Upgraded rating driven by strong execution and financial outlook, including strong free cash flow expectation for 2020 and 2021

SANTA CLARA, Calif., Sept. 11, 2020 (GLOBE NEWSWIRE) — AMD (NASDAQ:AMD) today announ­ced that the company’s seni­or unse­cu­red cre­dit rating was rai­sed to invest­ment gra­de Baa3 by Moody’s Inves­tors Service.
“Our focus on road­map exe­cu­ti­on and finan­cial disci­pli­ne during the last five years has crea­ted a solid foun­da­ti­on for long-term growth,” said Devin­der Kumar, seni­or vice pre­si­dent, CFO and Tre­asurer, AMD. “We are plea­sed with this upgrade from Moody’s, which reflects our strong finan­cial per­for­mance and out­look for con­tin­ued growth and signi­fi­cant cash generation.”

Moody’s upgraded AMD based on gro­wing busi­ness momen­tum, share gains, strong finan­cial per­for­mance, excel­lent liqui­di­ty and con­sis­tent execution.

About AMD
For 50 years, AMD has dri­ven inno­va­ti­on in high-per­for­mance com­pu­ting, gra­phics and visua­liza­ti­on tech­no­lo­gies – the buil­ding blocks for gam­ing, immersi­ve plat­forms and the data cen­ter. Hundreds of mil­li­ons of con­su­mers, lea­ding For­tu­ne 500 busi­nesses and cut­ting-edge sci­en­ti­fic rese­arch faci­li­ties around the world rely on AMD tech­no­lo­gy dai­ly to impro­ve how they live, work and play. AMD employees around the world are focu­sed on buil­ding gre­at pro­ducts that push the boun­da­ries of what is pos­si­ble. For more infor­ma­ti­on about how AMD is enab­ling today and inspi­ring tomor­row, visit the AMD (NASDAQ: AMD) web­site, blog, Face­book and Twit­ter pages.

Cau­tio­na­ry Statement
This press release con­ta­ins for­ward-loo­king state­ments con­cer­ning Advan­ced Micro Devices, Inc. (AMD) such as expec­ta­ti­ons regar­ding AMD’s busi­ness momen­tum and future finan­cial per­for­mance, inclu­ding AMD’s out­look for con­tin­ued growth and signi­fi­cant cash gene­ra­ti­on, which are made pur­su­ant to the Safe Har­bor pro­vi­si­ons of the Pri­va­te Secu­ri­ties Liti­ga­ti­on Reform Act of 1995. For­ward loo­king state­ments are com­mon­ly iden­ti­fied by words such as “would,” “may,” “expects,” “belie­ves,” “plans,” “intends,” “pro­jects” and other terms with simi­lar mea­ning. Inves­tors are cau­tio­ned that the for­ward-loo­king state­ments in this press release are based on cur­rent beliefs, assump­ti­ons and expec­ta­ti­ons, speak only as of the date of this press release and invol­ve risks and uncer­tain­ties that could cau­se actu­al results to dif­fer mate­ri­al­ly from cur­rent expec­ta­ti­ons. Such state­ments are sub­ject to cer­tain known and unknown risks and uncer­tain­ties, many of which are dif­fi­cult to pre­dict and gene­ral­ly bey­ond AMD’s con­trol, that could cau­se actu­al results and other future events to dif­fer mate­ri­al­ly from tho­se expres­sed in, or impli­ed or pro­jec­ted by, the for­ward-loo­king infor­ma­ti­on and state­ments. Mate­ri­al fac­tors that could cau­se actu­al results to dif­fer mate­ri­al­ly from cur­rent expec­ta­ti­ons include, wit­hout limi­ta­ti­on, the fol­lo­wing: Intel Corporation’s domi­nan­ce of the micro­pro­ces­sor mar­ket and its aggres­si­ve busi­ness prac­ti­ces; the abili­ty of third par­ty manu­fac­tu­r­ers to manu­fac­tu­re AMD’s pro­ducts on a time­ly basis in suf­fi­ci­ent quan­ti­ties and using com­pe­ti­ti­ve tech­no­lo­gies; expec­ted manu­fac­tu­ring yields for AMD’s pro­ducts; AMD’s abili­ty to intro­du­ce pro­ducts on a time­ly basis with fea­tures and per­for­mance levels that pro­vi­de value to its cus­to­mers; glo­bal eco­no­mic uncer­tain­ty; the loss of a signi­fi­cant cus­to­mer; AMD’s abili­ty to gene­ra­te reve­nue from its semi-cus­tom SoC pro­ducts;  the impact of the COVID-19 pan­de­mic on AMD’s busi­ness, finan­cial con­di­ti­on and results of ope­ra­ti­ons; poli­ti­cal, legal, eco­no­mic risks and natu­ral dis­as­ters; the impact of govern­ment actions and regu­la­ti­ons such as export admi­nis­tra­ti­on regu­la­ti­ons, tariffs and trade pro­tec­tion mea­su­res; poten­ti­al secu­ri­ty vul­nerabi­li­ties; poten­ti­al IT outa­ges, data loss, data brea­ches and cyber-attacks; uncer­tain­ties invol­ving the orde­ring and ship­ment of AMD’s pro­ducts; quar­ter­ly and sea­so­nal sales pat­terns; the rest­ric­tions impo­sed by agree­ments gover­ning AMD’s notes and the secu­red cre­dit faci­li­ty; the com­pe­ti­ti­ve mar­kets in which AMD’s pro­ducts are sold; AMD’s abili­ty to gene­ra­te suf­fi­ci­ent reve­nue and ope­ra­ting cash flow or obtain exter­nal finan­cing for rese­arch and deve­lo­p­ment or other stra­te­gic invest­ments; the poten­ti­al dilu­ti­ve effect if the 2.125% Con­ver­ti­ble Seni­or Notes due 2026 are con­ver­ted; mar­ket con­di­ti­ons of the indus­tries in which AMD pro­ducts are sold; AMD’s reli­ance on third-par­ty intellec­tu­al pro­per­ty to design and intro­du­ce new pro­ducts in a time­ly man­ner; AMD’s reli­ance on third-par­ty com­pa­nies for the design, manu­fac­tu­re and sup­p­ly of mother­boards, soft­ware and other com­pu­ter plat­form com­pon­ents; AMD’s reli­ance on Micro­soft Cor­po­ra­ti­on and other soft­ware ven­dors’ sup­port to design and deve­lop soft­ware to run on AMD’s pro­ducts; AMD’s reli­ance on third-par­ty dis­tri­bu­tors and add-in-board part­ners; future impairm­ents of good­will and tech­no­lo­gy licen­se purcha­ses; AMD’s abili­ty to attract and retain qua­li­fied per­son­nel; AMD’s indeb­ted­ness; AMD’s abili­ty to gene­ra­te suf­fi­ci­ent cash to ser­vice its debt obli­ga­ti­ons or meet its working capi­tal requi­re­ments; AMD’s abili­ty to repurcha­se its out­stan­ding debt in the event of a chan­ge of con­trol; the cycli­cal natu­re of the semi­con­duc­tor indus­try; the impact of acqui­si­ti­ons, joint ven­tures and/or invest­ments on AMD’s busi­ness; the impact of modi­fi­ca­ti­on or inter­rup­ti­on of AMD’s inter­nal busi­ness pro­ces­ses and infor­ma­ti­on sys­tems; the avai­la­bi­li­ty of essen­ti­al equip­ment, mate­ri­als or manu­fac­tu­ring pro­ces­ses; com­pa­ti­bi­li­ty of AMD’s pro­ducts with some or all indus­try-stan­dard soft­ware and hard­ware; cos­ts rela­ted to defec­ti­ve pro­ducts; the effi­ci­en­cy of AMD’s sup­p­ly chain; AMD’s abili­ty to rely on third par­ty sup­p­ly-chain logi­stics func­tions; AMD’s stock pri­ce vola­ti­li­ty; world­wi­de poli­ti­cal con­di­ti­ons; unfa­vorable cur­ren­cy exch­an­ge rate fluc­tua­tions; AMD’s abili­ty to effec­tively con­trol the sales of its pro­ducts on the gray mar­ket; AMD’s abili­ty to ade­qua­te­ly pro­tect its tech­no­lo­gy or other intellec­tu­al pro­per­ty; cur­rent and future claims and liti­ga­ti­on; poten­ti­al tax lia­bi­li­ties; and the impact of envi­ron­men­tal laws, con­flict mine­rals-rela­ted pro­vi­si­ons and other laws or regu­la­ti­ons. Inves­tors are urged to review in detail the risks and uncer­tain­ties in AMD’s Secu­ri­ties and Exch­an­ge Com­mis­si­on filings, inclu­ding but not limi­t­ed to AMD’s Quar­ter­ly Report on Form 10‑Q for the quar­ter ended June 27, 2020.