On September 17, 2009, Thomas Seifert was appointed Senior Vice President and Chief Financial Officer of Advanced Micro Devices, Inc. (the "Company"), effective October 12, 2009 (the "Effective Date"). Pursuant to the terms of the offer letter dated as of September 1, 2009, between Mr. Seifert and the Company (the "Offer Letter"), Mr. Seifert's annual base salary will be $525,000. Mr. Seifert is also eligible for an annual performance bonus under the Company's Executive Incentive Plan in a target amount of 150% of his base salary, to be payable upon his achievement of certain performance goals and objectives to be determined by the Company's Board of Directors. Mr. Seifert will also receive an option to purchase 250,000 shares (the "Shares") of the Company's common stock at an exercise price equal to the closing price of the Company's common stock on the date of the grant. The Shares will vest over a 36-month period from date of grant: 33.3% on November 15, 2010 and then 8.3% every three months over the next 24 months, assuming Mr. Seifert's continuous active service with the Company. In addition, Mr. Seifert will be granted 125,000 restricted stock units (the "RSUs"). Notwithstanding the vesting information contained in the Offer Letter, the RSUs will vest 33.3% on each of November 9, 2010, November 9, 2011 and November 9, 2012, assuming Mr. Seifert's continuous active service with the Company.

Pursuant to a relocation expenses agreement dated as of September 3, 2009, between Mr. Seifert and the Company (the "Relocation Expenses Agreement"), and a sign-on bonus agreement dated as of September 1, 2009, between Mr. Seifert and the Company (the "Sign-On Bonus Agreement"), the Company will reimburse Mr. Seifert for certain relocation expenses incurred by Mr. Seifert and pay Mr. Seifert a one-time sign-on bonus of $150,000 in connection with his employment with the Company. In the event Mr. Seifert's employment with the Company is terminated within 13 months of the Effective Date, Mr. Seifert will repay all such relocation expenses and the sign-on bonus to the Company. In the event Mr. Seifert's employment with the Company is terminated after 13 months of the Effective Date but less than 24 months after the Effective Date, Mr. Seifert will repay all such relocation expenses to the Company and the sign-on bonus, less 8.33% of such relocation expenses and sign-on bonus for each full month of employment completed after the 12th month of employment.

Prior to joining the Company and from October 2008, Mr. Seifert served as Chief Operating Officer and Chief Financial Officer of Qimonda AG. From April 2006 to October 2008, Mr. Seifert served as Chief Operating Officer of Qimonda AG, and from 2001 to April 2006, Mr. Seifert served as Senior Vice President and General Manager of Infineon AG.

Copies of the Offer Letter, Relocation Expenses Agreement and Sign-On Bonus Agreement are attached hereto as Exhibits 10.1, 10.2 and 10.3 and incorporated herein by reference. The foregoing descriptions of the Offer Letter, Relocation Expenses Agreement and Sign-On Bonus Agreement are qualified in their entirety by reference to the full text of the agreements.

A copy of the press release announcing Mr. Seifert's appointment is attached hereto as Exhibit 99.1.

(d) Exhibits.

Exhibit
  No.                                     Description

 10.1        Offer Letter between Advanced Micro Devices, Inc. and Thomas Seifert.

 10.2        Relocation Expenses Agreement between Advanced Micro Devices, Inc. and
             Thomas Seifert.

 10.3        Sign-On Bonus Agreement between Advanced Micro Devices, Inc. and
             Thomas Seifert.

 99.1        Press release dated as of October 8, 2009.