Featured Articles

5th Generation Broadwell 14nm family comes in three lines

5th Generation Broadwell 14nm family comes in three lines

Intel's 5th Core processor family, codenamed Broadwell, will launch in three lines for the mobile segment. We are talking about upcoming…

More...
Broadwell Chromebooks coming in late Q1 2015

Broadwell Chromebooks coming in late Q1 2015

Google's Chromebook OS should be updating automatically every six weeks, but Intel doesn't come close with its hardware refresh schedule.

More...
New round of Nexus phone rumour kicks off

New round of Nexus phone rumour kicks off

Rumours involving upcoming Nexus devices are nothing uncommon, but this year there is a fair bit of confusion, especially on the…

More...
Nvidia officially launches the 8-inch Shield Tablet

Nvidia officially launches the 8-inch Shield Tablet

As expected and reported earlier, Nvidia has now officially announced its newest Shield device, the new 8-inch Shield Tablet. While the…

More...
Aerocool Dead Silence reviewed

Aerocool Dead Silence reviewed

Aerocool is well known for its gamer cases with aggressive styling. However, the Dead Silence chassis offers consumers a new choice,…

More...
Frontpage Slideshow | Copyright © 2006-2010 orks, a business unit of Nuevvo Webware Ltd.
Monday, 22 September 2008 13:43

AMD's bailout a thing of the past

Written by Nick Farell

Image

Financial markets more careful


The Lehman Brothers
bailout of AMD is being seen as a warning to other financial investors, according to Associated Press.

Lehman bought up $1.5 billion worth of AMD debt and it is being seen as one of the factors that contributed to it going belly up last week. AMD's cash reserves are dwindling and the chip maker's overall financial health deteriorated to dangerous levels last year, Lehman saved AMD's bacon, but the message of its bankruptcy is for companies to be a lot more careful in the future.

Now banks are saying that deals like the Lehman-AMD one could be harder to come by with Lehman's bankruptcy and the disintegration or consolidation of other banks. AMD will not be affected by Lehman's going tits up. At the end of June AMD held about $1.6 billion in cash while carrying $5.3 billion in debt.

AMD has already spent Lehman's cash, and its debt offering was sold off by Lehman to other banks. AMD used the cash infusion to pay down debt from its $5.6 billion acquisition of graphics chip maker, ATI Technologies, and for other corporate expenses.

Companies like AMD could also be at a disadvantage in selling short-term debt. Only the strongest, most well-established technology names could get such cash.
Last modified on Tuesday, 23 September 2008 04:36

Nick Farell

E-mail: This e-mail address is being protected from spambots. You need JavaScript enabled to view it
blog comments powered by Disqus

 

Facebook activity

Latest Commented Articles

Recent Comments