Acclaim files for bankruptcy

Dom · Sep 2, 2004, 09:55 PM

NEW YORK (Reuters) - Video game publisher Acclaim Entertainment Inc. AKLM.PK , which has been hampered by a lack of hit titles, filed for bankruptcy liquidation on Thursday after failing to line up new financing.

Acclaim, one of the oldest brands in the industry, has been known as much for failures like "Turok: Evolution" and controversial titles like "BMX XXX" as it has for its successes in the highly competitive industry. It filed for bankruptcy to liquidate its assets under Chapter 7 of U.S. Bankruptcy Code.

The company has also faced lawsuits from some of its top licensees, including ones from teen superstars Mary-Kate and Ashley Olsen and biking legend Dave Mirra.

It was not immediately clear what would happen to Acclaim's properties, including upcoming games like "The Red Star" and "100 Bullets" as well as new entries in the "Worms" franchise.

Acclaim attorney Jeff Friedman said a trustee has been appointed whose duties will be to sell Acclaim's assets, including several titles that are ready to market.

Read More...

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Source: Reuters

Zardon · Sep 3, 2004, 01:01 PM

Games publisher Acclaim has filed for bankruptcy after failing for find new funding.

Acclaim was responsible for Mortal Kombat and Turok and the Worms series of games.

The company said in an SEC filing that negotiations with its primary lender GMAC Commercial Finance had ended and it had failed to find another lender. Its credit line expired on 20 August so it has filed for protection under Chapter 7 of the federal Bankruptcy Code.

Acclaim attorney Jeff Friedman told Reuters that an independent trustee has been appointed to sell off the company's assets, including games that are ready to ship. At least one unnamed creditor is owed more than $20.

Nasdaq has started delisting procedures against the company because its market capitalisation does not meet minimum requirements.

Acclaim was founded in 1987 and has offices in Australia, France, Japan, Spain, the UK and US

register

***craig5320*** · Sep 3, 2004, 01:10 PM

"At least one unnamed creditor is owed more than $20."

Hmmm... Register typo? I think I could just about cover $20

Zardon · Sep 3, 2004, 01:13 PM

maybe they really are broke !

seriously though im guessing its 20k or 20mills

Sandok · Sep 3, 2004, 04:30 PM

A pity... They had good games... From time to time (burnout 2) but ea is killing these people off

skykat · Sep 4, 2004, 12:21 AM

Funny Penny Arcade about it today.

http://www.penny-arcade.com

Resistor · Sep 4, 2004, 07:46 AM

Sad to see a game produce going down like that....

Sep 2, 2004, 09:55 PM	#1
Dom DriverHeaven Extreme Member Join Date: Jun 2002 Posts: 12,940 Rep Power: 0	Video Game Maker Acclaim Files for Bankruptcy NEW YORK (Reuters) - Video game publisher Acclaim Entertainment Inc. AKLM.PK , which has been hampered by a lack of hit titles, filed for bankruptcy liquidation on Thursday after failing to line up new financing. Acclaim, one of the oldest brands in the industry, has been known as much for failures like "Turok: Evolution" and controversial titles like "BMX XXX" as it has for its successes in the highly competitive industry. It filed for bankruptcy to liquidate its assets under Chapter 7 of U.S. Bankruptcy Code. The company has also faced lawsuits from some of its top licensees, including ones from teen superstars Mary-Kate and Ashley Olsen and biking legend Dave Mirra. It was not immediately clear what would happen to Acclaim's properties, including upcoming games like "The Red Star" and "100 Bullets" as well as new entries in the "Worms" franchise. Acclaim attorney Jeff Friedman said a trustee has been appointed whose duties will be to sell Acclaim's assets, including several titles that are ready to market. Read More... _____________________ Source: Reuters

Sep 3, 2004, 01:01 PM	#2
Zardon DriverHeaven Founder Join Date: May 2002 Posts: 32,480 Rep Power: 177	Acclaim files for bankruptcy Games publisher Acclaim has filed for bankruptcy after failing for find new funding. Acclaim was responsible for Mortal Kombat and Turok and the Worms series of games. The company said in an SEC filing that negotiations with its primary lender GMAC Commercial Finance had ended and it had failed to find another lender. Its credit line expired on 20 August so it has filed for protection under Chapter 7 of the federal Bankruptcy Code. Acclaim attorney Jeff Friedman told Reuters that an independent trustee has been appointed to sell off the company's assets, including games that are ready to ship. At least one unnamed creditor is owed more than $20. Nasdaq has started delisting procedures against the company because its market capitalisation does not meet minimum requirements. Acclaim was founded in 1987 and has offices in Australia, France, Japan, Spain, the UK and US register

Sep 3, 2004, 01:10 PM	#3
*craig5320* HH Administrator Join Date: May 2002 Location: Manchester, UK Posts: 8,282 Rep Power: 428 System Specs	"At least one unnamed creditor is owed more than $20." Hmmm... Register typo? I think I could just about cover $20 __________________

Sep 3, 2004, 01:13 PM	#4
Zardon DriverHeaven Founder Join Date: May 2002 Posts: 32,480 Rep Power: 177	maybe they really are broke ! seriously though im guessing its 20k or 20mills

Sep 3, 2004, 04:30 PM	#5
Sandok DriverHeaven Extreme Member Join Date: Jul 2004 Posts: 9,472 Rep Power: 66	A pity... They had good games... From time to time (burnout 2) but ea is killing these people off

Sep 4, 2004, 12:21 AM	#6
skykat DriverHeaven Junior Member Join Date: Aug 2004 Posts: 32 Rep Power: 0	Funny Penny Arcade about it today. http://www.penny-arcade.com

Sep 4, 2004, 07:46 AM	#7
Resistor Get it Going.. Join Date: May 2004 Location: Brisbane ..Oz Posts: 731 Rep Power: 50	Sad to see a game produce going down like that....