Sega Sammy to lay off 400 staff

Double ow. According to this, Sega's laying off 400 staff on the back of disastrous financials for the fiscal year so far. The company has revealed losses of 15.77 billion yen for the nine months to December, compared to a profit of 49.38 billion yen the year previous.

"Due to Sega failing to respond to changing business environment, the operating performance of its core businesses, including the amusement facilities business and domestic consumer business, has not been performing well," said Hajime Satomi, chairman and CEO. "As part of these measures, Sega has determined to solicit voluntary retirement of employees to reduce fixed costs and gain greater cost flexibility through optimum employment."

Sega also confirmed recently that it was to close 110 unprofitable amusement arcades.