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Trading in Spansion (SPSN) shares continues to defy all logic.

The NOR Flash memory chip company, which a month ago filed chapter 11, has put itself up for sale. As I noted yesterday, some people seem to be betting that the company is going to have cash left over for its holders after paying off its long-term debt, which as of the end of September stood at just under $1.3 billion.

Well, someone has decided to go bottom-fishing today, apparently.

Spansion (SPSN) shares today have jumped 6 cents, or 128%, to 11 cents. The maker of NOR flash memory chips filed Chapter 11 a month ago. On March 23, the company indicated that it is “in discussions with multiple companies regarding the potential sale of some or all of the company’s assets.”

Spansion (SPSN), the NOR flash memory company now operating under Chapter 11, this morning said it is “in discussions with multiple companies regarding the potential sale or some or all of the company’s assets.”

Spansion (SPSN) late Sunday announced that it has filed for protection from creditors under Chapter 11 of the U.S. bankruptcy code. The company said each of its U.S. subsidiaries also filed Chapter 11.

The NOR flash memory chip company said it is holding talks on a reorganization plan with an ad hoc consortium of holders of its $625 million in senior secured floating rate notes due 2013. Spansion said it  believes current anticipated cash will be sufficient to pay expenses and maintain its business operations while it seeks options to address its long-term cash needs.

Spansion (SPSN) late Monday announced that it will cut its global workforce by about 3,000 employees, or roughly 35%. The NOR flash memory company said most of the positions affected are at manufacturing sites, “as the company re-sizes the organization due to current market conditions.”

Spansion said the move is designed to cut cost while it restructures and explores strategic alternatives. The company said the cuts will result in $25 million in cash charges in the 2009 first half, while saving about $225 million a year.