Summary
This 8-K filing by Advanced Micro Devices, Inc. (AMD) on November 18, 2009, details several significant corporate actions and financial disclosures. Most notably, the company announced the appointment of Nicholas M. Donofrio to its Board of Directors and a Nominating and Corporate Governance Committee, effective November 16, 2009. Mr. Donofrio was granted 50,000 restricted stock units that will vest over three years, aligning his interests with long-term shareholder value. Furthermore, AMD provided important financial guidance and initiated several debt management activities. The company projected fiscal year 2010 depreciation and amortization expense for its "AMD Product Company" (excluding the Foundry segment) to be between $340 million and $370 million. This segmentation aims to give investors clearer insight into the core AMD business. In terms of debt, AMD announced the redemption of its outstanding $390 million 7.75% Senior Notes due 2012 on December 18, 2009, and simultaneously launched a proposed $500 million senior notes offering and a cash tender offer for up to $1 billion of its 5.75% Convertible Senior Notes due 2012.
Key Highlights
- 1Nicholas M. Donofrio appointed to AMD's Board of Directors and Nominating and Corporate Governance Committee.
- 2Mr. Donofrio received 50,000 restricted stock units vesting over three years.
- 3AMD projects FY2010 depreciation and amortization expense for "AMD Product Company" (excluding Foundry) to be $340M - $370M.
- 4Company is providing financial data for "AMD Product Company" to offer better investor visibility outside of the consolidated Foundry segment.
- 5AMD announced redemption of $390 million in 7.75% Senior Notes due 2012, set for December 18, 2009.
- 6Proposed private offering of $500 million in senior notes to qualified institutional buyers.
- 7Commencement of a cash tender offer for up to $1 billion of 5.75% Convertible Senior Notes due 2012.