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German Chipmaker Qimonda Declares Bankruptcy

German memory-chip maker Qimonda declared bankruptcy Friday, just a month after receiving a rescue package of millions of euros (dollars) in loans.

Munich administrative court spokeswoman Ingrid Kaps confirmed media reports that the company had declared bankruptcy, but could provide no further details.

Qimonda, headquartered in Munich with a large manufacturing base in Dresden, refused immediate comment.

The company in December secured a rescue package of 325 million euros ($421.98 million) in loans from government of Saxony, parent company Infineon and a Portuguese state bank in order to try and stave off bankruptcy.

Makers of computer memory chips have been hit hard by falling prices and an oversupply of products.

Infineon spun off Qimonda in 2006 but still holds a 77.5 percent stake.

Qimonda has more than 12,000 workers worldwide, with some 3,500 in Saxony, 1,500 in Munich and also several thousand in Portugal.

Shares of Infineon were down 5.6 percent at 0.68 euros in Frankfurt at the close.