AMD 2014 Annual Report Download - page 63

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During 2014, 2013 and 2012, we did not realize any excess tax benefit related to stock-based compensation.
Therefore, we did not record any effects relating to financing cash flows for these periods.
Contractual Obligations
The following table summarizes our consolidated principal contractual cash obligations, as of December 27,
2014, and is supplemented by the discussion following the table:
Payment due by period
(In millions) Total 2015 2016 2017 2018 2019
2020
and thereafter
6.00% Notes ....................... $ 42 $ 42 $— $— $— $— $ —
6.75% Notes ....................... 600 — — — — 600 —
7.75% Notes ....................... 450 — — — — — 450
7.50% Notes ....................... 475 — — — — — 475
7.00% Notes ....................... 500 — — — — — 500
Secured Revolving Line of Credit ...... 130 130 — — — — —
Other long-term liabilities ............ 68 — 35 31 1 — 1
Aggregate interest obligation(1) ......... 1,037 150 148 148 148 126 317
Capital lease obligations(2) ............ 12561— — —
Operating leases .................... 340 50 46 43 41 27 133
Purchase obligations(3) ............... 688 542 50 71 25 — —
Obligations to GF(4) ................. 80 80 — — — — —
Total contractual obligations .......... $4,422 $999 $285 $294 $215 $753 $1,876
(1) Represents estimated aggregate interest obligations for our outstanding debt obligations that are payable in
cash, excluding capital lease obligations. Also excludes non-cash amortization of debt discounts on our
6.00% Notes and amortization of debt issuance costs.
(2) Includes principal and imputed interest.
(3) We have purchase obligations for goods and services where payments are based, in part, on the volume or
type of services we acquire. In those cases, we only included the minimum volume of purchase obligations
in the table above. Purchase orders for goods and services that are cancelable upon notice and without
significant penalties are not included in the amounts above. In addition we have obligations for software
technology and licenses where payments are fixed and non-cancelable which are also included in the table
above.
(4) Represents our payment obligations to GF as of the end of our fiscal year for wafer receipts and research
and development activities. We negotiate our purchase commitments with GF on an annual basis and as
such we cannot meaningfully quantify or estimate our future payment obligations to GF. We are currently in
the process of negotiating a fifth amendment to the WSA, and we expect that our future purchases from GF
will continue to be material.
6.00% Convertible Senior Notes due 2015
On April 27, 2007, we issued $2.2 billion aggregate principal amount of our 6.00% Notes. Our 6.00% Notes
are our general unsecured senior obligations. Interest is payable on May 1 and November 1 of each year
beginning November 1, 2007 until the maturity date of May 1, 2015. The terms of our 6.00% Notes are governed
by an indenture dated April 27, 2007, by and between us and Wells Fargo Bank, N.A., as trustee.
During the first quarter of 2014, we repurchased $64 million in aggregate principal amount of our 6.00%
Notes in open market transactions for $69 million, which included payment of accrued and unpaid interest of $1
million. Also, during 2014, we repurchased a portion of our 6.00% Notes through a partial tender offer. We
repurchased $423 million aggregate principal amount of our 6.00% Notes for $460 million in cash, which
included payment of accrued and unpaid interest of $10 million. We incurred a total loss of $10 million in
connection with the foregoing repurchases of our 6.00% Notes.
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