APNewsBreak: Schilling woes preceded Chafee remark

PROVIDENCE, R.I. (AP) — A confidential memo written by a Rhode Island official says the financial situation at former Boston Red Sox pitcher Curt Schilling’s video game was so dire as of mid-May that its board had approved a plan to seek bankruptcy protection.

The memo obtained Thursday by The Associated Press under a public records request is dated May 14, the same day that Rhode Island Gov. Lincoln Chafee (CHAY’-fee) made his first public comments about troubles at 38 Studios.

Schilling has blamed Chafee’s public comments for worsening the company’s financial position. 38 Studios was lured to Rhode Island from Massachusetts in 2010 with a $75 million loan guarantee.

The company laid off its entire workforce last month and filed for bankruptcy protection on June 7.

Messages were left with representatives for Schilling.

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