Bloomberg Anywhere Remote Login Bloomberg Terminal Demo Request


Connecting decision makers to a dynamic network of information, people and ideas, Bloomberg quickly and accurately delivers business and financial information, news and insight around the world.


Financial Products

Enterprise Products


Customer Support

  • Americas

    +1 212 318 2000

  • Europe, Middle East, & Africa

    +44 20 7330 7500

  • Asia Pacific

    +65 6212 1000


Industry Products

Media Services

Follow Us

THQ in Talks With Wells Fargo to Fix Credit Line Default

Nov. 14 (Bloomberg) -- THQ Inc., the money-losing video-game maker, said it’s working with Wells Fargo & Co. to resolve a technical default on its $50 million credit facility.

Wells Fargo, after reviewing THQ’s receivables and inventories, informed the maker of “Saints Row” games on Oct. 16 that it had borrowed too much under terms of the loan, the Agoura Hills, California-based company said yesterday in a regulatory filing.

The company repaid $5.6 million of the $21 million it had borrowed to stay in compliance, according to the filing, and three weeks later, on Nov. 7, Wells Fargo told THQ it had defaulted on the credit facility after borrowing too much on one or more occasions.

“We believe we will reach an agreement on this matter with Wells Fargo,” THQ President Jason Rubin said yesterday in an e-mailed statement.

THQ said on Nov. 6 it hired the investment bank Centerview Partners LLC to help evaluate its options after the delay of three titles put a strain on its finances. The developer missed a shift to mobile devices and away from consoles, and burned cash with uDraw, a game tablet that failed to catch on last year, losing as much as $100 million, according to Brean Murray analysts.

THQ fell 6.4 percent to $1.11 at the close in New York. The stock has retreated 85 percent this year.

To contact the reporter on this story: Cliff Edwards in San Francisco at

To contact the editor responsible for this story: Anthony Palazzo at

Please upgrade your Browser

Your browser is out-of-date. Please download one of these excellent browsers:

Chrome, Firefox, Safari, Opera or Internet Explorer.