AMD Writes Down $880 Million Following Inability to Execute in Consumer Electronics Business.
Advanced Micro Devices has written down another $880 million from their goodwill and intangible assets in the recently ended quarter quarter, the company said in a statement with Securities and Exchange Commission. The firm said that its handheld and DTV businesses were not demonstrating expected financial results.
After performing an interim impairment analysis of its goodwill and intangible assets associated with its handheld and DTV reporting units of the Consumer Electronics segment that it acquired from ATI Technologies, the company concluded that the current carrying value of the goodwill and intangible assets associated with these reporting units was impaired.
AMD’s estimate is that the goodwill and intangible asset impairment charges will be approximately $880 million. These impairment charges will be recorded in the company’s consolidated financial statements as of and for the fiscal quarter ended June 28, 2008
