Eidos is to press ahead with its terrorist-fighting Thunderhawk PlayStation 2 game, scheduled to launch in the next couple of weeks.

The game is an action adventure where gamers fight terrorism in the Middle East with helicopters.

Visitors to Eidos' website are told: "A deadly wave of extremist terrorism has struck at all the principal nations, paralysing the world with fear. The globe's major powers immediately issue a state of emergency, merging their weapons resources and technologies into a clandestine project entitled Operation Phoenix.

"In control of the most advanced gunship technology known to man, you're the best shot the free world has for peace."

Other games manufacturers such as Konami have delayed action games such as Metal Gear Solid 2 because some scenes are set in and around New York, but Eidos has said it couldn't envisage any problems with its title.

Earlier this week, Eidos reported a £15.3m loss for the three months to the end of June on sales of £13.6m. For the same period last year, the company generated revenues of £18.8m.

The britsoft firm has struggled to make money since its phenomenally successful Tomb Raider franchise, featuring Lara Croft, began to decline. This despite notable success last year with its Who Wants To Be A Millionaire licence, a sequel to which is scheduled to hit shops today.