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Midway Gets Reprieve From Bankruptcy Axe

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Midway landed a stay of execution late Monday night, getting their debt holders to hold off on collecting until February, Business Week reports.

The Chicago-based developer and publisher convinced the holders of its $75 million convertible senior notes to extend their right to make the company buy them back until Feb. 19. Midway is in talks with other holders to try and work out a similar agreement, Business Week reports.

While Midway both has This is Vegas and Wheelman on their plate as upcoming titles, the massive job cuts and studio closings seems to make it doubtful that Midway will recover from what is increasingly looking like a death spiral.

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The only question now might be, who is going to buy the rights to Mortal Kombat?

Midway Games, note holders agree to extension