AMD announces private offering of $500 million of senior notes

SUNNYVALE, USA: Advanced Micro Devices Inc. today announced that it intends to commence an offering, subject to market and other conditions, of $500 million aggregate principal amount of senior notes in a private offering.

AMD intends to use the proceeds, along with existing cash, to purchase its 5.75 percent Convertible Senior Notes due 2012 validly tendered pursuant to the company’s tender offer for such notes, which was also announced today. Net proceeds not used in the tender offer, if any, will be used for general corporate purposes.

The new senior notes have not been registered under the Securities Act of 1933, as amended, or applicable state securities laws, and will be offered only to qualified institutional buyers in reliance on Rule 144A and in offshore transactions pursuant to Regulation S under the Securities Act of 1933, as amended.

Unless so registered, the new senior notes may not be offered or sold in the United States except pursuant to an exemption from the registration requirements of the Securities Act and applicable state securities laws.

Announces redemption of 7.75 percent senior notes due 2012
AMD also announced that it will redeem all outstanding principal amount of its 7.75 percent Senior Notes due 2012 on December 18, 2009. The notice of redemption will be mailed to the holders of the Notes on November 18, 2009.

Questions regarding the redemption should be directed to Wells Fargo Bank, National Association, the trustee under the indenture governing the Notes, at Wells Fargo Bank, National Association, Corporate Trust Services, 707 Wilshire Boulevard, 17th Floor, Los Angeles, CA 90017.