To: Gottfried who wrote (51241 ) 8/29/2001 2:08:41 PM From: Proud_Infidel Read Replies (1) | Respond to of 70976 AMD sees Q3 operating loss, revs down, units steady (UPDATE: adds details, stock price) SUNNYVALE, Calif., Aug 29 (Reuters) - Microchip maker Advanced Micro Devices Inc.(NYSE:AMD - news) on Wednesday said it expects an operating loss in the current third quarter as revenues fall 15 percent from the previous three months. AMD, which also said unit shipments were still strong, is fighting a price war with No. 1 global semiconductor maker Intel Corp. (NasdaqNM:INTC - news), in the middle of an economic downturn that has hit PC sales. Rob Herb, executive vice president and chief sales and marketing officer, told an investment conference the company continued to expect sales of flash memory products would fall about 30 percent, or $100 million, from second-quarter levels, AMD said in a statement. Herb projected around a 15 percent fall in revenue, compared with the company's previous expectations of a 10-15 percent sequential decline. ``A revenue decline in this range would result in an operating loss for the third quarter,'' said AMD. ``Herb said the company continues to believe that PC processor unit sales in the current quarter will remain at or near the record level of the second quarter, when AMD sold 7.8 million units.'' The general manager of the Intel Architecture Group, Paul Otellini, said on Tuesday that Intel still saw a seasonal rise in demand for the second half of the year, which sparked some optimism ahead of the company's mid-quarter report on Sept. 6. Shares of AMD were off 58 cents to $14.28 on the New York Stock Exchange, and Intel was down 44 cents to $28.07 on the Nasdaq in a mixed market for technology stocks.