New York - Struggling video game publisher Atari (NASD: ATAR) posted a loss of $11.9 million in its delayed quarterly report on Wednesday, as revenue fell to $10.4 million from $19.5 million a year ago, and the company stated "substantial doubt about our ability to continue as a going concern."

The company said it is unsure whether parent company Infogrames will continue to provide funding for its operations, and continues to seek additional financing.

Atari is awaiting to hear from the Nasdaq as to whether its shares will be delisted from the exchange.

The company has been selling off its internal studios and game properties as part of a restructuring plan, but received some additional bad news last week when FUNimation -- owner of the "Dragonball Z" property that has generated top-selling games for Atari -- sued the company for breach of contract.

Additionally, Atari says it is looking to diversify into casual games, online sites, and digital downloading, as well as considering licensing the "Atari" name for use in products other than video games.

Related Links:
http://biz.yahoo.com/prnews/071106/nytu173.html?.v=82

http://biz.yahoo.com/e/071106/atar10-q.html

http://tinyurl.com/2zmtnr (GameDaily)

http://www.atari.com