14 DAY TRIAL // There is no secret that AMD have just reached the financial pit's bottom and have started scratching their way to the surface, but there's a long way ahead until they reach a zero balance. Profits are still out of discussion and it would take a new generation of CPUs to make AMD return to the rich people.
The company yesterday went crying on the shoulders of New York Stock Exchange analysts and thold them how badly they did during the last year. Well, they messed up pretty well and that is publicly known. They failed in delivering two processor lines that were meant to guarantee the company's survival in the battle with Intel and they failed in satisfying their loyal customers who have been waiting for them for over a year.
AMD shed crocodile tears about how they got hoaxed up with buying the Canadian graphics chip manufacturer ATI and cried their 5.6 billion loss. They are also going to claim some "material" compensation for the $3.2 billion in goodwill the company invested for the acquisition of ATI Technologies. The company's stock is down 60 percent in 2007, which should demand critical measures to ensure AMD's survial until they hit the next CPU successful story to cover their shameful performance during this year.
If AMD were a normal company, they would have begun reconstruction and, therefore, they would have cut down costs. Instead, to value the company's "performance", AMD CEO Hector Ruiz is getting a raise. The company disclosed the information in a filing with the Securities and Exchange Commission that says that Hector Ruiz's compensation agreement was amended on Wednesday with his new salary, namely $1,124,000. The previous income Ruiz was getting from the AMD business was $1,046,358 in base monthly salary, while, in 2006, Ruiz accounted for only $12,848,435.
Sure thing, hard work pays. The new salary will allow Ruiz to stay the highest paid CEO in the semiconductor industry and will qualify him for the Forbes' annual list of CEO pay to get published next year.