British games developer Argonaut has announced a pre-tax loss of £10.9 million for their financial year. Argonaut blamed the losses on the cancellation of two key titles, Malice and Orchid; Vivendi's decided not to publish the long awaited Malice, while Namco and Argonaut decided through mutual agreement to scrap Orchid.

Despite Malice's troubled development, the title remains in production and is set to be published early next year; Take-Two Interactive is now rumoured to be publishing the title, though Argonaut Chief Operating Officer Joss Ellis denied this last month.

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