Spansion Inc. - 10-K filing on 2014-02-25

Schedule I - Condensed Financial Information Of Registrant

12 Months Ended

Dec. 29, 2013

Condensed Financial Information of Parent Company Only Disclosure [Abstract]

Condensed Financial Information of Parent Company Only Disclosure [Text Block]

SPANSION INC.

SCHEDULE I—CONDENSED FINANCIAL INFORMATION OF REGISTRANT

PARENT COMPANY BALANCE SHEETS

(in thousands)

	Years Ended
	December 29, 2013			December 30, 2012			December 25, 2011

Assets
Investment in subsidiaries	$	537,460		$	561,774		$	521,163

Total assets	$	537,460		$	561,774		$	521,163


Equity
Spansion Inc. Stockholders’ equity:
Capital stock:
New Class A common stock, $0.001 par value, 150,000,000 shares authorized, 58,882,949 shares issued and outstanding		59			58			60
New Class B common stock, $0.001 par value, 1 share authorized, 1 share issued and outstanding		-			-			-
New preferred stock, $0.001 par value, 50,000,000 shares authorized, 0 shares issued and outstanding		-			-			-
Additional paid-in capital		747,393			690,891			675,309
Accumulated deficit		(205,959	)		(127,691	)		(152,578	)
Accumulated other comprehensive loss		(4,033	)		(1,484	)		(1,628	)

Total equity	$	537,460		$	561,774		$	521,163

PARENT COMPANY STATEMENTS OF OPERATIONS

(in thousands)

	Years Ended
	December 29, 2013			December 30, 2012		December 25, 2011

Equity in undistributed earnings of subsidiary
	$	(78,268	)	$	24,887	$	(55,886	)

Net income (loss)	$	(78,268	)	$	24,887	$	(55,886	)

PARENT COMPANY STATEMENTS OF COMPREHENSIVE INCOME (LOSS)

(in thousands)

	Years Ended
	December 29, 2013			December 30, 2012			December 25, 2011
Net income (loss)	$	(78,268	)	$	24,384		$	(55,548	)
Other comprehensive loss, net of tax:
Net foreign currency translation adjustment		(1,350	)		(1,057	)		(831	)
Gain on recovery from impaired investments		(1,200	)		1,200			-
Net unrealized gain on cash flow hedges:
Net unrealized hedge gain arising during the period		15,714			741			-
Net gain reclassified into earnings for cash flow hedge (ineffective portion)		(2,415	)		-			-
Net gain reclassified into earnings for cash flow hedge (effective portion)		(13,298	)		(740	)		-
Net unrealized gain on cash flow hedges		1			1			-
Other comprehensive income (loss), net of tax:		(2,549	)		144			(831	)
Total comprehensive income (loss)	$	(80,817	)	$	24,528		$	(56,379	)
Less: Comprehensive income (loss) attributable to noncontrolling interest		-			(503	)		338
Comprehensive income (loss) attributable to Spansion Inc. common stockholders	$	(80,817	)	$	25,031		$	(56,717	)

PARENT COMPANY STATEMENTS OF CASH FLOWS

(in thousands)

	Years Ended
	December 29, 2013			December 30, 2012			December 25, 2011
Cash Flows from Operating Activities:
Net income (loss)	$	(78,268	)	$	24,887		$	(55,886	)
Adjustments to reconcile net income (loss) to net cash used in operating activities:
Equity in undistributed earnings of subsidiary		78,268			(24,887	)		55,886
Net cash used in operating activities	$	-		$	-		$	-

Cash Flows from Investing Activities:
Investment in subsidiary		(2,693	)		(1,588	)		(5,386	)
Distribution from subsidiary		-			24,450			70,989
Net cash provided by (used by) investing activities		(2,693	)		22,862			65,603

Cash Flows from Financing Activities:
Proceeds from issuance of common stock, net of offering costs		2,693			1,588			5,386
Purchase of bankruptcy claims		-			(24,450	)		(70,989	)
Net cash provided by (used in) financing activities		2,693			(22,862	)		(65,603	)

Net (decrease) increase in cash and cash equivalents		-			-			-
Cash and cash equivalents at the beginning of period		-			-			-
Cash and cash equivalents at end of period	$	-		$	-		$	-

NOTES TO PARENT COMPANY FINANCIAL STATEMENTS

1. BASIS OF PRESENTATION

The financial statements for Spansion Inc. (the “Parent Company”) summarize the results of operations and cash flows of the Parent Company for the years ended December 29, 2013, December 30, 2012 and December 25, 2011 and its financial position at December 29, 2013 and December 30, 2012.

In these statements, the Parent Company’s investment in subsidiaries is stated at cost plus equity in undistributed earnings of subsidiaries since the date the Parent Company began consolidating them (“date of acquisition”). The Parent Company’s share of net income (loss) of its subsidiaries is included in net income (loss) using the equity method of accounting. The Parent Company financial statements should be read in conjunction with the consolidated financial statements of Spansion Inc. for the corresponding periods.

Under the terms of agreements governing the 7.875% Senior notes issued by Spansion LLC, a subsidiary of Spansion Inc., such subsidiary is significantly restricted from making dividend payments, loans or advances to Spansion Inc. and its subsidiaries. These restrictions have resulted in the restricted net assets (as defined in Rule 4-08(e)(3) of Regulation S-X) of Spansion Inc. and its subsidiaries exceeding 25% of the consolidated net assets of Spansion Inc. and its subsidiaries.

2. DIVIDENDS RECEIVED FROM SUBSIDIARIES

During the years ended December 29, 2013 and December 30, 2012 and December 25, 2011 no dividends were paid to the Parent Company by its subsidiaries.