informa
1 min read
article

Midway Turns To NAI For Cash Aid With New Deal

Hoping to rustle up some cash flow to finance inventory and manufacturing for its Fall lineup, Midway will sell some of its accounts receivable to National Amusements Inc (NAI), opening the door for a possible $40 million in aid from the company directed
Hoping to rustle up some cash flow to fund inventory and manufacturing for its Fall lineup, Midway will sell some of its accounts receivable to National Amusements Inc (NAI). NAI is directed by Shari Redstone, who is also Midway's Board chair. The factoring agreement lets Midway sell up to $40 million in accounts receivable to NAI, to offset the cost of manufacturing its 2008 titles TNA Impact, Blitz: The League II, and Mortal Kombat vs. DC Universe. Midway interim CEO Matt Booty said the agreement "underscores both our confidence in our franchises as well as the benefit of our relationship with National Amusements." In its second fiscal quarter, Midway reported a $34.8 million net loss, more than doubling its losses year over year. It also saw a 26 percent drop in revenue year-over-year to $23.4 million. The company expects things to turn around when they report their third fiscal quarter results at this month's end, projecting a revenue increase to $52 million. Said Redstone, "With the additional resources provided through this agreement, I believe Midway will be well positioned to capitalize on the release of these highly anticipated products and lay the foundation for the growth of these franchises."

Latest Jobs

Disbelief

Chicago, Illinois
05.10.22
Producer

Build a Rocket Boy Games

Edinburgh, Scotland
05.12.22
Lead Animation Programmer

Windwalk Games

Austin, Texas
05.16.22
Game Designer

Sucker Punch Productions

Bellevue, Washington
05.10.22
Campaign Director
More Jobs   

CONNECT WITH US

Register for a
Subscribe to
Follow us

Game Developer Account

Game Developer Newsletter

@gamedevdotcom

Register for a

Game Developer Account

Gain full access to resources (events, white paper, webinars, reports, etc)
Single sign-on to all Informa products

Register
Subscribe to

Game Developer Newsletter

Get daily Game Developer top stories every morning straight into your inbox

Subscribe
Follow us

@gamedevdotcom

Follow us @gamedevdotcom to stay up-to-date with the latest news & insider information about events & more