Midway have filed for bankruptcy, taking them another step towards the end of their prolonged struggle against insolvency. This is really less to do with the global financial situation and more to do with their ongoing inability, over a great many years, to produce games that don't suck.
Bad news (unless you work at Midway) is that they're nevertheless going to continue trading rather than going into liquidation. That allows them to keep perpetrating Mortal Kombat vs DC upon an unsuspecting world, and, if we're extra unlucky, maybe even keep releasing new games.
None of these developments have suddenly taught Midway how to create things that are fun, so the future almost certainly involves some winding-up at some point. Hopefully such talent as they have employed there will wash up on sunnier shores, and the villains responsible for Gauntlet: Dark Legacy will flee to Argentina to escape the wrath of the International War Crimes Tribunal.