Summary
This Form 8-K/A filing by Advanced Micro Devices, Inc. (AMD) on January 17, 2008, serves as an amendment to a previous 8-K report from December 6, 2007. The primary purpose is to provide a specific estimate for a previously disclosed goodwill impairment related to the October 2006 acquisition of ATI Technologies Inc. (ATI Acquisition). Investors should note that AMD has now determined this goodwill impairment charge to be approximately $1.3 billion. Furthermore, the company has also identified an impairment of approximately $350 million in certain identifiable intangible assets acquired as part of the ATI Acquisition. Importantly, AMD states that these impairment charges will not require any current or future cash expenditures. These charges will be reflected in the company's financial statements for the fiscal quarter and year ended December 29, 2007.
Key Highlights
- 1AMD amends its prior 8-K filing to provide a concrete estimate for goodwill impairment.
- 2The goodwill impairment is related to the October 2006 acquisition of ATI Technologies Inc.
- 3The estimated goodwill impairment charge is approximately $1.3 billion.
- 4An additional impairment of approximately $350 million is recognized for identifiable intangible assets from the ATI Acquisition.
- 5These impairment charges are non-cash events and do not require current or future cash expenditures.
- 6The charges will be recorded in the financial statements for the fiscal quarter and year ended December 29, 2007.