Game accessory maker Mad Catz is cutting 37 percent of its workforce

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Game accessory maker Mad Catz has announced that it will cut 37 percent of its jobs. The company made this known after announcing poor quarterly figures, which show a loss of $4.36 million, converted about 3.9 million euros.

Due to the losses, the company is going to carry out a reorganization. As a result, 37 percent of jobs will disappear with the aim of lowering operating costs. All actions associated with the layoffs must be completed within one year.

In the period from April to December in 2014, the company still made a loss of $809,000, but in the same period of 2015 this has more than quadrupled. According to Mad Catz, an important part of the increase is due to the disappointing sales of Rock Band 4. The company supplies, among other things, the guitar and drum kit that can be used with the game.

The increased loss is striking because the income from sales has increased. However, the profit on the sales is too low to cover all costs. It is not known exactly how many employees will be affected by the reorganization. Several people in high positions within the company have already resigned before the announcement of the results. Board chairman Thomas Brown, CEO Darren Richardson and vice chairman Whitney Peterson left the day before.

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