2. AMD 2010 Financial Analyst Day
Dirk Meyer
President and Chief Executive Officer
November 9, 2010
3. Review: 2010 Success Drivers
*Source: Mercury Research, October 2010
3 | AMD 2010 Financial Analyst Day | November 9, 2010
4. Target Markets are Large and Growing
Netbooks
Notebooks
Game Tablets
Consoles
Servers
Embedded
Desktops
Graphics
$40B Gross Margin Pool in 2014 Source: AMD estimates
4 | AMD 2010 Financial Analyst Day | November 9, 2010
5. Convergence of Three Industry Trends
5 | AMD 2010 Financial Analyst Day | November 9, 2010
6. Introducing: The AMD Fusion Family of APUs
6 | AMD 2010 Financial Analyst Day | November 9, 2010
7. Success Drivers
7 | AMD 2010 Financial Analyst Day | November 9, 2010
8. 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 (17) (17) (16)
(18)
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%
8 | AMD 2010 Financial Analyst Day | November 9, 2010