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AMD "Barcelona" die shot  (Source: AMD)
AMD records a loss for the third straight quarter

Earlier this week, DailyTech reported that were things were looking rosy for the Intel folks in Santa Clara, California. The company reported that its profits were up 43 percent on revenues of $10.1 billion USD.

Today, it was AMD's turn to report its Q3 earnings results. AMD recorded revenue of $1.632 billion USD -- this represented an 18 percent increase from Q2 2007. However, AMD reported an operating loss of $226 million USD and a net loss of $396 million USD -- this compares to a $611 million USD net loss for Q1 and a $600 million USD net loss for Q2.

Part of AMD's losses during Q3 can be attributed to its acquisition of ATI Technologies in 2006. The company is still reeling from the purchase and recorded a $78 million USD charge as a result. The ATI-related charge involved costs related to integration and severance packages. Another $42 million USD charge was recorded in relation to Spansion.

On a more positive note, the introduction of ATI's Radeon HD 2000 series GPUs resulted in a 29 percent increase in graphics revenue to $252 million USD. AMD also noted that its Radeon HD 2000 series GPUs are now featured in desktop and notebook systems from Dell, HP, Lenovo and Toshiba.

During 2007, AMD has racked up enormous debt and experienced losses in every quarter. Former ATI president CEO Dave Orton left in July after successfully leading the charge to integrate the two tech companies. AMD also lost executive vice president and chief sales and marketing officer Henri Richard in late November. The following month, AMD vice president of worldwide sales Rick Hegberg packed his bags and headed for the door.

AMD still has room for improvement in the form of its new quad-core 65nm Barcelona architecture. The company launched its Barcelona-based Opteron server processors in early September with speeds up to 2.0GHz. 2.3GHz models are in the pipeline for Q4 2007.

Quad-core desktop Phenom 2.2GHz (Phenom 9500) and 2.4GHz (Phenom 9600) processors will launch late next month, while a 2.6GHz (Phenom 9700) processor will be ready for December. AMD will later tackle the high-end desktop market with the Phenom FX-82 during the first half of 2008.

AMD also threw a bit of a curve ball with the announcement of a triple-core Phenom processor family. The triple-core processors logically fit between AMD's dual-core and quad-core offerings and will bring "true multi-core technology to a broader audience," according to the company.

The next few months won't be easy for AMD, however. Although it has a new CPU architecture on tap, Intel is not standing still. Intel is always one step ahead of AMD when it comes to process technology and its 45nm Penryn-based Xeon processors will launch November 12, while its Penryn-based desktop processors should be available before the end of the year.

In addition, Intel will refresh its 45nm architecture in the summer of 2008 with Nehalem, while a 32nm refresh called Westmere will be in place for 2009.

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Take over/buy out on the way
By crystal clear on 10/20/2007 7:07:05 AM , Rating: 1
Well its coming-all the talk about buyouts/takeover/private equity etc.

Heres one for a start-

AMD Recommends Rejection of Below-Market “Mini-Tender” Offer from TRC Capital Corporation

SUNNYVALE, Calif. -- October 19, 2007 --AMD (NYSE: AMD) today said it has been notified of a "mini-tender" offer by TRC Capital Corporation to purchase up to 5 million shares of the Company’s common stock, which represents approximately .90 percent of its outstanding shares. AMD cautions its stockholders that TRC's unsolicited “mini-tender” offer of $13.25 per share was more than 5 percent below the $14.02 per share closing price of AMD stock on October 10, 2007, the day before the “mini-tender” offer was commenced and approximately 9 percent below the $14.55 per share closing price of AMD stock on October 18, 2007.

AMD recommends against tendering shares in response to this unsolicited below-market offer. AMD does not in any way recommend or endorse the TRC Capital Corporation “mini-tender” offer, and AMD is in no way associated with TRC Capital Corporation, the “mini-tender” offer or the offer documentation.

TRC Capital has a history of making “mini-tender” offers for the shares of other companies for its profit. These offers are devised to seek less than 5 percent of a company's outstanding shares, thereby avoiding many procedural and disclosure requirements of the Securities and Exchange Commission (“SEC”) because they are below the SEC's threshold to provide such disclosure and procedural protections for investors.

The SEC has issued an investor alert regarding these “mini-tender” offers, noting that "some bidders make “mini-tender” offers at below-market prices, hoping that they will catch investors off guard if the investors do not compare the offer price to the current market price." Investors are urged to consult with their broker or financial advisor on such matters. The SEC's advisory may be found at The Ontario Securities Commission has also issued an advisory titled "Approach mini-tenders with caution!" (

AMD stockholders who have already tendered are advised that they may withdraw their shares by providing the written notice described in the TRC Capital Corporation offering documents prior to the expiration of the offer currently scheduled for 12:01 a.m., New York City time, on Friday, November 9, 2007.

AMD refers broker/dealers and other market participants in the dissemination of TRC Capital's offer to the SEC's recommendations to broker/dealers in these circumstances which can be found at and to Information Memo Number 01-27 issued by the New York Stock Exchange on Sept. 28, 2001, regarding the dissemination of mini-tender offer materials, which can be found under the "Market Professional - Information Memos" tab on the NYSE's website at

In addition to above-

SUNNYVALE, Calif. – Sept. 24, 2007 – Spansion Inc. (NASDAQ:SPSN), the world’s largest pure-play provider of Flash memory solutions, today announced Donald L. Lucas and Gilles Delfassy were appointed to Spansion’s Board of Directors, effective September 20, 2007.
Lucas will serve as chairman of the board and will hold the Board seat vacated by Hector Ruiz, chairman of the board of AMD.

Don Lucas has been a self-employed venture capitalist since 1967.

"Nowadays you can buy a CPU cheaper than the CPU fan." -- Unnamed AMD executive
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