Fox to shut down Atomic label

20th Century Fox is to shut down its Fox Atomic production label, reports Variety.

The studio has declined to confirm the move, though speculation has surfaced claiming that the division will be axed because it failed to produce enough profitable movies.

Fox Atomic was formed in 2007 by Peter Rice, who is now in charge of Fox Broadcasting, to focus on making comedy and genre films. Their output has included The Rocker, 28 Weeks Later, The Hills Have Eyes II and upcoming releases 12 Rounds, I Love You, Beth Cooper and Jennifer's Body.

Debbie Liebling, the head of Fox Atomic, will reportedly return to Fox in an executive role. She is expected to bring projects in development at Atomic, including 28 Months Later and Sacha Baron Cohen's Accidentes, over to the parent studio.