AMD 2012 Annual Report Download - page 61

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The following table provides a summary of the activity related to the 2012 and 2011 restructuring plans and
the remaining related liabilities recorded in “Other current liabilities” on our consolidated balance sheet as of
December 29, 2012:
Severance
and related
benefits
Other exit
Related
Costs Total
(In millions)
Balance at December 25, 2010 ......................................... $— $— $—
Charges ....................................................... 54 46 100
Cash payments ................................................. (32) — (32)
Non-cash charges ............................................... — (1) (1)
Balance at December 31, 2011 ......................................... 22 45 67
Charges ....................................................... 95 5 100
Cash payments ................................................. (76) (29) (105)
Non-cash charges ............................................... — (4) (4)
Balance at December 29, 2012 ......................................... $ 41 $ 17 $ 58
2008 Restructuring Plan
In the fourth quarter of 2008, we initiated a restructuring plan to reduce our cost structure, which was
substantially completed in 2009. In 2011, we reversed approximately $2 million of costs associated with the 2008
restructuring plan because the actual restoration costs for vacated facilities were lower than previously estimated.
In 2010, we reversed approximately $4 million of costs associated with the 2008 restructuring plan because the
actual severance and costs related to the continuation of certain employee benefits were lower than previously
estimated.
The following table provides a summary of each major type of cost associated with the 2012, 2011 and 2008
restructuring plans for the periods presented:
2012 2011 2010
(In millions)
Severance and benefits ....................................................... $ 95 $54 $ (4)
Contract or program terminations ............................................... — 45 —
Asset impairments ........................................................... 4 1 —
Facility consolidations and closures ............................................. 1 (2) —
Total ..................................................................... $100 $98 $ (4)
Interest Income
Interest income was $8 million in 2012 compared to $10 million in 2011. The decrease was primarily due to
a decrease in cash, cash equivalents and marketable securities and a decrease in the weighted-average interest
rate during 2012.
Interest income of $10 million in 2011 was relatively flat as compared to $11 million in 2010. The
weighted-average interest rate decreased in 2011 compared to 2010. However, the impact of this was offset by an
increase in average cash, cash equivalents and marketable securities balance during 2011.
Interest Expense
Interest expense was $175 million in 2012 compared to $180 million in 2011 and $199 million in 2010.
Interest expense decreased primarily due to the net reduction in the principal amount of our outstanding debt.
53