Midway Games to Cancel Some Titles, Focus on "Core" Properties

Authored by Mark Hefflinger on October 16, 2008 - 8:22am.

Chicago - Struggling video game publisher Midway Games (NYSE: MWY), which posted a $70 million loss for the first half of 2008, announced on Thursday that it has agreed with licensing partners to cancel future versions of some game properties and associated development costs.

The company did not say exactly which licenses and games would be canceled.

"The resolution of these licensing arrangements on good terms for the company is a very positive step as we continue to review Midway's involvement with underperforming projects and focus on our core properties," said Matt Booty, interim CEO and president of Midway Games.

"Our fall lineup and strong pipeline of games that tie in to market-leading licenses like DC Comics and TNA Wrestling underscore our strategy of aligning with consumer and entertainment properties that can drive a solid gaming experience."

With the cancellations, the company now expects a third quarter net loss of $0.70 per share, as opposed to its earlier projection of $0.49.