Vitesse trouble.
Vitesse Trouble: Vitesse Semiconductor Corp., a supplier of microchips, was notified last week that a trustee, U.S. Bank, moved up a debenture bond Debenture bond An unsecured bond whose holder has the claim of a general creditor on all assets of the issuer not pledged specifically to secure other debt. Compare subordinated debenture bond and collateral trust bonds. due date and called for payment of $96.7 million in principal, plus interest, immediately. IBC analyst Allan Mishan, who has a "Sector Underperformer" rating on the stock, said the threat of accelerated payments presents "a serious risk to Vitesse as the company has less than $30 million in cash on its balance sheet and is still in a cash bum position." Vitesse's dispute with U.S. Bank centers on the company's failed reporting of the latest quarterly results to date.
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