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Case 1:05-cv—00441-JJF Document 243-7 Filed 11/13/2006 Page1 014

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etsssommsss AMD Reports Fourth Quarter Results me Press Reimer
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Ltrulrgmpgpmqg Sales grew by 24 percent on strong demand for AMD Atl‘n'on’“ XP Processors l prncgjmspr News
E-@-'Ztl”£’ 5il-QE-5-@ SUNNYVALE, CA —— January 16, 2002 ·~·-A¥~’iD today reported that net sales For the quarter ended I gblbm Nmg
gngprsamcm Quutgs December 30. 2GUl grew by 24 percent sequentially I
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Led by record unit and record dollar sales of PC; processors, AMD reported Fourth quarter net sales of DMD
&¥-‘°?—Kg~§ $95;,873,090, which resulted in a net loss of $15342,000, or $0 D5 per share » |l5_5_f§_@_€1
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_t§;ecutive Blographies Net sales for the third quarter of 2601 were s?55,S7i},GGU, which resulted ln a pro forma net toss of
E t. 5 h $92424,000, or a pro forma net loss of so 28 per share, (excluding the effects of restructuring and NEWS R¤l¤¤=<¤ AF¤*¤l¤·'¤=5
~&u~lm~—~l2g§Q-@§~ other special charges amounting to $89 3 million, Impaired investments of $22 million, and 2005
ggirgl ra;¤L;gB_gll_mg_.;y additional inventory provisions amounting to $6 Q million } ° "“‘“" ```’‘ ”
Product Information ‘
Rmngéégfé in the fourth quarter of 2DGO,'AMD reported net sales of $1,175,172,DOD and net income of l EDGE
$177,°.l5B,l}U0. or $0 53 per daluted share
i_;l_t;g_{;e_;m Pro_d_uct Outlook _ zggz
Imsstisemilsslwwwx rar me ron year ended December ao, 20e1. Amo reported not saies or $3,B91,754,DGO, a decline or _ mm
Q 16 percent as compared to 200*3, resulting in net income of $28324,000, or $0 O9 per diluted share '`'" ``'`
Eigggjig,. prlgmg on a pro forma basis When the effects of restructuring and other special charges are lnciuded, the i gggg
company incurred a net loss in ZDO1 of$5€J,581,0GU. or $0 18 per share
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R°5°'"°°$ mn In 2050 AMD reported net sales of s4,6¢•rl,187,0DG and net income of $983,0%.000, or s2 B9 per _ 1_gg_g_g;
gmyhwwéqgmg diluted share Results for 2006 included a one-time net gain of $1B9,2G2,0GD from the sale ofthe
_ companys voice communécations business and the retirement of senior secured notes Net income . ;§@§·_'_
$2Ué'@E-Ki?-‘i#?L¤P-QQ rar zooo excludéng the one·tlrne net gala above was $793,B24,DDO, or $2 as per diluted snare
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g@_5_gege_;s "ixceltent market acceptance ofthe newly Introduced AMD Athlori"' XP processor, the worlcl's ¥’¤F*¤¤F Prose R<¤l¤¤5¤5
. . highest-performance PC processor enabled AMD to turn ln e strong quarter," said W J Sanders III, _ AMD A1 i ,,, Gd E
·l1Qm§~Q·QrU·U]·&Eg·§rcib£L(£1§· chairman and chéef executive officer "AMlD PC processor revenues surged more than 50 percent ‘ “““W{.,““““*“Qt}·;!;)““““I:7 ,,,“““"$
sequentially, as we posted new records tn both units and cloi%ars Average soiling prices for AMD ;,|_Dé€q_;Dr
processors increased dramatically to $90 as the company rapidly rarnped production and sales of the """“""m‘"’"m
AMD Athton XP processor, which was introduced in October Overaél, AMD achieved sequential sales , AMD Turionl"‘ @53_[;§pb
growth of more time 24 percent Technolooy
_, AMD Athlon"‘ MP
"'in tough markets, superior products make the difference," said Sanders "The superior performance H'£’§9.E
of the AMD Athlon processor famliy enabled AMD to increase both units and revenues and gain AMD Athlmm Xp
market share in both units and dollars ln a decllnéng market We beileve AMD gained four points of ’ I§‘;“6€é§§“é‘}“`““““`””
unit market share ln 2001 even as the worldwide personal computer industry experlenced its Brst “*"“"`""”“
year—to·year unit sales decline We oeiieve total industry PC processor revenues declined by more » C0¤.l‘1¤ti1%§4l.ly...$¤.!U.¥l0.!2=l
than 2U percent last year. In this very tough environment, AMD PC processor revenues in ZDD1 grew
by 3 5 percent over the prior year. and unit saies of AMD processors grew by 16 percent to nearly ¤ QQEEQMCQE
31 mlllmn mms U Partner Press Release Archive
. Ztlill.
The company reported that fourth quarter unlt sales of AMD processors for mobile PC applications
increased by more than 50 percent sequentially
The company also reported that it commenced production of AMD Athton processors on 13D»
nanometer (0 13—micron) technology in Fab 30 in Dresden, Germany duréng the quarter
"AMD continues to enjoy a substantial manufacturing cost advantage compared to our competitorf
said Sanders "We believe that advantage wili widen as we migrate production to 13D·nanometer
technoiogy." Sanders noted that the AMS Athlon XP processor die manufactured on ESG-nanometer
technology is R2 percent smaller than the recently introduced `Northwood version of the Intel
Pentium 4 processor produced on 139-nanometer technology ""l`he AMD Athlon X? processor on
13G-nanometer technology ts just over half of the site - 45 percent smaller — ofthe Northwood dle "
Shipments to customers ol' AMD Athion processors moducod on 130-nanometer tochnoiogy will
begin ln the current quarter AMD expects that all AMD Athlon processors will be produced on 136-

Case 1 :05-cv-00441-JJF Document 243-7 Filed 1 1/13/2006 Page 3 of 4
nanometer technology by the end of 2002
AMD reported that Memory Group sales - principally flash memory products »~ declined by
approximately 7 percent sequentially ln the face of continued weak demand from the networking and
communications sector.
`·`§n 2001, AMD substantiaily outperformed the worldwide semiconductor industryf said Sanders. "In
a very difficult year for the industry that saw worldwide sales of semiconductors decline by more
than 31 percent, AMD saées deciined oy approximately half that amount, reflecting the desirabltity
and competitiveness of AMD products Achieving pro forma profitability during the worst recession ln
the history of the semiconductor industry was a significant accomplishmerst," Sanders concluded
Current Outioolc
`¥he company's outlook statements are based on current expectations °`§'he following statements are
Forward-looking, and actuai results coold differ materially. The companys current oudook is based
on the following projections:
The company expects that 9C processor unit shipments in the first quarter will remain at or near the
record level of 7 B mtltlon units with average selling prices at or near the $90 ievet of the fourth
quarter of 2001
Demand for nasa memory devices continues to oe soft due to continuing weakness and an inventory
overhang ln the networking and communications sector Conseouentiy, the company expects
continuéng pricing pressures and a sequential decilne ln revenues from Bash memory devices in the
first quarter
Assuming normal seasonal patterns in sales of PC processors and continued weakness in the flash
memory product market, the company expects a sequentéai revenue decline in the first quarter of
2002 to approxirnateiy $900 mltléon, which woold result in a small net loss for the quarter
The company remains on track to return to profitability ln the second quarter of 2002 and to achieve
solid prontability For the year as a whole
AMD Teteconference
AMD wiil hold a teleconference for the financial community at 2:30 PM Pacific Standard Time today
to discuss fourth·quarter financial results AMD wlil provéde a rea|~t%me audio broadcast of the
teleconference on the Investor Relations page of its web site at yg;yw,_a_g3_q;l,go_n3_or
www.5i·reetEyenrs.com The webcast wlél be available for two weeks after the teleconference
Cautionary Statement
this reiease contains l’orward—lookinp statements, which are made pursuant to the safe harbor
provisions ol the Private Securities Litigation Reform Act of 1995 Investors are cautéoned that
Forward-looking statements in this release invoéve risks and uncertainty that coold cause actuaé
results to differ materially from current expectations Risks include the possiblilty that globai
business and economic conditions wirl worsen resulting in lower than expected sales in 2`ODZ; that
Intel Corporation pricing, marketing programs, product bundling, new product introductions or other
activities targeting the companys processor business will prevent attainment of the companys
current FC processor sales plans and expectations regarding unlt sales and average selilng prices;
that demand for personal computers and, in turn, demand for the company's PC processors will oe
lower than currently expected; that demand {or the company's flash memory products will be lower
than currently expected; that the company will not continue to be successfut lo ramping production
of the company's htghest-performance AMD Ath|on"" processors on 0 .13 micron technology in Fat:
30 in Dresden, Germany; and that the company will not be able to grow revenoes and reduce cost in
the current quarter and in 2002 consistent with its current forecast We urge investors to review in
detali the risks and uncerta¥nt¥es in the company’s Securities and Exchange Commission Slings,
including but not ilmited to the report on Form 10-K for the year ended December 31, 2000, and the
report on Form 20~Q for the quarter ended September 30, 2001
About AMD
AMD is a globaé supplier of integrated circuits for the personas and networi communications markets with manufacturtng facilities in the United States, Europe, Japan, and Asia
AMD, a Fortune 500 and Standard & Poor's SGD company. produces microprocessors, flash memory
devices, and support circuitry for communications and networking applications. Founded in 1969 and
based in Sunnyvale, Callfornéa, AMD had revenues of $3 9 billion in 2001 (NYSE: AMD)
AMD on the Web ¥or more AMD news and product information. please vlslt our virtual pressroom at
YJWVV.Em1Q_;_(&mf_Q_€_5_[¤lL5_L\»ilIg@hZ!'§§§,(@FQC;!u@ Additional press releases are avaliable at
www.m·ncL_t;·1ii1gnet·rs!nevrs.htm
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