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REDWOOD CITY, Calif.--(BUSINESS WIRE)-- Electronic Arts Inc. (NASDAQ:ERTS - News) today announced further details on a restructuring plan which will include consolidating facilities and reducing the work force.

EA expects the restructuring plan will result in annual cost savings of approximately $120 million and restructuring charges of approximately $55-65 million over the next several quarters.

The plan is intended to reduce EAs worldwide work force by approximately 10 percent or 1,000 people. The majority of these actions will be completed by March 31, 2009. This represents a four percent increase from the six percent reduction EA announced on October 30, 2008.

The restructuring also calls for consolidation or closure of at least nine studio and publishing locations. Among the facilities to be consolidated is the Black Box Studio facility in Vancouver, British Columbia. The Black Box development teams and associated game franchises will move to the nearby EA studio location in Burnaby, British Columbia.

EA is implementing a plan to narrow its product portfolio to focus on hit games with higher margin opportunities. The company remains committed to taking creative risks, investing in new games, leading the industry in the growing mobile and online businesses, and delivering high-quality games to consumers.

Member Comments
# 1 savoie2006 @ 12/19/08 02:12 PM
.. PLEASE Don't do away with the NHL series just because it's not one of your biggest sellers.
 
# 2 SHAKYR @ 12/19/08 02:18 PM
I hope Fight Night Round 4 doesn't get delayed or they skimp on features and quality.
 
# 3 Cdenz @ 12/19/08 03:30 PM
I doubt either of those 2 would be cut of delayed....it now gives them more of an excuse why not to deliver a good game.... and I'm talking about Madden and NCAA.....
 
# 4 SHAKYR @ 12/19/08 03:47 PM
you're right. That's what they get for investing so much money into getting exclusive licenses. NFL license and NCAA killed their pockets.
 
# 5 ChaseB @ 12/19/08 05:22 PM
Black Box does Need for Speed and Skate -- it's the studio that seems to be getting shut down. However, it seems like those franchises and development teams are fine, just that they will now be housed in the same place as Fight Night, NHL etc. over at the Burnaby studio.
 
# 6 swetooth9 @ 12/20/08 12:22 PM
no facebreaker 2
haha, jk
 
# 7 ChaseB @ 12/20/08 05:16 PM
Quote:
Originally Posted by swetooth9
no facebreaker 2
haha, jk
Wrong studio. Burnaby = still around = created FaceBreaker.
 
# 8 Behindshadows @ 12/21/08 01:10 AM
I heard Fight Night Round 4 will be the last of it's series!

Farewell FN!!!
 
# 9 stoncold32 @ 12/21/08 12:23 PM
Quote:
Originally Posted by Steve_OS
[b]The company remains committed to taking creative risks, investing in new games, leading the industry in the growing mobile and online businesses, and delivering high-quality games to consumers.
LOL @ this. Too bad it's not true. FIFA '09 is a dang good game, but outside of that the entire '09 EA series is nowhere close to being "high quality". Releasing a game where half the features don't work is not "high quality".

I hope these poor sales light a fire under some of the higher ups butts to let the programmers/producers make a great game ONE TIME...instead of their attitude of "just give them barely enough to make them buy it again next year" That philosophy is not what made EA the juggernaut it became.
 
# 10 Lintyfresh85 @ 12/21/08 04:30 PM
I guess you haven't played NHL before.
 
# 11 spit_bubble @ 12/21/08 07:19 PM
Quote:
Originally Posted by Steve_OS
...EA is implementing a plan to narrow its product portfolio to focus on hit games with higher margin opportunities. The company remains committed to taking creative risks, investing in new games...


So they basically don't know what the hell they're doing?!



Contradict yerself much?

 
# 12 ehh @ 12/22/08 11:02 AM
Good-bye NCAA Basketball.
 
# 13 hrd12 @ 12/22/08 01:57 PM
Quote:
Originally Posted by stoncold32
LOL @ this. Too bad it's not true. FIFA '09 is a dang good game, but outside of that the entire '09 EA series is nowhere close to being "high quality". Releasing a game where half the features don't work is not "high quality".

I hope these poor sales light a fire under some of the higher ups butts to let the programmers/producers make a great game ONE TIME...instead of their attitude of "just give them barely enough to make them buy it again next year" That philosophy is not what made EA the juggernaut it became.
I disagree. NHL 09 is one of the greatest sports games ever made. NHL 08 was pretty solid as well.
 
# 14 bronco92 @ 12/23/08 06:55 AM
Quote:
Originally Posted by Behindshadows
I heard Fight Night Round 4 will be the last of it's series!

Farewell FN!!!
Your source?
 
# 15 godhand1 @ 12/23/08 08:55 AM
no games will be getting cut. they will just make them at new studios: aka consolidation.
 

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