In a statement to investors, Sega is reporting a loss thanks in part to U.S. and European video games sells.

"We conducted detailed reviews of earnings projections for titles targeted toward the U.S. and European markets and decided to narrow down sales titles from the following period and after to strong IPs, such as "Sonic the Hedgehog,", "Football Manager", "Total War" and "Aliens" which are expected to continue posting solid earnings. In accordance with this, we are canceling the development of some game software titles."

Sega has not made public which games will be affected, but they are reporting a 7.1 billion yen loss by the end of March 2012.