Atari Reduces Workforce by 20%

Infogrames-owned publisher Atari has announced a restructuring plan that will cut its total workforce by nearly 20%, with the company's administration losing almost 26% of its staff. The company hopes the plan, of which all employees were notified by April 30, 2007 following its approval by Atari's board of directors on April 10, will be completed on or before July 31, 2007. As a result of the action, Atari anticipates a restructuring charge of between $0.8 to $1.1 million during the 2008 fiscal year.

Today's news follows a shift in Atari's upper management earlier this year. In March, Infogrames co-founder Bruno Bonnell left his positions at Infogrames and Atari, which saw him acting as Infograme's CEO and director as well as Atari's CFO, COO, director, and chairman of the board.