Advanced Micro: Mfg Spinoff Coming Soon?

Advanced Micro Devices (AMD) may be close to announcing a spin-off of its manufacturing operations.



As noted by the Austin American-Statesman, Jefferies analyst John Lau wrote in a research report yesterday that his sources say a plan to spin manufacturing could come within two weeks.

Lau said that the company would create a new company that would consist of its two chip fabs in Dresden, Germany. He also wrote that a Middle East investment group may acquire a large portion of the new company, providing cash that would be used to pay down debt.

The Stateman said an AMD spokesman had no comment on the report.

AMD is down 9 cents, or 1.5%, to $6.06.