AMD To Take $300M To $600M Charge

The Sunnyvale, Calif.-based company, which has been working on a reorganization since earlier this year, also has seen its stock price struggle in recent days after falling to one of its lowest prices in more than a decade earlier this year. AMD's shares, at $6.48, are still higher than its 52-week low of $3.10.

AMD's announcement that it would take a charge against earnings came in a short statement and followed the company's news last week that it would eliminate 2,000 jobs through early next year.

AMD also has been working to begin shipping the next version of its 32-bit processor line, the Athlon 2600 XP. Rival Intel upped the performance ante last week when it began shipping the 3GHz version of its Pentium 4 processor.

AMD CEO Hector Ruiz was slated to speak Monday at the Lehman Brothers Semiconductor Conference in San Francisco and give a keynote address at Comdex later in the week.