The last few months the retailer has been trying to restructure itself and save money as it faces increasing debts. Recently some leading publishers have refused to supply their new titles to the chain amid concerns of it going under, and now seems its woes have deepened as according to MCV, senior management teams from the chain have been warned to get ready for administration.

CEO Ian Shepherd met with senior staff at the beginning of this week and warned the company had around two weeks to save itself from going bust. There has been rumors that rival US chain GameStop may be interested in taking up a number of the GAME stores, and only recently it was reported that the company’s directors were seeking advice whether it was better pulling the plug or running up more debts.

There have been reports from consumers that the company has started what seems like a fire sale at its UK GAME stores. This will be seen as an effort to get some much needed cash into the company as it tries to stay afloat, and in the meantime it will be hoping some sort of deal can be struck with GameStop to at least keep some of the stores open.

When contacted about the news a GAME spokesperson said the company doesn’t comment on such rumors. Whether you like the retailer or not because of their sometimes high prices, you have to think about the thousands of staff that will be worrying about their jobs.

Have you noticed any bargains at your local GAME store?

Only recently we told you that the GAME stores would not be stocking the latest blockbuster games from EA, which included titles such as Mass Effect 3. Sources have told the Express that directors of the company are thinking about pulling “the plug”, after EA and Nintendo stopped supplying the chain.

The source is claiming that directors from the company are unsure if the retailer can continue “through the next trading season”, and then face insolvency. Discussions are rumored to be taking place with legal experts to see if it would be better to call it a day or build up even bigger losses.

Only recently the group secured a deal to relieve its debt conditions with its creditors let by the Royal Bank of Scotland. But it is believed the banks patience is now running thin, and the fact that stores may not have much to offer consumers in regards to the latest titles, could be the straw that broke the camel’s back.

But if RBS was to decide to close the operation it won’t come cheaply as the chain has 1,274 branches across Australia and Europe. It is thought creditors would only agree to a ‘pre-pack administration’, which allows a pre-arranged suitor to buy the business as a whole. There have been whispers recently that GameStop might be interested in snapping up the troubled chain.

The retailer has already started proceedings to close sixty stores, and may even cut back its overseas operations. Retailers in the UK have been struggling for the last few years with a number of household names falling by the wayside since 2008. Only recently we told you the gaming industry as a whole was feeling the affect of the credit crunch, with a number of big game titles not selling as well as expected.

Update: EA has responded to the issues surrounding some of its new releases and providing stock to the retailer. The company released a statement and said the current situation affecting GAME was “unfortunate”, but as ITProPortal are reporting the publisher also added that customers had plenty of other alternatives to get hold of the new releases. The company also didn’t see that there would be any delay in getting the games released to the market.

Do you think the GAME Group will have a future?

According to a report on MCV sales of the big titles have hit an all time low, with the UK games market down 25% compared with last year. Even publishers are shocked at the sales of even major sequels this time round. One leading analyst has stated that sales are only fifty percent of what they should be.

Retail sources are claiming that recent new launches have been shifting between 10,000 and 48,000 units during the first week of availability. This compares to last year where it was between 35,000 and 80,000. One unnamed publisher has seen its latest triple A title struggle and said they are not making half the money that is being spent on marketing alone.

UFC 3 for instance is this week’s number one but hasn’t compared to previous releases regarding sales, with the original outselling it by three to one over the same period. Big game releases from last year are now being offered at big discounts from various retailers.

Meanwhile struggling retailer GAME has announced it will be closing an extra 35 stores as well as closing Gameplay.co.uk next week. The retailer has been having a tough time for a while now and is looking to cut back costs so it can move forward and survive. It currently has 610 GameStation and GAME stores around the country, but is looking to reduce this to 550 by the end of 2013.

The company is looking to redeploy as many staff as possible after the store closures, and customers of Gameplay will be served via Gamestation.co.uk from the start of next month. GAME stores will soon have new IT systems that will fully support its online store, and could mean a click and collect service will soon be available.

It has suffered credit issues in recent months that have led to some new titles not being stocked by the store. Many of our readers have said they no longer use the GAME stores based simply on price, as it seems unable to compete with the big supermarkets or online stores for the best prices of new games.

Have you cut back on your game spending recently?

There have been various rumors circulating recently that the store wouldn’t be able to stock this week’s big releases such as Soul Calibur V, Final Fantasy XIII-2, and Metal Gear Solid: HD Collection. But according to MCV the company is currently processing the titles in order to provide them this week.

It’s not all good news though for the company as it has been having issues regarding credit insurance after its financial position has reportedly changed since the start of the year. The lack of credit insurance was one of the reasons that pushed retailer Woolworths into administration back in 2008, as suppliers became reluctant to supply goods to the chain if it meant they would have to foot any losses due to a collapse.

GAME is now working individually with its publishers to find a solution to the financing problems, and the retailer has been reassured how supportive the games industry has been so far. It is currently engaged in conversations about upcoming releases. It would surely benefit the games industry more if GAME survives and continues providing an outlet for future releases and hardware.

There have also been rumors that staff have failed to receive their wages, but this is untrue as well. The company revealed that the lack of Resident Evil: Revelations was down to a website error and nothing more sinister.

It does seem though that the retailer like many others is facing some tough challenges ahead, as it has already admitted it may fail to meet covenants requirements of some of its lenders. One publisher executive did state though that no credit “means no stock for the stores”.

It is obvious these stock claims are unfounded, but it is clear there is a tricky situation going on behind closed doors. Rival retailer HMV has also had some tough times recently and has announced a new deal with some of its suppliers as it looks to improve its financial situation. The many staff at the GAME Group will be hoping something similar can be achieved by their employer.

Do you still shop in GAME or Gamestation?

And article over at MCV is reporting that retailer Gamestation who are owned by the GAME Group, has begun advertising some great discounts on Skyrim. The retailer is knocking a massive amount off the game to offer it at £22.49 on both the PlayStation 3 and Xbox 360.

The PC version of the game is even cheaper coming in at £19.99, and proves to be an unusual price drop so quickly after the game was launched. The title was only released less than a month ago and still sits in the top five in the UK gaming charts.

There have been many other titles that have seen big price reductions this year such as Driver: San Francisco, Uncharted 3, Sonic Generations, Warhammer 40,000: Space Marine, and Deus Ex: Human Revolution. These games did see a tailing off of their sales though not long after they were released.

Gamestations deal was supposed to go live later this week but the company has told store managers to honor it immediately. The deal is also being advertised on the retailer’s online store as well. We recently had an article looking at why it sometimes pays to hold off getting a big title at launch, and with Skyrim it is certainly the case.

Are you shocked at the big discounts coming so soon for Skyrim?

One place that has unveiled a good deal to help with that decision is GAME, who is offering double XP with MW3 pre-orders. The feature comes part of an inclusive deal that the retailer is currently offering where those who pre-order from their store receive exclusive content known as the Classified Intel Pack. This pack features an exclusive PS3 theme, an SAS avatar, a Brady strategy guide and of course double XP for the first four hours of multiplayer game time, a deal which is also being offered by Gamestation, according to CVG.

GAME’s Neil Ashurst expressed how well they know their consumers and what the game release means for them by saying ‘The build-up to Call of Duty: Modern Warfare 3 is huge… We know how important multiplayer is to our customers so it’s great to be able to give them double XP.’ He also stated their belief that MW3 ‘is set to be the biggest multiplayer gaming experience of the year.’

In a recent article we revealed just what the release of the MW3 means to GAME as a company too. A large percentage of their profit making relies heavily on the release and success of big name games such as these. Another game they will also be relying heavily upon to do well is FIFA 12, which is available in the UK as of midnight tonight.

What do you think of this offer from GAME? Will you be getting MW3 from there?

The game is set in Liberty City, a fictional place based heavily on New York City. Players take the role of ex-military Eastern European Nico Belic, who has just arrived in the United States hoping to live the American Dream. However much like the other games in the GTA series, the character becomes involved with gangs and organized crime groups which force him to commit crimes he would rather not be involved with.

Due to the success that GTA IV has had, the new title from the series, GTA V, has become even more anticipated than its predecessor. Little is known about the title, other than it is inevitable and until now reports had pointed to a release in early 2012. Today we have caught wind of news that the game has appeared for pre-order at a Gamestation store, one of the UK’s leading games retailers.

The news comes after a tip-off from a reader of GamerZines claiming he had pre-ordered the game himself for his Xbox 360 and sent in an image of the receipt he received to the site to prove it. The receipt was dated July 1st 2011. An image of the release schedule, which the retailer had allegedly published, has also shown up.

In an article at Thisiswiiu.com reports are suggesting that these images could be fakes, so it may be too early to be getting our hopes up just yet. The report comes after an email was sent to the site from someone claiming to be an Assistant Manager at a Gamestation store. The email explains how there are some inconsistencies with the receipt which was shown.

The anonymous e-mailer goes on to say how GTA V has never shown up on the system, so it seems unlikely that it would show up at one store and not any other. They also explain how there is no price listed on the receipt, when normal pre-order procedure would require a deposit of some amount to be paid. Lastly they say that it is suspicious how the title appeared conveniently then was suddenly gone again.

You can check out the full email by clicking the link above. Whether the pre-order turns out to be fabricated or not, we hope to hear more about the upcoming title soon. Do you think this rumor is true or not?