AMD Announces $622M Investment by Mubadala Development Company



    Mubadala Takes 8.1% Stake in AMD

    SUNNYVALE, CALIF., November 16 /CNW/ - AMD (NYSE:  AMD) announced today
that it has received an investment from a wholly-owned subsidiary of Mubadala
Development Company, a strategic investment and development company
headquartered in Abu Dhabi, the capital of the United Arab Emirates (UAE).
Mubadala invested approximately $622 million, receiving 49 million
newly-issued shares at a price per share of $12.70, the closing price of AMD
common stock on November 15, 2007. AMD received approximately $608 million,
after reimbursing Mubadala for approximately $14.6 million in expenses. AMD
will use the net proceeds from the sale of the shares of common stock for
general corporate purposes including accelerating its long-term,
customer-focused growth strategy by investing in R&D, product innovations and
manufacturing excellence.

    "We proudly welcome Mubadala, a world-class investor, to the AMD
shareholder family. This investment strengthens AMD's ability to deliver
customer-centric innovation and choice to the marketplace, creating greater
value for all of our shareholders," said AMD Chairman and CEO Hector Ruiz.

    Mubadala CEO and Managing Director Khaldoon Khalifa Al Mubarak said, "AMD
is a great fit for Mubadala's investment approach -- a spirited competitor and
innovator led by a strong and visionary management team. We see significant
opportunities for long-term growth and value creation."

    This is a non-controlling, minority investment. Mubadala will not receive
any board representation as part of the deal. This transaction does not
present a controlling investment or acquisition subject to review by the
Committee on Foreign Investment in the U.S. (CFIUS).

    Merrill Lynch acted as financial advisor to AMD. Lehman Brothers acted as
lead financial advisor to Mubadala; Morgan Stanley acted as co-financial
advisor.

    About AMD

    Advanced Micro Devices (NYSE:  AMD) is a leading global provider of
innovative processing solutions in the computing, graphics and consumer
electronics markets. AMD is dedicated to driving open innovation, choice and
industry growth by delivering superior customer-centric solutions that empower
consumers and businesses worldwide. For more information, visit www.amd.com.

    About Mubadala

    Mubadala is an investment and development company headquartered in Abu
Dhabi, the capital of the United Arab Emirates. Wholly-owned by the Abu Dhabi
Government, Mubadala's mission is to create and maximize long-term returns as
an engaged investor in high-performing businesses and promising new ventures.

    The company has a growing and multifaceted international portfolio, with
significant interests in sectors such as energy, heavy industry,
telecommunications, infrastructure, and aerospace. For more information, visit
www.mubadala.ae.

    For More Information

    This sale of AMD's common stock has been made by means of a prospectus.
Copies of the final prospectus may be obtained, when available, by contacting
Ruth Cotter, AMD Investor Relations (+1-408-749-3887, ruth.cotter@amd.com).

    A registration statement relating to these securities has been filed with
and declared effective by the Securities and Exchange Commission. This
communication shall not constitute an offer to sell or the solicitation of an
offer to buy, nor shall there be any sale of these securities in any state or
jurisdiction in which such offer, solicitation or sale would be unlawful prior
to registration or qualification under the securities laws of any such state
or jurisdiction.

    Cautionary Statement

    This release contains forward-looking statements which are made pursuant
to the safe harbor provisions of the Private Securities Litigation Reform Act
of 1995. Forward-looking statements are commonly identified by words such as
"would," "may," "expects," "believes," "plans," "intends," "projects," and
other terms with similar meaning. Investors are cautioned that the
forward-looking statements in this release are based on current beliefs,
assumptions and expectations, speak only as of the date of this release and
involve risks and uncertainties that could cause actual results to differ
materially from current expectations. Risks include the possibility that Intel
Corporation's pricing, marketing and rebating programs, product bundling,
standard setting, new product introductions or other activities targeting the
company's business will prevent attainment of the company's current plans; the
company will require additional funding and may not be able to raise funds on
favorable terms or at all; the company's cost reduction efforts will not be
effective; customers stop buying the company's products or materially reduce
their operations or demand for its products; the company will be unable to
develop, launch and ramp new products and technologies in the volumes and mix
required by the market and at mature yields on a timely basis; the company's
competitors, customers and suppliers may take actions that will negate the
anticipated benefits of the company's acquisition of ATI; demand for computers
and consumer electronics products and, in turn, demand for the company's
products will be lower than currently expected; global business and economic
conditions will worsen, resulting in lower than currently expected revenue in
the fourth quarter of 2007 and beyond; there will be unexpected variations in
market growth and demand for the company's products and technologies in light
of the product mix that it may have available at any particular time or a
decline in demand; the company will be unable to transition to advanced
manufacturing process technologies in a timely and effective way, consistent
with planned capital expenditures; the company will be unable to maintain the
level of investment in research and development and capacity that is required
to remain competitive; and the company will be unable to obtain sufficient
manufacturing capacity or components to meet demand for its products or will
under-utilize its microprocessor manufacturing facilities. Investors are urged
to review in detail the risks and uncertainties in the company's Securities
and Exchange Commission filings, including but not limited to the Quarterly
Report on Form 10-Q for the quarter ended September 29, 2007.

    (C) 2007 Advanced Micro Devices, Inc. AMD, the AMD Arrow logo and
combinations thereof, are trademarks of Advanced Micro Devices, Inc. Other
names are for informational purposes only and may be trademarks of their
respective owners.




For further information:

For further information: AMD Drew Prairie, +1-512-602-4425 (PR)
drew.prairie@amd.com or Ruth Cotter, +1-408-749-3887 (IR) ruth.cotter@amd.com
or Mike Haase, 408-749-3124 (IR) mike.haase@amd.com or Mubadala Development
Company Richard Mintz, +1-202-295-8780 rmintz@mubadala.ae

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