Job losses at games giant EA

A US computer games company has announced office closures in Chicago and the UK as part of a cost-cutting programme.

Electronic Arts, based in Redwood City, California, said last week it would trim its global work force by about 4%, laying off about 350 employees.

To help meet this target, the world's largest independent video game publisher yesterday announced the closure of its 150-employee office in downtown Chicago.

The company, which has offices in Chertsey and Guildford, in Surrey, and Warrington, Cheshire, said it plans to consolidate two development studios in England.

EA Games President Frank Gibeau wrote in a memo to employees that executives had wanted to announce the Chicago closure last week but postponed it when a staff member there died.

"We're willing to take risks, make long-term investments, and to support teams and individuals between launches. But each team is responsible for staying on a reasonable path to profitability," wrote Gibeau, who presides over one of the company's four main divisions.

"Unfortunately, EA Chicago hasn't been able to meet that standard."

EA spokesman Jeff Brown, who was in Chicago yesterday, said EA would offer relocation opportunities and severance packages to many employees.

He said the company was not planning closures other than in Chicago and England.