Trust between Elpida Memory Inc. and its banks gradually eroded as Elpida President Yukio Sakamoto struggled to find a business partner that could lift the ailing semiconductor maker's fortunes.
Elpida filed for bankruptcy protection Monday, 13 years after it was launched in 1999.
The company was thought to be representative of Japan's semiconductor industry, as it comprised semiconductor divisions formerly operated by major electrical appliance makers NEC Corp., Hitachi Ltd. and Mitsubishi Electric Corp.
The chip maker had been facing severe difficulties in raising funds due to the yen's appreciation and worsening market conditions. Elpida put its last hope in tie-up negotiations with foreign and domestic companies, but the semiconductor maker had to turn to bankruptcy as the talks ended in failure. (Yomiuri)
