With the company in turmoil and needing to reduce expenses, Spansion laid off 3,000 employees without severance pay on February 23, 2009. Kispert was given a compensation package that could pay a $1.7 million bonus if he successfully found a buyer for the company or liquidated the company within six months. Kispert never saw this bonus since he opted to file bankruptcy in March 2009. Managers received an 11% increase in pay, negating the effect of an earlier 10% salary cut. The company filed for Chapter 11 bankruptcy on March 1, 2009, amid growing anger of former employees.