<PAGE>
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 8-K
Current Report Pursuant to Section 13 or 15(d) of
The Securities Exchange Act of 1934
Date of Report (date of earliest event reported): January 13, 1997
ADVANCED MICRO DEVICES, INC.
----------------------------
(Exact name of registrant as specified in its charter)
DELAWARE 1-7882 94-1692300
- ------------------------------- --------------- -----------------------
(State or other jurisdiction (Commission (I.R.S. Employer
of incorporation) File Number) Identification No.)
One AMD Place
P.O. Box 3453
Sunnyvale, California 94088-3453
- --------------------------------------- --------------------
(address of principal executive offices) (Zip Code)
Registrant's telephone number,
including area code: (408) 732-2400
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Page 1 of 4
<PAGE>
Item 5. Other Events.
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On Janaury 13, 1997, Advanced Micro Devices, Inc. (the Company)
announced its fourth quarter revenues. The Company reported a net loss of
$21,243,000 on sales of $496,868,000. The loss amounted to $0.15 per common
share. The full text of the press release is set forth in Exhibit 99 attached
hereto and is incorporated in this report as if fully set forth herein.
Item 7. Financial Statements and Exhibits.
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(c) Exhibits:
99 Press release dated January 13, 1997
2
<PAGE>
SIGNATURES
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Pursuant to the requirements of the Securities Exchange Act of 1934, the
registrant has duly caused this report to be signed on its behalf by the
undersigned hereunto duly authorized.
ADVANCED MICRO DEVICES, INC.
(Registrant)
/s/ Geoff Ribar
Date: January 20, 1997 By: _____________________________
Geoff Ribar
Vice President
Corporate Controller
3
<PAGE>
Exhibit Index
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Exhibit Number Exhibit
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99 Press release dated January 13, 1997
4
<PAGE>
EXHIBIT 99
[AMD LETTERHEAD]
CONTACT:
TOM STITES
COMMUNICATIONS
(408) 749-2918
AMD REPORTS FOURTH QUARTER RESULTS
SUNNYVALE, CA--JANUARY 13, 1997--AMD today reported a net loss of
$21,243,000 on sales of $496,868,000 for its fourth quarter, ended December 29,
1996. The loss amounted to $0.15 per share.
Sales for the like period of 1995 were $595,178,000, which resulted in net
income of $9,344,000, or $0.07 per share. In the immediate-prior quarter, AMD
reported sales of $456,862,000, which resulted in a loss of $38,362,000, or
$0.28 per share.
Revenues for 1996 amounted to $1,953,019,000, which resulted in a net loss
of $68,950,000, or $0.51 per common share. In 1995 AMD reported revenues of
$2,468,379,000, and net income of $216,326,000, or $1.57 per common share on a
fully diluted basis.
"An increase in sales over the immediate-prior quarter, coupled with
effective expense controls and excellent operational performance, enabled AMD to
substantially reduce its operating loss in the fourth quarter," said W.J.
Sanders III, chairman and chief executive officer of AMD. "Bookings improved
significantly during the fourth quarter of 1996, and our book-to-bill ratio
exceeded 1:1 for the first time since the second quarter of 1995. Customers have
worked through excess inventories and order patterns currently reflect normal
consumption rates.
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<PAGE>
2
"Our Computation Products Group (CPG) - primarily Microsoft(R) Windows(R)-
compatible microprocessors - accounted for the majority of our revenue growth
over the third quarter. Shipments of AMD-K5(TM) fifth-generation microprocessors
again more than doubled over the immediate-prior quarter to 1.1 million units.
A richer product mix, aided by strong demand for higher-performance AMD-K5-PR133
devices, contributed to higher average selling prices. With today's announcement
of the AMD-K5-PR166 microprocessor, AMD's position in the mainstream of the
desktop personal computer market continues to improve.
"We are now widely sampling our AMD-K6(TM) sixth-generation MMX processor
to a broad customer base. We continue to expect to commence production in the
current quarter and achieve initial revenues from K6 microprocessors in the
second quarter," Sanders concluded.
The forward-looking statements in the above release concerning the Company's
microprocessor products, and any implication from any other statement in the
release about the future performance of the Company, involve a number of risks
and uncertainties. Among the factors that could cause actual results to differ
materially from presently anticipated results are the following: success in
completing the design and verification of the AMD-K6 processor; success in
ramping production of new fifth- and sixth-generation microprocessors; shifts in
market demand and fluctuating customer inventory levels; and such other risks
and uncertainties as are detailed in "Management's Discussion and Analysis of
Results of Operations and Financial Condition" contained in the Company's most
recently filed annual report on Form 10-K, and the Company's most recently filed
quarterly report on Form 10-Q.
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3
ABOUT AMD
AMD is a global supplier of integrated circuits for the personal and
networked computer and communications markets. AMD produces processors, flash
memories, programmable logic devices, and products for communications and
networking applications. Founded in 1969 and based in Sunnyvale, CA, AMD had
revenues of $2.0 billion in 1996. (NYSE: AMD).
WORLD WIDE WEB: Press announcements and other information about AMD are
available on the Internet via the World Wide Web. Type http://www.amd.com at
the URL prompt.
AMD-K6 AND AMD-K5 ARE TRADEMARKS OF ADVANCED MICRO DEVICES, INC.
AMD, THE AMD LOGO AND COMBINATIONS THEREOF ARE TRADEMARKS OF ADVANCED MICRO
DEVICES, INC.
MICROSOFT AND WINDOWS ARE REGISTERED TRADEMARKS OF MICROSOFT CORPORATION.
#AMD9709
<PAGE>
Advanced Micro Devices, Inc.
CONSOLIDATED STATEMENTS OF OPERATIONS
(Thousands except per share amounts)
<TABLE>
<CAPTION>
Quarter Ended Year Ended
(Unaudited) (Audited)
- ----------------------------------------------------------------------------------------------
Dec. 29, Sep. 29, Dec. 31, Dec. 29, Dec. 31,
1996 1996 1995 1996 1995
(Restated)* (Restated)*
- ----------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C>
Net sales $496,868 $ 456,862 $595,178 $1,953,019 $2,468,379
Cost of sales 354,622 337,692 427,058 1,440,828 1,417,007
Research and development 107,499 105,656 107,715 400,703 416,521
Marketing, general and
administrative 88,292 90,432 100,766 364,798 412,651
- ----------------------------------------------------------------------------------------------
550,413 533,780 635,539 2,206,329 2,246,179
- ----------------------------------------------------------------------------------------------
Operating income (loss) (53,545) (76,918) (40,361) (253,310) 222,200
Interest income and other, net 4,079 4,214 8,024 59,391 32,465
Interest expense (7,601) (3,443) (1,665) (14,837) (3,059)
- ----------------------------------------------------------------------------------------------
Income (loss) before income taxes
and equity in joint venture (57,067) (76,147) (34,002) (208,756) 251,606
Provision (benefit) for income
taxes (22,826) (30,459) (21,846) (85,008) 70,206
- ----------------------------------------------------------------------------------------------
Income (loss) before equity
in joint venture (34,241) (45,688) (12,156) (123,748) 181,400
Equity in net income of
joint venture 12,998 7,326 21,500 54,798 34,926
- ----------------------------------------------------------------------------------------------
Net income (loss) $(21,243) $ (38,362) $ 9,344 $ (68,950) $ 216,316
Preferred stock dividends - - - - 10
- ----------------------------------------------------------------------------------------------
Net income (loss) applicable
to common stockholders $(21,243) $ (38,362) $ 9,344 $ (68,950) $ 216,316
- ----------------------------------------------------------------------------------------------
Net income (loss) per common
share $ (0.15) $ (0.28) $ 0.07 $ (0.51) $ 1.59
- ----------------------------------------------------------------------------------------------
Shares used in per share
calculation 137,693 136,082 138,941 135,687 136,208
- ----------------------------------------------------------------------------------------------
</TABLE>
* Restated from previously released financial information as a result of the
January 1996 merger with NexGen, Inc.
<PAGE>
Advanced Micro Devices, Inc. INFORMATION ONLY
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NON-GAAP CONSOLIDATED STATEMENTS OF OPERATIONS*
(Includes Pre-Tax FASL Investment Equity Income in Operating Income (Loss))
- --------------------------------------------------------------------------------
(Thousands except per share amounts)
<TABLE>
<CAPTION>
Quarter Ended Year Ended
(Unaudited) (Audited)
- ----------------------------------------------------------------------------------------------
Dec. 29, Sep. 29, Dec. 31, Dec. 29, Dec. 31,
1996 1996 1995 ** 1996 1995 **
- ----------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C>
Net sales $496,868 $ 456,862 $ 595,178 $1,953,019 $2,468,379
Cost of sales 354,622 337,692 427,058 1,440,828 1,417,007
Net income from equity
investment in FASL (19,996) (11,272) (33,077) (84,305) (53,732)
Research and development 107,499 105,656 107,715 400,703 416,521
Marketing, general and
administrative 88,292 90,432 100,766 364,798 412,651
- ----------------------------------------------------------------------------------------------
530,417 522,508 602,462 2,122,024 2,192,447
- ----------------------------------------------------------------------------------------------
Operating income (loss) (33,549) (65,646) (7,284) (169,005) 275,932
Interest income and other, net 4,079 4,214 8,024 59,391 32,465
Interest expense (7,601) (3,443) (1,665) (14,837) (3,059)
- ----------------------------------------------------------------------------------------------
Income (loss) before income taxes (37,071) (64,875) (925) (124,451) 305,338
Provision (benefit) for income
taxes (22,826) (30,459) (21,846) (85,008) 70,206
Provision for taxes on equity
income in FASL 6,998 3,946 11,577 29,507 18,806
- ----------------------------------------------------------------------------------------------
Net income (loss) (21,243) (38,362) 9,344 (68,950) 216,326
- ----------------------------------------------------------------------------------------------
Preferred stock dividends - - - - 10
- ----------------------------------------------------------------------------------------------
Net income (loss) applicable
to common stockholders $(21,243) $(38,362) $ 9,344 $(68,950) $216,316
- ----------------------------------------------------------------------------------------------
Net income (loss) per common
share $ (0.15) $ (0.28) $ 0.07 $ (0.51) $ 1.59
- ----------------------------------------------------------------------------------------------
Shares used in per share
calculation 137,693 136,082 138,941 135,687 136,208
- ----------------------------------------------------------------------------------------------
</TABLE>
* The above statements of operations are not in accordance with generally
accepted accounting principles (GAAP) in that the pre-tax equity income of
FASL has been reclassified and included in the determination of operating
income (loss). Net income (loss) and related net income (loss) per common
share amounts are the same as those reported under GAAP.
** Financial results for 1995 have been restated to include the historical
financial information of NexGen, Inc.
<PAGE>
Advanced Micro Devices, Inc.
CONSOLIDATED BALANCE SHEETS
(Thousands)
<TABLE>
<CAPTION>
December 29, December 31,
1996 1995
(Audited) (Audited)
(Restated)*
- -----------------------------------------------------------------------------
<S> <C> <C>
Assets
Current assets:
Cash, cash equivalents, and short-term investments $ 386,198 $ 509,665
Accounts receivable, net 220,028 284,238
Inventories 154,010 155,986
Deferred income taxes 140,850 147,489
Prepaid expenses and other current assets 127,991 40,564
- -----------------------------------------------------------------------------
Total current assets 1,029,077 1,137,942
Property, plant, and equipment, net 1,787,402 1,641,634
Investment in joint venture 197,205 176,821
Other assets 131,599 122,070
- -----------------------------------------------------------------------------
$3,145,283 $3,078,467
=============================================================================
Liabilities and Stockholders' Equity
- -----------------------------------------------------------------------------
Current liabilities:
Notes payable to banks $ 14,692 $ 26,770
Accounts payable 224,139 241,916
Accrued compensation and benefits 66,745 106,347
Accrued liabilities 103,436 103,404
Income tax payable 51,324 56,297
Deferred income on shipments to distributors 95,466 100,057
Current portion of long-term debt and capital
lease obligations 27,671 41,642
- -----------------------------------------------------------------------------
Total current liabilities 583,473 676,433
Deferred income taxes 95,102 84,607
Long-term debt and capital lease obligations,
less current portion 444,830 214,965
Stockholders' equity:
Capital stock:
Common stock, par value 1,428 1,050
Capital in excess of par value 957,178 908,989
Retained earnings 1,063,272 1,192,423
- -----------------------------------------------------------------------------
Total stockholders' equity 2,021,878 2,102,462
- -----------------------------------------------------------------------------
$3,145,283 $3,078,467
=============================================================================
</TABLE>
* Restated from previously released financial information as a result of the
January 1996 merger with NexGen, Inc.
<PAGE>
AMD
SELECTED CORPORATE DATA
(UNAUDITED)
<TABLE>
<CAPTION>
- ---------------------------------------------------------------------------------------------------
PRODUCT LINE BREAKDOWN* Q4 '96 Q3 '96 Q4 '95
- -----------------------
% OF SALES REVENUE % OF SALES REVENUE % OF SALES REVENUE
---------- ------- ---------- ------- ---------- -------
<S> <C> <C> <C> <C> <C> <C>
Communications and
Components Group 66 $ 328M 69 $ 317M 69 $ 413M
Programmable Logic Division 12 59M 13 58M 12 69M
(TBN)
Computation Products Group 22 110M 18 82M 19 113M
<CAPTION>
OTHER DATA Q4 '96 Q3 '96 Q4 '95
- ---------- ------ ------ ------
<S> <C> <C> <C> <C> <C>
Depreciation $ 84M $ 85M $ 84M
Capital Spending 144M 143M 139M
Headcount 12,181 12,388 12,730
- ---------------------------------------------------------------------------------------------------
International Sales 55% 53% 53%
</TABLE>
* Restated to include NEXGEN
