AMD at a Glance

Corporate Overview
AMD is a global supplier of integrated circuits for the personal and networked computer and communications markets. AMD produces microprocessors, Flash memory devices, and support circuitry for communications and networking applications. The company’s products allow users to access, process, and communicate information at ever-greater speeds and low costs.

AMD employs nearly 14,000 people worldwide in manufacturing facilities in the United States, Europe, Japan and Asia, as well as sales offices in major cities around the globe. Founded in 1969 and based in Sunnyvale, California, AMD had revenues of approximately $4.6 billion in 2000. A truly global company, AMD derives more than half of its revenues from international markets. Shares of the company trade on the New York Stock Exchange under the symbol AMD.

Corporate Philosophy
AMD believes that what company stands for is as important as what it produces. To that end, the company has codified its corporate purpose and values. The company’s stated corporate purpose is straightforward: " We empower people everywhere to lead more productive lives." As a leading manufacturer of products that help drive the information technology revolution, AMD operates in some of the most highly competitive markets in the world. As a result, AMD is a company driven by its core values, reflected in the following statements:

• The culture of AMD is characterized by an indomitable will to persevere and prosper in one of the world’s most competitive industries.
• The central tenet of AMD culture is a belief that people are the ultimate source of the company’s competitive advantage.
• Respect for people-honoring their rights as individuals-is the cornerstone of AMD culture.
• AMD is committed to the highest standards of integrity in all aspects of its business and is responsible to all of its stakeholders.
• AMD believes that competition is the ultimate driving force of growth and progress.
• AMD values learning as a lifelong process.
• AMD takes the initiative to identify obstacles to success and create solutions.
• Our customer’s success is our success.

Operations Overview
AMD has been able to strike a balance between strategic manufacturing alliances and manufacturing autonomy. That balance enables the company to compete globally and meet its customers' high-volume, high-quality requirements.

With wafer fabrication and assembly facilities in key areas, AMD continues to invest in state-of-the-art technology, including copper interconnect technology that AMD implemented through a strategic alliance with Motorola. AMD is also involved in other strategic alliances, such as Sematech, that drive advances in silicon processes, wafer manufacturing, and packaging technologies.

AMD develops advanced process technologies at the Submicron Development Center (SDC) in Sunnyvale, California. The SDC also serves as a pilot production facility for next-generation AMD products.

Advanced process technologies are then migrated into production at operational manufacturing sites around the world. These wafer fabrication facilities produce AMD microprocessors for nine of the top ten personal computer manufacturers. In Austin, Texas, AMD currently manufactures the AMD Athlon™ processor and the AMD Duron™ processor, as well as family processors, at Fab 25 (so named because the facility became operational in 1994, twenty-five years after the company ’s founding). Both AMD Athlon and AMD Duron processors are manufactured in Fab 25 on 0.18-micron (180-nanometer) process technology.

AMD ’s newest, $1.9 billion, state-of-the-art manufacturing facility, Fab 30 in Dresden, Germany, began shipments of the AMD AthlonTM processor in June 2000. The Dresden facility, also using leading edge 0.18-micron process technology, greatly expands AMD's capacity to produce high-performance microprocessors. Fab 30 is the first European wafer fab to use copper interconnect in its production processes.

The Fujitsu AMD Semiconductor, Ltd. (FASL) joint venture fab in Aizu-Wakamatsu, Japan, manufacturers AMD's innovative, low-voltage Flash memory devices on 0.32-micron process technology. Nearby, a second state-of-the-art FASL fab has begun production of flash products on 0.23-micron process technology. And in July 2000, AMD broke ground for its third "megafab" for manufacturing flash memory devices under the FASL joint venture at Aizu-Wakamatsu. Initial production from the estimated $1.5 billion facility is planned for the second half of 2001 and will include a shell for future expansion. FASL is the largest producer of Flash memory products in the world.

AMD has also established sophisticated test and assembly plants in Penang, Malaysia, and Bangkok, Thailand, as well as a world-class test, device analysis, and design facility in Singapore. AMD operates a test and assembly facility in Suzhou, China as well. In addition, AMD maintains quality support organizations in Sunnyvale, California, and Frimley, England.

AMD PRODUCTS AND AWARDS
Hundreds of computer manufacturers worldwide, including many premier systems manufacturers, offer AMD Athlon processor-based PCs. The AMD Athlon processor and AMD Athlon processor- based systems have won more than 60 awards from publications in 17 countries around the globe including: the 2000 PC World Product of the Year award, the Analyst’s Choice Award for Best PC Processor from Microprocessor Report, the Technical Excellence Award for Best Hardware Component from PC Magazine. Workstation publications such as Cadalyst, 3-D Design, Pro/E and Windows NT have also given the AMD Athlon processor and AMD Athlon processor-based systems awards of distinction. Internationally, the AMD Athlon processor has won awards from publications in Australia, Canada, China, Croatia, Denmark, England, Finland, France, Germany, Israel, Japan, Mexico, The Netherlands, Norway, Poland, and Russia.

The AMD Duron™ processor, a derivative of the award-winning AMD Athlon processor, was introduced in June 2000 and has reinvented the value PC space. Many computer manufacturers worldwide are currently selling AMD Duron processor-based systems.

As mentioned previously, AMD technology is employed by the world's largest producer of Flash memory devices, Fujitsu AMD Semiconductor Ltd. (FASL). AMD Flash memory products encompass a broad spectrum of densities and features to support a wide range of markets. AMD offers many Flash memory products, such as the award-winning Simultaneous Read-Write (SRW) product family; Super Low Voltage 1.8 Volt Flash memory devices; and Burst and Page Mode devices. AMD developed the robust Known Good Die (KGD) program and the patented negative gate erase technology, and refined the industry-standard Fine-Pitch Ball Grid Array (FBGA).

All AMD flash memory devices are guaranteed for a minimum of one million write cycles per sector and 20 years' data retention, making them the most reliable Non-Volatile Memory devices in the industry. In 2000, AMD’s Flash memory division won Supplier of the Year Awards from Nortel and Cisco Systems as well as the Leading Edge Supplier Award from Volkswagen.