AMD 1994 Annual Report Download - page 422

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
industry in the wafer fabrication process prior to 1979. At least one of the
released chemicals (which is no longer used by the company) has been identified
as a probable carcinogen.
In 1991, the company received four Final Site Clean-up Requirements Orders
from the California Regional Water Quality Control Board, San Francisco Bay
Region ("RWQCB") relating to the three sites. The orders named the company as
well as TRW Microwave, Inc., and Philips Semiconductor, (formerly Signetics
Corporation) in various combinations and degrees of responsibility.
A notice dated October 3, 1994 was received by the company from the
Department of Ecology of the State of Washington indicating that the Department
had determined the corporation to be a potentially liable person for the release
of hazardous substances on a site located in Yakima, Washington. The company is
currently investigating this claim.
The company has not yet determined to what extent the costs of any related
remedial actions will be covered by insurance. The three sites in Santa Clara
County are on the National Priorities List (Superfund). If the company fails to
satisfy federal compliance requirements or inadequately performs the compliance
measures, the government (a) can bring an action to enforce compliance, or (b)
can undertake the desired response actions itself and later bring an action to
recover its costs, and penalties, which is up to three times the costs of clean-
up activities, if appropriate. Certain class actions related to this matter have
been settled or the statute of limitations has been tolled. It is expected that
the foregoing environmental matters or any related litigation will not have a
material adverse effect on the financial condition or results of operations of
the company.
V. Other matters.
The company is a defendant or plaintiff in various other actions which 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 the
financial condition or results of operations of the company.
15. SHELF REGISTRATION STATEMENT
On May 25, 1994, the Securities and Exchange Commission declared effective the
company's shelf registration statement covering up to $400 million of its
securities, which may be either debt securities, preferred stock, depositary
shares representing fractions of shares of preferred stock, common stock,
warrants to purchase common stock, or any combination of the foregoing which the
company may offer from time to time in the future. The nature and terms of the
securities will be established at the time of their sale. The company may offer
the securities through underwriters to be named in the future, through agents or
otherwise. The net proceeds of any offering will be used for general corporate
purposes, which may include the reduction of outstanding indebtedness, working
capital increases, and capital expenditures. To date, the company has not
offered or sold any securities registered under the $400 million registration
statement.
24 ADVANCED MICRO DEVICES, INC.
Source: ADVANCED MICRO DEVIC, 10-K, March 07, 1995