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To: Joe NYC who wrote (200618)	6/6/2006 12:23:06 PM
From: grimes	Read Replies (2) \| Respond to of 275872

"What happened to Spansion today? Maybe I will nibble here..." Didnt they announce some sort of financing late yesterday? Edit: 4368 DJ 5-Jun-06 at 17:15:00 12:23 DJ Spansion Plans $240M Deb Offering >SPSN Symbol: SPSN Industry: CPR XDJGI Subject: DJEN DJIN DJN DJRT WSJC BON CAC CNW COB DJPN DJWI FCTV MKWH REG SNPR Market Sector: NND TEC Geographic Region: CA NME PRM US USW Product/Service: RTRS DOW JONES NEWSWIRES Spansion Inc. (SPSN) Monday said its unit, Spansion LLC, plans to offer $240 million of senior subordinated debentures due 2016. In addition, the company said it expects to grant the initial buyers of the debentures an over-allotment option to purchase up to an additional $35 million of debentures. Spansion said it plans to use proceeds from the private placement primarily to repay its 12.75% senior subordinated notes due 2016, and for capital expenditures, working capital and general corporate purposes. -Katherine Hunt; 415-439-6400; AskNewswires@dowjones.com (END) Dow Jones Newswires 06-05-06 1715ET Copyright (c) 2006 Dow Jones & Company, Inc. End of News

To: Joe NYC who wrote (200618)	6/6/2006 2:52:44 PM
From: Rink	Read Replies (1) \| Respond to of 275872

Joe, I posted my thinking on the Spansion board yesterday: I'd say using the proceeds to pay off more expensive debt should be seen as positive. Spansion however will use some of it for capital expenditures and daily operations, and that can't be seen as entirely positive, as it could mean that Spansion's cash flow is [too] tight.: Message 22515248 Take this one step further and the market might be wondering if Spansion will be in the green Q4 this year. That imo caused the drop. I can't be sure of profitability in Q4 either, but I don't see any reason to expect otherwise. I believe quite firmly in Spansion's short, medium and long term prospects. I bought shares instead of options because I expected the stock to grow gradually. I expect I'll be right over a medium term period. Barring unknown unexpected events. Regards, Rink