AMD tightens belt, hammers workforce
One in six to lose jobs
AMD today announced that 2,000 people, or approximately 15 per cent of staff, will lose their jobs by the end of the second quarter of 2003.
The announcement is part of the company's strategy to reduce its breakeven point and expenses by $350 million in 2003. Approximately 1,000 affected employees located in the US, Europe and Asia were notified today.
AMD will take a Q4 restructuring charge of "several hundred million dollars", the company said.
"While painful and unfortunate, today's action will help to position AMD so that we can take full advantage of the eventual market recovery," said AMD President and CEO Hector Ruiz.
He promised a product blitz over the next six month that will enable it "to compete in segments of the market where we have not yet been before". ®