AMD 2009 Annual Report Download - page 45

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Environmental Matters
We are named as a responsible party on Superfund clean-up orders for three sites in Sunnyvale, California
that are on the National Priorities List. Since 1981, we have discovered hazardous material releases to the
groundwater from former underground tanks and proceeded to investigate and conduct remediation at these three
sites. The chemicals released into the groundwater were commonly used in the semiconductor industry in the
United States in the wafer fabrication process prior to 1979.
In 1991, we received Final Site Clean-up Requirements Orders from the California Regional Water Quality
Control Board relating to the three sites. We have entered into settlement agreements with other responsible
parties on two of the orders. During the term of such agreements other parties have agreed to assume most of the
foreseeable costs as well as the primary role in conducting remediation activities under the orders. We remain
responsible for additional costs beyond the scope of the agreements as well as all remaining costs in the event
that the other parties do not fulfill their obligations under the settlement agreements.
To address anticipated future remediation costs under the orders, we have computed and recorded an
estimated environmental liability of approximately $3 million in accordance with applicable accounting rules and
have not recorded any potential insurance recoveries in determining the estimated costs of the cleanup. The
progress of future remediation efforts cannot be predicted with certainty, and these costs may change. We believe
that the potential liability, if any, in excess of amounts already accrued, will not have a material adverse effect on
our financial condition or results of operations.
Other Matters
We are a defendant or plaintiff in various other actions that arose in the normal course of business. In the
opinion of management, the ultimate disposition of these matters will not have a material adverse effect on our
financial condition or results of operations.
ITEM 4. SUBMISSION OF MATTERS TO A VOTE OF SECURITY HOLDERS
No matters were submitted to a vote of security holders during the fourth quarter of the fiscal year covered
by this report.
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