Square Enix announced overnight that its president Yoichi Wada is stepping down. He will no longer be serving as Square Enix's Representative Director. Yousuke Matsuda, who joined Square in 2001, will take over Wada's role in running the company.
The reason given for Wada's demotion was "a management reorganisation". According to Japanese website 4Gamer, there's no word on what's next for Wada. This comes as Square Enix is forecasting an "extraordinary loss" in its next financial statement.
The changeover is slated to go into effect starting in late June.
Update: According to a supplementary statement Square Enix released, Yoichi Wada is receiving a 60 per cent pay cut in his salary starting this April. This is due to the company's poor performance. What's more, after stepping down in June, president Wada will not be reappointed to Board of Directors.
It's worth noting that Matsuda, who is replacing Wada, is getting a 40 per cent pay cut. Oh, and a promotion.