"Spansion crumbles."
Yes, I (for one) am sorry to say. Here is a link to Friday's 8-k filing:
biz.yahoo.com
By my count $666m - mainly credit line stuff - has become "automatically due and payable." Also, "may result in acceleration" applies to another $908m, all but $10m of which is 2013 and 2016 senior notes. Total $1.574b. That looks like the whole ball of debt wax, or very nearly so.
I had the teeniest hope until reading this.
"Operations to continue uninterrupted worldwide" obviously depends totally on cash on hand not drying up. The 3Q balance sheet showed $88m cash burn, A/P way ahead of A/R, etc. Current ratio was 1.22, but the "acid test" ratio (i.e., stripping out inventory and "other current assets") was .61.
Not sure if I would want any more of anything Spansion, but is there any other way for a small individual investor to play Spansion's IP (and other assets), via the bond market or whatever? I have zero experience in, or knowledge of that.
Thanks to all for the many informative posts here, and good luck down the road to all Spansion longs (what's left of us).
p.s. Thanks to pam, who replied to a prior post of mine about tangible book. |
