SAN JOSE, Calif. -- Despite layoffs and losses, NOR flash leader Spansion Inc. has reinstated full pay for many of its executives.
''On October 13, 2008, the compensation committee of the board of directors approved the reduction in base salaries of all executive officers by 10 percent effective October 6, 2008 for a period of six months,'' according to a filing by Spansion (Sunnyvale, Calif.) at the U.S. Securities and Exchange Commission (SEC) earlier this week.
''On February 23, 2009, the board of directors of the company approved an employee retention program that provides for, among other things, the reinstatement of full salary for the company's executive officers (other than the company's chief executive officer) and certain other key employees effective February 23, 2009,'' according to the filing. ''The purpose of the employee retention program is to provide an incentive for executive officers and certain other key employees to remain employed by the company.''
The move upset some former employees, who were laid off, according to the San Jose Mercury News. That article can be read here.
On Jan. 15, Spansion announced it was exploring strategic alternatives for a sale or merger. The company also announced plans to restructure its balance sheet.
Sources indicate that Spansion is mulling bankruptcy fillings. Its Japanese unit did file for bankruptcy.