The publisher of Electronic Gaming Monthly and Games for Windows Magazine, Ziff-Davis Media, failed to make an interest payment yesterday and announced that it was negotiating with its lenders to restructure a rather sizable debt. The company, which also owns the web sites 1UP, FileFront, GameVideos, MyCheats and GameTab, owes some $US390 million, a figure which CEO Josh Young says “was put on the company when it was a very different scale.” The group now employs less than 300, down from 1200 at one point.Ziff-Davis has been trying to reduce some of its debt by selling off properties, attempting to court buyers for other pubs, and has cut down the number of magazines under its umbrella, shutting down the Official PlayStation Magazine earlier this year.
No, it doesn’t sound good, but Young says that “Operationally, we’re in very good shape.” I’ll tell you who’s in good shape; GameVideos’ Mark MacDonald! Guy must’ve run track in high school or something.
ZIFF SKIPS PAYMENT [NY Post]