The 3DO Company has finished the fiscal second quarter ended September 30, 2001 in line with expectations. Revenues were $9.9 million, compared to $20.2 million reported for the second quarter of last fiscal year. The net loss for the quarter decreased by 42% to $9.7 million, or $0.20 per share, compared to a loss of $16.7 million, or $0.45 per share in the same quarter last year. The company recorded an adjustment to the second quarter of the prior fiscal year, which resulted in a reduction of $1.8 million of revenue and $0.5 million in cost of sales.

On Monday, October 29, 2001, MTV Networks announced a worldwide restructuring plan resulting in 450 lay-offs, approximately 9% of its full-time staff. The departments most significantly affected are the online divisions and MTV Animation. The once separate online operations will be integrated with the television businesses meaning staffers for the online division will be moved out of their current location at 770 Broadway and merged with the television operation in midtown Manhattan. This move represents the majority of the staff cuts.

The Walt Disney Company has completed its previously announced acquisition of Fox Family Worldwide, Inc. from Haim Saban and Fox Broadcasting Company. The acquisition closed on October 21, 2001 with a final purchase price of $5.2 billion, including approximately $2.9 billion in cash and the assumption of $2.3 billion in Fox Family. Michael D.

Disney has announced plans to close The Secret Lab, the visual effects unit of its Feature Animation group. The Secret Lab was formed two years ago, emerging from Oscar-winning effects house Dream Quest Images, which was founded in 1979 and became a division of Disney in 1996. In a VARIETY report, Walt Disney Feature Animation president Thomas Schumacher stated that The Secret Lab is no longer actively seeking outside contracts. However, he also said, “If the studio comes to me and says here’s a movie that we have a special demand for, then fantastic.

Canadian family entertainment company CINAR Corporation has recently repaid an existing bank loan which was due on October 15, 2001. The corporation had US$26 million outstanding as of November 30, 2000 and this amount has now been repaid in the current fiscal year.

Avid Technology, Inc. has reported its financial results for the third quarter ended September 30, 2001. Revenues for the quarter were $102.3 million. Net loss for the quarter was $14.2 million or $.55 per share including amortization of acquisition-related intangible assets, and restructuring and other costs, net. Excluding these items, Avid would have reported a net loss of $801,000 or $.03 per share for the third quarter of 2001. For the nine months ended September 30, 2001, revenues were $329.8 million.

Fox Entertainment Group has teamed with eBay to support Auction for America, the online charity initiative designed to raise funds for the victims, families and communities affected by the terrorist attacks of September 11. The auctions began October 22, 2001 and will continue through the holiday season. All proceeds will be donated to the Twin Towers Fund.

Executive producer John Yuiska and creative director Daniel Garcia have joined forces with Vienna-based digital content studio .voortekk to form Super-Fi. The company will produce animation and design-based cross-platform content for commercials, broadcast design, music videos, film and branded online entertainment. Super-Fi will maintain offices in New York and Vienna.

Activision, Inc. has been recognized by Fortune Magazine as one of the top 100 fastest-growing publicly held companies in the U.S. Activision, ranked 86th in Fortune Magazine's 2001 "100 Fastest-Growing American Companies," is the only interactive entertainment company to appear on the list. The company's three-year annualized performance ratings were 45% earnings per share, 36% revenue growth and 56% total stock market return.

THQ Inc. and Sega Corporation have entered into an exclusive, multi-title co-publishing agreement under which THQ will co-publish 16 Game Boy Advance titles featuring Sega brands in North America through 2003. The launch will begin with six titles released through March 2002. The agreement provides Sega with greater exposure on the Game Boy Advance platform as it transitions exclusively to software publishing and provides THQ with content to help solidify its position as a leading independent Game Boy Advance publisher.