In July 1994, Neversoft was formed. They initially found work for Playmates Interactive, a then-division of Playmates Toys who were about to release a line of toys called Skeleton Warriors and wanted a video game to go along with the toys and the cartoon series. Neversoft began work on the game design and moved into offices in Woodland Hills, California. Neversoft worked on the Genesis version for five months. Over that time they hired another artist and a level designer. In December 1994, Playmates cancelled the game. They were not unhappy with the progress, but had decided that they needed to develop the game for the Sega Saturn. 1995 was spent developing "Skeleton Warriors" for the Sega Saturn. Over the course of 1995, Neversoft grew rapidly by hiring three programmers, five artists, a level designer, a tester and an office administrator. "Skeleton Warriors" was finished in time for the 1995 holiday season and Neversoft began looking for other work while they ported "Skeleton Warriors" to the PlayStation in 1996.