Noteholders Fight Spansion's Disclosure Statement

Law360, New York (January 25, 2010, 3:30 PM EST) -- A group of noteholders has launched a challenge to Spansion Inc.'s recently approved disclosure statement for its Chapter 11 reorganization plan, arguing the statement is “replete with fundamental misrepresentations” and therefore shouldn't be used as a benchmark at the upcoming confirmation hearing.

In a filing Friday in the U.S. Bankruptcy Court for the District of Delaware, the ad hoc committee of convertible noteholders asked for an emergency order vacating the approval of Spansion's disclosure statement and accused the company's management of failing to focus its efforts...
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