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Electronic Arts sees loss as it delays 3 games reports EA's financial
results, saying: "EA's fiscal third-quarter net loss was $641 million, or $2.00
a share, compared with a loss of $33 million, or 10 cents a share, a year ago.
Excluding costs related to restructuring and other special items, EA had a
profit of 56 cents a share for the quarter ended December 31, far short of
analysts' expectations of 88 cents, according to Reuters Estimates." The story
also reports three game delays, the previously reported delays to The Sims 3
and Dragon Age: Origins, as well as a setback for Godfather II,
which is now expected in EA's fiscal year 2010. The financial results also have
word that EA's job cuts are going even deeper than previously expected: "The
company, based in Redwood City, California, also said it would cut 1,100 jobs,
or about 11 percent of its workforce, higher than the 1,000 it announced in
December. It also plans to close 12 facilities as it narrows its product
portfolio. EA expects to incur total restructuring charges, including severance
and facility closures, of $65 million to $75 million, which will be recorded
over the next 12 months."
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