Summary of MIDWAY GAMES INC

Item 2.06 Material Impairments
On July 1, 2009, the management of Midway Games Inc. (the "Registrant") concluded that a material charge for impairment is required under generally accepted accounting principles. On July 1, 2009, the Registrant complied with the federal Worker Adjustment and Retraining Notification Act and provided a 60-day notification to the employees of its San Diego, California facility (the "CA Facility") of its intention to close the CA Facility. The headcount reduction represents all of the employees at the CA Facility and approximately 20% of the Registrant's global workforce. The Registrant expects that the majority of the headcount reduction will occur by the end of August 2009. Due to the anticipated closure of the CA Facility and associated headcount reduction, the Registrant does not expect to release a specific game being developed at the CA Facility. The Registrant has therefore concluded that an impairment and write down of approximately $4 million of related capitalized product development costs is required. There will be no future cash expenditures related to such impairment charge.
Item 8.01 Other Events
On July 7, 2009, the Registrant and its United States subsidiaries (together with the Registrant, the "Debtors") filed their monthly operating report for the period May 1, 2009 through and including May 31, 2009 (the "Monthly Operating Report") with the United States Bankruptcy Court for the District of Delaware. A copy of the Monthly Operating Report is attached hereto as Exhibit 99.1 and is incorporated herein by reference. This current report (including Exhibit 99.1 attached hereto) will not be deemed an admission as to the materiality of any information required to be disclosed solely by Regulation FD.
The Registrant cautions investors and potential investors not to place undue reliance upon the information contained in the Monthly Operating Report, which was not prepared for the purpose of providing the basis for an investment decision relating to any securities of the Registrant. The Monthly Operating Report is limited in scope, covers a limited time period, does not include information about our non-U.S. subsidiaries, and has been prepared solely for the purpose of complying with the monthly reporting requirements of the Office of the United States Trustee. The Monthly Operating Report was not audited or reviewed by independent accountants, is in a format prescribed by applicable requirements of the Office of the United States Trustee, and is subject to future adjustment and reconciliation. There can be no assurance that, from the perspective of an investor or potential investor in the securities of the Registrant, the Monthly Operating Report contains any information beyond that required by the Office of the United States Trustee. The Monthly Operating Report also contains information for periods which are shorter or otherwise different from those required in the Registrant's reports pursuant to the Securities Exchange Act of 1934, as amended (the "Exchange Act"), and such information might not be indicative of the Registrant's financial condition or operating results for the period that would be reflected in the Registrant's financial statements or in reports pursuant to the Exchange Act. Results set forth in the Monthly Operating Report should not be viewed as indicative of future results.
This current report and Exhibit 99.1 contain "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. These forward looking statements include, without limitation, the Registrant's beliefs concerning future business conditions, outlook based on currently available information and statements regarding the Registrant's expectations concerning the bankruptcy process. The Registrant's actual results could differ materially from those anticipated in the forward-looking statements as a result of these risks and uncertainties. These risks and uncertainties, include, without limitation, (1) the ability of the Registrant to continue as a going concern or to sell substantially all of its assets as a going concern; (2) the ability of the Registrant to develop, pursue, confirm and consummate one or more Chapter 11 plans of reorganization or liquidation with respect to the Debtors request for relief under the provisions of Chapter 11 of the United States Bankruptcy Code (collectively, the "Chapter 11 Cases"); (3) the ability of the Registrant to obtain court approval of its motions in the Chapter 11 cases pursued by it from time to time; (4) risks associated with third parties seeking and obtaining court approval to terminate or shorten the exclusivity period for the Registrant to propose and confirm one or more Chapter 11 plans, or the appointment of a Chapter 11 trustee or to convert the cases to Chapter 7 cases;
(5) the ability of the Registrant to continue to do business with its vendors and service providers; (6) the ability of the Registrant to maintain contracts that are critical to its operations; (7) potential adverse developments with respect to the Registrant's liquidity or results of operations; (8) the ability of the Registrant to fund and execute its business plan; (9) the ability of the Registrant to retain and compensate key executives and other key employees;
(10) the ability of the Registrant to attract and retain customers; and (11) any further deterioration in the macroeconomic environment or consumer confidence. Discussion of additional factors that could cause actual results to differ materially from management's projections, forecasts, estimates and expectations is set forth under "Item 1. Business" in the Registrant's Annual Report on Form 10-K for the year ended December 31, 2008, and in

more recent filings made by the Registrant with the Securities and Exchange Commission. Each forward-looking statement, including, without limitation, financial guidance, speaks only as of the date on which it is made, and the Registrant undertakes no obligation to update any forward-looking statement to reflect events or circumstances after the date on which it is made or to reflect the occurrence of anticipated or unanticipated events or circumstances, except as required by law.
Item 9.01 Financial Statements and Exhibits
(d) Exhibits

Exhibit No.    Description

99.1           Monthly Operating Report for the period May 1, 2009 through and
               including May 31, 2009, filed with the United States Bankruptcy Court
               for the District of Delaware