RIP: SPANSION Bankrupt For Real

Posted by Kris | Tuesday, March 03, 2009 | | 0 comments »

One week after laying off 35 percent of its workers, computer chipmaker Spansion Inc. filed for Chapter 11 bankruptcy protection.

Sunnyvale-based Spansion (NASDAQ: SPSN) listed about $3.8 billion in assets and nearly $2.4 billion in debts in its filing in U.S. Bankruptcy Court in Delaware.

The company said it plans to restructure its debt and refocus on more profitable markets. Each of Spansion’s U.S. subsidiaries also filed Chapter 11 petitions, company officials said.

Spansion’s Japanese subsidiary, Spansion Japan Ltd., filed for reorganization protection in early February. The company plans to target its products and segments in the embedded, Internet protocol solutions and wireless markets, officials said.

Last week, Spansion revealed that it was laying off 3,000 employees, including about 600 in the Bay Area. Officials said the job cuts would save the company $225 million a year and help it better weather the recession.

Related Links