Company Announces Preliminary Fourth Quarter 2010 Revenue and Gross Margin; Affirms 2011 Product Roadmaps Remain on Track
SUNNYVALE, CA, Jan 10, 2011 (MARKETWIRE via COMTEX) --
AMD (NYSE: AMD) today announced that its Board of Directors has
appointed Senior Vice President and CFO Thomas Seifert, 47, as
interim CEO following the resignation of Dirk Meyer, 49, as
president, CEO and a director of the company effective immediately.
A CEO Search Committee has been formed to begin the search for a new
CEO. The Committee is led by Bruce Claflin, Chairman of AMD's Board
of Directors, who has been named Executive Chairman of the Board as
he assumes additional oversight responsibilities during the
transition period. Seifert will maintain his current responsibilities
as CFO and has asked not to be considered for the permanent CEO
position.
"Dirk became CEO during difficult times. He successfully stabilized
AMD while simultaneously concluding strategic initiatives including
the launch of GLOBALFOUNDRIES, the successful settlement of our
litigation with Intel and delivering Fusion APUs to the market," said
Claflin.
"However, the Board believes we have the opportunity to create
increased shareholder value over time. This will require the company
to have significant growth, establish market leadership and generate
superior financial returns. We believe a change in leadership at this
time will accelerate the company's ability to accomplish these
objectives."
Seifert joined AMD in 2009, and has more than 20 years of general
management, global operations and financial management expertise.
Immediately prior to joining AMD, Seifert served as COO and CFO of
Qimonda AG, where he led the formation and subsequent IPO of the
company. At Infineon AG, Seifert served as senior vice president and
general manager in its Wireless Business Group.
In commenting on Seifert, Claflin said, "During his tenure at AMD,
Thomas helped strengthen the company's balance sheet while
demonstrating strong leadership and winning the respect of his peers.
His operations and finance experience make him an excellent choice to
guide the company as interim CEO."
"AMD enters 2011 with considerable product and financial momentum.
Our roadmap for the year, including our 'Llano' APU and 32nm
'Bulldozer' based processors remain on track," said Seifert. "I
believe we have significant opportunities to cement our leadership
positions in several key market segments based on the strength of our
upcoming products."
AMD Announces Certain Preliminary Fourth Quarter 2010 Results
AMD is announcing certain preliminary results for the fourth quarter
2010. Fourth quarter revenue increased 2 percent sequentially to
approximately $1.65 billion and gross margin was approximately 45
percent. In addition, the company reaffirms its 2011 annual financial
guidance as disclosed at its Financial Analyst Day last November.
AMD plans to release its final results for the fourth quarter after
market close on Thursday, January 20, 2011, with a conference call at
2 p.m. PT/5 p.m. ET to provide additional details.
About AMD
AMD (NYSE: AMD) is a semiconductor design innovator leading the next
era of vivid digital experiences with its ground-breaking AMD Fusion
Accelerated Processing Units (APUs). AMD's graphics and computing
technologies power a variety of devices including PCs, game consoles
and the powerful computers that drive the Internet and businesses.
For more information, visit http://www.amd.com.
Cautionary Statement
This release contains forward-looking statements, concerning among
other things, the Company's growth opportunities, the Company's
opportunity to create increased shareholder value over time,
including its ability to have significant growth, establish market
leadership and generate superior financial returns, product roadmaps,
including the timing of the planned introduction of AMD Fusion
platforms, financial results for the fourth fiscal quarter of 2010,
including revenue and gross margin, and financial guidance for fiscal
2011 which are made pursuant to the safe harbor provisions of the
Private Securities Litigation Reform Act of 1995. Forward-looking
statements are commonly identified by words such as "would," "may,"
"expects," "believes," "plans," "intends," "projects," and other
terms with similar meaning. Investors are cautioned that the
forward-looking statements in this release are based on current
beliefs, assumptions and expectations, speak only as of the date of
these presentations and involve risks and uncertainties that could
cause actual results to differ materially from current expectations.
The material factors that could cause actual results to differ
materially from current expectations include, without limitation, the
following: the possibility that Intel Corporation's pricing,
marketing and rebating programs, product bundling, standard setting,
new product introductions or other activities targeting AMD's
business will prevent attainment of AMD's current plans; AMD will be
unable to develop, launch and ramp new products and technologies in
the volumes and mix required by the market; AMD's third party wafer
foundries will be unable to manufacture its products on a timely
basis with acceptable quality, at acceptable manufacturing yields and
using competitive technologies; AMD's third party wafer foundries
will be unable to transition to advanced manufacturing process
technologies in a timely and effective way, consistent with AMD's
planned expenditures; AMD will be unable to maintain the level of
investment in research and development that is required to remain
competitive; demand for computers and consumer electronics products
and, in turn, demand for AMD's products will be lower than currently
expected; customers will stop buying AMD's products or materially
reduce their demand for its products; third parties will not develop
or improve software that is optimized for AMD products; AMD will
require additional funding and may not be able to raise funds on
favorable terms or at all; there will be unexpected variations in
market growth and demand for AMD's products and technologies in light
of the product mix that it may have available at any particular time
or a decline in demand; any inability to obtain sufficient
manufacturing capacity or components to meet demand for AMD's
products or the under-utilization of GLOBALFOUNDRIES manufacturing
facilities; the effect of political or economic instability
internationally on sales or production; or that GLOBALFOUNDRIES will
be less successful than anticipated. Investors are urged to review in
detail the risks and uncertainties in the company's Securities and
Exchange Commission filings, including but not limited to the
Quarterly Report on Form 10-Q for the quarter ended September 25,
2010.
AMD, the AMD Arrow logo, and combinations thereof, are trademarks of
Advanced Micro Devices, Inc. Other names are for informational
purposes only and may be trademarks of their respective owners.
Media Contact
Drew Prairie
512-602-4425
Email Contact
Investor Contact
Ruth Cotter
408-749-3887
Email Contact
SOURCE: Advanced Micro Devices
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