According to an earlier report from IGN, a source close to the title has confirmed that the game is still planned for release, though no expected release date or publisher was leaked.
The game was intended to be a realistic portrayal of the 2004 battle between insurgents and US forces in Fallujah. The game has suffered its share of setbacks since its announcement last April, firstly when then publisher Konami dropped the title just weeks after its announcement, with many speculating that the move was due to the negative reaction the title garnered in the press from families of fallen soldiers, retired veterans and citizens' groups. Then the game was hit with developer Atomic Games having to layoff staff due to the studio's inability to secure a publishing deal after Konami pulled out.
We'll keep you posted as more information comes to light.

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