Game over for Midway Games Shareholders: Bankruptcy

Classic game titles like Rampage, Defender, Tron, Spy Hunter, Gauntlet, Joust and even reviving Mortal Combat to battle the DC Comic book characters couldn't save Midway Games (NYSE:MWY) from Bankruptcy.

Midway Games, based in Obama's hometown Chicago said that despite "strong underlying fundamentals," it filed for bankruptcy protection for its U.S. operations last Thursday (Feb 12th). Midway cited a recent change in control of the company as the key trigger.

"This was a difficult but necessary decision," said Matt Booty, CEO and chairman of Midway. "We have been focused on realigning our operations and improving our execution, and this filing will relieve the immediate pressure from our creditors and provide us time for an orderly exploration of our strategic alternatives. This Chapter 11 filing is the next logical step in an ongoing process to address our capital structure."

Midway said that the filing does not include the company's non-U.S. operations, which will continue business as normal. Midway shares closed at 16 Cents USD on Friday, in the last 6 months the stock has fallen 93%.  For shareholders, to quote the movie Tron, the game is over, "end of line" -- the final smoke screen has been lifted.