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Not the end for Midway just yet

by on19 January 2009

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Reaches an agreement with creditors


Things have been looking pretty bad for Midway with the announcement that the current company was going to be forced to repurchase convertible senior notes. As luck would have it, however, Midway has been able to reach an agreement with the holders of the convertible senior notes that gives Midway an extension. The trigger to accelerate the repurchase of the notes by Midway was due to a change in control of the company that came in late November.

With the new agreement in place Midway has more time to try to rebound and get the company back into a positive cash flow situation. Of course, the struggle will be difficult and the company has a significant amount of challenges ahead to turn things around. The news has to be good for those Midway employees left, as in many ways they have to believe that things are on the upswing.

Recent releases have met with better than average reviews, which could be an indication that the company is back on track. Still, the next titles that Midway releases will be pivotal to the success of the company for the near future. Many believe that Midway will need an exceptional smash hit that brings players back to the Midway brand in order for the company to stand a chance.

Of the announced upcoming titles, the Vin Diesel title,  “Wheelman,” along with gritty “This is Vegas” might be the best chance for the company to rebound. The early buzz on Wheelman seems to be pretty positive and Midway could have a very good chance with this title. As for This is Vegas, the buzz on this title seems mixed at the moment, with more taking a wait and see approach.

Last modified on 19 January 2009
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