Earlier this week we heard rumblings that movie-game publisher Brash Entertainment was hit with massive lay-offs and struggling to stay afloat. Citing tough economic times, Brash confirmed to Kotaku that they have indeed instituted a "cost reduction plan" but say they're not going under.
More than 20 people have been let go across multiple departments, according to a Brash spokesperson.
Affected by this move will also be the closing of some open positions that the company had planned to fill this fiscal year. Employees affected by this action will receive severance and extended benefits. Brash Entertainment will continue to strategically work on its business including the upcoming release of Six Flags Fun Park for the Wii scheduled for this December, and a video game based on the SAW movie franchise for release in 2009.
Variety is reporting that the struggling developer's problems go much deeper.
According to the story that ran early this morning, Brash is working with studios to return licenses or sell them to other publishers. They've also stopped paying developers.
Variety also reports that the company has canned Superman which it was working on with Factor 5.
Tough times all around, it seems.