Atari files for bankruptcy

Had you forgotten that Atari exists? Well, it sounds like it may sadly not exist for much longer.

The LA Times reports that the cherished retro brand and three of its affiliates filed for Chapter 11 bankruptcy in New York last night. Apparently the motivation was for the company to break free” from French parent company Atari SA.

2012 was a torrid year for Atari, with a spate of retro re-releases unable to prevent revenue falling 34 per cent and profit reaching just $11m. Its share price currently stands at under €1.

If successful, it could see the company emerge free from the debts that have been holding it back. It is also looking for a clean break from its London-based finance partner BlueBay, an entity on which Atari is currently almost completely reliant upon and that currently lacks the clout to allow the publishing of any of the company’s in-development titles.