Midway Delisted, Holds Onto Its Cash

Following its filing for Chapter 11 bankruptcy protection, Midway Games [MWY] has been delisted from the New York Stock Exchange.

Midway has failed to maintain NYSE’s rule of keeping an average closing price of $1, maintain a market cap of at least $75 million and latest reported shareholders’ equity of at least $75 million for 30 consecutive days. Midway’s last closing price was 10 cents per share, its market cap $9.6 million, and shareholder equity was a deficit of $113.5 million when it reported its Q3 results in November.

In related Midway news, the company has received approval from the US Bankruptcy Court of its cash collateral in its Chapter 11 filing. The approval will enable Midway to utilize its cash to maintain its business, including salary and expense reimbursement payments to employees.

“Approval of these motions is an important first step in this planned and orderly reorganization, enabling Midway to continue to operate as usual during this process,” said Matt Booty, Chairman and CEO. “We remain confident in Midway’s ability to use this proven process to address our capital structure and explore our strategic alternatives.”