Rhode Island Governor Confirms 38 Studios Layoffs

Rhode Island developer 38 Studios will suffer layoffs after being unable to pay its employees last week, confirms the state’s Governor Lincoln Chafee.

The studio currently working on an MMO tentatively titled Project Copernicus was unable to make a $1.1 million payment to the Rhode Island Economic Developer Corporation last week.

The payment is the first of many to pay off a $75 million loan given to the company in 2010 to bring 450 jobs and millions of dollars of tax revenue to the state of Rhode Island.

After a meeting with the studio’s head Curt Schilling, Chafee told AP, “We’re working hard to protect every penny of the investment that was made.” He said there had been “a mix of who’s made payroll,” and confirmed layoffs for the company.

Schilling took to Facebook to comment on the studio’s status after suffering its current financial problems. “The 38 team has shown breathtaking resilience through these incredibly challenging times,” he wrote, “Helping each other with their daily lives, coming together like only a family would truly do.” “Their efforts to assist each other have been something beyond explanation and defying anything that could be called a ‘job’. They are strong and resolute, and determined to stand together as hard and as long as they can. For this I thank them all, I am so proud of this team.”

Project Copernicus is scheduled for a June 2013 release, according to Chafee’s statement during a emergency press conference last week.

Source: AP, WRPI, Facebook

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