Advanced Micro Devices, Inc. Annual report pursuant to Section 13 and 15(d)

Income Taxes (Tables)

12 Months Ended

Dec. 28, 2013



	2013			2012			2011
	(In millions)
Current:
U.S. Federal	$	(2	)	$	—		$	(3	)
U.S. State and Local	—			—			1
Foreign National and Local	10			6			4
Total	8			6			2
Deferred:
U.S. Federal	3			(37		)	—
Foreign National and Local	(2		)	(3		)	(6		)
Total	1			(40		)	(6		)
Provision (benefit) for income taxes	$	9		$	(34	)	$	(4	)



	December 28, 2013			December 29, 2012
	(In millions)
Deferred tax assets:
Net operating loss carryovers	$	1,701		$	1,455
Deferred distributor income	49			55
Inventory valuation	32			53
Accrued expenses not currently deductible	113			118
Acquired intangibles	343			385
Tax deductible goodwill	271			323
Federal and state tax credit carryovers	321			395
Foreign capitalized research and development costs	22			36
Foreign research and development ITC credits	305			316
Discount of convertible notes	65			40
Other	217			291
Total deferred tax assets	3,439			3,467
Less: valuation allowance	(3,375		)	(3,401		)
Total deferred tax assets, net of valuation allowance	64			66
Deferred tax liabilities:
Acquired intangibles	(28		)	(33		)
Other	(17		)	(16		)
Total deferred tax liabilities	(45		)	(49		)
Net deferred tax assets	$	19		$	17



	December 28, 2013			December 29, 2012
	(In millions)
Current deferred tax assets	$	2		$	1
Non-current deferred tax assets	18			16
Current deferred tax liabilities	(1		)	—
Net deferred tax assets	$	19		$	17



Carryforward	Federal		State / Provincial		Expiration
	(In millions)
U.S.-net operating loss carryovers	$	4,598	$	269	2018 to 2033
U.S.-credit carryovers	$	399	$	188	2018 to 2033
Canada-net operating loss carryovers	$	355	$	355	2025 to 2028
Canada-credit carryovers	$	387	$	34	2021 to 2033
Canada-R&D pools	$	82	$	82	no expiration
Barbados-net operating loss carryovers	$	287	N/A		2014 to 2017
Other foreign net operating loss carryovers	$	8	N/A		various



	2013			2012			2011
	(In millions)
Statutory federal income tax provision (benefit) at 35% rate	$	(26	)	$	(426	)	$	172
State taxes, net of federal benefit	1			1			1
Foreign income at other than U.S. rates	15			(13		)	(2		)
U.S. valuation allowance generated (utilized)	22			406			(171		)
Credit monetization	(3		)	(2		)	(4		)
Provision (benefit) for income taxes	$	9		$	(34	)	$	(4	)



	2013			2012			2011
	(In millions)
Balance at beginning of year	$	56		$	69		$	42
Increases for tax positions taken in prior years	1			3			28
Decreases for tax positions taken in prior years	(2		)	(4		)	(4		)
Increases for tax positions taken in the current year	4			3			8
Decreases for settlements with taxing authorities	(7		)	(15		)	(5		)
Balance at end of year	$	52		$	56		$	69