Infogrames gets deadline extension on interest payments

Following an application made earlier this month to extend the deadline for some of its interest payments, Atari's parent company, Infogrames, has been given an extra three months to pay up.

Around EURO 13.4 million (USD 16.2 million) of interest payments are now due to be paid on June 15th, rather than March 15th as originally set down. In addition, Infogrames has been given an extension on a EURO 23 million loan which was due to be repaid between December 15th and March 31st; payment is now due on June 15th.

However, the company must still pay interest of EURO 4.6 million due on OCEANE bonds by the previously agreed date of April 1st.

Infogrames applied for the loan extension just over two weeks ago, requesting more time to carry out financial restructuring.

The company, which has posted annual losses since 1999, recently confirmed it would be putting Atari's internal development studios up for sale in a bid to shore up finances. Earlier this month Atari was warned that it could be delisted from the US stock exchange if it fails to raise the minimum value of shares above USD 1 for ten consecutive days by August 30th.