AMD 1996 Annual Report Download - page 236

The following is a reconciliation between statutory federal income taxes and the
total provision (benefit) for income taxes:
1996 1995 1994
-----------------------------------------------------------------
(Thousands except percent) Tax Rate Tax Rate Tax Rate
-----------------------------------------------------------------
Statutory federal
income tax provision (benefit) $(73,065) (35.0)% $88,062 35.0% $148,316 35.0%
State taxes net of federal benefit (520) (0.2) 216 0.1 6,601 1.6
Tax exempt Foreign Sales
Corporation income (2,283) (1.1) (6,848) (2.7) (8,955) (2.1)
Foreign income at other than
U.S. rates (9,782) (4.7) (11,503) (4.6) (9,633) (2.3)
Other 642 0.3 279 0.1 5,903 1.4
-------- ----- ------- ---- -------- ----
$(85,008) (40.7)% $70,206 27.9% $142,232 33.6%
======== ===== ======= ==== ======== ====
No provision has been made for income taxes on approximately $296 million of
cumulative undistributed earnings of certain foreign subsidiaries because it is
the Company's intention to permanently invest such earnings. If such earnings
were distributed, additional taxes of approximately $102 million would accrue.
The Company's assembly and test plant in Thailand is operated under a tax
holiday which expires in 1998. The net impact of this tax holiday was a decrease
in the net loss of approximately $3 million ($0.02 per share) in 1996.
NOTE 9. DEBT
Significant elements of uncommitted, unsecured revolving lines of credit are:
(Thousands except percent) 1996 1995
-------------------------
Total lines of credit $234,501 $345,801
Portion of lines of credit available to
foreign subsidiaries 84,501 95,801
Amounts outstanding at year-end:
Short-term 14,692 26,770
Short-term borrowings:
Average daily borrowings 15,389 29,666
Maximum amount outstanding at any month-end 22,971 36,105
Weighted-average interest rate 2.36% 4.19%
Average interest rate on amounts outstanding
at year-end 1.47% 4.41%
-------------------------
Interest on foreign and short-term domestic borrowings is negotiated at the time
of the borrowing.
Information with respect to the Company's long-term debt and capital lease
obligations at year-end is:
(Thousands) 1996 1995
---------------------
11% Senior Secured Notes with interest payable semiannually
and principal on August 1, 2003 $400,000 $ --
Term loan with variable interest paid in August, 1996 -- 150,000
10%-11% Convertible notes paid in March, 1996 -- 1,774
Promissory notes with principal and 6.88% interest payable
annually through January, 2000, secured by a partnership interest 8,489 10,276
12% Note paid in May, 1996 -- 10,000
Mortgage with principal and 9.88% interest payable in monthly
installments through April, 2007 1,930 2,167
Obligations under capital leases 58,631 77,306
Obligations secured by equipment 3,388 4,990
Other 63 94
-------- --------
472,501 256,607
Less: current portion (27,671) (41,642)
-------- --------
Long-term debt and capital lease obligations, less
current portion $444,830 $214,965
======== ========
29
Source: ADVANCED MICRO DEVIC, 10-K, March 20, 1997