Loss Widens at 4Kids

NEW YORK: 4Kids Entertainment’s third-quarter revenues fell 43 percent to $3 million, with net loss increasing from $5 million to $9.8 million.

Announcing its financials, the company said it was still in discussions about a possible sale. “4Kids had another tough quarter as the company continues its efforts to rationalize its cost structure, rebuild revenues and execute its turnaround plan,” said Alfred R. Kahn, chairman and CEO.

The heavy losses were due in part to substantial writeoffs on its trading card subsidiary TC Digital Games and TC Websites, which have been shuttered, Kahn said. "The cessation of the Chaotic related businesses should save approximately $1 million per quarter," he noted. "In addition, the closing of the Chaotic business enables the company to focus its resources on the core merchandise licensing business."