THQ IS GOING … GOING … GONE Pending the U.S....

1:08 pm - Wed, Jan 23, 2013: 108 notes

THQ IS GOING … GOING … GONE

Pending the U.S. Bankruptcy court’s acceptance of THQ’s asset auction, THQ will be no more.

It’s a hard way to begin the new year but hopefully it means that more people were able to save their jobs today instead of losing them.

Here’s the memo that THQ sent out today to inform employees of the sale:

To All THQ Employees:

We now have the answers we’ve been seeking through our financial restructuring andChapter 11 case. While much will be written, here are the facts of the bids and auction that occurred:

Yesterday morning, we received a competing bid for the operating business,along with Clearlake’s offer, and numerous offers for separate assets.

During an auction process that lasted over 22 hours, the final conclusion wasthat the separate-asset bids would net more than a single buyer for the majorityof the company.

Shortly, we will, present the results to the U.S. Bankruptcy Court, which mustconcur with our assessment.

The proposed sales of multiple assets is as follows :

Sega agreed to purchase Relic

Koch Media agreed to purchase Volition and Metro

Crytek agreed to purchase Homefront

Take 2 agreed purchase Evolve and

Ubisoft agreed to purchase Montreal and South Park

We expect these sales to close this week.

Some assets, including our publishing businesses and Vigil, along with some otherintellectual properties are not included in the sale agreements. They will remain part ofthe Chapter 11 case. We will make every effort to find appropriate buyers, if possible.

What this means for employees

We expect that most employees of the entities included in the sale will be offeredemployment by the new owners. However, we cannot say what these owners mayintend, and there will likely be some positions that will not be needed under thenew ownership. You should receive notice this week or early next week if the newowners intend to extend employment to you. Please note that the terms of your newemployment, including pay and benefits, may be different from the current terms ofyour employment with THQ.

If you are an employee of an entity that is not included in the sale, we regret thatyour position will end. A small number of our headquarters staff will continue to beemployed by THQ beyond January 25 to assist with the transition. THQ has sufficientresources to pay these employees for work going forward, and we will be contactingthese employees immediately to ensure their continued employment during thistransition period. We are requesting the ability to offer certain severance pay tominimize disruption for employees of non-included entities as they determine the nextsteps in their careers.

We know you will have many questions about this news. We’ll be meeting tomorrowwhen we return to talk through this announcement and to answer any questions youhave. You will receive a benefits fact sheet and FAQs with answers to some questionsthat may be on your mind. Please review these materials closely.

A personal note

The work that you all have done as part of the THQ family is imaginative, creative,artistic and highly valued by our loyal gamers. We are proud of what we haveaccomplished despite today’s outcome.

It has been our privilege to work alongside the entire THQ team. While the companywill cease to exist, we are heartened that the majority of our studios and games willcontinue under new ownership. We were hoping that the entire company would remainintact, but we expect to hear good news from each of the separate entities that will beoperating as part of new organizations.

For those THQ employees who are part of entities that are not included in the sale, weare confident that the talent you have displayed as part of THQ will be recognized as youtake the next steps in your career.

Thank you all for your dedication and for sharing your talent with the THQ team. Wewish you the best of luck and hope you will keep in touch.

Sincerely,

Brian Farrell
Chief Executive Officer

Jason Rubin
President