Redwood City, Calif. -- Following nearly a year of speculation, Redwood City-based Ampex, a maker of data storage systems, said on Monday that it has filed for Chapter 11 bankruptcy protection, and announced plans to reorganize. The company said that it will continue to operate its business, and expects to emerge from bankruptcy no later than this fall. All of its employees will be retained, and its offices and manufacturing facilities will stay open. Once the company emerges, it will receive an unspecified amount of funding from its largest creditor, Hillside Capital. "In recent years, Ampex has been constrained by its highly leveraged capital structure and by the continuing burden of its significant legacy pension liabilities. Quite simply, we have too much debt," said Gordon Strickland, the company's president and CEO. "We intend to use the Chapter 11 process to reduce these obligations significantly and to develop and implement a new capital structure that will allow us to invest in our business."