Intel Corp (INTC)

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"They already took a $1.6 billion charge for the ATI acquisition exactly 12 months ago."

When AMD purchased ATI, ATI posted Revenues for ATI's third quarter 2006 of $652.3 million - just prior to AMD's purchase.

AMD paid about $5.4 Billion for ATI at that time.

Last quarter - Q3 2008 - AMD's ATI division posted $385 million in revenue. That's a 40% DECLINE in quarterly revenue.

My guess, as a simple rule of thumb, is that AMD will have to write off about 40% of the AMD purchase price. And, 40% of $5.4 Billion is $2.16 Billion.

So, the combined writeoffs - $1.6 Billion and 622 Million - come to about $2.2 Billion !!!!!

Pretty close - eh?

Now - if ATI''s revenue base continues to SHRINK BELOW $385 Million/quarter, - AMD will have to write off more of this impaired asset.

I almost think AMD hired Craig Barrett as a consultant in the ATI purchase.