Flash mem giant Spansion slashes 35 per cent of staff
Flash memory maker Spansion is cutting approximately 3,000 jobs, or 35 per cent of its workforce. Most of the cuts will come at the company's manufacturing sites, as it works to restructure itself amidst a sinking economy.
"The global recession is forcing us to make this very difficult decision in order to bring our costs in line with the current expectations for significantly reduced revenues," reads a canned statement from Spansion president and CEO John Kispert.
"This action was not undertaken lightly given its impact on our employees and their families. However, we have a responsibility to preserve the value of the enterprise as we pursue our goal of positioning Spansion for a recovery through a restructuring and/or sale."
Spansion says the cuts will cost the company roughly $25 million on its balance sheet for the first half of the year. But it expects to save about $225 million by year end.
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