Spansion Updates Fiscal Third Quarter 2011 Business Outlook
Sep 13, 2011
SUNNYVALE, Calif., Sept. 13, 2011 /PRNewswire/ -- Spansion Inc. (NYSE: CODE), a leading provider of Flash memory, today updated its business outlook for the fiscal third quarter ending September 25, 2011, lowering its estimated revenue for the quarter due to softness in the wireless and consumer markets. Based on recent trends in those markets, the company now expects revenue between $250-$270 million, compared with its initial estimate of $285-$325 million. The majority of the reduction is from the company's wireless products, which have experienced an unexpected decline in demand and pricing. Revenue from wireless products is expected to be less than 10 percent of the total revenue for the company in the third quarter.
Spansion's CFO Randy Furr is speaking at the Think Equity's 8th Annual Growth Conference today, Tuesday, Sep 13, 2011 at 9:00 a.m. (ET) at Le Parker Meridien, New York, NY and via live webcast. A live webcast and webcast replay will be available on the investor relations section of the Spansion website at http://investor.spansion.com. The webcast replay will also be archived on the company's website.
Spansion (NYSE: CODE) is a leading provider of the Flash memory technology at the heart of the world's electronics systems, powering everything from the routers that run the internet to the highly interactive and immersive consumer and automotive electronics that are enriching people's daily lives. Spansion's broad and differentiated Flash memory product portfolio, award-winning MirrorBit charge-trapping technology, and industry leading service and support are enabling customers to achieve greater efficiency and success in their target markets. For more information, visit http://www.spansion.com.
Spansion®, the Spansion logo, MirrorBit®, and combinations thereof, are trademarks and registered trademarks of Spansion LLC in the United States and other countries. Other names used are for informational purposes only and may be trademarks of their respective owners.
This release contains forward-looking statements made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. Investors are cautioned that these forward-looking statements involve risks and uncertainties that could cause actual results to differ materially from those statements. The risks and uncertainties include the company's ability to: manage costs; achieve adequate liquidity; execute its new strategic focus; reach a sustainable business model; survive as a stand-alone entity; reach operational efficiency; and reach and sustain profitability. Additional risks related to the company's recent emergence from bankruptcy include: any negative impacts on the company's business, results of operations, financial position or cash management arrangements; the negative impact on relationships with employees, customers, suppliers and contract manufacturers and other stakeholders; and the failure of the company to successfully implement the plan of reorganization. In addition, the instability of the global economy and tight credit markets could continue to adversely impact the company's business in several respects, including adversely impacting credit quality and insolvency risk of the company and its customers and business partners, including suppliers and distributors; bookings; and reductions and deferrals of demand for Spansion products, including wireless and consumer products. In particular, the company's estimates of quarterly results are subject to the closing of its books and the publication of its final financial results for the quarter. The company urges investors to review in detail the risks and uncertainties discussed in the company's Securities and Exchange Commission filings, including but not limited to the company's most recent Annual Report on Form 10-K for fiscal 2010 and Quarterly Reports on Form 10-Q. Unless otherwise required by applicable laws, the company undertakes no obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise.