THQ's Business Woes Continue
Update: For the record, most of those on the chopping block (the 240 listed in the story) have already received their walking papers, and game studios didn't suffer; those whe were laid off were in the "administration and publishing offices."
So that's not too terrible.
Not long after being warned of a NASDAQ delisting, we learn that THQ's financial woes may have only just begun.
According to a recent filing with the Securities and Exchange Commission, the publisher confirmed its restructuring plan (that was previously announced to include the abandonment of licensed games for kids), and it's significant. Up to 240 THQ employees could lose their jobs.
Furthermore, CEO Brian Farrell will take a 50% pay cut for the next year; instead of $718,500, he'll only receive $359,250. And if he disappears, his compensation pack will also be reduced in value. So while THQ starts to focus only on their "core franchsies" (Saints Row, Darksiders, Company of Heroes, UFC, Warhammer, and inSane), even the company executives will have to sweat over their jobs.
Let's hope THQ can steer their way clear of this mess; it's never good news when established game publishers flounder.
2/1/2012 8:33:28 PM John Shepard