Forbes reports the Japanese business unit of flash memory maker Spansion has filed for bankruptcy protection, with total liabilities of $810 million. The chip firm was severely hit by sharp price drops and weak market demand.
U.S.-based Spansion Inc, the world's third-biggest flash memory maker, said the Japanese unit's filing does not 'materially' affect its global operations.
It added that the unit had sufficient cash on hand to meet its short-term working capital needs.
'We intend for Spansion Japan to continue to operate throughout the restructuring period,' Spansion Inc President and CEO John Kispert said in a statement.
Spansion Inc, owned 11.4 percent by Fujitsu Ltd and 8.7 percent by Advanced Micro Devices, is the world's biggest maker of NOR-type flash memory with a market share of about 40 percent.