Posted Fri, Feb 19, 2010 by Martuk
Yesterday, a rumor surfaced that Cheyenne Mountain Entertainment (CME), the company behind the Stargate Worlds project, had filed for Chapter 11 Bankruptcy. After a little leg work, Ten Ton Hammer confirmed the rumor and today an official statement was posted on the Stargate Worlds forums to explain the company's decision to file Chapter 11 Bankruptcy as a way to organize debt. One thing noted is the dramatic change in the corporate structure, presumably referring to the recent legal activities surrounding the ousting of the company's former CEO and Chairman Gary Whiting.
Hi guys, in light of recent events this is the official statement from FireSky:
Cheyenne Mountain’s corporate structure has undergone some dramatic changes in the last few weeks, and that has resulted in various actions such as the filing for Chapter 11. Certain parties believed that was the right thing to do, other parties do not and this is still being evaluated and may be rescinded. Even if the bankruptcy should go through, however, Chapter 11 simply allows a company to restructure its debt to a manageable plan approved by the courts. It does not absolve a company of debt, and it does not shut it down or otherwise affect its daily operations.
This will all be sorted out in the legal and proper manner, and all of us on the development side of things hope it’s done as quickly as possible.
That said, our entire staff is in-house working on upgrades and expansions for Stargate Resistance, and we continue to be motivated and excited by the response we’ve received from our customers.
See you on the battlefield!
Will this help the troubled developer pull things together and finish Stargate Worlds, or will it end up being the final nail in the proverbial coffin? Be sure to check out today's Loading... CME Insolvent to get Ten Ton Hammer's take on current CME events.