The US Bankruptcy Court has approved a number of motions that will allow Midway's US business "to maintain ongoing operations pending a final hearing".
The publisher and its US subsidiaries filed petitions for reorganisation under Chapter 11 of the US Bankruptcy Code last week and a number of requests have now been granted.
"In approving the motions, the court authorised Midway, among other things, to utilise its cash to maintain ongoing operations pending a final hearing; to continue salary and expense-reimbursement payments and other benefits to employees; to honour and perform obligations under its customer programs, such as price protection and Market Development Funds programs, regardless of whether these obligations arose before or after the Chapter 11 filing; and to pay certain pre-petition trade claims held by critical vendors," the company said in a giant mouthful of a statement.
"Approval of these motions is an important first step in this planned and orderly reorganisation, enabling Midway to continue to operate as usual during this process," added CEO Matt Booty. "We remain confident in Midway's ability to use this proven process to address our capital structure and explore our strategic alternatives."
This company has been running on fumes for months now. Midway just refuse to roll over and die. I really hope they can survive. They have such a history and it will be a crying shame if they do finally fold.
I was looking forward to the second TNA game too.....Midway though always lived up to their name- always 'mid-ground' always middle of the road, always consistant without ever being truly outstanding. Mortal Kombat was fantastic, but it paled to Street Fighter 2, for example.
It'll be sad to see them go, yes- but a company that borrows one hunderd MILLION dollars from the bank and can't pay probably deserves to go down. They owe a batshit insane amount of money to alot of companies and have very little means to do so.
