Atari's fiscal 2008 annual report shows just how dire the publisher's situation has become over the years. Beginning late in 2005, the company began a gradual and aggressive scale-back of its development activities, and by the end of 2007, it had sold away all of its development studios. The company now reveals that it's remained in debt just to sustain its operational costs.
Infogrames SA has long been a majority shareholder in Atari, and announced it would officially acquire the company (and loan it $20 million) in April 2008. One of Infogrames' founders, Bruno Bonnell, was Atari's chairman and CEO until April 2007, presiding over the company's decline.