AMD 2009 Annual Report Download - page 138

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Management’s Report on Internal Control over Financial Reporting
Internal control over financial reporting refers to the process designed by, or under the supervision of, our
Chief Executive Officer and Chief Financial Officer, and effected by our Board of Directors, management and
other personnel, to provide reasonable assurance regarding the reliability of financial reporting and the
preparation of financial statements for external purposes in accordance with U.S. generally accepted accounting
principles, and includes those policies and procedures that:
(1) Pertain to the maintenance of records that in reasonable detail accurately and fairly reflect the
transactions and dispositions of the assets of the Company;
(2) Provide reasonable assurance that transactions are recorded as necessary to permit preparation of
financial statements in accordance with U.S. generally accepted accounting principles, and that receipts and
expenditures of the Company are being made only in accordance with authorizations of management and
directors of the Company; and
(3) Provide reasonable assurance regarding prevention or timely detection of unauthorized acquisition, use
or disposition of the Company’s assets that could have a material effect on the financial statements.
Internal control over financial reporting cannot provide absolute assurance of achieving financial reporting
objectives because of its inherent limitations. Internal control over financial reporting is a process that involves
human diligence and compliance and is subject to lapses in judgment and breakdowns resulting from human
failures. Internal control over financial reporting also can be circumvented by collusion or improper management
override. Because of such limitations, there is a risk that material misstatements may not be prevented or detected
on a timely basis by internal control over financial reporting. However, these inherent limitations are known
features of the financial reporting process. Therefore, it is possible to design into the process safeguards to
reduce, though not eliminate, this risk. Management is responsible for establishing and maintaining adequate
internal control over financial reporting for the Company.
Management has used the framework set forth in the report entitled “Internal Control—Integrated
Framework” published by the Committee of Sponsoring Organizations of the Treadway Commission to evaluate
the effectiveness of the Company’s internal control over financial reporting. Management has concluded that the
Company’s internal control over financial reporting was effective as of December 26, 2009. Our independent
registered public accounting firm, Ernst & Young LLP, has issued an attestation report on the Company’s
internal control over financial reporting as of December 26, 2009, which is included immediately following this
report.
By: /s/ Derrick R. Meyer
Name: Derrick R. Meyer
Title: President and Chief Executive Officer
February 19, 2010
By: /s/ Thomas J. Seifert
Name: Thomas J. Seifert
Title: Senior Vice President and
Chief Financial Officer
February 19, 2010
130