SAN JOSE, Calif. -- With little or no fanfare, Spansion Inc. said that it has emerged from Chapter 11 reorganization.
As report, on March 1, 2009, Spansion (Sunnyvale, Calif.) filed for Chapter 11 bankruptcy protection. The NOR flash maker was late to emerge from Chapter 11. It was supposed to emerge in the first quarter of 2010.
Strangely, Spansion was somewhat quiet about the emergence. It put a release on its site, but it did not make a big annoucement about it.
Spansion said it entered Chapter 11 reorganization with over $1.5 billion in debt. It emerged with less than $480 million in debt and approximately $230 million in cash, which is supplemented with an undrawn credit line of up to $65 million. Stockholder's equity was enhanced by a rights offering of approximately $105 million which is reflected in its cash position.
During the reorganization, Spansion focused its business on serving embedded and targeted wireless applications. It sold its NAND efforts to Elpida Memory Inc. And for months, there have been persistent rumors that Spansion is dropping EcoRAM, as the ''green memory'' technology has not lived up to its promises.
Last year, Spansion filed for Chapter 11 bankruptcy protection. The company submitted its first plan of reorganization on Oct. 26, 2009 and gained approval from the U.S. Bankruptcy Court on its amended disclosure statement on Dec. 22, 2009.
Spansion received confirmation from the U.S. Bankruptcy Court for its plan of reorganization on April 16, 2010 and emerged from Chapter 11 protection on May 10, 2010.
As a result of Spansion's emergence, Spansion's old common stock has been canceled and no longer trades. Some pre-bankruptcy claims and other administrative matters will remain pending until they are resolved.