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Old November 17, 2007, 02:20 PM
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Babrbarossa Babrbarossa is offline
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Default AMD sells 8.1% to Abu Dhabi Gov't

I'm sure this as necessary, but I'm not so sure this is going to help them win any US gov't contracts....

With oil prices surging and U.S. stock prices slumping, chip maker Advanced Micro Devices Inc.'s sale of an 8.1 percent stake to the Abu Dhabi government's investment arm represents the latest plunge by a wealthy Middle Eastern nation into a troubled U.S. corporation.

.threshold_hidden {visibility:hidden;position:absolute;} .threshold_visible {visibility:visible;} div.threshold_visible { visibility:visible; }div.threshold_hidden { visibility:hidden; position:absolute; height:5px; } It also raises fresh questions about the appropriateness of Middle Eastern firms owning large chunks of U.S. businesses that specialize in advanced technologies.

Sunnyvale-based AMD, the world's No. 2 microprocessor maker, needs the $622 million investment from the Mubadala Development Company to help lift the company out of a deep financial slump.

AMD has lost more than $1.6 billion so far this year, and has just $1.5 billion in cash on hand as it works to pay down $5.3 billion in debt. The financial woes have caused AMD's stock to fall more than 35 percent since the start of the year, a slide that has wiped out nearly $4 billion in shareholder wealth.

The infusion, announced Friday, is a necessary jolt for AMD is it hunts for money to fund its counteroffensive against Intel Corp., the world's largest chip maker, and amid a huge spike in investments in U.S. companies from Middle Eastern nations.

Read more at The Ledger
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