Midway stock faces de-listing

Written by Joe Martin

November 24, 2008 // 10:10 a.m.

Tags: #credit-crunch #game #games #jobs #midway #new-york-stock-exchange #nyse #stock #wall-street

Midway has revealed that the New York Stock Exchange has warned the company that its stock may soon be de-listed if the situation doesn't change for the company. Currently the company is failing to meet the minimum requirements for listing on the New York Stock Exchange.

Most critically, Midway was told that it may soon be de-listed as the publisher and developer had failed to achieve a minimum closing price of $1.00 USD per share for the last 30 consecutive days, claims GamesIndustry.biz.

The warning comes with a prohibition period which allots a six month for the company to correct the situation and ensure it re-qualifies for listing on the New York Stock Exchange. Throughout the six month period Midway will continue to be listed and available for trading on the New York Stock Exchange.

The warning isn't entirely unexpected either as the company has endured some hard times lately, with losses doubling this year up to $76 million USD. Recent titles such as Unreal Tournament 3 and Blacksite have underperformed for the publisher as well and now the company is pinning its hopes almost solely on Mortal Kombat vs. DC Universe.

Within the company things haven't been great either, with Midway firing 20-30 staff and the company chairman stepping down.

Does Midway deserve to fail, or is it an accidental victim of the credit crunch? Let us know your thoughts in the forums.

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