THQ expects to resolve credit problems

Publisher issues statement after defaulting on $50m credit facility

THQ president Jason Rubin has said that the troubled publisher expects to resolve its credit issues with lender Wells Fargo.


Rubin issued the following statement after it emerged that THQ had defaulted on some part of a $50 million credit facility on multiple occasions.

"As indicated in our quarterly report (10-Q) filed today, THQ is in discussions with Wells Fargo to resolve an issue with regard to our credit agreement," he said. "We believe we will reach an agreement on this matter with Wells Fargo.

"The issue stems from a relatively small amount borrowed against the credit facility in mid-October 2012, which was subsequently repaid in full. THQ currently has $16.4 million outstanding on its facility, which is unchanged since we released second quarter earnings."

Last week THQ reported a net loss of $21 million for the fiscal quarter ended September 30, 2012.

It also delayed three of its biggest upcoming games (South Park: The Stick of Truth, Metro: Last Light and Company of Heroes 2) to allow for "additional development time to be market-ready".