Restructuring hits full swing as publisher announces Q2 financials
Electronic Arts is to close its Chertsey, UK facility as part of a large-scale reorganisation of the business.
The plan to split the company into four separate labels was announced in June, but was official approved by EA's board of directors at the start of this week.
Over the next two years, EA expects the restructuring the mean the closure of "certain facilities" including the Chertsey base which until last year hosted the UK studio (which has since moved to Guildford).
EA also said the changes also meant "relocating and/or eliminating certain job positions" and incurring costs from resulting contract fulfilment/payment or IT and consultancy overseeing the restructure.
The news came as part of EA's Q2 financials, in which the company reported a lost of $195m. Net revenue was down 18 per cent on the same period last year to $640m, down 18 per cent from the prior year. Gross profit was counted at $245 million, down 45 per cent year on year.
Just last week the company confirmed that jobs were to go at a number of its studios, although at the time a spokesperson called them "small and somewhat routine" and resulting from the finishing of certain titles.
During a conference call to investors after the financial report was published, Riccitiello confirmed that around 350 people would lose their jobs as part of the latest restructuring.