02 amd fad2010 dirk_meyer_final

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Transcript of 02 amd fad2010 dirk_meyer_final

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AMD 2010 Financial Analyst Day

Dirk MeyerPresident and Chief Executive Officer

November 9, 2010

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Review: 2010 Success Drivers

*Source: Mercury Research, October 2010

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Target Markets are Large and Growing

Notebooks

Source: AMD estimates

Netbooks

Graphics

Servers

$40B Gross Margin Pool in 2014

DesktopsEmbedded

Game Consoles

Tablets

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Convergence of Three Industry Trends

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Introducing: The AMD Fusion Family of APUs

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Success Drivers

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Appendix A – Non-GAAP Operating Income and Gross Margin Reconciliations

Reconciliation of GAAP to Non-GAAP Operating Income (Loss)

(Millions) Q4-09 Q1-10 Q2-10 Q3-10

GAAP operating income (loss) $ 1,288 $ 182 $ 125 $128

Gross margin benefit due to the deconsolidation of GF - 69 - -

Amortization of acquired intangible assets (18) (17) (17) (16)

Legal settlement 1,242 - - -

Restructuring (charges) reversals - - 4 -

Operating income (loss) from Foundry segment and Intersegment Eliminations (105) - - -

Non-GAAP operating income (loss) $ 169 $ 130 $ 138 $144

Reconciliation of GAAP to Non-GAAP Gross Margin

(Millions, except percentages) Q4-09 Q1-10 Q2-10 Q3-10

GAAP Gross Margin $ 735 $ 741 $ 738 $739

GAAP Gross Margin % 45% 47% 45% 46%

Gross margin benefit due to the deconsolidation of GF - 69 - -

Gross margin from Foundry segment and Intersegment Eliminations 56 - - -

Non-GAAP Gross Margin $ 679 $ 672 $ 738 $739

Non-GAAP Gross Margin % 41% 43% 45% 46%

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DISCLAIMER

The information presented in this document is for informational purposes only and may contain technical inaccuracies,omissions and typographical errors.The information contained herein is subject to change and may be rendered inaccurate for many reasons, including but notlimited to product and roadmap changes, component and motherboard version changes, new model and/or product releases,product differences between differing manufacturers, software changes, BIOS flashes, firmware upgrades, or the like. AMDassumes no obligation to update or otherwise correct or revise this information. However, AMD reserves the right to revisethis information and to make changes from time to time to the content hereof without obligation of AMD to notify any personof such revisions or changes.

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