely dependant on. A $28 million credit facility with BlueBay lapsed at the close of 2012, which has paralysed Atari to the point where it can't even release any of its in-development titles.
Atari has previously dangled precariously near bankruptcy once before, in 2006, and the LA Times notes that the company has not been profitable for about a decade. Time for some spring cleaning?
According to the LA Times, the debts of the French Atari has caused much concern in the States, with New York's subsidiary leaders hoping to escape inevitable financial doom and make a new life for the company under a new private owner. Free from the shackles of debt, it will then focus on mobile and digital platforms.
There is another captor that Team Atari USA also wants to escape from - a London-based financial firm named BlueBay Asset Management, which the outfit is almost entirely dependant on. A $28 million credit facility with BlueBay lapsed at the close of 2012, which has paralysed Atari to the point where it can't even release any of its in-development titles.
Atari has previously dangled precariously near bankruptcy once before, in 2006, and the LA Times notes that the company has not been profitable for about a decade. Time for some spring cleaning?
Companies:
Atari
Read More Like This