EA's Q2 earnings: $391 million net loss, 1500 laid-off

EA released its Q2 earnings report today, and - as you can probably guess - it wasn't exactly written on gilded paper. Net losses continue to pile up, now sitting at $391 million - a fairly substantial increase over last year's $310 million. As the stinging cross in this bank-breaking combo, sales are also down at $788 million, compared to last year's $894 million. EA CEO John Riccitiello, however, insists that the situation is under control.

"EA is performing well, with quality, sales and segment share up so far this year," he said. "We are making tough calls to cut cost in targeted areas and investing more in our biggest games and digital businesses."

"Tough calls," indeed. EA also confirmed that it's laying-off 1500 employees as part of a "cost reduction plan." This confirms earlier rumblings that EA was getting ready to cut a few employees loose. Well, except for the "a few" part.

Best of luck to all affected.