The Infogrames group's long-predicted plunge into the abyss may be about to begin, with CEO Bruno Bonnell making some of the starkest comments imaginable about the future of the French publishing giant.

Following years of over-stretching and a string of financial bail-outs from the French government, Atari's position would appear to be becoming untenable as reality finally bites. The group has has postponed a shareholder vote on part of a rescue plan until January 19,, under which Infogrames would issue fresh stock to help it repay a 117 million euro ($155.2 million) debt due in July which - right now - it will be unable to meet.

Chief Executive Bruno Bonnell pledged he would resign if shareholders vote to reject the proposal. The "...president of every single company, if rejected by a majority of shareholders, must leave," he added. "But we are very far from this now. I'm not gone yet."

The firm will need to gain the support of at least 25% of its shareholders to have the new stock issued. Analysts are currently offering mixed views as to whether the firm will see success.

Bonnell stated that if shareholders greenlight the refinancing plan, repayment of "the bulk" of the firm's debt would be put off until 2009. "We feel comfortable with the new profile of debt," he said.

Under the plan, Infogrames would buy back around 60% of bonds maturing in July 2005 with cash and shares, and the remaining 40% with a newly issued 6% coupon bond slated to mature in March 15, 2008, backed by recently buoyed shares in its Atari unit.

If the firm’s convoluted rescue plans are rejected, interest from other big industry players is likely to follow.

Stay tuned for developments on this story as they break. Perhaps we'll resist mentioning DRIV3R then too...