This Day On The Street
Continue to site
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here

Game Over for Atari CEO

Updated from 5:14 p.m. EDT

The revolving door continues to spin at Atari (ATAR), with CEO Jim Caparro's resignation being the latest in a series of management changes.

Caparro resigned effective immediately, Atari reported on Tuesday.

In a regulatory filing last week, Glenayre Technologies (GEMS) reported that Caparro agreed last month to serve as CEO of the company's Entertainment Distribution (EDC) division.

Bruno Bonnell, Atari's chairman and chief creative officer, will serve as the company's interim CEO while it searches for a permanent replacement for Caparro, who had replaced Bonnell as CEO last November.

Although Caparro's departure was previewed in Glenayre's filing, Atari's announcement after Tuesday's closing bell sent the company's stock spiraling in the after-hours markets. In recent trading, Atari's shares were off 52 cents, or 17.7%, to $2.42.

Caparro's departure from Atari comes as something of a surprise, in part because he assumed the CEO position at the the struggling video game publisher less than seven months ago. Indeed, he represented Atari at the recent Electronic Entertainment Exposition and talked expansively in an interview there about his plans for reviving the company.

Atari spokeswoman Patricia Steele said she couldn't explain why Caparro decided to leave the company so soon after joining it. "I have to assume this was an opportunity he sought to take," she said.

Caparro didn't return a call seeking comment on his departure.

Atari did not say -- and Steele did not know -- whether Caparro will retain his seat on Atari's board. He has served as a director of the company since 2002.

Atari had put in place a new management team over the last year. In addition to Caparro, the company hired a new CFO, and new heads for its administration, business and legal affairs, communications, and marketing divisions.

The management shake-up came as Atari struggled with declining sales and earnings. The company announced in February that it was shuttering two of its studios and exploring "strategic alternatives" for its future.

With the move, Caparro returns to the media distribution industry, within which he has a long history. In 2003, Caparro founded EDC, which Glenayre acquired last month, and served as its chairman and CEO before joining Atari.

Check Out Our Best Services for Investors

Action Alerts PLUS

Portfolio Manager Jim Cramer and Director of Research Jack Mohr reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
Quant Ratings

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
Stocks Under $10

David Peltier uncovers low dollar stocks with serious upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
14-Days Free
Only $9.95
14-Days Free
Dividend Stock Advisor

David Peltier identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Updates with exact steps to take - BUY, HOLD, SELL
Trifecta Stocks

Every recommendation goes through 3 layers of intense scrutiny—quantitative, fundamental and technical analysis—to maximize profit potential and minimize risk.

Product Features:
  • Model Portfolio
  • Intra Day Trade alerts
  • Access to Quant Ratings
Real Money

More than 30 investing pros with skin in the game give you actionable insight and investment ideas.

Product Features:
  • Access to Jim Cramer's daily blog
  • Intraday commentary and news
  • Real-time trading forums
Only $49.95
14-Days Free
14-Days Free
GEMS $20.62 0.19%
ATAR $0.02 0.00%
AAPL $110.38 0.00%
FB $92.07 0.00%
GOOG $626.91 0.00%


Chart of I:DJI
DOW 16,472.37 +200.36 1.23%
S&P 500 1,951.36 +27.54 1.43%
NASDAQ 4,707.7750 +80.6910 1.74%

Free Reports

Top Rated Stocks Top Rated Funds Top Rated ETFs