Atari's U.S. arm files for Chapter 11 bankruptcy protection
The U.S. unit of the once-high-flying video game company files to separate itself from its cash-strapped French parent company.
HERE January 21, 2013
The U.S. operations of pioneering game maker Atari has filed for bankruptcy protection with the intention of separating from its unprofitable French parent.
Together with affiliates Atari Interactive, Humongous, and California US Holdings, Atari requested joint administration in U.S. Bankruptcy Court filing yesterday in an effort to raise independent funding to develop mobile games.
The filing comes a month after the French parent announced it was strapped for cash. The company, which has not been profitable since 1999, forecast in December that it would record a “significant loss“ (PDF) for the 2012-2013 fiscal year and was examining new avenues for raising investments. Hull report HERE
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