Thursday, September 29, 2011

AMD cuts sales and profit targets

AMD cuts sales and profit targets

The U.S. chip maker AMD cuts its sales and profit targets for the third
quarter. The sales will grow over the second quarter by only 6 percent,
the company announced after U.S. market close. The main reason may be
problems in the production of AMD's Dresden plant's partner Global
Foundries, the production of the Llano notebook processors have slowed
down. The gross profit margin will likely be 44-45 percent.

Most recently, the management nor a sales increase of 10 percent in
prospect, according to a variation of two percentage points above and
below. The profit margin should reach around 47 percent. The full
quarterly report, AMD plans on 27 October release. In the second
quarter, AMD increase its market share.

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