AMD 2013 Annual Report Download - page 100

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• making certain investments if an event of a default exists, or if specified financial conditions are not
satisfied;
• creating or permitting certain liens;
• creating or permitting restrictions on the ability of its subsidiaries to pay dividends or make other
distributions to the Company;
• using the proceeds from sales of assets;
• entering into certain types of transactions with affiliates; and
• consolidating, merging or selling the Company’s assets as an entirety or substantially as an entirety.
The 8.125% Notes rank equally with the Company’s existing and future senior debt and are senior to all of
the Company’s future subordinated debt. The 8.125% Notes rank junior to all of the Company’s future senior
secured debt to the extent of the collateral securing such debt and are structurally subordinated to all existing and
future debt and liabilities of the Company’s subsidiaries.
7.75% Senior Notes Due 2020
On August 4, 2010, the Company issued $500 million of the 7.75% Senior Notes Due 2020 (the 7.75%
Notes). The 7.75% Notes are general unsecured senior obligations of the Company. Interest is payable on
February 1 and August 1 of each year beginning February 1, 2011 until the maturity date of August 1, 2020. The
7.75% Notes are governed by the terms of an indenture (the 7.75% Indenture) dated August 4, 2010 between the
Company and Wells Fargo Bank, N.A., as trustee.
As of December 28, 2013, the outstanding aggregate principal amount of the 7.75% Notes was $500
million.
Prior to August 1, 2015, the Company may redeem some or all of the 7.75% Notes at a price equal to 100%
of the principal amount, plus accrued and unpaid interest and a “make whole” premium (as defined in the 7.75%
Indenture). From August 1, 2015, the Company may redeem the 7.75% Notes at specified redemption prices,
plus accrued and unpaid interest.
Holders have the right to require the Company to repurchase all or a portion of the 7.75% Notes in the event
that the Company undergoes a change of control, as defined in the 7.75% Indenture, at a repurchase price of
101% of the principal amount plus accrued and unpaid interest. Additionally, an event of default (as defined in
the 7.75% Indenture) may result in the acceleration of the maturity of the 7.75% Notes.
The 7.75% Indenture contains certain covenants that limit, among other things, the Company’s ability and
the ability of its subsidiaries, from:
• incurring additional indebtedness, except specified permitted debt;
• paying dividends and making other restricted payments;
• making certain investments if an event of a default exists, or if specified financial conditions are not
satisfied;
• creating or permitting certain liens;
• creating or permitting restrictions on the ability of its subsidiaries to pay dividends or make other
distributions to the Company;
• using the proceeds from sales of assets;
• entering into certain types of transactions with affiliates; and
• consolidating, merging or selling its assets as an entirety or substantially as an entirety.
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