Annual report pursuant to Section 13 and 15(d)

Consolidated Statements Of Operations

v2.4.0.6
Consolidated Statements Of Operations (USD $)
In Millions, except Per Share data, unless otherwise specified
 3 Months Ended 12 Months Ended
Dec. 31, 2011
Oct. 01, 2011
Jul. 02, 2011
Apr. 02, 2011
Dec. 25, 2010
Sep. 25, 2010
Jun. 26, 2010
Mar. 27, 2010
Dec. 31, 2011
Dec. 25, 2010
Dec. 26, 2009
Consolidated Statements Of Operations [Abstract]                      
Net revenue $ 1,691 $ 1,690 $ 1,574 $ 1,613 $ 1,649 $ 1,618 $ 1,653 $ 1,574 $ 6,568 $ 6,494 $ 5,403
Cost of sales 918 934 854 922 906 879 915 833 3,628 3,533 3,131
Gross margin 773 756 720 691 743 739 738 741 2,940 2,961 2,272
Research and development 358 361 367 367 352 359 371 323 1,453 1,405 1,721
Marketing, general and administrative 243 249 239 261 250 236 229 219 992 934 994
Legal settlements         (283) [1]         (283) (1,242)
Amortization of acquired intangible assets 3 8 9 9 11 16 17 17 29 61 70
Restructuring charges (reversals), net 98 [2]           (4) [2]   98 (4) 65
Operating income 71 138 105 54 413 128 125 182 368 848 664
Interest income 2 3 2 3 2 3 3 3 10 11 16
Interest expense (43) (42) (47) (48) (39) (56) (55) (49) (180) (199) (438)
Other income (expense), net (207) [3] (7) 4 11 14 (6) (1) 304 (199) 311 166
Income (loss) before equity income (loss) and dilution gain in investees and income taxes (177) 92 64 20 390 69 72 440 (1) 971 408
Provision (benefit) for income taxes (4) (5) 3 2 42 [4] 1 5   (4) 38 112
Equity in net income (loss) and dilution gain in investee, net       492 [5] 27 [5] (186) [5] (120) [5] (183) [5] 492 (462)  
Income from continuing operations (173) 97 61 510 375 (118) (43) 257 495 471 296
Loss from discontinued operations, net of tax (4) [6]               (4)   (3)
Net income (177) 97 61 510 375 (118) (43) 257 491 471 293
Net income attributable to noncontrolling interest                     83
Class B preferred accretion                     (72)
Net income attributable to AMD common stockholders                 $ 491 $ 471 $ 304
Basic                      
Continuing operations $ (0.24) $ 0.13 $ 0.08 $ 0.71 $ 0.52 $ 0.17 $ 0.06 $ 0.36 $ 0.68 $ 0.66 $ 0.46
Discontinued operations $ (0.01)               $ (0.01)    
Basic net income (loss) attributable to AMD common stockholders per common share $ (0.24) $ 0.13 $ 0.08 $ 0.71 $ 0.52 $ 0.17 $ 0.06 $ 0.36 $ 0.68 $ 0.66 $ 0.46
Diluted                      
Continuing operations $ (0.24) $ 0.13 $ 0.08 $ 0.68 $ 0.50 $ 0.17 $ 0.06 $ 0.35 $ 0.67 $ 0.64 $ 0.45
Discontinued operations $ (0.01)               $ (0.01)    
Diluted net income attributable to AMD common stockholders per common share $ (0.24) $ 0.13 $ 0.08 $ 0.68 $ 0.50 $ 0.17 $ 0.06 $ 0.35 $ 0.66 $ 0.64 $ 0.45
Shares used in per share calculation                      
Basic 732 729 724 720 717 713 709 707 727 711 673
Diluted 732 741 743 764 758 713 709 754 742 733 678
[1] On December 22, 2010, the Company entered into settlement agreement with Samsung. Pursuant to the settlement agreement, Samsung agreed to pay the Company $283 million, net of withholding taxes. The Company recorded this amount as a gain in 2010.
[2] During the fourth fiscal quarter of 2011, the Company implemented a restructuring plan and incurred a net restructuring charge of $98 million primarily related to severance and costs related to the continuation of certain employee benefits, contract or program termination costs and asset impairments.
[3] During the fourth quarter of 2011, the Company recorded a non-cash impairment charge of approximately $209 million related to its investment in GF.
[4] The tax provision in the fourth quarter of 2010 is primarily due to withholding taxes that the Company paid in connection with the settlement agreement with Samsung.
[5] As of beginning of 2010, the Company deconsolidated GF and began to account for its ownership interest in GF under the equity method of accounting. The Company recorded a non-cash gain of $325 million on deconsolidation of GF and a loss of $462 million for the Company's share of GF's operating results in 2010. As of beginning of 2011, the Company changed the method of accounting for its investment GF from the equity method to the cost method of accounting. As a result of the change, the Company recognized a non-cash gain of approximately $492 million in the first quarter of 2011, net of certain transaction related charges.
[6] In the fourth fiscal quarter of 2008, the Company sold its Digital Television business unit to Broadcom Corporation. The Company had classified its Digital Television unit as discontinued operations at the time it decided to divest the business unit. Pursuant to the asset sale agreement, Broadcom had three years after the closing date to obtain reimbursement from the Company for a portion of any severance costs that Broadcom incurred during this time period to the extent the severance costs related to any of the Company's former employees. The loss from discontinued operations represents payments to Broadcom in the fourth fiscal quarter of 2011.