Sega continues to deny buyout rumors.
The New York Times sent shockwaves through the videogaming industry upon reporting that Nintendo was in negotiations regarding a possible $2 billion buy out of the Sega corporation. While both companies have denied such reports, Sega has done so particularly vehemently. After both companies released statements saying that The Times report was completely false, Sega released a follow-up statement further denying the claim. The statement came from the company's executive vice president, Shunichi Nakamura. Nakamura's statement was as follows:
"While Sega has always been fond of The New York Times' objective coverage of our company, we would like to express our concern over the fallacy that appeared on 12/27/00 regarding Nintendo's buy out of Sega. Not only did this erroneous allegation cause the trade of Sega's corporate stock to be temporarily suspended while substantially influencing Sega and Nintendo's stock prices, it caused unnecessary confusion among stockholders, affiliated companies, business partners, and end-users of both companies. It also severely damaged Sega's corporate and brand image during a very precarious time in the videogame industry.
Although top executives of Sega and Nintendo flatly and completely denied the rumor, The New York Times has published yet another article containing similar content on 12/29/00. Such repeated and arbitrary publication of groundless statements is pure harassment and unacceptable obstruction of our business, which we cannot overlook.
We believe that The New York Times as a news organization is heavily responsible for this misinformation.
Sega Corporation is requesting that The New York Times immediately run a notification and apology for the fallacious feature in the same scale and manner as the initial article. We expect The New York Times to address this issue in the honorable tradition of a respectable news source by taking the appropriate and responsible measures toward reparations."
1/2/2001 Bryan Keers